Common use of Limitations on Exercise of Remedies Clause in Contracts

Limitations on Exercise of Remedies. Notwithstanding any other provision of this Note, including but not limited to the provisions of Article 6, in the event of any default on this Note or the Notes, the Holder shall not take any action to enforce this Note prior to the 180th day following written notice to the Company and to the holders of Senior Indebtedness of the existence of a default under this Note (the "Standstill Period"). The actions prohibited during the Standstill Period include, without limitation, the commencement of any dissolution, bankruptcy, insolvency or receivership proceedings against the Company, the exercise of any rights or remedies at law or in equity, with respect to this Note, or the commencement of any lawsuit to enforce any rights against the Company under or pursuant to this Note. Notwithstanding the generality of the foregoing, during the Standstill Period the Holders of the Notes may accelerate the obligations under the Notes provided that no actions prohibited by the preceding sentence are taken. Even after the expiration of the Standstill Period, the remaining provisions of this Article 1 shall continue to apply so as to continue to prohibit payment to the Holders under the provisions of Section 1.2 and Section 1.3 of this Article 1 and so as to require payment over to the holders of Senior Indebtedness if the Holders should receive payments prohibited by Section 1.2 and Section 1.3 of this Article 1.