BORROWER'S ADDITIONAL COVENANTS Clause Samples
The "Borrower's Additional Covenants" clause sets out further promises or obligations that the borrower must fulfill beyond the standard terms of a loan agreement. These covenants may include requirements such as maintaining certain financial ratios, providing regular financial statements, or refraining from specific business activities without lender approval. By detailing these additional commitments, the clause helps protect the lender's interests and ensures the borrower maintains financial discipline throughout the loan period.
BORROWER'S ADDITIONAL COVENANTS. Borrower hereby agrees and covenants as follows:
(i) except for the security interest granted hereby, Borrower shall keep the Equipment free and clear of any security interest, lien or encumbrance and shall not sell, lease, assign (by operation of law or otherwise), exchange or otherwise dispose of any of the Equipment, (ii) at the request of the Lender, Borrower shall execute one or more Financing Statements and continuation statements pursuant to the Uniform Commercial code to establish and maintain its security interest in the Collateral, in form satisfactory to Lender, and will pay any filing fees and/or costs with respect thereto and for lien searches; (iii) Borrower authorizes Lender to file one or more Financing Statements covering the Collateral without Borrower's signature thereto; (iv) Borrower will immediately notify Lender in writing of any change in its place(s) of business or the adoption or change of any trade name or fictitious business names and will execute any additional Financing Statements as Lender may request to perfect and maintain its security interest, but such notice shall not be deemed an authorization to move the Collateral without the prior written consent of Lender; (vi) Borrower will allow Lender and its representatives free access to the Collateral at all times during normal business hours, for purposes of inspection and repair and, following an Event of Default, lender shall have the right to demonstrate and show the Collateral to others and (vii) Borrower will furnish to Lender (and will cause any guarantor of Borrower's obligations hereunder to furnish to Lender) (a) its unaudited quarterly Financial Statements within thirty (30) days after the end of its first three quarters in each fiscal year, (b) its certified Financial Statement prepared by an independent certified public accountant within ninety (90) days after the close of its fiscal year which shall be prepared in accordance with generally accepted accounting principles and (c) all other financial information and reports that Lender may from time to time reasonably request, including income tax returns of Borrower and any guarantor of Borrower's obligations hereunder.
BORROWER'S ADDITIONAL COVENANTS. Borrower hereby covenants, agrees and undertakes as follows:
BORROWER'S ADDITIONAL COVENANTS. Borrower hereby covenants, agrees and undertakes to:
(a) from time to time, at the reasonable request of Lender, (i) promptly correct any defect, error or omission which may be discovered in the contents of this Agreement, the Instrument or any of the other Loan Documents or any of the other Instruments or in the execution or acknowledgment thereof; (ii) execute, acknowledge, deliver and record and/or file such further documents or instruments (including, without limitation, further mortgages, security agreements, financing statements, continuation statements, assignments of rents or leases and environmental indemnity agreements) and perform such further acts and provide such further assurances as may be necessary, desirable or proper, in Lender's reasonable opinion, to carry out more effectively the purposes of this Agreement and such other instruments and to subject to the liens and security interests hereof and thereof any property intended by the terms hereof or thereof to be covered hereby or thereby, including specifically, but without limitation, any renewals, additions, substitutions, replacements, or appurtenances to the Property; and (iii) execute, acknowledge, deliver, procure, and file and/or record any document or instrument (including specifically, but without limitation, any financing statement) reasonably deemed necessary by Lender to protect the liens and the security interests herein granted against the rights or interests of third persons; provided that such documents or instruments do not increase Borrower's liability or obligations under the Loan Documents. Borrower will pay all reasonable costs connected with any of the foregoing in this subparagraph (a);
BORROWER'S ADDITIONAL COVENANTS. In addition to any and all covenants and agreements of Borrowers contained herein, in the Original Credit Agreement and in the Loan Documents, each Borrower unconditionally agrees as follows:
6.1. Upon execution of this Agreement, Borrowers shall pay to Administrative Agent, for the pro rata account of each Lender, a forbearance fee of $225,000 in consideration of Administrative Agent’s and the Lenders’ agreement to forbear as set forth herein, and Borrowers acknowledge and agree that the foregoing forbearance fee paid to Administrative Agent for the pro rata benefit of each Lender will be earned by Administrative Agent and the Lenders upon execution of this Agreement and will not be refundable to Borrowers for any reason or under any circumstance, and shall not be applied to any of the Loan Obligations (including principal and interest). Borrowers shall promptly pay to Administrative Agent an amount equal to all fees, costs and expenses incurred by the Administrative Agent (including all attorneys fees and expenses) in connection with the preparation, negotiation, execution and delivery of this Agreement, the earlier proposed Eighth Amendment to Credit Facilities Agreement which was not executed, and any further documentation which may be required in connection herewith or therewith.
6.2. Administrative Agent shall retain the Collateral to secure repayment of the Loan Obligations until such time as the Loan Obligations are paid in full in cash.
6.3. Until the Loan Obligations are repaid in full in cash, each Borrower shall allow Administrative Agent and its attorneys, the Advisor, accountants, agents, consultants and representatives or other Persons authorized by and acting on behalf of Administrative Agent to perform, and Borrowers shall fully cooperate with Administrative Agent in connection therewith, inventory reviews, appraisals, inspections, and examinations of Borrowers and the Collateral as often as Administrative Agent determines in its sole and absolute discretion. All inventory reviews, appraisals, inspections, and examinations shall be at Borrowers’ sole cost and expense, including but not limited to a fee of $525 per auditor per day plus travel expenses, and Borrowers shall reimburse Administrative Agent, on demand, for all of its fees, costs and expenses (including, without limitation, allocated internal charges and overheads and travel expenses) incurred by Administrative Agent or its attorneys, accountants, agents, consultants and represen...
BORROWER'S ADDITIONAL COVENANTS. In addition to the other covenants and agreements made by Borrower under this Agreement, Borrower covenants and agrees that during the term of this Agreement, it will timely perform each of the following:
(a) Perfect and maintain its interests in the Portfolio.
(b) Unless otherwise directed by Lender after the Servicing Termination Date, instruct Obligors in writing, and otherwise take such reasonable steps to ensure, that all payments by such Obligors shall be directed and delivered to the Collection Account.
(c) Maintain complete and accurate files with respect to each Premium Finance Document and all documents in respect thereof, with complete and accurate notations of all collection activities.
(d) Provide such information and documentation in respect of the Portfolio, and Borrower’s activities in performance of its duties under this Agreement, in reasonable detail, as Lender may request pursuant to the Loan Agreement, until the Servicing Termination Date.
(e) Maintain adequate qualified personnel and appropriate equipment, facilities and support services necessary to perform its duties under this Agreement.
(f) Verify, at all appropriate times, that all tangible Portfolio collateral is properly insured as required by the related Premium Finance Documents.
(g) To the extent required by the Loan Agreement, promptly notify Lender of the failure of any Obligor to perform any material obligations under any document relating to a Premium Finance Document, and also of any of the following of which Borrower has notice: (i) sale or transfer of any collateral with respect to any Premium Finance Document, (ii) change of address, death, incapacity, bankruptcy or insolvency of an Obligor, or (iii) material loss or damage to any collateral securing a Premium Finance Document.
BORROWER'S ADDITIONAL COVENANTS. Borrower hereby covenants and agrees ------------------------------- as follows:
(i) the Equipment will at all times be used only for business or commercial purposes and will be retained in Borrower's possession at its principal address set forth above (and not moved therefrom without Lender's prior written consent) unless otherwise specifically provided in a Schedule and, if another location is provided in a Schedule, the Equipment will be retained at and not moved from such other location without Lender's prior written consent; (ii) Borrower will keep the Equipment free and dear of liens, rights of distraint, charges and encumbrances or claims of the owner (or lessor) of the real estate in which the same is installed and any purchaser or present or future creditor obtaining a lien on such real estate and will, upon Lender's request, obtain and deliver a waiver of any
BORROWER'S ADDITIONAL COVENANTS