Common use of Collection of Dividends Clause in Contracts

Collection of Dividends. During the term of this Security Agreement, Grantor is authorized to collect all dividends, distributions, payments and other amounts that may be or become payable on any of the Collateral so long as no Event of Default has occurred. Upon the occurrence of an Event of Default and during the continuance of an Event of Default, the First Lien Agent is authorized to collect all dividends, distributions, payments or other amounts that may be or become payable on any of the Securities. Such amounts collected may, at the option of the First Lien Agent, be applied to the indebtedness secured hereby. The First Lien Agent shall be under no obligation to collect any such amounts.