Rights of set-off

Rights of set-off

An agreement defining each party's rights should one party default on its obligation. A setoff is common in parallel loan arrangements.

Rights of Set-Off

A portion of a loan agreement stating the rights of each party should one party or the other default on his/her obligations. Rights of set-off are most often stated explicitly when two parties are lending money to each other. See also: Parallel loan.
References in periodicals archive ?
Lexington irrevocably agrees not to assert and waives any and all defenses and rights of set-off and/or counterclaim (including without limitation any such rights acquired by assignment or otherwise), which it may have against the (trustee) or which might be available so as to deny payment of any amount due hereunder in accordance with the express terms hereof.
One assumption concerns the application of legal rights of set-off permitted by the court.
MSDOC's obligation under the Loan Agreement and Note is absolute and unconditional irrespective of any rights of set-off, recoupment or counterclaim against issuer or financing participants.
409 million, without any rights of set-off, abatement, or counterclaim, subject to biennial legislative appropriation.
Unlike IFRSs, US GAAP allows companies the option to present net in their balance sheets derivatives that are subject to a legally enforceable netting arrangement with the same party where rights of set-off are only available in the event of default or bankruptcy.
Dental and the Company's lenders will not be satisfied, the risk that the Company's lenders will further exercise their rights of set-off and/or foreclosure, the risk that the Company will not be able to maintain sufficient liquidity to fund its future operations, uncertainties regarding the impact of the events disclosed in this press release on the Company's operations, including its relationships with its customers and vendors, risks associated with the change of status or departure of key personnel, and other risks detailed in the Company's Securities and Exchange Commission filings.
Dental and the Company's lenders will not be satisfied, including, without limitation, the condition that all milestones for the proposed transaction be met, the risk that the Company's lenders will further exercise their rights of set-off and/or foreclosure, the risk that the Company will not be able to maintain sufficient liquidity to fund its future operations, uncertainties regarding the impact of the events disclosed in this press release on the Company's operations, including its relationships with its customers and vendors, risks associated with the change of status or departure of key personnel, and other risks detailed in the Company's Securities and Exchange Commission filings.