Common use of Risk-Based Capital Clause in Contracts

Risk-Based Capital. In the event that the Lender determines that with respect to any LIBOR Loans hereunder (a) compliance with any judicial, administrative, or other governmental interpretation of any law or regulation or (b) compliance by the Lender or any corporation that Controls Lender with any guideline or request from any central bank or other governmental authority (whether or not having the force of law) has the effect of requiring an increase in the amount of capital required or expected to be maintained by the Lender or any corporation that Controls the Lender, and the Lender determines that such increase is based upon its obligations hereunder, and other similar obligations, the Borrower shall pay to the Lender, such additional amount as shall be certified by the Lender to be the amount allocable to the Lender’s obligations to the Borrower hereunder. The Lender will notify the Borrower of any event occurring after the date of this Agreement that will entitle the Lender to compensation pursuant to this Section 6.7 as promptly as practicable after it obtains knowledge thereof and determines to request such compensation, but in no event will the Borrower be liable for any compensation hereunder based on any event which occurred more than six (6) months before the date of such notice. Determinations by the Lender for purposes of this Section 6.7 of the effect of any increase in the amount of capital required to be maintained by the Lender and of the amount allocable to the Lender’s obligations to the Borrower hereunder shall be determined by the Lender acting reasonably and in good faith using averaging and attribution methods that are reasonable, provided, however, absent manifest error, the Lender’s computation shall be final, conclusive, and binding.

Appears in 1 contract

Samples: Credit Facility Agreement (Iec Electronics Corp)

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Risk-Based Capital. In the event that any of the Lender Lenders determines that with respect to any LIBOR Loans hereunder (a) compliance with any judicial, administrative, or other governmental interpretation of any law or regulation or (b) compliance by the such Lender or any corporation that Controls such Lender with any guideline or request from any central bank or other governmental authority (whether or not having the force of law) has the effect of requiring an increase in the amount of capital required or expected to be maintained by the such Lender or any corporation that Controls the such Lender, and the such Lender determines that such increase is based upon its obligations hereunder, and other similar obligations, the Borrower shall pay to the such Lender, such additional amount as shall be certified by the such Lender to be the amount allocable to the such Lender’s 's obligations to the Borrower hereunder. The Such Lender will notify the Borrower of any event occurring after the date of this Agreement that will entitle the such Lender to compensation pursuant to this Section 6.7 1.18 as promptly as practicable after it obtains knowledge thereof and determines to request such compensation, but in no event will the Borrower be liable for any compensation hereunder based on any event which occurred more than six (6) months before the date of such notice. Determinations by the Lender Lenders for purposes of this Section 6.7 1.18 of the effect of any increase in the amount of capital required to be maintained by the any Lender and of the amount allocable to the such Lender’s 's obligations to the Borrower hereunder shall be determined by the Lender acting reasonably and in good faith using averaging and attribution methods that are reasonable, provided, however, absent manifest error, the Lender’s computation shall be final, conclusive, and bindingprovided that such determinations are made on a reasonable basis.

Appears in 1 contract

Samples: Credit Facility Agreement (Phoenix Footwear Group Inc)

Risk-Based Capital. In the event that the Lender any Bank determines that with respect to any LIBOR Loans hereunder (a) compliance with any law or regulation or any judicial, administrative, or other governmental interpretation of any law or regulation or (b) compliance by the Lender such Bank or any corporation that Controls Lender controlling such Bank with any guideline or request from any central bank or other governmental authority Governmental Body (whether or not having the force of law) has the effect of requiring an increase in the amount of capital required or expected to be maintained by the Lender such Bank or any corporation that Controls the Lendercontrolling such Bank, and the Lender such Bank determines that such increase is based in part or in whole upon its Line of Credit Loans or its obligations hereunder, and or other similar obligations, the Borrower shall pay to the LenderAdministrative Agent, for the account of the applicable Bank, such additional amount as shall be certified by the Lender Bank to be the amount allocable to the Lender’s such Bank's obligations to the Borrower hereunderhereunder which is reasonably necessary in the determination of the Bank to compensate such Bank or any corporation controlling such Bank for any reduction in the rate of return on its capital, taking into account such Bank's or corporation's policies with regard to capital adequacy. The Lender Such Bank will notify the Borrower (with a copy to the Administrative Agent and each other Bank) of any event occurring after the date of this Agreement that will entitle the Lender such Bank to compensation pursuant to this Section 6.7 2.16 as promptly as practicable after it obtains knowledge thereof and determines to request such compensation, but in no event will the Borrower be liable for any compensation hereunder based on any event which occurred more than six (6) months before the date of such notice. Determinations by the Lender any Bank for purposes of this Section 6.7 2.16 of the effect of any increase in the amount of capital required to be maintained by the Lender such Bank and of the amount allocable to the Lender’s such Bank's obligations to the Borrower hereunder shall be determined conclusive in the absence of demonstrable error, provided that such determinations by such Bank are reasonable and provided further that written notice of such determinations shall have been given to the Borrower by such Bank setting forth inreasonable detail the reasons or basis for such determinations and the additional amounts required to be paid. The payment of the additional amounts required hereunder shall be made by the Lender acting reasonably and in good faith using averaging and attribution methods that are reasonable, provided, however, absent manifest error, Borrower within 30 days after the Lender’s computation shall be final, conclusive, and binding.date any Bank gives the required notice to the Borrower. Section 2.17

Appears in 1 contract

Samples: Loan Agreement (Ag Services of America Inc)

Risk-Based Capital. In the event that the Lender determines that with respect to any LIBOR Loans hereunder (a) compliance with any judicial, administrative, or other governmental interpretation of any law or regulation or (b) compliance by the Lender or any corporation that Controls Lender with any guideline or request from any central bank or other governmental authority (whether or not having the force of law) has the effect of requiring an increase in the amount of capital required or expected to be maintained by the Lender or any corporation that Controls the Lender, and the Lender determines that such increase is based upon its obligations hereunder, and other similar obligations, the Borrower shall pay to the Lender, such additional amount as shall be certified by the Lender to be the amount allocable to the Lender’s obligations to the Borrower hereunder. The Lender will notify the Borrower of any event occurring after the date of this Agreement that will entitle the Lender to compensation pursuant to this Section 6.7 8.6 as promptly as practicable after it obtains knowledge thereof and determines to request such compensation, but in no event will the Borrower be liable for any compensation hereunder based on any event which occurred more than six (6) months before the date of such notice. Determinations by the Lender for purposes of this Section 6.7 8.6 of the effect of any increase in the amount of capital required to be maintained by the Lender and of the amount allocable to the Lender’s obligations to the Borrower hereunder shall be determined by the Lender acting reasonably and in good faith using averaging and attribution methods that are reasonable, provided, however, absent manifest error, the Lender’s computation shall be final, conclusive, and binding.

Appears in 1 contract

Samples: Credit Facility Agreement (Iec Electronics Corp)

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Risk-Based Capital. In If any Lender or the event Designated Letter of Credit Issuer shall have determined that after the Lender determines that with respect to Effective Date, the adoption of any LIBOR Loans hereunder (a) compliance with any judicialapplicable law, administrativerule or regulation regarding capital adequacy, or other governmental interpretation of any law or regulation or (b) compliance by the Lender change therein, or any corporation that Controls Lender with change in the interpretation or administration thereof by 107 114 any guideline or request from any governmental authority, central bank or other governmental authority comparable agency charged by law with the interpretation or administration thereof, or compliance by such Lender or the Designated Letter of Credit Issuer or the parent corporation of any thereof 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 each case made subsequent to the Effective Date, has or would have the effect of requiring reducing by an increase in amount reasonably deemed by such Lender or the amount Designated Letter of capital required or expected Credit Issuer to be maintained by material to the rate of return on the capital or assets of such Lender or the Designated Letter of Credit Issuer or the parent corporation of any thereof as a consequence of the commitments or obligations of such Lender or the Designated Letter of Credit Issuer hereunder to a level below that which such Lender or the Designated Letter of Credit Issuer or the parent corporation that Controls of any thereof could have achieved but for such adoption, effectiveness, change or compliance (taking into consideration policies of such Lender or the LenderDesignated Letter of Credit Issuer or the parent corporation of any thereof with respect to capital adequacy), and then from time to time, within 15 days after demand by such Lender or the Lender determines that such increase is based upon its obligations hereunder, and other similar obligationsDesignated Letter of Credit Issuer (with a copy to the Administrative Agent), the Borrower shall pay to the Lender, such Lender such additional amount or amounts as shall be certified by will compensate such Lender or the Lender to be Designated Letter of Credit Issuer or the amount allocable to the Lender’s obligations to the Borrower hereunder. The Lender will notify the Borrower parent corporation of any event occurring after thereof for such reduction. Each Lender and the date Designated Letter of this Agreement Credit Issuer, as the case may be, upon determining in good faith that any additional amounts will entitle the Lender to compensation be payable pursuant to this Section 6.7 as promptly as practicable after it obtains knowledge thereof and determines to request such compensationsection 14.2, but in no event will the Borrower be liable for any compensation hereunder based on any event which occurred more than six (6) months before the date of such notice. Determinations by the Lender for purposes of this Section 6.7 of the effect of any increase in the amount of capital required to be maintained by the Lender and of the amount allocable to the Lender’s obligations to the Borrower hereunder shall be determined by the Lender acting reasonably and in good faith using averaging and attribution methods that are reasonable, provided, however, absent manifest error, the Lender’s computation shall be final, conclusive, and bindinggive prompt written demand therefor.

Appears in 1 contract

Samples: Credit and Security Agreement (Olympic Steel Inc)

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