Accelerate Payments Clause Samples
The Accelerate Payments clause allows a party to demand immediate payment of amounts that would otherwise be due at a later date. Typically, this clause is triggered by specific events such as a breach of contract, insolvency, or other defined circumstances, enabling the creditor to collect outstanding balances ahead of the original schedule. Its core practical function is to protect the payee from increased risk by ensuring they can recover owed funds promptly if the other party's ability to pay becomes uncertain.
Accelerate Payments. Lender may declare the entire unpaid principal balance due pursuant to the Note to be immediately due and payable, together with accrued and unpaid interest, without further notice to or demand on the Borrower. Notwithstanding the foregoing, if Borrower becomes insolvent, makes an assignment for the benefit of its creditors, becomes the subject of an “order for relief” within the meaning of the U.S. Bankruptcy Code, files a petition in bankruptcy, or for reorganization, is adjudged bankrupt, has filed against them an involuntary petition pursuant to the U.S. Bankruptcy Code or has a receiver, trustee, custodian or a liquidator appointed to take control of any of its real or personal property and such receiver, trustee, custodian or liquidator is not discharged within sixty (60) days of their appointment, then the entire unpaid principal balance due pursuant to the Note and all accrued and unpaid interest thereon shall automatically and without the option of the Lender become immediately due and payable.
Accelerate Payments. Lender may declare the entire unpaid principal balance due pursuant to the Note to be immediately due and payable, together with accrued and unpaid interest, without further notice to or demand on Borrower. Notwithstanding the foregoing, if Borrower or any of the Guarantors, if any, becomes insolvent, makes an assignment for the benefit of its creditors, becomes the subject of an “order for relief” within the meaning of the U.S. Bankruptcy Code, files a petition in bankruptcy, or for reorganization, is adjudged bankrupt, has filed against them an involuntary petition pursuant to the U.S. Bankruptcy Code or has a receiver, trustee, custodian or a liquidator appointed to take control of any of their real or personal property, then the entire unpaid principal balance due pursuant to the Note and all accrued and unpaid interest thereon shall automatically and without the option of Lender become immediately due and payable.