INDEBTEDNESS AND RIGHT OF SET OFF Clause Samples
The 'Indebtedness and Right of Set Off' clause defines the parties' rights and obligations regarding outstanding debts and the ability to offset mutual obligations. In practice, this clause allows one party to deduct amounts owed to them from sums they are required to pay to the other party, such as a lender applying funds from a borrower's account to cover overdue loan payments. Its core function is to provide a clear mechanism for settling debts between parties, reducing the risk of non-payment and streamlining the resolution of mutual financial obligations.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving Selling Broker-Dealer or General Agent the right to incur any indebtedness on behalf of Pacific Mutual or PEN. Selling Broker-Dealer and General Agent hereby authorize PEN and Pacific Mutual to set off liabilities of Selling Broker-Dealer and General Agent to Pacific Mutual and PEN against any and all amounts otherwise payable to Selling Broker-Dealer or General Agent.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving Selling Broker-Dealer the right to issue any indebtedness on behalf of CLICA or CLAFS. Selling Broker Dealer hereby authorizes CLICA as agent of CLAFS to set off liabilities of Selling Broker-Dealer to CLICA or CLAFS against any and all amounts otherwise payable to Selling Broker-Dealer.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving Selling Broker-Dealer or Producer the right to incur any indebtedness on behalf of the Company or Clarendon. Selling Broker-Dealer and Producer hereby authorize Clarendon and the Company to set off liabilities of Selling Broker-Dealer and Producer to the Company and Clarendon against any and all amounts otherwise payable to Selling Broker-Dealer or Producer.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving Selling Broker-Dealer or Producer the right to incur any indebtedness on behalf of the Company or Sun Investment. Selling Broker-Dealer and Producer hereby authorize Sun Investment and the Company to set off liabilities of Selling Broker-Dealer and Producer to the Company and Sun Investment against any and all amounts otherwise payable to Selling Broker-Dealer or Producer.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving Selling Broker-Dealer or General Agent the right to incur any indebtedness on behalf of MSS or MLNY. Selling Broker-Dealer and General Agent hereby authorize MSS to set off liabilities of Selling Broker-Dealer and General Agent to MSS or MLNY against any and all amounts otherwise payable to Selling Broker-Dealer or General Agent.
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving the Selling Broker-Dealer or General Agent the right to incur any indebtedness on behalf of Manulife Financial Securities or Manulife New York. Selling Broker-Dealer and General Agent hereby authorize Manulife Financial Securities to set off liabilities of Selling Broker-Dealer and General Agent to Manulife Financial Securities and Manulife New York against any and all amounts otherwise payable to Selling Broker-Dealer or General Agent.
INDEBTEDNESS AND RIGHT OF SET OFF i. If Broker becomes indebted to Company, AGA or any of the Insurers through Company, in connection with any policy or plan submitted by Broker through Company and AGA for which Broker received compensation hereunder or under Broker’s contract with an Insurer, Broker hereby agrees to repay such Indebtedness on demand (the “Debt”).
ii. If the Debt is not repaid by Broker within 60 days of the date on which notice is given to Broker by Company, AGA or the Insurer of the Debt, Company and/or AGA may offset against any claim for compensation hereunder or against any other money payable to Broker by Company, AGA or any Insurer, any Debt due or to become due from Broker to Company, whether arising under this Agreement or otherwise, which Debt will be a first charge against such compensation. In connection herewith, Broker hereby authorizes Company to (A) direct any Insurers with which both Company and Broker deal, to assign and make payable to Company all future compensation earned by Broker (including, without limitation, commission, override, bonus, renewal and service commission) from such Insurers, and (B) apply any proceeds received from Insurers under (A) hereof, to the reduction of the Debt, until such time as the Debt is reduced to nil. Any such assignment will cease upon repayment in full of the Debt owing to Company or AGA.
iii. If any Debt is not repaid within said 60 days, or if a mutually acceptable arrangement has not been made regarding repayment, Company may refer the Debt to a collection agent. The cost of such action, including, without limitation, collection agency, legal and accounting fees and interest, will be recoverable from Broker as part of the Debt.
iv. Unless otherwise notified, interest will be charged on any Debt outstanding after 60 days at the Bank of Canada’s prime interest rate plus 3%, calculated semi-annually.
v. Company, in its sole discretion, may register this Agreement under the Personal Property Security Act (Ontario) or any other similar legislation in other jurisdictions in Canada. Broker agrees that Company shall not be required to deliver to Broker a copy of any financing statement or other security documentation filed by Company in any provincial registry in connection therewith.
vi. Termination of this Agreement for any reason whatsoever shall not affect the obligation of Broker to repay the Debt, and the provisions of this Section 5(e) shall survive any such termination in their entirety, including, without limitat...
INDEBTEDNESS AND RIGHT OF SET OFF. Nothing contained in this Agreement shall be construed as giving the Selling Broker-Dealer or General Agent the right to incur any indebtedness on behalf of Manulife Financial Securities or Manulife New York. Selling Broker-Dealer and General Agent hereby authorize Manulife Financial Securities to set off liabilities of Selling Broker-Dealer and General Agent to Manulife Financial Securities and Manulife New York against any and all amounts otherwise payable to Selling Broker-Dealer or General Agent.