Common use of Ring Fencing Clause in Contracts

Ring Fencing. The Borrower shall procure that: 23.42.1 no Security Provider shall enter into, or permit to subsist, any transaction or relationship with a non-Security Provider which is not at least as favourable in all respects to the relevant Security Provider as an arm’s length transaction, nor shall such Security Provider pay any management charge or similar inter-company item to a non-Security Provider. 23.42.2 This clause 23.42 shall not prohibit the execution and performance by the Borrower or any other Obligor of any Finance Document or Transaction Document to which it is party.

Ring Fencing. The Borrower shall procure that: 23.42.1 no Security Provider shall enter into, or permit to subsist, any transaction or relationship with a non-Security Provider which is not at least as favourable in all respects to the relevant Security Provider as an arm’s 's length transaction, nor shall such Security Provider pay any management charge or similar inter-company item to a non-Security Provider. 23.42.2 This clause 23.42 shall not prohibit the execution and performance by the Borrower or any other Obligor of any Finance Document or Transaction Document to which it is party.