Common use of Cash Equivalent Clause in Contracts

Cash Equivalent. At Tenant's option, but subject to the terms and conditions hereof and the condition that Landlord determine that Landlord's ability to draw upon such security in the event of Tenant's bankruptcy is not impaired, Tenant may , in lieu of the delivery of an LC, pledge a Certificate of Deposit ("CD") which shall be administered, as practicable, in accordance with the procedures set forth in this Article 21 with respect to the LC; provided, however, in the event of such CD any interest accruing on the CD shall be for the benefit of Tenant. The pledge of any such CD shall be on terms and conditions approved by Landlord, and the CD shall be issued by a financial institution reasonably acceptable to Landlord.

Cash Equivalent. At Tenant's option, but subject to the terms and conditions hereof and the condition that Landlord determine that Landlord's ability to draw upon such security in the event of Tenant's bankruptcy is not impaired, Tenant may , in lieu of the delivery of an LC, pledge a Certificate of Deposit ("CD") which shall be administered, as practicable, in accordance with the procedures set forth in this Article 21 with respect to the LC; provided, however, in the event of such CD any interest accruing on the CD shall be for the benefit of Tenant. The pledge of any such CD shall be on terms and conditions approved by Landlord, and the CD shall be issued by a financial institution reasonably acceptable to Landlord.. PEREGRINE SYSTEMS CORPORATE CENTER [Peregrine Systems]