Excluded Deposit Accounts Clause Samples
The 'Excluded Deposit Accounts' clause defines specific bank accounts that are not subject to the security interest or control requirements typically imposed by a lender or secured party in a financing agreement. In practice, this clause lists certain accounts—such as payroll, tax, or petty cash accounts—that are carved out from the lender’s collateral, meaning the borrower can use these accounts freely without lender oversight. The core function of this clause is to ensure that essential operational funds remain accessible to the borrower, thereby preventing disruptions to routine business activities while still protecting the lender’s interests in other accounts.
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Excluded Deposit Accounts. In the event the amount of funds on deposit in the Local Accounts ever exceeds $300,000 at any time in the aggregate on any date of determination, the Borrowers shall immediately deliver to the Agent Blocked Account Agreements with respect to each such Local Account.
Excluded Deposit Accounts. At the time any such Deposit Account that is a Concentration Account is established, the appropriate “control agreement” shall be entered into in accordance with the requirements of preceding clause (a) and the respective Assignor shall furnish to the Collateral Agent a supplement to Annex F hereto containing the relevant information with respect to the respective Deposit Account and the bank with which same is established.
Excluded Deposit Accounts. (a) Trust Accounts, (b) zero balance disbursement accounts and (c) other Deposit Accounts maintained in the Ordinary Course of Business containing cash amounts that do not exceed at any time $100,000 for any each such account and $250,000 in the aggregate for all such accounts under this clause (c).
Excluded Deposit Accounts. The Deposit Accounts described in the foregoing clauses (i) and (ii) are referred to herein as “Pledged Deposit Accounts”. As of the date hereofFirst Amendment Effective Date, such Grantor has no Securities Accounts, other than the Securities Accounts listed on Schedule II heretoset forth in Section II.B. of the Information Certificate.
Excluded Deposit Accounts. (a) Deposit Accounts of any Loan Party exclusively used for payroll (operated as zero balance accounts), payroll taxes or employee benefits and (b) ▇▇▇▇▇ cash and other miscellaneous accounts of the Loan Parties having an aggregate value in all such ▇▇▇▇▇ cash and other miscellaneous accounts of $25,000 or less. Excluded Perfection Actions: the following actions: (i) filing notices of assignment under the Assignment of Claims Act or Financial Administration Act, (ii) taking any steps to perfect Liens on intellectual property in any jurisdiction outside the United States (other than the filing of UCC financing statements), (iii) perfecting interests in leasehold Real Property and fixtures attached thereto, (iv) the giving of notice or taking other actions (other than the filing of UCC financing statements) in respect of (A) Chattel Paper (to the extent the value thereof does not exceed $100,000 in the aggregate for all such Chattel Paper), (B) negotiable Documents (to the extent the value of all goods covered thereby do not exceed $100,000 in the aggregate at any time for all such Documents), (C) any promissory notes and other Instruments (other than checks) (to the extent the principal amount thereof, does not exceed $100,000 in the aggregate for all such notes and/or Instruments or (D) Letter-of-Credit Rights (to the extent the value thereof does not exceed $100,000 in the aggregate for all such Letter of Credit Rights), and (v) taking actions necessary to establish Agent’s control of any Excluded Deposit Account.
Excluded Deposit Accounts. (a) Deposit Accounts that are zero balance disbursement accounts, (b) Deposit Accounts used solely to fund payroll, payroll taxes and similar employment taxes or employee benefits in the Ordinary Course of Business, (c) other Deposit Accounts with an amount on deposit of less than $5,000,000 at any time in the aggregate for all such Deposit Accounts and (d) the Net Available Cash Account.
Excluded Deposit Accounts. All deposits into any Excluded Deposit Account described in clause (a) of the definition thereof shall be made in the ordinary course of business consistent with past practice. On and following the date that the requirement in Section 5.14(a) has been satisfied, all Cash on deposit in the Excluded Deposit Accounts described in clause (a) of the definition thereof shall be swept into a Deposit Account that is the subject of an effective Deposit Account Control Agreement at the end of each Business Day.
Excluded Deposit Accounts any Deposit Account exclusively used for payroll, payroll taxes or employee benefits.
Excluded Deposit Accounts. The Security Interest with respect to trade-marks constitutes a security interest in, and a charge, hypothecation and pledge of, such Collateral in favour of the Collateral Agent for the benefit of the Secured Creditors, but does not constitute an assignment or mortgage of such Collateral to the Collateral Agent or any Secured Creditor.
Excluded Deposit Accounts. (H) any owned or leased interests in real property acquired after the after the Closing Date; (I) letter of credit rights (except to the extent perfection thereof can be obtained by the filing of UCC financing statements indicating the Collateral as all assets of such Grantor or words of similar effect); (J) any asset to the extent a grant of a security interest therein is prohibited by applicable requirements of law; (K) margin stock; (L) [reserved]; (M) commercial tort claims that are not Material Commercial Tort Claims; and (N) tax development bonds; clauses (A) through (N) above are herein collectively referred to as “Excluded Property”; provided, however, that Excluded Property shall not include any Proceeds, substitutions or replacements for any Excluded Property (unless such Proceeds, substitutions or replacements would constitute Excluded Property). Notwithstanding anything to the contrary contained herein, in the absence of a court order by a court of competent jurisdiction, the Collateral Agent shall not have a right (and such right is not being granted hereunder) to directly collect from, direct the transfer of, or otherwise enforce against, Medicare, Medicaid or CHAMPUS any payment owing from Medicare, Medicaid or CHAMPUS, as the case may be, that is Article 9 Collateral, if such collection, direction of transfer or other enforcement would be in violation of applicable requirements of law or would cause an immediate, actual forfeiture of a Grantor’s rights to such payment.