Common use of Authorization of Pledged Capital Stock Clause in Contracts

Authorization of Pledged Capital Stock. The Pledged Capital Stock is duly authorized and validly issued, is fully paid and nonassessable and is not subject to the preemptive rights of any Person. All other shares of stock or other interests constituting Pledged Collateral will be duly authorized and validly issued, fully paid and nonassessable and not subject to the preemptive rights of any Person. The Pledged Capital Stock consisting of stock of a corporation is fully paid and nonassessable.