Common use of Separateness Provisions Clause in Contracts

Separateness Provisions. The entity must be required to: (i) not commingle assets with those of any other entity and must hold its assets in its own name; (ii) conduct its own business in its own name; (iii) maintain separate bank accounts, books, records and financial statements; (iv) maintain its books, records, resolutions and agreements as official records; (v) pay its own liabilities out of its own funds; (vi) maintain adequate capital in light of contemplated business operations; (vii) observe all corporate, partnership, company or other organizational formalities; (viii) maintain an arm’s-length relationship with affiliates; (ix) pay the salaries of its own employees and maintain a sufficient number of employees in light of contemplated business operations; (x) not guarantee or become obligated for the debts of any other entity or hold out its credit as being available to satisfy the obligations of others; (xi) not acquire obligations or securities of affiliates; (xii) not make loans to any other person or entity; (xiii) allocate fairly and reasonably any overhead for shared office space; (xiv) use separate stationery, invoices and checks; (xv) not pledge its assets for the benefit of any other entity; (xvi) hold itself out as a separate entity, and not fail to correct any known misunderstanding regarding its separate identity; and (xvii) not identify itself or any of its affiliates as a division or part of the other.

Separateness Provisions. The entity must be required to: (i) not commingle assets with those of any other entity and must hold its assets in its own name; (ii) conduct its own business in its own name; (iii) maintain separate bank accounts, books, records and financial statements; (iv) maintain its books, records, resolutions and agreements as official records; (v) pay its own liabilities out of its own funds; (vi) maintain adequate capital in light of contemplated business operations; (vii) observe all corporate, partnership, company or other organizational formalities; (viii) maintain an arm’sarm's-length relationship with affiliatesAffiliates; (ix) pay the salaries of its own employees and maintain a sufficient number of employees in light of contemplated business operations; (x) not guarantee or become obligated for the debts of any other entity or hold out its credit as being available to satisfy the obligations of others; (xi) not acquire obligations or securities of affiliatesAffiliates; (xii) not make loans to any other person or entity; (xiii) allocate fairly and reasonably any overhead for shared office space; (xiv) use separate stationery, invoices and checks; (xv) not pledge its assets for the benefit of any other entity; (xvi) hold itself out as a separate entity, and not fail to correct any known misunderstanding regarding its separate identity; and (xvii) not identify itself or any of its affiliates Affiliates as a division or part of the other.