Common use of LC Escrowed Funds Clause in Contracts

LC Escrowed Funds. Upon the occurrence and continuance of an Event of Default, or if a Mandatory Repayment to be made would require the repayment of outstanding Letters of Credit prior to their maturity, the Borrower will forthwith, upon request from the Issuing Lender or the Agent, pay to the Agent for deposit into an escrow account maintained by and in the name of the Agent, (i) in the case of the occurrence and the continuance of an Event of Default, the amount equal to the Issuing Lender’s maximum potential exposure under the then outstanding Letters of Credit or (ii) in the case of a Mandatory Repayment requiring the repayment of outstanding Letters of Credit prior to their maturity, the amount equal to the proportion of such Mandatory Repayment that would require Letters of Credit to be repaid prior to their maturity (in each case, the “LC Escrowed Funds”). The LC Escrowed Funds will be held by the Agent for compensation or set-off against future Indebtedness owing by the Borrower to the Issuing Lender in respect of such Letters of Credit and pending such application will bear interest at the rate declared by the Agent from time to time as that payable by it in respect of deposits for such amount and for the period from the date of deposit to the maturity date of the Letters of Credit. If such Event of Default is either waived or cured in compliance with the terms of this Agreement, then the remaining LC Escrowed Funds, if any, together with any accrued interest to the date of release, will be released to the Borrower. The deposit of the LC Escrowed Funds by the Borrower with the Agent as herein provided will not operate as a repayment on account of the Loan Obligations until such time as the LC Escrowed Funds are actually paid to the Issuing Lender as a repayment of principal hereunder. The Borrower shall sign and remit as Security with regard thereto all appropriate documents that the Agent or the Issuing Lender might judge necessary or desirable.

LC Escrowed Funds. Upon the occurrence and continuance of an Event of Default, or if a Mandatory Repayment to be made would require the repayment of outstanding Letters of Credit prior to their maturity, the Borrower will forthwith, upon request from the Issuing Lender under either the Revolving Facility or the Unsecured Facility or the Agent, pay to the Agent for deposit into an escrow account maintained by and in the name of the Agent, (i) in the case of the occurrence and the continuance of an Event of Default, the amount equal to the Issuing Lender’s maximum potential exposure under the then outstanding Letters of Credit or (ii) in the case of a Mandatory Repayment requiring the repayment of outstanding Letters of Credit prior to their maturity, the amount equal to the proportion of such Mandatory Repayment that would require Letters of Credit to be repaid prior to their maturity (in each case, the “LC Escrowed Funds”). The LC Escrowed Funds will be held by the Agent for compensation or set-off against future Indebtedness owing by the Borrower to the Issuing Lender in respect of such Letters of Credit and pending such application will bear interest at the rate declared by the Agent from time to time as that payable by it in respect of deposits for such amount and for the period from the date of deposit to the maturity date of the Letters of Credit. If such Event of Default is either waived or cured in compliance with the terms of this Agreement, then the remaining LC Escrowed Funds, if any, together with any accrued interest to the date of release, will be released to the Borrower. The deposit of the LC Escrowed Funds by the Borrower with the Agent as herein provided will not operate as a repayment on account of the Loan Obligations until such time as the LC Escrowed Funds are actually paid to the Issuing Lender as a repayment of principal hereunder. The Borrower shall sign and remit as Security with regard thereto all appropriate documents that the Agent or the Issuing Lender might judge necessary or desirable.

LC Escrowed Funds. Upon the occurrence and continuance of an Event of Default, or if a Mandatory Repayment to be made would require the repayment of outstanding Letters of Credit prior to their maturity, the Borrower will forthwith, upon request from the Issuing Lender or the Agent, pay to the Agent for deposit into an escrow account maintained by and in the name of the Agent, (i) in the case of the occurrence and the continuance of an Event of Default, the amount equal to the Issuing Lender’s maximum potential exposure under the then outstanding Letters of Credit or (ii) in the case of a Mandatory Repayment requiring the repayment of outstanding Letters of Credit prior to their maturity, the amount equal to the proportion of such Mandatory Repayment that would require Letters of Credit to be repaid prior to their maturity (in each case, the “LC Escrowed Funds”). The LC Escrowed Funds will be held by the Agent for compensation or set-off against future Indebtedness owing by the Borrower to the Issuing Lender in respect of such Letters of Credit and pending such application will bear interest at the rate declared by the Agent from time to time as that payable by it in respect of deposits for such amount and for the period from the date of deposit to the maturity date of the Letters of Credit. If such Event of Default is either waived or cured in compliance with the terms of this Agreement, then the remaining LC Escrowed Funds, if any, together with any accrued interest to the date of release, will be released to the Borrower. The deposit of the LC Escrowed Funds by the Borrower with the Agent as herein provided will not operate as a repayment on account of the Loan Obligations until such time as the LC Escrowed Funds are actually paid to the Issuing Lender as a repayment of principal hereunder. The Borrower shall sign and remit as Security with regard thereto all appropriate documents that the Agent or the Issuing Lender might judge necessary or desirable.