Lender Declined Prepayments Clause Samples
The Lender Declined Prepayments clause establishes the lender's right to refuse early repayment of a loan by the borrower. In practice, this means that if a borrower wishes to pay off part or all of their loan before the scheduled due dates, the lender can choose not to accept such prepayments. For example, a lender may decline prepayments to maintain expected interest income or to manage their own cash flow. This clause primarily serves to protect the lender's financial interests and ensures predictability in the loan's repayment schedule.
Lender Declined Prepayments. Notwithstanding any other provision of this Section 2.13(c), each Lender holding Term Loans shall have the right to reject its pro rata portion of any mandatory prepayment pursuant to clauses (iv), (v) or (vi) above, in which case, such amounts (“Declined Amounts”) may be retained by the applicable Credit Party.
Lender Declined Prepayments. Notwithstanding any other provision of this Section 2.13(c), each Lender holding Term Loans shall have the right to reject its pro rata portion of any mandatory prepayment pursuant to clauses (iv), (v) or (vi) above, in which case, such amounts may be retained by the Borrower.
Lender Declined Prepayments. Notwithstanding any other provision of this Section 2.15(c), each Lender holding Term Loans shall have the right to reject all (but not less than all) of its pro rata portion of any mandatory prepayment pursuant to clauses (iv), (v) or (vii) above (other than a prepayment under clause (vi) with the proceeds of an incurrence of Credit Agreement Refinancing Indebtedness) (“Declined Amounts”) by providing written notice (each, a “Rejection Notice”) to the Administrative Agent no later than 1:00 pm one (1) Business Day prior to the date of the proposed prepayment (the “Declined Amount Deadline”). If any such Lender fails to deliver a Rejection Notice to the Administrative Agent prior to the Declined Amount Deadline, any such failure will be deemed an acceptance of the total amount of such mandatory prepayment of Term Loans.