Guarantors’ Subordination Sample Clauses
The Guarantors’ Subordination clause establishes that any claims or rights the guarantors may have against the borrower are ranked below the claims of the lender. In practice, this means that if the guarantors have provided funds to the borrower or are otherwise owed money, they cannot seek repayment until the lender’s obligations have been fully satisfied. This clause ensures that the lender’s interests are prioritized, preventing guarantors from competing with the lender for repayment and thereby reducing the lender’s risk in the event of borrower default.
Guarantors’ Subordination. The Guarantors hereby absolutely subordinate, both in right of payment and in time of payment, any present and future indebtedness of the Borrower or any Subsidiary of the Borrower or any Guarantor to any or all of the Guarantors to the indebtedness of the Borrower or any such Subsidiary or to the Administrative Agent, Lenders and the other Secured Parties (or any of them), provided that the Guarantors may receive scheduled payments of principal, premium (if any) and interest in respect of such present or future indebtedness so long as there is no Event of Default then in existence.
Guarantors’ Subordination. 133132 SECTION 10.07.Waivers.133132 SECTION 10.08.Enforcement.134132
Guarantors’ Subordination. Any Indebtedness of Borrower to Guarantor now or hereafter held by Guarantor is hereby subordinated to the Indebtedness of Borrower to CoBank; and such Indebtedness of Borrower to Guarantor, if CoBank so requests, shall be collected, enforced and received by Guarantor as trustee for CoBank and be paid over to CoBank on account of the Indebtedness of Borrower to CoBank but without reducing or affecting in any manner the liability of Guarantor under the other provisions of this Guarantee.
Guarantors’ Subordination. The Guarantors hereby absolutely subordinate, both in right of payment and in time of payment, any present and future indebtedness of the Borrowers or any Subsidiary of the Borrowers or any Guarantor to any or all of the Guarantors to the indebtedness of the Borrowers or any such Subsidiary to the Issuing Banks or the Banks (or any of them), provided that until receipt of notice from the Administrative Agent that an Event of Default then exists and further stating that no further payments may be received, the Guarantors may receive payments in respect of such present or future indebtedness in the ordinary course of business.
Guarantors’ Subordination. 100 SECTION 10.07. Waivers. ............................................................................................100 SECTION 10.08. Enforcement. ....................................................................................100