Master Collateral Account Clause Samples
The Master Collateral Account clause establishes a designated account where collateral is held to secure obligations between parties under an agreement. This account is typically managed by a third-party custodian or one of the contracting parties, and it is used to deposit, hold, and release collateral such as cash or securities as required by the terms of the contract. By centralizing the management of collateral, this clause ensures transparency, reduces operational risk, and provides a clear mechanism for handling collateral in the event of default or dispute.
Master Collateral Account. (a) The Master Collateral Agent shall establish and maintain for the benefit of the Beneficiaries, or cause to be established and maintained, an account (the "Master Collateral Account"), in the name of Master Collateral Agent, bearing a designation clearly indicating that the funds deposited therein are held for the respective benefit of each Beneficiary. The Master Collateral Account shall be maintained (i) with a Qualified Institution, or (ii) as a segregated trust account with the corporate trust department of a depository institution or trust company having corporate trust powers so long as such institution has a credit rating for its unsecured long-term debt not lower than Baa3 by Mood▇'▇ ▇▇▇ not lower than investment grade by Standard & Poor's. If the Master Collateral Account is not maintained in accordance with the previous sentence, then within ten (10) Business Days of obtaining knowledge of such fact, the Master Collateral Agent shall establish a new Master Collateral Account which complies with such sentence and transfer into the new Master Collateral Account all funds from the non-qualifying Master Collateral Account. Initially, the Master Collateral Account will be established with the Master Collateral Agent.
(b) A Lessee Grantor or a Lessor Grantor may enter into an Exchange Agreement with respect to Vehicles owned by each of them, respectively, an interest in which has been pledged hereunder; provided that the conditions to effectiveness of any such Exchange Agreement with respect to such Vehicles specified in the definition thereof shall have been satisfied. A Lessee
(c) Other than as set forth in the next sentence, and, subject to the right, if any, of a Lessor Grantor or Lessee Grantor, as set forth in the applicable Group I Lease, to deposit certain funds directly into the applicable Collection Account, the Master Servicer, the Lessee Grantors and the Lessor Grantors, as applicable, shall cause payments (i) representing amounts payable under Manufacturer Programs (including payments under any Guaranteed Depreciation Program) and (ii) relating to the other Master Collateral to be made directly to the Master Collateral Agent for deposit into the Master Collateral Account (and the Master Servicer hereby instructs the Master Collateral Agent to deposit any such payments into the Master Collateral Account). Subject to the right, if any, of a Lessor Grantor or Lessee Grantor, as set forth in the applicable Group I Lease, to deposit certain ...
Master Collateral Account. Borrower shall, during the term hereof, maintain at Lender, at Lender’s Office, the Master Collateral Account in accordance with standard account documents of Lender. Borrower agrees that on and after the date each payment hereunder is due and owing hereunder, Lender is authorized to, and shall, debit the Master Collateral Account of Borrower by the amount of the payment owed; provided, however, that if the amount on deposit in the Master Collateral Account on the date such payment is due is less than the amount of such payment, then, no later than the date such payment is due, Borrower shall transfer funds directly to Lender in an amount equal to the difference between such deposit amount and such payment amount.
Master Collateral Account. (a) The Master Collateral Agent shall establish and maintain, or cause to be established and maintained, in the name of Master Collateral Agent for the benefit of the Beneficiaries, one or more accounts (collectively, the "Master Collateral Account"), each bearing a designation clearly indicating that the funds deposited therein
Master Collateral Account. The Master Collateral Agent shall establish and maintain, or cause to be established and maintained, in the name of Master Collateral Agent for the benefit of the named Beneficiary, one or more accounts (the “Collateral Account”) into which shall be initially deposited all Master Collateral and proceeds thereof, and shall establish and maintain, or cause to be established and maintained, in the name of the Master Collateral Agent for the benefit of the named Beneficiary, one or more accounts for each Group of Segregated Collateral (the “Group Collateral Account” and collectively with the Collateral Account, the “Master Collateral Account”) into which shall be deposited the Master Collateral and proceeds thereof designated as belonging to such Group. Each Master Collateral Account shall bear a designation clearly indicating that the funds deposited therein are held for the respective benefit of the named Beneficiary and sole dominion and control over each Master Collateral Account shall be vested in the Master Collateral Agent for the benefit of the named Beneficiary. The Master Collateral Account shall be maintained (i) with one or more Qualified Institutions, or (ii) as segregated trust accounts with the corporate trust departments of depository institutions or trust companies having corporate trust powers so long as each such institution has a credit rating for its unsecured long-term debt not lower than investment grade by Standard & Poor’s. For so long as BOKF, National Association satisfies at least one of the BOKF Required Ratings and solely with respect to the accounts specified on Schedule 2.5(a), BOKF, National Association shall be deemed a “Qualified Institution” for all purposes hereunder.
Master Collateral Account. The parties to this Agreement acknowledge that the funds received from the sale of each Exchanged Vehicle will initially be deposited into the Master Collateral Account for the benefit of the Qualified Intermediary as set forth in Section 5.1(a) of this Agreement, and that in accordance with the Amended and Restated Master Collateral Agency Agreement, the funds from the sale of each Exchanged Vehicle that are deposited in the Master Collateral Account for the benefit of the Qualified Intermediary and any interest earned on such amounts shall be transferred, in accordance with the terms of the Amended and Restated Master Collateral Agency Agreement, to an account established by CTC as provided in Section 5.2 of this Agreement.