Common use of Fixed Security Clause in Contracts

Fixed Security. The Chargor, as beneficial owner and as security for the payment of all the Secured Liabilities, charges in favour of the Agent:- (a) by way of a first equitable mortgage all Shares held by it and/or any nominee on its behalf and all Related Rights accruing to the Shares; and (b) by way of first fixed charge:- (i) (to the extent not effectively mortgaged under paragraph (a) above) its interest in all the Shares and their Related Rights; (ii) to the fullest extent permitted by law, all moneys standing to the credit of any account (including the Security Accounts) with any person and the debts represented by them; (iii) all of the Chargor's book and other debts, the proceeds of the same and all other moneys due and owing to the Chargor and the benefit of all rights, securities and guarantees of any nature enjoyed or held by it in relation to any of the foregoing; and (iv) to the extent that they are able to be the subject of any Security Interest, the benefit of all licences, consents and authorisations (statutory or otherwise) held in connection with its business or the use of any Security Asset specified in any other sub-paragraph in this Clause and the right to recover and receive all compensation which may be payable to it in respect of them. The Agent may convert the equitable mortgage created in paragraph (a) above into a legal mortgage if a Default is outstanding. The mortgages and charges created by this Clause 2 are made with full title guarantee.