Common use of Use of Inventory Clause in Contracts

Use of Inventory. Until an Event of Default has occurred and is continuing, each Debtor may use its Inventory in any lawful manner not inconsistent with this Agreement, the Credit Agreement and with the terms of insurance thereon and may sell, lease or otherwise dispose of its Inventory in the ordinary course of business. Each Debtor will not and shall not be permitted to use any item of Inventory in a manner inconsistent with the holding thereof for sale, lease or disposition in the ordinary course of business or in contravention of the terms of any agreement. A sale, lease or disposition in the ordinary course of business does not include the exchange of items of Inventory for goods in kind or otherwise or transfers of items of Inventory made in satisfaction of present or future Secured Obligations.

Use of Inventory. Until an Event of Default has occurred and is continuing, each Debtor Debtors may use its their Inventory in any lawful manner not inconsistent with this Agreement, Agreement and the Credit Agreement and with the terms of insurance thereon and may sell, lease or otherwise dispose of its their Inventory in the ordinary course of business. Each Debtor Debtors will not and shall not be permitted to use any item of Inventory in a manner inconsistent with the holding thereof for sale, lease or disposition in the ordinary course of business or in contravention of the terms of any material agreement. A sale, lease or disposition in the ordinary course of business does not include the exchange of items of Inventory for goods in kind or otherwise or transfers of items of Inventory made in satisfaction of present or future Secured Obligations, except pursuant to netting agreements or other similar arrangements with Approved Counterparties.