Provisions For A Loan Agreement In The Event Of A Change In Circumstance (Material Adverse Change)

Publisher one

Genie AI

Jurisdiction

England and Wales

Contract party

Relevant sectors

Type of legal document

📜 Mac provisions

Business activity

Define MAC provisions

Why use a 📜 Mac provisions?

A mac provision is a type of legal agreement that sets out the responsibilities of each party involved in a project or business venture. It typically covers aspects such as how the work will be carried out, who is responsible for what, and what happens if something goes wrong. This type of agreement can help to avoid disputes and ensure that everyone is clear on their roles and obligations.

This legal template could outline the provisions specifically related to a loan agreement in the event of a change in circumstances, particularly emphasizing the concept of a Material Adverse Change (MAC) under UK law. A Material Adverse Change refers to a significant alteration or unforeseen event that directly impacts the financial stability, profitability, or operation of one or both parties involved in the loan agreement.

The template might begin by defining what constitutes a Material Adverse Change, providing examples such as a substantial decrease in the borrower's creditworthiness, a significant decline in the value of collateral securing the loan, or changes in the regulatory landscape. It may also specify that a MAC clause is typical in loan agreements to protect the lender's interests and provide them with certain rights or remedies in case such an event occurs.

The template might then outline the obligations and responsibilities of both the lender and the borrower in the event of a Material Adverse Change. It could provide steps that need to be taken, such as immediate notification to the lender by the borrower, followed by a comprehensive assessment of the impact of the change, and potentially an evaluation of alternate repayment plans or collateral adjustments.

Additionally, the template could address the potential consequences triggered by a Material Adverse Change, such as the lender's right to demand early repayment, impose additional fees or penalties, or modify the terms of the agreement to safeguard their position. Conversely, it may cover the borrower's obligations to provide timely and accurate information regarding the change, cooperate in examining alternative options, and maintain compliance with any revised terms or repayment plans.

Furthermore, the template may highlight the dispute resolution mechanisms available under UK law, such as negotiation, mediation, or potentially legal recourse through the courts if disagreements arise due to the interpretation or implementation of the provisions following a Material Adverse Change.

Overall, this legal template aims to address the unique considerations and protective measures required when a Material Adverse Change occurs, ensuring that both the lender and the borrower are aware of their rights, obligations, and potential remedies under UK law.

How it works

Create doc / use template

Chat to our AI Legal Assistant

Edit, collaborate & share

Export to .docx

PRODUCT HUNT
#1 Product of the Day

Try using Genie's Free AI Legal Assistant

Generate quality, formatted contracts with AI

Can’t find the right template? Create the bespoke agreement in minutes by conversing with our AI and tailoring to your needs

Let our Legal AI make 
edits for you

Ask Genie to edit your document in the same way you’d ask a paralegal. Genie makes track changes, and explains its thinking just like a junior lawyer would.

AI review

Can’t find the right template? Create the bespoke agreement in minutes by conversing with our AI and tailoring to your needs

See Genie AI in action

Book your personalised demo now

Schedule a live, interactive demo with a Genie expert
Understand the most valuable features of Genie based on your workflow
Find out exactly how your business will benefit, from hours saved to faster revenue



Click here to book your personalised demo now.

Thank you for requesting a demo. You can book one immediately using the following link if you'd like to: https://bit.ly/GenieAIDemo

If you'd like to, you can now fill in our ROI calculator - you'll get instant results, which we'll use to make your demo even more specific.

Calculate now
Oops! Something went wrong while submitting the form.



Click here to book your personalised demo now.

Similar legal templates

Small Business Privacy Policy

This legal template provides guidance and provisions for a Small Business Privacy Policy in compliance with UK law. It outlines the privacy practices and procedures adopted by a small business to safeguard the collection, storage, and use of personal data of its customers, employees, and other stakeholders. The policy ensures transparency and accountability in handling personal information, including how it is collected, processed, shared, and retained by the small business. It also incorporates information on individuals' rights regarding their data, such as access, rectification, erasure, and objection. Additionally, the template covers consent mechanisms, data security measures, data breach notification processes, and other important clauses to protect the privacy rights of data subjects. Adhering to this legal template helps small businesses establish trust with their stakeholders, maintain compliance with relevant UK privacy regulations, and demonstrate their commitment to safeguarding personal data.
Read More

Publisher

Genie AI

Jurisdiction

England and Wales
TEMPLATE
USED BY
4
RATINGS
0
DISCUSSIONS
1

Standard B2B Terms And Conditions For Supplying Goods And Services (Customer Friendly)

This legal template is a comprehensive document that outlines the terms and conditions for the supply of goods and services in a business-to-business (B2B) context, while emphasizing customer-friendly provisions. It is designed specifically to comply with the laws and regulations of the United Kingdom (UK).

The template covers a wide range of essential legal aspects, offering clarity and protection for both parties involved in the transaction. It includes provisions related to payment terms, delivery and acceptance of goods, warranties and guarantees, intellectual property rights, liability and indemnification, dispute resolution, and termination of the agreement.

The document aims to establish a fair and balanced business relationship between the supplier and the customer. It outlines the respective rights and obligations of both parties, ensuring transparency and avoiding any ambiguity or misunderstandings that may arise during the course of the business arrangement.

By utilizing this template, the supplier can protect their interests by clearly defining important provisions such as payment terms and intellectual property rights. Simultaneously, it also prioritizes the customer's interests by incorporating customer-friendly clauses, such as clear guidelines for returns and refunds, easy-to-understand contract language, and reasonable limitations of liability.

This legal template provides a solid foundation for B2B transactions in the UK, enabling a smoother working relationship between suppliers and customers. It offers a comprehensive framework that ensures compliance with UK law while promoting fairness and mutual respect in business dealings.
Read More

Publisher

Genie AI

Jurisdiction

England and Wales
TEMPLATE
USED BY
11
RATINGS
2
DISCUSSIONS
0

Standard Cancellation Notice Of Election To Carry Out Pre-Transfer Redundancy Consultation (TUPE)

This legal template is a document that outlines the standard cancellation notice of election to carry out pre-transfer redundancy consultation under the Transfer of Undertakings (Protection of Employment) Regulations (TUPE) in accordance with UK law.

TUPE is a set of regulations in the United Kingdom that protect employees' rights when a business or part of it is transferred to a new employer. In situations where a transfer is taking place, redundancy consultation is a crucial aspect that ensures affected employees are informed and given an opportunity to discuss potential redundancy options or alternatives with their current and future employers.

This template is specifically designed to facilitate the cancellation of the election to engage in pre-transfer redundancy consultation. It provides a standardized format and language for employers to notify the relevant parties, such as trade unions, employee representatives, or affected employees, about the decision to cancel the planned consultations.

Key elements that might be covered in this legal template include:
1. Introduction: The template would start with a clear title indicating the purpose and legal context of the document and provide relevant reference numbers and dates.
2. Parties involved: The template would include a section identifying the employer, the relevant employees, and any other affected parties who were initially notified about the planned consultations.
3. Reason for cancellation: The template would explain the rationale behind the decision to cancel the consultations, which could include reasons like changes in business circumstances, altered transfer plans, or other justifiable grounds.
4. Legal compliance: The template might include a statement ensuring compliance with TUPE regulations and any other relevant laws or guidelines.
5. Future consultation alternatives: The document might mention any alternative methods or timelines for discussing redundancy options that would be offered in lieu of pre-transfer consultation.
6. Contact information: The template could conclude with relevant contact details, such as the name, position, and contact information of the employer representative responsible for addressing queries or concerns from affected parties.

It is important to note that this description is a general overview, and the actual legal template may contain more specific details and clauses tailored to meet the requirements of each unique situation or circumstance.
Read More

Publisher

Genie AI

Jurisdiction

England and Wales
TEMPLATE
USED BY
2
RATINGS
1
DISCUSSIONS
1