Principle of Repayment. Any repayment by Party A hereunder shall be made based on the following principles: (1) Repayment of principal shall be prior to repayment of interest under the following situations: the principal of the loan has been overdue beyond 90 days, interest has been overdue beyond 90 days, Party A’s business operation or projects related to the Loan have been terminated though the loan has not become mature or the overdue has not been beyond 90 days, and other loans stipulated by the laws and regulations. (2) Except as situations otherwise listed in the Article 6 1 (1) above, any repayment shall be made based on the principle that repayment of interest shall be prior to repayment of principal, and the interest shall be paid off together with the principal upon the last installment of repayment.
Appears in 2 contracts
Sources: Capital Loan Agreement (Certified Technologies Corp), Capital Loan Agreement (Certified Technologies Corp)