Common use of RIGHTS OF BANK TO COLLECT SUBORDINATED LIABILITIES Clause in Contracts

RIGHTS OF BANK TO COLLECT SUBORDINATED LIABILITIES. In the event of, and commencing with the date thereof, any dissolution, winding up, liquidation, reorganization or other similar proceedings relating to any Obligor or to any of their creditors, or to any of their property (whether voluntary or involuntary, partial or complete, and whether in bankruptcy, insolvency or receivership, or upon an assignment for the benefit of creditors, or any other marshalling of the assets and liabilities of any Obligor, or any sale of all or substantially all of the assets of any Obligor, or otherwise), the Senior Liabilities shall first be paid in full before the Subordinate Lender shall be entitled to receive and/or to retain any payment or distribution in respect of the Subordinated Liabilities; provided that the Subordinate Lender shall be entitled to receive and retain any securities issued in connection with reorganization proceedings which are junior in right of repayment to the Senior Liabilities to the extent set forth herein, are treated as Subordinated Liabilities hereunder and are subject to all the provisions of this Agreement, and, in order to implement the foregoing (i) all payments and distributions of any kind or character in respect of the Subordinated Liabilities to which any of the Subordinate Lender would be entitled but for the provisions of this Agreement (other than such junior securities) will be made directly to the Bank; (ii) the Subordinate Lender shall promptly file a claim or claims, in the form required in such proceedings, for the full outstanding amount of the Subordinated Liabilities, and shall cause said claim or claims to be approved and all payments and other distributions in respect thereof (other than such junior securities) to be made directly to the Bank; (iii) the Subordinate Lender hereby irrevocably agrees that the Bank may, in its sole discretion, in the name of the Subordinate Lender or otherwise, demand, xxx for, collect, receive, and receipt for any and all such payments or distributions, and file, prove, and vote or consent in any such proceedings with respect to, any and all claims of the Subordinate Lender relating to the Subordinated Liabilities; and (iv) the Subordinate Lender hereby ratifies all of the foregoing acts or omissions on the Bank's part or behalf and waives any claim, counterclaim or defense of the Subordinate Lender which may be alleged to arise from such acts or omissions.

RIGHTS OF BANK TO COLLECT SUBORDINATED LIABILITIES. In the event of, and commencing with the date thereof, any dissolution, winding up, liquidation, reorganization or other similar proceedings relating to any Obligor or to any of their creditors, or to any of their property (whether voluntary or involuntary, partial or complete, and whether in bankruptcy, insolvency or receivership, or upon an assignment for the benefit of creditors, or any other marshalling of the assets and liabilities of any Obligor, or any sale of all or substantially all of the assets of any Obligor, or otherwise), the Senior Liabilities shall first be paid in full before the Subordinate Lender shall be entitled to receive and/or to retain any payment or distribution in respect of the Subordinated Liabilities; provided that the Subordinate Lender shall be entitled to receive and retain any securities issued in connection with reorganization proceedings which are junior in right of repayment to the Senior Liabilities to the extent set forth herein, are treated as Subordinated Liabilities hereunder and are subject to all the provisions of this Agreement, and, in order to implement the foregoing the (i) all payments and distributions of any kind or character in respect of the Subordinated Liabilities to which any of the Subordinate Lender would be entitled but for the provisions of this Agreement (other than such junior securities) will be made directly to the Bank; (ii) the Subordinate Lender shall promptly file a claim or claims, in the form required in such proceedings, for the full outstanding amount of the Subordinated Liabilities, and shall cause said claim or claims to be approved and all payments and other distributions in respect thereof (other than such junior securities) to be made directly to the Bank; (iii) the Subordinate Lender hereby irrevocably agrees that the Bank may, in its sole discretion, in the name of the Subordinate Lender or otherwise, demand, xxx for, collect, receive, and receipt for any and all such payments or distributions, and file, prove, and vote or consent in any such proceedings with respect to, any and all claims of the Subordinate Lender relating to the Subordinated Liabilities; and (iv) the Subordinate Lender hereby ratifies all of the foregoing acts or omissions on the Bank's part or behalf and waives any claim, counterclaim or defense of the Subordinate Lender which may be alleged to arise from such acts or omissions.