Receivable Program Agreements Clause Samples
A Receivable Program Agreements clause defines the terms and conditions under which a company may sell or assign its accounts receivable to a third party, such as a financial institution, in exchange for immediate cash. This clause typically outlines the eligibility criteria for receivables, the process for transferring rights, and the responsibilities of each party involved in the program. Its core practical function is to facilitate liquidity for the company by allowing it to convert outstanding invoices into cash, while also clarifying the rights and obligations of all parties to prevent disputes and ensure smooth operation of the receivables program.
Receivable Program Agreements. The Company shall (a) perform and comply with its obligations under the Receivables Program Agreements and (b) enforce the rights and remedies afforded to it against the Receivables Account Bank under the Receivables Program Agreements, except where the failure to do so, individually or in the aggregate, would not reasonably be expected to result in an Adverse Effect.
Receivable Program Agreements. The Company shall cause each Seller to (a) perform and comply with its obligations under the Receivables Program Agreements and (b) enforce the rights and remedies afforded to it against the Receivables Account Bank under the Receivables Program Agreements, except where the failure to do so, individually or in the aggregate, would not reasonably be expected to result in an Adverse Effect.