Correct title in the Facility Agreement

Aug 6th, 2022
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How to correct title in the Facility Agreement

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a credit agreement also called a loan agreement or facility agreement is the main agreement in a commercial lending transaction it can be very long often between 100 to 200 pages and it sets out any ongoing obligations of the parties as well as the availability and terms of the underlying loan loans are sometimes called credit facilities loan facilities or just facilities and a borrower could have access to more than one loan under a single credit agreement like a Term Loan and a revolver or a single Term Loan might be broken up into multiple tranches each with its own details if a borrower plans to use each tranche for a different purpose lawyers for the lender usually prepare the initial draft of the credit agreement often starting from the banks preferred form or a precedent from a similar transaction but sometimes the borrowers council takes the lead in drafting though this is rare it happens most often when a borrower is a company thats owned or being acquired by a private Equi

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The Facilities available under this Agreement shall be used by the Borrower for the purpose of working capital of the Borrower or any other purpose in the normal course of business, including the repayment of outstanding indebtedness.
A facility agreement is a contract between a borrower and a lender. The agreement sets out the terms and conditions of the agreement. Its often simply called a loan, credit facility agreement, or facility letter. A facility agreement is a short-term loan for a specific amount that does not require collateral.
An overview of covenants (also known as undertakings) found in a facility agreement (also called a loan agreement). It includes information about the purpose of covenants and gives examples of commonly used financial, information and operational covenants.
An agreement or letter in which a lender (usually a bank or another financial institution) sets out the terms and conditions (including any conditions precedent) on which it is prepared to make a loan facility available to a borrower. The loan facility is typically a term loan, revolving loan or overdraft.
Who is a Facility Agent? The Facility Agent acts as a liaison between the borrower and the lender(s) in an ECB transaction. Their primary role is to facilitate smooth communication, ensure compliance with the loan agreement, and protect the interests of both parties involved.
A loan agreement is regarded as a contract res (contrat rel) that is, a contract which can only be entered into if the lender effectively transfers the funds to the borrower, while a facility agreement is a mere promise of a loan, in other words a promise to transfer the funds to the borrower on his request, the
Facility Documents means, collectively, this Agreement, each Collateral Document, the Representation Letter, the Issuer Acknowledgment, each document delivered pursuant to the Collateral Requirement and each other agreement or instrument executed or delivered in connection herewith or therewith.

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