Common use of Receipt and Credit for Collections Clause in Contracts

Receipt and Credit for Collections. Concurrently with the execution of this Agreement, the Borrower shall enter into a Lock Box Agreement with the Lender and NationsBank (the "Bank") pursuant to which the Bank will be granted access to the post office box to which all Account Debtors shall be instructed to forward payments with respect to all Property. All checks, drafts, cash, notes, money orders, acceptances and other remittances in part or full payment with respect to the Property ("Collections") received through the Lock Box shall be retained by the Bank and processed in accordance with the Lock Box Agreement. All Collections received directly by the Borrower shall immediately be sent or delivered by the Borrower to the post office box that is part of the lock box arrangement. The Bank shall, without further inquiry and without regard to any instructions from the Borrower, send all collections by electronic funds transfer to the Lender at such account or accounts as the Lender shall direct in the Lock Box Agreement, or otherwise in writing from time to time. Any fees or expenses charged to the Lender by the Bank or any other bank for transfer of funds from the Borrower's account shall be charged as accrued, as a debit to the Obligations.