Common use of Custody and Preservation of Collateral Clause in Contracts

Custody and Preservation of Collateral. Except as expressly provided in the Code, the Agent shall have no duty with respect to any Collateral in its possession or control (or in the possession or control of any agent or bailee) or with respect to any income thereon. The Agent shall be deemed to have exercised reasonable care in the custody and preservation of any of the Collateral in its possession if it takes such action for that purpose as any Borrower shall request in writing, and no failure by the Agent to comply with any such request shall of itself be deemed a failure to exercise reasonable care, but failure by the Agent to preserve or protect any right with respect to such Collateral against prior parties, or to do any act with respect to the preservation of such Collateral not so requested by the Borrowers, shall not of itself be deemed a failure to exercise reasonable care in the custody or preservation of such Collateral. The Agent shall not be liable or responsible for any loss or damage to any of the Collateral, or for any diminution in the value thereof, by reason of the act or omission of any warehouseman, carrier, forwarding agency, consignee or other agent or bailee selected by the Agent in good faith.

Custody and Preservation of Collateral. Except as expressly provided in the Code, the Agent shall have no duty with respect to any Collateral in its possession or control (or in the possession or control of any agent or bailee) or with respect to any income thereon. The Agent shall be deemed to have exercised reasonable care in the custody and preservation of any of the Collateral in its possession if it takes such action for that purpose as any the Borrower shall request in writing, but failure by the Agent to comply with any such request shall not of itself be deemed a failure to exercise reasonable care, and no failure by the Agent to comply with any such request shall of itself be deemed a failure to exercise reasonable care, but and no failure by the Agent to preserve or protect any right with respect to such Collateral against prior parties, or to do any act with respect to the preservation of such Collateral not so requested by the BorrowersBorrower, shall not of itself be deemed a failure to exercise reasonable care in the custody or preservation of such Collateral. The Agent shall not be liable or responsible for any loss or damage to any of the Collateral, or for any diminution in the value thereof, by reason of the act or omission of any warehouseman, carrier, forwarding agency, consignee or other agent or bailee selected by the Agent in good faith.

Custody and Preservation of Collateral. Except as expressly provided in the Code, the Agent shall have no duty with respect to any Collateral in its possession or control (or in the possession or control of any agent or bailee) or with respect to any income thereon. The Agent shall be deemed to have exercised reasonable care in the custody and preservation of any of the Collateral in its possession if it takes such action for that purpose as any the Borrower shall request in writing, and no but failure by the Agent to comply with any such request shall not of itself be deemed a failure to exercise reasonable care, but and no failure by the Agent to preserve or protect any right with respect to such Collateral against prior parties, or to do any act with respect to the preservation of such Collateral not so requested by the BorrowersBorrower, shall not of itself be deemed a failure to exercise reasonable care in the custody or preservation of such Collateral. The Agent shall not be liable or responsible for any loss or damage to any of the Collateral, or for any diminution in the value thereof, by reason of the act or omission of any warehouseman, carrier, forwarding agency, consignee or other agent or bailee selected by the Agent in good faith.