Loss of Priority. Holder acknowledges that under the terms of both the ---------------- Series A and Series C Convertible Debentures, he has no obligation to enter into this Settlement Agreement and that if he does not sign this Settlement Agreement, then the entire debenture indebtedness, including accrued interest, remains as an obligation of the Company, payable to the extent of its assets and having a position senior to that of shareholders (including Preferred Shareholders) in any liquidation of the Company.
Appears in 1 contract
Sources: Settlement and Exchange Agreement (Inmedica Development Corp)
Loss of Priority. Holder acknowledges that under the terms of both the ---------------- Series A and Series C Convertible Debentures, he has no obligation to enter into this Settlement Agreement and that if he does not sign this Settlement Agreement, then the entire debenture indebtedness, including accrued interest, remains as an obligation of the Company, payable to the extent of its assets and having a position senior to that of shareholders (including Preferred Shareholders) in any liquidation of the Company.
Appears in 1 contract