Alternative Consideration - Promissory Note Sample Clauses
The Alternative Consideration - Promissory Note clause allows a party to fulfill a payment obligation by issuing a promissory note instead of providing immediate cash or another form of consideration. In practice, this means that if a party cannot pay the agreed amount upfront, they may deliver a legally binding promise to pay the specified sum at a future date, often with agreed-upon terms such as interest or installment payments. This clause provides flexibility in transactions by offering an alternative method of payment, thereby facilitating deal completion even when immediate funds are unavailable.
Alternative Consideration - Promissory Note. At RSI's option, all or a portion of the consideration payable upon exercise of the 2001 Put Right may be paid by delivery of a promissory note (the "Note") payable in cash to a 2001 Put Exercising Holder in the amount of the 2001 Put Price payable to such 2001 Put Exercising Holder, less any cash paid pursuant to Section 7.2(b)(i). The Note shall mature on July 31, 2002, shall be non-interest bearing, and shall be prepayable at any time, at RSI's option.