The LSTA's Complete Credit Agreement Guide, Second Edition, 2nd Edition

CHAPTER 13

Borrower Rights

13.1 THE RIGHT THAT LENDERS MAKE LOANS

Box 13.1

Subject to the terms and conditions set forth herein, each Lender agrees to make Loans to the Borrower from time to time during the Availability Period in an aggregate principal amount that will not result in (a) such Lender’s Loans exceeding such Lender’s Commitment or (b) the aggregate principal amount of outstanding Loans exceeding the total Commitments.

Perhaps the most fundamental right that a borrower has under a credit agreement is to require that the lenders make the loans such lenders have committed to make. As discussed in Section 2.2.1, when a group of lenders undertakes to make loans to a borrower, each lender is individually obligated, assuming all relevant ...