Common use of UCC Security Interest Clause in Contracts

UCC Security Interest. As security for the performance of Borrower's Obligations and the Guaranty pursuant to this Agreement, and the other Documents, Borrower and Guarantors hereby mortgages, pledges and assigns to Lender, and gives and grants to Lender a security interest in all of its right, title and interest in and to the items and types of property described or referred to below, whether now owned or hereafter acquired, and the proceeds and products thereof (all of which property is herein collectively called the "Collateral"), which security interest has and shall remain first and prior to all other security interests therein and which Collateral shall remain free and clear of all mortgages, pledges, security interests, liens and other encumbrances and restrictions on the transfer thereof, except as specifically set forth in Schedule "D" attached hereto: (i) INVENTORY --------- All inventories of every kind, presently existing or hereafter acquired, wherever located, including all goods intended for sale or lease or to be furnished under contracts of service, all raw materials, work in process and finished goods, any and all rejected and/or returned goods and all supplies, materials and products of every nature and description used or usable in connection with the manufacture, packing, shipping, advertising, selling, leasing or furnishing of such goods, and all contract rights with respect to any of the same and all documents representing any of the same, all whether now owned or hereafter acquired by Borrower or in which Borrower may now have or may hereafter acquire any interest, all whether now existing or hereafter arising (the "Inventory"). The security interest in the Inventory shall continue in all Collateral described in this paragraph (except goods sold as provided in Section 9-307(1) of the Uniform Commercial Code), notwithstanding the sale, exchange or other disposition hereof by Borrower (sale, exchange or other disposition of any of said Collateral is not authorized by Lender, other than sale in the ordinary course of business).

UCC Security Interest. As security for the performance of Borrower's Obligations and the Guaranty pursuant to this Agreement, and the other Documents, Borrower and Guarantors hereby mortgages, pledges and assigns to Lender, and gives and grants to Lender a security interest in all of its right, title and interest in and to the items and types of property described or referred to below, whether now owned or hereafter acquired, and the proceeds and products thereof (all of which property is herein collectively called the "Collateral"), which security interest has and shall remain first and prior to all other security interests therein and which Collateral shall remain free and clear of all mortgages, pledges, security interests, liens and other encumbrances and restrictions on the transfer thereof, except as specifically set forth in Schedule Subsection (b) hereof and in SCHEDULE "D" attached hereto: (i) THIRD-PARTY-OWNED INVENTORY --------- All inventories of every kindkind owned by third parties, presently existing or hereafter acquired, wherever located, including all goods intended for auction sale or lease or to be furnished under contracts of serviceowned by third parties, all raw materials, work in process against which Borrower has loaned funds and finished goods, any and all rejected and/or returned goods and all supplies, materials and products of every nature and description used or usable in connection with the manufacture, packing, shipping, advertising, selling, leasing or furnishing of such goodswhich serve as collateral therefor, and all contract rights with respect to any of the same and all documents representing any of the same, all whether now owned or hereafter acquired by Borrower in Borrower's possession or in which Borrower may now have or may hereafter acquire any interest, all whether now existing or hereafter arising (the "Third-Party-Owned Inventory"). The security interest in the Third-Party-Owned Inventory shall continue in all Collateral described in this paragraph (except goods sold as provided in Section 9-307(1) of the Uniform Commercial Code), notwithstanding the sale, exchange or other disposition hereof by Borrower (sale, exchange or other disposition of any of said Collateral is not NOT authorized by Lender, other than sale in the ordinary course of business).