Compliance with the Packers Acts Sample Clauses

Compliance with the Packers Acts. Borrower has promptly paid -------------------------------- trade payables with respect to Inventory of Borrower subject to any lien or trust arising under any state producers' lien statute or any of the other Packers Acts and is in compliance with all applicable provisions of the Packers Acts and for which the failure to be in compliance could reasonably be expected to have a Material Adverse Effect, and no claims have been made by or against Borrower in connection therewith that have not been or will not be promptly reimbursed by Borrower, subject to Borrower's right to contest such claims in accordance with Section 3.11(b). Borrower shall notify Bank of any Liens --------------- asserted with respect to contracts or sales arrangements entered into by Borrower for the purchase of Farm Products that are the subject of the Packers Acts.