Post-Petition Financing Sample Clauses

The Post-Petition Financing clause authorizes a debtor in bankruptcy to obtain new financing after filing for bankruptcy protection. This clause typically outlines the terms under which lenders may provide funds, the priority such loans will have over existing debts, and any required court approvals. By establishing a framework for obtaining necessary operating capital during bankruptcy proceedings, it ensures the debtor can continue business operations and preserves the value of the estate for creditors.
Post-Petition Financing. (a) If any Obligor or Obligors shall become subject to a case under the Bankruptcy Code and such Obligor or Obligors as debtor(s)-in-possession (or a trustee appointed on behalf of such Obligor or Obligors) shall move for approval of DIP Financing to be provided by one or more of the Term Loan Lenders or one of their affiliates with the consent of the Term Loan Agent, each Revolving Loan Creditor agrees that no Revolving Loan Creditor shall contest or oppose in any manner such DIP Financing (except to the extent expressly permitted pursuant to this Section 8.2(c)) or such use of cash collateral and shall be deemed to have waived any objections to such financing or such use of cash collateral as long as (i) to the extent such DIP Financing is secured by Liens on the Revolving Loan Priority Collateral, unless the Revolving Loan Agent provides prior written consent to the contrary, such DIP Financing is secured by Liens that are subordinate to the Liens of the Revolving Loan Agent on the Revolving Loan Priority Collateral in a manner consistent with the terms and provisions of this Agreement, (ii) the Revolving Loan Creditors retain a Lien on the Revolving Loan Collateral (including proceeds thereof arising after the commencement of such Insolvency Proceeding) with the same relative priority as provided for under this Agreement, (iii) the Revolving Loan Creditors are permitted to seek (without objection from the Term Loan Creditors) additional or replacement Liens on post-petition assets consisting of Revolving Loan Collateral, with the same relative priority as provided for under this Agreement and adequate protection in the form of cash payments of interest, fees and expenses (provided that the inability of the Revolving Loan Creditors to receive such a Lien or adequate protection shall not affect the agreements and waivers set forth in this Section 8.2(a)), (iv) the aggregate principal amount of such DIP Financing (including letters of credit issued or arranged under such facility), assuming the full funding of loans and commitments for such DIP Financing, together with the then-outstanding principal amount of the Term Loan Obligations does not exceed the Maximum Principal Amount of Term Loan Debt, unless the Revolving Loan Agent provides prior written consent to the contrary, and (v) such DIP Financing or use of such cash collateral is subject to the terms of this Agreement. Each Revolving Loan Creditor hereby agrees it shall not, directly or through an a...
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Post-Petition Financing. Any Post-Petition Financing constituting Senior Lien Obligations and (A) all or a portion of the proceeds of such Post-Petition Financing constitute a Refinancing of the entire amount of the Senior Lien Obligations, Liens securing such Post-Petition Financing shall be Senior Liens and, therefore, the Junior Liens on any Collateral shall be junior and subordinate to such Liens to the same extent such Junior Liens are junior and subordinate to any other Senior Lien and (B) with respect to each such Post-Petition Financing which does not constitute a Refinancing of all Senior Lien Obligations outstanding immediately prior to the commencement of Insolvency Proceedings, to the extent the Liens securing such Senior Lien Obligations are subordinated to (or pari passu with) the Liens securing such Post-Petition Financing, the Junior Liens on any Collateral shall be junior and subordinate to such Liens securing such Post-Petition Financing and such Senior Lien Obligations. Each Junior Secured Party shall further subordinate each Junior Lien to any Senior Liens securing such Post-Petition Financing as necessary to effect the priority described in clauses (A) or (B) above;
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Post-Petition Financing. DIP Lender YYYYY, LLC (the “DIP Lender”) DIP Financing Terms DIP Lender will provide up to $1,200,000 of super priority secured debtor-in-possession financing (the “DIP Loan”), subject to the Approved Budget (as defined in the attached proposed DIP Order), including up to $500,000 on an interim basis, to fund the Debtor’s ordinary course working capital needs and all chapter 11 administrative expenses of the Chapter 11 Case, including all estate professionals, and all reasonable professional fees of Plan Sponsor and DIP Lender (not to exceed $250,000), through the Effective Date, upon substantially the terms and conditions set forth in the proposed DIP Order, attached as Exhibit 1 to the Restructuring Support Agreement.
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Post-Petition Financing. (i) Need for Post-Petition Financing The Debtors’ need to obtain credit on an interim basis pursuant to the DIP Agreement is immediate and critical in order to enable the Debtors to continue operations, pay employees and preserve the value of their estates. The Debtors do not have sufficient available sources of working capital and financing to operate their businesses in the ordinary course without the DIP Financing. (ii) No Credit Available on More Favorable Terms Given their current financial condition and capital structure, the Debtors are unable to obtain financing from sources other than the Lender on terms more favorable than the DIP Financing and are unable to obtain unsecured credit allowable under Bankruptcy Code Section 503(b)(1) as an administrative expense. The Debtors also have been unable to obtain credit pursuant to Sections 364(c)(1), 364(c)(2) and 364(c)(3) for the purposes set forth without the Debtors granting the DIP Liens and Superpriority Claims under the terms and conditions of the DIP Agreement and as set forth in this Interim Order. (iii) Fair and Reasonable The terms and conditions of the DIP Financing are fair and reasonable, and the best available to the Debtors under the circumstances, reflect the exercise of prudent business judgment of the Debtors consistent with the discharge of their fiduciary duties, and are supported by reasonably equivalent value and fair consideration.
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Post-Petition Financing. In the event of a Bankruptcy Event, neither the Term Lenders nor the Revolving Lenders (or any of them) shall seek to obtain senior Liens and priorities in connection with any post-petition financing of the Credit Parties without the consent of the Required Revolving Lenders or the Required Term Lenders, respectively; provided, however, that the Revolving Lenders may, without the consent of the Term Lenders, provide emergency interim debtor-in-possession financing to the extent necessary to pay payroll and similar expenses necessary to maintain operations during the initial weeks of any bankruptcy filing; provided that the amount of such financing shall be no greater than the lesser of (a) the amount which would otherwise be available under the Revolving Borrowing Base or by a Discretionary Overadvance had the Borrower not filed for bankruptcy protection, and (b) $4,000,000.
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Post-Petition Financing. Any Post-Petition Financing constituting First Lien Obligations, regardless of whether any amounts, obligations, covenants or duties thereunder are senior to the Second Lien Obligations or the Third Lien Obligations or secured by First Liens, and, with respect to each such Post-Petition Financing, (A) each Lien securing such Post-Petition Financing shall be a First Lien and, therefore, the Second Liens and the Third Liens on any Collateral shall be junior and subordinate to such Lien to the same extent such Second Liens and Third Liens are junior and subordinate to any other First Lien and (B) each of the Second Lien Creditor and the Third Lien Creditor shall further subordinate each Second Lien or Third Lien, as applicable, to any First Liens securing such Post-Petition Financing as necessary or appropriate to effect the priority described in clause (A) above;
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Post-Petition Financing. Until the irrevocable and indefeasible payment in full in cash of all Obligations, if an Insolvency Proceeding has commenced, the Subordinated Lender will not, directly or indirectly, contest, protest, or object to, and will be deemed to have consented to, and hereby consents in advance to, (1) any use, sale, or lease of “cash collateral” (as defined in section 363(a) of the Bankruptcy Code), and (2) the Borrower or any other Credit Party obtaining DIP Financing (as defined below) if the Secured Parties consent to such use, sale, or lease, or DIP Financing. The Subordinated Lender may not, directly or indirectly, provide or propose, or support any other Person in providing or proposing, DIP Financing to any other Credit Party (other than any DIP Financing supported by the Secured Parties).
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Post-Petition Financing. Any Post-Petition Financing constituting First Lien Obligations, regardless of whether any amounts, obligations, covenants or duties thereunder are senior to the Second Lien Obligations or secured by First Liens, and, with respect to each such Post-Petition Financing, (A) each Lien securing such Post-Petition Financing shall be a First Lien and, therefore, the Second Liens on any Collateral shall be junior and subordinate to such Lien to the same extent such Second Liens are junior and subordinate to any other First Lien and (B) the Second Lien Creditor shall further subordinate each Second Lien to any First Liens securing such Post-Petition Financing as necessary or appropriate to effect the priority described in clause (A) above;
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Related to Post-Petition Financing

  • Post-Petition Interest (a) The First Lien Collateral Agent, for itself and on behalf of the other First Lien Secured Parties, agrees that no First Lien Secured Party shall oppose or seek to challenge any claim by (i) the Second Lien Collateral Agent or any other Second Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of Second Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the Second Priority Liens (it being understood and agreed that such value shall be determined taking into account the First Priority Liens, but without regard to the existence of the Third Priority Liens, on the Collateral) or (ii) the Third Lien Collateral Agent or any other Third Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of Third Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the Third Priority Liens (it being understood and agreed that such value shall be determined by taking into account the First Priority Liens and Second Priority Liens on the Collateral) unless such claim is for cash payments of interest during the pendency of any Insolvency or Liquidation Proceeding. (b) The Second Lien Collateral Agent, for itself and on behalf of the other Second Lien Secured Parties, agrees that no Second Lien Secured Party shall oppose or seek to challenge any claim by (i) the First Lien Collateral Agent or any other First Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of First Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the First Priority Liens (it being understood and agreed that such value shall be determined without regard to the existence of the Second Priority Liens or Third Priority Liens on the Collateral) or (ii) the Third Lien Collateral Agent or any other Third Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of Third Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the Third Priority Liens (it being understood and agreed that such value shall be determined by taking into account the First Priority Liens and Second Priority Liens on the Collateral) unless such claim is for cash payments of interest during the pendency of any Insolvency or Liquidation Proceeding. (c) The Third Lien Collateral Agent, for itself and on behalf of the other Third Lien Secured Parties, agrees that no Third Lien Secured Party shall oppose or seek to challenge any claim by (i) the First Lien Collateral Agent or any other First Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of First Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the First Priority Liens (it being understood and agreed that such value shall be determined without regard to the existence of the Second Priority Liens or Third Priority Liens on the Collateral) or (ii) the Second Lien Collateral Agent or any other Second Lien Secured Party for allowance in any Insolvency or Liquidation Proceeding of Second Lien Obligations consisting of post-petition interest, fees or expenses to the extent of the value of the Second Priority Liens (it being understood and agreed that such value shall be determined taking into account the First Priority Liens, but without regard to the existence of the Third Priority Liens, on the Collateral)

  • Bankruptcy Petition Borrower, the Servicer, the Agents and each Committed Lender hereby covenants and agrees that, prior to the date that is one year and one day after the payment in full of all outstanding senior indebtedness of any Conduit, it will not institute against, or join any other Person in instituting against, such Conduit any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceeding under the laws of the United States or any state of the United States.