Common use of Capital Transaction Proceeds Clause in Contracts

Capital Transaction Proceeds. Capital Transaction Proceeds and any cash, other than Net Cash Flow distributable pursuant to §9.1, shall be applied, first, to the payment of all debts, fees, costs and liabilities of the Company then due (or required by any lender or creditor to be repaid on account of the event referred to in this section which makes such cash available), and, second, to fund reasonable reserves for other liabilities and, to the extent provided in a then current Annual Budget under §11.3 for working capital, capital acquisitions, or other business plans or contingencies of the Company; provided, that at the expiration of such period of time as the Manager shall reasonably deem advisable, the balance of such reserves remaining after payment (or other satisfaction) of such contingencies shall be distributed in the manner hereinafter set forth in this section. The remaining cash from Capital Transaction Proceeds, if any, shall then be distributed to the Members as soon as possible after the Capital Transaction in accordance with the priorities set forth in §9.2(b).

Capital Transaction Proceeds. Capital Transaction Proceeds and any cash, other than Net Cash Flow distributable pursuant to §9.1, shall be applied, applied first, to the payment of all debts, fees, costs and liabilities of the Company then due (or required by any lender or creditor to be repaid on account of the event referred to in this section which makes such cash available), ) and, second, to fund reasonable reserves for other liabilities and, to the extent provided in a the then current Annual Budget under §11.3 for working capital, capital acquisitions, or other business plans or contingencies of the Company; provided, that at the expiration of such period of time as the Manager shall reasonably deem advisable, the balance of such reserves remaining after payment (or other satisfaction) of such contingencies shall be distributed in the manner hereinafter set forth in this section. The remaining cash from Capital Transaction Proceeds, if any, shall then be distributed to the Members as soon as possible after the Capital Transaction in accordance with the priorities set forth in §9.2(b).