Common use of SUBORDINATION OF DEBT SECURITIES Clause in Contracts

SUBORDINATION OF DEBT SECURITIES. Section 14.01. Agreement To Subordinate 77 Section 14.02. Liquidation, Dissolution, Bankruptcy 77 Section 14.03. Default on Senior Indebtedness 78 Section 14.04. Acceleration of Payment of Debt Securities 79 Section 14.05. When Distribution Must Be Paid Over 79 Section 14.06. Subrogation 79 Section 14.07. Relative Rights 79 Section 14.08. Subordination May Not Be Impaired by Company 79 Section 14.09. Rights of Trustee and Paying Agent 79 Section 14.10. Distribution or Notice to Representative 80 Section 14.11. Article XIV Not to Prevent Defaults or Limit Right to Accelerate 80 Section 14.12. Trust Monies Not Subordinated 80 Section 14.13. Trustee Entitled to Rely 80 Section 14.14. Trustee to Effectuate Subordination 80 Section 14.15. Trustee Not Fiduciary for Holders of Senior Indebtedness 80 Section 14.16. Reliance by Holders of Senior Indebtedness on Subordination Provisions 81

SUBORDINATION OF DEBT SECURITIES. Section 14.0112.01. Applicability of Article; Agreement To to Subordinate 77 52 Section 14.0212.02. Liquidation, Dissolution, Bankruptcy 77 52 Section 14.0312.03. Default on Senior Indebtedness 78 52 Section 14.0412.04. Acceleration of Payment of Debt Securities 79 53 Section 14.0512.05. When Distribution Must Be Paid Over 79 53 Section 14.0612.06. Subrogation 79 53 Section 14.0712.07. Relative Rights 79 54 Section 14.0812.08. Subordination May Not Be Impaired by Company 79 Partnership 54 Section 14.0912.09. Rights of Trustee and Paying Agent 79 54 Section 14.1012.10. Distribution or Notice to Representative 80 54 Section 14.1112.11. Article XIV XII Not to Prevent Defaults or Limit Right to Accelerate 80 54 Section 14.1212.12. Trust Monies Moneys Not Subordinated 80 55 Section 14.1312.13. Trustee Entitled to Rely 80 55 Section 14.1412.14. Trustee to Effectuate Subordination 80 55 Section 14.1512.15. Trustee Not Fiduciary for Holders of Senior Indebtedness 80 55 Section 14.1612.16. Reliance by Holders of Senior Indebtedness on Subordination Provisions 8156 ARTICLE XIII MISCELLANEOUS PROVISIONS Section 13.01. Successors and Assigns of Partnership Bound by Indenture 56 Section 13.02. Acts of Board, Committee or Officer of Successor Person Valid 56 Section 13.03. Required Notices or Demands 56 Section 13.04. Indenture and Debt Securities to Be Construed in Accordance with the Laws of the State of New York 57

SUBORDINATION OF DEBT SECURITIES. Section 14.01. 12.01 Applicability of Article; Agreement To Subordinate 77 53 Section 14.02. 12.02 Liquidation, Dissolution, Bankruptcy 77 53 Section 14.03. 12.03 Default on Senior Indebtedness 78 54 Section 14.04. 12.04 Acceleration of Payment of Debt Securities 79 54 Section 14.05. 12.05 When Distribution Must Be Paid Over 79 54 Section 14.06. 12.06 Subrogation 79 55 Section 14.07. 12.07 Relative Rights 79 55 Section 14.08. 12.08 Subordination May Not Be Impaired by Company 79 55 Section 14.09. 12.09 Rights of Trustee and Paying Agent 79 55 Section 14.10. 12.10 Distribution or Notice to Representative 80 55 Section 14.11. 12.11 Article XIV XII Not to Prevent Defaults or Limit Right to Accelerate 80 55 Section 14.12. 12.12 Trust Monies Money Not Subordinated 80 55 Section 14.13. 12.13 Trustee Entitled to Rely 80 56 Section 14.14. 12.14 Trustee to Effectuate Subordination 80 56 Section 14.15. 12.15 Trustee Not Fiduciary for Holders of Senior Indebtedness 80 56 Section 14.16. 12.16 Reliance by Holders of Senior Indebtedness on Subordination Provisions 8156 ARTICLE XIII MISCELLANEOUS PROVISIONS Section 13.01 Successors and Assigns of Company Bound by Indenture 56 Section 13.02 Acts of Board, Committee or Officer of Successor Company Valid 56 Section 13.03 Notices, Demands, Etc. to the Trustee or the Company 57 Section 13.04 Notices to Holders; Waiver 57

SUBORDINATION OF DEBT SECURITIES. Section 14.01. 12.01 Applicability of Article; Agreement To to Subordinate 77 53 Section 14.02. 12.02 Liquidation, Dissolution, Bankruptcy 77 54 Section 14.03. 12.03 Default on Senior Indebtedness 78 54 Section 14.04. 12.04 Acceleration of Payment of Debt Securities 79 55 Section 14.05. 12.05 When Distribution Must Be Paid Over 79 55 Section 14.06. 12.06 Subrogation 79 55 Section 14.07. 12.07 Relative Rights 79 55 Section 14.08. 12.08 Subordination May Not Be Impaired by Company 79 Partnership 56 Section 14.09. 12.09 Rights of Trustee and Paying Agent 79 56 Section 14.10. 12.10 Distribution or Notice to Representative 80 56 Section 14.11. 12.11 Article XIV XII Not to Prevent Defaults or Limit Right to Accelerate 80 56 Section 14.12. 12.12 Trust Monies Moneys Not Subordinated 80 57 Section 14.13. 12.13 Trustee Entitled to Rely 80 57 TABLE OF CONTENTS (continued) Page Section 14.14. 12.14 Trustee to Effectuate Subordination 80 57 Section 14.15. 12.15 Trustee Not Fiduciary for Holders of Senior Indebtedness 80 57 Section 14.16. 12.16 Reliance by Holders of Senior Indebtedness on Subordination Provisions 8158 ARTICLE XIII

SUBORDINATION OF DEBT SECURITIES. Section 14.01. Agreement To to Subordinate 77 70 Page Section 14.02. Liquidation, Dissolution, Bankruptcy 77 70 Section 14.03. Default on Senior Indebtedness 78 71 Section 14.04. Acceleration of Payment of Debt Securities 79 71 Section 14.05. When Distribution Must Be Paid Over 79 72 Section 14.06. Subrogation 79 72 Section 14.07. Relative Rights 79 72 Section 14.08. Subordination May Not Be Impaired by Company 79 72 Section 14.09. Rights of Trustee and Paying Agent 79 72 Section 14.10. Distribution or Notice to Representative 80 72 Section 14.11. Article XIV Not to Prevent Defaults or Limit Right to Accelerate 80 72 Section 14.12. Trust Monies Not Subordinated 80 73 Section 14.13. Trustee Entitled to Rely 80 73 Section 14.14. Trustee to Effectuate Subordination 80 73 Section 14.15. Trustee Not Fiduciary for Holders of Senior Indebtedness 80 73 Section 14.16. Reliance by Holders of Senior Indebtedness on Subordination Provisions 8173

SUBORDINATION OF DEBT SECURITIES. Section 14.01. 12.01 Applicability of Article; Agreement To to Subordinate 77 53 Section 14.02. 12.02 Liquidation, Dissolution, Bankruptcy 77 54 Section 14.03. 12.03 Default on Senior Indebtedness 78 54 Section 14.04. 12.04 Acceleration of Payment of Debt Securities 79 55 Section 14.05. 12.05 When Distribution Must Be Paid Over 79 55 Section 14.06. 12.06 Subrogation 79 55 Section 14.07. 12.07 Relative Rights 79 55 Section 14.08. 12.08 Subordination May Not Be Impaired by Company 79 Partnership 56 Section 14.09. 12.09 Rights of Trustee and Paying Agent 79 56 Section 14.10. 12.10 Distribution or Notice to Representative 80 56 Section 14.11. 12.11 Article XIV XII Not to Prevent Defaults or Limit Right to Accelerate 80 56 Section 14.12. 12.12 Trust Monies Moneys Not Subordinated 80 57 Section 14.13. 12.13 Trustee Entitled to Rely 80 57 TABLE OF CONTENTS (continued) Page Section 14.14. 12.14 Trustee to Effectuate Subordination 80 57 Section 14.15. 12.15 Trustee Not Fiduciary for Holders of Senior Indebtedness 80 57 Section 14.16. 12.16 Reliance by Holders of Senior Indebtedness on Subordination Provisions 8158

SUBORDINATION OF DEBT SECURITIES. Section 14.01. 12.01 Applicability of Article; Agreement To Subordinate 77 70 Section 14.02. 12.02 Liquidation, Dissolution, Bankruptcy 77 70 Section 14.03. 12.03 Default on Senior Indebtedness 78 71 Section 14.04. 12.04 Acceleration of Payment of Debt Securities 79 72 Section 14.05. 12.05 When Distribution Must Be Paid Over 79 72 Section 14.06. 12.06 Subrogation 79 72 Section 14.07. 12.07 Relative Rights 79 72 Section 14.08. 12.08 Subordination May Not Be Impaired by Company 79 72 Section 14.09. 12.09 Rights of Trustee and Paying Agent 79 72 Section 14.10. 12.10 Distribution or Notice to Representative 80 73 Section 14.11. 12.11 Article XIV XII Not to Prevent Defaults or Limit Right to Accelerate 80 73 Section 14.12. 12.12 Trust Monies Moneys Not Subordinated 80 73 Section 14.13. 12.13 Trustee Entitled to Rely 80 73 Section 14.14. 12.14 Trustee to Effectuate Subordination 80 74 Section 14.15. 12.15 Trustee Not Fiduciary for Holders of Senior Indebtedness 80 74 Section 14.16. 12.16 Reliance by Holders of Senior Indebtedness on Subordination Provisions 8174 ARTICLE XIII MISCELLANEOUS PROVISIONS Section 13.01 Successors and Assigns of Company Bound by Indenture 74

SUBORDINATION OF DEBT SECURITIES. Section 14.0113.01. Applicability of Article; Agreement To Subordinate 77 56 Section 14.0213.02. Liquidation, Dissolution, Bankruptcy 77 56 Section 14.0313.03. Default on Senior Indebtedness 78 56 Section 14.0413.04. Acceleration of Payment of Debt Securities 79 57 Section 14.0513.05. When Distribution Must Be Paid Over 79 57 Section 14.0613.06. Subrogation 79 57 Section 14.0713.07. Relative Rights 79 57 Section 14.0813.08. Subordination May Not Be Impaired by Company 79 Partnership 58 Section 14.0913.09. Rights of Trustee and Paying Agent 79 58 Section 14.1013.10. Distribution or Notice to Representative 80 58 Section 14.1113.11. Article XIV XIII Not to Prevent Defaults or Limit Right to Accelerate 80 58 Section 14.1213.12. Trust Monies Moneys Not Subordinated 80 58 Section 14.1313.13. Trustee Entitled to Rely 80 58 Section 14.1413.14. Trustee to Effectuate Subordination 80 59 Section 14.1513.15. Trustee Not Fiduciary for Holders of Senior Indebtedness 80 59 Section 14.1613.16. Reliance by Holders of Senior Indebtedness on Subordination Provisions 8159 ARTICLE XIV

SUBORDINATION OF DEBT SECURITIES. Section 14.01. 17.01 Applicability of Article; Agreement To Subordinate 77 53 Section 14.02. 17.02 Liquidation, Dissolution, Bankruptcy 77 54 Section 14.03. 17.03 Default on Senior Indebtedness 78 54 Section 14.04. 17.04 Acceleration of Payment of Debt Securities 79 55 Section 14.05. 17.05 When Distribution Must Be Paid Over 79 55 Section 14.06. 17.06 Subrogation 79 55 Section 14.07. 17.07 Relative Rights 79 55 Section 14.08. 17.08 Subordination May Not Be Impaired by Company 79 Corporation 56 Section 14.09. 17.09 Rights of Trustee and Paying Agent 79 56 Section 14.10. 17.10 Distribution or Notice to Representative 80 56 Section 14.11. 17.11 Article XIV Seventeen Not to Prevent Defaults or Limit Right to Accelerate 80 56 Section 14.12. Trust Monies Not Subordinated 80 Section 14.13. 17.12 Trustee Entitled to Rely 80 57 Section 14.14. 17.13 Trustee to Effectuate Subordination 80 57 Section 14.15. 17.14 Trustee Not Fiduciary for Holders of Senior Indebtedness 80 57 Section 14.16. 17.15 Reliance by Holders of Senior Indebtedness on Subordination Provisions 8157 ARTICLE 18

SUBORDINATION OF DEBT SECURITIES. Section 14.0113.01. Agreement To Subordinate 77 71 Section 14.0213.02. Liquidation, Dissolution, Bankruptcy 77 71 Section 14.0313.03. Default on Senior Indebtedness 78 71 Section 14.0413.04. Acceleration of Payment of Debt Securities 79 72 Section 14.0513.05. When Distribution Must Be Paid Over 79 72 Section 14.0613.06. Subrogation 79 72 Section 14.0713.07. Relative Rights 79 72 Section 14.0813.08. Subordination May Not Be Impaired by Company 79 73 Section 14.0913.09. Rights of Trustee and Paying Agent 79 73 Section 14.1013.10. Distribution or Notice to Representative 80 73 Section 14.1113.11. Article XIV XIII Not to Prevent Defaults or Limit Right to Accelerate 80 73 Section 14.1213.12. Trust Monies Not Subordinated 80 73 Section 14.1313.13. Trustee Entitled to Rely 80 73 Section 14.1413.14. Trustee to Effectuate Subordination 80 74 Section 14.1513.15. Trustee Not Fiduciary for Holders of Senior Indebtedness 80 74 Section 14.1613.16. Reliance by Holders of Senior Indebtedness on Subordination Provisions 8174 INDENTURE dated as of ______, between American Oil & Gas Inc., a Nevada corporation (the “Company”) and [______], a [______] banking corporation, as trustee (the “Trustee”).