Common use of Application to Term Loans Clause in Contracts

Application to Term Loans. In connection with any mandatory prepayments by the Borrower of the Term Loans pursuant to Section 5.2(a), such prepayments shall be applied on a pro rata basis to the then outstanding Term Loans being prepaid irrespective of whether such outstanding Term Loans are ABR Loans or LIBOR Loans; provided that if no Lenders exercise the right to waive a given mandatory prepayment of the Term Loans pursuant to Section 5.2(c), then, with respect to such mandatory prepayment, the amount of such mandatory prepayment shall be applied first to such Term Loans that are ABR Loans to the full extent thereof before application to Term Loans that are LIBOR Loans in a manner that minimizes the amount of any payments required to be made by the Borrower pursuant to Section 2.12.