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Latham in Focus Video Series

The Book of Jargon Series – Word of the Day®

The Book of Jargon® is a series of practice area and industry-specific glossaries published by Latham & Watkins.

Loss Payee

the person or persons to whom a property insurance company writes a check for proceeds of a claim. Secured Lenders want to be named a Loss Payee because the damaged or destroyed property is the Collateral securing the Lenders’ loan, so they want to ensure that any proceeds received in respect of such Collateral are used to either purchase replacement Collateral or repay debt.

Word of the Day®

Side-Car

a facility which the Borrower incurs in lieu of, but in accordance with the restrictions contained in the Incremental Facility but which is documented outside of the Facility Agreement.

Word of the Day®

Algorithm

a system for solving a specific class of problems. Algorithms are the step-by-step instructions given to a computer in order to produce a desired outcome. In the Cryptocurrency world, each Consensus model follows a certain Algorithm.

Word of the Day®

Unit Majority

during the Subordination Period, means at least a majority of the aggregate number of Outstanding Common Units and Outstanding Subordinated Units, voting as separate classes. After the Subordination Period, means at least a majority of the aggregate number of Outstanding Common Units.

Word of the Day®

Dry Closing

a lending transaction in which all of the documents are executed and delivered but no money flows, pending satisfaction of one or more Conditions Subsequent, at which point the Financial Closing will occur (i.e., the loans will be made).

Word of the Day®

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