Reserve Deposit Clause Samples

Reserve Deposit. A. If for any reason SURETY shall deem it necessary to establish or to increase a reserve to cover any possible liability or loss for which the PRINCIPAL or INDEMNITORS will be obligated to indemnify SURETY under the terms of this Agreement, or to establish a collateral deposit in connection with the issuance or procurement of any BOND for PRINCIPAL, the PRINCIPAL or INDEMNITORS will deposit with SURETY, immediately upon demand, a sum of money equal to such reserve and any increase thereof as collateral security to SURETY for such liability or loss. SURETY shall have the right to use the deposit, or any part thereof, in payment or settlement of any liability, loss, expense or other matter for which the PRINCIPAL or INDEMNITORS would be obligated to indemnify SURETY under the terms of this Agreement. SURETY shall have no obligation to invest, or to provide a return or interest on the deposit. SURETY'S demand shall be sufficient if sent by registered or certified mail to the PRINCIPAL or INDEMNITORS at the addresses stated herein or at the addresses of the PRINCIPAL or INDEMNITORS last known to SURETY, regardless of whether such demand is actually received by the PRINCIPAL or INDEMNITORS. B. SURETY may seek a mandatory injunction to compel the deposit of such collateral together with any other remedy at law or in equity that SURETY may have. SURETY shall have the right to retain such collateral until SURETY has received satisfactory evidence of SURETY'S complete discharge and exoneration from any claim or potential claim under all BONDS and until SURETY has been fully reimbursed for any and all liability incurred from claims, demands, damages, costs, loss, expense, attorney's fees, or other items for which PRINCIPAL and INDEMNITORS are liable hereunder.

Reserve Deposit. At the time this Contract is signed by Buyer, Buyer shall deposit with Seller a performance bond from a surety company acceptable to Seller in the amount of DRAFT $ . Buyer shall also deposit with Seller cash (the “Deposit”) and a payment bond from a surety company acceptable to Seller, which, together, shall total the amount of $ . The bonds (the “Bonds”) and the Deposit shall assure compliance with applicable laws, rules and regulations and the provisions of this Contract. Seller shall hold the Bonds and the Deposit until Buyer has, to the satisfaction of the appropriate office of the State of Oregon, complied with the state laws and regulations relating to snag and slash disposal, and has, to the satisfaction of Seller, complied with all provisions of this Contract. Upon such compliance, the Deposit with no interest accrued thereto shall be refunded promptly to Buyer. If Buyer defaults in prompt compliance with snag and slash disposal or with any other Contract provisions, Seller may, without prejudice to other remedies, perform the same and charge the expense to Buyer. Thereupon Seller shall apply the Deposit toward said expense and return any balance to Buyer and/or Seller may exercise its rights under the Bonds and retain the Deposit.

Reserve Deposit. On the Commencement Date Tenant shall deposit with Landlord, in cash or in the form of a letter of credit acceptable to Landlord in its reasonable discretion, the sum of One Million Three Hundred Three Thousand Seven Hundred Eighty-Three and 78/100 Dollars ($1,303,783.78), as a reserve deposit (the "Reserve Deposit"), in order to secure Tenant's faithful performance of all of Tenant's obligations under this Lease. If Tenant fails to pay Rent or Additional Charges due hereunder, fails to pay the full Option Purchase Price under the conditions and as provided in Section 24.2 below, or otherwise defaults with respect to any provision of this Lease , then in addition to and not exclusive of any other remedies available under this Lease, Landlord may use, apply or retain all or any portion of the Reserve Deposit for the payment of any Rent, the funding of any charges in default or other amount due to landlord hereunder, or for the payment of any sum to which Landlord may become obligated by reason of Tenant's default. If Landlord so uses or applies all or any portion of the Reserve Deposit, Tenant shall, within five (5) days after written demand therefor, deposit cash with Landlord in an amount sufficient to fully restore the Reserve Deposit to the required amount as set forth above. Landlord shall maintain the Reserve Deposit in an interest-bearing account, and all interest accruing thereon shall be added to the Reserve Deposit. Landlord shall not be required to keep the Reserve Deposit separate from its general accounts, but shall maintain reasonable records showing the current balance of the Reserve Deposit and the amounts of interest earned thereon each year. If Tenant performs all of Tenant's obligations hereunder, at the expiration of the Term, after Tenant has vacated the Leased Property, and after all purchase options or mortgages encumbering the Leased Property which have been granted or which arise by, through or under Tenant have expired or been satisfied or released, the Reserve Deposit, or so much thereof as has not been applied or used by Landlord as provided herein, shall be returned to Tenant, together with any interest which has accrued thereon.. No trust relationship is created herein between Landlord and Tenant with respect to the Reserve Deposit. The Reserve Deposit shall be paid by Tenant to Landlord upon the Commencement Date.

Reserve Deposit. Concurrently with the request for a Revolving Loan, the Borrower shall deposit an amount equal to ten percent (10%) of the requested Revolving Loan (the “Reserve Amount”) in a segregated deposit account with the Bank (the “Reserve Account”). All amounts on deposit in the Reserve Account shall serve as additional Collateral for the Loans. The Borrower shall use the funds in the Reserve Account as a last option to make payment of the Obligations, in whole or in part, as necessary. If the Borrower shall fail to do so, the Bank has the option to use funds in the Reserve Account for payment of the Obligations. If the Borrower shall have repaid all Obligations with respect to a given Revolving Loan (which, for purposes of this Section 3.6, shall require the repayment of all Obligations with respect to any Term Loan into which such Revolving Loan has been converted), the Bank shall promptly, upon written request to do so by the Borrower, remit the Reserve Amount with respect to such Revolving Loan to the Borrower. Funds remaining in the Reserve Account on the Term Loan Facility Termination Date will be promptly returned to the Borrower after all Obligations to the Bank have been indefeasibly paid to the Bank in full.

Reserve Deposit. As security for the obligations of the Merchant arising in terms of this Agreement, SIB may retain a minimum amount as mentioned in Master Service Agreement from out of the amounts payable to the Merchant in terms of Clause 3.1 hereof. The Merchant agrees that from time to time SIB may impose on it additional Reserve Deposit amounts, in order to reduce SIB’ reasonable apprehension of risk of loss under varying circumstances arising out of the Transaction conducted through the Payment Mechanism.

Reserve Deposit. Required Repair Item Amount

Reserve Deposit. Dry Bulk Australia shall have deposited the Reserve Deposit with the Facility Agent.

Reserve Deposit. As security for the obligations of the Merchant arising in terms of this Terms and Conditions, Worldline may retain a minimum amount as decided by Worldline from out of the amounts payable to the Merchant in terms of Clause 7.1 hereof. The Merchant agrees that from time to time Worldline may impose on it additional Reserve Deposit amounts, in order to reduce Worldline’ reasonable apprehension of risk of loss under varying circumstances arising out of the Transaction conducted through the Payment Mechanism.

Reserve Deposit. Lessee shall deposit with Lessor at the time of execution of this Lease the amount of Five Thousand Four Hundred Fifty-Six and no/100 ($5,456.00) Dollars as a reserve deposit (hereinafter the "Reserve Deposit"), to be held by Lessor in an interest-bearing account, said interest, less any administrative fee to which Lessor is entitled by law (which fee shall not exceed one percent of the Reserve Deposit), to be credited or paid to Lessee on an annual basis, in order to secure Lessor against any damages arising from Lessee's breach of any of the terms, covenants or conditions of this Lease, including but not limited to Lessee's failure to pay its proportionate shares of increases in Operating Costs, Electricity Costs and Real Estate Taxes payable pursuant to Article 3 below, or any other additional rent. The Reserve Deposit, plus any accrued but unpaid interest, shall be held by Lessor until such damages, if any, arising from Lessee's breach have been assessed. It is hereby expressly understood that Lessor is entitled to hold the Reserve Deposit until the expiration of the period within which Lessee must pay additional rental amounts arising from any increases in Operating Costs, Electricity Costs and Real Estate Taxes, as set forth in Article 3 below, and that, in the event of sale of the Building, Lessor shall have the right to transfer any and all amounts being held by it as Reserve Deposits to the new owner of the Building following any such sale, and, in the case of any such transfer, Lessor shall be relieved of any obligations to Lessee or otherwise with respect to said amounts, in accordance with Article 32, below.