Common use of Performance By The Collateral Agent Clause in Contracts

Performance By The Collateral Agent. If any Grantor fails to perform promptly any agreement or obligation contained herein, the Collateral Agent may, as directed by the Required Holders, itself perform, or cause performance of, such agreement or obligation, and the reasonable expenses of the Collateral Agent incurred in connection therewith shall be payable by such Grantor under Section 4.5; provided, however, that unless an Event of Default has occurred and is continuing or time is of the essence, the Collateral Agent shall not exercise this power without first making demand on the applicable Grantor and such Grantor failing to comply promptly therewith.

Performance By The Collateral Agent. If any Grantor fails to perform promptly any agreement or obligation contained herein, the Collateral Agent may, as directed by the Required Holdersbut shall not be obligated to, itself perform, or cause performance of, such agreement or obligation, and the reasonable expenses of the Collateral Agent incurred in connection therewith shall be payable by such Grantor under Section 4.5; provided, however, that unless an Event of Default has occurred and is continuing or time is of the essence, the Collateral Agent shall not exercise this power without first making demand on the applicable Grantor and such Grantor failing to comply promptly therewith5.5.