Common use of Ineligible Accounts Clause in Contracts

Ineligible Accounts. CDF will have the sole right to determine eligibility of Accounts and, without limiting CDF’s discretion in that regard, the following Accounts will be deemed ineligible: (a) Accounts unpaid more than sixty (60) days from the due date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty (60) days from the due date of invoice; (g) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC., or is related to Borrower or has common shareholders, officers, directors, owners, partners or members with Borrower; (h) consignment sales; (i) Accounts for which the payment is or may be conditional; (j) Accounts for which the obligor is not a commercial or institutional entity or is not a resident of the United States; (k) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 is not true and correct; (l) Accounts which represent goods or services purchased for a personal, family or household purpose; (m) Accounts which represent goods used for demonstration purposes or loaned by the Borrower to another party; (n) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (q) Accounts in which CDF does not have a perfected, first security interest therein; and (r) any and all other Accounts which CDF reasonably deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon notice thereof from CDF, Borrower will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.

Ineligible Accounts. CDF will have the sole right to determine eligibility of Accounts and, without limiting CDF’s discretion in that regard, the following Accounts will be deemed ineligible: (a) Accounts unpaid created from the sale of goods and services that allow for payment to be made more than sixty thirty (6030) days from the due date of sale; (b) Accounts unpaid more than ninety (90) days from date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty ninety (6090) days from the due date of invoice; (gd) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC.of, or is related to Borrower Dealer or has common shareholders, officers, directors, owners, partners or members with BorrowerDealer; (he) consignment sales; (if) Accounts for which the payment is or may be conditional; (jg) Accounts for which the obligor is not a commercial or institutional entity or is not a resident of the United StatesStates or Canada; (kh) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 is not true and correct; (li) Accounts which represent goods or services purchased for a personal, family or household purpose; (mj) Accounts which represent goods used for demonstration purposes or loaned by the Borrower Dealer to another party; (nk) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (ql) Accounts in which CDF does not have a perfected, first security interest therein; and (rm) any and all other Accounts which CDF reasonably deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon five (5) days prior notice thereof from CDF, Borrower Dealer will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.

Ineligible Accounts. CDF DFS will have the sole right to determine eligibility of Accounts and, without limiting CDF’s DFS' discretion in that regard, the following Accounts will be deemed ineligible: (a) Accounts unpaid created from the sale of goods and services on non-standard terms and/or that allow for payment to be made more than sixty (60) days from the due date of sale; (b) Accounts unpaid more than ninety (90) days from date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if with fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty ninety (6090) days from the due date of invoice; (gd) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC.of, or is related to Borrower or has common shareholders, officers, directors, owners, partners or members with BorrowerDealer; (he) consignment sales; (if) Accounts for which the payment is or may be conditional; (jg) Accounts for which the obligor is not a commercial commercial, governmental or institutional entity or is not a resident of the United StatesStates or Canada, unless backed by credit insurance or a letter of credit (each in form, substance, amount and issued by an institution acceptable to DFS), or, in the case of Accounts where the obligor is a governmental entity, Dealer shall have complied with the Federal Assignment of Claims Act or other applicable law to direct payment in an amount acceptable to DFS; (kh) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 made herein is not true and correct; (li) Accounts which represent goods or services purchased for a personal, family or household purpose; (mj) Accounts which represent goods used for demonstration purposes or loaned by the Borrower Dealer to another party; (nk) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (q) Accounts in which CDF does not have a perfected, first security interest therein; and (rl) any and all other Accounts which CDF reasonably DFS deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon notice thereof from CDF, Borrower will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.

Ineligible Accounts. CDF will have the sole right to determine eligibility of Accounts and, without limiting in CDF’s discretion reasonable discretion, and in that regard, the following Accounts will be deemed ineligible: (a) Accounts unpaid created from the sale of goods and services on non-standard terms and/or that allow for payment to be made more than sixty thirty (6030) days from the due date of sale; (b) Accounts unpaid more than ninety (90) days from date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty ninety (6090) days from the due date of invoice; (gd) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC.of, or is related to Borrower Dealer or has common shareholders, officers, directors, owners, partners or members with BorrowerDealer; (he) consignment sales; (if) Accounts for which the payment is or may be conditional; (jg) Accounts for which the obligor is not a commercial or institutional entity or is not a resident of the United StatesStates or Canada; (kh) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 is not true and correct; (li) Accounts which represent goods or services purchased for a personal, family or household purpose; (mj) Accounts which represent goods used for demonstration purposes or loaned by the Borrower Dealer to another party; (nk) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (ql) Accounts in which CDF does not have a perfected, first security interest therein; and (rm) any and all other Accounts which CDF reasonably deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon notice thereof from CDF, Borrower will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.

Ineligible Accounts. CDF will have the sole right to determine eligibility of Accounts and, without limiting CDF’s discretion in that regard, the following Accounts will be deemed ineligible: (a) Accounts unpaid created from the sale of goods and services on non-standard terms and/or that allow for payment to be made more than sixty (60)) days from the due date of sale; (b) Accounts unpaid more than ninety (90) days from date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty ninety (6090) days from the due date of invoice; (gd) Accounts greater than (i) twenty percent (20%) of Dealer’s then total aggregate outstanding accounts and (ii) $500,000.00; (e) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC.of, or is related to Borrower Dealer or has common shareholders, officers, directors, owners, partners or members with BorrowerDealer; (hf) consignment sales; (ig) Accounts for which the payment is or may be conditional; (jh) Accounts for which the obligor is not a commercial or institutional entity or is not a resident of the United StatesStates or Canada; (ki) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 is not true and correct; (lj) Accounts which represent goods or services purchased for a personal, family or household purpose; (mk) Accounts which represent goods used for demonstration purposes or loaned by the Borrower Dealer to another party; (n1) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (qm) Accounts in which CDF does not have a perfected, first security interest therein; and (rn) any and all other Accounts which CDF reasonably deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon notice thereof from CDF, Borrower Dealer will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.

Ineligible Accounts. CDF will have the sole right to determine eligibility of Accounts and, without limiting CDF’s discretion in that regard, the following Accounts will be deemed ineligible: ineligible (a) Accounts created from the sale of goods and services on non-standard terms and/or that allow for payment to be made more than forty-five (45) days from the date of sale; (b) Accounts unpaid more than sixty ninety (6090) days from the due date of invoice; (b) Accounts with payment terms in excess of 360 days; (c) Accounts which are originated with COD or cash in advance terms; (d) Accounts which represent an obligation which is created in settlement or compromise of a prior amount due or a disputed amount; (e) Accounts which are due from an account debtor who is subject to any bankruptcy, insolvency, receivership or similar proceeding; (f) all Accounts of any obligor if fifty percent (50%) or more of the aggregate outstanding balance of such obligor’s Accounts are unpaid for more than sixty ninety (6090) days from the due date of invoice; (gd) Accounts for which the obligor is an officer, director, shareholder, partner, member, owner, employee, agent, parent, subsidiary, affiliate of with the exception of Cummins MerCruiser Diesel Marine LLC.of, or is related to Borrower Dealer or has common shareholders, officers, directors, owners, partners or members with BorrowerDealer; (he) consignment sales; (if) Accounts for which the payment is or may be conditional; (jg) Accounts for which the obligor is not a commercial or institutional entity or is not a resident of the United StatesStates or Canada; (kh) Accounts with respect to which any warranty or representation provided in Subsection 3.4 or Subsection 5.1 is not true and correct; (li) Accounts which represent goods or services purchased for a personal, family or household purpose; (mj) Accounts which represent goods used for demonstration purposes purpose or loaned by the Borrower Dealer to another party; (nk) Accounts which are progress payment, barter, or contra accounts; (o) Accounts in which any Department, agency or instrumentality of the United States Government is an obligor in the event the total of all such Accounts exceeds five million dollars ($5,000,000), unless the provisions of the Federal Assignment of Claims Act have been satisfactorily complied with; (p) any amounts representing service charges or interest with respect to Accounts; (ql) Accounts in which CDF does not have a perfected, first security interest therein; and (rm) any and all other Accounts which CDF reasonably deems to be ineligible. If CDF determines that any Account is or becomes an ineligible Account, immediately upon notice thereof from CDF, Borrower Dealer will pay to CDF an amount equal to the monies loaned by CDF for such ineligible Account.