Common use of Reduced Return Clause in Contracts

Reduced Return. If the Lender shall have determined that any applicable law, regulation, rule or regulatory requirement ("REQUIREMENT") regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any governmental authority, central bank or comparable agency charged with the interpretation or administration thereof, or compliance by the Lender with any request or directive regarding capital adequacy (whether or not having the force of law) of any such authority, central bank or comparable agency, has or would have the effect of reducing the rate of return on the Lender's capital as a consequence of its Commitment and obligations hereunder to a level below that which would have been achieved but for such Requirement, change or compliance (taking into consideration the Lender's policies with respect to capital adequacy) by an amount deemed by the Lender to be material (which amount shall be determined by the Lender's reasonable allocation of the aggregate of such reductions resulting from such events), then from time to time, within five (5) Business Days after demand by the Lender, the Borrower shall pay to the Lender such additional amount or amounts as will compensate the Lender for such reduction; provided, however, that the Borrower shall not be liable for the payment of any such amounts incurred more than one hundred eighty (180) days prior to the date of such demand.

Appears in 1 contract

Samples: Credit Agreement (Ditech Corp)

AutoNDA by SimpleDocs

Reduced Return. If the Lender any Bank shall have determined that any new or additional applicable law, regulation, rule or regulatory requirement (collectively in this Section 3.6, "REQUIREMENTRequirement") regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any governmental authority, central bank or comparable agency charged with the interpretation or administration thereof, or compliance by the Lender said Bank with any new or additional request or directive regarding capital adequacy (whether or not having the force of law) of any such authority, central bank or comparable agency, has or would have the effect of reducing the rate of return on the Lendersaid Bank's capital as a consequence of its Commitment and obligations hereunder to a level below that which would have been achieved but for such Requirement, change or compliance (taking into consideration the Lendersaid Bank's policies with respect to capital adequacy) by an amount deemed by the Lender said Bank to be material (which amount shall be determined by the Lendersaid Bank's reasonable allocation of the aggregate of such reductions resulting from such events), then from time to time, within five thirty (530) Business Days after written demand by the Lendersaid Bank, the Borrower shall pay to the Lender Agent on behalf of said Bank such additional amount or amounts as will compensate the Lender said Bank for such reduction; provided. Notwithstanding the foregoing, howeverno additional compensation will be required from Borrower under this Section 3.6 if the reason for said additional compensation was based solely on said Bank's failure to comply with any existing or new law, that the treaty, rule or regulation or requirement. In addition, said Bank shall promptly notify Borrower shall not be liable for the payment of any proposed request for compensation under this Section 3.6 and shall provide Borrower with reasonable support therefor. Any request by said Bank for additional compensation shall be structured to allocate such amounts incurred more than one hundred eighty (180) days prior to additional costs over the date term of such demandthe credit affected thereby.

Appears in 1 contract

Samples: Credit Agreement (Komag Inc /De/)

Reduced Return. If the Lender any Bank shall have determined that any applicable law, regulation, rule or regulatory requirement ("REQUIREMENTRequirement") regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any governmental authority, central bank or comparable agency charged with the interpretation or administration thereof, or compliance by the Lender such Bank with any request or directive regarding capital adequacy (whether or not having the force of law) of any such authority, central bank or comparable agency, in any such case, effective or announced after the date hereof, has or would have the effect of reducing the rate of return on the Lenderthat Bank's capital as a consequence of its Commitment the making and obligations hereunder holding of the Term Loan or the issuance of any letter of credit pursuant to a level below that which would have been achieved but for such Requirement, change or compliance the Letter of Credit Agreements (taking into consideration the Lenderthat Bank's policies with respect to capital adequacy) by an amount deemed by the Lender that Bank to be material (which amount shall be determined by the Lenderthat Bank's reasonable allocation of the aggregate of such reductions resulting from such events), then from time to time, within five (5) Business Days after demand by the Lendersuch Bank, the Borrower shall Borrowers jointly and severally agree to pay to the Lender that Bank such additional amount or amounts as will compensate the Lender that Bank for such reduction; provided, however, that the Borrower Borrowers shall not be liable obligated to pay any Bank for the payment of any such amounts additional amount incurred more than one hundred and eighty (180) days prior to the date of demand for payment by such demand.Bank, provided, further, however, that Borrowers shall not be obligated to pay any Bank for any additional amount otherwise payable pursuant to this Section 3.04 to the extent such amount is reflected in adjustments to the interest rates applicable to the Term Loan. Each Bank making a claim for

Appears in 1 contract

Samples: Credit Agreement (Stormedia Inc)

AutoNDA by SimpleDocs

Reduced Return. If the any Lender shall have determined that any new or additional applicable law, regulation, rule rule, or regulatory requirement (collectively in this Section "REQUIREMENTRequirement") regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any governmental authority, central bank bank, or comparable agency charged with the interpretation or of administration thereof, or compliance by the such Lender with any new or additional request or directive regarding capital adequacy (whether or not having the force of law) of any such authority, central bank bank, or comparable agency, has or would have the effect of reducing the rate of return on the such Lender's capital as a consequence of its the Commitment and obligations hereunder to a level below that which would have been achieved but for such Requirement, change change, or compliance (taking into consideration the such Lender's policies with respect to capital adequacy) by an amount deemed by the such Lender to be material (which amount shall be determined by the such Lender's reasonable allocation of the aggregate of such reductions resulting from such events), then from time to time, within five (5) 30 Business Days after written demand by the such Lender, the Borrower shall pay to the such Lender such additional amount or amounts as will compensate the such Lender for such reduction; provided. Notwithstanding the foregoing, howeverno additional compensation will be required from Borrower under this Section if the reason for additional compensation was based solely on such Lender's failure to comply with any existing or new law, that the treaty, rule, or regulation or requirement. In addition, a Lender shall promptly notify Borrower shall not be liable for the payment of any such amounts incurred more than one hundred eighty (180) days prior to the date of such demand.any

Appears in 1 contract

Samples: Credit Agreement (Komag Inc /De/)

Time is Money Join Law Insider Premium to draft better contracts faster.