Common use of Principal Prepayment Clause in Contracts

Principal Prepayment. Upon the occurrence and during the continuance of a Commitment Limit Breach or a Coverage Breach, and after giving effect to the Commitment Breach Notice Period or Coverage Breach Notice Period, as applicable described in clauses (a) and (b) above, any cash and Cash Equivalents held in the Collateral Accounts and 100% of Net Distributions received by any Credit Party, shall be promptly (and in any event within three (3) Business Days of receipt thereof) applied by the Borrower to prepay the Principal Outstanding Amount, it being understood that the provisions of this Section 2.5(d) (Principal Prepayment) shall cease to apply (i) after approval of a Cure Plan (until the Cure Date) and (ii) once a Commitment Limit Breach or a Coverage Breach, as applicable, is no longer in effect.

Principal Prepayment. Upon the occurrence and during the continuance of a Commitment Limit Breach or a Coverage Breach, and after giving effect to the Commitment Breach Notice Period or Coverage Breach Notice Cure Plan Period, as applicable described in clauses (a) and (b) above, any cash and Cash Equivalents held in the Collateral Accounts and 100% of Net Distributions received by any Credit Party, shall be promptly (and in any event within three (3) Business Days of receipt thereof) applied by the Borrower to prepay the Principal Outstanding Amount, it being understood that the provisions of this Section 2.5(d) (Principal Prepayment) shall cease to apply (i) after approval of a Cure Plan (until the Cure Date) and (ii) once a Commitment Limit Breach or a Coverage Breach, as applicable, is no longer in effect.