Pledge of Notes Clause Samples
The Pledge of Notes clause establishes that certain promissory notes or similar debt instruments are being pledged as collateral to secure an obligation, such as a loan or other financial commitment. In practice, this means the borrower delivers the original notes to the lender or a designated agent, granting the lender a security interest in those notes until the underlying obligation is satisfied. This clause ensures that the lender has a tangible asset to claim or liquidate if the borrower defaults, thereby reducing the lender's risk and providing a clear mechanism for recourse.
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Pledge of Notes. The Company acknowledges and agrees that the Notes may be pledged by each Holder in connection with a bona fide margin agreement or other loan or financing arrangement that is secured by the Notes. The pledge of the Notes shall not be deemed to be a transfer, sale or assignment of the Notes hereunder, and if any Holder effects a pledge of the Notes held by such Holder it shall not be required to provide the Company with any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement. The Company hereby agrees to execute and deliver such documentation as a pledgee of the Notes may reasonably request in connection with a pledge of the Notes to such pledgee by each Holder.
Pledge of Notes. The Company acknowledges and agrees that the Notes may be pledged by each Buyer in connection with a bona fide margin agreement or other loan or financing arrangement that is secured by the Notes, provided, that such pledge is made by the Buyer following August 1, 2013. The pledge of Notes shall not be deemed to be a transfer, sale or assignment of the Notes hereunder, and each Buyer effecting a pledge of Notes shall not be required to provide the Company with any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction Document; provided, that such Buyer and its pledgee shall be required to comply with the provisions of Section 2.3 and Section (14) of the Notes in order to effect a sale, transfer or assignment of Notes to such pledgee. The Company hereby agrees to execute and deliver such documentation as a pledgee of the Notes may reasonably request in connection with a pledge of the Notes to such pledgee by any of the Buyers.
Pledge of Notes. As further security for the Secured Obligations, each of the Debtors which owns any promissory notes in a principal amount of $100,000 or more (other than Intercompany Notes which have been pledged pursuant to the Intercompany Note Pledge Agreement) hereby assigns and pledges to and with the Collateral Agent, for the ratable benefit of the Secured Parties, and grants to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in the promissory notes owned by it, and all of such Debtor's respective rights and privileges with respect to the promissory notes, and all income and profits thereon, and all interests, dividends and other payments and distributions with respect thereto, and all proceeds of the foregoing.
Pledge of Notes. Each of the Credit Parties acknowledges and agrees that the Notes may be pledged by a Holder in connection with a bona fide margin account or other loan or financing arrangement that is secured by the Notes; provided such pledge is made in compliance with applicable federal and state securities laws. Such pledge of Notes shall not be deemed to be a transfer, sale or assignment of the Notes hereunder, and no Holder effecting such pledge of Notes shall be required to provide any Credit Party with any notice thereof or otherwise make any delivery to any Credit Party pursuant to this Agreement or any other Transaction Document, including, without limitation, Section 6.4 hereof, unless required by applicable law. Each of the Credit Parties hereby agrees to execute and deliver such documentation as a pledgee of the Notes may reasonably request in connection with a pledge of the Notes to such pledgee by Holder.
Pledge of Notes. 12 Section 6.2. Pledged Stock...................................................................................12 Section 6.3. Instruments; Tangible Chattel Paper.............................................................13 Section 6.4. Control Over Certain Collateral...............................................................
Pledge of Notes. Each Shareholder shall have delivered to the --------------- Purchaser the Shareholder Note issued by the Company to such Shareholder pursuant to Section 2.3(b) hereof, as the sole security for such Shareholder's indemnification obligations hereunder.
Pledge of Notes. Notes which are not remarketed shall be held by the Trustee, as agent for Bank, as security for the obligations of Company under the Note Pledge. Company hereby grants a lien on such Notes while they are so held by the Trustee.
Pledge of Notes. Notwithstanding anything to the contrary contained in this Agreement, the Company acknowledges and agrees that the Notes may be pledged by an Investor in connection with a bona fide margin agreement or other loan or financing arrangement that is secured by the Notes. The Company hereby agrees to execute and deliver such documentation as a pledgee of the Notes may reasonably request in connection with a pledge of the Notes to such pledgee by a Buyer.