Common use of The Subsidiary Guarantee Clause in Contracts

The Subsidiary Guarantee. The Guarantors, no later than the Closing Date (as hereinafter defined), shall have taken all necessary action to authorize the issuance of their unconditional guarantee of payment of the Debentures as set forth in the Subsidiary Guarantee and to make their guarantee of the Debentures the enforceable obligation it purports to be in accordance with the terms of the Subsidiary Guarantee. The Subsidiary Guarantee is not effective or enforceable against the Guarantors until the Senior Notes Reduction Date. The Subsidiary Guarantee will become effective and enforceable against each of the Guarantors on the Senior Notes Reduction Date without any further action by any party.