Common use of Overdraft Facility Clause in Contracts

Overdraft Facility. a For the purpose of the calculation by HBU of the unused portion of the overdraft facility at any given time, the amount of the overdraft facility shall be: - either reduced by the then existing negative balance resulting from balance netting or increased by the then existing positive balance resulting from balance netting, as set out above under 2.b; and - reduced by the non-cash contingent liabilities as set out above under 1.1, unless these obligations can be charged to a contingent liability facility granted to the Borrower; and - reduced by obligations arising from the use of the overdraft facility in any other manner as set out above under 1.1. b If the debit balance on a current account is, in the opinion of HBU, unacceptably high, the Borrower shall reduce that debit balance to a level acceptable to HBU at HBU's first request. c HBU may at any time reject, in whole or in part, dispositions requested by the Borrower if, after the disposition, the debit balance on the relevant current account will, in the opinion of HBU, be unacceptably high.