Definition for : Event of default

A "Notice of Default" is sent in relation with a loan by a lender (or for a Syndicated loan, by the Security agent), or in relation with a Bond by the Bond trustee, to the borrower/issuer which is in default under one or several contractual obligations, such as the full and punctual payment of Principal due and interests. A Notice of Default is sent following an "Event of Default".
(See Chapter 46 Leveraged buyouts (LBOs) of the Vernimmen)
To know more about it, look at what we have already written on this subject