Common use of Minimum Return Clause in Contracts

Minimum Return. If, following the final payment, the total amount paid to the Holder is less than the Investment Amount multiplied by 1.20 (the “Minimum Return”), the Company shall pay to the Holder within the year following the final payment the difference between the actual amount paid to the Holder and the Minimum Return. Payments under this Note shall be allocated as follows: the first amounts paid to Holder up to 20% of the Investment Amount shall be allocated as payments of interest; the remaining payments shall be allocated as payments of principal, except that any such amounts in excess of the Investment Amount will be allocated as a payment of interest. Under no circumstances shall payments to the Holder exceed what is allowed under California law governing usury.

Minimum Return. If, following the final payment, the total amount paid to the Holder is less than the Investment Amount multiplied by 1.20 (the “Minimum Return”), the Company shall pay to the Holder out of any loss reserves within the year following the final payment the difference between the actual amount paid to the Holder and the Minimum ReturnReturn to the extent loss reserves are available to cover the difference. Payments under this Note shall be allocated as follows: the first amounts paid to Holder up to 20% of the Investment Amount shall be allocated as payments of interest; the remaining payments shall be allocated as payments of principal, except that any such amounts in excess of the Investment Amount will be allocated as a payment of interest. Under no circumstances shall payments to the Holder exceed what is allowed under California law governing usury.