Document:

Exhibit 10.2

 

SECOND
AMENDMENT 

TO 

AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT

 

This
Second Amendment to Amended and Restated Loan and Security Agreement (the “Amendment”)
is entered into as of March 7, 2008, by and between COMERICA BANK (“Bank”) and
GENOPTIX, INC. (“Borrower”).

 

RECITALS

 

Borrower and Bank are parties
to that certain Amended and Restated Loan and Security Agreement dated as of May 9,
2005 (as amended from time to time, including, without limitation, by that
certain First Amendment to Amended and Restated Loan and Security Agreement,
dated as of May 30, 2006, the “Agreement”). All indebtedness owing by
Borrower to Bank shall hereinafter be referred to as the “Indebtedness.” The
parties desire to amend the Agreement in accordance with the terms of this
Amendment.

 

NOW, THEREFORE, for good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties agree as follows:

 

AGREEMENT

 

1.             Incorporation
by Reference. The Recitals and the
documents referred to therein are incorporated herein by this reference. Except
as otherwise noted, the terms not defined herein shall have the meaning set
forth in the Agreement.

 

II.            Amendment
to the Agreement. Subject to the satisfaction
of the conditions precedent as set forth in Article IV hereof, the
Agreement is hereby amended as set forth below.

 

A.            Section 6.7(b) of
the Agreement is hereby deleted in its entirety and replaced as follows:

 

“(b)         Reserved.”

 

Ill.           Legal Effect.

 

A.            The Agreement is hereby
amended wherever necessary to reflect the changes described above. Borrower
agrees that it has no defenses against the obligations to pay any amounts under
the Indebtedness.

 

B.            Borrower understands and
agrees that in modifying the existing Indebtedness, Bank is relying upon
Borrower’s representations, warranties, and agreements, as set forth in the
Agreement and the other Loan Documents. Except as expressly modified pursuant
to this Amendment, the terms of the Agreement and the other Loan Documents
remain unchanged, and in full force and effect. Bank’s agreement to
modifications to the existing Indebtedness pursuant to this Amendment in no way
shall obligate Bank to make any future modifications to the Indebtedness.
Nothing in this Amendment shall constitute a satisfaction of the Indebtedness.
It is the intention of Bank and Borrower to retain as liable parties, all
makers and endorsers of the Agreement and the other Loan Documents, unless the
party is expressly released by Bank in writing. No maker, endorser, or guarantor
will be released by virtue of this Amendment. The terms of this paragraph apply
not only to this Amendment, but also to all subsequent loan modification
requests.

 

C.            This Amendment may be
executed in two or more counterparts, each of which shall be deemed an
original, but all of which together shall constitute one instrument. This is an
integrated

 

1

 

Amendment and supersedes all
prior negotiations and agreements regarding the subject matter hereof. All modifications
hereto must be in writing and signed by the parties.

 

IV.           Conditions
Precedent.      Except as
specifically set forth in this Amendment, all of the terms and conditions of
the Agreement and the other Loan Documents remain in full force and effect. The
effectiveness of this Amendment is conditioned upon receipt by Bank of:

 

A.            This Amendment,
duly executed by Borrower;

 

B.            A legal fee from
Borrower in the amount of $250; and

 

C.            Such other
documents, and completion of such other matters, as Bank may reasonably deem
necessary or appropriate.

 

IN WITNESS WHEREOF, the
undersigned have executed this Amendment as of the first date above written.

 

	
   

  	
  GENOPTIX, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Douglas A. Schuling

  
	
   

  	
  Name:

  	
  Douglas A. Schuling

  
	
   

  	
  Title:

  	
  SVP and CFO

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  COMERICA BANK

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Greg Park

  
	
   

  	
  Name:

  	
  Greg Park

  
	
   

  	
  Title:

  	
  VP

  
						

 

2Exhibit 10.1

 

	
  CANANWILL, INC.

  	
   

  
	
  1000 MILWAUKEE AVENUE, GLENVIEW, IL 60025 -
  (800) 544-0666

  	
   

  
	
  COMMERCIAL INSURANCE PREMIUM FINANCE AND
  SECURITY AGREEMENT

  3/2/2008 370,622.96

  	
    Contract Number 

  
	
  

  NC LIC, #B-116, SC LIC, #99

  	
   

  	
    Agent Number
        A3390

  	
    Quote Number 
      396563A-1

  
	
   

  	
   

  	
   

  
	
   Name and address of Insured(s) (as shown in the policy) and
  co-obligor if any

  	
   

  	
  Name and Address of Insured’s Agent
  (“Agent”)

  
	
    Neose Technologies, Inc.

  	
   

  	
  AON RISK SERVICES INC. OF PA

  
	
   

  	
   

  	
   

  
	
    102 Rock Road

  	
   

  	
  ONE LIBERTY PLACE, SUITE 1000

  
	
   

  	
   

  	
  1650 MARKET STREET

  
	
    Horsham, PA 19044

  	
   

  	
  PHILADELPHIA, PA 19103

  
	
    RE:

  	
   

  	
  Contact: Pat McLean

  
	
   Telephone Number: (215) 441-5890

  	
   

  	
  Telephone Number: (215) 255-2000

  
	
   

  	
   

  	
   

  
	
   Policyholder Designation    (Check
  One):

  	
   

  	
  Type of Agreement    (Check One):

  	
   

  
	
   

  	
  o Proprietorship

  	
   

  	
  x New

  	
  Indicate contract number of

  	
   

  
	
   

  	
   

  	
   

  	
  current policy being financed. 

  	
   

  	
   

  
	
   o Partnership
  

  	
  x Corporation

  	
   

  	
  o Additional
  Premium 

  	
   

  	
   

  
												

 

	
  SCHEDULE OF POLICIES COVERED BY THIS AGREEMENT

  

 

	
  FOR

  COMPANY

  	
   

  	
  POLICY NUMBER

  	
   

  	
  FULL NAME OF INSURANCE COMPANY AND

  ADDRESS OF BRANCH REPORTING OFFICE AND

  	
   

  	
  TYPE OF

  INSUR-

  	
   

  	
  TERM

  IN

  	
   

  	
  POLICY

  EFFECTIVE DATE

  	
   

  	
  POLICY

  	
   

  
	
  USE ONLY

  	
   

  	
    Prefix 

  	
  Number  

  	
   

  	
  FULL NAME AND ADDRESS OF GENERAL AGENT

  	
   

  	
  ANCE

  	
   

  	
  MONTHS

  	
   

  	
  Mo. Day Year

  	
   

  	
  PREMIUM

  	
   

  
	
  76201

  	
   

  	
  DOC364951411

  	
   

  	
  ZURICH AMERICAN INSURANCE
  CO

  	
   

  	
  DO

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  115,000.00

  	
   

  
	
   

  	
   

  	
  Asgn Rsk=N
  AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  	
   

  
	
   

  	
   

  	
  Audit=N Min
  Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  	
   

  
	
  15403

  	
   

  	
  FDO705401

  	
   

  	
  LLOYD’S OF LONDON

  	
   

  	
  DO

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  100,000.00

  	
   

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  3,000.00

  	
   

  
	
   

  	
   

  	
  Audit=N Min
  Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  25.00

  	
   

  
	
  Total taxes:

  	
   

  	
  3634.00

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Total fees:

  	
   

  	
  25.00

  	
   

  	
  (Policies Continued on
  Next Page)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  NY: Charge under §2119 of New York Insurance Law for
  obtaining and servicing these policies. If
  none, state

  ‘None’, $

  	
   

  	
  FLORIDA
  DOCUMENTARY STAMP TAX

  	
   

  	
  0.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  CASH PRICE

  (Total Premiums)

  	
   

  	
  $

  	
   405,014.00

  	
   

  
																

 

	
  

  	
  DISCLOSURE STATEMENT - PAYMENT SCHEDULE

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Payment Plan:  x Monthly     o Quarterly     o Annually 

  	
   

  	
   

  
	
  Number of Payments
   11

  	
   

  	
  First
  Payment Due  3/15/2008

  	
   

  
	
  Subsequent payments are due on the same day
  of each succeeding period.

  	
   

  	
   

  
					

 

	
  CASH

  	
  *

  	
  CASH

  	
  =

  	
  AMOUNT

  	
  +

  	
  FINANCE

  	
  =

  	
  TOTAL OF

  	
   

  	
  AMOUNT OF EACH

  	
   

  	
  ANNUAL

  	
   

  
	
  PRICE

  	
   

  	
  DOWN

  	
   

  	
  FINANCED

  	
   

  	
  CHARGE

  	
   

  	
  PAYMENTS

  	
   

  	
  PAYMENT

  	
   

  	
  PERCENTAGE

  	
   

  
	
   

  	
   

  	
  PAYMENT

  	
   

  	
  The amount of

  	
   

  	
  The dollar amount

  	
   

  	
  The amount you will have

  	
   

  	
   

  	
   

  	
  RATE

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  credit provided

  	
   

  	
  the credit will

  	
   

  	
  paid when you have made

  	
   

  	
   

  	
   

  	
  The cost of your

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  on your behalf.

  	
   

  	
  cost you.

  	
   

  	
  all scheduled payments.

  	
   

  	
   

  	
   

  	
  credit as a yearly rate.

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  $405,014.00

  	
   

  	
  $34,391.04

  	
   

  	
  $370,622.96

  	
   

  	
  $7,678.48

  	
   

  	
  $378,301.44

  	
   

  	
  $34,391.04

  	
   

  	
  4.12

  	
  %

  

 

CANANWILL, INC. (HEREINAFTER CALLED CANANWILL)

1000 MILWAUKEE AVENUE, GLENVIEW, IL 60025 - (800) 544-0666

 

Prepayment: The insured may prepay in full at any time and receive a
refund of the unearned finance charge, calculated according to the Rule of 78’s
(actuarial method in AR, AZ, CA, MA, MO, NJ, OR, PA, VT; short rate method in
SC), and subject to a nonrefundable charge stated on page two. Minimum refund
is $1.00 (except AK, where there is no minimum refund).

 

Security interest: The insured assigns to Cananwill as security for
payment of this agreement all sums payable to the Insured with reference to the
policies listed above, including, among other things, any gross return premiums
and any payment on account of loss which results in reduction of unearned
premium in accordance with the term of said policies.

 

Delinquency charge: The Insured agrees that
upon default in payment of any installment five days or more (more than 5 days
in IL, MS, OH) to pay a Delinquency Charge of 5% of the delinquent
installment. In AK, CA, DE, MI, MN, ND, NJ, OR, TN, TX, the Delinquency Charge is
not due until installment is in default for ten days or more, more than 10 days
in MA, NM 7 days in VA. Maximum delinquency charge is $5 in DE, MT, ND; $100 in
MD; $500 in NM; 1 1/2% of the installment in NJ with a minimum of $25. In AK,
OR: for delinquent payments of less than $250, the delinquency charge is the
lesser of 5% of the payment or $5, otherwise the delinquency charge is 2% of
the payment. KS: Delinquency charge is $5 plus 2% of the installment in
default.

 

Cancellation
Charge: The Insured agrees that if a default results in cancellation of the
policy(ies) to pay a Cancellation Charge in the amount stated on page two. (Not
applicable in AK, KY,TX, NC.)

 

See the provisions on page
two for additional information about nonpayment, default, and any repayment in
full before the scheduled date and any prepayment refunds or penalties.

 

	
  QIV# 396563A-1 PRN:3/3/2008 1:40 PM CFG: CustomConfig
  RT:ARSw/deviation PF:0.00 T:4.52 B1:4.12 B2:4.12

  
	
   

  
	
  NOTICE 

  TO 

  INSURED:

  	
  1. DO NOT SIGN THIS AGREEMENT BEFORE YOU READ IT,
  INCLUDING THE WRITING ON PAGE TWO, OR IF IT CONTAINS ANY BLANKS. 2. YOU ARE
  ENTITLED TO A COMPLETELY FILLED IN COPY OF THIS AGREEMENT AT THE TIME YOU SIGN IT. 3. YOU UNDERSTAND AND HAVE
  RECEIVED A COPY OF THIS AGREEMENT, KEEP IT TO PROTECT YOUR LEGAL RIGHTS. 4.
  UNDER THE LAW YOU HAVE THE RIGHT TO PAY OFF IN ADVANCE THE FULL AMOUNT DUE AND UNDER CERTAIN
  CONDITIONS TO OBTAIN A PARTIAL REFUND OF THE FINANCE CHARGE. 5. SEE PAGE TWO
  FOR IMPORTANT INFORMATION.

  
	
   

  
	
  When used in this Agreement, “Insured” means the
  insured and any co-obligor named above and all insureds covered by the
  Policies listed in the Schedule of Policies. Each Insured jointly and severally
  agrees to make all payments required by this Agreement and to be bound by all
  of its provisions including those on page two. The person signing represents
  and warrants that he or she is authorized to enter into this Agreement on
  behalf of each Insured and to bind each Insured to this Agreement. Each Insured
  agrees that Cananwill may send all notices under this Agreement to the Insured’s
  address shown above. You are not required to enter into an insurance premium
  financing arrangement as a condition to the purchase of any insurance policy.

  

 

	
  By

  	
  /s/ A. BRIAN DAVIS

  	
   

  	
  Date 

  	
  March 6, 2008

  
	
   

  	
  (Signature of insured)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  A. BRIAN DAVIS, SVP AND CFO

  	
   

  	
   

  
	
  (Typed Name and Title)

  	
   

  	
   

  

 

AGENT’S REPRESENTATIONS AND
WARRANTIES

The undersigned Agent has read
the Insurance Agent’s Representations and Warranties on page two and makes all
such representations and warranties recited therein and agrees to be bound by
the terms of this Agreement.

 

	
  By

  	
  /s/ RAYMOND M. SUBERS

  	
   

  	
  Date 

  	
  Mar 12, 2008

  
	
   

  	
  (Signature of Agent)

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  RAYMOND M. SUBERS

  	
   

  	
   

  
	
  CW-1        QIV  (Ed.
  01-03)                 (Typed Name and
  Title)

  	
   

  	
   

  

 

 

	
   

  	
  Agent Number A3390

  
	
   

  	
  Quote
  Number 396563A-1

  

 

ADDENDUM TO COMMERCIAL INSURANCE PREMIUM FINANCE AGREEMENT (“PFA”)

 

SCHEDULE OF POLICIES COVERED BY THE PFA
INCLUDES THE FOLLOWING:

 

	
  FOR

  COMPANY

  USE ONLY

  	
   

  	
   

  	
   

  	
  FULL NAME OF INSURANCE COMPANY AND 

  ADDRESS OF BRANCH REPORTING OFFICE AND

  FULL NAME AND ADDRESS OF GENERAL AGENT

  	
   

  	
  TYPE OF

  INSUR-

  ANCE

  	
   

  	
  TERM

  IN

  MONTHS

  	
   

  	
  POLICY

  EFFECTIVE

  DATE

  Mo. Day Year

  	
   

  	
  POLICY

  PREMIUM

  
	
   

  	
   

  
	
  POLICY NUMBER

  
	
  Prefix

  	
  Number

  
	
  03605

  	
   

  	
  EC06400295

  	
   

  	
  ST. PAUL MERCURY INSURANCE CO

  	
   

  	
  EPL

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  13,500.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  03605

  	
   

  	
  CR03800094

  	
   

  	
  ST. PAUL MERCURY INSURANCE CO

  	
   

  	
  CR

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  9,470.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  03605

  	
   

  	
  EC06400294

  	
   

  	
  ST. PAUL MERCURY INSURANCE CO

  	
   

  	
  FIDU

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  4,000.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  73768

  	
   

  	
  35852317

  	
   

  	
  FEDERAL INSURANCE COMPANY

  	
   

  	
  CPAK

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  68,838.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  2.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  73768

  	
   

  	
  35852317

  	
   

  	
  FEDERAL INSURANCE COMPANY

  	
   

  	
  PROD

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  37,000.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=25.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  73768

  	
   

  	
  74985874

  	
   

  	
  FEDERAL INSURANCE COMPANY

  	
   

  	
  AUTO

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  5,917.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=30

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  73768

  	
   

  	
  71634788

  	
   

  	
  FEDERAL INSURANCE COMPANY

  	
   

  	
  WC

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  32,685.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  632.00

  
	
   

  	
   

  	
  Audit=Y Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  73768

  	
   

  	
  79813718

  	
   

  	
  FEDERAL INSURANCE COMPANY

  	
   

  	
  UMB

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  11,445.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  
	
  05125

  	
   

  	
  73243156

  	
   

  	
  GREAT NORTHERN INSURANCE CO

  	
   

  	
  FLIA

  	
   

  	
  12

  	
   

  	
  2/15/2008

  	
   

  	
  3,500.00

  
	
   

  	
   

  	
  Asgn Rsk=N AddCxlDays=0

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Taxes

  	
   

  	
  0.00

  
	
   

  	
   

  	
  Audit=N Min Ernd=0.000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Fees

  	
   

  	
  0.00

  

 

 

(Pg.
2 of 2)

 

The Insured (jointly and
severally if more than one) agrees as follows:

 

1. In consideration of the payment by
CANANWILL of the Amount Financed, Insured agrees to pay the Cash Down Payment
to the insurance company(ies) listed in the Schedule of Policies, and to pay
CANANWILL the Total of Payments in accordance with the terms of this Agreement.
Interest is computed on an annual basis of 12 months of 30 days each.

 

2. Insured assigns to CANANWILL as security
for the total amount payable hereunder all sums payable to the Insured under
the listed Policies, including, among other things, any gross unearned premiums
and any payment on account of loss which results in a reduction of unearned
premium in accordance with the terms of said policies.

 

3. Insured hereby irrevocably appoints
CANANWILL as its Attorney-in-Fact upon the occurrence of an Event of Default
(defined below) and, after proper notice has been mailed as required by law,
grants to CANANWILL authority to effect cancellation of 

policy(ies) listed in the Schedule of Policies (“Policies”), and to receive any
unearned premium or other amounts with respect to the Policies assigned as
security herein, and to sign any check or draft issued therefor in Insured’s name
and to direct the insurance companies to make said check or draft payable to
CANANWILL. Insured agrees that proof of mailing any notice hereunder
constitutes proof of receipt of such notice.

 

4. Insured agrees that any payments made and
accepted after Policy cancellation shall not constitute reinstatement or
obligate CANANWILL to request reinstatement of such insurance Policy(ies), and Insured
acknowledges that CANANWILL has no authority to reinstate coverage, and that
such payments may be applied to Insured’s indebtedness hereunder.

 

5. Insured agrees not to assign the
Policy(ies) except for the interest of mortgagees or loss payees, without the
written consent of CANANWILL. CANANWILL may assign this Agreement without Insured’s
consent, and all rights conferred upon CANANWILL shall inure to CANANWILL’s
successors and assigns.

 

6. Except in KY and VT, Insured agrees to pay
a fee of $15.00 in the event of a dishonored check. ($5.00 in CA; $10 in AZ,
MA, MD, OH, VI; $7.50 in NV, not to exceed CANANWILL’s cost in NJ).

 

7. An Event of Default occurs when the Insured
does not pay any installment according to the terms of this Agreement or
(except in MD) fails to comply with any of the terms of the Agreement or
(except in MD) if any of the Policies are cancelled for any reason. If an Event
of Default occurs and after giving notice as required by law, all amounts due
under this Agreement become immediately due and payable and the Insured is
liable for all amounts described herein, including any unpaid balance remaining
after application of the unearned premiums. If an Event of Default occurs,
CANANWILL may at its option pursue the following remedies:

 

·        After proper notice has been given as
required by law, CANANWILL may immediately cancel the Policy(ies) and collect
any unearned premiums or other amounts payable under said Policies. Unearned
premiums shall be payable to CANANWILL only.

 

·        CANANWILL may take all necessary actions to
enforce payment of this debt. To the extent not prohibited or limited by
applicable law, CANANWILL is entitled to collection costs and expenses incurred
while enforcing its rights under this Agreement and to reasonable attorney’s
fees if this Agreement is referred to an attorney who is not a salaried employee
of CANANWILL for collection or enforcement (not permitted in KY, NC; total of
collection costs and attorney’s fees is limited to 20% of the unpaid balance in
AZ, FL, MO, MS, NH, NV, NY, VI; 15% of unpaid balance in TN; 25% of unpaid
balance in VT).

 

·        Except in AK, KY, MI, NC, VT and the other
states listed herein, after cancellation, Insured agrees to pay interest on the
unpaid balance (calculated according to the Rule of 78’s (actuarial method in
AR, AZ, CA, NJ, OR, PA; short rate method in SC) as of the scheduled due date
of the first delinquent payment leading to cancellation of the Policies) at the
rate of 1% per month (in AR, NM, TX, at the Annual Percentage Rate stated on
page one), or at the highest rate permitted by law, whichever is less, until
the entire balance of this loan is paid in full. In MA, Insured agrees to pay
interest at the rate of 1% per month on the difference between the unpaid
balance on the date of cancellation (computed according to the actuarial
method) and the unearned premiums received by CANANWILL on the cancelled
Policies, for the period from the date of cancellation until the balance is
paid in full.

 

·        In AL, DC, DE, IL, KS, NY and WA, after
cancellation, Insured agrees that CANANWILL may recompute the total finance
charge due under this Agreement on the original amount financed, at the rate
and in the manner described in this paragraph from the first effective date of
the Policies through the last originally scheduled installment date, and Insured
agrees to pay this amount, subject to the provisions on prepayment in full.
That rate, stated as a dollar amount per year for each $100 of amount financed
is as follows: $9 in AL, DE; $10 in DC, IL, WA; $12 in KS; $14 in NY.

 

·        CANANWILL may offset and deduct from any
amounts CANANWILL owes to Insured with respect to any Policies financed
hereunder, any amounts which Insured owes to CANANWILL under this or (except in
KY, MD, NC and TX) any other agreement.

 

8. Insured agrees to pay a non-refundable
service fee of $10 in AK, AZ, CT, DE, KS, LA, MO, NY, PA, WA, WI; $12 in NJ;
$12.50 in MT; $15 in AL, KY, NC, RI, SC, TN, VA; $16 in MA; $18 in MI; $20 in
DC, FL, GA, MD, MN, OH; $25 in CO, HI, IA, ID, IN, ME, NE, ND, NV, OK, SD, UT,
VI, WV, WY; the lesser of $50 or 10% of the amount financed in OR. In CA, the
minimum finance charge is $25. In IL, the non-refundable service charge is $20
if the amount financed is less than $500, $30 if the amount financed is $500 or
more but less than $1,000, or $40 if the amount financed is over $1,000. In NJ,
if this loan is prepaid in full, Insured agrees to pay an additional charge of
$20 for any loan of $2,000 or less, 1% of the loan for loans over $2,000 up to
and including $5,000 and $100 on loans over $5,000.

 

9. Insured agrees to pay a cancellation
charge of $5 in TN, VI; $10 in MN, ND, OH; $15 in AL, AZ, GA, MO, MS, RI, WI;
$25 in CO, HI, IA, ID, IN, LA, ME, NE, OK, SD, UT, WV, WY; the greater of 2% of
the unpaid balance or $5 in MA; the difference between the delinquency charge
assessed and; $5 in DE, MI, MT, NJ, NY, OR, WA; $10 in DC; $15 in NH; $100 in
MD.

 

10. Insured agrees to pay promptly to the
insurer any additional premiums due on the Policies.

 

11. The Agent is not the agent of CANANWILL
and the Agent cannot bind CANANWILL. CANANWILL is not the Agent of any insurer
and is not liable for any acts or omissions of any insurer. Insured
acknowledges that it has chosen to do business with the Agent and the insurance
companies issuing the Policies, and that the insolvency, fraud, defalcation or
other action or failure to act by any of them shall not relieve or diminish
Insured’s obligations to CANANWILL hereunder.

 

 

12. Except in MD, and if not prohibited by
applicable law, CANANWILL may insert the name of the insurer, policy numbers
and first installment due date if omitted and if policy has not been issued at
the time of signature.

 

13. This Agreement shall have no force or
effect until accepted by CANANWILL. All rights and remedies in this Agreement
are cumulative and not exclusive. If any part of this Agreement is determined
to be invalid or unenforceable, the remaining provisions of this Agreement
shall continue to be in full force and effect. Neither CANANWILL nor its
assignee shall be liable for any loss or damage to the Insured by reason of
failure of any insurance company to issue or maintain in force any of the
Policies or by reason of the exercise by CANANWILL or its assignee of the
rights conferred herein. This Agreement constitutes the entire Agreement
between CANANWILL and Insured and may not be modified except as agreed upon in
writing. CANANWILL’s acceptance of late or partial payments shall not be deemed
a waiver by CANANWILL of any provisions of this Agreement, and CANANWILL is entitled
to require Insured to strictly comply with the terms hereof. Except in AR, this
Agreement is governed by the law of the state of the Insured’s address shown on
page one of this Agreement. In AR, this Agreement is governed by the law of the
state where this Agreement is accepted by CANANWILL. If any amount contracted
for or received by CANANWILL is determined to violate any law or regulation,
CANANWILL may return such prohibited amount to Insured without any further
liability therefor (waiver of liability not appliable in KY).

 

14. Insured represents and warrants that the
proceeds of this loan are to be used to purchase insurance for other than
personal, family or household purposes and that all information provided herein
or in connection with this agreement is true, correct, complete and not
misleading.

 

15. CALIFORNIA RESIDENTS ONLY:

 

FOR INFORMATION CONTACT THE
DEPARTMENT OF FINANCIAL INSTITUTIONS, STATE OF CALIFORNIA.

 

Insured agrees that, in accordance with
Section 18608 of the California Financial Code, CANANWILL’s liability to Insured
upon the exercise of CANANWILL’s authority to cancel the Policies shall be
limited to the amount of the principal balance of this loan, except in the
event of CANANWILL’s willful failure to mail the notice of cancellation
required under California law.

 

In connection with the Policies
scheduled on page one, the Agent represents and warrants to CANANWILL, its
successors and assigns that:

 

1. Deposit premiums are not less than the
anticipated premiums to be earned for the full terms of the Policies.

 

2. All of the scheduled Policies or bonds in
this Agreement are cancellable by standard short rate or pro-rata tables.

 

3. When cancellation is requested by Insured
or by CANANWILL, none of the Policies require advance notice of cancellation to
any party, other than any notice required to be given by CANANWILL, and there
are no audit or reporting form policies, Policies subject to retrospective
rating or to minimum earned premiums except as indicated in the Schedule of Policies.

 

4. We are the authorized policy Issuing Agent
of the insurance companies or the broker placing the coverage directly with the
insurance company on all Policies except as indicated in the Schedule of
Policies.

 

5. The Insured(s) signature(s) on both pages
one and two hereof are genuine, the Insured has not paid for the scheduled Policies
other than as described herein, the Insured(s) have received a copy of this
Agreement, this Agreement is valid and enforceable and there are no defenses to
it, the scheduled Policies are in full force and effect and the premiums indicated
are correct for the term of the Policies, and all other information relating to
the Policies and the Insured is complete and correct. None of the Policies have
been financed on an installment payment plan provided by the insurance
company(ies), or are noncancellable policy(ies), or policies written for a term
of less than one year. The Agent recognizes the Insured’s assignment of the
unearned premiums and upon cancellation of any of the scheduled Policies agrees
to pay promptly any unearned commissions to CANANWILL and to pay to CANANWILL
the unearned premiums immediately upon receipt Agent shall not deduct any
amounts which Insured owes to Agent from any amounts owing to CANANWILL hereunder.
The Policies are not for personal, family or household purposes.

 

6. A proceeding in bankruptcy, receivership
or insolvency has not been instituted by or against the Insured or if the Insured
is the subject of such a proceeding, it is noted on the Agreement in the space
in which the Insured’s name and address is placed.

 

7. If the Agreement has been signed by the
Agent on behalf of the Insured, the Agent has the authority to act in this
capacity and the Agent has provided the Insured with a complete copy of this
Agreement.

 

8. There are no exceptions to the Policies
financed other than those indicated, and the Policy(ies) comply with CANANWILL’s
eligibility requirements.

 

9. The Cash Down Payment, and any
installments due from the Insured which Agent has agreed to collect, have been
collected from the Insured.

 

10. Agent is not an agent of CANANWILL and is
not authorized to bind CANANWILL and has not made any representation to the
contrary.

 

The Agent agrees to promptly remit all funds
received from CANANWILL and the Insured for the financed Policies and due to
the insurance company(ies) issuing such Policies. Agent shall be liable to
CANANWILL for any losses, costs, damages or other expenses (including attorney’s
fees) incurred by CANANWILL or its assignee as a result of or in connection
with any untrue or misleading representation or warranty made by Agent
hereunder, or otherwise arising out of the breach by Agent of this Agreement.
Agent shall promptly notify CANANWILL of any unpaid increased premiums for the
Policies.

 

CW-1        QIV  (Ed.
01-03)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}]]