Common use of Statutory Lien Clause in Contracts

Statutory Lien. The Company acknowledges that Lender has a statutory first Lien pursuant to the Farm Credit Act of 1971, as amended from time to time, on all Lender Equities that the Company may now own or hereafter acquire, which statutory Lien shall secure the Obligations due to Lender and be for Lender’s sole and exclusive benefit. The Lender Equities shall not constitute security for obligations due to any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender). To the extent that any of the Loan Documents creates a Lien on the Lender Equities or on patronage accrued by Lender for the account of the Company (including, in each case, proceeds thereof), such Lien shall be for Lender’s sole and exclusive benefit and shall not be subject to sharing with any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender to the extent any Obligations are owing by the Company to any of them). Neither the Lender Equities nor any accrued patronage shall be offset against the Obligations except that, in the event of an Event of Default, Lender may elect to apply the cash portion of any patronage distribution or retirement of Lender Equities to amounts due to Lender under this Agreement. The Company acknowledges that any corresponding tax liability associated with such application is the sole responsibility of the Company. Lender shall have no obligation to retire the Lender Equities upon any Event of Default, Default, or any other breach or default by the Company, or at any other time, either for application to the Obligations or otherwise.

Statutory Lien. The Company acknowledges that Lender has a statutory first Lien pursuant to the Farm Credit Act of 1971, 1971 (as amended or otherwise modified from time to time) each applicable Farm Credit Lender has a statutory first Lien on its Lender Equities, on all Lender Equities as the case may be, that the Company may now own or hereafter acquire, which statutory Lien shall secure the Obligations due to Lender and be for each applicable Farm Credit Lender’s sole and exclusive benefit. The Lender Equities Equities, as the case may be, shall not constitute security for obligations due to any other lender or participant hereunder (other than form a Subsidiary or Affiliate part of Lender)the Collateral. To the extent that any of the Loan Documents creates create a Lien on the Lender Equities of the applicable Farm Credit Lender or on patronage accrued by the applicable Farm Credit Lender for the account of the Company (including, in each case, or proceeds thereof), such Lien shall be for each applicable Farm Credit Lender’s sole and exclusive benefit and shall not be subject to sharing with any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender a lender or participant to the extent any Obligations are owing by the Company to any of them). Neither the Lender Equities nor any accrued patronage thereon shall be offset against the Obligations Obligations, except that, in the event of an Event of Default, each applicable Farm Credit Lender may elect to apply the cash portion of any patronage distribution or retirement of Lender Equities equity to amounts due owed to such Farm Credit Lender under this Agreement, whether or not such amounts are currently due and payable. The Company acknowledges that any corresponding tax liability associated with such application is the sole responsibility of the Company. No applicable Farm Credit Lender shall have no any obligation to retire the its Lender Equities upon at any time, including during the continuance of any Default or Event of Default, Default, or any other breach or default by the Company, or at any other time, either for application to the Obligations or otherwise.

Statutory Lien. The Company acknowledges that Lender CoBank has a statutory first Lien pursuant to the Farm Credit Act of 1971, as amended from time to time, on all Lender CoBank Equities that the Company may now own or hereafter acquire, which statutory Lien shall secure the Obligations due to Lender CoBank and be for LenderCoBank’s sole and exclusive benefit. The Lender CoBank Equities shall not constitute security for obligations due to any other lender or participant hereunder (other than a Subsidiary or Affiliate of LenderCoBank). To the extent that any of the Loan Documents creates a Lien on the Lender CoBank Equities or on patronage accrued by Lender CoBank for the account of the Company (including, in each case, proceeds thereof), such Lien shall be for LenderCoBank’s sole and exclusive benefit and shall not be subject to sharing with any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender CoBank to the extent any Obligations are owing by the Company to any of them). Neither the Lender CoBank Equities nor any accrued patronage shall be offset against the Obligations except that, in the event of an Event of Default, Lender CoBank may elect to apply the cash portion of any patronage distribution or retirement of Lender CoBank Equities to amounts due to Lender CoBank under this Agreement. The Company acknowledges that any corresponding tax liability associated with such application is the sole responsibility of the Company. Lender CoBank shall have no obligation to retire the Lender CoBank Equities upon any Event of Default, Default, or any other breach or default by the Company, or at any other time, either for application to the Obligations or otherwise.

Statutory Lien. The Company acknowledges that Lender has a statutory first Lien pursuant to the Farm Credit Act of 1971, as amended from time to time, on all Lender Equities that the Company may now own or hereafter acquire, which statutory Lien shall secure the Obligations due to Lender and be for Lender’s sole and exclusive benefit. The Lender Equities shall not constitute security for obligations due to any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender). To the extent that any of the Loan Documents creates a Lien on the Lender Equities or on patronage accrued by Lender for the account of the Company (including, in each case, proceeds thereof), such Lien shall be for Lender’s sole and exclusive benefit and shall not be subject to sharing with any other lender or participant hereunder (other than a Subsidiary or Affiliate of Lender to the extent any Obligations are owing by the Company to any of them). Neither the Lender Equities nor any accrued patronage shall be offset against the Obligations except that, in the event of an Event of Default, Lender may elect to apply the cash portion of any patronage distribution or retirement of Lender Equities to amounts due owed to Lender under this AgreementAgreement whether or not such amounts are currently due and payable. The Company acknowledges that any corresponding tax liability associated with such application is the sole responsibility of the Company. Lender shall have no obligation to retire the Lender Equities upon any Event of Default, Default, or any other breach or default by the Company, or at any other time, either for application to the Obligations or otherwise.