Common use of Notification of Account Debtors Clause in Contracts

Notification of Account Debtors. CNB will have the right to notify any Account Debtor to make payments directly to CNB, take control of the cash and noncash proceeds of any Account, and settle any Account, which right CNB may exercise at any time upon the occurrence and during the continuance of a Potential Event of Default or an Event of Default, whether Borrower was theretofore making collections thereon. Until CNB elects to exercise such right, Borrower is authorized on behalf of CNB to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential Event of Default or an Event of Default, immediately upon CNB’s request, Borrower will deliver to CNB for application in accord with this Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNB. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB may reasonably specify.

Notification of Account Debtors. CNB will have the right to notify any Account Debtor to make payments directly to CNB, take control of the cash and noncash proceeds of any Account, and settle any Account, which right CNB may exercise at any time upon the occurrence and during the continuance of a Potential whether or not an Event of Default has occurred or an Event of Default, whether Borrower was theretofore making collections thereon. Until CNB elects to exercise such right, Borrower is authorized on behalf of CNB to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential Event of Default or an Event of Default, immediately Immediately upon CNB’s 's request, Borrower will deliver to CNB for application in accord with this Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNB. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB may reasonably specify.

Notification of Account Debtors. CNB will have the right to notify any Account Debtor to make payments directly to CNB, take control of the cash and noncash proceeds of any Account, and settle any Account, which right rights CNB may exercise at any time upon the occurrence and during the continuance of a Potential Event of Default or an Event of Default, Default and regardless of whether Borrower was theretofore making collections thereon. Until CNB elects to exercise such right, Borrower is authorized on behalf of CNB to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential Event of Default or an Event of Default, immediately Immediately upon CNB’s request, Borrower will deliver to CNB for application in accord with this Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNB. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB may reasonably specify.

Notification of Account Debtors. CNB For so long as an Event of Default has occurred and is continuing, Lender will have the right to notify any Account Debtor to make payments directly to CNBLender, take control of the cash and noncash proceeds of any Account, and settle any Account, which right CNB Lender may exercise at any time upon the occurrence and during the continuance of a Potential Event of Default or an Event of Default, whether Borrower was theretofore making collections thereon. Until CNB Lender elects to exercise such right, Borrower is authorized on behalf of CNB Lender to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential For so long as an Event of Default or an Event of Defaulthas occurred and is continuing, immediately upon CNB’s Lender's request, Borrower will deliver to CNB Lender for application in accord accordance with this Agreement and the Subordination Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNBLender. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB Lender may reasonably specify.

Notification of Account Debtors. CNB will have the right to notify any Account Debtor to make payments directly to CNB, take control of the cash and noncash proceeds of any Account, and settle any Account, which right CNB may exercise at any time upon the occurrence and during the continuance of a Potential Event of Default or an Event of Default, Default has occurred or whether Borrower was theretofore making collections thereon. Until CNB elects to exercise such right, Borrower is authorized on behalf of CNB to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential Event of Default or an Event of Default, immediately Immediately upon CNB’s 's request, Borrower will deliver to CNB for application in accord with this Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNB. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB may reasonably specify.

Notification of Account Debtors. CNB will have the right fight to notify any Account Debtor to make payments directly to CNB, take control of the cash and noncash proceeds of any Account, and settle any Account, which right fight CNB may exercise at any time upon the occurrence and during the continuance of a Potential whether or not an Event of Default has occurred or an Event of Default, whether Borrower was theretofore making collections thereon. Until CNB elects to exercise such right, Borrower is authorized on behalf of CNB to collect and enforce the Accounts. Upon the occurrence and during the continuation of a Potential Event of Default or an Event of Default, immediately Immediately upon CNB’s 's request, Borrower will deliver to CNB for application in accord with this Agreement, all checks, drafts, cash and other remittances in payment or on account of payment of its Accounts on the banking day following the receipt thereof, and in precisely the form received, except for the endorsement of Borrower where necessary to permit collection of the items, which endorsement Borrower hereby agrees to make. Pending such delivery, Borrower will not commingle any such checks, cash, drafts and other remittances with any of its other funds or property, but will hold them separate and apart therefrom expressly in trust for CNB. All such remittances will be accompanied by such statements and reports of collections and adjustments as CNB may reasonably specify.