Common use of Conversion of Floating Charge Clause in Contracts

Conversion of Floating Charge. 3.4.1 The Security Agent may, by notice to the Chargor, convert the floating charge created under this Debenture into a fixed charge with immediate effect as regards those assets specified in the notice, if: (a) an Acceleration Event has occurred; or (b) the Chargor requests the Security Agent to exercise any of its powers under this Debenture. 3.4.2 The floating charge created under this Debenture will automatically (without notice) and immediately be converted into a fixed charge over all the assets of the Chargor which are subject to the floating charge created under this Debenture, if: (a) the members of the Chargor convene a meeting for the purposes of considering any resolution for its winding-up, dissolution, or a compromise, assignment or arrangement with any creditor; (b) the Chargor creates, or purports to create, Security or Quasi-Security (except as permitted by the Secured Debt Documents or with the prior consent of the Security Agent) on or over any asset which is subject to the floating charge created under this Debenture; (c) any third party takes any step with a view to levying distress, attachment, execution or other legal process against any such asset; or (d) any person (entitled to do so) gives notice of its intention to appoint an administrator to the Chargor or files such a notice with the court.

Conversion of Floating Charge. 3.4.1 (a) The Security Agent may, by notice to the Chargor, convert the floating charge created under this Debenture into a fixed charge with immediate effect as regards those assets specified in the notice, if: (ai) an Acceleration Event has occurred; or (bii) the Chargor requests the Security Agent to exercise any of its powers under this Debenture. 3.4.2 (b) The floating charge created under this Debenture will automatically (without notice) and immediately be converted into a fixed charge over all the assets of the Chargor which are subject to the floating charge created under this Debenture, if: (ai) the members of the Chargor convene a meeting for the purposes of considering any resolution for its winding-up, dissolution, or a compromise, assignment or arrangement with any creditor; (bii) the Chargor creates, or purports to create, Security or Quasi-Security (except as permitted by the Secured Debt Finance Documents or with the prior consent of the Security Agent) on or over any asset which is subject to the floating charge created under this Debenture; (ciii) any third party takes any step with a view to levying distress, attachment, execution or other legal process against any such asset; or; (div) any person (entitled to do so) gives notice of its intention to appoint an administrator to the Chargor or files such a notice with the court.