Deposit of Proceeds by the Debtor Clause Samples

The 'Deposit of Proceeds by the Debtor' clause requires the debtor to place any funds or assets received from the sale or disposition of collateral into a designated account, typically controlled or monitored by the secured party. In practice, this means that whenever the debtor collects money from selling inventory or other secured assets, those proceeds must be promptly deposited as specified in the agreement. This clause ensures that the secured party can track and potentially control the flow of proceeds, thereby protecting their interest in the collateral and reducing the risk of misappropriation or loss of value.
Deposit of Proceeds by the Debtor. Upon notice by the Agent to the Debtor that the Cash Collateral Account has been opened, the Debtor shall cause all cash Proceeds collected by it to be delivered to the Agent forthwith upon receipt, in the original form in which received (with such endorsements or assignments as may be necessary to permit collection thereof by the Agent), and for such purpose the Debtor hereby irrevocably authorizes and empowers the Agent, its officers, employees and authorized agents to endorse and sign the name of the Debtor on all checks, drafts, money orders or other media of payment so delivered, and such endorsements or assignments shall, for all purposes, be deemed to have been made by the Debtor prior to any endorsement or assignment thereof by the Agent. The Agent may use any convenient or customary means for the purpose of collecting such checks, drafts, money orders or other media of payment.
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Related to Deposit of Proceeds by the Debtor

  • Deposit of Proceeds Subject to Section 4(b), any interest, cash dividends or other cash distributions received in respect of any Investments and the net proceeds of any sale or payment of any Investments shall be promptly credited to, and held for the credit of the Reserve Account, and any distribution of property other than cash in respect of any Investment shall be credited to, and held for the credit of, the Reserve Account.

  • Repayment of Proceeds If Executive engages in Competitive Activity, then Executive shall be required to pay to Investors, within ten business days following the Activity Date, an amount equal to the excess, if any, of (A) the aggregate proceeds Executive received upon the sale or other disposition of Executive's Units, over (B) the aggregate Cost of such Units.

  • Payment of Proceeds Borrower shall forthwith upon receipt of all proceeds of Collateral, pay such proceeds (insurance or otherwise) over to Lender for application against the Obligations in such order and manner as Lender may elect.

  • Investment of Proceeds Prior to the application of the proceeds of the Transaction Security in accordance with Clause 31.1 (Order of Application) the Security Agent may, at its discretion, hold all or part of those proceeds in an interest bearing suspense or impersonal account(s) in the name of the Security Agent or Agent with any financial institution (including itself) and for so long as the Security Agent thinks fit (the interest being credited to the relevant account) pending the application from time to time of those monies at the Security Agent’s discretion in accordance with the provisions of this Clause 31.2.

  • Authorization of Receipt of Funds by the Trustee Under the Collateral Documents Subject to the provisions of the Intercreditor Agreements, the Trustee is authorized to receive any funds for the benefit of the Holders distributed under the Collateral Documents, and to make further distributions of such funds to the Holders according to the provisions of this Indenture.