Glossary entry

Danish term or phrase:

negativerklæring

English translation:

negative covenant, negative clause, negative pledge (clause)

Added to glossary by Huijun Suo
Aug 3, 2007 11:55
16 yrs ago
1 viewer *
Danish term

negativerklæring

Danish to English Bus/Financial Finance (general)
relating to a loan
Change log

Aug 3, 2007 12:00: writeaway changed "Language pair" from "English" to "Danish to English"

Aug 8, 2007 08:51: Huijun Suo changed "Edited KOG entry" from "<a href="/profile/89240">Charlesp's</a> old entry - "negativerklæring"" to ""negative covenant, negative clause, negative pledge (clause)""

Proposed translations

5 hrs
Selected

negative covenant, negative clause, negative pledge (clause)

Please efer to German to English translation of Negativerklärung, which I am sure is the exact equivalent of Danish negativerklæring:

http://chi.proz.com/kudoz/98792

Google search results are numerous.

Deutsche Bank | Negative clause-
Negative clause, Deutsche Bank. Also referred to as negative pledge. Obligation on the part of a debtor with respect to the creditor, in the case of long-term credits and bond issues, to refrain from encumbering specific assets ...
www.deutsche-bank.de/lexikon/2465.html

negative pledge clause Definition-
negative pledge clause - definition of negative pledge clause - A covenant in a bond agreement whereby the borrower agrees not to pledge any assets if such pledging would result in less security for the...
www.investorwords.com/3219/negative_pledge_clause.html

Negative Pledge - Reuters Financial Glossary-
Negative Pledge. From Reuters Financial Glossary. A clause in a bond agreement which prevents the borrower from pledging greater security or collateral to other lenders. ...
glossary.reuters.com/index.php/Negative_Pledge


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Note added at 5 hrs (2007-08-03 17:40:09 GMT)
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Judging from the google searches, it seems that "negative covenant/clause" is the broadest concept of those answers I offered:

Legal Definition of Covenant-
A negative covenant is one where the party binds himself that he has not performed and will not perform a certain act; ... There is also a difference between a negative covenant, which is only in affirmance of an affirmative covenant ...
www.lectlaw.com/def/c323.htm

http://law.jrank.org/pages/8778/Negative-Covenant.html

Forbes: Financial Glossary-
Negative covenant. A bond covenant that limits or prohibits altogether certain actions unless the bondholders agree. Sitemap Help Contact Us Investment Newsletters Forbes Conferences Forbes Magazines Forbes Autos Ad Information ...
www.forbes.com/tools/glossary/search.jhtml?term=negative_co...

If it involves a loan agreement, then negative pledge may be more accurate. It depends on the context, but "negative covenant" applies in all cases.
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