Common use of Escrow of Warrant Stock Clause in Contracts

Escrow of Warrant Stock. If after any property becomes distributable pursuant to this Section 4 by reason of the taking of any record of the holders of Common Stock, but prior to the occurrence of the event for which such record is taken, any Warrant Holder exercises Warrants, any Additional Shares of Common Stock issuable upon exercise of such Warrant by reason of such adjustment shall be held in escrow for a Warrant Holder by the Issuer to be issued to such Warrant Holder upon and to the extent that the event actually takes place, upon payment of the balance, if any, of the Warrant Price for such Warrant at such date (after taking into account any overpayment of the Warrant Price made at any time of the initial Warrant exercise). Notwithstanding any other provision to the contrary herein, if the event for which such record was taken fails to occur or is rescinded, then such escrowed shares shall be canceled by the Issuer and escrowed property returned.

Escrow of Warrant Stock. If after any property becomes distributable pursuant to this Section 4 2.04 by reason of the taking of any record of the holders of Common Stock, but prior to the occurrence of the event for which such record is taken, any Warrant Holder Convertible Lender exercises Warrantsits conversion rights, any Additional Shares of Common Stock issuable upon exercise of such Warrant conversion rights by reason of such adjustment shall be held in escrow for a Warrant Holder Convertible Lender by the Issuer to be issued to such Warrant Holder Convertible Lender upon and to the extent that the event actually takes place, upon payment of the balance, if any, of the Warrant Conversion Price for such Warrant Common Stock at such date (after taking into account any overpayment of the Warrant Conversion Price made at any time of the initial Warrant exerciseexercise of conversion rights). Notwithstanding any other provision to the contrary herein, if the event for which such record was taken fails to occur or is rescinded, then such escrowed shares shall be canceled by the Issuer and escrowed property returned.