Debenture Authorized Clause Samples
The 'Debenture Authorized' clause defines the authority granted to a company to issue debentures, which are a type of debt instrument used to raise capital. This clause typically outlines the maximum amount, terms, and conditions under which debentures may be issued, and may specify the approval process required, such as board or shareholder consent. Its core function is to ensure that the issuance of debentures is properly authorized and regulated, thereby protecting both the company and potential investors from unauthorized or excessive debt obligations.
Debenture Authorized. The execution and delivery of this Debenture and the performance of the provisions of this Debenture are not in contravention of or in conflict with any law or regulation or any term or provision of Borrower’s Articles of Incorporation or Bylaws and are duly authorized and do not require the consent or approval of any governmental agency or other authority; and this Debenture is the valid and legally enforceable obligation of Borrower in accordance with the terms of this Debenture.