Common use of ASSET PLEDGE Clause in Contracts

ASSET PLEDGE. 2.1 Pledgor hereby agrees to pledge the Pledged Asset, which he legally owns and has the right to dispose of, to the Pledgee according to the provisions hereof as security for performance of the Contract Obligations and repayment of the guaranteed liabilities. The Pledgee agree to accept such pledge. 2.2 Under the provisions of this Agreement, the guaranteed liabilities and guaranteed scope of the asset pledge include: (1) All the obligations under the provisions of the Transaction Agreements, including but not limited to, all the principle and profit of the payable expenses to the Creditors under the provisions of the Transaction Agreement, and the payable interest penalties, compound interests, liquidated damages, compensations, as well as the expenses owed by the Debtor to the Creditors and the expenses to excise the Creditors rights and encumbrance rights, due to Breaching Events of the Debtor; and (2) All the expenses for the exercise of the Debtor’ rights, including but not limited to litigation fees (or arbitration fees), lawyers’ fees, assessment fees, auction fees and travelling expenses, etc. 2.3 The Pledgor hereby undertakes that the pledged asset will be occupied by the Pledgee and will be in charge of by the assigned manager of the Pledgee after the Agreement came into effect, and secures that the Pledgee is the only pledgee of the pledged asset. 2.4 During the valid term of this Agreement, except for the willful misconduct or gross negligence of the Pledgee, the Pledgee shall not be liable in any way to, nor shall the Pledgor have any right to claim in any way or propose any demands on the Pledgee, in respect of the reduction in value of the Pledged Asset. 2.5 Only upon prior consent by Pledgee shall the Pledgor be able to increase the asset for Bakery’s business. Further asset purchased by the Pledgor in Bakery shall also be part of the Pledged Asset. 2.6 Upon prior written notice to the Pledgor, the Pledgee may transfer the main principle creditor’s rights as well as other rights and interests under this Agreement, without being required the consent of the Pledgor. The Pledgor shall do its best to cooperate with the Pledgee or the transferees to complete all the required approval or registration procedures.