Initiation of Transactions. a. By the close of business of each Business Day, the Bank will determine: (i) whether the Collected Balance in the Account is less than or greater than the Target Balance; and (ii) accordingly, the funds available for either a Loan Advance Transaction or a Repayment Transaction. b. If the Bank determines pursuant to Section 3(a) that the Collected Balance of the Account is less than the Target Balance, the Bank will initiate a Loan Advance Transaction, by charging the Loan in the Loan Amount and by crediting the Account in the Loan Amount, but only if all of the following are true: (i) Customer has not repaid or canceled the Loan; (ii) no default has occurred under the provisions of any Credit Agreement or this Agreement; (iii) no Event of Insolvency has occurred; (iv) the Bank has not made demand for payment under the Loan; and (v) the Bank is not otherwise excused or prohibited under the provisions of any Credit Agreement or applicable law from making an advance to Customer. c. If the Bank determines pursuant to paragraph 3(a) that there are Excess Funds, the Bank will initiate a Repayment Transaction by debiting the Account and crediting the Loan in the lesser of: (i) the amount of the Excess Funds; or (ii) the outstanding principal balance of the Loan. d. If Customer and the Bank have entered into any other agreement that authorizes the Bank to transfer any or all of the Excess Funds from the Account to another deposit or investment account, the provisions of this Agreement shall supersede the provisions of such other agreement.
Appears in 10 contracts
Samples: Master Treasury Management Services Agreement, Master Treasury Management Services Agreement, Master Treasury Management Services Agreement
