Common use of Crystallisation Clause in Contracts

Crystallisation. The Lender may, by notice in writing to the Chargor, convert the floating charge referred to in Clause 2.3(b) into a specific fixed charge as regards all or part of the Charged Assets, if an Event of Default has occurred and is continuing, or the Lender considers those assets to be in danger of being seized or sold under any distress, execution or sequestration or to be otherwise in jeopardy. The floating charge referred to in Clause 2.3(b) shall (in addition to the circumstances in which the same shall occur under general law) automatically be converted into a specific fixed charge: (a) if the Chargor takes steps to create any subsequent Encumbrance (other than Permitted Liens) on any of the Charged Assets without the prior approval of the Lender; (b) on the convening of any meeting of the members of the Chargor to consider a resolution to wind up the Chargor (or not to wind up the Chargor); (c) immediately prior to the presentation of a petition (other than a frivolous or vexatious petition) to wind up the Chargor; or (d) if any person levies or attempts to levy distress, execution or sequestration against any of the Charged Assets.

Crystallisation. The Lender may, by notice in writing to the Chargor, convert the floating charge referred to in Clause 2.3(b2.2(b) into a specific fixed charge as regards all or part of the Charged AssetsAssets described therein, if an Event of Default has occurred and is continuing, or the Lender considers those assets to be in danger of being seized or sold under any distress, execution or sequestration or to be otherwise in jeopardy. The floating charge referred to in Clause 2.3(b2.2(b) shall (in addition to the circumstances in which the same shall occur under general law) automatically be converted into a specific fixed charge: (a) if the Chargor takes steps to create any subsequent Encumbrance (other than Permitted Liens) on any of the Charged Assets without the prior approval of the Lender; (b) on the convening of any meeting of the members of the Chargor to consider a resolution to wind up the Chargor (or not to wind up the Chargor); (c) immediately prior to the presentation of a petition (other than a frivolous or vexatious petition) to wind up the Chargor; or (d) if any person levies or attempts to levy distress, execution or sequestration against any of the Charged Assets.