Security or collateral Sample Clauses
The 'Security or collateral' clause establishes the requirement for one party to provide assets or guarantees to secure the performance of their obligations under an agreement. In practice, this may involve pledging property, cash, or other valuable items that the other party can claim if the obligations are not met. This clause serves to reduce the risk of non-performance by ensuring there is a tangible recourse available, thereby protecting the interests of the party receiving the security.
Security or collateral. It may be necessary to obtain security or collateral in the form of a mortgage . This possibility should be discussed with the dealer. If security is needed, the dealer needs to be advised that the average cost of document preparation may exceed [*]. These costs include: • a property appraisal • a title search • the cost for having a Deed of Trust or a Mortgage prepared. If the property being used as collateral is a commercial property, please be aware that these costs could be considerably higher due to [*]. [*] If the increase is subject to security or collateral, the Credit Department will put the branch in touch with in-house counsel. When contacted, counsel will know what is required and in most cases can handle internally. Security or collateral could also be in the form of a certificate of deposit or cash. Any other type of security or collateral should be discussed with a Regional Manager.