Contract
Exhibit
10.19(c)
THIRD
AMENDMENT TO
THIS
THIRD AMENDMENT TO LOAN AND SECURITY AGREEMENT (the “Amendment”) is made
as of July 20, 2009 by and between JRAS, LLC, a Georgia limited liability
company (“Borrower”), PERIMETER
INVESTMENT SOLUTIONS, LLC (“Perimeter”), JJG, LLC
(“JJG”), SOUTHERN CRESCENT FINANCE, LLC (“Southern”), JRAS OF SOUTH CAROLINA,
LLC (“JRAS South
Carolina”), JRAS OF TENNESSEE, LLC (“JRAS Tennessee”),
JRAS OF FLORIDA, LLC (“JRAS Florida”), JRAS OF ALABAMA, LLC (“JRAS Alabama”) and
XXXXX XXXXXXX (“Xxxxxxx”, and together with Perimeter, JJG, Southern, JRAS South
Carolina, JRAS Tennessee, JRAS Florida and JRAS Alabama, the “Guarantors”) and
CAPITALSOURCE FINANCE LLC, a Delaware limited liability company (“CapitalSource”), as
agent for CAPITALSOURCE BANK, a California industrial bank (the “Lender”).
W I T N E
S S E T H:
WHEREAS,
Borrower, Guarantors and CapitalSource entered into that certain Amended and
Restated Loan and Security Agreement dated as of November 19, 2007 (as
heretofore amended, the “Original Loan
Agreement”), for the purposes and consideration therein expressed,
pursuant to which CapitalSource agreed to make loans to Borrower as therein
provided;
WHEREAS,
Borrower, Guarantors and CapitalSource, as agent for the Lender, desire to amend
the Original Loan Agreement as provided herein;
NOW,
THEREFORE, in consideration of the premises and the mutual covenants and
agreements contained herein and in the Original Loan Agreement, in consideration
of the loans which may hereafter be made by Lender to Borrower, and for other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto do hereby agree as follows:
ARTICLE
I
Definitions and
References
Section
1.1 Terms Defined in the
Original Loan Agreement. Unless the context otherwise requires
or unless otherwise expressly defined herein, the terms defined in the Original
Loan Agreement shall have the same meanings whenever used in this
Amendment.
Section
1.2 Other Defined
Terms. Unless the context otherwise requires, the following
terms when used in this Amendment shall have the meanings assigned to them in
this Section 1.2.
“Amendment” means this
Third Amendment to Loan and Security Agreement.
“Amendment Documents”
means, collectively, this Amendment and any other document, instrument or
agreement required to be delivered pursuant to Article III hereof.
“Loan Agreement” means
the Original Loan Agreement, as amended hereby.
ARTICLE
II
Amendments to Original Loan
Agreement
Section
2.1 Schedule
A. Section 6.2.B of
Schedule A is
hereby amended in its entirety to read as follows:
“6.2.B. Minimum
Tangible Net Worth (SECTION 6.2.(k)).
The
“Minimum Tangible Net
Worth” shall be $40,000,000.”
ARTICLE
III
Consent
Section
3.1 Consent. The
Lender hereby consents to the sale by the Borrower to United Acceptance, Inc. of
the Consumer Loans listed on Schedule A hereto so
long as the purchase price therefor is remitted directly to Lender in accordance
with the wiring instructions set forth below, which amount shall be applied to
the Indebtedness in the manner set forth in the Loan Agreement:
Bank
Name: Bank
of America, N.A.,
ABA
Number: 026009593
Account
Name: CapitalSource
Funding LLC - SFG
Account
Number: 003938703751
Reference: Just
Right Auto Sales
ARTICLE
IV
Conditions of
Effectiveness
Section
4.1 Effective
Date. This Amendment shall become effective as of the date
first above written when and only when Lender shall have received, at Lender’s
office,
(a) a duly
executed counterpart of this Amendment,
(b) a duly
executed copy of the Assignment of Motor Vehicle Title Liens, in form and
substance acceptable to CapitalSource, and
(c) such
other documents as Lender may request.
ARTICLE
V
Covenants
Section
5.1 Delivery of Auto
Titles. The Related Parties covenant and agree that on or
before sixty (60) days following the date of this Amendment they shall deliver
to the Custodian the original Auto Title for each of the automobiles listed on
Schedule B
hereto which shall list the respective Related Party as first lienholder on such
automobile. The failure to comply with the covenant set forth in this
Section 5.1
shall constitute an Event of Default under the Loan Agreement.
ARTICLE
VI
Representations and
Warranties
Section
6.1 Representations and
Warranties. In order to induce Lender to enter into this
Amendment, Borrower and each Guarantor represents and warrants to Lender
that:
(a) The
representations and warranties contained in the Original Loan Agreement are true
and correct at and as of the time of the effectiveness hereof, except to the
extent that such representations and warranties expressly relate to a specific
date, in which case they shall have been accurate in all material respects as of
such specified date;
(b) Each
Related Party is duly authorized to execute and deliver this Amendment and the
other Amendment Documents and is and will continue to be duly authorized to
perform its obligations under the Loan Documents. Each Related Party
has duly taken all corporate action necessary to authorize the execution and
delivery of this Amendment and the other Amendment Documents and to authorize
the performance of the obligations of such Related Party hereunder and
thereunder;
(c) The
execution and delivery by each Related Party of this Amendment and the other
Amendment Documents, the performance by such Related Party of its obligations
hereunder and thereunder and the consummation of the transactions contemplated
hereby do not and will not conflict with any provision of law, statute, rule or
regulation or of the organizational and governing documents of such Related
Party, or of any material agreement, judgment, license, order or permit
applicable to or binding upon such Related Party, or result in the creation of
any lien, charge or encumbrance upon any assets or properties of such Related
Party. Except for those which have been duly obtained, no consent,
approval, authorization or order of any court or governmental authority or third
party is required in connection with the execution and delivery by any Related
Party of this Amendment and the other Amendment Documents or to consummate the
transactions contemplated hereby and thereby; and
(d) When duly
executed and delivered, each of this Amendment and the other Amendment Documents
will be a legal and binding instrument and agreement of Borrower and each
Guarantor which is a party thereto, enforceable in accordance with its terms,
except as limited by bankruptcy, insolvency and similar laws applying to
creditors’ rights generally and by principles of equity applying to creditors’
rights generally.
ARTICLE
VII
Miscellaneous
Section
7.1 Ratification of
Agreement. The Original Loan Agreement as hereby amended is
hereby ratified and confirmed in all respects. Any reference to the
Loan Agreement in any Loan Document shall be deemed to refer to this Amendment
also. The execution, delivery and effectiveness of this Amendment and
the other Amendment Documents shall not, except as expressly provided herein,
operate as a waiver of any right, power or remedy of Lender under the Loan
Agreement or any other Loan Document nor constitute a waiver of any provision of
the Loan Agreement or any other Loan Document.
Section
7.2 Survival of
Agreements. All representations, warranties, covenants and
agreements of Borrower and each Guarantor herein shall survive the execution and
delivery of this Amendment and the performance hereof, and shall further survive
until all of the Indebtedness is paid in full. All statements and
agreements contained in any certificate or instrument delivered by Borrower or
any Guarantor hereunder or under the Loan Agreement to Lender shall be deemed to
constitute representations and warranties by, or agreements and covenants of,
such party under this Amendment and under the Loan Agreement.
Section
7.3 Guarantor
Ratification. Each Guarantor hereby (i) consents to the
provisions of this Amendment and the transactions contemplated herein, (ii)
ratifies and confirms the respective Guaranty dated as of November 19, 2007,
made by the respective Guarantor for the benefit of Lender pursuant to the Loan
Agreement, (iii) ratifies and confirms all other Loan Documents, (iv) agrees
that all of Guarantor’s respective obligations and covenants thereunder shall
remain unimpaired by the execution and delivery of this Amendment and the other
documents and instruments executed in connection herewith, (v) all references in
the Guaranty to the Loan Agreement shall be deemed to refer to the Loan
Agreement as amended by this Amendment, and (vi) agrees that such Guaranty and
such other Loan Documents shall remain in full force and effect.
Section
7.4 Loan
Documents. This Amendment and the other Amendment Documents
are each a Loan Document, and all provisions in the Loan Agreement pertaining to
Loan Documents apply hereto and thereto.
Section
7.5 Governing
Law. This Amendment shall be construed in accordance with the
substantive laws of the State of Maryland (without regard to conflict of law
principles) and the obligations, rights and remedies of the parties hereto shall
be determined in accordance with such laws.
Section
7.6 Limitation. This
Amendment is limited as specified herein and shall not constitute an amendment,
modification, consent, acceptance or waiver of any provision of any of the Loan
Documents, other than as provided in Article II and Article III
above.
Section
7.7 Counterparts;
Fax. This Amendment may be separately executed in counterparts
and by the different parties hereto in separate counterparts, each of which when
so executed shall be deemed to constitute one and the same
Amendment. This Amendment may be duly executed by facsimile or other
electronic transmission.
THIS
AMENDMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE
PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR
SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.
THERE ARE
NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.
[THE
REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.]
2152344v1
IN
WITNESS WHEREOF, this Amendment is executed as of the date first above
written.
BORROWER:
JRAS,
LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: Managing
Director
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
GUARANTOR:
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
PERIMETER
INVESTMENT SOLUTIONS, LLC
By: /s/ Xxxx
Xxxx
Name: Xxxx
Xxxx
Title: Secretary
JJG,
LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
2152344v1
JRAS OF
SOUTH CAROLINA, LLC JRAS, LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
JRAS OF
TENNESSEE, LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
JRAS OF
FLORIDA, LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
2152344v1
JRAS OF
ALABAMA, LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
SOUTHERN
CRESCENT FINANCE, LLC
By: /s/ Xxxxx
Xxxxxxx
Name: Xxxxx
Xxxxxxx
Title: President
By: /s/ Xxxxxx X.
Xxxxxxx
Name: Xxxxxx
X. Xxxxxxx
Title: Vice
President
2152344v1
CAPITALSOURCE
FINANCE, LLC, as agent
By: /s/ Xxx X.
Xxxx
Name: Xxx
X. Xxxx
Title: Senior
Counsel
2152344v1
SCHEDULE
A
[See
Attached]
2152344v1
EXHIBIT
"A"
UNITED
ACCEPTANCE PURCHASE AGREEMENT
|
|||
Date: 7/8/2009
Dealer: JUST
RIGHT AUTO SALES - AL
|
Bid: 91.0%
Reserve
%: 21.0%
|
||
Customer
|
Balance
|
Purchase
Price
|
|
XXXXX,
XXXXXXX – 138741
|
5,310.43
|
4,832.49
|
|
XXXXX,
XXXXXX – 138744
|
7,195.31
|
6,547.73
|
|
XXXXXXX,
XXXXXXX – 138748
|
5,219.35
|
4,749.61
|
|
XXXXXXX,
XXXXXXX – 138750
|
3,353.34
|
3,051.54
|
|
XXXXXXXX,
XXXXXXXX M – 138764
|
2,949.94
|
2,684.45
|
|
XXXXXX,
XXXXXX XXXXX – 138766
|
3,824.48
|
3,480.28
|
|
XXXXXXX,
XXXXXXXXX V – 138776
|
4,148.66
|
3,775.28
|
|
DRYER,
XXXXXX – 138786
|
7,984.76
|
7,266.13
|
|
XXXXX,
XXXXX XXXXXXX – 138788
|
6,106.12
|
5,556.57
|
|
XXXXX,
XXXXX – 138798
|
7,203.57
|
6,555.25
|
|
XXXXX,
TOY - 138801
|
7,533.35
|
6,855.35
|
|
XXXXXXX,
XXXXXX – 138804
|
5,188.11
|
4,721.18
|
|
XXXXXX,
XXXXX – 138810
|
3,783.96
|
3,443.40
|
|
XXXXXX,
XXXXX – 138811
|
9,128.46
|
8,306.90
|
|
XXXXX,
XXXXXX – 138824
|
7,794.27
|
7,092.79
|
|
XXXXXX,
XXXX – 138834
|
4,863.44
|
4,425.73
|
|
XXXXXXXXX,
XXXXXX D – 138760
|
6,153.72
|
5,599.89
|
|
XXXXX,
XXXXXXX – 138765
|
8,603.42
|
7,829.11
|
|
XXXXXXX,
XXXXXXX – 138887
|
7,231.89
|
6,581.02
|
|
XXXXX,
XXXXXXXXX – 138781
|
8,431.22
|
7,672.41
|
|
XXXXXX,
XXXXXX XXXXX – 138785
|
4,390.19
|
3,995.07
|
|
XXXXXXX,
XXXXX – 138787
|
9,404.45
|
8,558.05
|
|
XXXXXX,
XXXXXX – 138789
|
8,439.69
|
7,680.12
|
|
XXXXXXXX,
XXXXXXX – 138796
|
8,961.45
|
8,154.92
|
|
XXXXXX,
XXXXX S – 138833
|
3,815.63
|
3,472.22
|
|
XXXXXX,
XXXXX – 138836
|
4,968.51
|
4,521.34
|
|
XXX,
XXXXXX – 138844
|
9,530.15
|
8,672.44
|
|
XXXXX,
XXXXXX – 138861
|
6,809.94
|
6,197.05
|
|
XXXXX,
XXXXXX – 138864
|
8,350.66
|
7,599.10
|
|
XXXXX,
XXXXXXX – 138870
|
4,442.19
|
4,042.39
|
|
XXXXXXX,
XXXXXX -,138872
|
8,312.80
|
7,564.65
|
|
XXXXXXXX,
XXXXXXX – 138875
|
6,282.58
|
5,717.15
|
|
XXXXXX,
XXXXX - 000000
|
9,154.51
|
8,330.60
|
|
XXXXX,
XXXXXXX XXXXXXX – 138882
|
8,115.61
|
8,295.21
|
|
XXXXXX,
XXXXXX XXXX - 000000
|
3,103.23
|
2,823.94
|
|
35
Loans
|
227,089.39
|
206,651.34
|
2152344v1
EXHIBIT
"A"
UNITED
ACCEPTANCE PURCHASE AGREEMENT
|
|||
Date: 7/8/2009
Dealer: JUST
RIGHT AUTO SALES - AL
|
Bid: 91.0%
Reserve
%: 21.0%
|
||
Customer
|
Balance
|
Purchase
Price
|
|
XXXXXX,
XXXXXXX L – 138736
|
8,718.34
|
7,933.69
|
|
XXXXXX,
XXXXXX – 138738
|
9,398.98
|
8,553.07
|
|
XXXXX,
XXXXXXXX XXXXXX – 138752
|
3,578.
89
|
3,256.79
|
|
XXXXXXX,
XXXXX - 000000
|
9,418.74
|
8,571.05
|
|
XXXXXXXXXX,
XXXXXX H - 138762
|
7,162.50
|
6,517.88
|
|
XXXXXX,
XXXXX - 000000
|
8,838.60
|
8,043.13
|
|
XXXXXXXXXX,
XXXXXXXXX - 000000
|
5,885.15
|
5,355.49
|
|
XXXX,
XXXXXX XXXXX - 000000 <TR>
|
3,666.96
|
3,336.93
|
|
XXXXXX,
XXXXXX - 000000
|
8,759.97
|
7,971.57
|
|
XXXXXX,
XXXXXX - 138790 <TR>
|
8,447.83
|
7,687.53
|
|
XXXXXXX,
XXXXXXXX - 000000 <TR>
|
5,133.62
|
4,671.59
|
|
XXXXX,
XXXXXXX XXXXXXXX - 000000
|
3,579.12
|
3,257.00
|
|
XXXXXX,
XXXXXXX – 138808
|
4,627.97
|
4,211.45
|
|
XXXXXX,
XXXXXXXX – 138812
|
5,725.01
|
5,209.76
|
|
XXXXXXXX,
XXXXXX XXXXX - 138816
|
3,197.99
|
2,910.17
|
|
XXXX,
AUGUST – 138825
|
4,477.38
|
4,074.42
|
|
XXXXXXX,
XXXXXXXX XXXXXXX - 000000
|
3,281.85
|
2,986.48
|
|
XXXXXX,
XXXXXX - 000000
|
7,430.32
|
6,761.59
|
|
XXXXX,
XXXXXX - 138763
|
2,254.41
|
2,051.51
|
|
XXXXXXX,
XXXXX X - 138767
|
3,653.36
|
3,324.56
|
|
XXXXXXX,
XXXXXX X - 138768
|
4,560.31
|
4,149.88
|
|
XXXXXXX,
XXXXXX XXX - 000000
|
8,932.14
|
8,128.25
|
|
XXXXXXX,
XXXXX - 000000
|
5,287.38
|
4,811.52
|
|
XXXXX,
XXXXXX X - 000000
|
4,800.84
|
4,368.76
|
|
XXXXXXXX,
XXXXX X – 138821
|
4,785.19
|
4,354.52
|
|
XXXXX
JR, XXXXXXXXX - 000000
|
4,822.48
|
4,388.46
|
|
XXXXXX,
XXXXXXX - 000000
|
7,275.07
|
6,620.31
|
|
XXXXX,
XXXXXX XXX - 000000
|
4,165.97
|
3,791.03
|
|
XXXXXXX,
XXXXX - 000000
|
7,960.67
|
7,244.21
|
|
XXXXXX,
XXXXXX A - 138850 <TR> <CR>
|
3,801.82
|
3,459.66
|
|
XXXXXXX,
XXX L - 138855
|
9,895.77
|
9,005.15
|
|
XXXXXX,
XXXXXX - 000000
|
5,018.34
|
4,566.69
|
|
XXXXXXXX,
XXXXXXXXX - 138886
|
9,044.08
|
8,230.11
|
|
XXXXXX,
XXXXXXX - 000000
|
4,820.68
|
4,386.82
|
|
XXXXXX,
XXXXX - 138889
|
7,987.90
|
7,268.99
|
|
35
Loans
|
210,395.63
|
191,460.02
|
2152344v1
EXHIBIT
"A"
UNITED
ACCEPTANCE PURCHASE AGREEMENT
|
|||
Date: 7/8/2009
Dealer: JUST
RIGHT AUTO SALES - AL
|
Bid: 91.0%
Reserve
%: 21.0%
|
||
Customer
|
Balance
|
Purchase
Price
|
|
XXXXX
|
3,671.00
|
3,340.61
|
|
XXXXXXX
|
8,541.58
|
7,772.84
|
|
XXXXXX
|
7,256.67
|
6,603.57
|
|
XXXXX
|
9,211.96
|
8,382.88
|
|
XXXXXXXX
|
9,007.95
|
8,197.23
|
|
DORE
|
8,417.56
|
7,659.98
|
|
XXXX
|
8,614.45
|
7,839.15
|
|
XXXXX
|
8,921.74
|
8,118.78
|
|
HANIFA
|
5,740.67
|
5,224.01
|
|
XXXXXXXXXXX
|
8,517.33
|
7,750.77
|
|
XXXXXXXXX-XXXXXXXX
|
3,652.22
|
3,323.52
|
|
XXXXXXX
III
|
8,687.58
|
7,905.70
|
|
XXXXXXX
|
9,458.74
|
8,607.45
|
|
XXXXX
|
5,539.33
|
5,040.79
|
|
SIMEON
|
8,735.25
|
7,949.08
|
|
SMALLS
|
8,918.56
|
8,115.89
|
|
XXXXX
|
9,893.85
|
9,003.40
|
|
XXXXXXXXXX
|
5,611.28
|
5,106.26
|
|
XXXXXX
|
7,194.89
|
6,547.35
|
|
XXXXXX
|
9,057.96
|
8,242.74
|
|
20
Loans
|
154,650.57
|
140,732.02
|
2152344v1
EXHIBIT
"A"
UNITED
ACCEPTANCE PURCHASE AGREEMENT
|
|||
Date: 7/8/2009
Dealer: JUST
RIGHT AUTO SALES - FL
|
Bid: 91.0%
Reserve
%: 21.0%
|
||
Customer
|
Balance
|
Purchase
Price
|
|
XXXXXXX,
XXXXXX - 000000
|
7,817.18
|
7,113.63
|
|
XXXXXX,
XXXXXX - 000000
|
9,606.50
|
8,741.92
|
|
XXXX,
XXXXXX - 000000
|
9,227.39
|
8,396.92
|
|
XXXXX,
XXXXX - 000000
|
8,702.09
|
7,918.90
|
|
XXXXXX,
XXXXXXXXXX - 000000
|
8,191.50
|
7,454.27
|
|
XXXXX,
XXXXXXXX - 000000
|
8,449.89
|
7,689.40
|
|
XXXXXX,
XXXXXX - 000000
|
6,546.45
|
5,957.27
|
|
XXXXX,
XXXX - 000000
|
8,850.98
|
8,054.39
|
|
XXXXXXXX,
XXXXXX - 000000
|
7,556.26
|
6,876.20
|
|
9
Loans
|
74,948.24
|
68,202.90
|
2152344v1
SCHEDULE
B
2152344v1
LIENHOLDER
EXCEPTIONS
collateral_key
|
borrower_name
|
lnamount
|
doctype_descr
|
question
_code
|
|
102612
|
XXXXX
XXXXX XXXXXXX
|
11,803.09
|
COFT-CERTIFICATE
OF TITLE
|
61
|
|
102999
|
BRISTOL
XXXXXX XXXXXXX
|
12,491.39
|
COFT-CERTIFICATE
OF TITLE
|
61
|
|
103105
|
Xxxxxx
Xxxxxxxxx Xxxxxxx
|
11,882.59
|
COFT-CERTIFICATE
OF TITLE
|
61
|
|
104263
|
XXXXXXX
XXXXX C
|
11,347.24
|
COFT-CERTIFICATE
OF TITLE
|
61
|
|
105200
|
Xxxxxx
Xxxxx Xxxxxx
|
11,948.02
|
COFT-CERTIFICATE
OF TITLE
|
61
|
|
106908
|
Xxxxxxx
Xxxxxxxx Growsha
|
11,207.00
|
COFT-CERTIFICATE
OF TITLE
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61
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61
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12,113.64
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61
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61
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61
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1,470.02
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61
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11,677.49
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61
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