Derivatives Agreements Sample Clauses
A Derivatives Agreements clause defines the terms and conditions under which parties may enter into financial contracts whose value is derived from underlying assets, such as swaps, options, or futures. This clause typically outlines the permissible types of derivative transactions, the governing documentation (such as ISDA Master Agreements), and any limitations or requirements for collateral and reporting. Its core practical function is to establish a clear framework for managing derivative exposures, mitigating counterparty risk, and ensuring both parties understand their rights and obligations in these complex financial arrangements.
Derivatives Agreements. (a) On or prior to the Closing Date, the Issuer shall enter into a Class A Derivatives Agreement with the Class A Counterparty, a Class M Derivatives Agreement with the Class M Counterparty, [a Class B Derivatives Agreement with the Class B Counterparty][,][and] [a Class C Derivatives Agreement with the Class C Counterparty] [and a Class D Derivatives Agreement with the Class D Counterparty] for the benefit of the Class A Noteholders, the Class M Noteholders, [the Class B Noteholders][,][and] [the Class C Noteholders] [and the Class D Noteholders], respectively. The aggregate notional amount under the Class A Derivatives Agreement shall, at any time, be equal to the Class A Note Principal Balance at such time. The aggregate notional amount under the Class M Derivatives Agreement shall, at any time, be equal to the Class M Note Principal Balance at such time. [The aggregate notional amount under the Class B Derivatives Agreement shall, at any time, be equal to the Class B Note Principal Balance at such time.] [The aggregate notional amount under the Class C Derivatives Agreement shall, at any time, be equal to the Class C Note Principal Balance.] [The aggregate notional amount under the Class D Derivatives Agreement shall, at any time, be equal to the Class D Note Principal Balance.] Net Derivatives Receipts payable by the Class A Counterparty, the Class M Counterparty, [the Class B Counterparty][,][or] [the Class C Counterparty] [or the Class D Counterparty] shall be deposited by the Indenture Trustee in the Collection Account on the day received and treated as Available Finance Charge Collections. On any Distribution Date when there shall be a Class A Net Derivatives Payment, such Class A Net Derivatives Payment shall be paid as provided in subsection 4.4(a)(i). On any Distribution Date when there shall be a Class M Net Derivatives Payment, such Class M Net Derivatives Payment shall be paid as provided in subsection 4.4(a)(ii). [On any Distribution Date when there shall be a Class B Net Derivatives Payment, such Class B Net Derivatives Payment shall be paid as provided in subsection 4.4(a)(iii).] [On any Distribution Date when there shall be a Class C Net Derivatives Payment, such Class C Net Derivatives Payment shall be paid as provided in subsection 4.4(a)(v).] [On any Distribution Date when there shall be a Class D Net Derivatives Payment, such Class D Net Derivatives Payment shall be paid as provided in subsection 4.4(a)(vi).] On any Distribution Date...
Derivatives Agreements. To the Promising Sellers´ Knowledge, (i) all the derivatives agreements entered into by the Company on behalf of the Funds have been executed with the local and foreign banks and within the credit limits indicated in Annex 4.2(p) to the Promising Sellers’ Disclosure Letter; and (ii) such derivatives agreements entered by the Company on behalf of the Funds fully comply with the Law. CLAUSE FIVE
Derivatives Agreements. Enter into or suffer to exist or permit any of the other Credit Parties to enter into or suffer to exist any Derivatives Agreement other than a Derivatives Agreement between the Borrower or any other Credit Parties and any other Person designed to protect the Borrower or such other Credit Party, as applicable, against fluctuations in currency exchange or interest rates, in each case, entered into by the Borrower or such other Credit Party, as applicable, in the ordinary course of, and pursuant to the reasonable requirements of its business, and not for speculative investment or on a margined basis.