Operating and Investment Accounts Clause Samples

The "Operating and Investment Accounts" clause defines how financial accounts related to the operation and investment activities of a business or project are to be established, maintained, and managed. Typically, this clause specifies which party is responsible for opening and controlling these accounts, outlines the permitted uses of funds within each account, and may set requirements for account reporting or oversight. By clearly delineating the management and purpose of these accounts, the clause ensures transparency in financial operations and helps prevent misuse or commingling of funds, thereby protecting the interests of all parties involved.
Operating and Investment Accounts. (a) Maintain all of its primary operating and investment accounts with Bank and Bank’s Affiliates and conduct all of its primary domestic and international banking services, including, without limitation, foreign currency exchange and letters of credit through Bank and Bank’s Affiliates. (b) Provide Bank five (5) days prior written notice before establishing any Collateral Account at or with any bank or financial institution other than Bank or Bank’s Affiliates. For each Collateral Account that Borrower at any time maintains, Borrower shall cause the applicable bank or financial institution (other than Bank) at or with which any Collateral Account is maintained to execute and deliver a Control Agreement or other appropriate instrument with respect to such Collateral Account to perfect Bank’s Lien in such Collateral Account in accordance with the terms hereunder which Control Agreement may not be terminated without the prior written consent of Bank. The provisions of the previous sentence shall not apply to deposit accounts exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Bank by Borrower as such.
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Operating and Investment Accounts. Section 6.6 of the Loan Agreement is hereby deleted in its entirety and replaced with the following: 6.6
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Operating and Investment Accounts. The Borrower shall maintain its principal investment accounts with the Lender. If the average amount of demand deposit balances on deposit in the Borrower's investment accounts over any calendar quarter is not sufficient to cover the costs of non-credit services provided by the Lender in servicing such accounts (as determined and priced in accordance with the Lender's standard rate schedule of non-credit bank services as then in effect), the Borrower shall pay to the Lender, on demand, a deficient balances fee on the amount of the deficiency based on the Lender's earnings credit rate then in effect in accordance with the Lender's standard practice.
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Operating and Investment Accounts. Maintain all of the Borrower's primary operating and investment accounts and cash management relationships with the Agent, except for (i) existing operating accounts that are listed on Schedule 4.15 hereto, (ii) operating accounts that are required pursuant to the terms of a written contract between a Borrower and an unrelated third party, provided that, upon the Agent's written request, the Borrower shall provide the Agent with a copy of such contracts, and (iii) all operating accounts which are otherwise required by law or applicable licenses. Within forty-five (45) days after the date of this Agreement, the Borrower will either close the accounts identified on Schedule 4.15 in which balances are maintained at any time in excess of $7,500 (each, a "Significant Bank Account") and that are maintained with any bank other than a Lender, or deliver to the Agent a Depository Account Control Agreement duly executed by the owner of such account (either the Borrower or the Borrower's Subsidiary, as the case may be) and such bank. In addition, the Borrower shall deliver to the Agent a Depository Account Control Agreement duly executed by the owner(s) of any additional Significant Bank Accounts that are permitted under this Section (either the Borrower or the Borrower's Subsidiary, as the case may be) within forty-five (45) days after the date of this Agreement as to any such accounts existing on the date of this Agreement, and prior to the establishment of any such account that is opened after the date of this Agreement.
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Operating and Investment Accounts. Notwithstanding anything to the contrary contained in Section 6.6, Borrower may maintain (a) its certificate of deposit with Union Bank of California in an amount not to exceed $191,000 until Borrower’s Letter of Credit with Union Bank of California has expired and (b) an operating account at Union Bank of California to collect interest on such certificate of deposit, provided, however, at such time when the Letter of Credit has expired, Borrower shall transfer the funds evidenced by the certificate of deposit to its accounts with or through Bank.
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Operating and Investment Accounts. Active 30504246v5 220763.001325 (a) Maintain all of its primary operating and investment accounts with Bank and Bank’s Affiliates and conduct all of its primary domestic banking services and foreign currency exchange and letters of credit through Bank and Bank’s Affiliates. Notwithstanding the foregoing, or anything to the contrary herein, Borrower may maintain the Bank of America deposit account having the account number ******7979 (last four digits) (the “External BOA Account”), provided that the funds in the External BOA Account do not exceed at any time an aggregate of Five Hundred Thousand Dollars ($500,000). (b) Provide Bank five (5) days prior written notice before establishing any Collateral Account at or with any bank or financial institution other than Bank or Bank’s Affiliates. For each Collateral Account that Borrower at any time maintains, Borrower shall cause the applicable bank or financial institution (other than Bank) at or with which any Collateral Account is maintained to execute and deliver a Control Agreement or other appropriate instrument with respect to such Collateral Account to perfect Bank’s Lien in such Collateral Account in accordance with the terms hereunder which Control Agreement may not be terminated without the prior written consent of Bank. The provisions of the previous sentence shall not apply to (i) deposit accounts exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Bank by Borrower as such, (ii) Borrower’s PayPal account having the account number *********THHQ (last four digits) (“External Paypal Account”), provided that the funds in the External Paypal Account do not exceed at any time an aggregate of Five Hundred Thousand Dollars ($500,000), or (iii) the External BOA Account provided that the funds in the External BOA Account do not exceed at any time an aggregate of Five Hundred Thousand Dollars ($500,000). 2.12 Section 6.10 (
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Related to Operating and Investment Accounts

  • Investment Accounts Schedule 2 sets forth under the headings “Securities Accounts” and “Commodity Accounts”, respectively, all of the Securities Accounts and Commodity Accounts in which such Grantor has an interest. Except as disclosed to the Administrative Agent, such Grantor is the sole entitlement holder of each such Securities Account and Commodity Account, and such Grantor has not consented to, and is not otherwise aware of, any Person (other than the Administrative Agent) having “control” (within the meanings of Sections 8-106 and 9-106 of the UCC) over, or any other interest in, any such Securities Account or Commodity Account or any securities or other property credited thereto, except for, subject to the relevant Control Agreement, the account bank party to such Control Agreement; (a) Schedule 2 sets forth under the heading “Deposit Accounts” all of the Deposit Accounts in which such Grantor has an interest and, except as otherwise disclosed to the Administrative Agent, such Grantor is the sole account holder of each such Deposit Account and such Grantor has not consented to, and is not otherwise aware of, any Person (other than the Administrative Agent) having either sole dominion and control (within the meaning of common law) or “control” (within the meaning of Section 9-104 of the UCC) over, or any other interest in, any such Deposit Account or any money or other property deposited therein, except for, subject to the relevant Control Agreement, the account bank party to such Control Agreement; and (b) Except as otherwise permitted under Section 5.6 and Section 5.7, such Grantor has taken all actions necessary or desirable to: (i) establish the Administrative Agent’s “control” (within the meanings of Sections 8-106 and 9-106 of the UCC) over any Certificated Securities (as defined in Section 9-102 of the UCC); (ii) establish the Administrative Agent’s “control” (within the meanings of Sections 8-106 and 9-106 of the UCC) over any portion of the Investment Accounts constituting Securities Accounts, Commodity Accounts, Securities Entitlements or Uncertificated Securities (each as defined in Section 9-102 of the UCC); (iii) establish the Administrative Agent’s “control” (within the meaning of Section 9-104 of the UCC) over all Deposit Accounts other than Exempt Accounts; and (iv) deliver all Instruments (as defined in Section 9-102 of the UCC) to the Administrative Agent to the extent required hereunder, provided, that the Administrative Agent shall not send a notice of sole control or similar notice unless an Event of Default has occurred and is continuing.

  • Management Accounts To the extent that it owns any Management Account (including any lock-box related thereto), each Guarantor shall comply with Section 5.1 of the Base Indenture with respect to each such Management Account (including any lock-box related thereto).

  • Operating Accounts (a) Maintain all of Borrower’s Collateral Accounts in accounts which are subject to a Control Agreement in favor of Collateral Agent, which Control Agreement must be in such form and substances as is reasonably acceptable to Collateral Agent (it being agreed and understood that the Control Agreements that Collateral Agent is entering into with respect to Borrower’s Collateral Accounts maintained with Bank of America on the Effective Date are not in such form and substance as is not reasonably satisfactory to Collateral Agent). (b) Borrower shall provide Collateral Agent five (5) days’ prior written notice before Borrower or any of its Subsidiaries establishes any Collateral Account. In addition, for each Collateral Account that Borrower at any time maintains, Borrower shall cause the applicable bank or financial institution at or with which such Collateral Account is maintained to execute and deliver a Control Agreement or other appropriate instrument with respect to such Collateral Account to perfect Collateral Agent’s Lien in such Collateral Account in accordance with the terms hereunder prior to the establishment of such Collateral Account, which Control Agreement must be in such form and substance as is reasonably satisfactory to Collateral Agent and may not be terminated without prior written consent of Collateral Agent. The provisions of the previous sentence and subsection (a) above shall not apply to (i) deposit accounts exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Collateral Agent by Borrower as such in the Perfection Certificates and (ii) BofA Credit Card Account so long as such account is maintained exclusively for the purpose of securitizing Borrower’s Indebtedness described in clause (g) of the definition of Permitted Indebtedness and the balance in such account does not exceed Three Hundred One Thousand Dollars ($301,000.00). (c) Neither Borrower nor any of its Subsidiaries shall maintain any Collateral Accounts except Collateral Accounts maintained in accordance with Sections 6.6(a) and (b); provided, however, Borrower may continue to maintain its Collateral Accounts, set forth on the Perfection Certificates on the Effective Date, with Bank of America; provided, further, that Borrower shall close all of its Collateral Accounts maintained with Bank of America on the Effective Date (other than the BofA Credit Card Account) and deliver to Collateral Agent evidence (in such form and substance as is reasonably acceptable to Collateral Agent) of closure of all of such Collateral Accounts within thirty (30) days after the Effective Date.

  • Project Accounts The Grantee agrees to establish and maintain for the Project either a separate set of accounts or accounts within the framework of an established accounting system, in a manner consistent with 49 C.F.R. § 18.20, or 49 C.F.R. § 19.21, as amended, whichever is applicable.

  • Investment of Account Assets a. All contributions to the custodial account shall be invested in the shares of the ▇▇▇▇▇▇▇▇ Funds or, if available, any other series of ▇▇▇▇▇▇▇▇ Funds or other regulated investment companies for which ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇ Capital Management serves as Investment Advisor or designates as being eligible for investment. Shares of stock of an Investment Company shall be referred to as “Investment Company Shares”. To the extent that two or more funds are available for investment, contributions shall be invested in accordance with the depositor’s investment election. b. Each contribution to the custodial account shall identify the depositor’s account number and be accompanied by a signed statement directing the investment of that contribution. The Custodian may return to the depositor, without liability for interest thereon, any contribution which is not accompanied by adequate account identification or an appropriate signed statement directing investment of that contribution. c. Contributions shall be invested in whole and fractional Investment Company Shares at the price and in the manner such shares are offered to the public. All distributions received on Investment Company Shares held in the custodial account shall be reinvested in like shares. If any distribution of Investment Company Shares may be received in additional like shares or in cash or other property, the Custodian shall elect to receive such distribution in additional like Investment Company Shares. d. All Investment Company Shares acquired by the Custodian shall be registered in the name of the Custodian or its nominee. The depositor shall be the beneficial owner of all Investment Company Shares held in the custodial account. e. The Custodian agrees to forward to the depositor each prospectus, report, notice, proxy and related proxy soliciting materials applicable to Investment Company Shares held in the custodial account received by the Custodian. By establishing or having established the custodial account, the depositor affirmatively directs the Custodian to vote any Investment Company Shares held on the applicable record date that have not been voted by the depositor prior to a shareholder meeting for which prior notice has been given. The Custodian shall vote with the management of the Investment Company on each proposal that the Investment Company’s Board of Directors has approved unanimously. If the Investment Company’s Board of Directors has not approved a proposal unanimously, the Custodian shall vote in proportion to all shares voted by the Investment Company’s shareholders. f. The depositor may, at any time, by written notice to the Custodian, redeem any number of shares held in the custodial account and reinvest the proceeds in the shares of any other Investment Company. Such redemptions and reinvestments shall be done at the price and in the manner such shares are then being redeemed or offered by the respective Investment Companies.