Common use of Production Account Clause in Contracts

Production Account. After the occurrence of a Default, Borrower shall, upon receipt, deposit in the Xxxxxxxx Petroleum Company, L.L.C. Production Account all such royalties, payments and monies which any Restricted Company receives directly from the Purchasers. Each Restricted Company hereby irrevocably authorizes and directs Administrative Agent to charge from time to time after the occurrence of a Default, the Xxxxxxxx Petroleum Company, L.L.C. Production Account and any other accounts of such Restricted Company at Administrative Agent or any Lender for amounts due to Lenders hereunder and under the Notes. After the occurrence of a Default, Administrative Agent is hereby authorized, in its own name or the name of any Restricted Company, to notify any or all parties obligated to such Restricted Company with respect to the Mineral Interests to make all payments due or to become due thereon directly to Administrative Agent, or such other person or officer as Administrative Agent may require whereupon the power and authority of Borrower to collect the same in the ordinary course of its business shall be deemed to be immediately revoked and terminated. With or without such general notification, after the occurrence of a Default, Administrative Agent may take or bring in any Restricted Company’s name or that of Administrative Agent all steps, actions, suits or proceedings deemed by Administrative Agent necessary or desirable to effect possession or collection of payments, may complete any contract or agreement of such Restricted Company in any way related to any of the Mineral Interests, may make allowances or adjustments related to the Mineral Interests, may compromise any claims related to the Mineral Interests or may issue credit in its own name or the name of such Restricted Company. Regardless of any provision hereof, however, Administrative Agent shall never be liable for its failure to collect or for its failure to exercise diligence in the collection, possession, or any transaction concerning, all or part of the Mineral Interests or sums due or paid thereon, nor shall it or they be under any obligation whatsoever to anyone by virtue of its security interests and liens relating to the Mortgaged Properties. Administrative Agent is hereby authorized and empowered on behalf of such Restricted Company to endorse the name of any Restricted Company upon any check, draft, instrument, receipt, instruction or other document or items, including, but not limited to, all items evidencing payment upon any indebtedness of any Person to such Restricted Company coming into Administrative Agent’s possession, and to receive and apply the proceeds therefrom in accordance with the terms hereof. Administrative Agent is hereby granted an irrevocable power of attorney, which is coupled with an interest, to execute all checks, drafts, receipts, instruments, instructions or other documents, agreements or items on behalf of any Restricted Company, either before or after demand of payment on the Notes, as shall be deemed by Administrative Agent to be necessary or advisable, in the sole discretion of Administrative Agent, to protect its security interests and liens in the Mineral Interests or the repayment of the Obligation, and Administrative Agent shall not incur any liability in connection with or arising from its exercise of such power of attorney. Borrower acknowledges that all funds so transferred into the Xxxxxxxx Petroleum Company, L.L.C. Production Account shall be the property of the Restricted Companies only and not subject to any claim by any party other than Administrative Agent, for the benefit of the Lenders.

Production Account. After the occurrence of a Default, Borrower shall, upon receipt, deposit in the Xxxxxxxx Petroleum Company, L.L.C. Production Account all such royalties, payments and monies which any Restricted Company receives directly from the Purchasers. Each Restricted Company hereby irrevocably authorizes and directs Administrative Agent to charge from time to time after the occurrence of a Default, the Xxxxxxxx Petroleum Company, L.L.C. Production Account and any other accounts of such Restricted Company at Administrative Agent or any Lender for amounts due to the Lenders hereunder and under the Notes. After the occurrence of a Default, Administrative Agent is hereby authorized, in its own name or the name of any Restricted Company, to notify any or all parties obligated to such Restricted Company with respect to the Mineral Interests to make all payments due or to become due thereon directly to Administrative the Agent, or such other person or officer as Administrative Agent may require whereupon the power and authority of the Borrower to collect the same in the ordinary course of its business shall be deemed to be immediately revoked and terminated. With or without such general notification, after the occurrence of a Default, Administrative Agent may take or bring in any Restricted Company’s 's name or that of Administrative the Agent all steps, actions, suits or proceedings deemed by Administrative the Agent necessary or desirable to effect possession or collection of payments, may complete any contract or agreement of such Restricted Company in any way related to any of the Mineral Interests, may make allowances or adjustments related to the Mineral Interests, may compromise any claims related to the Mineral Interests or may issue credit in its own name or the name of such Restricted Company. Regardless of any provision hereof, however, Administrative Agent shall never be liable for its failure to collect or for its failure to exercise diligence in the collection, possession, or any transaction concerning, all or part of the Mineral Interests or sums due or paid thereon, nor shall it or they be under any obligation whatsoever to anyone by virtue of its security interests and liens relating to the Mortgaged Properties. Administrative The Agent is hereby authorized and empowered on behalf of such Restricted Company to endorse the name of any Restricted Company upon any check, draft, instrument, receipt, instruction or other document or items, including, but not limited to, all items evidencing payment upon any indebtedness of any Person to such Restricted Company coming into Administrative the Agent’s 's possession, and to receive and apply the proceeds therefrom in accordance with the terms hereof. Administrative The Agent is hereby granted an irrevocable power of attorney, which is coupled with an interest, to execute all checks, drafts, receipts, instruments, instructions or other documents, agreements or items on behalf of any Restricted Company, either before or after demand of payment on the Notes, as shall be deemed by Administrative the Agent to be necessary or advisable, in the sole discretion of Administrative the Agent, to protect its security interests and liens in the Mineral Interests or the repayment of the Obligation, and Administrative the Agent shall not incur any liability in connection with or arising from its exercise of such power of attorney. Borrower acknowledges that all funds so transferred into the Xxxxxxxx Petroleum Company, L.L.C. Production Account shall be the property of the Restricted Companies only and not subject to any claim by any party other than Administrative Agent, for the benefit of the Lenders.

Production Account. After the occurrence of a Default, Borrower shall, upon receipt, deposit in the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account all such royalties, payments and monies which any Restricted Company receives directly from the Purchasers. Each Restricted Company hereby irrevocably authorizes and directs Administrative Agent to charge from time to time after the occurrence of a Default, the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account and any other accounts of such Restricted Company at Administrative Agent or any Lender for amounts due to Lenders hereunder and under the Noteshereunder. After the occurrence of a Default, Administrative Agent is hereby authorized, in its own name or the name of any Restricted Company, to notify any or all parties obligated to such Restricted Company with respect to the Mineral Interests to make all payments due or to become due thereon directly to Administrative Agent, or such other person or officer as Administrative Agent may require whereupon the power and authority of Borrower to collect the same in the ordinary course of its business shall be deemed to be immediately revoked and terminated. With or without such general notification, after the occurrence of a Default, Administrative Agent may take or bring in any Restricted Company’s name or that of Administrative Agent all steps, actions, suits or proceedings deemed by Administrative Agent necessary or desirable to effect possession or collection of payments, may complete any contract or agreement of such Restricted Company in any way related to any of the Mineral Interests, may make allowances or adjustments related to the Mineral Interests, may compromise any claims related to the Mineral Interests or may issue credit in its own name or the name of such Restricted Company. Regardless of any provision hereof, however, Administrative Agent shall never be liable for its failure to collect or for its failure to exercise diligence in the collection, possession, or any transaction concerning, all or part of the Mineral Interests or sums due or paid thereon, nor shall it or they be under any obligation whatsoever to anyone by virtue of its security interests and liens relating to the Mortgaged Properties. Administrative Agent is hereby authorized and empowered on behalf of such Restricted Company to endorse the name of any Restricted Company upon any check, draft, instrument, receipt, instruction or other document or items, including, but not limited to, all items evidencing payment upon any indebtedness of any Person to such Restricted Company coming into Administrative Agent’s possession, and to receive and apply the proceeds therefrom in accordance with the terms hereof. Administrative Agent is hereby granted an irrevocable power of attorney, which is coupled with an interest, to execute all checks, drafts, receipts, instruments, instructions or other documents, agreements or items on behalf of any Restricted Company, either before or after demand of payment on the NotesBorrowing, as shall be deemed by Administrative Agent to be necessary or advisable, in the sole discretion of Administrative Agent, to protect its security interests and liens in the Mineral Interests or the repayment of the Obligation, and Administrative Agent shall not incur any liability in connection with or arising from its exercise of such power of attorney. Borrower acknowledges that all funds so transferred into the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account shall be the property of the Restricted Companies only and not subject to any claim by any party other than Administrative Agent, for the benefit of the Lenders.

Production Account. After the occurrence of a Default, Borrower shall, upon receipt, deposit in the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account all such royalties, payments and monies which any Restricted Company receives directly from the Purchasers. Each Restricted Company hereby irrevocably authorizes and directs Administrative Agent to charge from time to time after the occurrence of a Default, the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account and any other accounts of such Restricted Company at Administrative Agent or any Lender for amounts due to the Lenders hereunder and under the Notes. After the occurrence of a Default, Administrative Agent is hereby authorized, in its own name or the name of any Restricted Company, to notify any or all parties obligated to such Restricted Company with respect to the Mineral Interests to make all payments due or to become due thereon directly to Administrative Agent, or such other person or officer as Administrative Agent may require whereupon the power and authority of Borrower to collect the same in the ordinary course of its business shall be deemed to be immediately revoked and terminated. With or without such general notification, after the occurrence of a Default, Administrative Agent may take or bring in any Restricted Company’s name or that of Administrative Agent all steps, actions, suits or proceedings deemed by Administrative Agent necessary or desirable to effect possession or collection of payments, may complete any contract or agreement of such Restricted Company in any way related to any of the Mineral Interests, may make allowances or adjustments related to the Mineral Interests, may compromise any claims related to the Mineral Interests or may issue credit in its own name or the name of such Restricted Company. Regardless of any provision hereof, however, Administrative Agent shall never be liable for its failure to collect or for its failure to exercise diligence in the collection, possession, or any transaction concerning, all or part of the Mineral Interests or sums due or paid thereon, nor shall it or they be under any obligation whatsoever to anyone by virtue of its security interests and liens relating to the Mortgaged Properties. Administrative Agent is hereby authorized and empowered on behalf of such Restricted Company to endorse the name of any Restricted Company upon any check, draft, instrument, receipt, instruction or other document or items, including, but not limited to, all items evidencing payment upon any indebtedness of any Person to such Restricted Company coming into Administrative Agent’s possession, and to receive and apply the proceeds therefrom in accordance with the terms hereof. Administrative Agent is hereby granted an irrevocable power of attorney, which is coupled with an interest, to execute all checks, drafts, receipts, instruments, instructions or other documents, agreements or items on behalf of any Restricted Company, either before or after demand of payment on the Notes, as shall be deemed by Administrative Agent to be necessary or advisable, in the sole discretion of Administrative Agent, to protect its security interests and liens in the Mineral Interests or the repayment of the Obligation, and Administrative Agent shall not incur any liability in connection with or arising from its exercise of such power of attorney. Borrower acknowledges that all funds so transferred into the Xxxxxxxx Gxxxxxxx Petroleum Company, L.L.C. Production Account shall be the property of the Restricted Companies only and not subject to any claim by any party other than Administrative Agent, for the benefit of the Lenders.