Subordinated Creditor Sample Clauses
The Subordinated Creditor clause defines the status and rights of a creditor whose claims are ranked below those of other creditors in the event of a debtor’s insolvency or liquidation. In practice, this means that the subordinated creditor agrees to receive payment only after senior creditors have been fully satisfied, and may be restricted from taking enforcement action until certain conditions are met. This clause is essential for structuring debt hierarchies, managing risk among lenders, and facilitating additional financing by assuring senior creditors of their repayment priority.
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Subordinated Creditor. Subordinated Creditor represents and warrants to the Senior Creditors that (i) Subordinated Creditor is an individual, (ii) Subordinated Creditor has full power and authority to enter into, execute, deliver and carry out the terms of this Agreement, (iii) the execution of this Agreement by Subordinated Creditor will not, to the knowledge of Subordinated Creditor, violate or conflict with any law, regulation or order applicable to Subordinated Creditor, or require any consent or approval which has not been obtained, (iv) this Agreement has been duly executed and delivered by Subordinated Creditor and constitutes a legal, valid and binding obligation of Subordinated Creditor, enforceable against Subordinated Creditor in accordance with its terms, except to the extent that the enforceability thereof may be limited by any applicable bankruptcy, insolvency, reorganization, moratorium or similar laws from time to time in effect affecting generally the enforcement of creditors’ rights and remedies and general principles of equity, (v) Subordinated Creditor is the sole owner, beneficially and of record, of the Subordinated Indebtedness, and (vi) the Subordinated Indebtedness is, and at all times prior to the termination of this Agreement shall remain, an unsecured obligation of the Parent.
Subordinated Creditor. Subordinated Creditor represents and warrants to the Senior Creditors that (i) Subordinated Creditor is an individual, (ii) Subordinated Creditor has full power and authority to enter into, execute, deliver and carry out the terms of this Agreement, all of which have been duly authorized by all proper and necessary action, (iii) the execution of this Agreement by Subordinated Creditor will not violate or conflict with the organizational documents of Subordinated Creditor, if applicable, or, to the knowledge of Subordinated Creditor, any law, regulation or order applicable to Subordinated Creditor, or, to the knowledge of Subordinated Creditor, require any consent or approval which has not been obtained, (iv) this Agreement has been duly executed and delivered by Subordinated Creditor and constitutes a legal, valid and binding obligation of Subordinated Creditor, enforceable against Subordinated Creditor in accordance with its terms, except to the extent that the enforceability thereof may be limited by any applicable bankruptcy, insolvency, reorganization, moratorium or similar laws from time to time in effect affecting generally the enforcement of creditors’ rights and remedies and general principles of equity, (v) Subordinated Creditor is the sole owner, beneficially and of record, of the Subordinated Indebtedness, and (vi) the Subordinated Indebtedness is, and at all times prior to the termination of this Agreement shall remain, an unsecured obligation of the Parent.
Subordinated Creditor. By executing and delivering this Supplement, the undersigned hereby becomes a party to the Subordination Agreement as a “Subordinated Creditor” thereunder for all purposes of the Subordination Agreement, and hereby covenants and agrees to be bound by and comply with all terms and conditions thereunder.
Subordinated Creditor. The Subordinated Creditor shall not:
19.3.1 assign or dispose of, or create or permit to subsist any security or trust over, any of the Subordinated Debt owing to it or its proceeds or any interest in that Subordinated Debt or its proceeds, or any security therefor, to or in favour of any person or attempt to do any of the foregoing; or
19.3.2 subordinate any of the Subordinated Debt owing to it or its proceeds to any sums owing by the Borrower to any person other than the Lender; or
19.3.3 transfer by novation or otherwise any of its rights or obligations under the Subordinated Documents or this Deed to any person.
Subordinated Creditor. 13 1.87 Subordination Agreement.................................13 1.88 Subsidiary..............................................13 1.89
Subordinated Creditor. Undertaking
1. it shall not take any Enforcement Action against any Group Company in respect of the Subordinated Obligations and any amounts payable in respect thereof unless such Enforcement Action is permitted pursuant to Clause 12.2 (Standstill); and
2. it (other than if it is a HY Noteholder or a HY Noteholders Trustee) shall take all such actions and execute all such documents requested by the Applicable Representative (acting reasonably) as may be necessary to give effect to this Clause 5.5.
Subordinated Creditor and Borrower each hereby represents and warrants that this Agreement constitutes its legal, valid and binding obligation, enforceable in accordance with its terms.
Subordinated Creditor. The Subordinated Creditor represents and --------------------- warrants to and covenants and agrees with the Senior Creditor as follows:
4.1.1. The Subordinated Loan Documents are all of the documents and other instruments evidencing the Subordinated Indebtedness and the Subordinated Lien. A true, correct and complete copy of the Subordinated Loan Documents is attached as Exhibit A to this Agreement.
4.1.2. No part of the Subordinated Indebtedness has been previously assigned, subordinated or subjected to any security interest in favor of a party other than the Senior Creditor.
4.1.3. No payment default by the Tenant presently exists under the Subordinated Loan Documents, and the aggregate outstanding principal balance of the Subordinated Note is $28,573,208 as of this date. ----------
4.1.4. So long as the Senior Indebtedness shall be outstanding, the Subordinated Creditor shall not transfer, assign or pledge any of its interest in the Subordinated Loan Documents to any other person without first requiring such transferee to execute a subordination agreement with the parties hereto in the same form as this Agreement.
Subordinated Creditor. In any Reorganization involving the Company:
Subordinated Creditor. Senior Creditor and ▇▇▇▇▇▇▇▇▇ shall execute, acknowledge and deliver, at any time or from time to time, any and all further documents, instruments or assurances in recordable form, including UCC-3s, as may be reasonably required for carrying out the purpose and intent of this Agreement.