Common use of Collection of Indebtedness and Suits for Enforcement Clause in Contracts

Collection of Indebtedness and Suits for Enforcement. (a) The Company covenants that if default is made in the payment of any principal and/or interest on the Note when such principal and/or interest becomes due and payable, whether at a time specified in the Note, at maturity of the Note or in connection with any redemption or otherwise, the Company will, upon demand of Lender, pay to it the whole amount then due and payable on the Note for principal and interest and, to the extent that payment of such interest shall be legally enforceable, interest on any overdue principal and-on any overdue interest, at the Note Rate, and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of Lender, its agents and counsel, it being understood that as to the Lenders, any payments will be applied on a pro rata basis among the Lenders based on each Lender's respective Note amount. If the Company fails to pay such amounts forthwith upon such demand, Lender may prosecute a proceeding to judgment or final decree and may enforce the same against the Company or any other obligor on the Note and collect the moneys adjudged or decreed to be payable in the manner provided by law out of the property of the Company or of any other obligor on the Note, wherever situated, it being understood that any monies collected shall be applied on a pro rata basis among the Lenders based on each Lender's respective Note. In addition, Lender may give notice to customers of the Company that all payments under contracts listed on Schedule 401 shall, until further notice, be paid directly to Lender, and the Company consents to each such notice.

Collection of Indebtedness and Suits for Enforcement. (a) The Company covenants that if default is made in the payment of any principal and/or interest on the Note Notes when such principal and/or interest becomes due and payable, whether at a time specified in the NoteNotes, at maturity of the Note Notes or in connection with any redemption or otherwise, the Company will, upon demand of LenderLenders, pay to it the whole amount then due and payable on the Note Notes for principal and interest and, to the extent that payment of such interest shall be legally enforceable, interest on any overdue principal and-and on any overdue interest, at the Note Not Rate, and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of LenderLenders, its their agents and counsel, it being understood that as to the Lenders, any payments will be applied on a pro rata basis among the Lenders based on each Lender's respective Note amount. If the Company fails to pay such amounts forthwith upon such demand, Lender Lenders may prosecute a proceeding to judgment or final decree and may enforce the same against the Company or any other obligor on the Note Notes and collect the moneys adjudged or decreed to be payable in the manner provided by law out of the property of the Company or of any other obligor on the NoteNotes, wherever situated, it being understood that any monies collected collection shall be applied on a pro rata basis among the Lenders based on each Lender's respective Note. In addition, Lender Lenders may give notice to customers of the Company that all payments under contracts listed on Schedule 401 shall, until further notice, be paid directly to Lender, and the Company consents to each such notice.