Common use of Security and Set Off Clause in Contracts

Security and Set Off. 13.1 Application of moneys All moneys received by the Bank under or pursuant to any of the Security Documents and expressed to be applicable in accordance with the provisions of this clause 13.1 shall be applied by the Bank in the following manner: 13.1.1 first, in or towards payment of all unpaid costs, expenses, fees and commitment commission which may be owing to the Bank under any of the Security Documents; 13.1.2 secondly, in or towards payment of any arrears of interest owing in respect of the Loan or any part thereof; 13.1.3 thirdly, in or towards repayment of the Loan (whether the same is due and payable or not); 13.1.4 fourthly, in or towards payment to the Bank for any loss suffered by reason of any such payment in respect of principal not being effected on an Interest Payment Date relating to the part of the Loan repaid; 13.1.5 fifthly, in or towards payment to the Bank of any sum owing under the Master Swap Agreement; 13.1.6 sixthly, in or towards payment to the Bank of any other sums owing to it under any of the Security Documents; and 13.1.7 seventhly, the surplus (if any) shall be paid to the Borrowers or to whomsoever else may be entitled to receive such surplus.