Common use of Mandatory Prepayment of Term Loan Clause in Contracts

Mandatory Prepayment of Term Loan. Upon the sale, disposition or Total Loss of any Vessel or any other asset (having a fair market value equal or exceeding One Hundred Thousand Dollars ($100,000) directly or indirectly owned by the Borrower, the Borrower shall prepay the Term Loan, in part and without penalty, in amount equal to the proceeds of the sale, disposition or insurance net of taxes payable as a result of any such sale or disposition.

Mandatory Prepayment of Term Loan. Upon the sale, disposition or Total Loss of any Vessel or any other asset (having a fair market value equal or exceeding One Hundred Thousand Dollars ($100,000) directly or indirectly owned by the Borrower, the Borrower shall prepay the Term Loan, in part and without penalty, in an amount equal to the proceeds of the sale, disposition or insurance net of taxes payable as a result of any such sale or disposition.