Liability of the Advancing Agent Clause Samples
The "Liability of the Advancing Agent" clause defines the responsibilities and potential legal exposure of the agent who advances funds or acts on behalf of other parties in a financial transaction. Typically, this clause outlines the circumstances under which the advancing agent may be held liable for losses, errors, or breaches of duty, and may also specify any limitations or exclusions to that liability. For example, it might clarify that the agent is only liable for gross negligence or willful misconduct, not for ordinary mistakes. The core function of this clause is to allocate risk between the advancing agent and other parties, ensuring all parties understand the extent of the agent's accountability and protecting the agent from undue liability.
Liability of the Advancing Agent. The Advancing Agent shall be liable in accordance herewith only to the extent of the obligations specifically imposed upon and undertaken by the Advancing Agent.
Liability of the Advancing Agent. The Advancing Agent shall be liable in accordance herewith only to the extent of the obligations specifically imposed upon and undertaken by the Advancing Agent. The Advancing Agent shall promptly provide notice to the Issuer, the Co-Issuer, the Collateral Manager, each Hedge Counterparty and the Trustee of (i) any voluntary or involuntary proceeding or petition seeking winding up, liquidation, reorganization or other relief under any bankruptcy, insolvency, receivership or similar law now or hereinafter in effect, (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Advancing Agent or for a substantial part of its assets and (iii) any general assignment made by the Advancing Agent for the benefit of its creditors.
Liability of the Advancing Agent. The Advancing Agent shall be liable in accordance herewith only to the extent of the obligations specifically imposed upon and undertaken by the Advancing Agent. In consideration of the performance of its obligations hereunder, the Advancing Agent shall be entitled to receive, at the times set forth herein and subject to the Priority of Payments, to the extent funds are available therefor, the Advancing Agent Fee. The Advancing Agent shall promptly provide notice to the Issuer, the Co-Issuer, the Collateral Manager, the Upfront Swap Counterparty, each Hedge Counterparty, each Synthetic Asset Counterparty and the Trustee of (i) any voluntary or involuntary proceeding or petition seeking winding up, liquidation, reorganization or other relief under any bankruptcy, insolvency, receivership or similar law now or hereinafter in effect, (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Advancing Agent or for a substantial part of its assets and (iii) any general assignment made by the Advancing Agent for the benefit of its creditors. Upon the failure of any Interest Coverage Test, the Advancing Agent shall provide to the Trustee such information related to the Collateral Interests as may be reasonably requested by the Trustee.