Collateral Account. The Borrower shall irrevocably direct all present and future Account debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in a Collateral Account, all proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled with any funds or property of the Borrower. Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 2 contracts
Sources: Credit and Security Agreement (Allis Chalmers Corp), Credit and Security Agreement (Allis Chalmers Corp)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day .
(in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such fundsc) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 2 contracts
Sources: Credit and Security Agreement (Naturade Inc), Credit and Security Agreement (Rockshox Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables or other proceeds of the Collateral, in the form received, except for Borrower shall deposit such payments or proceeds into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all such payments and proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 2 contracts
Sources: Credit and Security Agreement (Rmed International Inc), Credit and Security Agreement (Rmed International Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 2 contracts
Sources: Credit and Security Agreement (Atrix Acquisition Corp), Credit and Security Agreement (Lectec Corp /Mn/)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the ObligationsObligations until applied thereto in accordance with the terms of this Agreement. The Lender from time to time at its discretion may, after allowing one (1) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Day, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. (i) The Borrower shall irrevocably direct instruct all present and future Account of its account debtors and other Persons obligated to make all payments constituting Collateral to make such payments in respect of the Borrower’s Accounts directly to the Lockbox. If, notwithstanding such instructions, the Borrower receives any payments in respect of its Accounts, the Borrower shall deposit such payments (including, without limitation, customer deposits) into the Borrower’s Collateral Account. The Borrower shall also promptly (and in any event, no later than on the Banking Day immediately following the date of receipt thereof), deposit all other cash proceeds of Collateral received by the Borrower directly to the Borrower’s Collateral Account. Until so deposited, the Borrower shall hold all such payments and cash proceeds in trust for and as the property of the Lender and shall not commingle such property with any of its other funds or property. All deposits in a Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. All of the Borrower's invoices, account statements and other written or oral communications of the Borrower directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral or proceeds of Collateral shall conspicuously direct that all payments be made to the Lockbox Lockbox, and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper address and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments applicable information relating to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in a Collateral Account, all proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled with any funds or property of the Borrower. Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day .
(in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such fundsii) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the a Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay (x) the Lender, or, Lender or (y) for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's ’s commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the its Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables or other proceeds of Collateral, in the form received, except for Borrower shall deposit such payments and proceeds into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all such payments and proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.pay
Appears in 1 contract
Sources: Credit and Security Agreement (Futech Interactive Products Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables or other proceeds of Collateral, in the form received, except for Borrower shall promptly deposit such payments and proceeds into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all such payments and proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item for which the Borrower has received credit in the Collateral Account is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably direct all present and future Account If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(a) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(b) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(c) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably open and maintain with Bank an account (the “Collateral Account”) into which all funds received by Borrower from any source shall immediately be deposited. Borrower shall direct all present account debtors to mail or deliver all checks or other forms of payment for amounts owing to Borrower to a post office box agreed to by Bank and future Account Borrower, over which Bank shall have exclusive and unrestricted access. Borrower shall direct all account debtors and or other Persons obligated persons owing money to Borrower who make payments constituting Collateral by electronic transfer of funds to make wire such payments funds directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit shall hold in its Collateral Account or, at trust for Bank all amounts that Borrower receives despite the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors directions to make payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender post office box or deposited in a Collateral Account, and immediately deliver such payments to Bank in their original form as received from the account debtor, with proper endorsements for deposit into the Collateral Account. Borrower irrevocably authorizes Bank to transfer to the Collateral Account any funds that have been deposited into any other accounts or that Bank has otherwise received. Borrower shall not establish or maintain any accounts with any Person other than Bank except for accounts opened in the ordinary course of business from which all proceeds or collections of funds exceeding $30,000 are transferred on a monthly basis to the Collateral Account. Bank shall be held have all right, title and interest in trust by the Borrower for and as the property all of the Lender and shall not be commingled with any funds or property of the Borrower. Amounts deposited items from time to time in the Collateral Account and their proceeds. Neither Borrower nor any person claiming through Borrower shall not bear interest and shall not be subject to withdrawal by have any right in or control over the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such Collateral Account, the bank maintaining such account, the amount of that itemuse of, or such bank at its discretion may charge any uncollected item right to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in withdraw any amount from, the Collateral Account, whether which shall be under the sole control of Bank; provided, however, that so long as no Event of Default has occurred and is continuing Borrower shall have the right to make withdrawals from the Collateral Account for use in the ordinary course of business or for purposes not in fact endorsed prohibited by the Borrowerterms of this Agreement. The provisions of this Section 2.8 shall not apply to a Foreign Subsidiary.
Appears in 1 contract
Sources: Loan and Security Agreement (Focus Enhancements Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Meteor Industries Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion shall, after allowing one two Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Marquest Medical Products Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the its Lockbox, immediately upon receipt thereofany Borrower receives any payments on Receivables, in the form received, except for the Borrower's endorsement when deemed necessarysuch Borrower shall deposit such payments into its Collateral Account. Until delivered to the Lender or deposited in a Collateral Accountso deposited, such Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account Accounts shall not bear interest and shall not be subject to withdrawal by the BorrowerBorrowers, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account Accounts shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day .
(in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such fundsd) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the Collateral Account Accounts shall be subject to final payment. If any such item is returned uncollected, the applicable Borrower will immediately pay the Lender, or, for items deposited in such its Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the such Borrower's commercial account or other account. The Borrower Borrowers shall be liable as an endorser on all items deposited in the Collateral AccountAccounts, whether or not in fact endorsed by the BorrowerBorrowers.
Appears in 1 contract
Sources: Credit and Security Agreement (Microtel International Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofany Borrower receives any payments on Receivables, in the form received, except for the such Borrower shall deposit such payments into such Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to the Lender or deposited in a Collateral Accountso deposited, such Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property property; provided, however, that the foregoing shall not be construed to allow the Lender to withhold any such payments after full payment and discharge of the Borrower. all Obligations.
(b) Amounts deposited in the any Collateral Account shall not bear interest and shall not be subject to withdrawal by the any Borrower, except after full payment and discharge of all Obligations. ; provided, however, that if the Borrowers' only outstanding Obligations are principal owing under the Term Loan A Note and the Term Loan B Note, and if no such principal amount is due, the Lender agrees to remit such amounts to such Borrower's demand deposit account maintained with Well▇ ▇▇▇go Bank.
(c) All deposits in the any Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender shall from time to time at its discretion after allowing within one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Day, apply deposited funds in the each Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the any Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower Borrowers will immediately pay the Lender, or, for items deposited in such a Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's any commercial account or other account. The account belonging to the Borrower shall be liable as an endorser on all items deposited in to whom the Collateral Account, whether or not in fact endorsed by the Borroweritem was payable.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the LockboxLockboxes, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion after allowing one Banking Day .
(in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such fundsc) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Organic Food Products Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Subject to Section 2.9 and provided that no Default or Event of Default has occurred and is continuing, after confirmation of good, collected funds, the Lender from time to time at its discretion after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may shall apply deposited funds in the Collateral Account to the payment of the Obligations, Obligations in any the following order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account: first, to outstanding charges due under the Credit Facilities; second, to accrued and unpaid interest then due and payable on the Revolving Advances; third; to the principal installment payments and accrued and unpaid interest then due and payable under the Term Loan; and fourth, to the principal amount of the Revolving Advances. Any remaining funds in the Collateral Account shall be transferred to Borrower's general account. During the continuance of a Default or Event of Default, after confirmation of good, collected funds, the Lender may hold all funds in the Collateral Account as additional security for the Obligations and/or may apply deposited funds in the Collateral Account to the payment of the Obligations by transferring such funds to the Lender's general account in such order and in such amounts as the Lender, in its discretion, may from time to time determine.
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably direct all present and future Account debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The (a) Each Borrower agrees to deposit in its respective Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting CollateralCollateral (but not the proceeds of any loan to Borrower as a borrower made by any party other than Lender and permitted under the terms of this Agreement), and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in a the Collateral AccountAccounts, all proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled with any funds or property of the Borrower. Amounts deposited in the Collateral Account Accounts shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. All deposits in the Collateral Account such collections shall constitute proceeds of Collateral and shall not constitute payment of any Obligation. Collected funds from the ObligationsCollateral Accounts shall be transferred to the Lender's general account, and the Lender may deposit in its general account or in the Collateral Accounts any and all collections received by it directly from the Borrower. The Lender may commingle such funds with other property of the Lender or any other person. The Lender or the Borrower shall, after allowing two Banking Days after deposit in the Collateral Accounts, deposit such funds to the Lender's Account No. 00-28-995 at Norwest Bank Minn▇▇▇▇▇, ▇A. The Lender from time to time at its discretion shall, after allowing (i) one Banking Day (after direct deposit in addition to the one Banking Day during which Lender's Account No. 00-28-995 at Norwest Bank ▇▇▇▇▇ Fargo holds ▇▇▇▇▇, ▇▇, and/or (ii) such funds) later date as may be required for collection, apply such funds in the Collateral Account to the payment of the any and all Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items delivered to the Lender or deposited in the Collateral Account Accounts shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral AccountAccounts, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral AccountAccounts, whether or not in fact endorsed by the Borrower.
(b) If a Default or Default Period exists and upon demand of the Lender, the Borrower shall establish one or more lockbox accounts as directed by the Lender with such banks or depository institutions as shall be satisfactory to the Lender and shall irrevocably direct all present and future Account Debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to such lockbox account. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to such lockbox and shall include such lockbox address or addresses. All payments received in such lockbox accounts shall be processed to the Collateral Accounts.
(c) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations.
Appears in 1 contract
Sources: Credit and Security Agreement (Royal Precision Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables (other than the Receivables of First Team Sports GmbH), in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account or Custodial Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion shall, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (First Team Sports Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one (1) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Day, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Educational Insights Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofeither Borrower receives any payments on Receivables, in such Borrower shall deposit such payments into the form received, except for the Borrower's endorsement when deemed necessaryapplicable Collateral Account. Until delivered to the Lender or deposited in a Collateral Accountso deposited, such Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account Accounts shall not bear interest and shall not be subject to withdrawal by the BorrowerBorrowers, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account Accounts shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day Days for collection plus two (in addition to the one 2) Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days for processing, apply deposited funds in the each Collateral Account to the payment of the applicable Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account Accounts shall be subject to final payment. If any such item is returned uncollected, the applicable Borrower will immediately pay the Lender, or, for items deposited in such a Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the such Borrower's commercial account or other account. The Each Borrower shall be liable as an endorser on all items deposited in the applicable Collateral Account, whether or not in fact endorsed by the such Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Medical Dynamics Inc)
Collateral Account. (i) The Borrower shall irrevocably direct cause all present and future Account debtors and other Persons obligated proceeds of sales of Inventory to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the deposited into a Collateral Account. The Borrower agrees to shall also deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of CollateralCollateral and all cash proceeds from other property and assets of Borrower (including, which without limitation, proceeds from any loss or condemnation of or from the Borrower may receive sale or other disposition of any real property) regardless of source or nature directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in into a Collateral Account. Until so deposited, the Borrower shall hold all such payments and cash proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such property with any of its other funds or property of the Borrower. Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligationsproperty. All deposits in the a Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Indebtedness.
(ii) All items received by Lender from time to time at its discretion after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may apply funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. All items deposited in the a depositary bank maintaining a Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such a Collateral Account, the depositary bank maintaining such account, the amount of that item, or such depositary bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the a Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Seaway Valley Capital Corp)
Collateral Account. (a) The Lender may establish a collateral account (the "Collateral Account") for the deposit of payments on Receivables.
(b) If the Collateral Account is so established, the Borrower shall irrevocably direct all present and future Account debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that promptly deposit all payments be made to the Lockbox and shall include the Lockbox address. All payments on Receivables received in the Lockbox shall be processed to by it into the Collateral Account. The Borrower agrees Until so deposited or paid to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make shall hold all payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in a Collateral Account, all proceeds or collections of Collateral shall be held on Receivables in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(c) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(d) All deposits in the Collateral Account shall constitute proceeds of Collateral ofCollateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(e) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofany Borrower receives any payments on Receivables, in that Borrower shall deposit such payments into the form received, except for the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to the Lender or deposited in a Collateral Accountso deposited, each Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the any Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Day, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower Borrowers will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's Borrowers' commercial account or other account. The Each Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the that Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Eagle Geophysical Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The After allowing two Banking Days for collection of items deposited in the Collateral Account, the Borrower authorizes the Lender from time to time at its discretion after allowing one Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may apply transmit deposited funds in the Collateral Account amount of the deposit to the payment of the Obligations, in any order or manner of application satisfactory to the LenderLender (and deposits shall be applied to the Obligations after allowing one additional Business Day for processing), by transferring such funds to the Lender's general accountaccount maintained with Norwest Bank Minnesota, N.A., ABA #0910▇▇▇▇▇, ▇▇count No. 635-5010▇▇▇.
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately promptly pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Chaparral Network Storage Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one 2 Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Bentley International Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables or other proceeds of Collateral, in the form received, except for Borrower shall deposit such payments and proceeds into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all such payments and proceeds or collections of Collateral shall be held in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one (1) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Day, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Heartland Technology Inc)
Collateral Account. The ( a) Upon the occurrence and during the continuance of an Event of Default, the Lender may establish a collateral account (the "Collateral Account") for the deposit of payments on Receivables and Subsidiary Receivables.
( b) If the Collateral Account is so established, the Borrower shall irrevocably direct promptly deposit, and shall require each Subsidiary to promptly deposit, all present and future Account debtors payments on Receivables, Subsidiary Receivables and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All cash proceeds of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account Collateral received by it or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to Subsidiary into the Collateral Account. The Borrower agrees Until so deposited or paid to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make Subsidiaries shall hold all payments to the Lockbox, immediately upon receipt thereof, in the form received, except for the Borrower's endorsement when deemed necessary. Until delivered to the Lender or deposited in a Collateral Account, all proceeds or collections of Collateral shall be held on Receivables and Subsidiary Receivables in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
( c) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the BorrowerBorrower or any Subsidiary, except after full payment and discharge of all Obligations. .
( d) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion shall, after allowing one 2 Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
( e) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower or its Subsidiaries will immediately pay the Lender, or, for items deposited in such Collateral Account, the bank maintaining such account, Lender the amount of that item, or such bank the Lender at its discretion may charge any uncollected item to the Borrower's commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Credit and Security Agreement (Health Fitness Physical Therapy Inc)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofany of the Borrowers receives any payments on Receivables, in that Borrower shall deposit such payments into the form received, except for the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrowers shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by any of the BorrowerBorrowers, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one (2) Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower Borrowers will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's Borrowers' commercial account or other account. The Borrower Borrowers shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the BorrowerBorrowers.
Appears in 1 contract
Sources: Credit and Security Agreement (Nu Kote Holding Inc /De/)
Collateral Account. The Borrower shall irrevocably direct all present and future Account (a) If, notwithstanding the instructions to debtors and other Persons obligated to make payments constituting Collateral to make such payments directly to the Lockbox. All of the Borrower's invoices, account statements and other written or oral communications directing, instructing, demanding or requesting payment of any Account or any other amount constituting Collateral shall conspicuously direct that all payments be made to the Lockbox and shall include the Lockbox address. All payments received in the Lockbox shall be processed to the Collateral Account. The Borrower agrees to deposit in its Collateral Account or, at the Lender's option, to deliver to the Lender all collections on Accounts, contract rights, chattel paper and other rights to payment constituting Collateral, and all other cash proceeds of Collateral, which the Borrower may receive directly notwithstanding its direction to Account debtors and other obligors to make payments to the Lockbox, immediately upon receipt thereofthe Borrower receives any payments on Receivables, in the form received, except for Borrower shall deposit such payments into the Borrower's endorsement when deemed necessaryCollateral Account. Until delivered to so deposited, the Lender or deposited in a Collateral Account, Borrower shall hold all proceeds or collections of Collateral shall be held such payments in trust by the Borrower for and as the property of the Lender and shall not be commingled commingle such payments with any of its other funds or property of the Borrower. property.
(b) Amounts deposited in the Collateral Account shall not bear interest and shall not be subject to withdrawal by the Borrower, except after full payment and discharge of all Obligations. .
(c) All deposits in the Collateral Account shall constitute proceeds of Collateral and shall not constitute payment of the Obligations. The Lender from time to time at its discretion may, after allowing one two Banking Day (in addition to the one Banking Day during which ▇▇▇▇▇ Fargo holds such funds) may Days, apply deposited funds in the Collateral Account to the payment of the Obligations, in any order or manner of application satisfactory to the Lender, by transferring such funds to the Lender's ’s general account. .
(d) All items deposited in the Collateral Account shall be subject to final payment. If any such item is returned uncollected, the Borrower will immediately pay the Lender, or, for items deposited in such the Collateral Account, the bank maintaining such account, the amount of that item, or such bank at its discretion may charge any uncollected item to the Borrower's ’s commercial account or other account. The Borrower shall be liable as an endorser on all items deposited in the Collateral Account, whether or not in fact endorsed by the Borrower.
Appears in 1 contract
Sources: Loan and Security Agreement (Technology Flavors & Fragrances Inc)