Common use of Repayment through Distributions Clause in Contracts

Repayment through Distributions. A Contribution Loan shall be repaid on a first priority basis out of any subsequent distributions to which the Non-Contributing Partner for whose account the Contribution Loan was made would otherwise be entitled in accordance with this Agreement, which amounts shall be applied first to accrued interest and then to principal, until the Contribution Loan is paid in full. Each Non-Contributing Partner irrevocably assigns its rights to distributions from the Partnership to the Contributing Member for the purpose of effectuating this repayment. Repayment of either Partner's Contribution Loan shall also be secured by the Non-Contributing Partner's Percentage Interest in the Partnership, and the Non-Contributing Partner hereby grants a security interest in such Percentage Interest and all distributions related thereto to the Contributing Partner who has advanced such Contribution Loan and hereby irrevocably appoints the Contributing Partner, and any of its agents, officers or employees, as its attorney-in-fact, such appointment being coupled with an interest, to execute, acknowledge and deliver any documents, instruments and agreements including, but not limited to, any note evidencing the Contribution Loan, and such Uniform Commercial Code financing statements, continuation statements, and other security instruments or documents as may be appropriate to perfect and continue such security interest in favor of the Contributing Partner.

Repayment through Distributions. A Contribution Loan shall be repaid on a first priority basis out of any subsequent distributions to which the Non-Contributing Partner Member for whose account the Contribution Loan was made would otherwise be entitled in accordance with this Agreement, which amounts shall be applied first to accrued interest and then to principal, until the Contribution Loan is paid in full. Each Non-Contributing Partner Member irrevocably assigns its rights to distributions from the Partnership Company to the Contributing Member for the purpose of effectuating this repayment. Repayment of either PartnerMember's Contribution Loan shall also be secured by the Non-Contributing PartnerMember's Percentage Interest in the PartnershipCompany, and the Non-Contributing Partner Member hereby grants a security interest in such Percentage Interest and all distributions related thereto to the Contributing Partner Member who has advanced such Contribution Loan and hereby irrevocably appoints the Contributing PartnerMember, and any of its agents, officers or employees, as its attorney-attorney- in-fact, such appointment being coupled with an interest, to execute, acknowledge and deliver any documents, instruments and agreements including, but not limited to, any note evidencing the Contribution Loan, and such Uniform Commercial Code financing statements, continuation statements, and other security instruments or documents as may be appropriate to perfect and continue such security interest in favor of the Contributing PartnerMember.

Repayment through Distributions. A Contribution Loan shall be repaid on a first priority basis out of any subsequent distributions to which the Non-Contributing Partner Member for whose account the Contribution Loan was made would otherwise be entitled in accordance with this Agreement, which amounts shall be applied first to accrued interest and then to principal, until the Contribution Loan is paid in full. Each Non-Contributing Partner Member irrevocably assigns its rights to distributions from the Partnership Company to the Contributing Member for the purpose of effectuating this repayment. Repayment of either PartnerMember's Contribution Loan shall also be secured by the Non-Contributing PartnerMember's Percentage Interest in the PartnershipCompany, and the Non-Contributing Partner Member hereby grants a security interest in such Percentage Interest and all distributions related thereto to the Contributing Partner Member who has advanced such Contribution Loan and hereby irrevocably appoints the Contributing PartnerMember, and any of its agents, officers or employees, as its attorney-in-fact, such appointment being coupled with an interest, to execute, acknowledge and deliver any documents, instruments and agreements including, but not limited to, any note evidencing the Contribution Loan, and such Uniform Commercial Code financing statements, continuation statements, and other security instruments or documents as may be appropriate to perfect and continue such security interest in favor of the Contributing PartnerMember.

Repayment through Distributions. A In the event the Contributing Member elects to make a Contribution Loan, then the Contribution Loan shall bear interest at an annual rate equal to the Prime Rate, but in any event no more than the highest rate permitted by law and, except as set forth in Section 4.02(c), shall be repaid on a first priority basis out of any subsequent distributions made pursuant to this Agreement to which the Non-Contributing Partner for whose account the Contribution Loan was made Member otherwise would otherwise be entitled in accordance with this Agreemententitled, which amounts shall be applied first to accrued interest and then to principal, until the Contribution Loan is paid in full. Each Non-Contributing Partner irrevocably assigns its rights to distributions from the Partnership to the Contributing Member for the purpose of effectuating this repayment. Repayment of either Partner's any Member’s Contribution Loan shall also be secured by the Non-Contributing Partner's Member’s Ownership Percentage Interest in the PartnershipInterest, and the Non-Contributing Partner Member hereby grants a security interest in such Ownership Percentage Interest and all distributions related thereto to the Contributing Partner Member who has advanced such Contribution Loan and hereby irrevocably appoints the Contributing PartnerMember, and any of its agents, officers or employees, as its attorneythe Non-Contributing Member’s attorneys-in-fact, such appointment being coupled fact with an interest, full power and authority to execute, acknowledge prepare and deliver execute any documents, instruments and agreements including, but not limited to, any note evidencing the Contribution Loan, and such Uniform Commercial Code financing statementsfinancing, continuation statements, and other security agreements and instruments or documents as may be appropriate to perfect and continue such security interest in favor of the such Contributing PartnerMember.