Existing Revolving Loans Commitment Clause Samples

The 'Existing Revolving Loans; Commitment' clause defines the treatment of any outstanding revolving loans and the lender's ongoing commitment to provide additional credit under a revolving credit facility. Typically, this clause outlines how existing loan balances are carried forward, how new advances may be requested, and the conditions under which the lender must honor those requests, such as compliance with borrowing limits and satisfaction of certain conditions precedent. Its core function is to ensure continuity and clarity in the borrower's access to revolving credit, while also specifying the lender's obligations and any limitations on further lending.