Define: Pro Rata Basis

How is Pro Rata Basis defined in a legal contract?

• Pro Rata Basis means the corresponding release of collateral linked to the partial repayment of a loan. It reflects the applicable percentage of each item of collateral securing such a loan. The calculation of this percentage can be adjusted to take into account any minimum requirements for any collateral.
  Seen in 39 SEC filings.
• Pro Rata Basis means the allocation of collateral among lenders and the division of interest payments amongst lenders in proportion to the interest that remains unpaid on each lender’s advances. The proportions are subject to rounding to the nearest share, cent, item or unit of other securities or property.
  Seen in 28 SEC filings.
• Pro Rata Basis means the proportion of each lender’s applicable percentage relating to the loans, with rounding adjustments for share, currency amounts, or units of other securities or property.
  Seen in 23 SEC filings.
• Pro Rata Basis means the multiplication of a subscriber’s cash investment by the number of days the cash investment was held in interest-bearing investments. This product is then multiplied by the average yield earned on the funds during that period.
  Seen in 11 SEC filings.
• Pro Rata Basis means the allocation of shares of stock owned by the affected shareholder, which is calculated by dividing the number of shares owned by that shareholder by the total number of shares owned by all shareholders exercising their purchase right.
  Seen in 8 SEC filings.
• Pro Rata Basis means the method in which any particular expense, liability or obligation related to a transfer of equity securities or an approved sale is calculated. This is done by reducing each Unitholder’s proceeds based on the percentage decrease of total proceeds from all participating Unitholders.
  Seen in 8 SEC filings.

Note: These definitions do not retain the original formatting of definitions in the legal contracts and have been simplified for the average business user.

Note: The Genie AI Legal Assistant pulled this data out of the SEC EDGAR Database of 500,000 records from the past 22 years of filings. We regularly update this page as new filings and definitions come in.

Search EDGAR for ‘Definitions of pro rata basis’ yourself to verify these results. We are always keen to point people to source documents.

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Which definition should you use?

🤔 Our AI Legal Assistant has combined and improved the above descriptions to create market-standard 'Genie definitions' below, with guidance on which documents and which industry to use for each.

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Genie Definition 1

Pro Rata Basis means a proportional allocation or division among participants, possibly reflecting a percentage, subject to adjustments.

Relevant Contract Types

• Commercial Loan Agreements
• Multi-lender Agreements
• Shareholding Agreements
• Partnership Agreements
• Joint Venture Agreements

Relevant Circumstances

• Debt financing and loan repayment
• Profit Distribution among Partners
• Division of proceeds among shareholders
• Allocation of assets during disinvestment
• Apportionment of costs or liabilities

Relevant Sectors

• Financial Services
• Real Estate
• Investment Banking
• Venture Capital and Private Equity

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Genie Definition 2

Pro Rata Basis means a calculation reflecting a specific period's interest or investment, enhanced by average yield or equivalent factor.

Relevant Contract Types

• Investment Agreements
• Subscription Agreements

Relevant Circumstances

• Determining allocation of interest or dividends
• Calculating the contribution of individual shareholders
• Apportioning profits or returns between investors

Relevant Sectors

• Investment Funds
• Capital Markets
• Wealth Management
• Financial Advisory

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