Successor LIBOR Rate Sample Clauses
The Successor LIBOR Rate clause defines the process for determining an alternative reference interest rate if LIBOR becomes unavailable or is discontinued. Typically, this clause outlines the hierarchy of replacement rates, such as using a rate recommended by relevant authorities or a fallback rate agreed upon by the parties, and may specify adjustment methods to maintain economic equivalence. Its core function is to ensure continuity and certainty in financial contracts by providing a clear mechanism for rate substitution, thereby mitigating disruption and ambiguity if LIBOR ceases to be published.
POPULAR SAMPLE Copied 1 times
Successor LIBOR Rate. A. If at any time the Administrative Agent determines (which determination shall be conclusive absent manifest error) that (A) the circumstances set forth in clause (c)(i)(A) have arisen and such circumstances are unlikely to be temporary, (B) the applicable supervisor or administrator of the LIBOR Rate or a Governmental Authority having jurisdiction over the Administrative Agent has made a public statement identifying a specific date after which the LIBOR Rate shall no longer be made available or used for determining interest rates for loans (such specific date, the “LIBOR Scheduled Unavailability Date”), or (C) a rate other than the LIBOR Rate has become a widely recognized benchmark interest rate for newly originated loans of this type made in Dollars to borrowers domiciled in the United States, then the Administrative Agent may, in consultation with the Borrowers, select an alternate benchmark interest rate (including any credit spread or other adjustments to such alternate benchmark (if any) incorporated therein) to replace the LIBOR Rate for purposes of this Agreement (such rate, the “LIBOR Successor Rate”).
B. The Administrative Agent and the Borrowers shall negotiate in good faith any amendments to this Agreement as may be necessary and appropriate to effectively replace the LIBOR Rate with the LIBOR Successor Rate and incorporate any LIBOR Successor Rate Conforming Changes related thereto. Notwithstanding anything to the contrary in Section 10.3(b), any such amendment entered into by the Administrative Agent and the Borrowers shall become effective without any further action or consent of any other party to this Agreement on the fifth (5th) Business Day following the date that a draft of such amendment is provided to the Lenders for review, unless the Administrative Agent receives, on or before noon on such date, a written notice from the Required Lenders stating that such Required Lenders object to such amendment (or the LIBOR Successor Rate).
C. If the Administrative Agent determines (which determination shall be conclusive absent manifest error) that the circumstances under Section (c)(ii)(A)(A) above have arisen or the LIBOR Scheduled Unavailability Date has occurred, then (A) the Administrative Agent shall promptly notify the Borrowers and the Lenders of such determination, which notice may be given by telephone, and (B) until such time as a LIBOR Successor Rate has been selected and this Agreement has been amended to implement such LIBOR Suc...
Successor LIBOR Rate. Solely with respect to any Libor Rate Loans, the following shall apply:
Successor LIBOR Rate. If, on any date of determination, the applicable Purchaser reasonably determines in good faith that LIBOR (for purposes of calculating the Discount Rate and Purchase Price, and any other calculations between such parties based on LIBOR) is not ascertainable and the inability to ascertain LIBOR is unlikely to be temporary, each such Person shall notify the other in writing (the occurrence of the foregoing conditions, a “Benchmark Discontinuation Event”) and LIBOR shall, for any related period thereafter, be an alternate benchmark floating term rate of interest established by such Purchaser that is generally accepted as the then prevailing market convention for determining a
Successor LIBOR Rate. If at any time the Finance Provider determines in its reasonable discretion that (i) the circumstances specified in clause (b) of the definition of Eurodollar Disruption Event have arisen and such circumstances are unlikely to be temporary, or (ii) such circumstances have not arisen but the supervisor for the administrator of the LIBOR Rate or a governmental authority having jurisdiction over the Finance Provider or such administrator has made a public statement identifying a specific date after which the LIBOR Rate shall no longer be made available, or used for determining interest rates for U.S. Dollar loans or bonds (and at the time of such public statement there is no successor administrator that will continue to provide the LIBOR Rate), then the Finance Provider shall give notice to the Company of the occurrence of such circumstances described in clause (i) or (ii) as soon as reasonably practicable thereafter, and shall use reasonable efforts to establish an alternate rate of interest to the LIBOR Rate that gives due consideration to the then prevailing market convention for determining a rate of interest for syndicated or bilateral loans or public debt instruments in US Dollars with 12-month durations at such time, and the Finance Provider and the Company shall enter into an amendment to this Agreement to reflect such alternate rate of interest and such other related changes to this Agreement as may be applicable. Until such amendment becomes effective, the Interest Rate shall be determined in accordance with clause (a) above.
Successor LIBOR Rate. If at any time the Agent determines (which determination shall be conclusive absent manifest error) that (A) the circumstances set forth in Section 10.3(a) have arisen and such circumstances are unlikely to be temporary, (B) the applicable supervisor or administrator of the LIBOR Rate and Daily LIBOR Rate or a Governmental Authority having jurisdiction over the Agent has made a public statement identifying a specific date after which the Daily LIBOR Rate and LIBOR Rate shall no longer be made available or used for determining interest rates for loans (such specific date, the “LIBOR Scheduled Unavailability Date”), or (C) a rate other than the Daily LIBOR Rate or LIBOR Rate has become a widely recognized benchmark interest rate for newly originated loans of this type made in Dollars to borrowers domiciled in the United States, then the Agent may, in consultation with the Borrowers, select an alternate benchmark interest rate (including any credit spread or other adjustments to such alternate benchmark (if any) incorporated therein) to replace the Daily LIBOR Rate and LIBOR Rate for purposes of this Agreement (such rate, the “LIBOR Successor Rate”).
Successor LIBOR Rate. WORKAMER\37666573.v3 55
Successor LIBOR Rate