1.
|
Defined Terms. Capitalized terms used but not defined herein shall have the meanings given to such terms in the Margin Loan Agreement. Unless otherwise defined herein or in the Margin Loan Agreement, terms used herein that are defined in the UCC (as defined below) shall have the meanings assigned to them in the UCC (and if such term is defined in more than one Article of UCC, the definition of such term contained in Article 8 or Article 9 of the UCC shall govern. No reference to “proceeds” in this Security Agreement authorizes any sale, |
(i) |
to any Person who acquires them in a broadly distributed public offering of the Pledged Shares that is registered under the Securities Act (including the underwriter of such offering, which may be an Applicable Lender or an Affiliate of such Applicable Lender); |
(ii) |
effected on any securities exchange so long as an Applicable Lender (or any Affiliate of such Applicable Lender) did not solicit or arrange for the solicitation of orders to buy such Pledged Shares in anticipation of or in connection with such sale; |
(iii)
|
made in compliance with the manner-of-sale requirements set forth in Rule 144(g) of the Securities Act; |
(iv)
|
to a Person that an Applicable Lender believes in good faith is not, and after giving effect to such sale, transfer or other disposition, will not be, an Affiliate (as such term is used under the Securities Act) of the Issuer of such Shares; |
(v)
|
to a Person that is an Affiliate (as such term is used under the Securities Act) of the Issuer prior to such sale, transfer or other disposition so long as the number of Pledged Shares, or Shares that are collateral or other security for any other transaction to which an Applicable Lender or any Affiliate thereof is party, sold, transferred or otherwise disposed of to such Person (in any manner at any time, in one transaction or a series of transactions) does not in the aggregate exceed 5% of the outstanding Shares; or |
(vi)
|
to a Person that is an Affiliate (as such term is used under the Securities Act) of the Issuer prior to such sale, transfer or other disposition so long as the number of Pledged Shares, or Shares that are collateral or other security for any other transaction to which an Applicable Lender or any Affiliate thereof is party, sold, transferred or otherwise disposed of to such Person (in any manner at any time, in one transaction or a series of transactions) does not in the aggregate exceed 5% of the outstanding Shares; or |
2.
|
Security Interest. For good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, each Pledgor hereby pledges, collaterally assigns and grants to each Applicable Lender, as collateral agent for the benefit of itself, its Agented Lenders and the Agents, to secure the payment and performance in full of all the Secured Obligations when due to each Applicable Lender, its Agented Lenders and with respect to each Applicable Lender’s Ratable Share of the Obligations owed to the Agents under the Loan Documents, the Agents, a continuing First Priority security interest in and lien on, and a right of set-off against, all of each such Pledgor’s right, title and interest in, to and under the Collateral, including any |
3.
|
Secured Obligations. All Obligations owed to the Administrative Agent, the Calculation Agent, the Custodian, each Applicable Lender, its Agented Lenders and such Applicable Lender’s Ratable Share of the Obligations owed to the Agents under the Loan Documents (collectively, the “Secured Obligations”) are secured by this Security Agreement. |
4.
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The Pledgors’ Representations and Warranties. Each Pledgor hereby represents and warrants to the Agents and the Applicable Lenders, as of the date hereof, as of any subsequent date on which Collateral is deposited into or credited to the Collateral Account or delivered to each Applicable Lender or Custodian and as of the date any Loan is made, that: |
(a)
|
Such Pledgor is the direct, sole beneficial owner and sole holder of record of the Collateral (or in the case of financial
assets from time to time credited to the Collateral Accounts, the beneficial owner thereof) free and clear of (i) Transfer Restrictions (other than, in the case of the Pledged Shares only, the Issuer Restrictions or Transfer Restrictions
arising as a result of applicable Law), (ii) any Liens other than Permitted Share Liens and (iii) any claims by any Affiliated Persons of such Pledgor. Such Pledgor further represents and warrants that all Pledged Shares have been duly
authorized and validly issued and are fully paid and non-assessable.
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(b)
|
Such Pledgor has full power and authority to grant to each Applicable Lender the security interest in such Collateral granted pursuant hereto.
The security interest in the Collateral granted to each Applicable Lender (for the benefit of itself, the Agents and the Agented Lenders) pursuant to this Security Agreement is a valid and binding First Priority security interest in the
Collateral.
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(c)
|
By virtue of the execution and delivery by such Pledgor of this Security Agreement, (i) with respect to each Applicable Lender’s Collateral
Account, all financial assets from time to time credited thereto and all security entitlements in respect thereof, when the applicable Collateral Account Control Agreement or Control Agreement Joinder, as applicable, is executed and delivered
by such Pledgor, such Applicable Lender, the Agents and the Custodian with respect to such Collateral Account, the security interest in such Collateral Account, (x) all financial assets credited thereto and all security entitlements in
respect thereof created hereunder in favor of such Applicable Lender will constitute a valid and perfected, First Priority security interest as, security for the payment and performance of the Secured Obligations of such Applicable Lender,
which such security interest will not be subject to any Liens other than Permitted Share Liens, and such Applicable Lender will have Control (as defined in Section 8-106, 9-104 and 9-106 of the UCC) thereof and (y) no action based on an
adverse claim to such security entitlements or any such financial assets, whether framed in conversion, replevin, constructive trust, equitable lien or other theory, may be asserted against any such Applicable Lender, (ii) the delivery to and
control by any Applicable Lender of the Collateral that constitutes certificated securities under Article 8 of the UCC, the security
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(d)
|
(i) None of the Collateral has been issued or transferred in violation of any Transfer Restrictions, including, without
limitation, after giving effect to the Issuer Agreement, any shareholders’ agreement, investor rights agreement or any voting or other contractual restriction, including any lock-up agreement, that contain any Transfer Restrictions applicable
to the Collateral, or the securities registration, securities disclosure or similar laws of any jurisdiction to which such issuance or transfer may be subject, (ii) there are no existing options, warrants, calls or commitments of any
character whatsoever pertaining to the Collateral, (iii) no consent, approval, authorization, or other action by, and no giving of notice, filing with, any governmental authority or any other Person is required for the pledge by such Pledgor
of the Collateral pursuant to this Security Agreement or the execution, delivery and performance of this Security Agreement by such Pledgor and (iv) no consent, approval, authorization, or other action by, and no giving of notice, filing
with, any governmental authority or any other Person is required for the exercise by each Applicable Lender of the voting or other rights provided for in this Security Agreement or for the remedies in respect of the Collateral pursuant to
this Security Agreement, except as may be required in connection with such disposition by laws affecting the offering and sale of securities generally.
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(e)
|
No financing statement or security agreement describing all or any portion of the Collateral which has not lapsed or been terminated naming
such Pledgor as debtor has been filed or is of record in any jurisdiction except for (x) financing statements filed in connection with the Existing Margin Loan Agreement which have been assigned as a matter of record to each Applicable Lender
as secured party and (y) financing statements or security agreements naming each Applicable Lender as secured party.
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(f)
|
(i) Each of the Loans made by the Lenders under the Margin Loan Agreement and the pledge of the Pledged Shares (or security entitlements in
respect thereof) by such Pledgor hereunder are not a device to secure the sale thereof, (ii) such Pledgor has no expectation or intention that an Event of Default will occur under the Margin Loan Agreement, (iii) such Pledgor intends and
expects to repay in full the Secured Obligations in a manner that will not result in a sale by any Applicable Lender of such Pledged Shares and (iv) the pledge of such Pledged Shares hereunder constitutes a
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(g)
|
Solely with respect to each of The Chirag Patel Revocable Trust and The Priti Patel Revocable Trust, each such Pledgor is a revocable trust
organized solely under the laws of New Jersey. Solely with respect to each of Chirag Patel and Priti Patel, each such Pledgor is an individual holding United States citizenship. The name of each such Pledgor that is indicated on the signature
page hereof is the name of each such Pledgor that is stated to be its name on its public organic record. The mailing address of each such Pledgor is set forth in Section 10.02 of the Margin Loan Agreement.
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(h)
|
Schedule 1 is true, correct and complete in all material respects.
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5.
|
Pledgor’ Covenants. Each Pledgor covenants and agrees that during the term of this Security
Agreement:
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(a)
|
Such Pledgor shall defend the Collateral against all claims and demands of all persons at any time, including any
Affiliated Person of such Pledgor, claiming any interest therein adverse to each Applicable Lender. Such Pledgor shall not, at any time,
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(b)
|
Such Pledgor shall indemnify each Applicable Lender, its Agented Lenders, Agents and their Affiliates for reasonable costs
and expenses incurred in connection with this Security Agreement and the enforcement hereof as provided in Section 10.04 of the Margin Loan Agreement. Whether the Collateral is or is not in the Applicable Lender’s possession, and without any
obligation to do so and without waiving such Pledgor’s default for failure to make any such payment, each Applicable Agent at its option may, following notice to such Pledgor, and without prejudice to any of its rights and remedies, pay any
such costs and expenses and discharge encumbrances on the Collateral, and any payments of such costs and expenses and any payments to discharge such encumbrances shall be a part of the Secured Obligations and bear interest at the default rate
set forth in the Margin Loan Agreement. Such Pledgor agrees to reimburse such Applicable Lender on demand for any payments of such reasonable costs and expenses and any payments to discharge such encumbrances.
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(c)
|
Such Pledgor shall take such other actions as each Applicable Lender reasonably shall deem necessary or appropriate to
perfect and duly record the Lien created under this Security Agreement in the Collateral, including executing, delivering, filing and/or recording, in such locations and jurisdictions as each Applicable Lender shall specify, any mutually
acceptable financing statement, register of mortgages and charges, notice, instrument, document, agreement or other papers that may be necessary or desirable (in the reasonable judgment of such Applicable Lender) to create, preserve, perfect
or validate the security interest granted pursuant hereto and the priority thereof or to enable such Applicable Lender to exercise and enforce its rights under this Security Agreement with respect to such security interest, including, without
limitation, executing and delivering or causing the execution and delivery of a Collateral Account Control Agreement or a Control Agreement Joinder and the Issuer Agreement or a joinder thereto, as applicable, with respect to the Applicable
Lender and such Applicable Lender’s Collateral Account and the Collateral held therein or credited thereto.
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(d)
|
Such Pledgor shall (i) promptly furnish each Applicable Lender any information with respect to the Collateral reasonably requested by such
Applicable Lender and (ii) allow such Applicable Lender or its representatives to inspect and copy, or furnish such Applicable Lender or its representatives with copies of, all records relating to the Collateral (other than, in each case, any
document, information or other matter (a) in respect of which access or inspection by, or disclosure to, the Administrative Agent or any Applicable Lender (or their respective representatives or contractors) is prohibited by Law or any
binding agreement (to the extent not entered into in contemplation of the request for the disclosure thereof) or (b) is, in connection with a bona fide pending dispute involving such Pledgor, subject to attorney client or similar privilege or
constitutes attorney work product and cannot in the reasonable opinion of counsel be adequately protected through a confidentiality agreement executed by the Administrative Agent and an Applicable Lender. Notwithstanding the foregoing, to the
extent any information requested by an Applicable Lender is not then available, such Pledgor will after such request use their best efforts to obtain or produce such
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(e)
|
Except as permitted under the Loan Documents, prior to the payment in full of the Secured Obligations, such Pledgor shall not close any
Applicable Lender’s Collateral Account or transfer or remove any Collateral held therein or credited thereto without (i) obtaining the prior written consent of such Applicable Lender and (ii) entering into such agreements as such Applicable
Lender may in its sole discretion require to ensure the continued First Priority and perfection of its Lien on the Collateral credited to its Collateral Account.
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(f)
|
Any delivery of Collateral by such Pledgor shall be effected, (A) in the case of Collateral consisting of certificated securities registered
in the name of such Pledgor, by delivery of certificates representing such securities to Custodian or its nominee, accompanied by any required transfer tax stamps, and in suitable form for transfer by delivery or accompanied by duly executed
instruments of transfer or assignment in blank, with signatures appropriately guaranteed (to the extent required), all in form and substance satisfactory to Custodian (or such nominee) and the crediting by Custodian (or such nominee) of such
securities to the Securities Collateral Accounts of each Applicable Lender, (B) in the case of Collateral consisting of uncertificated securities registered in the name of such Pledgor, by transmission by such Pledgor of an instruction to the
issuer of such securities instructing such issuer to register such securities in the name of Custodian or its nominee (as requested by the Applicable Lender at such time), accompanied by any required transfer tax stamps, the issuer’s
compliance with such instructions and the crediting by Custodian of such securities to the Securities Collateral Accounts of each Applicable Lender, (C) in the case of securities in respect of which security entitlements are held by such
Pledgor through a securities intermediary (including the Custodian), by the crediting of such securities, accompanied by any required transfer tax stamps, to the Securities Collateral Accounts of each Applicable Lender, (D) in the case of
Cash, by the wire transfer of such cash in immediately available funds to the Cash Collateral Accounts of each Applicable Lender, in each of the cases above in (A), (B), (C) and (D), in accordance with such Applicable Lender’s Ratable Share
of such Collateral, (E) in the case of Pledged Shares, (x) prior to the Dematerialization Date, such Pledgor shall cause the certificates representing such Pledged Shares to be delivered to the Administrative Agent, accompanied by any
required transfer tax stamps, and in suitable form for transfer by delivery or accompanied by duly executed instruments of transfer or assignment in blank, with signatures appropriately guaranteed (to the extent required), all in form and
substance satisfactory to the Administrative Agent, and (y) on and after the Dematerialization Date, Pledgor shall cause such Pledged Shares to be registered in such Pledgor’s name and held directly on the Issuer’s books and records
maintained by Computershare, its transfer agent, through the Computershare direct registration system (“DRS”), or (F) in any other case, by complying with such delivery instructions as each Applicable Lender shall provide to such
Pledgor in writing. Upon the occurrence of the Dematerialization Date, each Pledgor hereby irrevocably authorizes the Administrative Agent to amend Exhibit A hereto to include references to the relevant DRS account numbers to which
the Pledged Shares are
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(g)
|
Such Pledgor shall cooperate fully with each Applicable Lender with respect to any sale by such Applicable Lender of any of the Pledged
Shares included in such Applicable Lender’s Collateral, including (i) executing and delivering such documents and taking such other actions as such Applicable Lender may request in connection with any Pledged Shares held in book-entry form
held directly on the Issuer’s books and records maintained by Computershare, its transfer agent, through the Computershare DRS, to cause the transfer of such Pledged Shares to a brokerage account designated in writing by such Lender so that
such Pledged Shares are held in “street name” through Cede & Co. and credited as “security entitlements” in such brokerage account and (ii) full and complete compliance with all requirements of Rule 144 and/or Rule 145 under the
Securities Act, if applicable, and will give to each Applicable Lender all information and will do all things necessary, including the execution of all documents, forms, instruments and other items, to comply with Rule 144 and/or Rule 145
under the Securities Act for the complete and unrestricted sale and/or transfer of such Pledged Shares, to the extent available, and will exercise its best efforts to have the Issuer, upon the request of any Applicable Lender, take all such
action as may be required to satisfy the public information requirements of Rule 144(c) under the Securities Act.
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(h)
|
Such Pledgor shall not, except upon thirty (30) days’ prior written notice to each Applicable Lender and Agents and delivery to each
Applicable Lender and Agents of all additional financing statements (executed if necessary for any particular filing jurisdiction) and other instruments and documents reasonably requested by each Applicable Lender to maintain the validity,
perfection and priority of its security interests in the Collateral, change (i) its name as reflected on its public organic record, (ii) solely with respect to each of The Chirag Patel Revocable Trust and the Priti Patel Revocable Trust, its
jurisdiction of organization or cease to be a Registered Organization (as such term is defined in the UCC) or (iii) its mailing address from the address specified on the UCC financing statement set forth on Exhibit A.
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(i)
|
For federal income and other relevant tax purposes, such Pledgor agrees to treat (x) any income arising from the Collateral in the Collateral
Accounts as income of such Pledgor and (y) any sale of Collateral pursuant to Section 10 as a sale of such Collateral by such Pledgor, the proceeds of which will be applied as provided herein and in Article VIII of the Margin Loan
Agreement. Neither such Pledgor, nor the Lenders, nor the Administrative Agent nor the Calculation Agent shall take, or cause any other Person to take, any position inconsistent with the foregoing treatments.
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(j)
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Such Pledgor will use its best reasonable efforts, upon the request of any Applicable Lender, to obtain and publish all information necessary
to satisfy Rule 144 and/or Rule 145 under the Securities Act in the event the Issuer is not current in its filings under the Exchange Act at the time of a foreclosure sale by an Applicable Lender.
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(k)
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Any sums paid upon or in respect of any Pledged Shares upon liquidation or dissolution of Issuer shall be paid over to
the Administrative Agent and applied to the payment in whole or in part of the Secured Obligations and any other distribution representing a return of capital or the proceeds of a capital transaction (but not ordinary course distributions or
profit), including, cash or non-cash proceeds or other property distributed, paid to or received by such Pledgor in respect of the Pledged Shares in connection with any recapitalization, redemption, reorganization or change of control of
Issuer, shall be delivered to the Administrative Agent and applied to the payment in whole or in part of the Secured Obligations in such order as specified in the Margin Loan Agreement. If any sums of money or property paid or distributed in
respect of the Pledged Shares are received by such Pledgor, pending delivery thereof to the Administrative Agent, such Pledgor agrees to hold such money or property in trust for Administrative Agent, segregated from other funds of such
Pledgor, as additional Collateral hereunder.
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(l)
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Such Pledgor shall not consent to any amendment to the Organizational Documents of Issuer that would (i) adversely affect
such Pledgor’s share of distributions with respect to the Collateral or (ii) otherwise adversely affect any Applicable Lender’s rights hereunder.
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(m)
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Such Pledgor shall give prompt notice to Administrative Agent of any judgment or other Lien that might give rise to an attachment, charging
order or other Lien or enforcement action with respect to the Collateral and distributions on the Collateral.
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(n)
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Any and all Collateral (including dividends, interest and other cash distributions) at any time received or held by such Pledgor shall be
so received or held in trust for the benefit of each Applicable Lender in accordance with such Applicable Lender’s Ratable Share of such Collateral, shall be segregated from other property of such Pledgor and shall be forthwith delivered to
all Applicable Lenders in accordance of each Applicable Lender’s Ratable Share of such Collateral in the same form as so received or held, with any necessary indorsements or other instruments of transfer or assignment in blank, in form and
substance reasonably satisfactory to each Applicable Lender; provided that prior to the occurrence or continuance of any Blocking Event, cash dividends and/or distributions may be released from the Collateral Accounts in accordance with
Section 2.12 of the Margin Loan Agreement.
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6.
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Collateral Maintenance and Administration.
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(a)
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On or before the Closing Date, the physical certificates evidencing the Initial Pledged Shares, together with possession and control thereof,
shall have been transferred and delivered to the Administrative Agent on behalf of the Applicable Lenders and such control shall be maintained until the Dematerialization Date. From and after the Dematerialization Date, the Pledged Shares
shall be held as contemplated by clause (E)(y) of Section 5(f) above and subject to the Issuer Agreement and, to the extent applicable, the Margin Loan Agreement. If at any time, any Pledged Shares (including security
entitlements) shall have been credited to the Custodian’s accounts and credited
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(b)
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On or before the Closing Date, the Collateral Account Control Agreements and the Issuer Agreement shall have been executed
and delivered by all parties thereto.
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(c)
|
Any disposition or release of any Collateral shall be effected in accordance with the terms of the Margin Loan Agreement and this Security
Agreement.
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(d)
|
The parties hereto agree that at all times prior to the sale of any Collateral pursuant to an exercise of remedies hereunder, the Pledgors
shall be treated as the owners of the Collateral for U.S. federal and state tax purposes.
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7.
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Voting Rights.
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(a)
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So long as no Event of Default shall have occurred and be continuing, the Pledgors shall be entitled to exercise any and all voting rights
pertaining to the Collateral or any part thereof for any purpose to the extent not prohibited under the Loan Documents.
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(b)
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Upon the occurrence and during the continuance of any Event of Default and after an Applicable Lender has delivered written notice to the
Pledgors of its intention to assume such rights, all rights of the Pledgors to exercise the voting and other consensual rights it would otherwise be entitled to exercise pursuant to Section 7(a) above shall immediately cease, and all
such rights shall thereupon become vested in such Applicable Lender, which shall have the sole right to exercise such voting and other consensual rights over its Collateral.
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(c)
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Each Pledgor hereby grants to each Applicable Lender a proxy to exercise, upon and during the continuance of an Event of Default, upon such
Applicable Lender providing such Pledgor of its intention to exercise such right, all voting rights with respect to all Pledged Shares that such Pledgor now owns or hereafter acquires, regardless of whether the exercise of such voting rights
occurs at a meeting of shareholders, by written consent, or otherwise. This proxy is irrevocable, and will remain in effect until all Secured Obligations (other than inchoate indemnification obligations and expense reimbursement obligations
for which no claim has been made or asserted) have been paid in full in cash and all Commitments have been terminated. This proxy runs with the Pledged Shares and binds all future owners of the Pledged Shares. This proxy also runs with the
Security Interest granted herein, and may be exercised by any assignee of the Security Interest.
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8.
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Ownership and Bust-up.
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(a)
|
Ownership Provision.
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(i)
|
Notwithstanding any other provision of the Loan Documents to the contrary, in no event shall any Lender be entitled to acquire, receive, vote
or exercise any other rights of any other Lender in respect of any Pledged Shares to the extent (but only to the extent) that immediately upon giving effect to such acquisition, receipt or exercise of such rights:
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(A)
|
it would cause such Lender’s Applicable Lender Group or such Agented Lender’s Lender Group to have Beneficial Ownership equal to or greater than 9.0% of the
number of the total outstanding Shares of the Issuer; or
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(B)
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any Applicable Lender Person or, in the case of an Agented Lender, any Lender Person under any federal, state or local laws, rules,
regulations or regulatory orders (in each case, other than pursuant to the Exchange Act) or any provisions of the Organizational Documents of the Issuer or any agreement to which any Pledgor or any Affiliate thereof or the Issuer is a party,
in each case, applicable to ownership of Shares (“Applicable Restrictions”), would own, beneficially own, constructively own, control, hold the power to vote or otherwise meet a relevant
definition of ownership in excess of a number of such Pledged Shares equal to: (i) the number of such Pledged Shares that would give rise to any reporting or registration obligation or other requirement (including obtaining prior approval by
any Person or entity) of such Applicable Lender Person (or, in the case of an Agented Lender, such Lender Person), or would result in an adverse effect on such Applicable Lender Person, under any Applicable Restriction, as determined by such
Applicable Lender in its reasonable discretion, in each case minus
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(ii)
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1% of the number of the total outstanding relevant Pledged Shares (each of paragraphs (A) and (B) above, an “Ownership
Limitation”).
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(b)
|
Bust-up Provision. Notwithstanding any other provision of the Loan Documents to the contrary, any sale, transfer or other disposition
of Pledged Shares (other than in connection with a release of Shares to a Pledgor or a transfer to another Applicable Lender in accordance with Section 10.06 of the Margin Loan Agreement) by a an Applicable Lender must be a Qualifying
Disposition.
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(c)
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The Issuer is an intended third-party beneficiary of this Section 8.
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9.
|
Power of Attorney. Each Pledgor, in such capacity, hereby irrevocably constitutes and appoints each
Applicable Lender and any officer or agent thereof, with full power of substitution, as its true and lawful attorney-in-fact, with full irrevocable power and authority, in the name of such Pledgor or in its own name, upon the occurrence or
during the continuance of an Event of Default pursuant to Section 8.01 of the Margin Loan Agreement, and unless otherwise required pursuant to any Loan Document, without notice or assent by such Pledgor, subject to Section 8, (i) to take any
and all action as it pertains to such Applicable Lender’s Collateral and to execute any and all documents and instruments that each Applicable Lender at any time and from time to time deems reasonably necessary or desirable to accomplish the
purposes of this Security Agreement, including executing any proxies or other instruments for the purpose of enabling Applicable Lender to exercise the voting and other rights that it is entitled to exercise, and to receive the dividends and
distributions that it is entitled to receive and retain and (ii) generally to sell, transfer, pledge, make any agreement with respect to or otherwise dispose of or deal with any of such Applicable Lender’s Collateral on behalf of such Pledgor
as agent or attorney in fact for such Pledgor, in the name of such Pledgor, in such manner as is consistent with the UCC and as fully and completely as though such Applicable Lender were the absolute owner thereof for all purposes, and to do
at the Pledgors’ expense, at any time or from
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10.
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Remedies.
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(a)
|
Upon the occurrence and during the continuance of an Event of Default, each Applicable Lender may declare the principal of and any accrued
interest in respect of all Secured Obligations owing to be, whereupon the same shall become, forthwith due and payable without presentment, demand, protest or other notice of any kind, all of which are hereby waived by each Pledgor and may,
subject to Section 8, exercise in respect of the Collateral, in addition to all rights and remedies of a secured party under the UCC (irrespective of whether the UCC applies to the affected items of Collateral), all rights and
remedies under other applicable Law, the Loan Documents and in equity, including to the extent permitted under applicable Law, without limiting the foregoing, may, without notice of any kind, which each Pledgor hereby expressly waives (except
for any notice required by Law that may not be waived under applicable Law or any Loan Document), including the exercise and/or enforcement of any of the following rights and the remedies, at the Applicable Lender’s option:
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(i)
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each Applicable Lender may (x) exercise its rights under the Issuer Agreement and cause to be delivered to such Applicable Lender’s Collateral
Account its Lender Percentage of the Pledged Shares (or such portions thereof as may be delivered in accordance with Section 8 above) and (y) deliver or cause to be delivered from such Applicable Lender’s Collateral Account, to itself
or to any other Person such Applicable Lender designates (subject to the provisions of the Security Agreement and the other Loan Documents), any property contained therein, including any Pledged Shares;
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(ii)
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each Applicable Lender may demand, sue for, collect or receive any money or property at any time payable or receivable on
account of or in exchange for any of such Applicable Lender’s Collateral, and otherwise exercise all of the Pledgors’ rights with respect to any and all such Applicable Lender’s Collateral, in its own name, in the name of the applicable
Pledgor or otherwise; provided that an Applicable Lender shall have no obligation to take any of the foregoing actions;
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(iii)
|
each Applicable Lender may, without notice (except as specified below), subject to Section 8, sell or otherwise dispose of all or any part
of such Applicable Lender’s Collateral, or any part thereof in one or more parcels at public or private sale, at any exchange, broker’s board or at any Applicable Lender’s officers or elsewhere, in any order and in any manner it so elects,
for cash, on credit or for future delivery (without thereby assuming any credit risk), at such time or times, at such price or prices, at a public or private sale, and upon such other terms and conditions as such Applicable Lender may deem
commercially reasonable, irrespective of the impact of any such sales on the market price of the Collateral. To the maximum extent permitted by applicable law, each Applicable Lender or Agented Lender may be the purchaser, assignee or
recipient of any or all of the Collateral so disposed of at any public sale or, to the extent permitted by applicable law, at one or more private sales, and shall be entitled, for the purpose of bidding and making settlement or payment of the
purchase price for all or any portion of its Collateral sold at any such public sale, to use and apply all or any part of its Secured Obligations as a credit on account of the purchase price of any Collateral payable at such sale, and
thereafter hold the same absolutely, free from any claim or right of whatsoever kind, including any right or equity of redemption (statutory or otherwise), of any Pledgor, any such demand, notice and right or equity being hereby expressly
waived and release (except as prohibited by applicable Law). Each purchaser at any such sale shall hold the property sold absolutely free from any claim or right on the part of any Pledgor. No Applicable Lender shall be obligated to make any
sale of Collateral regardless of any notice of sale having been given. Each Applicable Lender may, without notice or publication, adjourn any public or private sale or cause the same to be adjourned from time to time by announcement at the
time and place fixed for the sale, and such sale may be made at any time or place to which the sale may be so adjourned. For the purposes hereof, a written agreement to purchase the Collateral or any portion thereof, shall be treated as a
sale thereof; such Applicable Lender shall be free to carry out such sale pursuant to such agreement and no Pledgor shall be entitled to return of the Collateral or any portion thereof subject thereto, notwithstanding the fact that after such
Applicable Lender shall have entered into such an agreement, all Events of Default shall have been remedied and/or the Secured Obligations paid in full; and
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(iv)
|
each Applicable Lender may, at any time in its discretion, to the fullest extent permitted by law, set off and apply any and all of the
Pledgors’ deposits (general or special, time or demand, provisional or final) in the
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(b)
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Each Pledgor specifically understands and agrees that any sale by an Applicable Lender of all or part of such Applicable Lender’s
Collateral pursuant to the terms of this Security Agreement may be effected by such Applicable Lender at times and in manners that could result in the proceeds of such sale being significantly and materially less than might have been received
if such sale had occurred at different times or in different manners (including as a result of the provisions of Section 8 hereof), and each such Pledgor hereby releases such Applicable Lender and its officers and representatives from and
against any and all obligations and liabilities arising out of or related to the timing or manner of any such sale, to the extent permitted under applicable Law. Each Pledgor further recognizes that, by reason of certain prohibitions
contained in the Securities Act and applicable state securities Laws, any Applicable Lender may be compelled, with respect to any Qualifying Disposition of all or any part of such Applicable Lender’s Collateral, to limit purchases to those
who will agree, among other things, to acquire such Collateral for their own account, for investment and not with a view to the distribution or resale thereof. Each Pledgor acknowledges that any such Qualifying Disposition that is a private
sale may be at prices and on terms less favorable to such Applicable Lender, its Agented Lenders and/or such Pledgor than those obtainable through a public sale without restrictions, and, notwithstanding such circumstances, agrees that any
such Qualifying Disposition that is a private sale shall not be deemed to have been made in a commercially unreasonable manner solely because it was a private sale and that such Applicable Lender shall have no obligation to engage in public
sales and no obligation to delay the sale of any of such Applicable Lender’s Collateral for the period of time necessary to permit the Issuer or issuer thereof to register it for public sale. Each Pledgor specifically understands and agrees
that an Applicable Lender does not have any obligation to sell Collateral pursuant to a “dribble out” or other program providing for the sales of small amounts of such Applicable Lender’s Collateral over time, and the Applicable Lender may
(and will not be deemed to act commercially unreasonably on account of its decision to) sell all or any portion of its Collateral immediately upon, or promptly following, the occurrence of an Event of Default without seeking strategic or
other categories of buyers or any control premium for such Applicable Lender’s Collateral, notwithstanding that such sale may result in a significant discount to the price of Shares or other securities that could be obtained by seeking
strategic or other categories of buyers. The parties acknowledge and agree that the Pledged Shares are of a kind that is customarily sold on a recognized market within the meaning of Section 9-610 of the UCC. The parties acknowledge and agree
that large blocks of equity securities are customarily sold by the seller retaining an investment bank
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(c)
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If the proceeds of sale, collection or other realization of or upon any Applicable Lender’s Collateral pursuant to this
Section 10 are insufficient to cover the costs and expenses of such sale, collection or realization and the payment in full such Applicable Lender’s Lender Group Obligations and its Ratable Shares of the Obligations owing to the Agents (in
their capacities as such and as Lenders, if applicable), such Applicable Lender may continue to enforce its remedies under this Security Agreement and the other Loan Documents, including, without limitation, remedies directly against the
Pledgors, to collect the deficiency.
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(d)
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Each Applicable Lender’s duty of care with respect to Collateral in its possession (as imposed by law) shall be deemed fulfilled if it
exercises reasonable care in physically safekeeping such Collateral or, in the case of Collateral in the custody or possession of a bailee or other third Person, exercises reasonable care in the selection of
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(e)
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If any Applicable Lender shall determine to exercise its right to sell all or any portion of such Applicable Lender’s Collateral pursuant to
this Section 10, each Pledgor agrees that, upon request of such Applicable Lender, such Pledgor will, at its own expense:
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(i)
|
execute and deliver, and cause the officers and directors of the Issuer to execute and deliver, to any Person or
Governmental Authority, as the Applicable Lender may choose, any and all documents and writings that, in such Applicable Lender’s judgment, may be necessary or appropriate for approval, or be required by any Governmental Authority located in
any city, county, state or country where such Pledgor or Issuer engages in business in order to permit the transfer of, or to more effectively or efficiently transfer, such Applicable Lender’s Collateral or otherwise enforce the such
Applicable Lender’s rights hereunder; and
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(ii)
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do or cause to be done all such other acts and things as may be necessary to make such sale of such Applicable Lender’s
Collateral or any part thereof valid and binding and in compliance with applicable Law.
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(f)
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Except as otherwise expressly provided in this Security Agreement, the proceeds of any collection, sale or other realization of all or any
part of an Applicable Lender’s Collateral pursuant hereto, and any other Cash held by an Applicable Lender as Collateral, following the occurrence and during the continuance of an Event of Default, shall be applied by such Applicable Lender
in accordance with Section 8.03 of the Margin Loan Agreement.
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(g)
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Each Pledgor acknowledges that there is no adequate remedy at law for failure by it to comply with the provisions of this Section 10 and that
such failure would not be adequately compensable in damages, and therefore agrees that its agreements contained in this Section 10 may be specifically enforced.
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(h)
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Each Applicable Lender may enforce its security interest in such Applicable Lender’s Collateral Account by applying the funds in such account
to its Lender Group Obligations as provided herein and in Section 8.03 the Margin Loan Agreement.
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(i)
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Each Applicable Lender may exercise any other remedy provided under the Security Agreement or the other Loan Documents or by any applicable
Law with respect to such Applicable Lender’s Collateral; and each Pledgor acknowledges that all
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(j)
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Each Applicable Lender may comply with any applicable state or federal Law requirements in connection with a disposition of such Applicable
Lender’s Collateral and such compliance will not be considered to affect adversely the commercial reasonableness of any sale of Collateral.
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(k)
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Each Applicable Lender may sell such Applicable Lender’s Collateral without giving any warranties as to the Collateral. Each Applicable Lender
may specifically disclaim any warranties of title or the like. The procedure will not be considered to affect adversely the commercial reasonableness of any sale of Collateral.
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(l)
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(i) EACH PLEDGOR SPECIFICALLY UNDERSTANDS AND ACKNOWLEDGES THAT ANY APPLICABLE LENDER MAY, WHILE THE
PLEDGED SHARES REMAIN “RESTRICTED SECURITIES” WITHIN THE MEANING OF RULE 144 AND/OR SUBJECT TO ANY TRANSFER RESTRICTIONS (INCLUDING, FOR THE AVOIDANCE OF DOUBT, TRANSFER RESTRICTIONS PURSUANT TO RULE 144(I)), ENTER INTO ANY HEDGING
TRANSACTION (INCLUDING, FOR THE AVOIDANCE, IN THE FORM OF ANY SHORT SALES, STOCK BORROW TRANSACTIONS, SYNTHETIC SHORT POSITIONS IN THE SHARES OR OTHER DERIVATIVE TRANSACTIONS DETERMINED IN SUCH APPLICABLE LENDER’S SOLE DISCRETION) WITH
RESPECT TO THE PLEDGED SHARES UNTIL PUBLIC RESALES OF THE PLEDGED SHARES ARE PERMITTED IN COMPLIANCE WITH THE CONDITIONS OF RULE 144 AND ANY OTHER APPLICABLE TRANSFER RESTRICTIONS; (ii) EACH PLEDGOR EXPRESSLY WAIVES TO THE MAXIMUM EXTENT
PERMITTED BY LAW: (A) ANY CONSTITUTIONAL OR OTHER RIGHT TO A JUDICIAL HEARING PRIOR TO THE TIME AN APPLICABLE LENDER DISPOSES OF ALL OR ANY PART OF SUCH APPLICABLE LENDER’s COLLATERAL AS PROVIDED IN THIS SECTION 10; (B) ALL RIGHTS OF
REDEMPTION, STAY, OR APPRAISAL THAT IT NOW HAS OR MAY AT ANY TIME IN THE FUTURE HAVE UNDER ANY LAW NOW EXISTING OR HEREAFTER ENACTED; (C) ANY REQUIREMENT OF NOTICE, DEMAND, OR ADVERTISEMENT FOR SALE; AND (D) ANY RIGHT TO REQUIRE ANY
APPLICABLE LENDER TO PROCEED AGAINST OR EXHAUST ANY SECURITY HELD FROM SUCH PLEDGOR OR TO PURSUE ANY OTHER REMEDY IN ANY APPLICABLE LENDER’S POWER WHATSOEVER.
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(m)
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Each Pledgor expressly waives to the maximum extent permitted by law:
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(i)
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Any claims against each Applicable Lender arising because the price at which any Collateral may have been sold at such private sale was less
than the price that might have been obtained at a public sale, even if such
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(ii)
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Any right to a judicial hearing in advance of the enforcement of any Applicable Lender’s rights and remedies hereunder, including such
Applicable Lender’s right to dispose of all or any part of the Collateral as provided in this Section 10.
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(iii)
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All rights of redemption, stay or appraisal that it now has or may at any time in the future have under any rule of law or statute now
existing or hereafter enacted.
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(iv)
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Except as expressly set forth herein or required pursuant to the UCC, any requirement of notice, demand, or advertisement
for sale.
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(n)
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Each Pledgor hereby agrees and acknowledges:
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(i)
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That any Qualifying Disposition of the Collateral conducted in conformity with reasonable commercial practices of banks,
insurance companies or other financial institutions in the city and state where an Applicable Lender is located in disposing of property similar to the Collateral shall be deemed to be commercially reasonable; provided that it is not
commercially unreasonable for such Applicable Lender to (i) decline to provide credit to any potential purchaser of the Collateral in connection with such Applicable Lender’s disposition of the Collateral or (ii) dispose of the Collateral by
utilizing Internet sites that provide for the auction of assets of the types included in the Collateral or that have the reasonable capacity of doing so, or that match buyers and sellers of assets;
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(ii)
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That a sale by any Applicable Lender of any Collateral pursuant to the terms hereof in compliance with the Securities Act, as well as
applicable “Blue Sky” or other state securities laws, may require strict limitation as to the manner in which such Applicable Lender or any subsequent transferee of the Collateral may dispose thereof and in order to protect such Applicable
Lender’s interest it may be necessary to sell the Collateral at a price less than the maximum price attainable if a sale were delayed or were made in another manner, such as a public offering under the Securities Act.
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(iii)
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Without limiting the generality of the foregoing subsection (ii), each Applicable Lender shall, subject to applicable law, attempt to sell
all or any part of the Collateral as a Qualifying Disposition and restrict the bidders and prospective purchasers in any such sale to those who may satisfy the requirements of a Qualifying Disposition; and in so doing, each Applicable Lender
may solicit offers to buy the Collateral or any part thereof for cash, from a limited number of investors reasonably believed by such Applicable Lender to satisfy the requirements of a Qualifying Disposition who might be interested in
purchasing the Collateral, and if such Applicable Lender solicits such offers, acceptance by
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(iv)
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That this Section 10(n) provides a non-exhaustive indication of what actions or omissions by any Applicable Lender would not be commercially
unreasonable in such Applicable Lender’s exercise of remedies against the Collateral and that other actions or omissions by such Applicable Lender shall not be deemed commercially unreasonable solely on account of not being indicated in this
Section 10(n).
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(v)
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Without limiting the generality of the foregoing subsection (v), nothing contained in this Section 10(n) shall be
construed to grant any rights to any Pledgor or to impose any duties on any Applicable Lender that would not have been granted or imposed by this Security Agreement or by applicable law in the absence of this Section 10(n).
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11.
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Proceeds of Dispositions; Expenses. Upon
the occurrence and during the continuance of an Event of Default, each Applicable Lender may discharge taxes and other encumbrances at any time levied or placed on any of the Collateral, and pay any necessary fees, in each case to the extent
any Pledgor fails to do so. Each Pledgor shall pay to each Applicable Lender, on demand amounts equal to any and all expenses, including, attorneys’ fees and disbursements, incurred or paid by such Applicable Lender in protecting, preserving
or enforcing such Applicable Lender’s rights under or in respect of the Secured Obligations or any of the Collateral. After deducting all of said expenses, the residue of any cash held by such Applicable Lender as Collateral and all cash
proceeds received by such Applicable Lender in respect of any sale of, collection from, or other realization upon all or any part of the Collateral pursuant to the exercise by such Applicable Lender of its remedies as a secured creditor as
provided in Section 10 shall, to the extent actually received in cash, be applied to the payment of the Secured Obligations in such order or preference as is provided in the Margin Loan Agreement, proper allowance and provision being made for
any Secured Obligation not then due. Upon the final payment and satisfaction in full of all the Secured Obligations and after making any payments required by UCC Section 9-608(a)(1)(c) or 9-615(a)(3), any excess Collateral or proceeds thereof
shall be returned to the Pledgors. In the absence of final payment and satisfaction in full of the Secured Obligations, the Pledgors shall remain liable for any deficiency.
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12.
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Duties of the Applicable Lenders. The powers conferred on each Applicable Lender hereunder are solely
to protect its interests in the Collateral and shall not impose on it any duty to exercise such powers. Each Applicable Lender has no duty as to the collection or protection of the Collateral or an income thereon, nor as to the preservation
of rights against prior parties nor as to the preservation of any rights pertaining thereto beyond the safe custody thereof as set forth in this Section 12. Each Applicable Lender’s sole duty with respect to custody, safekeeping and physical
preservation of the Collateral in its possession, under UCC
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13.
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General.
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(a)
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Successors and Assigns. The provisions of this Security Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns, except that (i) no Pledgor may assign or otherwise transfer any of its rights or obligations hereunder or under any other Loan Document without the prior written consent of the
Administrative Agent and each Lender (and any attempted assignment or transfer by any Pledgor without such consent shall be null and void) and
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(b)
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No Waiver. No failure or delay by any Applicable Lender in exercising any right or power hereunder or under any other Loan Document
shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the
exercise of any other right or power. The rights and remedies of each Applicable Lender hereunder and under any other Loan Document are cumulative and are not exclusive of any rights or remedies that such Applicable Lender would otherwise
have. No waiver of any provision of any Loan Document or consent to any departure by any Pledgor therefrom shall in any event be effective unless the same shall be permitted by Sections 10.01 and 10.03 of the Margin Loan Agreement, and then
such waiver or consent shall be effective only in the specific instance and for the purpose for which given. No notice to or demand on the Pledgors in any case shall entitle the Pledgors to any other or further notice or demand in similar or
other circumstances or constitute a waiver of the rights of any Applicable Lender to any other or further action in any circumstances without notice or demand. Without limiting the generality of the foregoing, the making of the Loans shall
not be construed as a waiver of any Event of Default, regardless of whether any Applicable Lender may have had notice or knowledge of such Event of Default at the time.
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(c)
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Continuing Agreement; Release of Collateral. This Security Agreement shall constitute a continuing agreement. (i) When all the Lender
Group Obligations of an
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(d)
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Security Interest Absolute. To the maximum extent permitted by applicable law, all rights of each Applicable Lender, all security
interests hereunder, and all Secured Obligations of the Pledgors hereunder, shall be absolute and unconditional.
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(e)
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Notice. Each notice to, or other communication with, any party hereunder shall be given to such party as provided under Section 10.02
of the Margin Loan Agreement.
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(f)
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Modifications. No provision hereof shall be modified or limited except pursuant to Section 10.01 of the Margin Loan Agreement. The
provisions of this Security Agreement shall not be modified or limited by course of conduct or usage of trade.
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(g)
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Financing Statement. Each Pledgor hereby irrevocably authorizes each Applicable Lender (or its designee) at any
time and from time to time to file (i) in any Uniform Commercial Code jurisdiction, financing statements (including amendments and continuations thereto) that indicate the Collateral as being equal or lesser scope or with greater detail than
as set forth in this Security Agreement, and contain any other information required for the sufficiency or filing office acceptance of any financing statement or amendment thereto and (ii) any registration of charge, mortgage or otherwise,
containing any information required under the Law of any other applicable jurisdiction (in each case without the signature of such Pledgor to the extent permitted by applicable Law), necessary or appropriate in the judgment of such Applicable
Lender to perfect or evidence its Lien on such Applicable Lender’s Collateral. Each Pledgor agrees to provide to each Applicable Lender (or its designees) any and all information required under the UCC or the Law of any other applicable
jurisdiction for the effective filing of a financing statement and/or any amendment thereto or any registration of charge, mortgage or otherwise.
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(h)
|
Further Assurances. Upon request of an Applicable Lender and at such Applicable Lender’s option, the Pledgors
shall take any and all other actions as such Applicable Lender may reasonably determine to be necessary or useful for the attachment, perfection and First Priority (subject to Permitted Share Liens) of, and the ability of such Applicable
Lender to enforce such Applicable Lender’s security interest in any and all of the Collateral, including: (i) complying with any provision of any statute regulation or treaty of the United States and/or foreign jurisdiction as to any
Collateral if compliance with such provision is or might be a condition to attachment, perfection or priority of, or the ability of such Applicable Lender to enforce, such Applicable Lender’s
security interest in such Collateral (including executing such instruments or notices as may be necessary or reasonably desirable in order to perfect and preserve the First Priority security interests (subject to Permitted Share Liens)
granted or purported to be granted hereby), (ii) obtaining governmental and other third-party waivers, consents and approvals in form and substance reasonably satisfactory to such Applicable Lender, including any consent of any party or
parties whose consent is required for the security interest of such Applicable Lender to attach, (iii) allowing inspection of the Collateral by such Applicable Lender or persons designated by such Applicable Lender and (iv) appearing in and
defending any action or proceeding that may adversely affect the Pledgors’ title to or such Applicable Lender’s security interest in the Collateral. Each Pledgor shall furnish to each Applicable Lender, upon request of such Applicable Lender:
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(a)
|
a certificate executed by an authorized officer of such Pledgor, and dated as of the date of delivery of such Applicable Lender, itemizing
in such detail as such Applicable Lender may request, the Collateral that, as of the date of such certificate, has been delivered to each Applicable Lender pursuant to the provisions of this Security Agreement and (b) such statements and
schedules further identifying and describing the Collateral and such other reports in connection with the Collateral as such Applicable Lender may reasonably request.
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(i)
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Counterparts; Integration; Effectiveness. This Security Agreement may be executed in counterparts (and by different parties hereto on
different counterparts), each
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(j)
|
Severability. Any provision of any Loan Document held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions thereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction. |
(k)
|
WAIVER OF MARSHALING. EACH OF THE PLEDGORS AND EACH APPLICABLE LENDER ACKNOWLEDGES AND AGREES THAT IN EXERCISING ANY RIGHTS UNDER OR WITH RESPECT TO SUCH APPLICABLE LENDER’S COLLATERAL HEREUNDER OR UNDER ANY OTHER SECURITY AGREEMENT: (A) SUCH APPLICABLE LENDER IS UNDER NO OBLIGATION TO MARSHAL ANY SUCH APPLICABLE LENDER’S COLLATERAL; (B) SUCH APPLICABLE LENDER MAY, IN ITS ABSOLUTE DISCRETION, REALIZE UPON ANY OF SUCH APPLICABLE LENDER’S COLLATERAL IN ANY ORDER AND IN ANY MANNER IT SO ELECTS; AND (C) SUCH APPLICABLE LENDER SHALL APPLY THE PROCEEDS OF ANY OR ALL OF SUCH APPLICABLE LENDER’S COLLATERAL TO THE SECURED OBLIGATIONS IN ACCORDANCE WITH SECTION 8.03 OF THE MARGIN LOAN AGREEMENT. EACH PLEDGOR WAIVES ANY RIGHT TO REQUIRE THE MARSHALING OF ANY SUCH COLLATERAL. |
(l)
|
Governing Law; Submission to Jurisdiction. This Security Agreement constitutes a “Loan Document” entered into in connection with the Margin Loan Agreement. The provisions of Section 10.13 and Section 10.14 of the Margin Loan Agreement shall apply mutatis mutandis to this Security Agreement as if such provisions were fully set forth herein. Each Applicable Lender’s jurisdiction for the purposes of Section 9-304 of the UCC with respect to any Cash Collateral Account maintained on the books of such Applicable Lender shall be the State of New York. |
(m) |
Suretyship Waivers by the Pledgors. Each Pledgor waives demand, notice, protest, notice of
acceptance of this Security Agreement, notice of each Applicable Lender’s Ratable Shares of the Obligations owned to the Agents under the Loan Documents or other such credit extended, Collateral received or delivered or other action taken in reliance hereon and all other demands and notice of any description. With respect to each Applicable Lender’s Ratable Share of the Obligations owed to the Agents under the Loan Documents and the Collateral, each Pledgor assents to any extension or postponement of the time of payment or any other indulgence, to any substitution, exchange or release of or failure to perfect any security interest in any Collateral, to the addition or release of any party or person primarily or secondarily liable, to the acceptance of partial payment thereon and the settlement, compromising or adjusting thereof, all in such manner and at such time or times as each Applicable Lender may deem advisable. Each Pledgor further waives any and all other suretyship defenses. |
(n)
|
Acknowledgment of Prior Obligations; No Novation. Each Pledgor hereby (i) acknowledges and agrees that (A) the prior grant or grants of security interests in favor of any of the Lender, Administrative Agent, or any other secured party (howsoever defined or described) in its properties and assets under each Original Loan Document shall be in respect of the Obligations of the Borrowers under the Margin Loan Agreement and the other Loan Documents, and (B) each of the Collateral Accounts is a replacement, successor or substitute account to each of the “Collateral Accounts” as defined in the Existing Margin Loan Agreement, and (ii) confirms and agrees that to the extent that any Original Loan Document purports to assign or pledge to any secured party (howsoever defined or described) a security interest in or Lien on, any collateral as security for all or any portion of any of the Obligations of the Borrowers from time to time existing in respect of the Existing Margin Loan Agreement or the other Original Loan Documents, such pledge or assignment or grant of the security interest or Lien is hereby ratified and confirmed in all respects with respect to this Agreement and the other Loan Documents. Nothing herein contained shall be construed as a substitution or novation of the obligations outstanding under the Existing Margin Loan Agreement, the other Original Loan Documents or instruments securing the same, which shall remain in full force and effect, except as modified hereby or by instruments executed concurrently herewith. |