Common use of Conditions to Subsequent Draws Clause in Contracts

Conditions to Subsequent Draws. With respect to each Subsequent Draw: (a) the representations and warranties set forth in this Agreement shall be true and correct in all material respects on and as of the initial Advance Date (unless any such representation and warranty is qualified as to materiality or Material Adverse Effect in which case such representation and warranty shall be true and correct in all respects), except to the extent such representations and warranties expressly relate to an earlier date, in which case they shall be true and correct in all material respects as of such earlier date; (b) Borrower shall be in compliance with all the terms and provisions set forth herein and in each other Loan Document on its part to be observed or performed, and at the time of and immediately after the Advance Date no Default or Event of Default shall have occurred and be continuing; (c) no event that has had or could reasonably be expected to have a Material Adverse Effect has occurred and is continuing; (d) invoices or bills of sale for the Inventory, Equipment or machinery being acquired with the proceeds of such Subsequent Draw (or that was already acquired and is being refinanced with the proceeds of the Subsequent Draw) shall have been delivered to Lenders; and (e) Lenders shall complete, sign and deliver to Escrow Agent a Release Notice authorizing the release of such Subsequent Draw.