Common use of Proceeds of Disposition Clause in Contracts

Proceeds of Disposition. If the Agent or a Receiver sells or leases the Collateral pursuant to subsections 6.4 or 6.6, the proceeds of sale will be applied as follows: (a) first, to pay and discharge all rents, taxes, insurance premiums and other prior charges affecting the Collateral; (b) second, to the costs of sale or lease and taking possession, including costs incurred by the Agent and the remuneration of the Receiver, if applicable; (c) third, to pay all amounts required to keep in good standing all liens and charges on the Collateral prior to the security interests hereby created; (d) fourth, to pay any principal, interest and other monies due and payable under the Notes and under this Agreement, pari passu according to the proportion of the Obligations owed to each Investor or otherwise as the Investors may direct; and (e) finally, the balance, if any, to the Borrower.