Redemption Default Clause Samples

A Redemption Default clause defines the circumstances under which a party, typically an issuer or borrower, is considered to be in default regarding its obligation to redeem securities or repay principal. This clause outlines specific events, such as failure to make scheduled redemption payments or breaches of related covenants, that trigger a default status. By clearly specifying what constitutes a redemption default, the clause protects investors or lenders by providing a basis for enforcement actions or remedies if the issuer fails to meet its redemption obligations.
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Redemption Default. If the Company defaults on an obligation incurred hereunder to pay a Redemption Price payable pursuant to the terms of this Article III, the Holder may at its option either (i) enforce its right to receive such Redemption Price and receive the additional interest due thereon pursuant to Section 2.1(ii) or (ii) terminate or rescind such attempted redemption.
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Redemption Default. If the Company fails to honor the redemption obligations set forth in Section 6(a)(i) following a valid request therefor by a holder of Series A Special Stock (such failure, a “Redemption Default”), including, for the avoidance of doubt, as a result of the lack of funds legally available therefor or because such redemption is prohibited by Legal Requirements, then each Stockholder holding Series A Special Stock with respect to which a Redemption Default has occurred will be entitled to receive from the Company payments (collectively, “Redemption Default Payments”) equal to the amount of the interest on the applicable unpaid portion of the Series A Redemption Price payable for such shares of Series A Special Stock determined in accordance with this Section 6(b). Redemption Default Payments will initially be payable in cash at an annual rate of eight percent (8%), and the interest rate payable on amounts due will increase by one percent per annum (1%) on each anniversary of the Redemption Default. Redemption Default Payments shall be computed on the basis of a 360-day year consisting of twelve 30-day months, shall accrue from the date of the applicable Redemption Default until such Redemption Default has been cured and the applicable Redemption Default Payments paid in full (such period, the “Redemption Default Period”), shall compound on a semi-annual basis, and shall be payable in cash quarterly in arrears on each January 1, April 1, July 1 and October 1 following the applicable Redemption Default until paid in full. Upon any Transfer of shares of Series A Special Stock prior to the Stockholder Approval, the transferor Stockholder shall transfer with such Series A Special Stock to the transferee any right it has to any Redemption Default Payments with respect to such shares and agrees that it shall not seek any Redemption Default Payments with respect to shares Transferred by such Stockholder from the Company.
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Redemption Default. (a) If the Company fails to complete a redemption required on August 31, 1997 or October 31, 1997 on such date, if such failure has not been cured within five (5) Business Days after written notice of such failure has been delivered to counsel to the Company, then notwithstanding any of the foregoing to the contrary: (i) the redemption price with respect to 100% of such installment in default and all future installments shall change to the higher of (i) the redemption price specified pursuant to Section 14.1(b)(ii), or (ii) the result of subtracting (A) the Exercise Price, from (B) the average Current Market Price of the Company's Common Stock for the twenty-five (25) Trading Days preceding the date which is five (5) Trading Days prior to the date on which such redemption price is actually paid; and (ii) interest shall accrue on the unpaid installments in the form of cash and shares of Common Stock; the amount of such interest shall be equal to the sum of (A) $75,000 in cash (or the number of shares of Common Stock which is the result of dividing $75,000 by the average Current Market Price of the Common Stock for the twenty-five (25) Trading Days immediately preceding the date which is five (5) Trading Days prior to August 31, 1997), payable immediately (to compensate the holder for previous delays in commencing the redemption), plus (B) four ten-thousandths (.0004) of a share of Common Stock per unredeemed Warrant share per day from the respective Installment Date until the redemption payment is made. Such interest shall be paid quarterly ten (10) days after the last day of each calendar quarter. Such interest may be paid in the form of Common Stock only if such stock is then registered and freely tradable; otherwise, the cash equivalent shall be paid, calculated as the Current Market Value of the stock as of the last day of the calendar quarter. (b) If, as of January 31, 1998, the Company is in default with respect to the installment due on such date (and/or remains in default with respect to any previous installment), and such failure has not been cured within five (5) Business Days after written notice of such failure has been delivered to counsel to the Company, then notwithstanding any of the foregoing to the contrary: (i) the redemption price with respect to such installment in default shall be payable only in cash; (ii) interest shall accrue on all installments in default in the form of shares of Common Stock and be payable as provided in subsectio...
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Redemption Default. The Class B Members shall exercise the Put Right by giving the Company notice of such exercise pursuant to the provisions of Section 14.1 hereof.
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Redemption Default. (a) The Company grants to the Class B Members the right and option to sell to the Company and to cause the Company to purchase the Class B Preferred Interests at a purchase price equal to the unpaid Class B Cumulative Amount (the “Put Right”) upon a
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Redemption Default. Upon and during the continuation of a Redemption Default, (i) the aggregate unpaid Applicable Redemption Price shall bear interest at a per annum rate of twelve percent (12%) until such Applicable Redemption Price (plus accumulated accrued default interest) are paid in full, (ii) the Company shall be liable to the holders of Series A Preferred Stock for their reasonable costs of addressing the Redemption Default, including the reasonable out of pocket fees and expenses of their attorneys, and (iii) any holder of Series A Preferred Stock may at any time and from time to time judicially enforce its right to be paid to the fullest extent that the Company may lawfully pay the Applicable Redemption Price (plus accumulated accrued default interest). Notwithstanding any other provision of this Certificate of Designation, any default interest accrued and owing under this Section 7(e) shall be paid all in cash.
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Related to Redemption Default

  • Final Redemption Unless previously redeemed, or purchased and cancelled, the Bonds will be redeemed at their principal amount on the Interest Payment Date falling on, or nearest to, June 26, 2017. The Bonds may not be redeemed at the option of the Issuer other than in accordance with this Condition.

  • Redemption at maturity Unless previously redeemed or purchased and cancelled as specified below, each Note will be redeemed by the Issuer at its Final Redemption Amount specified in the applicable Final Terms in the relevant Specified Currency on the Maturity Date specified in the applicable Final Terms.

  • Redemption Notice To call any Notes for Redemption, the Company must send to each Holder of such Notes, the Trustee and the Paying Agent a written notice of such Redemption (a “Redemption Notice”). Such Redemption Notice must state: (i) that such Notes have been called for Redemption, briefly describing the Company’s Redemption right under this Indenture; (ii) the Redemption Date for such Redemption; (iii) the Redemption Price per $1,000 principal amount of Notes for such Redemption (and, if the Redemption Date is after a Regular Record Date and on or before the next Interest Payment Date, the amount, manner and timing of the interest payment payable pursuant to the proviso to Section 4.03(E)); (iv) the name and address of the Paying Agent and the Conversion Agent; (v) that Notes called for Redemption may be converted at any time before the Close of Business on the second (2nd) Business Day immediately before the Redemption Date (or, if the Company fails to pay the Redemption Price due on such Redemption Date in full, at any time until such time as the Company pays such Redemption Price in full); (vi) the Conversion Rate in effect on the Redemption Notice Date for such Redemption and a description and quantification of any adjustments to the Conversion Rate that may result from such Redemption (including pursuant to Section 5.07); (vii) the Settlement Method that will apply to all conversions of Notes with a Conversion Date that occurs on or after such Redemption Notice Date and on or before the second (2nd) Business Day before such Redemption Date; and (viii) the CUSIP and ISIN numbers, if any, of the Notes. On or before the Redemption Notice Date, the Company will send a copy of such Redemption Notice to the Trustee and the Paying Agent.

  • Redemption and Repurchase; Discharge Prior to Redemption or Maturity This Note is subject to optional redemption, and may be the subject of an Offer to Purchase, as further described in the Indenture. There is no sinking fund or mandatory redemption applicable to this Note. If the Company deposits with the Trustee money or U.S. Government Obligations sufficient to pay the then outstanding principal of, premium, if any, and accrued interest on the Notes to redemption or maturity, the Company may in certain circumstances be discharged from the Indenture and the Notes or may be discharged from certain of its obligations under certain provisions of the Indenture.

  • Special Event Redemption Prior to March 30, 2010, upon the occurrence and during the continuation of a Special Event, the Company may, at its option, redeem the Securities, in whole but not in part, at a Redemption Price equal to one hundred seven and one half percent (107.5%) of the principal amount thereof, together, in the case of any such redemption, with accrued interest, including any Additional Interest, through but excluding the date fixed as the Redemption Date (the “Special Redemption Price”).