Purchase of Account. Client shall request purchase of Accounts by submitting to Summit a Schedule of Accounts and Xxxx of Sale, copies of the invoices listed on the Schedule of Accounts and Xxxx of Sale, supporting documentation for such invoices as requested by Summit, and such other documentation as required by Summit. Summit shall notify Client which Accounts are purchased by providing reports to Client. Unless otherwise agreed in writing by Summit, upon purchase by Summit of any Account, Client shall thereafter offer all Accounts owing by that Account Debtor for purchase by Summit. Summit may also require that all Accounts owing by that Account Debtor which Summit declines to purchase nonetheless be subject to Section 13 Collection Procedures and be paid to Summit. Summit may purchase from Client such Acceptable Accounts as Summit elects. All purchases shall be subject to the terms and conditions of this Agreement. THE OBLIGATION OF SUMMIT TO PURCHASE ACCOUNTS FROM CLIENT IS DISCRETIONARY AND SUMMIT SHALL HAVE NO OBLIGATION TO PURCHASE ANY ACCOUNT FROM CLIENT, NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THIS AGREEMENT. Summit may decline to purchase any Account submitted by Client for any reason or for no reason, without notice, regardless of any course of conduct or past purchases of Accounts by Summit. Each purchase by Summit shall be a true purchase with transfer of all legal and equitable title and shall not be deemed to be a loan agreement or secured transaction. Client shall thereafter have no right, title or interest in or to Purchased Accounts. Client shall make appropriate entries on its books and records disclosing the sale of Purchased Accounts to Summit. Summit shall be the sole and exclusive purchaser of Client’s Accounts. Client will not sell, factor or otherwise finance its Accounts and shall not grant any other security interest in its Accounts or Inventory.
Purchase of Account
