Common use of Certain Other Defaults Clause in Contracts

Certain Other Defaults. Any Borrower, any Subsidiary of any Borrower or the Borrowers as a group shall fail to pay when due any Indebtedness for Borrowed Money which singularly or in the aggregate exceeds $250,000, and such failure shall continue beyond any applicable cure period, or any Borrower, any Subsidiary of any Borrower or the Borrowers as a group shall suffer to exist any default or event of default in the performance or observance, subject to any applicable grace period, of any agreement, term, condition or covenant with respect to any agreement or document relating to Indebtedness for Borrowed Money if the effect of such default is to permit, with the giving of notice or passage of time or both, the holders thereof, or any trustee or agent for said holders, to terminate or suspend any commitment (which is equal to or in excess of $250,000) to lend money or to cause or declare any portion of any borrowings thereunder to become due and payable prior to the date on which it would otherwise be due and payable, provided that during any applicable cure period the Banks' obligations hereunder to make further Loans shall be suspended. Notwithstanding anything to the contrary in the immediately preceding sentence, it shall not be an Event of Default hereunder for a Borrower or a Subsidiary of a Borrower to fail to pay when due any Indebtedness for Borrowed Money so long as such Borrower or such Subsidiary is contesting in good faith through litigation its obligation to pay such Indebtedness for Borrowed Money; provided, however, that if the aggregate amount of any Indebtedness for Borrowed Money contested by a Borrower, the Subsidiary or the Borrowers as a group exceeds $250,000, such Borrower (for itself and its Subsidiaries) or Borrowers, as applicable, shall be required to post a bond equal to the amount that such Indebtedness for Borrowed Money exceeds $250,000.

Certain Other Defaults. Any Borrower, any Subsidiary of any Borrower or the Borrowers as a group shall fail to pay when due any Indebtedness for Borrowed Money which singularly or in the aggregate exceeds $250,000, and such failure shall continue beyond any applicable cure period, or any Borrower, any Subsidiary of any Borrower or the Borrowers as a group shall suffer to exist any default or event of default in the performance or observance, subject to any applicable grace period, of any agreement, term, condition or covenant with respect to any agreement or document relating to Indebtedness for Borrowed Money if the effect of such default is to permit, with the giving of notice or passage of time or both, the holders thereof, or any trustee or agent for said holders, to terminate or suspend any commitment (which is equal to or in excess of $250,000) to lend money or to cause or declare any portion of any borrowings thereunder to become due and payable prior to the date on which it would otherwise be due and payable, provided that during any applicable cure period the Banks' obligations hereunder to make further Loans shall be suspended. Notwithstanding anything to the contrary in the immediately preceding sentence, it shall not be an Event of Default hereunder for a Borrower or a Subsidiary of a Borrower to fail to pay when due any Indebtedness for Borrowed Money so long as such Borrower or such Subsidiary is contesting in good faith through litigation its obligation to pay such Indebtedness for Borrowed Money; provided, however, that if the aggregate amount of any Indebtedness for Borrowed Money contested by a Borrower, the Subsidiary Borrower or the Borrowers as a group exceeds $250,000500,000, such Borrower (for itself and its Subsidiaries) or Borrowers, as applicable, shall be required to post a bond equal to the amount that such Indebtedness for Borrowed Money exceeds $250,000500,000.