Grantor’s Powers Sample Clauses
The "Grantor’s Powers" clause defines the legal authority and rights retained by the grantor over the property or asset being transferred or held in trust. Typically, this clause outlines specific actions the grantor may take, such as amending, revoking, or directing the management of the trust or asset, and may set limitations on these powers. For example, it might allow the grantor to change beneficiaries or instruct the trustee on investments. The core function of this clause is to clarify the extent of the grantor’s control, thereby preventing disputes and ensuring all parties understand the grantor’s ongoing role and limitations.
Grantor’s Powers. (a) So long as an “Event of Default” (as hereinafter defined) shall not then exist, Grantor shall be the sole party entitled (1) to exercise for any purpose any and all voting rights and powers, and (2) to receive any and all distributions, in each case arising from or relating to the Pledged Collateral; provided, however, that Grantor shall not exercise such rights or powers, or consent to any action of Issuer that would be in contravention of the provisions of, or constitute an Event of Default under, this Agreement or any of the other Loan Documents.
(b) Upon the occurrence and during the continuance of an Event of Default, unless Lender designates in writing to Grantor to the contrary, all rights of Grantor provided in Section 5(a) hereof shall cease, and all voting rights and powers and rights to distributions included in the Pledged Collateral or otherwise described in such Section 5(a) shall thereupon become vested in Lender, and Lender shall thereafter have the sole and exclusive right and authority to exercise such voting rights and powers. Grantor shall execute such documents and instruments, including but not limited to, statements that Grantor no longer has the right to act as a member or owner or otherwise relating to such change as Lender may request. Grantor agrees that Issuer may rely conclusively upon any notice from Lender that Lender has the right and authority to exercise any rights and powers of Grantor as a member or owner of Issuer. Grantor irrevocably waives any claim or cause of action against Issuer who deals directly with Lender following receipt of such notice from Lender.
Grantor’s Powers. Grantor hereby covenants and agrees as follows:
(a) So long as an Event of Default shall not then exist, Grantor shall be the sole party entitled (i) to exercise for any purpose any and all voting rights and powers, and (ii) to receive any and all distributions, in each case arising from or relating to the Pledged Collateral; provided, however, that Grantor shall not exercise such rights or powers, or consent to any action of the Company that would be in contravention of the provisions of, or constitute an Event of Default under, this Assignment or any of the other Credit Documents.
(b) Upon the occurrence of an Event of Default, unless Lender designates in writing to Grantor to the contrary, all rights of Grantor provided in Section 5(a) hereof shall cease, and all voting rights and powers and rights to distributions included in the Pledged Collateral or otherwise described in Section 5(a) shall thereupon become vested in Administrative Agent for the benefit of Lenders, and thereafter Administrative Agent shall have the sole and exclusive right and authority to exercise such voting rights and powers thereafter. Grantor shall execute such documents and instruments, including but not limited to statements that Grantor no longer has the right to act as a [member][owner][partner] or otherwise relating to such change as Administrative Agent may request. Grantor agrees that the Company and any [member][owner][partner] in the Company may rely conclusively upon any notice from Administrative Agent that Administrative Agent has the right and authority to exercise all rights and powers of Grantor as a [member][owner][partner] under the Formation Agreement. Grantor irrevocably waives any claim or cause of action against the Company or any [member][owner][partner] in the Company who deals directly with Administrative Agent following receipt of such notice from Administrative Agent.
(c) Grantor hereby agrees that the Administrative Agent, on behalf of Lenders, or its designee shall be deemed a [member][owner][partner]and shall have all of the rights of a [member][owner][partner]under the Formation Agreement upon a foreclosure or transfer in lieu thereof of the security interest granted herein.
Grantor’s Powers. The Grantor reserves the power to reacquire the Trust principal by substituting other property of an equivalent value.
Grantor’s Powers. A. The Grantor may, during his lifetime: (l) withdraw property from this Trust in any amount and at any time; (2) add other property to the Trust; (3) change the beneficiaries, their respective shares and the plan of distribution; (4) amend this Trust Agreement in any other respect; (5) revoke this Trust in its entirety or any provision therein; provided, however, the duties or responsibilities of the Trustee shall not be enlarged without the Trustee's consent.
B. Unless sooner terminated, the trust shall become irrevocable upon the death of the Grantor and shall be administered and distributed as set forth hereinafter.