Common use of Status of Guarantee Clause in Contracts

Status of Guarantee. The obligations of each Guarantor hereunder will, upon demand for payment by the Agent pursuant to Section 1 hereof, constitute direct, unconditional and general obligations of each Guarantor and rank in right of payment pari passu with all indebtedness and liabilities for borrowed money, or other obligations arising out of an extension of credit, of either Guarantor. Neither Guarantor has issued any such indebtedness or incurred any such liability or obligation which is subordinated to any other such indebtedness, liability or obligation but which will not be subordinated to the payment in full of any and all amounts payable hereunder.