Common use of SURRENDER FOR CANCELLATION Clause in Contracts

SURRENDER FOR CANCELLATION. If the Principal becomes payable by redemption or otherwise before the Maturity Date, the Holder must surrender this Note for cancellation. If the Holder fails to surrender the Note within a period of seven days from the Redemption Date or does not in such time accept payment of the Principal or give such receipt therefor, if any, as the Payor may require, the whole of the then outstanding Principal shall be set aside in trust for the Holder, without interest on account held with a bank licensed to carry on banking business under the Banking ▇▇▇ ▇▇▇▇ (Australia), and such setting aside shall for all purposes be deemed a payment to the Holder of the sum so set aside, and to that extent such Holder shall have no right except to receive payment out of the moneys so paid and deposited upon surrender and delivery up of this Note.