what are ordinary course obligations

Recourse Obligations has the meaning set forth in Section 2.1. Ordinary Course of Business means the ordinary course of business consistent with past custom and practice (including with respect to quantity and frequency).

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What does it mean in the ordinary course of business?

The ordinary course of business is a standard used to indicate within a specified period, a business: Has been conducted consistently within the scope of past commercial customs and practices. Has not incurred any liabilities outside the day-to-day operations.

What are the different obligations?

In legal terminology, there are several forms of obligation, including: absolute obligation. contractual obligation. ... moral obligation.Jan 13, 2022

What are the elements of an obligations?

Every obligation has four essential elements: an active subject; a passive subject; the prestation; and the legal tie. The ACTIVE SUBJECT is the person who has the right or power to demand the performance or payment of the obligation. He is also called the obligee or the creditor.

What is the definition of obligation duty?

If you say that someone has an obligation to do something or a duty to do something, you mean that they ought to do it, because it is their responsibility. When obligation and duty are used like this, they have the same meaning. ... Your duties are the things that you do as part of your job.

What is obligation Give example of obligation?

The definition of an obligation is something that someone is required to do. An example of obligation is for a student to turn in his homework on time every day. noun. 4. A moral or legal duty to perform or to not perform some action.

What are the 2 kinds of obligations?

C. Kinds of ObligationsPure.Conditional.Obligation with a period or a term.Alternative or facultative.Joint and solidary obligations.Obligations with a penal clause.Feb 28, 2021

What is real obligation?

Real obligation means legal obligation that is connected with real property. t is a duty that corresponds to real right. In other words, real obligation of a person refers to those duties that a person must perform in return for the right that s/he exercises.

What are the 5 sources of obligation?

Terms in this set (6)Law.Contracts.Quasi-contracts.Crimes or acts or omissions punished by law.Quasi-delicts or torts.

What is real obligation personal obligation?

1. Real obligation - obligation to give; is that in which the subject is a thing which the obligor must deliver to the obligee. 2. Personal obligation - obligation to do or not to do; is that in which the subject is an act to be done or not to be done.

Is duty and obligation the same?

If you say that someone has an obligation to do something or a duty to do something, you mean that they ought to do it, because it is their responsibility. When obligation and duty are used like this, they have the same meaning. ... Your duties are the things that you do as part of your job.

How do you create an obligation?

An obligation can be created voluntarily, such as obligation arising from a contract, quasi-contract, unilateral promise. An obligation can also be created involuntarily, such as an obligation arising from torts or a statute (e.g. California Uniform Interstate Family Support Act).

How do you write obligations?

To say something is necessaryMust. We use “must” to talk about obligations. ... Remember that “must” is a modal auxiliary verb. ... Have to. ... Have got to. ... Need to. ... Typical grammar mistake! ... To say that there is an obligation not to do something, use “mustn't”. ... be allowed to.More items...

What is ordinary course of business?

The ordinary course of business is anything that falls within the scope of activities that would be considered normal for a business. When the legality or legitimacy of transactions is challenged, one of the tests used to determine whether ...

What degree does Mary have?

Mary has a liberal arts degree from Goddard College and spends her free time reading, cooking, and exploring the great outdoors.

What is legal code?

Legal codes pertaining to business matters usually define this terminology for the benefit of people involved in legal disputes, and there may be further definitions in the areas of the legal code that cover specific industries. In order to be within the ordinary course of business, a transaction must adhere to the practices and customs ...

Examples of Ordinary Course Expenses in a sentence

On December 1, 2017, the Debtors filed a Motion Seeking Entry of an Order Authorizing Debtors to (a) Pay Undisputed Amounts of Obligations Owed to Certain Secured Creditors, (b) Escrow Disputed Amounts as Adequate Protection, and (c) Use Cash Collateral to Pay Ordinary Course Expenses [Dkt.

More Definitions of Ordinary Course Expenses

Ordinary Course Expenses means, with respect to any Payment Date, all expenses and costs, incurred by, or on behalf of any WEST Group Member in connection with the ownership, use, leasing and/or operation of the Engines, during the related Collection Period that are not Service Provider Fees.

What is ordinary course?

Thus, "ordinary course " has nothing to do with the frequency with which a shareholder takes certain kinds of positions in the market; it is instead measured by the purpose for which shares were acquired.

What is a cease and desist order?

On July 21, 2009, the Securities and Exchange Commission (SEC) entered an Order Instituting Administrative Cease-and-Desist Proceedings ("Order") that is likely to expand the circumstances under which an institutional investor must file a disclosure statement pursuant to Section 13 (d) of the Securities Exchange Act of 1934. 1 Section 13 (d) generally requires a shareholder to disclose within 10 days its acquisition of beneficial ownership of more than 5 percent of a class of equity securities of an issuer. Rule 13d-1 (b) permits certain institutional shareholders to defer disclosure if the shareholder acquired such securities "in the ordinary course of his business and not with the purpose nor with the effect of changing or influencing control of the issuer." The Order provides new guidance on the "ordinary course of ... business" language, declaring that "ordinary course" only applies when the shareholder acquires shares as part of market making or passive investment activities. When a shareholder acquires shares in an issuer for the purpose of "affecting or influencing the outcome of a transaction," even if there is no intention to influence control over that issuer, the acquisition can never be said to be in the ordinary course of business. Thus, "ordinary course" has nothing to do with the frequency with which a shareholder takes certain kinds of positions in the market; it is instead measured by the purpose for which shares were acquired.

How long does it take to file a Schedule 13D?

In the Order, the SEC found that Perry should have filed a Schedule 13D within 10 days of having acquired 5 percent of the shares of Mylan. The SEC posited that the purpose of the filing requirements of Section 13 (d) are to provide notice to stockholders of takeover attempts and to ensure disclosure of substantial acquisitions of securities within a relatively short period of time. According to the Order, the intent of Congress in adding the "ordinary course" language to Section 13 (d) was to exempt from the more rigorous disclosure provisions of Schedule 13D broker-dealers and stock exchange specialists who were trading for passive investment or market making purposes. The SEC then reasoned that since Perry had acquired Mylan shares without the intention to profit from ownership of the shares, it had not acquired the shares "in the ordinary course of business." 5 Such acquisitions do not come under the "ordinary course" exception, the SEC declared, even if the investor routinely engages in this kind of transaction. Thus, the ability to defer filing pursuant to Rule 13d-1 (b) is not only unavailable when an investor acquires beneficial ownership of securities with the purpose or effect "of changing or influencing control of the issuer," but also more generally when the investor's purpose is to "affect [] or influenc [e] the outcome of a transaction." The ability to defer disclosure, then, is only available to qualified institutional investors who have acquired the shares for passive investment or ordinary market making purposes. 6