Common use of Field Audits Clause in Contracts

Field Audits. Borrower shall permit Lender, on ten (10) Business Days’ prior notice, to conduct a field audit of Borrower verifying Borrower’s methodology and valuation of the Accounts, Inventory and other Collateral of Borrower, performed by an agent designated by Lxxxxx, all to the satisfaction of Lender in its sole opinion and judgment. In addition, Borrower shall, during normal business hours, from time to time upon ten (10) Business Days prior notice: (a) provide Lender and any of its officers, employees and agents access to its properties, facilities, advisors, officers and employees of Borrower and to the Collateral of Borrower, and (b) permit Lender and any of its officers, employees and agents to inspect, audit and make extracts from Borrower’s books and records. Borrower shall, during normal business hours, from time to time upon one (1) Business Days prior notice, permit Lender, and its officers, employees and agents, to inspect, review, evaluate and make test verifications and counts for the Accounts, Inventory and other Collateral of Borrower. If an Event of Default has occurred and is continuing, Borrower shall, at Borrower’s expense, provide such access to Lender at all times and without advance notice. Furthermore, so long as any Event of Default has occurred and is continuing, Borrower shall provide Lender with access to each of its suppliers and customers. Borrower shall reasonably promptly make available to Lender and its counsel originals or copies of all books and records that Lxxxxx may reasonably request. Borrower shall deliver any document or instrument necessary for Lender as it may from time to time reasonably request, to obtain records from any service bureau or other Person that maintains records for Borrower, and shall maintain duplicate records or supporting documentation on media, including computer tapes and discs owned by Borrower. Lender will give Borrower at least ten (10) Business Days’ prior written notice of regularly scheduled field audits. Borrower shall reimburse Lender for any cost incurred for such field audits. Unless an Event of Default has occurred, Borrower shall be responsible for the cost of any such audit one (1) time each year and, in no event, at a cost not to exceed $3,000.00. Borrower hereby authorized Lender to debit (without offset) any such cost from Borrower’s Operating Account. In the event that Lxxxxx deems the results of any such audit to be unsatisfactory, in Lxxxxx’s sole opinion and judgment, then in such event, Lxxxxx may declare an Event of Default.

Field Audits. Borrower shall permit Lender, on ten (10) Business Days’ prior notice, to conduct a field audit of Borrower verifying Borrower’s methodology and valuation of the Accounts, Inventory and other Collateral of Borrower, performed by an agent designated by Lxxxxx, all to the satisfaction of Lender in its sole opinion and judgment. In addition, Borrower shall, during normal business hours, from time to time upon ten (10) Business Days prior notice: (a) provide Lender and any of its officers, employees and agents access to its properties, facilities, advisors, officers and employees of Borrower and to the Collateral of Borrower, and (b) permit Lender and any of its officers, employees and agents to inspect, audit and make extracts from Borrower’s books and records. Borrower shall, during normal business hours, from time to time upon one (1) Business Days prior notice, notice permit Lender, and its officers, employees and agents, to inspect, review, evaluate and make test verifications and counts for the Accounts, Inventory and other Collateral of Borrower. If an Event of Default has occurred and is continuing, Borrower shall, at Borrower’s expense, provide such access to Lender at all times and without advance notice. Furthermore, so long as any Event of Default has occurred and is continuing, Borrower shall provide Lender with access to each of its suppliers and customers. Borrower shall reasonably promptly make available to Lender and its counsel originals or copies of all books and records that Lxxxxx may reasonably request. Borrower shall deliver any document or instrument necessary for Lender as it may from time to time reasonably request, to obtain records from any service bureau or other Person that maintains records for Borrower, and shall maintain duplicate records or supporting documentation on media, including computer tapes and discs owned by Borrower. Lender will give Borrower at least ten (10) Business Days’ prior written notice of regularly scheduled field audits. Borrower shall reimburse Lender for any cost incurred for such field audits. Unless an Event of Default has occurred, Borrower shall be responsible for the cost of any such audit one (1) time each year and, in no event, at a cost not to exceed $3,000.00300.00. Borrower hereby authorized Lender to debit (without offset) any such cost from Borrower’s Operating Accountprimary operating account with Lender. In the event that Lxxxxx deems the results of any such audit to be unsatisfactory, in Lxxxxx’s sole opinion and judgment, then in such event, Lxxxxx may declare an Event of DefaultDefault and terminate the Revolving Line of Credit.

Field Audits. (a) Borrower shall permit Lender, on ten five (105) Business Days’ prior notice, to conduct a appraisals and/or field audit audits of Borrower verifying Borrower’s methodology and valuation of the Accounts, Inventory and other Collateral of Borrower, performed by an agent or third party professional designated by LxxxxxXxxxxx, all to the satisfaction of Lender in its sole opinion and judgment. In addition, Borrower shall, during normal business hours, from time to time upon ten five (105) Business Days Days’ prior noticenotice as frequently as Lender determines to be appropriate in its sole opinion and judgment: (a) provide Lender and any of its officers, employees employees, agents and agents third party professionals access to its properties, facilities, advisors, officers and employees of Borrower and to the Collateral of Borrower, and (b) permit Lender and any of its officers, employees employees, agents and agents third party professionals to inspect, audit and make extracts from BorrowerXxxxxxxx’s books and records. Borrower shall, during normal business hours, from time to time upon one five (15) Business Days Days’ prior notice, notice permit Lender, and its officers, employees employees, agents and agents, third party professionals to inspect, review, evaluate and make test verifications and counts for the Accounts, Inventory and other Collateral of Borrower. If an Event of Default has occurred and is continuing, Borrower shall, at Borrower’s expense, shall provide such access to Lender at all times and without advance notice. Furthermore, so long as any Event of Default has occurred and is continuing, Borrower shall provide Lender with access to each of its suppliers and customers. Borrower shall reasonably promptly make available to Lender and its counsel originals or copies of all books and records that Lxxxxx Lender may reasonably request. Borrower shall deliver delivery any document or instrument necessary for Lender as it may from time to time reasonably request, request to obtain records from any service bureau or other Person that maintains records for Borrower, and shall maintain duplicate records or supporting documentation on media, including computer tapes and discs owned by BorrowerXxxxxxxx. Lender will give Borrower at least ten five (105) Business Days’ prior written notice of regularly scheduled appraisals and/or field audits. Borrower shall shall, upon demand by Xxxxxx, reimburse Lender for any cost incurred for such appraisals and field audits. Unless an ; provided, however, that so long as no Event of Default has occurredor Potential Default exists hereunder, Borrower shall not be responsible obligated to reimburse Lender for the cost more than two (2) such third party appraisals or field audits in any twelve (12)-consecutive calendar month period of any such audit one (1) time each year and, in no event, at a cost not to exceed $3,000.00. Borrower hereby authorized Lender to debit (without offset) any such cost from Borrower’s Operating Account. In the event that Lxxxxx deems the results of any such audit to be unsatisfactory, in Lxxxxx’s sole opinion and judgment, then in such event, Lxxxxx may declare an Event of Defaulttime.

Field Audits. Borrower shall permit Lender, on ten (10) Business Days’ ' prior notice‎notice, to conduct a field audit of Borrower verifying Borrower’s 's methodology and valuation of the ‎the Accounts, Inventory and other Collateral of Borrower, performed by an agent designated by ‎by Lxxxxx, all to the satisfaction of Lender in its sole opinion and judgment. In addition, Borrower ‎Borrower shall, during normal business hours, from time to time upon ten (10) Business Days prior ‎prior notice: (a) provide Lender and any of its officers, employees and agents access to its properties‎properties, facilities, advisors, officers and employees of Borrower and to the Collateral of Borrower‎Borrower, and (b) permit Lender and any of its officers, employees and agents to inspect, audit and ‎and make extracts from Borrower’s 's books and records. Borrower shall, during normal business ‎business hours, from time to time upon one (1) Business Days prior notice, notice permit Lender, and its ‎its officers, employees and agents, to inspect, review, evaluate and make test verifications and counts ‎counts for the Accounts, Inventory and other Collateral of Borrower. If an Event of Default has occurred ‎occurred and is continuing, Borrower shall, at Borrower’s 's expense, provide such access to Lender ‎Lender at all times and without advance notice. Furthermore, so long as any Event of Default has ‎has occurred and is continuing, Borrower shall provide Lender with access to each of its suppliers ‎suppliers and customers. Borrower shall reasonably promptly make available to Lender and its counsel originals or copies of all books and records that Lxxxxx may reasonably request‎request. Borrower shall deliver any document or instrument necessary for Lender as it may from ‎from time to time reasonably request, to obtain records from any service bureau or other Person ‎Person that maintains records for Borrower, and shall maintain duplicate records or supporting documentation ‎documentation on media, including computer tapes and discs owned by Borrower. Lender will give ‎give Borrower at least ten (10) Business Days’ ' prior written notice of regularly scheduled field audits‎audits. Borrower shall reimburse Lender for any cost incurred for such field audits. Unless an Event ‎Event of Default has occurred, Borrower shall be responsible for the cost of any such audit one ‎one (1) time each year and, in no event, at a cost not to exceed $3,000.00300.00. Borrower hereby authorized ‎authorized Lender to debit (without offset) any such cost from Borrower’s Operating Account's primary operating ‎account with Lender. In the event that Lxxxxx deems the results of any such audit to be unsatisfactory‎unsatisfactory, in Lxxxxx’s 's sole opinion and judgment, then in such event, Lxxxxx may declare an ‎an Event of Default.Default and terminate the Revolving Line of Credit.‎