No Investment of Amounts Received on Term Assets Clause Samples

The "No Investment of Amounts Received on Term Assets" clause prohibits the recipient from investing any funds received in connection with term assets. In practice, this means that any payments, proceeds, or other amounts obtained from term assets must not be used to purchase, invest in, or otherwise acquire additional assets or financial instruments. This restriction ensures that the funds remain available for their intended purpose, such as repayment or distribution, and prevents the risk of loss or misallocation that could arise from unauthorized investments.