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Affirmative covenant |
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Affirmative covenant A bond covenant that specifies certain actions the firm must take. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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affirmative covenants requiring the supplier to proactively bring to the customer's attention potentially significant issues, such as significant litigation claims, rather than waiting for the periodic due diligence review; 50) By 1908, when the Company drafted its first restrictive covenants, American courts had in some cases enforced affirmative covenants running with the land, (51) and in subsequent decades prominent commentators would grumble about the irrationality of most courts' residual reluctance to do so. Affirmative covenants typically require debtors to prepare more frequent and detailed financial reports and allow lenders to examine company books and conduct physical inventory checks. |
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