Common use of The Collateral Clause in Contracts

The Collateral. (a) Except as expressly permitted by the Credit Agreement or this Agreement, the Security Provider: (i) must maintain sole legal and beneficial ownership of the Collateral; (ii) must not permit any Collateral to be subject to any Lien other than the Collateral Agent’s security interest and must at all times warrant and defend the Collateral Agent’s security interest in the Collateral against all other Liens and claimants; (iii) must not sell, assign, transfer, pledge, license, lease or encumber, or grant any option, warrant, or right with respect to, any of the Collateral, or agree or contract to do any of the foregoing; (iv) must not waive, amend or terminate, in whole or in part, any accessory or ancillary right or other right in respect of any Collateral; and (v) must not take any action which would result in a reduction in the value of any Collateral. (b) The Collateral must remain personal property at all times. The Security Provider may not affix any of the Collateral to any real property in any manner which would change its nature from that of personal property to real property or to a fixture. (c) The Security Provider must pay when due (and in any case before any penalties are assessed or any Lien is imposed on any Collateral) all taxes, assessments and charges imposed on or in respect of Collateral and all claims against the Collateral, including claims for labor, materials and supplies. (d) In any suit, legal action, arbitration or other proceeding involving the Collateral or the Collateral Agent’s security interest, the Security Provider must take all lawful action to avoid impairment of the Collateral Agent’s security interest or the Collateral Agent’s rights under this Agreement or the imposition of a Lien on any Collateral.

The Collateral. (a) Except as expressly permitted by the Credit Agreement Indenture or this Agreement, the Security ProviderGrantors: (i) must maintain sole legal and beneficial ownership of the Collateral; (ii) must not permit any Collateral to be subject to any Lien other than the Collateral Agent’s security interest and Liens securing the ABL Debt and must at all times warrant and defend the Collateral Agent’s security interest in the Collateral against all other Liens (other than Priority Liens) and claimants; (iii) must not sell, assign, transfer, pledge, license, lease or further encumber, or grant any option, warrant, or right with respect to, any of the Collateral, or agree or contract to do any of the foregoing; (iv) must not waive, amend or terminate, in whole or in part, any accessory or ancillary right or other right in respect of any Collateral; and (v) must not take any action which would result in a reduction in the value of any Collateral. (b) The Collateral must remain personal property at all times. The Security Provider may not affix any of the Collateral to any real property in any manner which would change its nature from that of personal property to real property or to a fixture. (c) The Security Provider Grantors must pay when due (and in any case before any penalties are assessed or any Lien is imposed on any Collateral) all taxes, assessments and charges imposed on or in respect of Collateral and all claims against the Collateral, including claims for labor, materials and supplies. (dc) In any suit, legal action, arbitration or other proceeding involving the Collateral or the Collateral Agent’s security interest, the Security Provider Grantors must take all lawful action to avoid impairment of the Collateral Agent’s security interest or the Collateral Agent’s rights under this Agreement or the imposition of a Lien (other than Permitted Liens (as defined in the Indenture)) on any Collateral.

The Collateral. (a) Except as expressly permitted by the Credit Agreement or this Agreement, the each Security Provider: (i) must maintain sole legal and beneficial ownership of its rights, title and interest in the Collateral; (ii) must not permit any Collateral to be subject to any Lien other than the Collateral AgentSecurity Trustee’s security interest and other Permitted Security must at all times warrant and defend the Collateral AgentSecurity Trustee’s security interest in the Collateral against all other Liens and claimants; (iii) must not sell, assign, transfer, pledge, license, lease or encumber, or grant any option, warrant, or right with respect to, any of the Collateral, or agree or contract to do any of the foregoing; (iv) must not waive, amend or terminate, in whole or in part, any accessory or ancillary right or other right in respect of any Collateral; and (v) must not take any action which would result in a reduction in the value of any Collateral. (b) The Collateral must remain personal property at all times. The No Security Provider may not affix any of the Collateral to any real property in any manner which would change its nature from that of personal property to real property or to a fixture. (c) The Each Security Provider must pay when due (and in any case before any penalties are assessed or any Lien is imposed on any Collateral) all taxes, assessments and charges imposed on or in respect of Collateral and all claims against the Collateral, including claims for labor, materials and supplies, provided that no Security Provider shall be required to pay any such tax, assessment, charge or claim which is being contested in good faith and by appropriate proceedings if it has maintained adequate reserves with respect thereto in accordance with generally accepted accounting principles. (d) In any suit, legal action, arbitration or other proceeding involving the Collateral or the Collateral AgentSecurity Trustee’s security interest, the each Security Provider must take all lawful action to avoid impairment of the Collateral AgentSecurity Trustee’s security interest or the Collateral AgentSecurity Trustee’s rights under this Agreement or the imposition of a Lien on any Collateral.