Common use of CARE OF THE MOTOR VEHICLE Clause in Contracts

CARE OF THE MOTOR VEHICLE. I agree to keep the motor vehicle free from all liens, and claims except those that secure this contract. I will timely pay all taxes, fines, or charges pertaining to the motor vehicle. I will keep the motor vehicle in good repair. I will not allow the motor vehicle to be seized or placed in jeopardy or use it illegally. I must pay all I owe even if the motor vehicle is lost, damaged or destroyed. If a third party takes a lien or claim against or possession of the motor vehicle, you may pay the third party any cost required to free the motor vehicle from all liens or claims. You may immediately demand that I pay you the amount paid to the third party for the motor vehicle. If I do not pay this amount, you may repossess the motor vehicle and add that amount to the amount I owe. If you do not repossess the motor vehicle, you may still demand that I pay you, but you cannot compute a finance charge on this amount. DEFAULT: I will be in default if: • I do not pay any amount when it is due; • I break any of my promises in this agreement; • I allow a judgment to be entered against me or the collateral; or • I file bankruptcy, bankruptcy is filed against me, or the motor vehicle becomes involved in a bankruptcy. If I default, you can exercise your rights under this contract and your other rights under the law.

CARE OF THE MOTOR VEHICLE. I agree to keep the motor vehicle free from all liens, and claims except those that secure this contract. I will timely pay all taxes, fines, or charges pertaining to the motor vehicle. I will keep the motor vehicle in good repair. I will not allow the motor vehicle to be seized or placed in jeopardy or use it illegally. I must pay all I owe even if the motor vehicle is lost, damaged or destroyed. If a third party takes a lien or claim against or possession of the motor vehicle, you may pay the third party any cost required to free the motor vehicle from all liens or claims. You may immediately demand that I pay you the amount paid to the third party for the motor vehicle. If I do not pay this amount, you may repossess the motor vehicle and add that amount to the amount I owe. If you do not repossess the motor vehicle, you may still demand that I pay you, but you cannot compute a finance charge on this amount. DEFAULT: I will be in default if: • if  I do not pay any amount when it is due; • or  I break any of my promises in this agreementcontract; • I allow a judgment to be entered against me or the collateral; or • I file bankruptcy, bankruptcy is filed against me, or the motor vehicle becomes involved in a bankruptcy, except that if I bought the vehicle primarily for personal, family, or household use, you will only treat these events as defaults if they significantly impair the prospect of payment, performance, or realization of the collateral. If I default, you can exercise your rights under this contract and your other rights under the law.