Common use of Notification to Account Debtors and Other Obligors Clause in Contracts

Notification to Account Debtors and Other Obligors. In the event of the occurrence of any Default, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral), at the request of the Secured Party, notify account debtors on accounts, accounts receivable, chattel papers and general intangibles of the Debtor and obligors on instruments for which the Debtor is an obligee, of the security interest of the Secured Party in any account, account receivable, chattel paper, general intangible or instrument and that payment thereof is to be made directly to the Secured Party or to any financial institution designated by the Secured Party as the Secured Party's agent therefor, and the Secured Party may itself (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral), if a Default shall have occurred, without notice to or demand upon the Debtor, so notify account debtors and obligors. After the making of such a request or the giving of any such notification, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) hold any proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Debtor as trustee for the Secured Party without commingling the same with other funds of the Debtor and shall promptly turn the same over to the Secured Party in the identical form received, together with any necessary endorsements or assignments. The Secured Party shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) apply the proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Secured Party to the Secured Obligations, such proceeds to be immediately entered after final payment in cash or solvent credits of the items giving rise to them.

Notification to Account Debtors and Other Obligors. In the event of the occurrence of any Default, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)shall, at the request of the Secured Party, notify account debtors on accounts, accounts receivable, chattel papers and general intangibles of the Debtor and obligors on instruments for which the Debtor is an obligee, of the security interest of the Secured Party in any account, account receivable, chattel paper, general intangible or instrument and that payment thereof is to be made directly to the Secured Party or to any financial institution designated by the Secured Party as the Secured Party's agent therefor, and the Secured Party may itself (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)itself, if a Default shall have occurred, without notice to or demand upon the Debtor, so notify account debtors and obligors. After the making of such a request or the giving of any such notification, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) hold any proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Debtor as trustee for the Secured Party without commingling the same with other funds of the Debtor and shall promptly turn the same over to the Secured Party in the identical form received, together with any necessary endorsements or assignments. The Secured Party shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) apply the proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Secured Party to the Secured Obligations, such proceeds to be immediately entered after final payment in cash or solvent credits of the items giving rise to them.

Notification to Account Debtors and Other Obligors. In the event If an Event of the occurrence Default shall have occurred and be continuing (xxxx - Event of any DefaultDefault is not defined herein), the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)Company shall, at the request of the Secured PartySECURED PARTY, notify account debtors on accounts, accounts receivable, chattel papers paper and general intangibles of the Debtor Company and obligors on instruments for which the Debtor Company is an obligee, obligee of the security interest of the Secured Party SECURED PARTY in any account, account receivable, chattel paper, general intangible or instrument and that payment thereof is to be made directly to the Secured Party SECURED PARTY or to any financial institution designated by the Secured Party SECURED PARTY as the Secured PartySECURED PARTY's agent therefor, and the Secured Party SECURED PARTY may itself (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)itself, if a Default or an Event of Default shall have occurredoccurred and be continuing, without after providing written notice to or the Company but without demand upon the DebtorCompany, so notify account debtors and obligors. After the making of such a request or the giving of any such notification, the Debtor Company shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) hold any proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Debtor Company as trustee for the Secured Party SECURED PARTY without commingling the same with other funds of the Debtor Company and shall promptly turn the same over to the Secured Party SECURED PARTY in the identical form received, together with any necessary endorsements or assignments. The Secured Party SECURED PARTY shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) apply the proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Secured Party SECURED PARTY to the Secured Obligations, such proceeds to be immediately entered after final payment in cash or solvent credits of the items giving rise to them.

Notification to Account Debtors and Other Obligors. In the event If a Default or an Event of the occurrence of any DefaultDefault shall have occurred and be continuing, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)each Grantor shall, at the request of the Secured Party, notify account debtors and other obligors on accounts, accounts receivablechattel paper, chattel papers general intangibles, promissory notes, instruments and general intangibles investment property of the Debtor and obligors on instruments such Grantor for which the Debtor such Grantor is an obligee, obligee of the security interest of the Secured Party in any account, account receivable, chattel paper, general intangible intangible, promissory note, instrument or instrument investment property and that payment thereof is to be made directly to the Secured Party or to any financial institution designated by the Secured Party as the Secured Party's ’s agent therefor, and the Secured Party may itself (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)itself, if a Default or an Event of Default shall have occurredoccurred and be continuing, without notice to or demand upon the Debtorsuch Grantor, so notify account debtors and other obligors. After the making of such a request or the giving of any such notification, the Debtor each Grantor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) hold any proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Debtor such Grantor as trustee for the Secured Party Party, without commingling the same with other funds of the Debtor such Grantor and shall promptly turn the same over to the Secured Party in the identical form received, together with any necessary endorsements or assignments. The Secured Party shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) apply the proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Secured Party to the Secured Obligations, such proceeds to be immediately entered after final payment in cash or solvent credits of the items giving rise to them.

Notification to Account Debtors and Other Obligors. In the event of the occurrence of any Default, the Debtor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)Guarantor shall, at the request of the Secured Party, notify account debtors on accounts, accounts receivable, chattel papers and general intangibles of the Debtor Guarantor and obligors on instruments for which the Debtor Guarantor is an obligee, of the security interest of the Secured Party in any account, account receivable, chattel paper, general intangible or instrument and that payment thereof is to be made directly to the Secured Party or to any financial institution designated by the Secured Party as the Secured Party's agent therefor, and the Secured Party may itself (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral)itself, if a Default shall have occurred, without notice to or demand upon the DebtorGuarantor, so notify account debtors and obligors. After the making of such a request or the giving of any such notification, the Debtor Guarantor shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) hold any proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Debtor Guarantor as trustee for the Secured Party without commingling the same with other funds of the Debtor Guarantor and shall promptly turn the same over to the Secured Party in the identical form received, together with any necessary endorsements or assignments. The Secured Party shall (subject, however, to the rights of any holders of superior liens or security interests relating to the Collateral) apply the proceeds of collection of accounts, accounts receivable, chattel paper, general intangibles and instruments received by the Secured Party to the Secured Obligations, such proceeds to be immediately entered after final payment in cash or solvent credits of the items giving rise to them.