Judgment Currency Provisions Clause Samples
A Judgment Currency Provision specifies the currency in which any court-awarded judgment or settlement must be paid under a contract. Typically, this clause ensures that if a dispute arises and a judgment is rendered in a currency different from the contract's original currency, the party owing money must compensate for any exchange rate differences that may occur between the judgment date and the actual payment date. This provision is crucial for protecting the recipient from losses due to currency fluctuations, thereby ensuring that the intended value of the contract is preserved regardless of the currency in which a court issues its judgment.
Judgment Currency Provisions. (a) Each Guarantor hereby agrees that payments hereunder on account of the Guaranteed Obligations shall be made in the currency in which each such Guaranteed Obligation is payable and if any payment is received in another currency, such payment shall constitute a discharge of the liability of the Guarantor only to the extent of the amount of the currency set forth herein which the Trustees may in accordance with normal procedures purchase with the amount of the other currency received by it on the next Business Day following such receipt and after deducting any costs of exchange.
(b) If, for the purposes of obtaining or enforcing judgment in any court in any jurisdiction, it becomes necessary to convert into the currency of the jurisdiction giving such judgment an amount due hereunder in any other currency, then the date on which the rate of exchange for conversion is selected by that court is referred to in this Section 8.13(b) as the “Conversion Date”. If there is a change in the rate of exchange between the currency set forth in the judgment and the currency due hereunder between the Conversion Date and the actual receipt by the Trustees of the amount due hereunder or under such judgment, any Guarantor shall, notwithstanding such judgment, pay all such additional amounts to the Trustees as may be necessary to ensure that the amount received by the Trustees in the currency set forth in the judgment, when converted at the rate of exchange prevailing on the date of receipt, will produce the amount due in the currency set forth herein. The Guarantors’ liability under this Section 8.13(b) constitutes a separate and independent liability which shall not merge with any judgment or any partial payment or enforcement of payment of sums due under the Note Guarantees.
Judgment Currency Provisions. If, for the purposes of obtaining or enforcing judgment in any court in any jurisdiction, it becomes necessary to convert into the currency of the country in which such court is located (the “Judgment Currency”) an amount due hereunder in any other currency (the “Original Currency”), then the date on which the rate of exchange for conversion is selected by that court is referred to herein as the “Conversion Date”. If there is a change in the rate of exchange between the Judgment Currency and the Original Currency between the Conversion Date and the actual receipt by the Administrative Agent of the amount due hereunder or under such judgment, the Borrower shall, notwithstanding such judgment, pay all such additional amounts to the Administrative Agent for the account of the Lenders as may be necessary to ensure that the amount received by the Administrative Agent in the Judgment Currency, when converted at the rate of exchange prevailing on the date of receipt, will produce the amount due in the Original Currency. The Borrower’s liability under this Section 9.15 constitutes a separate and independent liability which shall not merge with any judgment or any partial payment or enforcement of payment of sums due under this Agreement. If the Administrative Agent receives or recovers any amount payable in a currency (the “Recovered Amount”) which is different than the currency in which the obligations hereunder or in connection herewith are expressed (the “Contract Currency”), the Administrative Agent may, promptly following receipt, convert the Recovered Amount to the Contract Currency at the rate of exchange which the Administrative Agent is able, acting in a reasonable manner and in good faith, to purchase the relevant amount of the Contract Currency. The amount of the Contract Currency resulting from any such conversion shall then be applied in accordance with the provisions of this Agreement.
Judgment Currency Provisions. If for the purposes of obtaining judgment in any court it is necessary to convert a sum due hereunder or under any Note in any currency (the "Original Currency") into another currency (the "Other Currency"), the parties hereto agree, to the fullest extent permitted by law, that the rate of exchange used shall be that at which in accordance with normal banking procedures BofA could purchase the Original Currency with the Other Currency on the Business Day preceding that on which final judgment is given. To the fullest extent permitted by applicable law, the Obligations of the Borrowers in respect to any sum due in the Original Currency to any Bank hereunder shall, notwithstanding any judgment in an Other Currency, be discharged only to the extent that on the Business Day following receipt by such Bank of any sum adjudged to be so due in the Other Currency such Bank may in accordance with normal banking procedures purchase the Original Currency with the Other Currency; if the amount of the Original Currency so purchased is less than the sum originally due to the Bank in the Original Currency, the Borrowers severally agree, as a separate Obligation and notwithstanding any such judgment, to indemnify such Bank against such loss, and if the amount of the Original Currency so purchased exceeds the sum originally due such Bank in the Original Currency, such Bank agrees to remit to the Borrower such excess.