Negative Covenants Clause Example with 4 Variations from Business Contracts

Negative Covenants. Borrower agrees until the Obligations are paid in full, it will not: A. Change its state of organization or its name, or move its executive office or at any time adopt any assumed name without giving Crestmark DORSETT at least 30 days prior written notice. B. Declare or pay any dividend or make any other distribution with regard to its equity or purchase or retire any of its equity without Crestmark's DORSETT's prior written consent, provided if it is taxed as an S Corporation or other "pass thr...ough" entity, Borrower may prior to a Default distribute profits to its equity holders in an amount necessary to enable such holders to pay personal, state and federal taxes directly attributable to the profits earned by Borrower for such year. C. Obtain any loan or guaranty or assume any obligation or liability, whether as borrower, guarantor, surety, indemnitor or otherwise that would result in or create a Default, without Crestmark's DORSETT's prior written consent. D. Enter into any transaction with its equity holders or any affiliates of Borrower except on terms at least as favorable as would be usual and customary in similar transactions if the person with whom the transaction is entered into was not related to Borrower. E. Release, redeem, purchase, or acquire any of its equity interests without the prior written consent of Crestmark. DORSETT. F. Default in the payment of any debt to any other person. G. Suffer or permit any judgment, decree or order not fully covered by insurance to be entered against Borrower or a Guarantor, or permit or suffer any warrant or attachment to be filed against Borrower, any Guarantor, or against any property or asset of Borrower or Guarantor. H. Transfer the ownership of any interest in Borrower without the prior written consent of Crestmark DORSETT which shall not be unreasonably withheld. I. Sell any of the Collateral outside the normal course of its business without the prior written consent of Crestmark. DORSETT. J. Purchase the stock or assets of any other entity without the prior written consent of Crestmark. DORSETT. View More

Negative Covenants. Borrower agrees until the Obligations are paid in full, it will not: not without prior written consent of Crestmark: A. Change its state of organization or its name, or move its executive office or at any time adopt any assumed name without giving Crestmark at least 30 days prior written notice. BOXLIGHT INC. MIMIO LLC v1 8 B. Declare or pay any dividend or make any other distribution with regard to its equity or purchase or retire any of its equity without Crestmark's prior written consent, pro...vided if it is taxed as an S Corporation or other "pass through" entity, Borrower may prior to a Default distribute profits to its equity holders in an amount necessary to enable such holders to pay personal, state and federal taxes directly attributable to the profits earned by Borrower for such year. C. Obtain Make any loan or guaranty or assume any obligation or liability, whether as borrower, guarantor, surety, indemnitor or otherwise (a "Borrower Obligation") (i) that would result in or create a Default, or (ii) that together with all other existing Borrower Obligations would exceed the "Borrower Obligation Threshold" set forth in the Schedule, without Crestmark's prior written consent. consent, provided, however, that Borrower may be the borrower under the loans described in those Subordination Agreement(s) that may be entered into in favor of Crestmark, upon terms and conditions acceptable to Crestmark, and the Borrower may make such payments, if any, as permitted under the terms and conditions of such Subordination Agreements. D. Enter into any transaction with its equity holders or any affiliates of Borrower except on terms at least as favorable as would be usual and customary in similar transactions if the person with whom the transaction is entered into was not related to Borrower. E. Release, redeem, purchase, or acquire any of its equity interests without the prior written consent of Crestmark. F. Default in the payment of any debt to any other person. G. Suffer or permit any judgment, decree or order not fully covered by insurance to be entered against Borrower or a Guarantor, Guarantor in an aggregate amount in excess of the "Claims Threshold" set forth in the Schedule, or permit or suffer any warrant or attachment to be filed against Borrower, any Guarantor, or against any property or asset of Borrower or Guarantor. H. Transfer the ownership of any interest in Borrower without the prior written consent of Crestmark which shall not be unreasonably withheld. I. Sell any of the Collateral outside the normal course of its business without the prior written consent of Crestmark. J. Purchase the stock or assets of any other entity without the prior written consent of Crestmark. K. Make any loans, advances, intercompany transfers or cash flow between the Borrower and any officer, director, employee, shareholder, subsidiary, related entity or affiliate of the Borrower or with any company that has common shareholders, officers or directors with the Borrower. View More

Negative Covenants. Borrower agrees until the Obligations are paid in full, it will not: not without prior written consent of Crestmark: A. Change its state of organization or its name, or move its executive office or at any time adopt any assumed name without giving Crestmark at least 30 days prior written notice. B. Declare or pay any dividend or make any other distribution with regard to its equity or purchase or retire any of its equity without Crestmark's prior written consent, provided if it is taxed as an S ...Corporation or other "pass through" entity, Borrower may prior to a Default distribute profits to its equity holders in an amount necessary to enable such holders to pay personal, state and federal taxes directly attributable to the profits earned by Borrower for such year. C. Obtain any loan or guaranty or assume any obligation or liability, whether as borrower, guarantor, surety, indemnitor or otherwise (a "Borrower Obligation") (i) that would result in or create a Default, or (ii) that together with all other existing Borrower Obligations would exceed the "Borrower Obligation Threshold" set forth in the Schedule, without -8- Crestmark's prior written consent. consent, provided, however, that Borrower may be the borrower under the loans described in those Subordination Agreement(s) that may be entered into in favor of Crestmark, upon terms and conditions acceptable to Crestmark, and the Borrower may make such payments, if any, as permitted under the terms and conditions of such Subordination Agreements. D. Enter into any transaction with its equity holders or any affiliates of Borrower except on terms at least as favorable as would be usual and customary in similar transactions if the person with whom the transaction is entered into was not related to Borrower. E. Release, redeem, purchase, or acquire any of its equity interests without the prior written consent of Crestmark. F. Default in the payment of any debt to any other person. G. Suffer or permit any judgment, decree or order not fully covered by insurance to be entered against Borrower or a Guarantor, Guarantor in an aggregate amount in excess of the "Claims Threshold" set forth in the Schedule, or permit or suffer any warrant or attachment to be filed against Borrower, any Guarantor, or against any property or asset of Borrower or Guarantor. H. Transfer the ownership of any interest in Borrower without the prior written consent of Crestmark which shall not be unreasonably withheld. I. Sell any of the Collateral outside the normal course of its business without the prior written consent of Crestmark. J. Purchase the stock or assets of any other entity without the prior written consent of Crestmark. K. Make any loans, advances, intercompany transfers or cash flow between the Borrower and any officer, director, employee, shareholder, subsidiary, related entity or affiliate of the Borrower or with any company that has common shareholders, officers or directors with the Borrower. View More

Negative Covenants. Borrower agrees until the Obligations are paid in full, it will not: A. Change its state of organization or its name, or move its executive office or at any time adopt any assumed name without giving Crestmark at least 30 days prior written notice. B. Declare or pay any dividend or make any other distribution with regard to its equity or purchase or retire any of its equity without Crestmark's prior written consent, provided if it is taxed as an S Corporation or other "pass through" entity, Borr...ower may prior to a Default distribute profits to its equity holders in an amount necessary to enable such holders to pay personal, state and federal taxes directly attributable to the profits earned by Borrower for such year. C. Obtain Make any loan or guaranty or assume any obligation or liability, whether as borrower, guarantor, surety, indemnitor or otherwise (a "Borrower Obligation") (i) that would result in or create a Default, or (ii) that together with all other existing Borrower Obligations would exceed the "Borrower Obligation Threshold" set forth in the Schedule, without Crestmark's prior written consent. · 8 D. Enter into any transaction with its equity holders or any affiliates of Borrower except on terms at least as favorable as would be usual and customary in similar transactions if the person with whom the transaction is entered into was not related to Borrower. E. Release, redeem, purchase, or acquire any of its equity interests without the prior written consent of Crestmark. F. Default in the payment of any debt to any other person. G. Suffer or permit any judgment, decree or order not fully covered by insurance to be entered against Borrower or a Guarantor, Guarantor in an aggregate amount in excess of the "Claims Threshold", or permit or suffer any warrant or attachment to be filed against Borrower, any Guarantor, or against any property or asset of Borrower or Guarantor. H. Transfer the ownership of any interest in Borrower without the prior written consent of Crestmark which shall not be unreasonably withheld. I. Sell any of the Collateral outside the normal course of its business without the prior written consent of Crestmark. J. Purchase the stock or assets of any other entity without the prior written consent of Crestmark. View More