Common use of Remedies relating to Accounts Clause in Contracts

Remedies relating to Accounts. (i) During the continuation of an Event of Default, whether or not the Secured Party has exercised any or all of its rights and remedies hereunder, (A) each Grantor shall notify (such notice to be in form and substance satisfactory to the Secured Party) its Account Debtors and parties to the Material Contracts subject to a security interest hereunder that such Accounts and the Material Contracts have been assigned to the Secured Party and promptly upon request of the Secured Party, instruct all account debtors to remit all payments in respect of Accounts to a mailing location selected by the Secured Party and (B) the Secured Party shall have the right to enforce any Grantor’s rights against its customers and account debtors, and the Secured Party or its designee may notify any Grantor’s customers and account debtors that the Accounts of such Grantor have been assigned to the Secured Party or of the Secured Party’s security interest therein, and may (either in its own name or in the name of a Grantor or both) demand, collect (including without limitation by way of a lockbox arrangement), receive, take receipt for, sell, xxx for, compound, settle, compromise and give acquittance for any and all amounts due or to become due on any Account, and, in the Secured Party’s discretion, file any claim or take any other action or proceeding to protect and realize upon the security interest of the Secured Parties in the Accounts.

Remedies relating to Accounts. (i) During the continuation of an Event of Default, whether or not the Secured Party has exercised any or all of its rights and remedies hereunder, (A) each Grantor shall notify (such notice to be in form and substance satisfactory to the Secured Party) its Account Debtors and parties to the Material Contracts subject to a security interest hereunder that such Accounts and the Material Contracts have been assigned to the Secured Party and promptly upon request of the Secured Party, instruct all account debtors to remit all payments in respect of Accounts to a mailing location selected by the Secured Party and (B) the Secured Party shall have the right to enforce any Grantor’s rights against its customers and account debtors, and the Secured Party or its designee may notify any Grantor’s customers and account debtors that the Accounts of such Grantor have been assigned to the Secured Party or of the Secured Party’s security interest therein, and may (either in its own name or in the name of a Grantor or both) demand, collect (including without limitation by way of a lockbox arrangement), receive, take receipt for, sell, xxx sxx for, compound, settle, compromise and give acquittance for any and all amounts due or to become due on any Account, and, in the Secured Party’s discretion, file any claim or take any other action or proceeding to protect and realize upon the security interest of the Secured Parties in the Accounts.