P ledges Sample Clauses

P ledges. Notwithstanding anything contained herein to the contrary, the stockholders of the Corporation shall be permitted to pledge or hypothecate any or all of their shares of capital stock of the Corporation, including all economic rights, control rights and status rights as a stockholder, to any lender to the Corporation or any agent acting on such lender's behalf, and any transfer of such shares of capital stock pursuant to any such lender's (or agent's) exercise of remedies in connection with any such pledge or hypothecation shall be expressly permitted under these Bylaws with no further action or approval required hereunder. Notwithstanding anything contained herein to the contrary, upon a default under the financing giving rise to any pledge or hypothecation of membership interest, the lender (or agent) shall have the right, as set forth in the applicable pledge or hypothecation agreement, and without further approval of any stockholder and without becoming a stockholder of the Corporation, to exercise the voting rights of the stockholder granting such pledge or hypothecation. Notwithstanding anything contained herein to the contrary, and without complying with any other procedures set forth in these Bylaws, upon the exercise of remedies in connection with a pledge or hypothecation, (a) the lender (or agent) or transferee of such lender (or agent), as the case may be, shall become a stockholder of the Corporation and shall succeed to all of the rights and powers, including the right to participate in the management of the business and affairs of the Company, as applicable, and shall be bound by all of the obligations, of a stockholder under of the Corporation without taking any further action on the part of such lender (or agent) or transferee, as the case may be, and (b) following such exercise of remedies, the pledging stockholder shall cease to be a stockholder and shall have no further rights or powers as a stockholder of the Corporation. The execution and adoption of these Bylaws by the Corporation shall constitute any necessary approval of such stockholder under the Act to the foregoing provisions of this Section 6.1. This Section 6.1 may not be amended or modified so long as any capital stock of the Corporation is subject to a pledge or hypothecation without the pledgee's (or the transferee of such pledgee's) prior written consent. Each recipient of a pledge or hypothecation of the capital stock of the Corporation shall be a third party beneficiary o...
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Related to P ledges

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