EXHIBIT 10.29
NON-RECOURSE LINE OF CREDIT NOTE
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$950,000.00 November 19, 2003
FOR VALUE RECEIVED, BLONDER TONGUE LABORATORIES, INC., a Delaware
corporation ("Borrower"), promises to pay to the order of XXXXXX X. XXXXX, Xx.
an individual with a principal residence address in the State of New Jersey
("Lender"), at such place as Lender may designate from time to time in writing,
the principal sum of NINE HUNDRED FIFTY THOUSAND DOLLARS ($950,000.00), lawful
money of the United States of America, or, if less, the outstanding principal
balance on all Line of Credit Loans made by Lender pursuant to that certain Loan
and Security Agreement of even date herewith by and between Lender and Borrower
(as the same may be amended, restated, supplemented or otherwise modified, the
"Loan Agreement"), together with interest thereon from the date of each Line of
Credit Loan at the rate hereinafter provided and payable as hereinafter
provided. Capitalized terms not otherwise defined herein shall have the meaning
ascribed to them in the Loan Agreement.
Xxxxxxxx further agrees to pay principal and interest to Xxxxxx from
time to time as specified in Section 2 of the Loan Agreement.
If any payment on this Note becomes due and payable on any day which
is not a Business Day, then such due date shall be extended to the next
succeeding Business Day; provided that interest shall continue to accrue during
the period of any such extension.
This Note is the Note referred to in the Loan Agreement, is secured by
the Loan Agreement and evidences the Line of Credit Loans thereunder, and is
subject to, and entitled to, all provisions and benefits thereof.
Notwithstanding anything contained in this Note to the contrary, the
Obligations owing by Borrower to Lender hereunder and under the other Loan
Documents are absolutely non-recourse, subject only to the rights which Xxxxxx
has pursuant to the Loan Agreement in the Collateral and Borrower shall not
otherwise have any liability (outside of Borrower's ownership interest in the
Collateral) for any deficiency which may exist in the event that the proceeds of
the Collateral do not xxxxxx sufficient funds to satisfy the Obligations owing
by Borrower to Lender under this Note or the other Loan Documents. Xxxxxx agrees
to look solely to the Collateral for payment of the obligations hereunder.
IN WITNESS WHEREOF, and intending to be legally bound, the undersigned
has executed and delivered this Note as of the date first above written.
BLONDER TONGUE LABORATORIES, INC.
By: /s/ Xxxxx X. Xxxxxx
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Xxxxx X. Xxxxxx, Chief Executive Officer
