Borrower’s Right. The Borrower may, upon the Due Date of payment of the Loan, and if it is necessary for the Borrower to preserve its deposit receivables or any other receivables that it has against the Lender that became due, set off such receivables against its obligations owed to the Lender under this Agreement. In this case, the Borrower shall give written set-off notice to the Lender and immediately submit to the Lender the receivable certificates for the deposit receivables or other receivables being set-off and the passbook impressed with the seal of the seal impression submitted. The interest and default interest for the receivables and obligations involved in such a set-off shall be calculated up to the day of receipt of such set-off notice, and in such calculation, the interest rate and default interest rate shall be figured in accordance with each agreement, and the foreign exchange rate at the time such calculation is made, as reasonably determined by the Lender, shall be applied. If the Borrower’s receivables to be set-off are not sufficient to extinguish all of its debts, the Borrower may apply such set-off amount in the order and method it deems appropriate; provided, however, that if the Lender objects to such order or method of application designated by Borrower or if the Borrower does not instruct such order or method, any such amounts may be applied in the order and method deemed appropriate by the Lender, and the Borrower shall not object to such application; provided, the Lender shall be obligated to deliver reasonably satisfactory evidence to the Borrower of the amount of such set-off. Notwithstanding the above, if the Borrower effects a set-off with respect to the bills and notes which the Lender has discounted and have not yet become due, the Borrower may do so upon assuming the repurchasing obligations for the face value of the discounted bills and notes; provided, however, that the Borrower may not effect a set-off with regard to the bills and notes which the Lender has discounted and assigned to a third party.
Appears in 6 contracts
Samples: Uncommitted Revolving Credit Facility Agreement, Uncommitted Revolving Credit Facility Agreement, Uncommitted Revolving Credit Facility Agreement (Spansion Inc.)
