Common use of Collateral Account Distributions Clause in Contracts

Collateral Account Distributions. (a) Upon the receipt by the Collateral Agent of a Notice of Default, at the direction of the Required Secured Parties, there shall be established and, at all times thereafter until this Agreement shall have terminated, there shall be maintained with the Collateral Agent at the office of the Collateral Agent, an account which shall be entitled the "ONEIDA Collateral Account" (the "Collateral Account"). All moneys which are required by this Agreement, the Credit Agreement or the Security Documents to be delivered to the Collateral Agent while a Notice of Default is in effect or which are received by the Collateral Agent or any agent or nominee of the Collateral Agent in respect of the Collateral, whether in connection with the exercise of the remedies provided in this Agreement, the Credit Agreement or the Security Documents or otherwise, while a Notice of Default is in effect, shall be deposited in the Collateral Account and thereafter shall be held by the Collateral Agent as part of the Collateral and applied in accordance with the terms of this Agreement. Upon the cancellation of any Notice of Default pursuant to Section 6(b)(ii) hereof, the Collateral Agent shall (subject to the first sentence of Section 5(d) hereof) promptly cause all funds on deposit in the Collateral Account to be paid over to the Borrower except as may otherwise be required pursuant to the Credit Agreement. (a) All right, title and interest in and to the Collateral Account shall vest in the Collateral Agent, and funds on deposit in the Collateral Account shall constitute part of the Collateral. The Collateral Account shall be subject to the exclusive dominion and control of the Collateral Agent in accordance with the terms hereof. (b) The Collateral Agent shall invest and reinvest monies on deposit in the Collateral Account at any time upon the written instructions of the Required Secured Parties in

Collateral Account Distributions. (a) Upon the receipt by the Collateral Agent of a Notice of Default, at the direction of the Required Secured Parties, there shall be established and, at all times thereafter until this Agreement shall have terminated, there shall be maintained with the Collateral Agent at the office of the Collateral Agent, an account which shall be entitled the "ONEIDA Guilford Mills Collateral Account" (the "Collateral Account"). All moneys which ▇▇▇▇▇▇ ▇▇▇▇▇ are required by this Agreement, the Credit Agreement or the Security Documents to be delivered to the Collateral Agent while a Notice of Default is in effect or which are received by the Collateral Agent or any agent or nominee of the Collateral Agent in respect of the Collateral, whether in connection with the exercise of the remedies provided in this Agreement, the Credit Agreement or the Security Documents or otherwise, while a Notice of Default is in effect, shall be deposited in the Collateral Account and thereafter shall be held by the Collateral Agent as part of the Collateral and applied in accordance with the terms of this Agreement. Upon the cancellation of any Notice of Default pursuant to Section 6(b)(ii2(b)(ii) hereof, the Collateral Agent shall (subject to the first sentence of Section 5(d8(d)) hereof) promptly hereof cause all funds on deposit in the Collateral Account to be paid over to the Borrower except as may otherwise be required pursuant to the Credit AgreementBorrower. (ab) All right, title and interest in and to the Collateral Account shall vest in the Collateral Agent, and funds on deposit in the Collateral Account shall constitute part of the Collateral. The Collateral Account shall be subject to the exclusive dominion and control of the Collateral Agent in accordance with the terms hereof. (bc) The Collateral Agent shall invest and reinvest monies on deposit in the Collateral Account at any time upon the written instructions of the Required Secured Parties inin Cash Equivalents. All such investments and the interest and income received thereon and the net proceeds realized on the sale thereof shall be held in the Collateral Account as part of the Collateral. (d) The Collateral Agent shall have the right (pursuant to Section 17 hereof) at any time to apply moneys held by it in the Collateral Account to the payment of due and unpaid Collateral Agent Fees. All remaining money held by the Collateral Agent in the Collateral Account or received by the Collateral Agent while a Notice of Default is in effect shall, to the extent available for distribution (it being understood that the Collateral Agent may liquidate investments prior to maturity in order to make a distribution pursuant to this Section 8), be distributed by the Collateral Agent in the following order of priority: