Common use of Sales and Use of Collateral Clause in Contracts

Sales and Use of Collateral. Except as set forth in this Section or in Section 8.6, Borrower shall not sell, lease, transfer or otherwise dispose of any Collateral. So long as there shall not have occurred and be continuing a Matured Default, Inventory may be sold by Borrower in the ordinary course of Borrower’s business, but shall not otherwise be taken or removed from Borrower’s premises or approved third party locations, except for raw materials or work in process for the purpose of conversion into finished Goods. Upon and during the occurrence of a Matured Default and if the Agent so notifies Borrower in writing, neither Inventory nor any other Collateral shall be sold or taken or removed from Borrower’s premises or approved third party locations, except with the prior written consent of the Agent and upon payment of an amount equivalent to the value of the Collateral to be sold or removed, such amounts to be paid to the Agent to be applied upon the Liabilities. So long as there shall not have occurred a Matured Default, Collateral may be used by Borrower in the ordinary course of Borrower’s business, subject to the Agent’s continuing security interest. Upon and during the occurrence of a Matured Default and if the Agent so notifies Borrower in writing, Collateral shall not be used except with the prior written consent of the Agent.

Sales and Use of Collateral. Except as set forth in this Section or in Section 8.6Section, Borrower shall not sell, lease, transfer or otherwise dispose of any Collateral. So long as there shall not have occurred and be continuing a Matured Default, Inventory may be sold by Borrower in the ordinary course of Borrower’s business, but shall not otherwise be taken or removed from Borrower’s premises or approved third party locations, except for raw materials or work in process for the purpose ordinary course of conversion into finished Goodsbusiness. Upon and during the occurrence of a Matured Default and if the Agent so notifies Borrower in writing, neither Inventory nor any other Collateral shall be sold or taken or removed from Borrower’s premises or approved third party locations, except with the prior written consent of the Agent and upon payment of an amount equivalent to the value of the Collateral to be sold or removed, such amounts to be paid to the Agent to be applied upon the LiabilitiesObligations. So long as there shall not have occurred and be continuing a Matured Default, Collateral may be used by Borrower in the ordinary course of Borrower’s business, subject to the Agent’s continuing security interest. Upon and during the occurrence continuation of a Matured Default and if the Agent so notifies Borrower in writing, Collateral shall not be used except with the prior written consent of the Agent.