Common use of Qualified Inventory Clause in Contracts

Qualified Inventory. At any time, all Inventory of Borrower which meets ------------------- all of the following criteria: (a) the Inventory is readily saleable in a bona fide arm's length transaction, or is usable, in the ordinary course of business of Borrower; (b) the title of Borrower to the Inventory is absolute and is not subject to any prior assignment or encumbrance, except the security interest of the Bank; (c) if the Inventory is located on leased premises, a landlord's waiver satisfactory in form and substance to the Bank shall have been delivered to the Bank for such premises; (d) the Inventory has not been designated or otherwise identified as belonging to any entity other than Borrower; and (e) the Inventory is located in Malvern, ▇▇▇▇▇▇▇ County, Pennsylvania, unless otherwise agreed in writing by the Bank. Qualified Inventory shall not include any Inventory drop-shipped or held on consignment by any other company than Borrower.

Qualified Inventory. At any time, all Inventory of Borrower which meets ------------------- all of the following criteria: (a) the Inventory is readily saleable in a bona fide arm's length transaction, or is usable, in the ordinary course of business of BorrowerBorrower (but excluding all work in process); (b) the title of Borrower to the Inventory is absolute and is not subject to any prior assignment or encumbrance, except the security interest of the Bank; (c) if the Inventory is located on leased premises, a landlord's waiver satisfactory in form and substance to the Bank shall have been delivered to the Bank for such premises; (d) the Inventory has not been designated or otherwise identified as belonging to any entity other than Borrower; and (e) the Inventory is located in Malvern, ▇▇▇▇▇▇▇ Columbia County, Pennsylvania, unless otherwise agreed in writing by the Bank. Qualified Inventory shall not include any Inventory drop-shipped dropshipped or held on consignment by any other company than Borrower.