PROJC01736 (3) - Laserfiche WebLink

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ASSIGNMENT OF DEPOSIT ACCOUNT AS SECURITY In cansideratian af and as security far a laan fram the Calarada Water Canservatian Baard ("Secured Party") to. the Arkansas Graundwater Users Assaciatian ("Debtar") in the amaunt af $25,000.00 ("Laan") pursuant to. Cantract Encumbrance Number C153800 ("Laan Cantract"), Debtar hereby assigns, transfers and grants to. Secured Party a security interest in the funds cantained in Depasit Account No.. 05- 975384 - 1 0 (the "Account") at the Calarada East Bank and Trust, La Junta, Calarada ("Bank"), hereinafter referred to. as the Callateral. Debtar warrants that the Account has been established as a special depasit with the funds . depasited therein to. be used solely far repayment af the Laan to. Secured Party. The Callateral secures the payment and perfarmance af all af Debtar's present and future, direct ar indirect, absalute and cantingent, express and implied, indebtedness, liabilities, abligatians and cavenants (cumulatively "Obligatians") under the Laan Cantract described abave and any amendments thereto.. This ASSi~~. ent is made salely to. secure perfarmance af the Obligatians and is made subject to. the falla~~, cavenants and conditians: 1. This Assignment is effective upan ing a . fj in in full farce and effect until Secured Party specifically terminates~h~ri~ter e Collateral in writing. Secured Party is nat required to. release this AS~%~.f'jt~;.. Laan is paid in full. 2. Neither the Debtar nar anyane else (exce~t seru,{J'p~) has any right to. withdraw any funds fram the accaunt listed abave until the SecuL. rty releases this Assignment in writing, except that, at Debtar's request, the Bank shall alia the transfer af the annual Laan payment in the am aunt af $3,082.27 to. Secured Party. 3. Debtar shall be in default under the Laan Cantract far purpases af this Assignment upan the occurrence of any af the fallawing events ar conditians: (a) failure ar amissian to. make any payment under the Laan Cantract when due; (b) default in the payment ar perfarmance af any abligatian, covenant, agreement ar liability contained ar referred to. in the Laan Cantract; (c) the making af any levy, seizure, ar attachment an the Callateral; (d) the Debtar becoming insalvent ar unable to. pay debts as they mature. Secured Party shall give the Debtor written natice af any alleged default and an appartunity to. cure within thirty (30) days af receipt af such natice befare Debtar shall be considered in default far purpases af this Assignment. 4. Upan ar at any time after a default under the Laan Cantract as described in Paragraph 3 abave, Secured Party shall be entitled to. notify the Bank to. pay Secured Party the funds contained in the Accaunt. Secured Party shall apply such maneys first to. casts assaciated with callectian, including, but not limited to., reasanable attarney's fees, next to. autstanding interest, and then to. the principal sum af the Laan. 5. Debtar shall nat sell, transfer, assign, give, ar atherwise dispase af any af the Callateral ar any interest therein as lang as this Assignment is in effect. 6. The madificatian ar waiver af any af Debtar's abligatians ar Secured Party's rights under this Assignment must be cantained in a writing signed by Secured Party. A waiver an ane accasian shall nat canstitute a waiver an any ather accasian. 7. The rights and remedies af the Secured Party stated in this Assignment are in additian to. any other rights the Secured Party may have under the Laan Cantract ar any law. 8. This Assignment shall be binding upan Debtar and its successars, assigns, trustees, and APPENDIX G TO LOAN CONTRACT C153800