Common use of LIMITATIONS ON CASH INTEREST Clause in Contracts

LIMITATIONS ON CASH INTEREST. Notwithstanding anything to the contrary set forth in this Agreement, to the extent that the rate of interest applicable to an Advance on any interest payment date for such Advance exceeds the sum of 14 per cent. per annum and the increase, if any, in the rate of interest pursuant to Clause 4.4 (Default Interest) such excess interest shall be paid by adding such excess interest to the principal amount of such Advance unless the Borrower shall have given the Agent notice at least three Business Days prior to such interest payment date that it shall pay such excess amount in cash.