OBLIGATIONS DEFAULT Clause Samples

OBLIGATIONS DEFAULT. 7.1. If an Obligations Default occurs then, without prejudice to the Cessionary's other rights in terms of this Agreement or the Loan Agreement or at law, the Cessionary will be entitled (but not obliged), without notice to the Cedent and without first obtaining any order of court: 7.1.1. to exercise any rights of the Cedent afforded to it pursuant to the Ceded Rights or any portion thereof; 7.1.2. to recover and retain and give a valid receipt for any amount due in terms of or in respect of any of the Ceded Rights directly from the Cedent or any other person; and/or 7.1.3. to grant any indulgence, leniency, extension of time and/or to compromise, release, abandon or waive any right or spes which relates to or constitutes part of the Ceded Rights, including any right against the Cedent, any right against any surety or guarantor and any right in terms of any other form ofsecurity. 7.2. The Cedent hereby acknowledges that, should an Obligations Default occur within the initial 5-year Investment Period and the Cessionary exercises its rights in terms of this Agreement, the Cedent will be seen as having disposed of the VCC Shares, which will result in a recoupment of the VCC Tax Refund.