Common use of TRUST BANK Clause in Contracts

TRUST BANK. 7.01 The Lender hereby appoints the Trust Bank to act as its agent and trustee in connection herewith, and authorise the Trust Bank to exercise such rights, power, authorities and discretion as are specially delegated to the Trust Bank by the terms hereof together with all such rights, powers, authorities and discretion as are reasonably incidental hereto, and the Trust Bank accepts such appointment pursuant to the terms thereof. 7.02 The Trust Bank:- (A) may, in the absence of bad faith or gross negligence on its part, rely as to any matters of fact, which might reasonably be expected to be within the knowledge of the Lender upon a certificate signed by or on behalf of the Lender; (B) may, in the absence of bad faith or gross negligence on its part, rely upon the authenticity of any communication or documents believed by it to be authentic; (C) shall, within 5 business Days after receipt, deliver a copy to the Lender of any notice or document received by it in its capacity as the Trust Bank from the Borrower or any other person hereunder or in connection herewith; (D) shall, within five business Days after receipt, deliver a copy to the Borrower any notice or document received by it from the Lender or any person in connection herewith; and (E) shall, if by the terms of this Agreement, any act would be required to be performed on or within a period ending on a public holiday being a public holiday under Section 25 of the Negotiable Instrument Act , 1881 (26 of 1881) at Delhi perform the act on or by the immediately preceding Business Day. 7.03 Moneys and other property received by the Trust Bank under this Agreement shall, until used or applied in accordance with this Agreement, be held in trust for the purpose for which they were received, and shall be segregated from other funds and property of the Trust Bank. 7.04 This Agreement shall remain in full force and effect so long as amounts remain outstanding under the Loan Agreement, unless terminated earlier by the mutual consent of the parties. 7.05 The Borrower shall not be entitled to terminate this Agreement. 7.06 The trust Bank shall be entitled to terminate this Agreement, in consultation with the Lender if the Borrower fails to comply with any of its material obligations to the Trust Bank under this Agreement or fails to conduct its business in accordance with good business practice and fails to remedy the failure within 15 days after receipt of notice thereof from the Trust Bank and/or the Lender to the Borrower, with the approval of the Lender. 7.07 The Borrower shall pay the Trust Bank fees of an amount for service rendered by the Trust Bank, including any collection or cash management system that may be entailed in performing such services in terms of these presents and as such times as may be agreed between the Trust Bank and the Borrower.