Common use of Payments in gross Clause in Contracts

Payments in gross. All monies received from or on account of the Borrower or from the Assignor or from any other person or persons or estate or from the realisation of this Assignment or any security or otherwise for the purpose of being applied in the reduction of the account of the Borrower or of the monies covenanted to be paid under this Assignment shall be treated for all purposes as payments in gross and not as appropriated or attributable to any specific part or item of the said monies covenanted to be paid even if appropriated thereto by the Lender. All security now or at any time hereafter held by the Lender shall be treated as security for the said general balance. The Assignor, its/his estate or any other person or persons deriving or claiming title under the Assignor shall have no claim to such security or to any part thereof or any interest therein unless and until the Lender has received the full amount owing to the Lender by the Assignor.