Common use of Operation of Loan Arrangement Clause in Contracts

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, Revolving Credit Loans and requests for the issuance of L/Cs shall be requested solely by the Lead Borrower as agent for each Borrower. (b) Any Revolving Credit Loan which may be made by the Lenders and which is directed to the Lead Borrower is received by the Lead Borrower in trust for that or those of the Borrowers who are intended to receive such advance. The Lead Borrower shall distribute the proceeds of any such advances solely to the Borrowers. Each Borrower shall be directly indebted to the Lenders for each Revolving Credit Loan distributed to that Borrower by the Lead Borrower, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders to that Borrower (whether or not the subject advance was based upon the accounts of the Borrower which actually received such distribution), in addition to which each Borrower shall be obligated to the Lenders in that amount on account of that Borrower's having guarantied the Liabilities. (c) The Administrative Agent and the Lenders shall have no responsibility to inquire as to the distribution of the Revolving Credit Loans made through the Lead Borrower as described herein.

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, Revolving Credit Loans and requests for the issuance of L/Cs shall be requested solely by the Lead Borrower as agent for each Borrower. (b) Any Revolving Credit Loan which may be made by the Lenders and which is directed to the Lead Borrower is received by the Lead Borrower in trust for that or those of the Borrowers who are intended to receive such advance. The Lead Borrower shall distribute the proceeds of any such advances solely to the Borrowers. Each Borrower shall be directly indebted to the Lenders for each Revolving Credit Loan distributed to that Borrower by the Lead Borrower, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders to that Borrower (whether or not the subject advance was based upon the accounts of the Borrower which actually received such distribution), in addition to which each Borrower shall be obligated to the Lenders in that amount on account of that Borrower's ’s having guarantied the Liabilities. (c) The Administrative Agent and the Lenders shall have no responsibility to inquire as to the distribution of the Revolving Credit Loans made through the Lead Borrower as described herein.

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, loans and advances under the Revolving Credit Loans and requests for the issuance of L/Cs shall be requested solely by the Lead Borrower as agent for each Borrower. (b) Confirmatory assignments of accounts and accounts receivable and remittances on accounts and accounts receivable of the respective Borrowers shall be provided to the Collateral Agent or otherwise directed in accordance with the Collateral Agent's instructions given from time to time to the Lead Borrower. (c) Any Revolving Credit Loan advance which may be made by the Lenders under the Revolving Credit and which is directed to the Lead Borrower is received by the Lead Borrower in trust for that or those of the Borrowers who are intended to receive such advance. The Lead Borrower shall distribute the proceeds of any such advances solely to the Borrowers. Each Borrower shall be directly indebted to the Lenders for each Revolving Credit Loan advance distributed to that Borrower by the Lead Borrower, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders to that Borrower (whether or not the subject advance was based upon the accounts of the Borrower which actually received such distribution), in addition to which each Borrower shall be obligated to the Lenders in that amount on account of that Borrower's having guarantied the Liabilities. (cd) The Administrative Agent Agents and the Lenders shall have no responsibility to inquire as to the distribution of the Revolving Credit Loans loans and advances made through the Lead Borrower as described herein.

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, Revolving Credit Loans loans and requests for the issuance of L/Cs advances hereunder shall be requested solely by the Lead Borrower Agent as agent for each Borrower. (b) Confirmatory assignments of accounts and accounts receivable and remittances on accounts and accounts receivable for each Borrower shall be provided to the Lender or otherwise directed in accordance with the Lender's reasonable instructions given from time to time to the Agent. (c) Any Revolving Credit Loan advance which may be made by the Lenders Lender under the Loan Arrangement and which is directed to the Lead Borrower Agent is received by the Lead Borrower Agent in trust for that or those of the Borrowers Borrower who are is intended to receive such advance. The Lead Borrower Agent shall distribute the proceeds of any such advances solely to the BorrowersBorrower. Each Borrower shall be directly indebted to the Lenders Lender for each Revolving Credit Loan advance distributed to that Borrower by the Lead BorrowerAgent, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders Lender to that Borrower (whether or not the subject advance was based upon the accounts and/or inventory or other assets of the Borrower which actually received such distribution), in addition to which each Borrower shall be obligated to the Lenders Lender in that amount on account of that Borrower's respectively having guarantied the Liabilities. (cd) The Administrative Agent and the Lenders Lender shall have no responsibility to inquire as to the distribution of loans and advances made by the Revolving Credit Loans made Lender through the Lead Borrower Agent as described herein.

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, Revolving Credit Loans loans and requests for advances under the issuance of L/Cs Loan Arrangement shall be requested solely by the Lead Agent Borrower as agent for each Principal Borrower. (b) To the extent permitted by law, confirmatory assignments of accounts and accounts receivable and remittances on accounts and accounts receivable of the respective Principal Borrowers shall be provided to the Lender or otherwise directed in accordance with the Lender's instructions given from time to time to the Agent Borrower. (c) Any Revolving Credit Loan advance which may be made by the Lenders Lender under the Loan Arrangement and which is directed to the Lead Agent Borrower is received by the Lead Agent Borrower in trust for that or those of the Principal Borrowers who are intended to receive such advance; shall be held by the Agent Borrower in an account separate from all other funds of the Agent Borrower; and shall not be commingled with any other funds of the Agent Borrower. The Lead Agent Borrower shall distribute the proceeds of any such advances solely to the Principal Borrowers. Each Principal Borrower shall be directly indebted to the Lenders Lender for each Revolving Credit Loan advance distributed to that Principal Borrower by the Lead Agent Borrower, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders Lender to that Principal Borrower (whether or not the subject advance was based upon the accounts and/or inventory or other assets of the Principal Borrower which actually received such distribution), in addition to which each Principal Borrower shall be obligated to the Lenders Lender in that amount on account of that Principal Borrower's respectively having guarantied guaranteed the LiabilitiesObligations. (cd) The Administrative Agent and the Lenders Lender shall have no responsibility to inquire as to the distribution of loans and advances made by the Revolving Credit Loans made Lender through the Lead Agent Borrower as described herein.

Operation of Loan Arrangement. (a) Except as otherwise provided in this Article, loans and advances under the Revolving Credit Loans and requests for the issuance of L/Cs shall be requested solely by the Lead Borrower as agent for each Borrower. (b) Any Revolving Credit Loan advance which may be made by the Lenders under the Revolving Credit and which is directed to the Lead Borrower is received by the Lead Borrower in trust for that or those of the Borrowers who are intended to receive such advance. The Lead Borrower shall distribute the proceeds of any such advances solely to the Borrowers. Each Borrower shall be directly indebted to the Lenders for each Revolving Credit Loan advance distributed to that Borrower by the Lead Borrower, together with all accrued interest thereon, as if that amount had been advanced directly by the Lenders to that Borrower (whether or not the subject advance was based upon the accounts of the Borrower which actually received such distribution), in addition to which each Borrower shall be obligated to the Lenders in that amount on account of that Borrower's having guarantied the Liabilities. (c) The Administrative Agent Agents and the Lenders shall have no responsibility to inquire as to the distribution of the Revolving Credit Loans loans and advances made through the Lead Borrower as described herein.