Square D Company and Subsidiaries - Page 64

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          period from May 30 to June 12, 1991, and the $1,056,020 at issue            
          represents the fee owed from February 18 through June 12, 1991,24           
          the amount at issue covers periods where Schneider alone was                
          legally obligated to pay, and a brief period where both Schneider           
          and ACQ were obligated to pay.  Thus, the commitment fee                    
          respondent has challenged includes amounts for which ACQ, as well           
          as Schneider, was obligated.                                                
               In the case of the legal fees, the question of who was                 
          obligated to pay them is more difficult.  It is clear that                  
          Schneider was initially obligated to pay the legal fees.  A                 
          letter from Schneider to the French banks, which was required by            
          the Commitment Letter, contains the following provision:  “We               
          herewith declare that our Company agrees to indemnify your two              
          Banks * * * as to all costs, expenses or liabilities or [sic] any           
          kind whatsoever arising from” the Bridge Loan.  As with the                 
          Commitment Letter itself, we find that “our Company” refers to              
          Schneider; thus, Schneider was initially obligated.                         
               The Bridge Loan agreement, on the other hand, provides as              
          follows:                                                                    



               24 There has been no suggestion that Schneider and ACQ each            
          owed separate 0.3 percent loan commitment fees with respect to              
          the same undisbursed funds.  Thus, unless the banks charged no              
          commitment fee under the Bridge Loan agreement, or charged a                
          separate fee that does not appear in the record, the $1,056,020             
          at issue would appear to include payments made under both the               
          Commitment Letter and Bridge Loan agreement.                                





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