Sale of Collateral Obligations Purchase of Additional Collateral Obligations Sample Clauses
This clause governs the sale of existing collateral obligations and the purchase of new collateral obligations within a financial agreement. It typically outlines the procedures and conditions under which the parties may sell assets that serve as collateral or acquire additional assets to be used as collateral, such as specifying approval requirements, pricing mechanisms, or eligibility criteria for new collateral. The core function of this clause is to provide a clear framework for managing the pool of collateral, ensuring that the value and quality of collateral are maintained or enhanced throughout the life of the agreement.
Sale of Collateral Obligations Purchase of Additional Collateral Obligations. Section 10.01 Sales and Substitutions of Collateral Obligations.
(a) So long as no Event of Default has occurred and is continuing, and no Borrowing Base Deficiency exists before and after giving effect to the sale, the Borrower (or the Collateral Manager on behalf of the Borrower acting pursuant to the Collateral Management Agreement) may direct the Collateral Agent in writing to sell, and the Collateral Agent shall sell in the manner directed by the Collateral Manager (on behalf of the Borrower) in writing any Collateral Obligation.
(b) In the event of a prepayment, the Borrower or the Collateral Manager shall direct the Collateral Agent in writing to sell, and the Collateral Agent shall sell in the manner directed by the Collateral Manager (on behalf of the Borrower), any Collateral Obligation, subject to Section 2.05
(c) ReservedThe Borrower shall immediately provide a substitute Collateral Obligation to the Collateral Agent if at any time any Collateral Obligation becomes Blocked Property.
Sale of Collateral Obligations Purchase of Additional Collateral Obligations. 1Sales of Collateral Obligations. Subject to the satisfaction of the conditions specified in Section 12.3, the Investment Manager may, pursuant to an Issuer Order delivered by an Authorized Officer of the Investment Manager on behalf of the Issuer (except as otherwise specified in this Section 12.1), direct the Trustee to sell and the Trustee shall sell on behalf of the Issuer in the manner directed by the Investment Manager any Collateral Obligation, Loss Mitigation Obligation, Equity Security or Unsaleable Asset if, as certified by the Investment Manager (which may be satisfied by delivery of an Issuer Order) or an Opinion of Counsel, such sale meets the requirements of any one of subsections (a) through (h) of this Section 12.1 (subject in each case to any applicable requirement of disposition under Section 12.1(d) and provided that if an Event of Default has occurred and is continuing, the Investment Manager may not direct the Trustee to sell any Collateral Obligation or Equity Security pursuant to Section 12.1(f), (g) or (i)).
Sale of Collateral Obligations Purchase of Additional Collateral Obligations