Collateral Security; Acquisition Sample Clauses
The 'Collateral Security; Acquisition' clause establishes the lender's right to obtain and maintain collateral as security for a loan or other financial obligation. In practice, this clause outlines the types of assets that may be pledged as collateral, the process for perfecting the lender's security interest, and the borrower's obligations to assist in the acquisition or maintenance of such collateral. Its core function is to protect the lender by ensuring that sufficient assets are available to secure repayment, thereby reducing the lender's risk in the event of borrower default.
Collateral Security; Acquisition. (a) The Borrower has not assigned, pledged, or otherwise conveyed or encumbered any Medallion Loan or other Collateral to any other Person, and immediately prior to the pledge of such Medallion Loan or any other Collateral to the Agent for the benefit of the Secured Parties, the Borrower was the sole owner of such Medallion Loan or such other Collateral and had good and marketable title thereto, free and clear of all Liens other than those created hereunder and those in favor of the applicable Seller or the Borrower and pledged hereunder, in each case except for Permitted Junior Participation Interests and Liens to be released simultaneously with the Liens granted in favor of the Agent for the benefit of the Secured Parties hereunder. Each Medallion Loan was acquired by the Borrower from a Seller.
(b) The provisions of this Agreement are effective to create in favor of the Agent for the benefit of the Secured Parties a valid security interest in all right, title and interest of the Borrower in, to and under the Collateral.
(c) Upon delivery to the Custodian of a complete Medallion Loan File, the Agent for the benefit of the Secured Parties shall have a fully perfected first priority security interest therein, in each Medallion Loan pledged hereunder and in the Borrower’s interest in the related Medallion Collateral.
(d) Upon the filing of financing statements on Form UCC-1 naming the Agent as “secured party” and the Borrower as “debtor”, and describing the Collateral, in the jurisdictions and recording offices listed on Schedule VII attached hereto, the security interests granted hereunder in the Collateral will constitute fully perfected first priority security interests under the Uniform Commercial Code in all right, title and interest of the Borrower in, to and under such Collateral which can be perfected by filing under the Uniform Commercial Code.
Collateral Security; Acquisition. The Borrower has not assigned, pledged, or otherwise conveyed or encumbered any Medallion Loan or other Collateral to any other Person, and immediately prior to the pledge of such Medallion Loan or any other Collateral to the Agent for the benefit of the Secured Parties, the Borrower was the sole owner of such Medallion Loan or such other Collateral and had good and marketable title thereto, free and clear of all Liens other than those created hereunder and those in favor of the applicable Seller or the Borrower and pledged hereunder, in each case except for Permitted Junior Participation Interests and Liens to be released simultaneously with the Liens granted in favor of the Agent for the benefit of the Secured Parties hereunder. Each Medallion Loan was acquired by the Borrower from a Seller.
Collateral Security; Acquisition. (a) Section 4.25.