Common use of Protection for Third Parties Clause in Contracts

Protection for Third Parties. No person (including a purchaser) dealing with the Agent, any Receiver or any of their respective agents will be concerned to enquire: (a) whether the Secured Obligations have become payable; or (b) whether any power which the Agent or any Receiver is purporting to exercise has become exercisable; or (c) whether any money remains due under the Finance Documents; or (d) how any money paid to the Agent or any Receiver is to be applied. In the absence of bad faith on the part of such purchaser or other person, such dealings shall be deemed, so far as regards the safety and protection of such purchaser or other person, to be within the powers conferred by this Debenture and to be valid accordingly. The remedy of the Chargor in respect of any impropriety or irregularity in the exercise of such power shall be in damages only.