Common use of Default and Remedies Upon Default Clause in Contracts

Default and Remedies Upon Default. 8.1 The occurrence of any of the following shall constitute an Event of Default hereunder: (a) If the Borrower shall fail to pay when due any of the Liabilities; (b) If any warranty or representation made by or for the Borrower or if any financial data or any other information now or hereafter furnished to Standard Federal by or on behalf of the Borrower shall prove to be false, inaccurate or misleading in any material respect; (c) If an event of default shall occur under any promissory note secured hereby or if the Borrower shall fail to perform any obligation or covenant hereunder, or shall fail to comply with any of the provisions of any loan agreement or other agreement with Standard Federal, (d) If the Borrower or any other party liable on any of the Liabilities: (i) shall voluntarily suspend transaction of its business, (ii) shall make a general assignment for the benefit of creditors, (iii) shall file a voluntary petition in bankruptcy or for a reorganization to effect a plan or other arrangement with creditors, or shall file an answer to a creditor's petition or other petition for relief in bankruptcy or for a reorganization which answer admits the material allegations thereof, or if any order for relief shall be entered by any court of bankruptcy jurisdiction with respect to it or shall have instituted against it bankruptcy, reorganization or liquidation proceedings which remain undismissed for 60 days, (iv) shall have entered against it any order by any court approving a plan of reorganization or any other plan or arrangement with creditors, (v) shall apply for or permit the appointment of a receiver, trustee or custodian for any substantial portion of its assets, or (vi) shall become unable to meet its debts as they mature or insolvent; (e) If a judgment shall be entered against the Borrower which is not insured against

Default and Remedies Upon Default. 8.1 The occurrence Any of the following events will constitute an “Event of Default” under the Agreement: (1) non–payment of any amounts due hereunder to Bankline by Customer; (2) non–performance of any of Customer’s or Bankline’s other material obligations hereunder; (3) if any representation or warranty of Customer or Bankline is materially breached; (4) if Customer or Bankline files a petition for bankruptcy or becomes the following shall constitute subject of an involuntary bankruptcy petition which is not vacated within thirty (30) days of filing, or becomes insolvent; or (5) if any substantial part of Customer’s or Banklines’ property becomes subject to any levy, seizure, assignment, application or sale for or by any creditor or governmental agency. Upon occurrence of an Event of Default hereunder: under the Agreement, the non–defaulting party may, at its option, terminate the Agreement provided at least (a60) If days (or longer period as may be required by the Borrower applicable regulatory authorities) prior written notice has been given to the other and such default has not been cured within such period. Upon such termination by Bankline, Bankline may declare all amounts due and to become due hereunder immediately due and payable. The remedies contained in this paragraph are cumulative and in additional to all other rights and remedies available to the parties under this Agreement or by operation of law or otherwise. ARBITRATION Bankline and Customer agree that all disputes arising out of, in connection with or relating to this Agreement shall fail be submitted to pay when due any final and binding arbitration pursuant to the United States Arbitration Act and the rules of the Liabilities; American Arbitration Association then in effect. Judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. Arbitrations conducted in accordance with this Paragraph shall be conducted by a single arbitrator selected by the parties from (b1) If any warranty or representation made by or a list of (3) knowledgeable individuals eligible to serve as arbitrator for the Borrower dispute submitted by the person filing a demand for arbitration, or (2) if any financial data or any the other information now or hereafter furnished to Standard Federal by or on behalf party so requests, a master list composed of the Borrower potential arbitrators suggested by the party demanding arbitration and a list of (3) knowledgeable individuals eligible to serve as arbitrator submitted by the other party. Each party shall prove be entitled to be falserepresented by counsel in the arbitration. Bankline and Customer agree that based upon a final decision of the arbitrator, inaccurate or misleading the prevailing party can seek reimbursement for its costs and reasonable attorneys’ fees in any material respect; (c) If an event of default shall occur under any promissory note secured hereby or if the Borrower shall fail to perform any obligation or covenant hereunder, or shall fail to comply connection with any of claim brought hereunder. Except as otherwise agreed by Bankline and Customer, the provisions of this Agreement shall remain in full force and effect pending resolution of any loan agreement or other agreement with Standard Federal, (d) If the Borrower or any other party liable on any of the Liabilities: (i) shall voluntarily suspend transaction of its business, (ii) shall make a general assignment for the benefit of creditors, (iii) shall file a voluntary petition in bankruptcy or for a reorganization dispute pursuant to effect a plan or other arrangement with creditors, or shall file an answer to a creditor's petition or other petition for relief in bankruptcy or for a reorganization which answer admits the material allegations thereof, or if any order for relief shall be entered by any court of bankruptcy jurisdiction with respect to it or shall have instituted against it bankruptcy, reorganization or liquidation proceedings which remain undismissed for 60 days, (iv) shall have entered against it any order by any court approving a plan of reorganization or any other plan or arrangement with creditors, (v) shall apply for or permit the appointment of a receiver, trustee or custodian for any substantial portion of its assets, or (vi) shall become unable to meet its debts as they mature or insolvent; (e) If a judgment shall be entered against the Borrower which is not insured againstarbitration. OTHER ADDENDA

Default and Remedies Upon Default. 8.1 The occurrence of any of the following shall constitute an Event of Default hereunder: (a) If the Borrower shall fail to pay when due any of the Liabilities; (b) If any warranty or representation made by or for the Borrower or if any financial data or any other information now or hereafter furnished to Standard Federal by or on behalf of the Borrower shall prove to be false, inaccurate or misleading in any material respect; (c) If an event of default shall occur under any promissory note secured hereby or if the Borrower shall fail to perform any obligation or covenant hereunder, or shall fail to comply with any of the provisions of any loan agreement or other agreement with Standard Federal, (d) If the Borrower or any other party liable on any of the Liabilities: (i) shall voluntarily suspend transaction of its business, (ii) shall make a general assignment for the benefit of creditors, (iii) shall file a voluntary petition in bankruptcy or for a reorganization to effect a plan or other arrangement with creditors, or shall file an answer to a creditor's petition or other petition for relief in bankruptcy or for a reorganization which answer admits the material allegations thereof, or if any order for relief shall be entered by any court of bankruptcy jurisdiction with respect to it or shall have instituted against it bankruptcy, reorganization or liquidation proceedings which remain undismissed for 60 days, (iv) shall have entered against it any order by any court approving a plan of reorganization or any other plan or arrangement with creditors, (v) shall apply for or permit the appointment of a receiver, trustee or custodian for any substantial portion of its assets, or (vi) shall become unable to meet its debts as they mature or insolvent; (e) If a judgment shall be entered against the Borrower which is not insured againstagainst or satisfied or appealed from and bonded within the time or times limited by applicable rules of procedure for appeal as of right or