Common use of Absence of Violations or Defaults Clause in Contracts

Absence of Violations or Defaults. Neither the Adviser nor BDC Partners is in violation or breach of or in default under (nor has any event occurred which with notice, lapse of time, or both would constitute a violation or breach of or default under) (i) its limited liability company operating agreement or other organizational documents, or (ii) any material provision of any lease, loan agreement, franchise agreement, license, permit, indenture, mortgage, deed of trust, bank loan or credit agreement or other contract obligation to which it is a party or by which it or its assets may be bound or affected, except to the extent any such violation, breach or default would not have an Affiliate Material Adverse Effect.