Common use of Hypothec Clause in Contracts

Hypothec. 2.1. 1To secure the payment and performance of the Indebtedness and of the expenses and charges incurred by the Creditor to obtain payment and performance of the Indebtedness or to conserve the Charged Property, the Grantor hereby hypothecates the Charged Property in favour of the Lender for the principal sum of [INSERT MAXIMUM CREDIT AMOUNT x 2]  [ ● ]  MILLION DOLLARS ($ [ ● ] ), together with interest thereon from the date hereof at the rate of twenty-five percent (25%) per annum, calculated semi-annually and not in advance. 2.1. 2The hypothec granted hereunder does not constitute and shall not constitute nor be construed as a floating hypothec within the meaning of Article 2715 of the Civil Code of Quebec.