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A comment on Twitter is being evicted from its Boulder office over unpaid rent. Parent comment

Re:Twitter is being evicted from its Boulder office over unp... by mistrial9 on Wednesday June 14, 2023 @03:43PM (#36331495)
it sounds to me like the line of credit is just a loan, such that the money for "rent" comes from a "loan" .. no cash flow involved. whoever wrote the line of credit is the one paying the rent. In large finance groups, I get the feeling this is ordinary back-scratch behavior.
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Re:Twitter is being evicted from its Boulder office over unp... by gingerrr on Wednesday June 14, 2023 @06:27PM (#36333675)
One major difference is that with standard lines of credit it's a transaction between the bank loaning funds and the borrower only. With letters of credit, the payee is also a signatory to the contract.

edit: and I guess the payee's receiving financial institution is also a signatory if those are different entities from the payee! Or at least can be, I'm running into Dunning Kruger so I'll tap out now.

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