Common use of Seller’s Receivables Clause in Contracts

Seller’s Receivables. Following the Closing, upon the receipt of accounts receivable of the Seller, Buyer will remit checks thereof directly to the Seller at its principal office on a weekly basis. Buyer shall accept payment of Seller’s accounts receivable and Manufacturer warranty payments arising out of the operation of the Dealership prior to Closing for a period of 180 days. Buyer shall turn over to Seller on the last day of each calendar month during said period all of the monies it received as cleared funds so accepted on said accounts receivable during the previous calendar month. Buyer is not obligated to accept payments of such accounts receivable after such 180-day period, but if Buyer does so then Buyer will promptly pay the same over to Seller. Buyer is only obligated to accept payment during such period, not to attempt to enforce payment. No adjustment will be made in any of such accounts receivable without Seller’s permission. Seller reserves the right to pursue legal remedies of collection upon default by the customer with respect to any receivables owed to Seller. Buyer shall have no obligation to pursue or otherwise actively work to collect any of such Seller receivables or Manufacturer warranty payments. At the end of said 180-day period, Buyer shall no longer be obligated to accept payments of such accounts receivable. If Buyer does accept payment of any of Seller’s accounts receivable after expiration of the 180-day period, Buyer shall hold same in trust for Seller and promptly pay same over to Seller. It is understood that Buyer’s responsibility, so far as such collection is concerned, is only to accept monies paid on Seller’s accounts receivable and shall not include any obligation to ascertain the correct amount of any accounts receivable. Upon reasonable notice to Buyer, Buyer shall provide Seller with access to records relating to Seller’s operation of the Dealership, but Seller and LMP agree that they shall have no right to utilize the employees of Buyer to provide accounting or other bookkeeping services to themselves.

Seller’s Receivables. Following the Closing, upon the receipt of accounts receivable of the Seller, Buyer will remit checks thereof directly to the Seller at its principal office on a weekly basis. Buyer shall accept payment of Seller’s accounts receivable and Manufacturer warranty payments arising out of the operation of the Dealership prior to Closing for a period of 180 days. Buyer shall turn over to Seller on the last day of each calendar month during said period all of the monies it received as cleared funds so accepted on said accounts receivable during the previous calendar month. Buyer is not obligated to accept payments of such accounts receivable after such 180-day period, but if Buyer does so then Buyer will promptly pay the same over to Seller. Buyer is only obligated to accept payment during such period, not to attempt to enforce payment. No adjustment will be made in any of such accounts receivable without Seller’s permission. Seller reserves the right to pursue legal remedies of collection upon default by the customer with respect to any receivables owed to Seller. Buyer shall have no obligation to pursue or otherwise actively work to collect any of such Seller receivables or Manufacturer warranty payments. At the end of said 180-day period, Buyer shall no longer be obligated to accept payments of such accounts receivable. If Buyer does accept payment of any of Seller’s accounts receivable after expiration of the 180-day period, Buyer shall hold same in trust for Seller and promptly pay same over to Seller. It is understood that Buyer’s responsibility, so far as such collection is concerned, is only to accept monies paid on Seller’s accounts receivable and shall not include any obligation to ascertain the correct amount of any accounts receivable. Upon reasonable notice to Buyer, Buyer shall provide Seller with access to records relating to Seller’s operation of the Dealership, but Seller and LMP agree that they shall have no right to utilize the employees of Buyer to provide accounting or other bookkeeping services to themselves.

Seller’s Receivables. Following the Closing, upon the receipt of accounts receivable of the Seller, Buyer will remit checks thereof directly to the Seller at its principal office on a weekly basis. Buyer shall accept payment of Seller’s accounts receivable and Manufacturer warranty payments arising out of the operation of the Dealership prior to Closing for a period of 180 days. Buyer shall turn over to Seller on the last day of each calendar month during said period all of the monies it received as cleared funds so accepted on said accounts receivable during the previous calendar month. Buyer is not obligated to accept payments of such accounts receivable after such 180-day period, but if Buyer does so then Buyer will promptly pay the same over to Seller. Buyer is only obligated to accept payment during such period, not to attempt to enforce payment. No adjustment will be made in any of such accounts receivable without Seller’s permission. Seller reserves the right to pursue legal remedies of collection upon default by the customer with respect to any receivables owed to Seller. Buyer shall have no obligation to pursue or otherwise actively work to collect any of such Seller receivables or Manufacturer warranty payments. At the end of said 180-day period, Buyer shall no longer be obligated to accept payments of such accounts receivable. If Buyer does accept payment of any of Seller’s 's accounts receivable after expiration of the 180-day period, Buyer shall hold same in trust for Seller and promptly pay same over to Seller. It is understood that Buyer’s 's responsibility, so far as such collection is concerned, is only to accept monies paid on Seller’s 's accounts receivable and shall not include any obligation to ascertain the correct amount of any accounts receivable. Upon reasonable notice to Buyer, Buyer shall provide Seller with access to records relating to Seller’s operation of the Dealership, but Seller and LMP agree that they shall have no right to utilize the employees of Buyer to provide accounting or other bookkeeping services to themselves.