Common use of Assignment by the Pledgee Clause in Contracts

Assignment by the Pledgee. 7.1 The Pledgor acknowledges and agrees that the Pledgee shall be entitled, without the consent of the Pledgor, to negotiate, assign, discount, pledge or hypothecate the Pledgor's Obligations or any part thereof, together with all evidences of the Pledgor's Obligations and any security given therefor, and all its rights hereunder with respect to the Pledgor's Obligations to whomsoever it desires (the "holder(s)") subject to the equities, and in every such case: (a) payment of the Pledgor's Obligations shall be made by the Pledgor to the holder(s) of the Pledgor's Obligations instead of the Pledgee upon notice being given by the holder(s) to the Pledgor; (b) no holder(s) of the Pledgor's Obligations shall be affected by the state of accounts between the Pledgor and the Pledgee or by any equities existing between the Pledgor and the Pledgee unless otherwise expressly provided; and -6- (c) the holder(s) of the Pledgor's Obligations shall be and is deemed to be a holder in due course and for value. 7.2 In the event of an assignment pursuant to Section 7.1 hereof, effective as of the date of such assignment, the name of the assignee of the rights under this Agreement with respect to the Pledgor's Obligations shall be deemed to be substituted for any reference herein to the Pledgee and all rights of the Pledgee with respect to the Pledgor's Obligations and the security therefor shall be conferred upon the assignee.

Assignment by the Pledgee. 7.1 The Pledgor acknowledges and agrees that the Pledgee shall be entitled, without the consent of the Pledgor, to negotiate, assign, discount, pledge or hypothecate the Pledgor's Obligations or any part thereof, together with all evidences of the Pledgor's Obligations and any security given therefor, and all its rights hereunder with respect to the Pledgor's Obligations to whomsoever it desires (the "holder(s)") subject to the equities, and in every such case: (a) payment of the Pledgor's Obligations shall be made by the Pledgor to the holder(s) of the Pledgor's Obligations instead of the Pledgee upon notice being given by the holder(s) to the Pledgor; ; (b) no holder(s) of the Pledgor's Obligations shall be affected by the state of accounts between the Pledgor and the Pledgee or by any equities existing between the Pledgor and the Pledgee unless otherwise expressly provided; and -6- and (c) the holder(s) of the Pledgor's Obligations shall be and is deemed to be a holder in due course and for value. 7.2 In the event of an assignment pursuant to Section 7.1 hereof, effective as of the date of such assignment, the name of the assignee of the rights under this Agreement with respect to the Pledgor's Obligations shall be deemed to be substituted for any reference herein to the Pledgee and all rights of the Pledgee with respect to the Pledgor's Obligations and the security therefor shall be conferred upon the assignee.