Common use of Default on Other Obligations Clause in Contracts

Default on Other Obligations. Any default in the payment of principal, interest or any other sum for any other material obligation of the Borrower with respect to borrowed money in excess of $3,000,000 (as reasonably determined by the Bank) beyond any period of grace provided with respect thereto or in the performance of any other term, condition or covenant contained in any agreement (including, but not limited to any capital or operating lease or any agreement in connection with the deferred purchase price of property) under which any such material obligation is created, the effect of which default is to cause the holder of such obligation (or the other party to such other agreement) to cause such obligation to become due prior to its stated maturity.