Agenda - Council - 07/12/2022 - Laserfiche WebLink

Home

ARTICLE IX EVENTS OF DEFAULT AND REMEDIES Section 9.1 Events of Default Defined. The following shall be Events of Default under this Loan Agreement and the term "Event of Default" shall mean,whenever it is used in this Loan Agreement, any one or more of the following events: (a) Failure by the Company to pay the amounts required to be paid under Section 4.2(a) hereof at the times specified therein. The Trustee shall give telephonic or telegraphic notice, with subsequent written notice, to the Company and the Issuer of such failure. (b) Failure by the Company to observe and perform any covenant, condition or agreement on its part to be observed or performed, other than as referred to in Section 10.1(a)hereof, for a period of thirty(30)Business Days after written notice specifying such failure and requesting that it be remedied shall have been given to the Company and the Issuer by the Trustee; provided, however, if the failure stated in the notice cannot be corrected within the applicable period, such failure shall not constitute an Event of Default if corrective action is instituted by the Company within the applicable period after notice thereof pursuant to Section 8.12 of the Indenture. (c) (i) The dissolution or liquidation of the Company or the voluntary initiation by the Company of any proceeding under any federal or state law relating to bankruptcy, insolvency, arrangement, reorganization, readjustment of debt, or any other form of debtor relief, or the initiation against the Company of any such proceeding which shall remain undismissed for sixty (60) days; (ii) failure by the Company to promptly have discharged any execution, garnishment or attachment of such consequence as would impair the ability of the Company to carry on its operations at the School Facilities; (111) assignment by the Company for the benefit of creditors; (iv) the entry by the Company into an agreement of composition with creditors; or(v) the failure generally by the Company to pay its debts as they become due and the continuation of such failure for a period of ten (10) days after written notice by the Trustee. (d) Any representation or warranty of the Company shall be determined to be or have been a material misrepresentation or materially misleading or untrue when made. (e) Any "Event of Default" under the Indenture, the Lease, the Pledge Agreement, or any Security Agreement. (f) Any final judgments, or writs or warrants of attachment or of any similar processes in an aggregate amount in excess of S[250,000] entered or filed against the Company or against any of its property and remaining unvacated, unpaid, unbonded, uninsured or unstayed for a period of thirty(30) days. (g) Failure by the Company to comply with the provisions of Sections 7.11, 8.1, 8.4(a), 8.4(b), or 8.5 of this Loan Agreement. 36 730911770