Separate Name; Separate Credit Clause Samples
The 'Separate Name; Separate Credit' clause establishes that each party to an agreement must maintain its own distinct legal identity and financial credit. In practice, this means that neither party can use the other's name or credit for business transactions, financing, or obligations, and each is responsible for its own debts and liabilities. This clause is essential for preventing confusion or misrepresentation in dealings with third parties and ensures that financial risks and responsibilities remain clearly allocated between the parties.
Separate Name; Separate Credit. Obligors shall (i) conduct their respective businesses in their respective own names or in the names of their respective Restricted Subsidiaries and not in the name of any Unrestricted Subsidiary (including, without limitation, any MLP Subsidiary or Exclusive Entity), and (ii) generally hold themselves as entities separate from the Unrestricted Subsidiaries. Obligors shall cause Unrestricted Subsidiaries to, (A) conduct their respective businesses in their respective own names or in the names of their respective Subsidiaries and not in the name of any Obligor or their Restricted Subsidiaries, and (B) generally hold themselves as entities separate from Obligors and their Restricted Subsidiaries. Obligors shall, and shall cause Unrestricted Subsidiaries to, (1) pay their respective obligations and liabilities from their respective own funds (whether on hand or borrowed), and (2) maintain adequate capital in light of their respective business operations.
Separate Name; Separate Credit. The Borrower shall, and shall cause the MLP Subsidiaries to, (i) conduct their respective businesses in their respective own names or in the names of their respective Subsidiaries, and (ii) generally hold themselves as entities separate from the Borrower and its Restricted Subsidiaries. The Borrower shall, and shall cause the MLP Subsidiaries to, (x) pay their respective obligations and liabilities from their respective own funds (whether on hand or borrowed) and (y) maintain adequate capital in light of their respective business operations.
Separate Name; Separate Credit. The Borrower shall, and shall cause the MLP Subsidiaries to, (i) conduct their respective businesses in their respective own names or in the names of their respective Subsidiaries (or Restricted Subsidiaries in the case of the Borrower), and (ii) generally hold themselves as entities separate from the Borrower and its Restricted Subsidiaries on the one hand and the MLP Subsidiaries on the other hand. The Borrower shall, and shall cause the MLP Subsidiaries to, (i) pay their respective obligations and liabilities from their respective own funds (whether on hand or borrowed), except to the extent that such obligations and liabilities are Guaranteed pursuant to Section 7.03(o) and such Guarantee is called upon and (ii) maintain adequate capital in light of their respective business operations.