Release of Collections Clause Samples

The "Release of Collections" clause defines the conditions under which collected funds, assets, or items held by one party are to be released to another party. Typically, this clause outlines the specific triggers or requirements—such as receipt of payment, fulfillment of contractual obligations, or passage of a certain time period—that must be met before the release occurs. For example, in a loan agreement, it may specify that collateral is returned to the borrower once the loan is fully repaid. The core function of this clause is to ensure that the transfer or release of collected items is handled in a controlled and predictable manner, thereby protecting the interests of both parties and reducing the risk of disputes.
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Release of Collections. On any Business Day after the Administrative Agent has taken exclusive dominion and control of the Collateral Accounts, so long as each of the conditions precedent set forth in Section 6.03 are satisfied (as reasonably determined by the Administrative Agent), the Administrative Agent shall release to the Borrower from Collections on deposit in the Cash Dominion Administration Account an amount equal to the Maximum Release Amount on such day. The proceeds of each Release shall be applied by the Borrower to pay (x) the purchase price for Receivables purchased by the Borrower on such date in accordance with the terms of the Second Tier Sale and Contribution Agreement, (y) any accrued and unpaid Servicing Fees owing to Aveanna or (z) the deferred purchase price for any previously purchased Receivables or as a return of capital to the Transferor. The Borrower shall notify the Administrative Agent if any of the conditions for a Release set forth in Section 6.03 are not satisfied on such day. If the Administrative Agent has not taken exclusive dominion and control of the Collateral Accounts, any Releases shall be made in accordance with Section 4.01(a).
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Release of Collections. In the event that the Servicer releases any Collections from the Collection Account in contravention of the Series 2017-One Indenture Supplement or any other Transaction Document to which the Servicer is a party, the Servicer shall pay to the Issuer, in immediately available funds, the amount of such improperly released Collections.
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Release of Collections. On any Business Day after the Administrative Agent has taken exclusive dominion and control of the Collection Accounts, so long as each of the conditions precedent set forth in Section 6.03 are satisfied (as reasonably determined by the Administrative Agent), the Administrative Agent shall release to the Borrower from Collections on deposit in the Cash Dominion Administration Account an amount equal to the Maximum Release Amount on such day. The proceeds of each Release shall be applied by the Borrower to pay (x) the purchase price for Receivables purchased by the Borrower on such date in accordance with the terms of the Purchase and Sale Agreement, (y) any accrued and unpaid Servicing Fees owing to CMA or (z) amounts owing by the Borrower to the Originators under the Intercompany Loans. The Borrower shall notify the Administrative Agent if any of the conditions for a Release set forth in Section 6.03 are not satisfied on such day. If the Administrative Agent has not taken exclusive dominion and control of the Collection Accounts, any Releases shall be made in accordance with Section 4.01(a).
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Release of Collections. (i) On any day that is not a Termination Day, Servicer shall remit to the Seller (or hold on behalf of the Seller), for the Seller’s own account, all Collections and other funds in the Concentration Account or any Collection Account that are not required to be retained in the Concentration Account pursuant to Section 1.4(b). The portion of such Collections that constitute Reinvestment Collections shall be released to the Seller as a Reinvestment payment pursuant to Section 1.1(d). Any Collections on Sold Receivables that are not Reinvestment Collections and that are released to the Seller under this subsection (c)(i) or that are distributed to the Seller pursuant to priority sixth of Section 1.4(e) shall constitute a guaranty fee for the provision by the Seller of the Seller Guaranty. (ii) The Seller may direct all Collections that are to be released to the Seller under clause (i) of this subsection (c) or that are to be distributed to the Seller pursuant to priority sixth of Section 1.4(e), to be remitted by the Servicer, on behalf of the Seller, to Covanta for the purchase by the Seller from Covanta of new Receivables pursuant to the Covanta Purchase and Sale Agreement (or as an equity distribution by the Seller to Covanta with respect to any Collections permitted to be released hereunder that are not Reinvestment Collections as long as such equity distribution is otherwise permitted hereunder, under the other Transaction Documents and pursuant to applicable Delaware limited liability company law). (iii) The Servicer may, at its option at any time prior to the occurrence of a Termination Event or Unmatured Termination Event, withdraw from the Concentration Account or any Collection Account the amount that is otherwise required to be remitted to and retained in the Concentration Account pursuant to Section 1.4(b)(ii)(C) with respect to the accrued but unpaid Servicing Fee and offset such amount against the accrued but unpaid Servicing Fee due to the Servicer hereunder.
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Release of Collections. On any Business Day after the Administrative Agent has taken exclusive dominion and control of the Collection Accounts, so long as each of the conditions precedent set forth in Section 5.03 are satisfied (as reasonably determined by the Administrative Agent), the Administrative Agent shall release to the SPV Entities from Collections on deposit in the Cash Dominion Administration Account an amount equal to the Maximum Release Amount on such day. The proceeds of each Release shall be applied by the SPV Entities to pay (x) the purchase price for Receivables purchased by the Seller or the Canadian Guarantor on such date in accordance with the terms of the Transfer Agreement, (y) any accrued and unpaid Servicing Fees owing to Rackspace or (z) the deferred purchase price for any previously purchased Receivables. Each SPV Entity shall notify the Administrative Agent if any of the conditions for a Release set forth in Section 5.03 are not satisfied on such day. If the Administrative Agent has not taken exclusive dominion and control of the Collection Accounts, any Releases shall be made in accordance with Section 3.01(a).
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Related to Release of Collections

  • Application of Collections All collections for the Collection Period shall be applied by the Servicer as follows: (a) With respect to each Receivable (other than a Purchased Receivable or a Sold Receivable), payments by or on behalf of the Obligor, (other than Supplemental Servicing Fees with respect to such Receivable, to the extent collected) shall be applied to interest and principal in accordance with the Simple Interest Method. (b) All amounts collected that are payable to the Servicer as Supplemental Servicing Fees hereunder shall be deposited in the Collection Account and paid to the Servicer in accordance with Section 5.7(a).

  • Deposit of Collections The Borrower shall promptly (but in no event later than two Business Days after receipt) deposit or cause to be deposited into the Collection Account any and all Available Collections received by the Borrower, the Servicer or any of their Affiliates.

  • Release of Collateral Subject to Section 11.01 and the terms of the Basic Documents, the Indenture Trustee shall release property from the lien of this Indenture only upon receipt by it of an Issuer Request accompanied by an Officer’s Certificate, an Opinion of Counsel and Independent Certificates in accordance with TIA Sections 314(c) and 314(d)(1) or an Opinion of Counsel in lieu of such Independent Certificates to the effect that the TIA does not require any such Independent Certificates.