MAXIMUM SECURED BORROWER DEBT Clause Samples
The Maximum Secured Borrower Debt clause sets a cap on the total amount of debt that a borrower can secure under a particular agreement. This limit typically applies to all outstanding principal, interest, and related obligations that are secured by the lender’s collateral, ensuring that the borrower cannot exceed a specified borrowing threshold. By establishing this maximum, the clause protects the lender from overexposure to credit risk and provides clear boundaries for both parties regarding the extent of secured borrowing permitted under the agreement.
MAXIMUM SECURED BORROWER DEBT. The Secured Borrower Debt shall not exceed thirty-five percent (35%) of Adjusted Asset Value.
MAXIMUM SECURED BORROWER DEBT. The Secured Borrower Debt shall not exceed thirty percent (30%) of Adjusted Asset Value.
MAXIMUM SECURED BORROWER DEBT. The Secured Borrower Debt shall not exceed (i) the maximum amount of Secured Borrower Debt which may exist without violation of the Unsecured Term Note Secured Debt Limitation MINUS (ii) the sum of (A) the outstanding principal of the Loans and (B) the face amount of Letters of Credit outstanding hereunder.