Applicability of DBNA. It is the intention of the parties that all Bankers’ Acceptances accepted by the Lenders (other than a Lender which elects to accept Bankers’ Acceptances in the form of bills of exchange instead of Depository Bills) under this Agreement shall be issued in the form of a Depository Xxxx, be deposited with and be made payable to a “clearing house” (as defined in the Depository Bills and Notes Act (Canada)). The Agent and the Lenders shall effect the following practices and procedures and, subject to the approval of the Majority Lenders, establish and notify the Borrower and the Lenders of any additional procedures, consistent with the terms of this Agreement and the requirements of the Depository Bills and Notes Act (Canada), as are reasonably necessary to accomplish such intention:
(i) each Bankers’ Acceptance accepted and purchased by a Lender hereunder shall have marked prominently and legibly on its face and within its text, at or before the time of issue, the words “This is a depository xxxx subject to the Depository Bills and Notes Act”;
(ii) any reference to authentication of such Bankers’ Acceptance will be removed; and
(iii) such Bankers’ Acceptance shall not be marked with any words prohibiting negotiation, transfer or assignment of it or of an interest in it.
Applicability of DBNA. It is the intention of the parties that each Bankers' Acceptance accepted by a Lender under this agreement shall be issued in the form of a "depository bill" (xs that term is defined in the Depository Bills and Notes Act (Canada) (the "DBNA")), be deposited with The Canadian 44 - 38 - Depository for Securities Limited and be made payable to "CDS & Co." The Administrative Agent and the Lenders shall effect the following practices and procedures and, subject to the approval of the Majority Lenders, establish and notify the Borrower and the Lenders of any additional procedures, consistent with the terms of this agreement and the requirements of the DBNA, as are reasonably necessary to accomplish this intention:
(a) each Bankers' Acceptance accepted and purchased by a Lender hereunder shall have marked prominently and legibly on its face and within its text, at or before the time of issue, the words "This is a depository bill xxxject to the Depository Bills and Notes Act";
(b) any reference to authentication of that Bankers' Acceptance will be removed; and
(c) that Bankers' Acceptance shall not be marked with any words prohibiting negotiation, transfer or assignment of it or of an interest in it.
Applicability of DBNA. It is the intention of the parties that, unless the Lender is utilizing a non-interest bearing xxxx of exchange as defined in the Bills of Exchange Act (Canada), each Bankers’ Acceptance accepted by a Lender under this agreement shall be issued in the form of a “depository xxxx” (as that term is defined in the Depository Bills and Notes Act (Canada) (the “DBNA”)), be deposited with CDS Clearing and Depository Services Inc. and be made payable to “CDS & Co.” The Administrative Agent and the Lenders shall effect the following practices and procedures and, subject to the approval of the Majority Lenders under the applicable Credit Facility, establish and notify the Borrower and the Lenders of any additional procedures, consistent with the terms of this agreement and the requirements of the DBNA, as are reasonably necessary to accomplish this intention:
(a) each Bankers’ Acceptance accepted and purchased by a Lender hereunder shall have marked prominently and legibly on its face and within its text, at or before the time of issue, the words “This is a depository xxxx subject to the Depository Bills and Notes Act”;
(b) any reference to authentication of that Bankers’ Acceptance will be removed; and
(c) that Bankers’ Acceptance shall not be marked with any words prohibiting negotiation, transfer or assignment of it or of an interest in it.
