Common use of Control of Accounts Clause in Contracts

Control of Accounts. (A) Upon an Event of Default, Bank shall have the right at any time and from time to time, without notice, to notify Account Debtors to make payments to Bank, to endorse all items of payment which may come into its hands payable to an Obligor, to take control of any cash or non-cash proceeds of Accounts and of any returned or repossessed goods; to compromise, extend or renew any Account or deal with it as it may deem advisable, and to make exchanges, substitutions or surrenders of Collateral and to notify the postal authorities to deliver all mail, correspondence or parcels addressed to an Obligor to Bank at such address as Bank may choose. (B) The Obligors herewith appoint Bank or its designee as Attorney-in-Fact to endorse the Obligors' names on any checks, notes, acceptances, drafts or any other Instrument or document requiring said endorsement and to sign the Obligors' names on any invoice or bills of lading relating to any Account, or drafts against its customers, or schedules or confirmatory assignment on Accounts, or notices of assignment, financing statements under the Uniform Commercial Code, and other public records, and in verification of Accounts and in notices to Account Debtors; provided, however, that Bank shall not exercise any rights pursuant to its appointment as Attorney-in-Fact under this Section 6.10(B) until the occurrence of an Event of Default. Bank shall have no obligation to preserve any rights against any Person obligated on any Account, Chattel Paper, Instrument or other item of Collateral.

Control of Accounts. (A) Upon an Event of Default, Bank shall have the right at any time and from time to time, without notice, after an Event of Default to notify Account Debtors to make payments to Bank, to endorse all items of payment which may come into its hands payable to an ObligorBorrower or Guarantors, to take control of any cash or non-cash proceeds of Accounts and of any returned or repossessed goods; to compromise, extend or renew any Account or deal with it as it may deem advisable, and to make exchanges, substitutions or surrenders of Collateral and Collateral, to notify the postal authorities authorities, to deliver all mail, correspondence or parcels addressed to an Obligor Borrower or Guarantors to Bank at such address as Bank may choose. (B) The Obligors Each of Borrower and Guarantor herewith appoint appoints Bank or its designee as Attorneyattorney-in-Fact fact to endorse the ObligorsBorrower's or Guarantors' names (as applicable) on any checks, notes, acceptances, drafts or any other Instrument or document requiring said endorsement and to sign the Obligors' Borrower's names on any invoice or bills of lading relating to any Account, or drafts against its customers, or schedules or confirmatory assignment on Accounts, or notices of assignment, financing statements under the Uniform Commercial Code, and other public records, and in verification of Accounts and in notices to Account Debtors; provided, however, that Bank shall not exercise any rights pursuant to its appointment as Attorney-in-Fact under this Section 6.10(B. (C) until the occurrence of an Event of Default. Bank shall have no obligation to preserve any rights against any Person obligated on any Account, Chattel Paper, Instrument or other item of Collateral.