Payment Withholding. After such time (if any) that monies are deliverable to the Company by the Escrow Agent pursuant to the Escrow Agreement, a Participating Broker may withhold the selling commissions and marketing support fees to which it is entitled from the purchase price for the Shares in the Offering and forward the balance of the subscription proceeds to the Company if (i) the Participating Broker is legally permitted to do so and (ii) (A) the Participating Broker meets all applicable net capital requirements under the rules of FINRA or other applicable rules regarding such an arrangement; (B) the Participating Broker forwards the subscription agreement to the Company and receives the Company’s written acceptance of the subscription prior to forwarding the purchase price for the Shares, net of the selling commissions and marketing support fees to which the Participating Broker is entitled, to the Company or an agent designated by the Company; and (C) the Participating Broker verifies that there are sufficient funds in the investor’s account with the Participating Broker to cover the entire cost of the subscription; and (iii) if the Company has received and accepted subscriptions for at least the minimum offering.
Appears in 4 contracts
Samples: Managing Dealer Agreement (CNL Properties Trust, Inc.), Managing Dealer Agreement (CNL Properties Trust, Inc.), Managing Dealer Agreement (CNL Diversified Lifestyle Properties, Inc.)
