Common use of Eligible Container Clause in Contracts

Eligible Container. Each Container owned by the Borrower or the Guarantor, as applicable, which (a) is subject to a first priority fully perfected security interest in favor of the Administrative Agent for the benefit of the Secured Parties in Barbados and in all jurisdictions within the United States of America where filing financing statements in accordance with the Uniform Commercial Code is necessary to perfect the Administrative Agent’s security interest in such Containers, (b) is subject to no other Liens except Permitted Liens that are permitted pursuant to §§9.2.1(v) and (x), (c) is in a serviceable condition in the normal course of business, (d) has not suffered an Event of Loss, (e) is not the subject of a finance or trade credit arrangement between the Borrower or the Guarantor, as applicable, as obligor and a third party obligee but is owned by the Borrower or the Guarantor, as applicable, outright, (f) is not then subject to a Direct Finance Lease (provided, however, that a Container that has been recovered from the lessee under a defaulted Direct Finance Lease shall qualify as an Eligible Container so long as such Container satisfies clauses (a), (b), (c), (d), (e), (g), (h) and (i) of this definition of Eligible Container), (g) is a Standard Container, (h) with respect to the inclusion of such Container in the calculation of the Borrowing Base shall not result in a violation of the Concentration Limit, and (i) as of the date of its manufacture, conformed to the Borrower’s or the Guarantor’s, as applicable, standard specifications for that category of Container and to any applicable industry standard specifications (including, without limitation, ISO and CSC standard specifications). Embargoed Person. See §7.25(c). Employee Benefit Plan. Any employee benefit plan within the meaning of §3(3) of ERISA maintained or contributed to by any Loan Party or any ERISA Affiliate, other than a Guaranteed Pension Plan or a Multiemployer Plan. Environmental Laws. See §7.18(b). EPA. See §7.18(c).

Eligible Container. Each Standard Container owned by the Borrower or the Guarantor, as applicable, which (a) is subject to a first priority fully perfected security interest in favor of the Administrative Agent for the benefit of the Secured Parties in Barbados and in all jurisdictions within the United States of America where filing financing statements in accordance with the Uniform Commercial Code is necessary to perfect the Administrative Agent’s security interest in such Containers, (b) is subject to no other Liens except Permitted Liens that are permitted pursuant to §§9.2.1(v) and (xxi), (c) is in a serviceable condition in the normal course of business, (d) has not suffered an Event of Loss, (e) is not the subject of a finance or trade credit arrangement between the Borrower or the Guarantor, as applicable, as obligor and a third party obligee but is owned by the Borrower or the Guarantor, as applicable, outright, (f) is not then subject to a Direct Finance Lease (provided, however, that a Container that has been recovered from the lessee under a defaulted Direct Finance Lease shall qualify as an Eligible Container so long as such Container satisfies clauses (a), (b), (c), (d), (e), (g), (h) and (i) of this definition of Eligible Container), (g) is a Standard Container, (h) with respect to the inclusion of such Container in the calculation of the Borrowing Base shall not result in a violation of the Concentration Limit, and (i) as of the date of its manufacture, conformed to the Borrower’s or the Guarantor’s, as applicable, standard specifications for that category of Container and to any applicable industry standard specifications (including, without limitation, ISO and CSC standard specifications). Embargoed Person. See §7.25(c7.25(b). Employee Benefit Plan. Any employee benefit plan within the meaning of §3(3) of ERISA maintained or contributed to by any Loan Party or any ERISA Affiliate, other than a Guaranteed Pension Plan or a Multiemployer Plan. Environmental Laws. See §7.18(b). EPA. See §7.18(c).