Common use of Company Matters Clause in Contracts

Company Matters. (a) Without the written consent of Lender previously obtained, Borrower shall not, and shall not allow any of its Subsidiaries to: (i) make any Investments except for Permitted Investments or Investments otherwise permitted by this Agreement; (ii) incur any Indebtedness (other than borrowing funds under this Agreement), make any loans or advances, or extend credit to any Person; (iii) acquire any Equity Interests, create any Subsidiaries, or contribute to the equity of any Person; (iv) declare or pay any dividends, distribute any equity, or make any other distributions to its shareholders or members; (v) redeem any Equity Interests; (vi) change its fiscal year or make any material change in its method of accounting; (vii) merge, consolidate or amalgamate with or into any other Person, change the legal nature of its form of entity, or change its jurisdiction of formation; (viii) liquidate or dissolve; (ix) sell or dispose of any assets other than equipment that is obsolete, or worn out, or no longer necessary for the conduct of Borrower's business or the operation of the Vessel, however, if such equipment that is disposed of is equipment of the Vessel, such equipment shall be concurrently replaced with equipment of equal value; (x) grant any Encumbrance on any of its assets except Permitted Encumbrances; or (xi) incur or pay any management fees or commissions to any Person other than pursuant to the current express provisions of the Technical Management Agreement and the Commercial Management Agreement. (b) Borrower shall pay all of its obligations as they mature, provided, it may contest obligations in good faith if appropriate reserves therefor are established and maintained consistently with GAAP, and security therefor is posted as may be required by Lender.

Company Matters. (a) Without the written consent of Lender previously obtained, Borrower shall not, and shall not allow any of its Subsidiaries to: (i) make any Investments except for Permitted Investments or Investments otherwise permitted by this Agreement; (ii) incur any Indebtedness (other than borrowing funds under this Agreement), make any loans or advances, or extend credit to any Person; (iii) acquire any Equity Interests, create any Subsidiaries, or contribute to the equity of any Person; (iv) declare or pay any dividends, distribute any equity, or make any other distributions to its shareholders or members; (v) redeem any Equity Interests; (vi) change its fiscal year or make any material change in its method of accounting; (vii) merge, consolidate or amalgamate with or into any other Person, change the legal nature of its form of entity, or change its jurisdiction of formation; (viii) liquidate or dissolve; (ix) sell or dispose of any assets other than equipment that is obsolete, or worn out, or no longer necessary for the conduct of Borrower's ’s business or the operation of the Vessel, however, if such equipment that is disposed of is equipment of the Vessel, such equipment shall be concurrently replaced with equipment of equal value; (x) grant any Encumbrance on any of its assets except Permitted Encumbrances; or (xi) incur or pay any management fees or commissions to any Person other than pursuant to the current express provisions of the Technical Management Agreement and the Commercial Management Agreement. (b) Borrower shall pay all of its obligations as they mature, provided, it may contest obligations in good faith if appropriate reserves therefor are established and maintained consistently with GAAP, and security therefor is posted as may be required by Lender.