Common use of Grant of Security Interest/Remedies Clause in Contracts

Grant of Security Interest/Remedies. In order to secure its present and future obligations under the Agreement to PG&E, Party B hereby grants to PG&E a security interest in, lien on, and right of setoff against, all present and future Performance Assurance and any and all proceeds and products thereof. Party B shall take such further action as PG&E may reasonably require in order for PG&E to perfect, maintain, and protect PG&E’s security interest in Performance Assurance. Upon the occurrence and continuance of an Event of Default with respect to Party B, PG&E may (a) exercise any of the rights and remedies of a secured party under Law with respect to all Performance Assurance; (b) exercise its right of setoff against any and all Performance Assurance; (c) draw on any Letter of Credit issued for its benefit, and (d) liquidate all Performance Assurance then held by PG&E free from any claim or right of any nature whatsoever of Party B. PG&E may (i) apply Performance Assurance and proceeds realized upon exercise of such rights or remedies to reduce Party B’s obligations under the Agreement, in such order as PG&E elects, and Party B shall remain liable for any amounts owing to PG&E after such application (subject to PG&E’s obligation to return any surplus proceeds remaining after such obligations are satisfied in full) and (ii) hold Performance Assurance and proceeds for Party B’s obligations under the Agreement.

Grant of Security Interest/Remedies. In order to secure its present and future obligations under the Agreement to PG&ESDG&E, Party B hereby grants to PG&E SDG&E a security interest in, lien on, and right of setoff against, all present and future Performance Assurance and any and all proceeds and products thereof. Party B shall take such further action as PG&E SDG&E may reasonably require in order for PG&E SDG&E to perfect, maintain, and protect PG&ESDG&E’s security interest in Performance Assurance. Upon the occurrence and continuance of an Event of Default with respect to Party B, PG&E SDG&E may (a) exercise any of the rights and remedies of a secured party under Law with respect to all Performance Assurance; (b) exercise its right of setoff against any and all Performance Assurance; (c) draw on any Letter of Credit issued for its benefit, and (d) liquidate all Performance Assurance then held by PG&E SDG&E free from any claim or right of any nature whatsoever of Party B. PG&E SDG&E may (i) apply Performance Assurance and proceeds realized upon exercise of such rights or remedies to reduce Party B’s obligations under the Agreement, in such order as PG&E SDG&E elects, and Party B shall remain liable for any amounts owing to PG&E SDG&E after such application (subject to PG&ESDG&E’s obligation to return any surplus proceeds remaining after such obligations are satisfied in full) and (ii) hold Performance Assurance and proceeds for Party B’s obligations under the Agreement.

Grant of Security Interest/Remedies. In order to secure its present and future obligations under the Agreement to PG&E, Party B hereby grants to PG&E a security interest in, lien on, and right of setoff against, all present and future Performance Assurance and any and all proceeds and products thereof. Party B shall take such further action as PG&E may reasonably require in order for PG&E to perfect, maintain, and protect PG&E’s security interest in Performance Assurance. Upon the occurrence and continuance of an Event of Default with respect to Party B, PG&E may (a) exercise any of the rights and remedies of a secured party under Law with respect to all Performance Assurance; (b) exercise its right of setoff against any and all Performance Assurance; (c) draw on any Letter of Credit issued for its benefit, and (d) liquidate all Performance Assurance then held by PG&E free from any claim or right of any nature whatsoever of Party B. PG&E may (iA) apply Performance Assurance and proceeds realized upon exercise of such rights or remedies to reduce Party B’s obligations under the Agreement, in such order as PG&E elects, and Party B shall remain liable for any amounts owing to PG&E after such application (subject to PG&E’s obligation to return any surplus proceeds remaining after such obligations are satisfied in full) and (iiB) hold Performance Assurance and proceeds for Party B’s obligations under the Agreement.