1963) ("[A]n election to accelerate puts all future installment payments in issue and forecloses successive suits."); Johnson, 1997 ME 220, [paragraph] 8, 704 A.2d at 869 ("Once Johnson triggered the
acceleration clause of the note and the entire debt became due, the contract became indivisible.
Note that some lockbox arrangements do not go into effect unless the lender exercises a subjective
acceleration clause (a springing lockbox).
78, a subjective
acceleration clause is defined as "a provision in a debt agreement that states that the creditor may accelerate the scheduled maturities of the obligation under conditions that are not objectively determinable;" it then repeats the above phrases as examples.
79-3 are inconsistent in their treatment of subjective
acceleration clauses in debt agreements.
Nonetheless, it is our view that there are important practical advantages to a landlord in providing, as an additional and alternative remedy to form Lease [paragraph]18, for an
acceleration clause. For example, where a landlord is holding a security deposit, but the tenant is threatening to file for bankruptcy, the landlord may be able, if there is an
acceleration clause, to quickly declare a termination via a conditional limitation, invoke the
acceleration clause, and draw down the entire security deposit, all before the tenant is able to file for bankruptcy and thus freeze the security deposit (by reason of the bankruptcy "automatic stay").
of an
acceleration clause ensures that significant principal repayments
A framework for voluntary prepayment is also introduced to complement the accelerated-repayment clause, by enabling and encouraging the prepayment of ADF loans that currently do not contain the
acceleration clause. This framework allows the Fund to offer financial incentives to graduated countries when they decide to prepay their ADF loans.
"Crisil understands that many of the investors in NCDs with
acceleration clauses have not yet exercised their acceleration rights.
The loan will expire in 2024, creating refinancing risk, and also contains
acceleration clauses. Fitch views these terms negatively as it places a significant amount of control with the bank as certain events of default can be cured or waived by the bank to prevent an acceleration of debt.
"The CreditWatch reflects our view of an increasing risk of Mozambique on its debt, either as a result of higher-than-expected debt service obligations, or due to
acceleration clauses in the government's external commercial debt.
Moody's notes that, while MTS does not have any cross default and cross
acceleration clauses relating to Sistema, there is a change of control clause in MTS's Eurobond documentation, which gives bondholders the right to put the bonds if more than 50% of MTS's shares are transferred from Sistema to another controlling shareholder.
