Common use of Mandatory Exchange Clause in Contracts

Mandatory Exchange. Anything in paragraph 5(f) to the contrary notwithstanding, Custodian will, without Instructions, surrender and exchange Account Securities for other Securities in connection with any maturity, reorganization, recapitalization, or similar transaction in which the owner of the Account Securities is not given an option; provided, however, Custodian shall be responsible to effect any such exchange only upon receiving actual notice of the event permitting or requiring such exchange. For purposes of this subparagraph, actual notice shall mean notice that is received by Custodian from the issuer of the Security, the agent of the issuer of the Security, a nationally recognized subscription service, the Company, or from any other source which would enable Custodian to act in a commercially reasonable manner. To facilitate any such exchange, Custodian is authorized to surrender against payment maturing Obligations and Obligations called for redemption; provided, however, that Custodian deliver to Company notice of such exchange five (5) business days prior to the actual exchange taking place.