Collateral Interests Clause Samples
The Collateral Interests clause defines the rights and claims a lender or secured party has over specific assets pledged by a borrower as security for a loan or obligation. In practice, this clause outlines which assets are subject to the security interest, the priority of those interests compared to other creditors, and the procedures for perfecting and enforcing the collateral. By clearly establishing the scope and enforceability of collateral rights, this clause protects the lender’s interests and mitigates the risk of loss in the event of borrower default.
Collateral Interests. In connection with the establishment of -------------------- the GMAC Credit Facility and the amendment of the Bank Credit Facility to increase the commitments thereunder, it is agreed that:
Collateral Interests. The Administrative Agent shall have received all documents and instruments, including Uniform Commercial Code financing statements required by law or reasonably requested by the Administrative Agent to be filed, registered, published or recorded to create or perfect the first priority Encumbrances in favor of the Administrative Agent intended to be created under the Loan Documents and all such documents and instruments shall have been so filed, registered, published or recorded to the satisfaction of the Administrative Agent and an endorsement to the title insurance policy insuring the Mortgage shall have been issued in form and substance reasonably satisfactory to the Administrative Agent.
Collateral Interests. The parties to this Agreement and to the Appointment of Stockholder Representative contemplate that the Stockholder Representative will hold on behalf of the Secured Parties proportionate security interests in the Collateral. As provided in the Appointment of Stockholder Representative, each individual member of the Secured Parties shall have an undivided security interest in the Collateral, and shall have equal priority with respect to any claims to the Collateral. No individual member of the Secured Parties will have a priority interest in the Collateral, and distributions of Collateral shall be made on a pro rata basis.
Collateral Interests