Common use of Allocation of Recoveries Clause in Contracts

Allocation of Recoveries. Recoveries received before the indemnification is triggered by Us are for your account and shall reduce the Debt. Such Recoveries shall be allocated in the chronological order of the relevant Due Dates, any different allocation provided by third parties will not be binding to Us. Recoveries received after the indemnification is triggered by Us are for our account up to the amount of the indemnity paid with respect to the Debt, and the balance will be for your account up to the amount of the Debt. Should the total amount of Recoveries received before or after the indemnification is trig- gered by Us exceed the total amount of the Debt, the excess shall be allocated between You and Us to set off the Collection Expenses incurred respectively by You and Us. The date of trigger by Us of the indemnification shall be set forth in our statement of indemnification sent to You. Definitions Notification of Overdue Account: notification of the Overdue Account pursuant to article 3.1.1 above.

Allocation of Recoveries. Recoveries received before the indemnification is triggered by Us are for your account and shall reduce the Debt. Such Recoveries shall be allocated in the chronological order of the relevant Due Dates, any different allocation provided by third parties will not be binding to Us. Recoveries received after the indemnification is triggered by Us are for our account up to the amount of the indemnity paid with respect to the Debt, and the balance will be for your account up to the amount of the Debt. Should the total amount of Recoveries received before or after the indemnification is trig- gered by Us exceed the total amount of the Debt, the excess shall be allocated between You and Us to set off the Collection Expenses incurred respectively by You and Us. The date of trigger by Us of the indemnification shall be set forth in our statement of indemnification sent to You. Definitions Notification of Overdue Account: notification of the Overdue Account pursuant to article 3.1.1 above.