Defaults and Waivers. 4.1 Events of Default and Unmatured Events of Default.
Defaults and Waivers. Under Section 14(a) of the U.S. Loan Agreement, the U.S. Borrower agreed not to permit the Tangible Net Worth as of September 30, 2006, to be less than $12,300,000. The U.S. Borrower has advised the U.S. Lender that that as of September 30, 2006, the Tangible Net Worth was less than $12,300,000. Under Section 14(e) of the U.S. Loan Agreement, the U.S. Borrower agreed not to permit Cash Flow as of the last day of the fiscal quarter ending on or about September 30, 2006, for the period from July 1, 2006 to September 30, 2006, to be less than negative $1,400,000. The U.S. Borrower has advised the U.S. Lender that that as of September 30, 2006, Cash Flow, for the period from July 1, 2006 to September 30, 2006, was less than negative $1,400,000. Upon the date on which this Amendment becomes effective, the U.S. Lender hereby waives the U.S. Borrower's Defaults and Events of Default described in the preceding Sections 3(a) and 3(b) (the "Existing Defaults"). The waiver of the Existing Defaults set forth above is limited to the express terms thereof, and nothing herein shall be deemed a waiver by the U.S. Lender of any other term, condition, representation or covenant applicable to the U.S. Borrower under the U.S. Loan Agreement (including but not limited to any future occurrence similar to the Existing Defaults) or any of the other agreements, documents or instruments executed and delivered in connection therewith, or of the covenants described therein. The waivers set forth herein shall not constitute a waiver by the U.S. Lender of any other Default or Event of Default, if any, under the U.S. Loan Agreement, and shall not be, and shall not be deemed to be, a course of action with respect thereto upon which the U.S. Borrower may rely in the future, and the U.S. Borrower hereby expressly waives any claim to such effect.
Defaults and Waivers. (a) Under Section 14(a) of the U.S. Loan Agreement, the U.S. Borrower agreed not to permit the Tangible Net Worth as of May 31, 2006, to be less than $15,464,000. The U.S. Borrower has advised the U.S. Lender that that as of May 31, 2006, the Tangible Net Worth was less than $15,464,000.
Defaults and Waivers. (a) Under Section 14(a) of the U.S. Loan Agreement and under Section 11(o)(i) of the Canadian Loan Agreement, the U.S. Borrower and the Canadian Borrower, respectively, agreed to not permit its Tangible Net Worth as of September 30, 2004, to be less than $16,500,000. The Borrowers have advised the Lenders that as of September 30, 2004, the Borrowers’ respective Tangible Net Worth was less than $16,500,000.
Defaults and Waivers. The Banks review of the Borrower's nine-month interim financial statement dated December 31, 1999 disclosed the following defaults have occurred in the Agreement as follows:
Defaults and Waivers. Upon the date upon which this Amendment becomes effective, the Lender hereby waives any Unmatured Events of Default or Events of Default arising prior to March 30, 1995 under Section 6.10 (Leases) of the Credit Agreement and under any of Sections 5.1 (Capital Base), 5.2 (Leverage Ratio) or 5.4 (Cash Flow Coverage Ratio) of Supplement A to the Credit Agreement and waives any Unmatured Event of Default or Event of Default arising from the Borrower's settlement with Mark Xxxxxx. Xxe Lender further waives any Unmatured Event of Default or Event of Default relating to the failure of Mr. Michael Shevi to disclose to the Lender that at the time that he executed and delivered to the Lender the Guaranty and Pledge Agreement dated April 4, 1995, the shares of common stock subject thereto were in the name of Mark Xxxxxxx, xx trustee for Michxxx Xxxvi. The waivers set forth herein shall not constitute a waiver by the Lender of any other Unmatured Event of Default or Event of Default, if any, under the Credit Agreement, and shall not be, and shall not be deemed to be, a course of action with respect thereto upon which the Borrower may rely in the future and the Borrower hereby expressly waives any claim to such effect.
Defaults and Waivers. Upon the date on which this Amendment becomes effective, the Lender hereby waives any Unmatured Events of Default or Events of Default arising as a result of the failure of the Borrower to comply with Section 5.4 (Cash Flow Coverage Ratio) of Supplement A to the Credit Agreement as of August 31, 1995 and September 30, 1995 and waives any Unmatured Event of Default or Event of Default arising as a result of the failure of the Borrower to comply with Section 5(a) of the Second Amendment with respect to Thomxx Xxxxx xx the extent of $300,000. The waivers set forth herein shall not constitute a waiver by the Lender of any other Unmatured Event of Default or Event of Default, if any, under the Credit Agreement, and shall not be, and shall not be deemed to be, a course of action with respect thereto upon which the Borrower may rely in the future and the Borrower hereby expressly waives any claim to such effect.
Defaults and Waivers. Upon the date on which this Amendment becomes effective, the Lender hereby waives any Unmatured Events of Default or Events of Default arising as a result of the failure of the Borrower to comply with Section 5.4 (
Defaults and Waivers. In the event either party shall be in default by failing to observe or fulfill any condition or representation of this Agreement (the “Defaulting Party”), the other party (the “Non Defaulting Party”) shall have the right to serve upon such Defaulting Party a written notice specifying such default, requesting the remedying thereof within thirty (30) days from the date of said notice. If such default is not satisfactorily remedied within said period, the Non Defaulting Party may serve the Defaulting Party with a written notice of immediate termination of this Agreement, upon which all rights and licenses, except those which are irrevocable or which may have accrued hereunder at the date of such notice, shall be cancelled, and each party will execute whatever documents may be necessary to return the rights or property of the other party which may have been acquired hereunder. The Non Defaulting Party may choose to submit the issue to the dispute resolution procedures of Section 25, rather than terminating this Agreement. No waiver of any of the terms and conditions of this Agreement shall be binding or effectual for any purpose unless expressed in writing and signed by the party hereto giving the same, and any such waiver shall be effective only in the specific instance and for the purpose given. No failure or delay on the part of either party hereto in exercising any right, power or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power or privilege preclude any other or further exercise thereof or the exercise of any other right, power or privilege.
Defaults and Waivers
