Common use of Discontinuation of Participation Generally Clause in Contracts

Discontinuation of Participation Generally. (a) General Partner may discontinue any Limited Partner’s participation in a Portfolio Investment if the Limited Partner represents to General Partner in writing, or the General Partner determines, that there is a reasonable likelihood that the continuation of such Limited Partner’s participation therein will have a Material Adverse Effect. General Partner may thereafter take reasonable steps to discontinue such Limited Partner’s participation in such Portfolio Investment, including causing a portion of such Portfolio Investment equal to such Limited Partner’s Distribution Percentage thereof promptly to be sold. General Partner shall make the appropriate adjustments to the Distribution Percentages and capital accounts to reflect any actions taken.

Appears in 2 contracts

Samples: Cornerstone Agreement, Cornerstone Agreement

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Discontinuation of Participation Generally. (a) General Partner may discontinue any Limited Partner’s participation in a Portfolio Investment if the Limited Partner represents to General Partner in writing, or the General Partner determines, that there is a reasonable likelihood that the continuation of such Limited Partner’s participation therein will have a Material Adverse Effect. General Partner may thereafter take reasonable steps to discontinue such Limited Partner’s participation in such Portfolio Investment, including causing a portion of such Portfolio Investment equal to such Limited Partner’s Distribution Percentage thereof promptly to be sold. General Partner shall make the appropriate adjustments to the Distribution Percentages and capital accounts to reflect any actions taken.

Appears in 2 contracts

Samples: Cornerstone Agreement, Cornerstone Agreement

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