Future Floating Charge Assets Clause Samples
The 'Future Floating Charge Assets' clause defines the scope of assets that will be subject to a floating charge, including not only current assets but also those acquired by the company in the future. In practice, this means that any inventory, receivables, or other assets obtained after the charge is created automatically become part of the secured pool without the need for further documentation. This clause ensures that the lender's security interest remains comprehensive and up-to-date, protecting their position as the company's asset base changes over time.
Future Floating Charge Assets. Except as otherwise stated in any notice given under Clause 4.1 (Crystallisation by notice) or unless the crystallisation relates to all its Floating Charge Assets, prospective Floating Charge Assets acquired by any Chargor after crystallisation has occurred under Clause 4.1 (Crystallisation by notice) or Clause 4.2 (Automatic crystallisation) shall become subject to the floating charge created by Clause