Common use of Pledge of Stock Clause in Contracts

Pledge of Stock. Upon the acquisition of capital stock of any subsidiary, the Debtor shall execute and deliver to the Secured Party a stock pledge agreement in form and substance satisfactory to the Secured Party, pursuant to which the Debtor shall pledge, on a first-priority basis, all of its stock in such subsidiary and shall covenant and agree to pledge to the Secured Party, on a first-priority basis, all capital stock it may thereafter acquire in that or any other subsidiary.