Common use of Recovery of Avoided Payments Clause in Contracts

Recovery of Avoided Payments. If any amount applied by Landlord to the obligations of Tenant or Guarantor is subsequently challenged by a bankruptcy trustee or debtor-in-possession as an avoidable transfer on the grounds that the payment constituted a preferential payment or a fraudulent conveyance under state law or the Bankruptcy Code or any successor statute thereto or on any other grounds, Landlord may, at its option and in its sole discretion, elect whether to contest such challenge. If Landlord contests the avoidance action, all costs of the proceeding, including Landlord’s attorneys fees, will become part of the obligations guaranteed by Guarantor. If the contested amount is successfully avoided, the avoided amount will become part of the obligations guaranteed by Guarantor. If Landlord elects not to contest the avoidance action, Landlord may tender the amount subject to the avoidance action to the bankruptcy court, trustee or debtor-in-possession and the amount so advanced shall become part of the obligations guaranteed by Guarantor hereunder. Guarantor’s obligation to reimburse Landlord for amounts due under this Section 9 shall survive the purported cancellation of this Guaranty.

Recovery of Avoided Payments. If any amount applied by Landlord Lender to the obligations of Tenant or Guarantor Guaranteed Obligations is subsequently challenged by a bankruptcy trustee or debtor-in-possession debtor‑in‑possession or other Person as an avoidable transfer on the grounds that the payment constituted a preferential payment or a fraudulent conveyance under state law or the Bankruptcy Code or any successor statute thereto or on any other grounds, Landlord may, Lender may at its option and in its sole discretion, elect whether to contest such challenge. If Landlord Lender contests the avoidance action, all costs of the proceeding, including LandlordLender’s attorneys fees, will become part of the obligations guaranteed Guaranteed Obligations, and shall be due and payable by GuarantorGuarantor on demand. If the contested amount is successfully avoided, the avoided amount will become part of the obligations guaranteed Guaranteed Obligations hereunder and shall be due and payable by GuarantorGuarantor on demand. If Landlord Lender elects not to contest the avoidance action, Landlord Lender may tender the amount subject to the avoidance action to the bankruptcy court, trustee or debtor-in-debtor in possession and the amount so advanced shall become part of the obligations guaranteed Guaranteed Obligations hereunder, and shall be due and payable by Guarantor hereunderon demand. Guarantor’s obligation to reimburse Landlord Lender for amounts due under this Section 9 section shall survive the purported cancellation of this Guarantyhereof.

Recovery of Avoided Payments. If any amount applied by Landlord Lender to the obligations of Tenant or Guarantor Guaranteed Obligations is subsequently challenged by a bankruptcy trustee or debtor-in-in- possession or other Person as an avoidable transfer on the grounds that the payment constituted a preferential payment or a fraudulent conveyance under state law or the Bankruptcy Code or any successor statute thereto or on any other grounds, Landlord may, Lender may at its option and in its sole discretion, elect whether to contest such challenge. If Landlord Lender contests the avoidance action, all costs of the proceeding, including LandlordLender’s attorneys fees, will become part of the obligations guaranteed Guaranteed Obligations, and shall be due and payable by GuarantorGuarantor on demand. If the contested amount is successfully avoided, the avoided amount will become part of the obligations guaranteed Guaranteed Obligations hereunder and shall be due and payable by GuarantorGuarantor on demand. If Landlord Lender elects not to contest the avoidance action, Landlord Lender may tender the amount subject to the avoidance action to the bankruptcy court, trustee or debtor-in-debtor in possession and the amount so advanced shall become part of the obligations guaranteed Guaranteed Obligations hereunder, and shall be due and payable by Guarantor hereunderon demand. Guarantor’s obligation to reimburse Landlord Lender for amounts due under this Section 9 section shall survive the purported cancellation of this Guarantyhereof.

Recovery of Avoided Payments. If any amount applied by Landlord Lenders to the obligations of Tenant or Guarantor Guaranteed Obligations is subsequently challenged by a bankruptcy trustee or debtor-in-possession or other Person as an avoidable transfer on the grounds that the payment constituted a preferential payment or a fraudulent conveyance under state law or the Bankruptcy Code or any successor statute thereto or on any other grounds, Landlord may, Lenders may at its their option and in its their sole discretion, elect whether to contest such challenge. If Landlord contests Lenders contest the avoidance action, all costs of the proceeding, including Landlord’s attorneys Lenders' reasonable attorneys' fees, will become part of the obligations guaranteed Guaranteed Obligations, and shall be due and payable by GuarantorGuarantor on demand. If the contested amount is successfully avoided, the avoided amount will become part of the obligations guaranteed Guaranteed Obligations hereunder and shall be due and payable by GuarantorGuarantor on demand. If Landlord elects Lenders elect not to contest the avoidance action, Landlord Lenders may tender the amount subject to the avoidance action to the bankruptcy court, trustee or debtor-in-possession and the amount so advanced shall become part of the obligations guaranteed Guaranteed Obligations hereunder, and shall be due and payable by Guarantor hereunderon demand. Guarantor’s 's obligation to reimburse Landlord Lenders for amounts due under this Section 9 section shall survive the purported cancellation of this Guarantyhereof.