Common use of Distribution by Agent Clause in Contracts

Distribution by Agent. If in the opinion of the Agent the distribution of any amount received by it in such capacity hereunder, under the Revolving Credit Notes, the Bankers' Acceptances or under any of the other Loan Documents might involve it in liability, it may refrain from making distribution until its right to make distribution shall have been adjudicated by a court of competent jurisdiction. If a court of competent jurisdiction shall adjudge that any amount received and distributed by the Agent is to be repaid, each Person to whom any such distribution shall have been made shall either repay to the Agent its proportionate share of the -105- 115 amount so adjudged to be repaid or shall pay over the same in such manner and to such Persons as shall be determined by such court.

Distribution by Agent. If in the opinion of the Agent the distribution of any amount received by it in such capacity hereunder, under the Revolving Credit Notes, the Bankers' Acceptances Notes or under any of the other Loan Documents might involve result in the incurrence by it in of any liability, it may refrain from making such distribution until its right to make such distribution shall have been adjudicated by a court of competent jurisdiction. If a court of competent jurisdiction shall adjudge that any amount received from the Borrower and distributed by the Agent is to be repaid, each Person to whom any such distribution shall have been made shall either repay to the Agent its proportionate share of the -105- 115 amount so adjudged to be repaid or shall pay over the same in such manner and to such Persons as shall be determined by such court.