Common use of Contribution Right Clause in Contracts

Contribution Right. So long as it is a Member with a ------------------ Membership Interest representing at least 50% of the aggregate Membership Interests, Angelika, Inc. will have the right, but not the obligation, to provide capital to the Company to meet the obligations of the Company. This right is subject to the preemptive rights of the other Members, as set forth in subsection (a), immediately above. However, such contributions may be made immediately, subject to repayment (with interest at the rate of 30 Day LIBOR plus 2.25 basis points) from the proceeds of any such exercise of preemptive rights within forty-five (45) days of notice to the Members of such capital contribution by Angelika, Inc. Such contributions will be treated as contributions to capital by Angelika, Inc. effective on the date funded, and Angelika, Inc.'s Membership Interest will be increased proportionately by the amount of such contributions, except to the extent such contributions, if any, are repaid from the proceeds of an exercise by Members of preemptive rights during the Rights Period.