Examples of Cash Proceeds in a sentence
Under the Credit Agreement, Net Cash Proceeds includes “Extraordinary Receipts,” itself a defined term that expressly includes “tax refunds” received by the Debtors.
As the McFadden Declaration demonstrates, any of the Cash Proceeds that were not reinvested in the Debtors’ operations within a year after receipt would have to be offered to the First Lien Lenders under the Credit Agreement.
Even the New Jersey cases that Levine Staller invokes do not support its insistence that it need not trace the Cash Proceeds.
In fact, the Debtors kept track of the use of the Cash Proceeds in the Debtors’ businesses as required under TER’s Amended and Restated Credit Agreement with the First Lien Lenders, dated as of July 16, 2010, (the “ Credit Agreement”).
Nothing prohibited the Debtors from using the Cash Proceeds in the manner that they did.