Common use of Limitation on Layering Clause in Contracts

Limitation on Layering. No Guarantor shall, and the Company shall not permit any Guarantor to, directly or indirectly, Guarantee any Indebtedness of the Company, unless: (1) in the case of any such Guarantee of Indebtedness of the Company secured by Liens on the Collateral with Pari Passu Lien Priority relative to the Notes, such Guarantee shall be subordinated in right of payment to any Guarantee of such Guarantor of First Lien Obligations and shall rank equal in right of payment with the Note Guarantee of such Guarantor; and (2) in the case of any such Guarantee of unsecured Indebtedness of the Company or Indebtedness of the Company secured by Liens on the Collateral with Junior Lien Priority relative to the Notes, such Guarantee shall be subordinated in right of payment to the Note Guarantee of such Guarantor.

Limitation on Layering. No Guarantor shall, and the Company Issuer shall not permit any Guarantor to, directly or indirectly, Guarantee any Indebtedness of the CompanyIssuer, unless: (1) in the case of any such Guarantee of Indebtedness of the Company Issuer secured by Liens on the Collateral with Pari Passu Lien Priority relative to the Notes, such Guarantee shall be subordinated in right of payment to any Guarantee of such Guarantor of First Lien Obligations and shall rank equal in right of payment with the Note Guarantee of such Guarantor; and (2) in the case of any such Guarantee of unsecured Indebtedness of the Company Issuer or Indebtedness of the Company Issuer secured by Liens on the Collateral with Junior Lien Priority relative to the Notes, such Guarantee shall be subordinated in right of payment to the Note Guarantee of such Guarantor.