(Negative Covenants – Project Documents Clause Samples
The Negative Covenants – Project Documents clause restricts a party, typically the borrower or project company, from amending, waiving, or terminating key project documents without the prior consent of the lender or other specified parties. In practice, this means that any changes to contracts such as construction agreements, supply contracts, or offtake agreements must be approved to ensure they do not adversely affect the interests of the lender. This clause serves to protect the lender by maintaining the integrity and reliability of the project’s contractual framework, thereby reducing the risk of unexpected changes that could impact the project’s viability or the lender’s security.
(Negative Covenants – Project Documents evidence (which shall include the waiver of Liens required under 6.02(a)
(Negative Covenants – Project Documents. The Borrower shall exercise all material rights, discretion and remedies under each Major Project Document in accordance with its terms and in a manner consistent with (and subject to) the Borrower’s obligations under the Financing Documents, including without limitation causing the Parent to repair, replace, purchase or repurchase the Systems in accordance with the LTSA. The Borrower shall exercise all rights, discretion and remedies under each Project Document that is not a Major Project Document, in accordance with its terms except as could not reasonably be expected to have a Material Adverse Effect and in a manner consistent with (and subject to) the Borrower’s obligations under the Financing Documents.
(Negative Covenants – Project Documents evidence (which shall include the waiver of Liens required under Section 6.03(a)(iv) and a detailed receipt for payment itemized by Line Item in the Construction Budget for such Plant) reasonably satisfactory to the Independent Engineer that the full amount of the proceeds of the then last preceding Borrowing for such Plant has been paid out by the Borrowers or the Design Builder to the Persons with respect to whom such Borrowing proceeds were disbursed and otherwise in accordance with this Agreement; provided that if there has been no such then last preceding Borrowing for such Plant, such evidence shall confirm receipt of all payments due and payable by the Borrowers to the Design Builder, all subcontractors and all other Persons since the date hereof; and