Receivables Covenants Sample Clauses

Receivables Covenants. During the term of this Agreement, the Company shall always maintain current unfactored receivables greater than or equal to the Principal Amount. The Company shall notify the Lender promptly of: any material delay in the Company’s performance of any of its obligations to any account debtor or the assertion of any claims, offsets, defenses or counterclaims by any account debtor or any disputes with account debtors or any settlement, adjustment or compromise thereof, all material adverse information relating to the financial condition of any account debtor and any event or circumstance which, to the Company’s knowledge, could be reasonably expected to cause an Event of Default. The Lender shall have the right at any time or times, in the Lender’s name or in the name of a nominee of Lender, to verify the validity, amount or any other matter relating to any account or other Collateral, by mail, telephone, facsimile transmission or otherwise.
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Receivables Covenants. (a) Borrowers shall notify Agent promptly of (i) the assertion of any claims, offsets, defenses or counterclaims by any account debtor, Credit Card Issuer or Credit Card Processor or any disputes with any of such persons or any settlement, adjustment or compromise thereof in excess of $500,000 and (ii) all material adverse information relating to the financial condition of any account debtor, Credit Card Issuer or Credit Card Processor. No credit, discount, allowance or extension or agreement for any of the foregoing shall be granted to any account debtor, Credit Card Issuer or Credit Card Processor except in the ordinary course of the business of Borrowers in accordance with the current practices of Borrowers as in effect on the date hereof. So long as no Event of Default exists or has occurred and is continuing, Borrowers may settle, adjust or compromise any claim, offset, counterclaim or dispute with any account debtor, Credit Card Issuer or Credit Card Processor. At any time that an Event of Default exists or has occurred and is continuing, Agent shall, at its option, have the exclusive right to settle, adjust or compromise any claim, offset, counterclaim or dispute with account debtors, Credit Card Issuers or Credit Card Processors or grant any credits, discounts or allowances.
Sample 1
Receivables Covenants. Each Grantor shall notify the Lender promptly of any material delay in such Grantor's performance of any of its obligations to any account debtor or the assertion of any material claims, offsets, defenses or counterclaims by any account debtor or any material disputes with account debtors or any settlement, adjustment or compromise thereof, all material adverse information relating to the financial condition of any account debtor and any event or circumstance that, to such Grantor's knowledge, could be reasonably expected to result in a Default or a Material Adverse Effect. With respect to each Account of each Grantor: (i) the amounts shown on any invoice delivered to Lender or schedule thereof delivered to the Lender shall be true and complete in all material respects, (ii) none of the transactions giving rise thereto will materially violate any applicable foreign, Federal, State or local laws or regulations, and (iii) all documentation relating thereto will be legally sufficient under such laws and regulations and all such documentation will be legally enforceable in accordance with its terms. If the Lender, in its discretion, determines that a Default is reasonably expected to occur or upon the occurrence of a Default, the Lender shall have the right at any time or times, in the Lender's name or in the name of a nominee of Lender, to verify the validity, amount or any other matter relating to any Account or other Collateral, by mail, telephone, facsimile transmission or otherwise.
Sample 1
Receivables Covenants. (a) Borrower shall notify Lender promptly of: (i) any material delay in Borrower's performance of any of its obligations to any Account Debtor or the assertion of any claims, offsets, defenses or counterclaims by any Account Debtor, or any disputes with Account Debtors, or any settlement, adjustment or compromise of any Receivables, (A) involving amounts in excess of $250,000 in respect of the outstanding Receivables of any one Account Debtor and amounts in excess of $500,000 in the aggregate in respect of outstanding Receivables of all Account Debtors so long as Excess Availability (without regard to the Maximum Credit) is greater than $5,000,000 and no Event of Default exists or has occurred and is continuing or (B) involving amounts in excess of $25,000 in respect of the outstanding Receivables of any one Account Debtor and amounts in excess of $100,000 in the aggregate in respect of outstanding Receivables of all Account Debtors if Excess Availability (without regard to the Maximum Credit) is equal to or less than $5,000,000 or an Event of Default exists or has occurred and is continuing, (ii) all material adverse information known to Borrower relating to the financial condition of any Account Debtor at any time that Excess Availability (without regard to the Maximum Credit) is equal to or less than $5,000,000 or an Event of Default exists or has occurred and is continuing, unless there is material adverse information known to Borrower relating to the financial condition of Account Debtors who are obligated on Receivables in an amount equal to or greater than $3,000,000 in the aggregate. No credit, discount, allowance or extension or agreement for any of the foregoing shall be granted to any Account Debtor without Lender's consent, except in the ordinary course of Borrower's business in accordance with current practices and policies as in effect on the date hereof; provided, that, Borrower shall give Lender reasonable prior notice of any reduction, compromise, forgiveness or extension or deferral of any principal, interest or other amounts payable under any Account or Installment Sales Contract (A) involving amounts in excess of $250,000 in respect of the outstanding Receivables of any one Account Debtor and amounts in excess of $500,000 in the aggregate in respect of outstanding Receivables of all Account Debtors so long as Excess Availability (without regard to the Maximum Credit) is greater than $5,000,000 and no Event of Default exists or has occur...
Sample 1
Receivables Covenants. (a) Each Borrower shall notify the Agent promptly of (i) the assertion of any material claims, offsets, defenses or counterclaims by any account debtor of an Eligible Receivable (other than chargebacks and setoffs in the ordinary course of business consistent with past practices and policies) or any material disputes with any of such persons or any settlement, adjustment or compromise thereof and (ii) all material adverse information relating to the financial condition of any account debtor of an Eligible Receivable. No credit, discount, allowance or extension or agreement for any of the foregoing shall be granted to any account debtor except in the ordinary course of such Borrowers' business in accordance with its most recent past practices and policies. So long as no Event of Default exists or has occurred and is continuing, the applicable Borrower shall settle, adjust or compromise any claim, offset, counterclaim or dispute with any account debtor, in accordance with past practices. At any time that an Event of Default exists or has occurred and is continuing, the Agent on behalf of the Lenders shall, at its option, have the exclusive right to settle, adjust or compromise any claim, offset, counterclaim or dispute with account debtors or grant any credits, discounts or allowances.
Sample 1
Receivables Covenants. (a) The Borrower shall notify the Administrative Agent promptly of any event or circumstance which, to the knowledge of one or more of the Authorized Officers of the Borrower, could reasonably be expected to adversely affect in any material respect the collectability or value of any material portion of the Receivables, or any other Collateral. The Borrower shall not (and shall not authorize Parent or the Servicer to), without the Administrative Agent’s prior written consent (acting with the consent of the Required Lenders), modify any of the Receivables unless such modification is a Permitted Modification. At any time that an Event of Default is continuing, the Administrative Agent shall, at its option (acting with the consent of the Required Remedies Lenders), have the exclusive right (but in good faith) to settle, adjust or compromise any claim, offset, counterclaim or dispute in respect of the Receivables or any other Collateral.
Sample 1

Related to Receivables Covenants

  • Seller’s Covenants Seller hereby covenants and agrees with HARC as follows:

  • Accounts Covenants (a) Borrower shall notify Lender promptly of: (i) any material delay in Borrower's performance of any of its obligations to any account debtor or the assertion of any claims, offsets, defenses or counterclaims by any account debtor, or any disputes with account debtors, or any settlement, adjustment or compromise thereof, (ii) all material adverse information relating to the financial condition of any account debtor and (iii) any event or circumstance which, to Borrower's knowledge would cause Lender to consider any then existing Accounts as no longer constituting Eligible Accounts. No credit, discount, allowance or extension or agreement for any of the foregoing shall be granted to any account debtor without Lender's consent, except in the ordinary course of Borrower's business in accordance with practices and policies previously disclosed in writing to Lender. So long as no Event of Default exists or has occurred and is continuing, Borrower shall settle, adjust or compromise any claim, offset, counterclaim or dispute with any account debtor. At any time that an Event of Default exists or has occurred and is continuing, Lender shall, at its option, have the exclusive right to settle, adjust or compromise any claim, offset, counterclaim or dispute with account debtors or grant any credits, discounts or allowances.

  • Purchaser’s Covenants The Purchaser will have performed and complied with all covenants, agreements and conditions as required by this Agreement.

  • Equipment Covenants With respect to the Equipment: (a) upon Lender's request, Borrower shall, at its expense, at any time or times as Lender may request on or after an Event of Default, deliver or cause to be delivered to Lender written reports or appraisals as to the Equipment in form, scope and methodology acceptable to Lender and by an appraiser acceptable to Lender; (b) Borrower shall keep the Equipment in good order, repair, running and marketable condition (ordinary wear and tear excepted); (c) Borrower shall use the Equipment with all reasonable care and caution and in accordance with applicable standards of any insurance and in conformity with all applicable laws; (d) the Equipment is and shall be used in Borrower's business and not for personal, family, household or farming use; (e) Borrower shall not remove any Equipment from the locations set forth or permitted herein, except to the extent necessary to have any Equipment repaired or maintained in the ordinary course of the business of Borrower or to move Equipment directly from one location set forth or permitted herein to another such location and except for the movement of motor vehicles used by or for the benefit of Borrower in the ordinary course of business; (f) the Equipment is now and shall remain personal property and Borrower shall not permit any of the Equipment to be or become a part of or affixed to real property; and (g) Borrower assumes all responsibility and liability arising from the use of the Equipment.

  • Buyer’s Covenants Buyer hereby covenants as follows:

  • Pledgor’s Covenants The Pledgor represents, covenants and warrants that unless compliance is waived by the Bank in writing:

  • Vendor’s Covenants The Vendor will have performed and complied with all agreements, covenants and conditions as required by this Agreement.

  • Lessor's Covenants The Lessor covenants and agrees that, unless the Agent and the Lenders shall have otherwise consented in writing:

  • Borrower’s Covenants 3.1 As and when he becomes, and for so long as he remains a shareholder of Borrower Company, Borrower covenants irrevocably that during the term of this Agreement, Borrower shall cause Borrower Company:

  • Covenants Concerning Collateral, Etc The Guarantor further covenants with the Agent as follows: (a) the Collateral, to the extent not delivered to the Agent pursuant to Section 4 hereof or disposed of as permitted by the Credit Agreement, will be kept at those locations listed on the Perfection Certificate, as the same may be amended from time to time as herein provided, and the Guarantor will not remove the Collateral from such locations without providing at least fifteen (15) days prior written notice to the Agent except (i) to another location listed on the Perfection Certificate, or (ii) to another location of the Guarantor or one of its Subsidiaries or one of the other Subsidiaries of the Borrower, in each case, that is located within the United States but not listed on the Perfection Certificate, as amended from time to time (any such location, an “Unlisted Location”), provided, that the aggregate value of the Collateral located at such Unlisted Location shall not exceed $1,000,000, (iii) motor vehicles, or (iv) the removal of Collateral for up to thirty (30) days to repair such Collateral, in each case, in the ordinary course of business, (b) except for the security interest herein granted and Permitted Liens, the Guarantor shall be the owner of, or have other rights in or power to transfer, the Collateral free from any right or claim of any other person or any lien, security interest or other encumbrance, and the Guarantor shall defend the same against all claims and demands of all persons at any time claiming the same or any interests therein adverse to the Agent, (c) the Guarantor shall not pledge, mortgage or create, or suffer to exist any right of any person in or claim by any person to the Collateral, or any security interest, lien or other encumbrance in the Collateral in favor of any person other than the Agent, except for Permitted Liens, (d) the Guarantor will keep the Collateral in good order and repair and will not use the same in violation of law or any policy of insurance thereon, (e) the Guarantor will permit the Agent, or its designee, to inspect the Collateral at any reasonable time during normal business hours, wherever located, (f) the Guarantor will pay promptly when due all taxes, assessments, governmental charges and levies upon the Collateral incurred in connection with the use or operation of the Collateral or incurred in connection with this Agreement, (g) the Guarantor will continue to operate its business in compliance in all material respects with all applicable provisions of the federal Fair Labor Standards Act, as amended, and with all applicable provisions of federal, state and local statutes and ordinances dealing with the control, shipment, storage or disposal of hazardous materials or substances, (h) the Guarantor will not sell or otherwise dispose, or offer to sell or otherwise dispose, of the Collateral or any interest therein except for dispositions permitted by the Credit Agreement, and (i) with each annual Compliance Certificate delivered by Borrower pursuant to Section 6.02(a) of the Credit Agreement, the Guarantor shall cause Borrower to provide any information updating the Perfection Certificate, including, without limitation, any new locations at which any Collateral is located.

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