Collateral Support Sample Clauses

Collateral Support. (a) Letters of Credit and Cash Collateral. To secure Supplier’s Repayment Obligation under Section 3.2.3 above, Supplier will cause letters of credit to be issued (the “Letters of Credit”), and/or cash collateral to be posted in a segregated escrow account (“Cash Collateral”), no later than the Prepayment Date for the benefit of Customer in the aggregate amount of *** (a portion of which will be issued and/or posted by or on behalf of Insight Equity I LP and/or an affiliate thereof (“IE Portion”) and a portion of which will be issued and/or posted by or on behalf of LBC Credit Partners, L.P. and/or an affiliate thereof (“LBC Portion”)). At any time and from time to time, Supplier may cause (i) Cash Collateral to be substituted for Letters of Credit in an aggregate face amount equal to the amount of such Cash Collateral being substituted and (ii) the Letters of Credit to be substituted for Cash Collateral in an aggregate amount equal to the face amount of such Letters of Credit being substituted. Customer shall promptly release all Cash Collateral that has been substituted by Letters of Credit and return all Letters of Credit for cancellation that have been substituted by Cash Collateral. In connection with the establishment of any Cash Collateral, the parties will be required to enter into an escrow agreement in favor of Customer including standard and customary terms and conditions and such escrow agent or bank may require certain standard and customary documentation be provided by Customer and Supplier related to such escrow account. (b) Return of Letters of Credit and Cash Collateral. Unless otherwise previously drawn upon in accordance with the terms of Section 3.2.4(c) below, Customer shall immediately return the Letters of Credit to Supplier for cancellation and release all Cash Collateral upon the earliest to occur of (i) the second anniversary of the Prepayment Date, (ii) the purchase by Customer of *** Tons of Ottawa Product and (iii) the termination of this Agreement. (c) Draw on Letters of Credit and Cash Collateral. At any time within 10 days prior to the expiry date of any Letter of Credit (but excluding any expiry date that occurs after the second anniversary of the Prepayment Date), unless Customer has received a replacement or extension of such Letter of Credit or Cash Collateral in substitute therefor, Customer shall have the right to draw on such Letter of Credit (up to the maximum amount specified in clause (d) below) and deposit the pro...