Material Credit Event definition

Material Credit Event means, with respect to Buyer, (a) any event that results in Buyer’s failure to meet the Credit Requirements applicable to Buyer, (b) Buyer’s long term credit rating comes under review by a rating agency for possible downgrade, or (c) if the Alliance has reasonable grounds to believe that Buyer’s creditworthiness would no longer warrant investment grade status (e.g., because Buyer defaults on material payment obligations to third parties).

Material Credit Event means any event that results in a Party’s failure to meet the Performance Assurance Requirements applicable to it; or if Seller has provided or caused to be provided a Guaranty from a Qualified Guarantor in satisfaction of its Performance Assurance Requirements, then any of the following shall be deemed to be a Material Credit Event: (a) any representation or warranty made by a Guarantor in connection with this Agreement is false or misleading in any material respect when made or when deemed made or repeated; (b) the failure of a Guarantor to make any payment required or to perform any other material covenant or obligation in any Guaranty made in connection with this Agreement and such failure is not remedied within thirty (30) calendar days after written notice; (c) a Downgrade Event has occurred; (d) a Guarantor becomes Bankrupt; (e) the failure of a Guarantor’s Guaranty to be in full force and effect for purposes of this Agreement (other than in accordance with its terms) prior to the satisfaction of all obligations of such Party under this Agreement without the written consent of the other Party; or (f) a Guarantor shall repudiate, disaffirm, disclaim, or reject, in whole or in part, or challenge the validity of any Guaranty.

Material Credit Event means any event that results in a Party’s failure to meet the Performance Assurance Requirements applicable to it; or if Seller has provided or caused to be provided a Guaranty from a Qualified Guarantor in satisfaction of its Performance Assurance Requirements, then any of the following shall be deemed to be a Material Credit Event: (a) a representation or warranty made by a Guarantor that is false or misleading in any material respect when made or when deemed made or repeated; (b) the failure of a Guarantor to make any payment required or to perform any other material covenant or obligation in any Guaranty made in connection with this Agreement and such failure is not remedied within thirty (30) calendar days after written notice; (c) a Downgrade Event has occurred; (d) a Guarantor becomes Bankrupt; (e) the failure of a Guarantor’s Guaranty to be in full force and effect for purposes of this Agreement (other than in accordance with its terms) prior to the satisfaction of all obligations of such Party under this Agreement without the written consent of the other Party; or

Examples of Material Credit Event in a sentence

If at any time there occurs a Material Credit Event with respect to Buyer, then an Event of Default will be deemed to have occurred pursuant to Section 16 of the Power Purchase Agreement.
Buyer shall Notify Seller of the occurrence of any event which, with notice or the passage of time or both, would constitute a Material Credit Event with respect to Buyer, which Notice shall be given by Buyer within 5 Business Days of the occurrence of such event.
If the requested information is not provided in accordance with this Agreement within 30 Days after receipt of such Notice, or if Buyer is not otherwise able to show that a Material Credit Event with respect to Buyer has not occurred, Seller will be entitled to assume that a Material Credit Event with respect to Buyer has occurred.

Material Credit Event means any event that results in Seller’s failure to meet the Performance Assurance Requirements. If Seller has provided or caused to be provided a Letter of Credit in satisfaction of its Performance Assurance Requirements, then any of the following shall be deemed to be a Material Credit Event: (a) a representation or warranty made by a Qualified Bank is false or misleading in any material respect at any point during the term of this Agreement with regard to the Qualified Bank’s; (b) the failure of an obligation in any Letter of Credit made in connection with this Agreement and such failure is not remedied within ten (10) calendar days after written notice; (c) a Downgrade Event has occurred; (d) a Qualified Bank becomes Bankrupt or its ownership or control is assumed by the Federal Deposit Insurance Corporation; (e) the failure of the Letter of Credit to be in full force and effect or extended for purposes of this Agreement (other than in accordance with its terms) prior to the satisfaction of all of Seller’s obligations under this Agreement without TVA’s written consent; or (f) the Qualified Bank repudiates, disaffirms, disclaims, or rejects, in whole or in part, or challenges the validity of, its Letter or Credit.

Material Credit Event means that Tenant has achieved and maintained a minimum Market Capitalization of not less than $35,000,000 as computed in accordance with generally accepted accounting principles, consistently applied. For purposes of this grammatical paragraph, “Market Capitalization”) means the product of (1) the number of outstanding shares of Tenant on the last day of the applicable financial quarter (i.e., the most recently completed quarter), and (2) the average closing share price of Tenant’s stock during the last thirty (30) calendar days of the applicable financial quarter.

Material Credit Event means any event that results in Seller’s failure to meet the Performance Assurance Requirements. If Seller has provided or caused to be provided a Letter of Credit or Guaranty in satisfaction of its Performance Assurance Requirements, then any of the following shall be deemed to be a Material Credit Event: (a) a representation or warranty made by a Qualified Bank or a Guarantor is false or misleading in any material respect at any point during the term of this Agreement with regard to the Qualified Bank’s or Guarantor’s financial information; (b) the failure of a Guarantor to make any payment required or to perform any other material covenant or obligation in any Letter of Credit or Guaranty made in connection with this Agreement and such failure is not remedied within ten (10) calendar days after written notice; (c) a Downgrade Event has occurred; (d) a Qualified Bank or the Guarantor becomes Bankrupt; (e) the failure of the Letter of Credit or the Guaranty to be in full force and effect for purposes of this Agreement (other than in accordance with its terms) prior to the satisfaction of all of Seller’s obligations under this Agreement without LUB’s written consent; or (f) the Qualified Bank or the Guarantor repudiates, disaffirms, disclaims, or rejects, in whole or in part, or challenges the validity of, its Letter or Credit or Guaranty.

Material Credit Event means any event that results in a Party's failure to meet the Credit Requirements applicable to it.

Material Credit Event means, if applicable, (a) Customer’s Guarantor is not a Creditworthy Person; and (b) Customer has not provided or converted or caused to be provided or converted Credit Support as required hereunder.