Floating Charges Clause Samples
A floating charge is a security interest over a pool of changing assets, such as inventory or receivables, that allows a borrower to use and dispose of those assets in the ordinary course of business until a specified event occurs. This type of charge 'floats' over the assets, only becoming fixed or 'crystallized' when certain conditions are met, such as default or insolvency, at which point the lender can claim the assets to recover the debt. The core function of a floating charge is to provide lenders with security over assets that are constantly changing, thereby facilitating business operations while still protecting the lender’s interests in case of financial difficulty.
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Floating Charges. No floating charge created by Dialog or any subsidiary of Dialog has crystallised and there are no circumstances likely to cause such a floating charge to crystallise.
Floating Charges. Notwithstanding the above, the parties agree that:
(a) the giving of a floating charge over the assets and undertakings of the Grantee; or
(b) any Dealing With the Intellectual Property developed using whole or part of the Grant for the purposes of the Grantee meeting its obligations under clause 8.2, is not taken to be a breach of clauses 13.1 to 13.3 (inclusive).
Floating Charges. No floating charge created by any member of the Group has crystallised and there are no circumstances likely to cause such a floating charge to crystallise.
Floating Charges. No floating charge created by the Company has crystallised and, so far as the Warrantors are aware, there are no circumstances likely to cause such a floating charge to crystallise.
Floating Charges. Notwithstanding the above, the parties agree that the giving of a floating charge over the assets and undertakings of the Recipient is not taken to be a breach of clauses 16.1 to 16.3 (inclusive).
Floating Charges. The relevant Business Sellers shall present a written consent from the holders of any floating charges ("yrityskiinnitykset") that such holders release the assets sold hereunder from the floating charges.
Floating Charges. No floating charge created by the Vendor over any of the Business Assets has crystallised and, so far as the Vendor is aware, there are no circumstances likely to cause such a floating charge to crystallise.
Floating Charges. The Company hereby charges to the Agent by way of first floating charge as a continuing security for the payment and discharge of its Secured Obligations its undertaking and all its property, assets and rights whatsoever and wheresoever both present and future, including, without limitation, its Inventory other than any property or assets from time to time effectively charged by way of legal mortgage or fixed charge or assignment pursuant to clause 3.1 (Fixed Charges), clause 3.4 (Security Assignment) or otherwise pursuant to this deed.
Floating Charges. (a) The Chargor charges by way of a first floating charge all of its title and interest from time to time in all of its assets, present and future, not otherwise effectively charged or assigned under this Clause 3.
(b) Except as provided below, the Security Agent may, by notice to the Chargor, convert a floating charge created by this Clause 3.4 into a fixed charge as regards the assets specified in that notice if:
(i) an Acceleration Event is continuing; or
(ii) it is necessary to prevent those assets being seized or sold under any form of distress, attachment, execution or other legal process as a result of a Major Event of Default under paragraph 6 (Insolvency Proceedings) of part 3 (Major Events of Default) of Schedule 3 (Major Representations, Major Undertakings and Major Events of Default) of the Interim Facility Agreement.
(c) Subject to paragraph (d) below, no floating charge created by this Clause 3.4 may be converted into a fixed charge solely by reason of:
(i) the obtaining of a moratorium; or
(ii) anything done with a view to obtaining a moratorium, under Part A1 of the Insolvency Act 1986.
(d) Paragraph (c) above does not apply in respect of any floating charge referred to in subsection (4) of section A52 of Part A1 of the Insolvency Act 1986.
(e) The floating charge created by the Chargor pursuant to this Clause 3.4 will (in addition to the circumstances when this may occur under the general law) automatically convert into a fixed charge over all the Security Assets of the Chargor which are subject to such floating charge if an administrator is appointed or the Security Agent receives notice of an intention to appoint an administrator by someone entitled to so appoint.
Floating Charges. To the best of the Seller's knowledge no floating charge created by the Seller have crystallised and, so far as the Seller is aware, there are no circumstances likely to cause such a floating charge to crystallise.