Definitions.

CFR · 2024-01-01 · US · Title 7

For the purpose of this part: (1) No default has occurred in the payment of principal or interest in accordance with the terms of such note or bond that is continuing beyond the contractual grace period (if any) provided in such note or bond for such payment; (2) No “event of default”, as defined in such note or bond (or in any instrument creating a security interest in favor of the guaranteed lender, in respect of such note or bond), shall exist that has resulted in the exercise of any right or remedy described in such note or bond (or in any such instrument); (3) Such note or bond is not classified by the guaranteed lender as “non-performing, criticized or impaired” (or any comparable classification, as determined by RUS) under generally accepted accounting principles in the United States or this part; (4) Such note or bond is free and clear of all liens other than the lien created by the guaranteed lender's pledge of such security to RUS under the Pledge Agreement; (5) Such note or bond is not a restructured loan; (6) Such note or bond is not unsecured debt; and (7) The amount of generation or transmission loans does not exceed the maximum amount allowed by RUS based on RUS's sole determination of certain factors including, but not limited to, account risk, collateral quality, and collateral quantity. (1)(i) The pledged instruments and the certificates representing the pledged instruments; (ii) All payments of principal or interest, cash, instruments, and other property fr

official document · source cfr-2024 · id 7:§ 1720.3