Common use of Payments and Collection Clause in Contracts

Payments and Collection. Any payments with respect to or other proceeds of Collateral received by Debtor shall be held by Debtor in trust for Secured Party in the same form in which received, shall not be commingled with any assets of Debtor, and shall be delivered into the possession of Secured Party not later than the next business day following the day of receipt. All payments with respect to and other proceeds of Collateral received by Secured Party directly or from Debtor shall be applied to the Secured Obligations in such order and manner and at such time as Secured Party, in its sole and absolute discretion, determines. Secured Party, after the occurrence of an Event of Default and without notice to Debtor, may demand, collect, and ▇▇▇ on the Collateral (either in Debtor’s or Secured Party’s name), enforce, compromise, settle or discharge the Collateral, and endorse Debtor’s name on any instruments or documents included in or pertaining to the Collateral.