Common use of CONTRACT PROCEEDS Clause in Contracts

CONTRACT PROCEEDS. The Assignor undertakes to open and maintain at all times during the continuance of this Assignment, an Account with the Bank and to pay all the Contract Proceeds into such Account, provided that the Bank may at its absolute discretion require all or any Contract Proceeds to be paid directly to the Bank towards reduction of the Secured Obligation or for any other purpose as the Bank may in its absolute discretion decide. In the event that any sum of the Contract Proceeds is paid to or received by the Assignor (without the prior written approval of the Bank for the Assignor to use or retain that sum), the Assignor shall hold that sum on trust for the Bank and shall forthwith pay the same into the Account or such other account as the Bank may permit or at the Bank’s absolute discretion, direct. The Assignor shall not (save with the prior written consent of the Bank) withdraw (or attempt to withdraw), or deal with (or agree, conditionally or unconditionally, to deal with) any of the moneys from time to time standing to its credit in the Account hereof or purport or attempt to do any other act or thing which may in any way delay or prejudice the right of the Bank to receive payment of such moneys. The Assignor hereby irrevocably authorises the Bank to draw, appropriate and apply all or any moneys for the time being standing to the credit of the Account in or towards payment of, all or part of any Secured Obligation or for any other purpose as the Bank may in its absolute discretion decide. The Bank shall have the power at anytime, either in its own name or in the name of the Assignor, and without notice to the Assignor or any other person, to withdraw or convert into any currency any moneys from time to time standing to the credit of the Assignor in the Account and apply such moneys in or towards payment or satisfaction of the Secured Obligation or for any other purpose as the Bank may in its absolute discretion decide.