In addition, because of the “drawdown” conditions, borrowers must certify that they are fulfilling their insurance and guarantees – depending on the circumstances, the so-called “repeated representations” is the shorter subset of representations presented in the initial credit contract that must be correct and correct at the time of the commitment and date of presentation of a payment certificate – or, possibly, possibly , for weaker borrowers or in situations financed by external funds. , they must respect all the elements mentioned in the credit agreement, referring to the facts and circumstances that existed at the time they were presented. The LMA user manuals (available in the “Documents – Policy” section of its website) and the Association of Corporate Treasurers (ACT) Borrower`s Guide to the LMA`s Investment Grade Agreements contain useful information on failure events in the LMA Investment Grade documentation. Registration with ACT is required to access their guide. Cautious borrowers may attempt to limit the aforementioned branch of the default in order to exclude negotiations with commercial creditors; that negotiations take place with a “class” and not with a single creditor; or to indicate that the event of the delay is only triggered during a formal judicial proceeding. Given the factual nature of this provision, it is also important that borrowers and their advisors be vigilant and carefully consider whether they may cause a default at the beginning of a stressful or soon-to-be troubled scenario when informal discussions are initiated with a single creditor or a single class of creditors. Most facilities agreements therefore include a mechanism: Under which a lender, If it chooses to do so, may take certain measures in the event of non-compliance with the loan, this practice note highlights the relevant provisions of the reference agreement (term loans): individual borrowers – bilaterally – with or without collateral or guarantee, and the Investment Degree Investment Agreement (LMA facility) (LMA facility agreement) (available to LMA members on LMA website). (i) a late payment that becomes an actual delay event should only be corrected by an explicit written waiver from lenders, while (ii) any other delay event can be corrected by the borrower acting alone. (i) Perhaps the most obvious consequence of a lender entitled to declare a late event is that it is then able to expedite the claims due to it and perhaps file claims as part of a guarantee and impose any guarantees of which it has the benefit.