Trust During Stay Clause Samples

Trust During Stay. The Debtor acknowledges that if a stay of proceedings is issued against the Debtor pursuant to the Bankruptcy and Insolvency Act (Canada), the Companies' Creditors Arrangements Act (Canada) or any other similar law, the Holder would be irreparably harmed and materially prejudiced if any proceeds of the Mortgaged Property were used for any purpose other than the repayment of the debts secured hereby, and the Debtor hereby acknowledges and agrees that any proceeds of the Mortgaged Property received by the Debtor while such stay is in effect shall be received and held by the Debtor in trust for the Holder.