First Lien Priority definition
Examples of First Lien Priority in a sentence
This authorization is coupled with an interest and is irrevocable until the Payment in Full of First Lien Priority Debt.
If First Lien Claimholders offer to provide DIP Financing that meets the requirements set forth in clauses (a) through (c) above, Second Lien Agent agrees that it shall not, directly or indirectly, provide, offer to provide, or support any DIP Financing secured by a Lien senior to or pari passu with the Liens securing the First Lien Priority Obligations.
This is a continuing agreement of lien subordination and First Lien Claimholders may continue, at any time and without notice to Second Lien Agent or any Second Lien Claimholder, to extend credit and other financial accommodations to or for the benefit of any Grantor constituting First Lien Priority Obligations in reliance hereof.
First Lien Agent is hereby authorized to make any such endorsements as agent for the Second Lien Claimholders and this authorization is coupled with an interest and is irrevocable until the Payment in Full of First Lien Priority Debt.
In acting hereunder, the Notes Collateral Agent shall be entitled to all of the rights, privileges, protections, limitations of liability, immunities and indemnities granted to it under the Indenture and any corresponding provisions of any First Lien Priority Indebtedness Document, as if such rights, privileges, protections, limitations of liability, immunities and indemnities were set forth herein.
Notwithstanding anything in Section 2.4(e) to the contrary, the obligation of the Borrowers to make any payments under Section 2.4(e) shall be subject to the terms of Section 4.5 of the Intercreditor Agreement, and the amount of any payments under Section 2.4(e) shall be reduced by any such amounts used to prepay and permanently reduce the First Lien Priority Debt.
For purposes of this subsection, the issue of whether the Payment in Full of First Lien Priority Debt has occurred under a confirmed plan of reorganization or other dispositive plan shall be subject to a reasonable and good faith determination under the circumstances by the First Lien Agent, and shall be further subject to all rights and defenses of the Second Lien Agent or any Second Lien Claimholder with respect thereto.
Until the Payment in Full of First Lien Priority Debt has occurred, whether or not any Insolvency Proceeding has been commenced by or against the Debtor, but subject to the first proviso to Section 3.1(a), First Lien Creditor and First Lien Claimholders shall have the exclusive right to take Enforcement Actions with respect to the Collateral without any consultation with or the consent of Second Lien Creditor or any other Second Lien Claimholder.
Additionally, in the event the First Lien Priority Obligations of any Series are modified pursuant to applicable law (including, without limitation, pursuant to Section 1129 of the Bankruptcy Code), any reference to such First Lien Priority Obligations or the First Lien Priority Security Documents governing such First Lien Priority Obligations shall refer to such obligations or such documents as so modified.
Notwithstanding any provision of this Agreement or any Loan Document to the contrary, the rights of Agent and the Lenders, solely with respect to their lien priorities and not with respect to any payments, under this Agreement and the Loan Documents are subordinate to the liens securing the First Lien Priority Debt under and pursuant to the terms of the Intercreditor Agreement.