Event of default

The event of breaching a loan agreement.

Each loan agreement will normally define exactly what constitutes an event of default of that agreement.

Events of default will generally include any failure to pay interest or capital on a due date, any failure to comply with a covenant and any inability to repeat a representation.

See also

• Acceleration
• Covenant
• Cross default
• Default
• Financial covenant
• Grace period
• Loan agreement
• Material adverse change
• Representations and warranties
• Waiver
• Putting a limit on losses