Common use of True Consignment Clause in Contracts

True Consignment. A. If, despite the express intent of the parties hereto that the delivery of the consigned inventory to Factory Card constitutes a true consignment, the delivery of the inventory to the Factory Card deemed to be consignment intended as security rather than a true consignment, this Agreement shall constitute a written security agreement between the parties and Factory Card hereby grants to Amscan a purchase money security interest in all consigned inventory and the proceeds thereof either heretofore or hereafter delivered to Factory Card by Amscan. B. In the event that Factory Card breaches any material term of this Agreement, Amscan shall be entitled to all remedies available to a consignor (or a secured party, in the event the delivery of the consigned inventory to Factory Card is deemed a consignment intended as security) under any applicable local law or the Uniform Commercial Code.