Common use of Swap Clause in Contracts

Swap. If the LIBOR Rate for an Interest Period of one month is above two percent (2.00%) for 30 consecutive days during the term of the Loans, the Borrower will be required to enter into a swap or purchase an interest rate cap with respect to the Loans with a counterparty and on terms and conditions reasonably acceptable to the Agent. Any such swap or interest rate cap which is a Derivatives Provider Contract shall be an independent agreement governed by the written provisions of said Derivatives Provider Contract, which will remain in full force and effect unaffected by any repayment, prepayment, acceleration, reduction, increase or change in the terms of this Agreement, except as otherwise expressly provided in said Derivatives Provider Contract, and any payoff statement from the Agent relating to this Agreement shall not apply to a Derivatives Provider Contract except as otherwise expressly provided in such payoff statement. Any prepayment, acceleration, reduction, increase or any change in the terms of the Loan will not alter the notional amount of any such Derivatives Provider Contract, which will remain in full force and effect notwithstanding any such prepayment, acceleration, reduction, increase or change, subject to the terms of such Derivatives Provider Contract.