Effective Date Allocations Clause Samples
The 'Effective Date Allocations' clause establishes the specific date from which the rights, obligations, and responsibilities outlined in the agreement become operative. In practice, this clause clarifies whether certain provisions apply retroactively, prospectively, or from a mutually agreed-upon date, ensuring all parties are aligned on when contractual duties commence. By clearly defining the effective date, the clause prevents disputes over timing and ensures that all parties have a shared understanding of when their commitments begin.
Effective Date Allocations. On the Effective Date, (a) the Multicurrency Lenders shall be deemed to have made Multicurrency Loans in an amount equal to the aggregate outstanding principal amount as of the Effective Date of “Multicurrency Loans”, “LC Disbursements” and “Swingline Loans” (as each such term is defined in the June 2012 Credit Agreement) of such Multicurrency Lenders and the proceeds of such Multicurrency Loans shall be deemed used to prepay such amounts outstanding under the June 2012 Credit Agreement as of the Effective Date in accordance with Section 2.10(a) therein, (b) the Multicurrency Lenders shall make Syndicated Loans in an amount equal to the aggregate principal amount of “Multicurrency Loans”, “LC Disbursements” and “Swingline Loans” (as each such term is defined in the June 2012 Credit Agreement) held by any Exiting Lenders as of the Effective Date and the proceeds of such “Multicurrency Loans” (as such term is defined in the June 2012 Credit Agreement) shall be used to prepay such Exiting Lenders as of the Effective Date and (c) the Term Lenders shall be deemed to have made Term Loans in an amount equal to the aggregate outstanding principal amount as of the Effective Date of “Term Loans” (as such term is defined in the June 2012 Credit Agreement) and the proceeds of such Term Loans shall be deemed used to prepay such amounts such amounts outstanding under the June 2012 Credit Agreement as of the Effective Date in accordance with Section 2.08(b)
Effective Date Allocations. On the Effective Date, each New Lender shall, by way of assignment, purchase (for cash at face value), and the Initial Lenders agree to sell, the Syndicated Loans, LC Disbursements and Swingline Loans of the Initial Lenders outstanding under the January 2008 Credit Agreement as of the Effective Date and continued hereunder pursuant to Section 4.01, to the extent necessary so that the each Lender has a ratable portion of the Syndicated Loans, LC Disbursements and Swingline Loans in accordance with their portion of the aggregate Commitments as of the Effective Date. The Borrower hereby consents to the foregoing assignments.