Secured Swap Obligations. If a Material Subsidiary enters into any arrangement pursuant to which it incurs, assumes or otherwise becomes subject to any Secured Swap Obligations, the Borrower shall give a guarantee substantially in the form of Schedule H-1 respecting those Secured Swap Obligations.
Secured Swap Obligations. Lenders agree that the Security Documents shall secure the payment of the Loan and the payment of Borrower’s obligations under any Secured Swap Obligations on a pari passu basis.
Secured Swap Obligations. Lenders agree that the Mortgage shall secure the payment of the Loan and the payment of Borrower's obligations under any Secured Swap Obligations on a pari passu basis.
Secured Swap Obligations. Except as otherwise expressly set forth herein or in the Guaranty or any Collateral Document, no Person to whom any Secured Swap Obligations are owed that obtains the benefits of Section 9.2 of the Collateral Agreement or Section 2.12(g) of this Agreement, the Guaranty or any Collateral by virtue of the provisions hereof or of the Guaranty or any Collateral Document shall have any right to notice of any action or to consent to, direct or object to any action hereunder or under any other Credit Document or otherwise in respect of the Collateral (including the release or impairment of any Collateral) other than in its capacity as a Lender and, in such case, only to the extent expressly provided in the Credit Documents. Notwithstanding any other provision of this Article 9 to the contrary, the Administrative Agent shall not be required to verify the payment of, or that other satisfactory arrangements have been made with respect to, Secured Swap Obligations unless the Administrative Agent has received written notice of such obligations, together with such supporting documentation as the Administrative Agent may request, from the applicable Person to whom any Secured Swap Obligations are owed, as the case may be.
Secured Swap Obligations. (a) The Borrower and any Lender or any Affiliate of any Lender (the “Secured Swap Counterparty”) may from time to time designate the obligations in respect of a Swap Agreement to which they are parties as being “Secured Swap Obligations” upon written notice (a “Designation Notice”) to the Administrative Agent from the Company and the Swap Counterparty, in form reasonably acceptable to the Administrative Agent, which Designation Notice shall include (i) a description of such Swap Agreement and (ii) the maximum amount (expressed in Dollars) of the Swap Termination Value thereunder, if any, that is elected by the Company and the Swap Counterparty to constitute “Pari Passu Secured Swap Obligations” and as to which an equal reserve shall be taken against the Borrowing Base (each, a “Designated Pari Passu Amount” and such Secured Swap Obligations (to the extent of such Designated Pari Passu Amount), “Pari Passu Secured Swap Obligations”); provided that no such Designation Notice shall be effective and no such Designated Pari Passu Amount with respect to any Swap Agreement shall constitute Pari Passu Secured Swap Obligations (and no such reserve shall be established by the Administrative Agent in connection therewith) to the extent that, at the time of delivery of the applicable Designation Notice and after giving effect to such Designated Pari Passu Amount (including to the reserve for Pari Passu Secured Swap Obligations to be established by the Administrative Agent in connection therewith), the Availability would be less than zero.
Secured Swap Obligations. Lenders agree that the Deed of Trust shall secure the payment of the Loan and the payment of Borrower’s obligations under any Secured Swap Obligations on a pari passu basis.
Secured Swap Obligations. Lenders agree that the Security Documents shall secure the payment of the Loan and the payment of Borrowers’ obligations under any Secured Swap Obligations on a pari passu basis.
Secured Swap Obligations. (a) The Borrower and any Lender or any Affiliate of any Lender (the “Secured Swap Counterparty”) may from time to time designate the obligations in respect of a Swap Agreement to which they are parties as being “Secured Swap Obligations” upon written notice (a “Designation Notice”) to the Administrative Agent from the Company and the Swap Counterparty, in form reasonably acceptable to the Administrative Agent, which Designation Notice shall include (i) a description of such Swap Agreement and (ii) the maximum amount (expressed in Dollars) of the Swap Termination Value thereunder, if any, that is elected by the Company and the Swap Counterparty to constitute “Pari Passu Secured Swap Obligations” (each, a “Designated Pari Passu Amount” and such Secured Swap Obligations (to the extent of such Designated Pari Passu Amount), “Pari Passu Secured Swap Obligations”).
Secured Swap Obligations. This Model Agreement assumes Administra- tive Agent’s “swap desk” or conceivably some other derivatives counterparty (“Swap Provider”) has entered into with Borrower a swap agreement (a “Swap”) to allow Borrower to convert a floating interest rate on the Loan into a fixed interest rate.19 Premature termination of a Swap could require Borrower to make a substantial payment, for example if interest rates have dropped. Thus, Swap Provider will want security for Borrower’s contingent obligations under the Swap. But Borrower has no security to offer, except the Collateral for the Loan. Therefore, Swap Pro- vider will often share the mortgage that secures the Loan. To cover that common circumstance, this Model Agreement treats Swap Provider as part of the group of “Secured Parties.” Swap Provider receives a share of the Collateral as if Swap Provider held Loan principal in the same amount as Swap Provider’s claim against Borrower – either an actual claim if the Swap has already terminated, or a hypothetical claim20 equal to what Borrower would owe if Borrower defaulted on the Swap at that moment. Although such a pari passu distribution of Loan proceeds has a ring of fairness to it, the resulting diversion of potential foreclosure sale pro- ceeds to Swap Provider will dilute the Lenders’ security. As an example, if the Lenders lent $80 against $100 worth of Collateral, they thought they
