Document:

Exhibit 10.13

 

[M&T Bank Logo]

 

CREDIT AGREEMENT 
 New York

 

February 10, 2014

 

Borrower: AMERIQUEST REMARKETING SERVICES, INC., a Florida corporation with its chief executive office at 12530 West Atlantic Boulevard, Coral Springs, FL 33071.  Attention:  Mark Joyce, Executive Vice President & Chief Financial Officer.

 

Bank:              M&T BANK, a New York banking corporation with its chief executive office at One M&T Plaza, Buffalo, NY 14203.  Attention:  Office of General Counsel.

 

The Bank and the Borrower agree as follows:

 

1.              DEFINITIONS.

 

a.              “Business Day” means any day of the year, other than Saturday or Sunday, on which banks open for business in the State of New York are not required or authorized to close.

 

b.              “Credit” means any and all credit facilities and any other financial accommodations made by the Bank in favor of the Borrower whether now or hereafter in existence.

 

c.               “Collateral” means the following property of Borrower: All of Borrower’s right, title and interest in and to (a) the Portfolio issued under the Trust established by that certain Trust Agreement, and all rights under the Trust Agreement to and with respect to the Portfolio, (b) Borrower’s beneficial ownership in (i) the Equipment, (ii) the Leases, (iii) all rights as Servicer under the Servicing Agreement (as defined in the Trust) with respect to the Portfolio and (iv) all other tangible or intangible property, assets or rights of any kind whatsoever, in each case held in trust in the Portfolio by the Trustee as provided in the Trust Agreement whether or not any such items are subject to the Uniform Commercial Code, as the same may be in effect in the State of New York, as amended from time to time (the “UCC”), and whether or not affixed to any realty, including (1) all additions to, accessions to, substitutions for, replacements of and supporting obligations of the foregoing; (2) all rents, principal and interest, late fees, indemnities, casualty payments and other payments or sums payable under the Leases and all rights to the collect same; (3) all awards in bankruptcy, reorganization or any action for relief of debtors and payments under any Equipment warranty or otherwise from any “Supplier” as defined in the UCC; (4) the Lease Collateral; (5) all rights to compel performance under the Leases and under or with respect to Lease Collateral and to repossess or foreclose on any Equipment or other Lease Collateral; (6) all proceeds and products of the foregoing, including insurance proceeds; and (7) all business records and information relating to any of the foregoing and any software, improvements to software or other programs for accessing and manipulating such information.

 

d.              “Equipment” means all motor vehicles and other items of equipment subject to the Leases.

 

e.               “Expenses” has the meaning as defined in Section 6 Expenses.

 

f.                “G.A.A.P.” means, with respect to any date of determination, generally accepted accounting principles as used by the Financial Accounting Standards Board and/or the American Institute of Certified Public Accountants consistently applied and maintained throughout the periods indicated.

 

g.               “Leases” means all equipment leases, secured loans or other chattel paper, instruments, payment intangibles or contracts of any kind and howsoever designated between the Trustee, as Trustee for the Portfolio and lessor, and the lessee named therein.

 

h.              “Lease Collateral” means all guaranties and other collateral for any Obligor’s obligations under the Leases.

 

i.                  “Maximum Credit Facility Amount” means seven million five hundred thousand and 00/100 ($7,500,000.00).

 

j.                 “Monthly Payment” means a payment of interest due monthly under any Note.

 

k.              “Notes” means, individually and collectively, all notes executed by Borrower in favor of Bank contemplated by this Credit Agreement.

 

l.                  “Obligations” means any and all indebtedness or other obligations of the Borrower to the Bank in any capacity, now existing or hereafter incurred, however created or evidenced, regardless of kind, class or form, whether direct, indirect, absolute or contingent (including obligations pursuant to any guaranty, endorsement, other assurance of payment or otherwise), whether joint or several, whether from time to time reduced and thereafter increased, or entirely extinguished and thereafter reincurred, together with all extensions, renewals and replacements thereof, and all interest, fees, charges, costs or Expenses which accrue on or in connection with the foregoing, including, but not limited to obligations evidenced by all Notes issued thereunder and any other indebtedness or obligations (i) not yet outstanding but contracted for, or with regard to

 

 

which any other commitment by the Bank exists; (ii) arising prior to, during or after any pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether allowed or allowable in such proceeding; (iii) owed by the Borrower to others and which the Bank obtained, or may obtain, by assignment or otherwise; and (iv) payable under this Agreement.

 

m.          “Obligor” means any account debtor, obligor, lessee or other party obligated with respect to any Lease, chattel paper, general intangible, instrument, investment property, document or deposit account included in the Lease Collateral

 

n.              “Portfolio” means Portfolio No. 098506-010 represented by the Portfolio Interest Certificate, issued under the Trust.

 

o.              “Prime Rate” means the rate per annum from time to time established by the Bank as the Prime Rate and made available by the Bank at its main office or, in the discretion of the Bank, the base, reference, or other rate then designated by the Bank for general commercial loan reference purposes, it being understood that such rate is a reference rate, not necessarily the lowest, established from time to time, which serves as the basis upon which effective interest rates are calculated for loans making reference thereto.

 

p.              “Required Documentation” means the following documents: (i) form of master lease and all amendments; (ii) three years of company prepared financial statements of the proposed lessee, provided that in the event audited financial statements are available for any fiscal period for any reason whatsoever Bank shall be provided such audited financial statements; (iii) equipment schedule with specifications; (iv) prospective lessee organizational and authorization documents, including but not limited to incumbency certificates, secretary certificates, board resolutions, consent actions; and (v) such further documentation as the Bank may reasonably request, all of the foregoing to be in form and substance acceptable to Bank in Bank’s sole discretion.

 

q.              “Subsidiary” means any corporation or other business entity of which at least fifty percent (50%) of the voting stock or other ownership interest is owned by the Borrower directly or indirectly through one or more Subsidiaries.  If the Borrower has no Subsidiaries, the provisions of this Agreement relating to the Subsidiaries shall be disregarded, without affecting the applicability of such provisions to the Borrower alone.

 

r.                 “Transaction Documents” means this Agreement and all documents, instruments or other agreements by the Borrower in favor of the Bank in connection (directly or indirectly) with the Obligations, whether now or hereafter in existence, including promissory notes, security agreements, guaranties and letter of credit reimbursement agreements.

 

s.                “Trust” or “Trust Agreement” means the certain Trust Agreement dated as of April 18, 2011 between Wilmington Trust Company, as Owner Trustee and Custodian (the “Trustee” or “Custodian”) and Borrower, as (the “Beneficial Owner”); also known as the ATS Master Trust.

 

2.              BASIC TERMS.

 

a.              Advances.  Subject to the continued compliance of Borrower with this Agreement and all other accompanying Transaction Documents and the continued absence of any default by Borrower or any indorser, guarantor, or any other party liable for, or whose assets or any interest therein secures payment of any Obligations, Borrower will provide Bank with the Required Documentation and then Bank may, at its sole and absolute discretion and with no obligation or requirement to, make certain advances evidenced by certain term loans from Bank to Borrower, for use by the Borrower to temporary fund leases within the Trust, in such sums as Borrower may request, but which shall not exceed in the aggregate the Maximum Credit Facility Amount.  Even if the aggregate amount at anyone time advanced and for any reason exceeds the Maximum Credit Facility Amount, Borrower shall nevertheless be liable for the entire amount outstanding and interest thereon in accordance with this Agreement and all accompanying Transaction Documents, and Borrower shall be responsible for observance of, performance of, and compliance with all of the terms, covenants and Transaction Documents, in form and substance acceptable to Bank.  Nothing in this Agreement shall be construed as obligating Bank to make any particular loan or advance to Borrower, and Borrower is not relying upon Bank to make or continue to make any advance or loan for any purpose whatsoever.  All such loans or advances shall remain within the sole discretion of Bank.

 

b.              Procedures.  With respect to each advance and all matters and transactions in connection therewith, Borrower hereby irrevocably authorizes Bank to accept, rely upon, act upon and comply with any oral or written instructions, requests, confirmation, and orders of any employee or representative of Borrower who is so authorized or designated as a signer of Transaction Documents under the provisions of Borrower’s most recent resolutions or similar documents on file with Bank.  Borrower acknowledges that the transmission between Borrower and Bank of any such instructions, requests, confirmations and orders involves the possibility of errors, omissions, mistakes and discrepancies and agrees to adopt such internal measures and operational procedures as may be necessary to protect its interests.  By reason thereof, Borrower hereby assumes all risk of loss and responsibility for, and releases and discharges Bank from any and all responsibility and liability for, and agrees to indemnify, reimburse on demand and hold Bank harmless from, any and all claims, actions, damages, losses, liability and expenses by reason of, arising out of, or in any way connected with or related to: (i) Bank’s accepting, relying and acting upon, complying with or observing any such instruction, request, confirmation or order; or (ii) any such error, omission, mistake, or discrepancy, provided such error, omission, mistake, or discrepancy is not caused by the Bank’s gross negligence or willful misconduct.

 

3.              REPRESENTATIONS AND WARRANTIES.  The Borrower makes the following representations and warranties and any “Additional Representations and Warranties” on the schedule attached hereto and made part hereof (the “Schedule”), all of which shall be deemed to be continuing representations and warranties as long as this Agreement is in effect:

 

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a.              Good Standing; Authority.  The Borrower and each Subsidiary (if either is not an individual) is duly organized, validly existing and in good standing under the laws of the jurisdiction in which it was formed.  The Borrower and each Subsidiary is duly authorized to do business in each jurisdiction in which failure to be so qualified would have a material adverse effect on its business or assets and has the power and authority to own each of its assets and to use them in the ordinary course of business now and in the future.

 

b.              Compliance.  The Borrower and each Subsidiary conducts its business and operations and the ownership of its assets in material compliance with each applicable statute, regulation and other law, including environmental laws.  All material approvals, including authorizations, permits, consents, franchises, licenses, registrations, filings, declarations, reports and notices (the “Approvals”) necessary for the conduct of the Borrower’s and each Subsidiary’s business and for the Credit have been duly obtained and are in full force and effect.  The Borrower and each Subsidiary is in material compliance with the Approvals.  The Borrower and each Subsidiary (if either is not an individual) is in compliance with its certificate of incorporation, by-laws, partnership agreement, articles of organization, operating agreement or other applicable organizational or governing document as may be applicable to the Borrower or a Subsidiary depending on its organizational structure (“Governing Documents”).  The Borrower and each Subsidiary is in material compliance with each agreement to which it is a party or by which it or any of its assets is bound.

 

c.               Legality.  The execution, delivery and performance by the Borrower of this Agreement and the Transaction Documents, (i) are in furtherance of the Borrower’s purposes and within its power and authority; (ii) do not (A) violate any statute, regulation or other law or any judgment, order or award of any court, agency or other governmental authority or of any arbitrator with respect to the Borrower or any Subsidiary or (B) violate the Borrower’s or any Subsidiary’s Governing Documents (if either is not an individual), constitute a default under any material agreement binding on the Borrower or any Subsidiary or result in a lien or encumbrance on any assets of the Borrower or any Subsidiary (except in favor of Bank); and (iii) if the Borrower or any Subsidiary is not an individual, have been duly authorized by all necessary organizational actions.

 

d.              Fiscal Year.  The fiscal year of the Borrower is the calendar year unless the following blank states otherwise: year ending         , 20    .

 

e.               Judgments and Litigation.  There is no pending, or to the knowledge of Borrower, any threatened claim, audit, investigation, action or other legal proceeding or judgment, order or award of any court, agency or other governmental authority or arbitrator (any, an “Action”) which involves the Borrower, its Subsidiaries or their respective assets which would have a material adverse effect upon the Borrower or any Subsidiary or threaten the validity of the Credit, any Transaction Document or any related document or action, except for tax audits of federal and state agencies .  Borrower will immediately notify Bank upon acquiring knowledge of the foregoing.

 

f.                Full Disclosure.  Neither this Agreement nor any certificate, financial statement or other writing provided to the Bank by or on behalf of the Borrower or any Subsidiary contains any statement of fact that is incorrect or misleading in any material respect or omits to state any fact necessary to make any such statement not incorrect or misleading.  The Borrower has not failed to disclose to the Bank any fact that would have a material adverse effect on the Borrower or any Subsidiary.

 

4.              AFFIRMATIVE COVENANTS.  So long as this Agreement is in effect, the Borrower will comply with any “Additional Affirmative Covenant” contained in the Schedule and shall:

 

a.              Financial Statements and Other Information.  Promptly deliver to the Bank (i) within forty-five (45) days after the end of each fiscal quarter, an unaudited consolidating financial statement of the Borrower as of the end of such quarter, which financial statement shall consist of income and cash flows for the quarter, with a consolidating balance sheet as of the quarter end all in such detail as the Bank may request.  The Borrower shall also promptly provide the Bank such information as the Bank may from time to time may reasonably request regarding the financial and business affairs of the Borrower or any Subsidiary.  Borrower will also cause Ameriquest Business Services, Inc., as the “Guarantor” under a certain Continuing Guaranty (the “Guaranty”), to deliver such information as is requested by Bank under the Guaranty.

 

b.              Accounting; Tax Returns and Payment of Claims.  The Borrower and each Subsidiary will maintain a system of accounting and reserves in accordance with G.A.A.P., has filed and will file each tax return required of it and, except as disclosed in the Schedule or as contested in good faith, has paid and will pay when due each tax, assessment, fee, charge, fine and penalty imposed by any taxing authority upon it or any of its assets, income or franchises, as well as all amounts owed to mechanics, materialmen, landlords, suppliers and the like in the normal course of business.

 

c.               Inspections.  Promptly upon the Bank’s request, the Borrower will permit, and cause its Subsidiaries to permit, the Bank’s officers, attorneys or other agents to inspect its and its Subsidiary’s premises, examine and copy its records and discuss its and its Subsidiary’s business, operations and financial or other condition with its and its Subsidiary’s responsible officers and independent accountants; provided that, Bank shall not be permitted to conduct such inspections and examinations more than two (2) times per calendar year.

 

d.              Changes in Management and Control.  If the Borrower is not an individual, immediately upon any change in the identity of the Borrower’s chief executive officers or in its beneficial ownership, the Borrower will provide to the Bank a certificate executed by its senior individual authorized to transact business on behalf of the Borrower, specifying such change.

 

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e.               Notice of Defaults and Material Adverse Changes.  Immediately upon acquiring reason to know of (i) any Event of Default, (ii) any event or condition that might have a material adverse effect upon the Borrower or any Subsidiary or (iii) any Action, the Borrower will provide to the Bank a certificate executed by the Borrower’s senior individual authorized to transact business on behalf of the Borrower, specifying the date(s) and nature of the event or the Action and what action the Borrower or its Subsidiary has taken or proposes to take with respect to it.

 

f.                Insurance.  Maintain its, and cause its Subsidiaries to maintain, property in good repair and will on request provide the Bank with evidence of insurance coverage satisfactory to the Bank, including fire and hazard, liability, workers’ compensation and business interruption insurance and flood hazard insurance as required.

 

g.               Further Assurances.  Promptly upon the request of the Bank, the Borrower will execute, and cause its Subsidiaries to execute, and deliver each in writing and take each other action that the Bank deems necessary or desirable in connection with any transaction contemplated by this Agreement.

 

5.              DEFAULT; MANDATORY PREPAYMENT; RIGHTS AND REMEDIES UPON DEFAULT.

 

a.              Events of Default.  Any of the following events or conditions shall constitute an “Event of Default”: (i) failure by the Borrower to pay (whether at the stated maturity, by acceleration, upon demand or otherwise) the Obligations, or any part thereof; provided that Borrower may cure any failure to make a Monthly Payment within two (2) Business Days after receipt of notice of nonpayment from Bank (ii) default by the Borrower in the performance of any obligation, term or condition of this Agreement, the other Transaction Documents or any other agreement with the Bank or any of its affiliates or subsidiaries (collectively, “Affiliates”) and such default is not cured within thirty (30) days after receipt of notice of default from Bank or Affiliates, as the case may be; (iii) failure by the Borrower to pay when due after giving effect to any applicable grace or cure period (whether at the stated maturity, by acceleration, upon demand or otherwise) any indebtedness or obligation owing to any third party, the occurrence of any event which could result in acceleration of payment of any such indebtedness or obligation or the failure to perform any agreement with any third party, and in each case (a) relating to indebtedness or obligations of Borrower totaling an aggregate amount greater than $500,000.00, and (b) such failure has not been waived by such third party; (iv) the Borrower is dissolved, becomes insolvent, generally fails to pay or admits in writing its inability generally to pay its debts as they become due; (v) the Borrower makes a general assignment, arrangement or composition agreement with or for the benefit of its creditors or makes, or sends notice of any intended, bulk sale; the sale, assignment, transfer or delivery of all or substantially all of the assets of the Borrower to a third party; or the cessation by the Borrower as a going business concern; (vi) the Borrower files a petition in bankruptcy or institutes any action under federal or state law for the relief of debtors or seeks or consents to the appointment of an administrator, receiver, custodian or similar official for the wind up of its business (or has such a petition or action filed against it and such petition action or appointment is not dismissed or stayed within forty-five (45) days); (vii) the reorganization, merger, consolidation or dissolution of the Borrower, including the transfer or disposition of substantially all of its assets, acquiring substantially all of the assets of any other entity, doing business under or otherwise using any name other than its true name or making any material change in its business, structure, purposes or operations that , in the Bank’s opinion, would have a material adverse effect on the Borrower’s ability to perform the Obligations (or the making of any agreement therefor); (viii) the death or judicial declaration of incompetency of the Borrower, if an individual; (ix) the entry of any judgment or order of any court, other governmental authority or arbitrator against the Borrower in excess of $500,000.00, unless a stay of enforcement of such judgment or order in effect, by reason of a pending appeal; (x) falsity, omission or inaccuracy of facts submitted to the Bank or any Affiliate (whether in a financial statement or otherwise) in any material respect; (xi) an adverse change in the Borrower, its business, assets, operations, affairs or condition (financial or otherwise) from the status shown on any financial statement or other document submitted to the Bank or any Affiliate, and which change the Bank determines will have a material adverse effect on (a) the Borrower, its business, assets, operations or condition (financial or otherwise), or (b) the ability of the Borrower to pay or perform the Obligations; (xii) any pension plan of the Borrower fails to comply with applicable law or has vested unfunded liabilities that, in the opinion of the Bank, might have a material adverse effect on the Borrower’s ability to repay its debts; (xiii) any evidence received by the Bank that the Borrower has directly or indirectly been engaged in any type of activity which, in the Bank’s reasonable discretion, might result in the loss or forfeiture of any Collateral of the Borrower to any governmental authority; (xiv) the occurrence of any event described in Section 5(a)(i) through and including 5(a)(xiii) with respect to any Subsidiary or to any endorser, guarantor or any other party liable for, or whose assets or any interest therein secures, payment of any of the Obligations; (xv) default by the Guarantor in the performance of any obligation, term or condition of the Guaranty or (xv) the Bank in good faith deems itself insecure with respect to payment or performance of the Obligations.

 

b.              Mandatory Prepayment.  Borrower acknowledges and agrees that its duties under the Servicing Agreement include (i) the giving of notices of default and the enforcement of the rights of Lessor under the Leases, and (ii) the protection of the Portfolio’s ownership of the Equipment.  If any Obligor shall fail to pay any rent or other amount as or when due under any Lease, or if any Obligor shall otherwise breach the terms of or default under any Lease, then, after the expiration of any grace period or the giving of any notice of default provided in such Lease, all Notes secured by all Leases with such Obligor shall be accelerated and all principal, accrued interest and other amounts due thereunder shall be due and payable within ten (10) Business Days following written demand by Bank.  If any Equipment vendor or other party charged with obtaining the certificate of title for an item of Equipment shall fail to proceed diligently to obtain such certificate of title, or if any certificate of title is issued without designating as sole owner the Trustee under the Trust Agreement, as trustee for the Portfolio, then an allocated portion of the principal under the Note secured by such item of Equipment determined reasonably by the Bank shall be accelerated and all principal, accrued interest and other amounts due thereunder shall be due and payable within ten (10) Business Days following written demand by Bank.

 

c.               Rights and Remedies Upon Default.  Upon the occurrence of any Event of Default, the Bank without demand of performance or other demand, presentment, protest, advertisement or notice of any kind (except any notice required by law) to or upon the Borrower, any Subsidiary or any other person (all and each of which demands, presentments, protests, advertisements and notices are hereby waived), may exercise all rights and remedies under the Borrower’s or its Subsidiaries’ agreements with the Bank or its Affiliates, applicable law, in equity or otherwise and may declare

 

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all or any part of any Obligations not payable on demand to be immediately due and payable without demand or notice of any kind and terminate any obligation it may have to grant any additional loan, credit or other financial accommodation to the Borrower or any Subsidiary.  All or any part of any amounts due hereunder whether or not payable on demand, shall be immediately due and payable automatically upon the occurrence of an Event of Default in sub-paragraphs Section 5(a) clauses (v) - (vii) or (ix) — (xiii) above, or at the Bank’s option, upon the occurrence of any other Event of Default.  The provisions hereof are not intended in any way to affect any rights of the Bank with respect to any Obligations which may now or hereafter be payable on demand.

 

6.              EXPENSES.  The Borrower shall pay to the Bank on demand (i) a loan funding fee in the amount of one thousand dollars ($1,000) in immediately available funds on the date of each advance under this Credit Agreement (Borrower agrees that such demand is presumed to be made at the time of the advance); and (ii) all costs and expenses (including all reasonable fees and disbursements of counsel retained for advice, suit, appeal or other proceedings or purpose and of any experts or agents it may retain), which the Bank may incur in connection with (a) the administration of the Obligations, including any administrative fees the Bank may impose for the preparation of discharges, releases or assignments to third-parties; (b) the enforcement and collection of any Obligations or any guaranty thereof; (c) the exercise, performance, enforcement or protection of any of the rights of the Bank hereunder; or (d) the failure of the Borrower or any Subsidiary to perform or observe any provisions hereof.  After such demand for payment of any cost, expense or fee under this Section or elsewhere under this Agreement, the Borrower shall pay interest at the highest default rate specified in any instrument evidencing any of the Obligations from the date payment is demanded by the Bank to the date reimbursed by the Borrower.  All such costs, expenses or fees under this Agreement (collectively the “Expenses”) shall be added to the Obligations.

 

7.              TERMINATION.  This Agreement shall remain in full force and effect until all Obligations outstanding, or contracted or committed for (whether or not outstanding), shall be finally and irrevocably paid in full.  Provided that all Obligations outstanding, or contracted or committed for (whether or not outstanding) have been finally and irrevocably paid in full, this Agreement shall terminate five (5) years from the date of its execution.

 

8.              RIGHT OF SETOFF.  If an Event of Default occurs and during its continuance, the Bank shall have the right to set off against the amounts owing under this Agreement and the other Transaction Documents any property of Borrower held in a deposit or other account or otherwise with the Bank or its Affiliates or otherwise owing by the Bank or its Affiliates in any capacity to the Borrower, its Subsidiary or any guarantor of, or endorser of any of the Transaction Documents evidencing, the Obligations.  Such setoff shall be deemed to have been exercised immediately at the time the Bank or such Affiliate elect to do so.

 

9.              MISCELLANEOUS.

 

a.              Notices.  Any demand or notice hereunder or under any applicable law pertaining hereto shall be in writing and duly given if delivered to Borrower (at its address on the Bank’s records) or to the Bank (at the address on page one and separately to the Bank officer responsible for Borrower’s relationship with the Bank).  Such notice or demand shall be deemed sufficiently given for all purposes when delivered (i) by personal delivery and shall be deemed effective when delivered, or (ii) by mail or courier and shall be deemed effective three (3) Business Days after deposit in an official depository maintained by the United States Post Office for the collection of mail or one (1) Business Day after delivery to a nationally recognized overnight courier service (e.g., Federal Express).  Notice by e-mail is not valid notice under this or any other agreement between Borrower and the Bank.

 

b.              Generally Accepted Accounting Principles.  Any financial calculation to be made, all financial statements and other financial information to be provided, and all books and records, system of accounting and reserves to be kept in connection with the provisions of this Agreement, shall be in accordance with G.A.A.P. consistently applied during each interval and from interval to interval; provided, however, that in the event changes in G.A.A.P. shall be mandated by the Financial Accounting Standards Board or any similar accounting body of comparable standing, or should be recommended by Borrower’s certified public accountants, to the extent such changes would affect any financial calculations to be made in connection herewith, such changes shall be implemented in making such calculations only from and after such date as Borrower and the Bank shall have amended this Agreement to the extent necessary to reflect such changes in the financial and other covenants to which such calculations relate.

 

c.               Indemnification.  If after receipt of any payment of all, or any part of, the Obligations, the Bank is, for any reason, compelled to surrender such payment to any person or entity because such payment is determined to be void or voidable as a preference, an impermissible setoff, or a diversion of trust funds, or for any other reason, the Transaction Documents shall continue in full force and the Borrower shall be liable, and shall indemnify and hold the Bank harmless for, the amount of such payment surrendered.  The provisions of this Section shall be and remain effective notwithstanding any contrary action which may have been taken by the Bank in reliance upon such payment, and any such contrary action so taken shall be without prejudice to the Bank’s rights under the Transaction Documents and shall be deemed to have been conditioned upon such payment having become final and irrevocable.  The provisions of this Section shall survive the termination of this Agreement and the Transaction Documents.

 

d.              Further Assurances.  From time to time, the Borrower shall take, and cause its Subsidiaries to take, such action and execute and deliver to the Bank such additional documents, instruments, certificates, and agreements as the Bank may reasonably request to effectuate the purposes of the Transaction Documents.

 

e.               Cumulative Nature and Non-Exclusive Exercise of Rights and Remedies.  All rights and remedies of the Bank pursuant to this Agreement and the Transaction Documents shall be cumulative, and no such right or remedy shall be exclusive of any other such right or

 

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remedy.  In the event of any unreconcilable inconsistencies, this Agreement shall control.  No single or partial exercise by the Bank of any right or remedy pursuant to this Agreement or otherwise shall preclude any other or further exercise thereof, or any exercise of any other such right or remedy, by the Bank.

 

f.                Governing Law; Jurisdiction.  This Agreement has been delivered to and accepted by the Bank and will be deemed to be made in the State of New York.  Except as otherwise provided under federal law, this Agreement will be interpreted in accordance with the laws of the State of New York excluding its conflict of laws rules.  BORROWER HEREBY IRREVOCABLY CONSENTS TO THE EXCLUSIVE JURISDICTION OF ANY STATE OR FEDERAL COURT IN THE STATE OF NEW YORK IN A COUNTY OR JUDICIAL DISTRICT WHERE THE BANK MAINTAINS A BRANCH AND CONSENTS THAT THE BANK MAY EFFECT ANY SERVICE OF PROCESS IN THE MANNER AND AT BORROWER’S ADDRESS SET FORTH ABOVE FOR PROVIDING NOTICE OR DEMAND; PROVIDED THAT NOTHING CONTAINED IN THIS AGREEMENT WILL PREVENT THE BANK FROM BRINGING ANY ACTION, ENFORCING ANY AWARD OR JUDGMENT OR EXERCISING ANY acknowledges and agrees that the venue provided above is the most convenient forum for both the Bank and Borrower.  Borrower waives any objection to venue and any objection based on a more convenient forum in any action instituted under this Agreement.

 

g.               Joint and Several; Successors and Assigns.  If there is more than one Borrower, each of them shall be jointly and severally liable for all amounts, which become due, and the performance of all obligations under this Agreement, and the term “the Borrower” shall include each as well as all of them.  This Agreement shall be binding upon the Borrower and upon its heirs and legal representatives, its successors and assignees, and shall inure to the benefit of, and be enforceable by, the Bank, its successors and assignees and each direct or indirect assignee or other transferee of any of the Obligations; provided, however, that this Agreement may not be assigned by the Borrower without the prior written consent of the Bank.

 

h.              Waivers; Changes in Writing.  No failure or delay of the Bank in exercising any power or right hereunder 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 Borrower expressly disclaims any reliance on any course of dealing or usage of trade or oral representation of the Bank (including representations to make loans to the Borrower) and agrees that none of the foregoing shall operate as a waiver of any right or remedy of the Bank.  No notice to or demand on the Borrower in any case shall entitle the Borrower to any other or further notice or demand in similar or other circumstances.  No waiver of any provision of this Agreement or consent to any departure by the Borrower therefrom shall in any event be effective unless made specifically in writing by the Bank and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given.  No modification to any provision of this Agreement shall be effective unless made in writing in an agreement signed by the Borrower and the Bank.

 

i.                  Interpretation.  Unless the context otherwise clearly requires, references to plural includes the singular and references to the singular include the plural; references to “individual” shall mean a natural person and shall include a natural person doing business under an assumed name (e.g., a “DBA”); the word “or” has the inclusive meaning represented by the phrase “and/or”; the word “including”, “includes” and “include” shall be deemed to be followed by the words “without limitation”; and captions or section headings are solely for convenience and not part of the substance of this Agreement.  Any representation, warranty, covenant or agreement herein shall survive execution and delivery of this Agreement and shall be deemed continuous.  Each provision of this Agreement shall be interpreted as consistent with existing law and shall be deemed amended to the extent necessary to comply with any conflicting law.  If any provision nevertheless is held invalid, the other provisions shall remain in effect.  The Borrower agrees that in any legal proceeding, a photocopy of this Agreement kept in the Bank’s course of business may be admitted into evidence as an original.

 

j.                 Waiver of Jury Trial.  THE BORROWER AND THE BANK HEREBY KNOWINGLY, VOLUNTARILY, AND INTENTIONALLY WAIVE ANY RIGHT TO TRIAL BY JURY THE BORROWER AND THE BANK MAY HAVE IN ANY ACTION OR PROCEEDING, IN LAW OR IN EQUITY, IN CONNECTION WITH THIS AGREEMENT OR ANY TRANSACTIONS RELATED HERETO.  THE BORROWER REPRESENTS AND WARRANTS THAT NO REPRESENTATIVE OR AGENT OF THE BANK HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE BANK WILL NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THIS JURY TRIAL WAIVER.  THE BORROWER ACKNOWLEDGES THAT THE BANK HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE PROVISIONS OF THIS SECTION.

 

6

 

Acknowledgment.  Borrower acknowledges that it has read and understands all the provisions of this Agreement, including the Governing Law, Jurisdiction and Waiver of Jury Trial, and has been advised by counsel as necessary or appropriate.

 

	
 
    	
 
    	
M&T BANK,
    
	
 
    	
 
    	
a New York banking   corporation.
    
	
 
    	
 
    	
 
    
	
/s/ Patricia L. Meyer
    	
 
    	
By
    	
/s/ Derek Lynch
    
	
Signature of Witness
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Derek Lynch
    
	
Patricia L. Meyer
    	
 
    	
 
    	
 
    
	
Typed Name of Witness
    	
 
    	
Title:
    	
Vice President
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
AMERIQUEST REMARKETING   SERVICES, INC.,
    
	
 
    	
 
    	
a Florida corporation.
    
	
 
    	
 
    	
 
    
	
/s/ Pamela B. Schmitt
    	
 
    	
By
    	
/s/ Mark Joyce
    
	
Signature of Witness
    	
 
    	
 
    
	
 
    	
 
    	
Name: Mark Joyce
    
	
Pamela B. Schmitt
    	
 
    	
 
    
	
Typed Name of Witness
    	
 
    	
Title: Executive   Vice President & Chief Financial Officer
    
					

 

7

 

ACKNOWLEDGMENT

 

	
STATE OF Maryland
    	
)
    
	
 
    	
: SS.
    
	
COUNTY OF Baltimore
    	
)
    

 

On the 14 day of February, in the year 2014, before me, the undersigned, a Notary Public in and for said State, personally appeared Derek Lynch, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.

 

	
 
    	
/s/ Patricia L. Meyer
    
	
 
    	
Notary Public
    

 

ACKNOWLEDGMENT

 

	
STATE OF Illinois
    	
)
    
	
 
    	
: SS.
    
	
COUNTY OF DuPage
    	
)
    

 

On the 4th day of February, in the year 2014, before me, the undersigned, a Notary Public in and for said State, personally appeared Mark Joyce, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.

 

	
 
    	
/s/ Pamela B Schmitt
    
	
 
    	
Notary Public
    

 

8

 

BANK USE ONLY

 

	
Authorization   Confirmed:
    	
/s/ Derek Lynch
    
	
 
    	
Signature
    

 

9

 

FIRST AMENDMENT TO CREDIT AGREEMENT

 

This First Amendment to Credit Agreement (this “First Amendment”) is effective as of April 16, 2014 (the “First Amendment Effective Date”), between AMERIQUEST REMARKETING SERVICES, INC., a Florida corporation (“Borrower”), and  M&T BANK, a New York banking corporation (“Bank”).

 

W I T N E S S E T H:

 

WHEREAS, Borrower and Bank are parties to that certain Credit Agreement dated as of February 10, 2014 (as amended, the “Credit Agreement”) (unless otherwise defined herein, all terms used herein shall have the meaning given such terms in the Credit Agreement, as amended by this First Amendment);

 

WHEREAS, pursuant to the Credit Agreement, the Bank has made extensions of credit to Borrower;

 

WHEREAS, the parties desire to enter into this First Amendment to amend the definition of “Portfolio” to reference the correct Portfolio Interest Certificate to be effective as of the First Amendment Effective Date on the terms and conditions set forth herein; and

 

NOW THEREFORE, for and in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged and confessed, subject to the terms and conditions set forth herein, Borrower and the Bank hereto hereby agree as follows:

 

SECTION 1.                            Amendments.  In reliance on the representations, warranties, covenants and agreements contained in this First Amendment, the Credit Agreement is hereby amended effective as of the First Amendment Effective Date in the manner provided in this Section 1.

 

1.1                               Amended and Restated Definitions.  The definition of “Portfolio”, contained in Section 1.n. of the Credit Agreement is hereby amended and restated in its entirety to read in full as follows:

 

n.  “Portfolio” means Portfolio No. 098506-011 represented by the Portfolio Interest Certificate, issued under the Trust.

 

SECTION 2.                            Representations and Warranties of Borrower.  To induce the Bank to enter into this First Amendment, Borrower hereby represents and warrants to the Bank as follows:

 

2.1                               Reaffirm Existing Representations and Warranties.  Each representation and warranty of Borrower contained in the Credit Agreement and the other Transaction Documents is true and correct on the date hereof and will be true and correct after giving effect to amendments to the Credit Agreement set forth in Section 1 hereof.

 

2.2                               Due Authorization; No Conflict.  The execution, delivery and performance by Borrower of this First Amendment are within Borrower’s corporate powers, have been duly

 

 

authorized by all necessary action, require no action by or in respect of, or filing with, any governmental body, agency or official and do not violate or constitute a default under any provision of applicable law or any material agreement binding upon Borrower or result in the creation or imposition of any lien upon any of the assets of Borrower (except in favor of Bank).

 

2.3                               Validity and Enforceability.  This First Amendment constitutes the valid and binding obligation of Borrower enforceable in accordance with its terms, except as (a) the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting creditor’s rights generally, and (b) the availability of equitable remedies may be limited by equitable principles of general application.

 

SECTION 3.                            Miscellaneous.

 

3.1                               No Other Modification; Construction.  Except as expressly amended hereby, the Credit Agreement and all other Transaction Documents are and shall be unmodified and remain in full force and effect, and nothing contained herein shall constitute or be deemed a waiver of any of the rights or obligations of the parties prior to the date hereof.  Each reference to the Credit Agreement in the Transaction Documents shall mean and be a reference to the Credit Agreement as amended hereby, and this First Amendment and the Credit Agreement shall be read together and construed as a single instrument.

 

3.2                               Counterparts.  This First Amendment may be executed in counterparts, and all parties need not execute the same counterpart; however, no party shall be bound by this First Amendment until Borrower and Bank have executed a counterpart and the Guarantor has executed the consent attached hereto.  Facsimiles or other electronic transmission (e.g. .pdf) shall be effective as originals.

 

3.3                               Complete Agreement.  THIS FIRST AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER TRANSACTION DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR ORAL AGREEMENTS OF THE PARTIES.  THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN OR AMONG THE PARTIES.

 

3.4                               Headings.  The headings, captions and arrangements used in this First Amendment are, unless specified otherwise, for convenience only and shall not be deemed to limit, amplify or modify the terms of this First Amendment, nor affect the meaning thereof.

 

3.5                               Effectiveness.  This First Amendment shall be effective automatically and without necessity of any further action by Borrower or the Bank when counterparts hereof have been executed by Borrower and Bank.

 

3.6                               Governing Law.  This First Amendment shall be governed by, and construed in accordance with, the laws of the State of New York.

 

[Signature pages to follow]

 

 

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to be duly executed by their respective Responsible Officers on the date and year first above written.

 

 

	
BORROWER:
    	
AMERIQUEST   REMARKETING SERVICES, INC., a Florida corporation
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mark Joyce
    
	
 
    	
 
    	
Mark   Joyce,
    
	
 
    	
 
    	
Executive   Vice President  & CFO
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
BANK:
    	
M&T   BANK
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek Lynch
    
	
 
    	
Name:
    	
Derek   Lynch
    
	
 
    	
Title:
    	
Vice President
    

 

 

The undersigned (a) consents and agrees to this First Amendment, and (b) agrees that the Transaction Documents to which it is a party (including, without limitation, the Guaranty Agreement dated as of February 10, 2014) shall remain in full force and effect and shall continue to be the legal, valid and binding obligation of each such undersigned, enforceable against it in accordance with its terms.

 

	
 
    	
CONSENTED, ACKNOWLEDGED AND AGREED TO BY:
    
	
 
    	
 
    
	
 
    	
AMERIQUEST   BUSINESS SERVICES, INC., a New Jersey corporation
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mark Joyce
    
	
 
    	
 
    	
Mark   Joyce,
    
	
 
    	
 
    	
Executive   Vice President  & CFOExhibit 10.14

 

Volvo Financial Services

 

Master Loan and Security Agreement

 

BORROWER’S NAME AND ADDRESS

 

	
Legal Name: 
    	
 
    	
AMERIQUEST   LEASING & MAINTENANCE, INC.
    
	
 
    	
 
    	
 
    
	
Business Type: 
    	
 
    	
C   Corporation 
    
	
 
    	
 
    	
 
    
	
Mailing Address:
    	
 
    	
6195   Crooked Creek Rood ATTN: Kelly Winnett, NORCROSS, GA, 30092
    
	
 
    	
 
    	
 
    
	
Street Address:
    	
 
    	
6195   Crooked Creek Road
    
	
 
    	
 
    
	
City: 
    	
 
    	
NORCROSS
    	
State:   GA
    	
Zip:   30092
    
	
 
    	
 
    
	
County:
    	
 
    	
GWINNETT
    	
Telephone:   770-225-6586
    	
Fax:
    
	
 
    	
 
    
	
Federal ID/SSN:
    	
 
    	
27-3135502   
    
	
 
    	
 
    
	
Customer No:
    	
 
    	
7621040
    	
State   of Formation: DE or State of Residence: N/A
    
								

 

Dated: As of 3/29/2012

 

	
Borrower: AMERIQUEST   LEASING & MAINTENANCE, INC, DBA Cure Leasing &   Maintenance 
    	
 
    	
Lender: Volvo Financial   Services, a division of VFS US LLC 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
7025 Albert Pick Road,   Suite 105 (27409)
    
	
Title:
    	
 
    	
 
    	
P.O. Box 26131
    
	
Print Name:
    	
 
    	
 
    	
Greensboro, North   Carolina 27402-6131
    
	
Signature:
    	
 
    	
 
    	
Signature:
    
	
X
    	
 
    	
 
    	
 
    

 

This Master Loan and Security Agreement (this “Agreement”) is entered into as of 3/29/2012 by and between AMERLQUEST LEASING & MAINTENANCE, INC. (“Borrower,” and if more than one, jointly and severally, the “Borrower”), whose principal place of business is at the address set forth above, and Volvo Financial Services, a division of VFS US LLC, a Delaware limited liability company, (“Lender”), at 7025 Albert Pick Road Suite 105, PO Box 26131, Greensboro, North Carolina 27402-6131 (“Lender”),

 

Borrower has requested Lender to make loans from time to time to Borrower, the proceeds of which will be used by Borrower to acquire directly from sellers and/or manufacturers such construction, motor vehicles, trailers, and other personal property or related equipment (collectively, the “Equipment”) as more particularly described on schedules to be attached from time to time to this Agreement in the form attached as Exhibit “A” (each a “Schedule”) and, subject to the terms and conditions of this Agreement, Lender has to agree to make such loans to Borrower, the proceeds of the loans to be used for such acquisitions. In order to induce Lender to enter into this Agreement, Borrower has agreed to grant Lender a purchase money, first priority security interest in the Equipment. When used in this Master Loan and Security Agreement, the phrase “this Agreement” and any similar phrase shall mean collectively, this Agreement, all Schedules and and other documents executed by Lender and Borrower. Each Schedule shall be deemed a separate loan agreement with respect to the Equipment described therein, and each Schedule shall be deemed to incorporate by reference the terms of this Agreement.

 

For valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Borrower and Leader agree as follows:

 

I.  The Loan, Subject to satisfaction of all of the terms and conditions of this Agreement, Lender agrees to loan to Borrower, in one or more transactions, such amounts as maybe mutually agreed upon by Lender and Borrower from time to time (collectively, the, “Loan Amount”).

 

(a)  Advances.  Each advance of a portion of the Loan Amount (an “Advance”) shall be evidenced by a Promissory Note (Secured) in form and substance satisfactory to Lender and substantially in the form attached as Exhibit “B” to this Agreement (each a “Note”). Borrower agrees to make all payments of any amounts due under this Agreement, the Notes, or any ether agreement or document executed in connection therewith, in the manner required by Lender, including, but not limited to, by wire transfer, electronic funds transfer, or by automatic withdrawal from Borrower’s accounts.

 

(b)  Conditions Precedent.  Lender shall have no obligation to make any Advance to or on behalf of Borrower until all of the following conditions precedent are fulfilled to the reasonable satisfaction of Lender: (i) all of the representations made by Borrower in this Agreement are true and accurate as of the date of such requested Advance (each a “Funding Date”); (ii) Borrower has provided Lender with evidence of Borrower’s compliance with the insurance requirements set forth in this Agreement; (iii) Lender has received UCC Form 1 Financing Statements (if required by Lender) which Borrower hereby authorizes Lender to file and, if applicable, evidence of titling and registration of the Equipment for which the Advance has been requested, all of such documents reflecting Lender’s first priority security interest in form and substance satisfactory to Lender; (iv) if required by Lender, Borrower has provided a certificate of its secretary or other authorized officer certifying (1) Borrower’s charter and governing documents, (2) resolutions of Borrower’s governing board duly authorizing the execution, delivery, and performance of this Agreement, the Notes, and all other documents executed in connection therewith (each a “Loan Document” and collectively with any guaranties required under this Agreement, the “Loan Documents”), and (3) the incumbency and signatures of the officers authorized to execute the Loan Documents; (v) if required by Lender, Lender has received executed guaranties in form and substance satisfactory to Lender; (vi) Lender has received a Schedule and Note executed by Borrower, each in form and substance satisfactory to Lender; (vii) if Lender so requires, opinion(s) of counsel for each Borrower and any Guarantor, in form and substance satisfactory to Lender; (vii) a certificate form a duly executed officer of Borrower that no Event of Default or event which, but for the passage of time or the giving of notice, or both, would constitute an Event of Default under any of the Loan Documents has occurred and is continuing, and (ix) such other documents may be requested by Lender.

 

2. Security Agreement.  To secure Borrower’s full and complete payment and performance under all of the Loan documents, Borrower hereby grants to Lender a security interest in and to the Equipment and such other equipment and goods as described on the Schedules now and hereafter to be attached to this Agreement together with all attachments, accessions, replacements, parts, proceeds (including insurance proceeds), income, earnings, accounts, rights to payment (including monetary obligations, whether or not earned to performance), secondary obligations incurred or to be incurred, chattel paper, electronic chattel paper, general

 

 

intangibles, payment intangibles, promissory notes, warranties, service contracts, documents, records now or hereafter arising front the Equipment (collectively, the “Collateral”).  The security interest in the Collateral and the rights granted hereunder shall secure the following (collectively, the “Obligations”): (i) the indebtedness of Borrower to Lender, or any affiliates of Lender, evidenced by each of the Notes (and any renewals, extensions, or modifications thereof), together with interest thereon, late charges, and costs of collection as provided in each of the Notes; (ii) the payments of all amounts agreed to be paid by Borrower in this Agreement and the other Loan Documents; and (iii) the observance and performance by Borrower of all of the terms, provisions, and covenants to be performed by Borrower under this Agreement or any of the other Loan Documents, or under any agreements of whatever nature with any affiliate of the Lender. The security interest shall remain in full effect, without waiver or surrender of any of Lender’s rights hereunder, notwithstanding any one or more of the following: (i) extension of the time of payment of the whole or any part any of any Note; (ii) any change in the terms and conditions of any Note; (iii) substitution of any other note or evidence of indebtedness for any Note; (iv) surrender, release, exchange, or alteration or any Collateral or other security, either in whole or in part; or (v) release, settlement, discharge, compromise, change, or amendment, in whole or in part, of any claim of Lender against Borrower or of any claim against any guarantor or other party secondarily or additionally liable for the payment of any Note.

 

3.  Borrower’s Representations.  Borrower warrants and represent to Lender, expressly acknowledging that Lender is relying on these warranties and representations, that, as of the date of this Agreement and/or the date or each Advance, as applicable, and agrees that until all of the Obligations have been irrevocably satisfied in full: (i) all information supplied by Borrower in any financial, credit, or accounting statement to Lender is and will be true, correct, and genuine; (ii) that each item of Equipment is to be used only for business purposes; (iii) Borrower is duly organized, validly existing, and in good standing under the laws of the state of its formation; (iv) Borrower has the full authority to enter into each of the Loan Documents and to perform all of its obligations under each of the Loan Documents; (v) Borrower has duly executed, authorized, and delivered all of the Loan Documents and each of the Loan Documents constitutes the legal, valid, and binding obligation of Borrower, enforceable against Borrower in accordance with its terms; (vi) that the execution, delivery, and performance of the transactions contemplated in each of the Loan Documents does not require the approval of any stockholder, trustee, or holder of any obligations of Borrower and does not and will not violate any law, rule, or order now binding on Borrower, or the charter, by-laws, or other governing documents of Borrower, or violate the provisions of, constitute a default under, or result in the creation of any lien or encumbrance upon the property of Borrower under, any contract or agreement to which Borrower is a party or by which it or its assets are bound, or require the consent or approval or the giving of notice to the federal or any state or local government (other than customary titling, registration, and security interest filings); (vii) there are no pending or overtly threatened actions or proceedings, which either, individually, or in the aggregate, would materially adversely affect the financial condition of Borrower or Borrower’s ability to fully perform all of its obligations under any of the Loan Documents; (viii) the Equipment is owned by Borrower and are free of all security interests and liens, except for the lien of the Loan Documents; (ix) Borrower maintains its principal place of business at the address set forth on page 1 of this Agreement, and Borrower’s exact legal name and state of formation, are identified on page 1 of this Agreement; Borrower agrees not to change its principal place of business, state of formation, or legal name without 30 days’ prior written notice to Lender, and Borrower retains its records concerning the Collateral at the address set forth above; and (x) Lender shall have a perfected security interest in the Collateral at all times that shall be prior to any other interests in the Collateral.

 

4.  Borrower’s Obligations.  In addition to and not in limitation of any other agreements of Borrower, Borrower agrees at its sole expense: (a) to use or permit the use of each item of Equipment only in the United States (or in Canada for not more than 60 days during any rolling 12 calendar month period to be determined individually for each item of Equipment) in the ordinary course of its business and in compliance with all applicable laws and regulations and insurance policies; (b) to keep each item of Equipment free from all claims and liens; (c) to file, report, and pay on its and Lender’s behalf by their due date all taxes, fees, and assessments of any and every kind on each item of Equipment sending a copy of such filing and payment contemporaneously to Lender; (d) to defend any action, proceeding, or claim affecting the Equipment or Lender’s security interest therein; (e) to maintain the Equipment in good operating condition, repair, and appearance in conformity with all governmental regulations, Insurance requirements, and manufacturer’s warranty requirements; (f) if titled Equipment, to obtain a certificate of title on each item of Equipment showing Lender’s security interest, and for all types of Equipment to preserve and perfect Lender’s security interest by authorizing Lender to file financing statements and also execute any required financing statements; (g) to not misuse, secrete, sell, rent, lend, encumber, transfer, or illegally use any of the Equipment nor permit any item of Equipment to be operated by or be in the possession of any affiliate of Borrower nor any other entity nor assign any of its interests or obligations (regardless of whether any of the foregoing occur voluntarily or by operation or law); (h) that Lender may enter any premises to inspect the Equipment or Borrower’s books and records on the Equipment at any time during usual business hours; (i) to provide Lender with complete financial information of Borrower upon request by Lender from time to time, such financial information to include income statements and balance sheets, prepared in accordance with generally accepted accounting principles — unaudited on a quarterly basis within 30 days after the end of each quarter and audited on an annual basis within 90 days after each fiscal year end; (j) to give Lender prompt written notice of any lien or claim on any Item of Equipment for which it is obligated to indemnify Lender; (k) Borrower will not transfer or permit any transfer of any part of the Collateral to be made or any interest therein to be created by sale (except as expressly permitted in this Agreement), grant of a security interest, or by levy, or other judicial process (whether occurring voluntarily or by operation of law); (l) Borrower may sell or dispose of only that part of the Collateral that Borrower is obligated hereby to replace, and, unless the proceeds are invested in replacement property of like kind and of equal or greater value, or Lender agrees otherwise in writing, all proceeds of any such sale or other disposition shall promptly be paid by Borrower to Lender to be applied against the Obligations, regardless of whether the Obligations are then due and payable; (m) Borrower shall take all actions and execute and file all documents reasonably requested by Lender to establish, maintain, and continue the perfected security interest of Lender in the Collateral and that a carbon, photographic, or other reproduction of this Agreement may be filed as a financing statement; (n) Borrower will, within ten (10) days of receipt of written notice from Lender, pay all costs and expenses of filing and recording (including the costs of all searches deemed necessary by Lender) to establish, maintain, and determine the validity of Lender’s security interest; (o) Borrower, within ten (10) days after any request of Lender, will confirm the amount due on any Note and will provide a description of any alleged offsets, counterclaims, or defenses to the payment thereof; (p) If titled Equipment, Borrower hereby grants Lender an irrevocable power of attorney for the purpose of titling and registering the Equipment and perfecting Lender’s security interest in the Collateral so long as the Obligations remain outstanding; (q) if non-titled Equipment, Borrower hereby appoints Lender as agent for the benefit of Borrower and grants Lender an irrevocable power of attorney, to take any and all actions and to execute and file all documents necessary to establish, maintain, and continue the perfected security interest of Lender in the Units, in the name of and on behalf of Borrower, at Borrower’s sole cost and expense.  This power of attorney is coupled with an interest and is irrevocable during the term of this Agreement; and (r) Borrower shall not permit the Equipment to be used for transportation of passengers or for the digging, hauling, loading, storing or transporting of material designated as hazardous, radioactive, toxic, flammable, or explosive, or environmentally hazardous, unsafe, or dangerous under any federal, state, or local law, rule.

 

5.  Insurance and Risk of Loss.  All risk of loss, damage or destruction of the Equipment will at all times be on Borrower.  Borrower agrees to maintain, at Borrower’s expense: (a) property insurance, or other insurance acceptable to Lender, protecting the Equipment from loss or damage by fire, theft and other customary risks for the greater of the Equipment’s replacement coat or the indebtedness with a deductible not to exceed $2,500 per item of Equipment, naming Lender as a loss payee on a “Lender’s Loss Payable” endorsement; and (b) liability insurance in an amount not less than $1,000,000 per occurrence (collectively “Required Insurance”).  Borrower male provide Lender satisfactory written evidence of Required Insurance within thirty (30) days of the commencement date of this agreement, the cancellation or expiration of such Required Insurance, or of any subsequent written request from Lender.  If Borrower does not do so, Lender may obtain insurance from an Insurer of Lender’s choosing in such forms and amounts as Lender deems reasonable to protect Lender’s interests (collectively, “Lender’s Insurance”).  Lender’s insurance will cover the Equipment and the Lender; it will not name Borrower as an insured and may not cover all of the Borrower’s interest in the Equipment.  Borrower agrees to pay Lender periodic charges for Lender’s Insurance (collectively, “Insurance Charges”) that include: a premium that may be higher than if the Borrower maintained the Required Insurance separately; a finance charge of up to 1.5% per month on any advances made by Lender or Lender’s agents; and commissions, and billing and processing fees; any or all of which may generate a profit to Lender and Lender’s agents.  If Borrower falls to provide satisfactory evidence of Required Insurance by the due date, Lender may pay Insurance Charges by debiting Borrower’s account under any previously authorized automatic payment.  Lender shall discontinue billing or debting Insurance Charges upon receipt of satisfactory evidence or Required Insurance.  Borrower shall immediately notify Lender of any loss or damage to Equipment which makes any item of Equipment unfit for continued or repairable use.  Borrower hereby irrevocably appoints Lender as Borrower’s attorney-in-fact to execute and endorse all checks or drafts in Borrower’s name to collect under any insurance covering Equipment.  Lender may apply insurance proceeds to the Obligations or any other obligation of Borrower to Lender as Lender deems appropriate.

 

6.  Borrower’s General Indemnities.  Borrower, at Borrower’s sole expense, will indemnify and hold harmless and upon demand reimburse Lender and its agents for, from, and against any and all liabilities, losses, damages, actions, causes of action, suits, proceedings, claims, demands, assessments, fines, penalties, judgments, fees,

 

 

costs and expenses (including attorneys’ fees and expenses) of every kind and nature arising out of or related to this Agreement, any other Loan Document, the Collateral, or any part thereof, and the selection, manufacture, purchase, delivery, sale, possession, use, misuse, contents, repair, collision, condition, or return of any item of Equipment and any breach by Borrower of any of its obligations to Lender under this Agreement or any other Loan Document.  The obligations of Borrower and the rights of Lender under this Section 6 shall survive payment and performance of the Obligations in full and shall remain in full force and effect without termination.

 

7.  Continuation of Agreement.  This Agreement shall remain in full force and effect, without waiver or surrender of any of Lender’s rights hereunder, notwithstanding (a) extension of the time of payment of the whole or any part of the Obligations; (b) any modification to the Notes or substitution of any other note or evidence of indebtedness for any Note; (c) acceptance by Lender of any Collateral or security of any kind as partial payment of the Obligations; or (d) surrender, release, exchange, or alteration of any Collateral in whole or any part.

 

8.  Events of Default.  An “Event of Default” shall exist under this Agreement or any Schedule and all of the Loan Documents upon the occurrence or any or the following; (i) the occurrence of an Event of Default under any Note or any other of the Loan Documents; (ii) the failure by Borrower or any guarantor to perform any obligation not involving the payment of money, or to comply with any other term or condition applicable to Borrower or guarantor under any of the Loan Documents and such obligation, term, or condition remains unsatisfied after fifteen (15) days’ written notice to Borrower or guarantor; provided, however, that for any breach of any insurance provision or other covenant causing immediate risk to Lender’s interest in the Equipment, the cure period will be limited to ten (10) days; (iii) any representation or warranty made by Borrower or any guarantor in any of the Loan Documents or otherwise or any information delivered by Borrower or any guarantor in obtaining hereafter in connection with the credit evidenced by any Loan Document is materially incomplete, incorrect, or misleading as of the date made or delivered; (iv) Borrower or any guarantor in unable or admits in writing its inability to pay its monetary obligations as the become due, makes a general assignment for the benefit of creditors, or applies for or acquiesces in the appointment of a trustee, receiver, or other custodian for such party or any of its assets or property, or a trustee, receiver, or other custodian is appointed for Borrower or any guarantor or any of their assets or property; (v) commencement of any case under the Bankruptcy Code (Title 11 of the United Stales Code) or any similar proceeding under tiny federal, state, or foreign law by or against Borrower or any guarantor; (vi) the death, incompetence, dissolution, or liquidation of Borrower or any guarantor, the consolidation or merger or Borrower or any guarantor with any person or entity, or the taking of any action by Borrower or any guarantor toward any dissolution, liquidation, consolidation, or merger (regardless of whether such actions occur voluntarily or by operation of law); (vii) Borrower or any guarantor becomes insolvent, ceases to do business in the ordinary course or suffers a material adverse change in its management or ownership; (viii) the sale, assignment, or transfer of all or substantially all of its assets by Borrower or any guarantor (regardless of whether such action occurs voluntarily or by operation of law); (ix) Borrower or any guarantor, or any other parson acting on behalf of such parties, claims that any Loan Document or any lien or security interest is not legal, valid, binding, or enforceable against Borrower or any guarantor, or that the priority of any lien or security interest securing any of the Obligations is different than the priority represented and warranted in the Loan Documents; (x) any of the Equipment is lost, severely damaged, destroyed, or seized; (xi) Borrower or any guarantor shall be in default with respect to any agreement with or obligation to any other party for the payment of borrowed money, contractual obligation, or rent, and such default exceeds an aggregate amount of One Million Dollars (US $1,000,000); and (xii) the occurrence or any condition or event that is a default or is designated as a default, event of default, or Event of Default, trader any other Loan Document, or in any other agreement, contract, or indebtedness or Borrower or any guarantor to Lender or or Borrower or any guarantor to any affiliate of Lender.

 

9.  Rights and Remedies of Lender.  Upon the occurrence of an Event of Default under this Agreement and at any time thereafter, Lender shall have the following rights and remedies; (i) Lender may, at its option, declare all of the Obligations immediately due and payable; (ii) Lender may, without notice or demand or legal process, take possession of the Collateral wherever found and, for this purpose, may enter upon the property occupied or under the control of Borrower; (iii) Lender may require Borrower to assemble the Collateral and make it available to Lender at a place to be designated by Lender; (iv) Lender, at the expense of Borrower, may make repairs deemed necessary or desirable to the Collateral; (v) with or without obtaining possession of the Collateral or any part thereof, sell the same at a public or private sale in the wholesale or retail market, with or without notice to the Borrower.  Lender may also advertise and sell repossessed Collateral through internal websites through which equipment similar to the Collateral is sold and such disposition shall be deemed in conformity with reasonable commercial practice among dealers of the type of property that was the subject of the disposition.  The proceeds of any sale or sales, after deducting all expense of Lender in taking, storing, repairing, and selling the Collateral (including reasonable attorneys’ fees and legal expenses) shall be applied to the payment of any part or all of the Obligations and any other indebtedness or liability or Borrower to Lender, end any surplus thereafter remaining shall be paid to Borrower or to any other person that may be legally entitled to such surplus.  At any sale or disposition, Lender may accept a trade of property for all or any portion of the sales price.  As permitted by applicable law, Lender may, at any sale, public or private, of the Collateral, purchase any or all of the Collateral offered at such sale.  Lender shall be under no duty to select any items or Collateral over any other items or to sell the items of Collateral pro rata or in any order but may select and sell such Items as Lender may determine.  Lender shall not be responsible for any injury or loss to the Collateral unless caused by the willful wrongful acts or omission of Lender while the Collateral is in Lender’s possession.  Lender may, at its option, and without any obligation to do so, pay, perform, and discharge any and all amounts, costs, expenses, and liabilities herein agreed to be paid or performed by Borrower, and all amounts so expended by Lender shall become part of the Obligations and shall be immediately due and payable by Borrower upon demand and shall bear interest at the Default Rate (as defined in the Notes).  Lender may pursue any legal remedy available to collect all Obligations and to enforce its rights in the Collateral.  No action by Lender shall operate at a waiver of any other right or remedy of Lender.  The failure of Lender to take any of the actions or exercise any of the rights or remedies granted to Lender in this Agreement shall not be construed to be a waiver of any of the rights or remedies of Lender.  Lender shall have all of the rights and remedies afforded a secured party under the Uniform Commercial Code as adopted in North Carolina and all other rights or remedies provided under applicable law.  Borrower agrees that the Collateral is of a type customarily sold in recognized markets within the meaning of the Uniform Commercial Code.  All rights and remedies of Lender under this Agreement shall be cumulative and not alternative and shall inure to the benefit of Lender and its successors and assigns.  In Lender’s exercise of the powers granted by Borrower under this Agreement, no liability shall be asserted or enforced against Lender except for Lender’s willful wrongful acts, and Borrower expressly waives and releases Lender from all other such claims or liabilities.

 

10.  Consents and Waivers.  To the extent permitted under applicable law, Borrower expressly consents to and authorizes any court of competent jurisdiction to issue, by hearing without notice, such order or orders as may be appropriate or necessary to enforce the terms of this Agreement, granting to Lender such powers, orders, or authority as Lender shall need or desire to enforce this Agreement.  Any such court is directed not to require any bond of Lender, the parties agreeing that time is of the essence to protect the interests of Lender.  Borrower hereby acknowledges its express intent to waive and abandon all personal properly exemptions granted by law with respect to the Collateral.  To the extent permitted under applicable law, Borrower expressly waives any notice of sale or other disposition of the Collateral, notice of exercise of any other right or remedy by Lender and any other right to notice after an Event of Default; and that to the extent such notices can not be waived, any notice given to Borrower at the address set forth on page 1 of this Agreement (or to such other address provided in writing by Borrower) by registered or certified mail at lease five (5) days before the date of sale shall be deemed reasonable and to fully satisfy the requirement for giving of notice to Borrower.

 

11.  Liability of Lender.  Lender shall not in any way be liable for the condition or maintenance of the Collateral or any failure to do any or all of the actions for which rights and authority arc granted in this Agreement.  The failure of Lender to take any of the actions or exercise any of the rights, interests, powers, or authority granted to Lender under this Agreement shall not be confined to be a waiver of any of the rights, interests, powers, or authority granted to Lender under this Agreement.  In exercise of its rights and remedies Lender shall not have any liability to Borrower for any injury to the assets, business, or operations of Borrower or any other liability, other than for Lender’s own gross negligence or willful misconduct.

 

12.  Incorporation by Reference.  Each of the Notes, Exhibits, Schedules, and other Loan Documents attached to, or referred to in, this Agreement now or at any time hereafter are hereby incorporated in this Agreement by this reference as if restated in their entirety.

 

13.  Construction.  Unless otherwise expressly provided in a Loan Document, in the event of any conflict between any provision of a Note and any other Loan Document, the terms of the Note shall control such conflict.  The parties to the Loan Documents have negotiated the terms of the transactions evidenced by the Loan Documents and the drafting of the Loan Documents shall not be construed for or against Borrower, any guarantor, or Lender.

 

14.  Assignments or Transfers.

 

(a)  Transfers by Lender.  Borrower acknowledges that Lender may assign, transfer, grant a participation in, or grant a security interest in this Agreement, any Note, or Lender’s interest therein without notice to Borrower.  Any assignee or transferee of Lender shall have the rights, assigned and transferred, but none of the obligations of Lender under this Agreement, and Borrower agrees that it will not assert against any assignee or transferee of Lender any defense, counterclaim, or offset

 

 

which Borrower may have or may claim against Lender or its agents.  Borrower acknowledges that any assignment or transfer by Lender shall not materially change Borrower’s duties or obligations under this Agreement, any Note, or any other Loan Document.

 

(b)  Transfers by Borrower.  Neither Borrower nor any guarantor shall assign, transfer, delegate, or dispose (whether voluntarily or by operation of law) of all or any part of its Obligations under this Agreement, any Note, or any other Loan Document, or enter into a lease of all or any part of the Equipment, without the prior written consent of Lender and any such action attempted without the prior written consent of Lender shall he void as against Lender and constitute an immediate Event of Default under this Agreement.  Notwithstanding the foregoing prohibition against such transfers by Borrower, Borrower hereby transfers, conveys, and assigns to Lender and and grants to Lender a security interest in all of Borrower’s rights, title, and interest in, but none of its obligations under, any lease of the Equipment, and all proceeds and income arising therefrom.  In the event Lender is requested to consent to a lease of the Equipment, any permitted lease must be in form acceptable to Lender and assigned to Lender by Borrower by an assignment in form approved by Lender.

 

15.  Survival.  The representations, warranties, and covenants, of the Borrower and any guarantor in the Loan Documents shall survive the execution and delivery of the Loan Documents and the making of the Advances to or on behalf of Borrower.

 

16.  Multiple Finance Accommodations.  If Borrower has more than one loan or other finance accommodation with Lender, Borrower agrees that (i) the Loan Documents and the documents relating to such other finance accommodations shall all remain in effect and neither shall supersede the other, regardless of whether the Loan Documents and such other financing documents have differing terms, conditions, and requirements; and (ii)  regardless of such differences, Borrower shall comply with all of the terms, conditions and requirements of the Loan Documents and such other financing documents.

 

17.  Miscellaneous.  TIME IS OF THE ESSENCE WITH REGARD TO EACH PROVISION OF THE LOAN DOCUMENTS AS TO WHICH TIME IS A FACTOR.  The headings at the beginning of sections of the Loan Documents are solely for convenience and do not modify any sections.  In each Loan Document, the singular shall include the plural and vice versa and each gender shall include the other gender.  If any provision of any of the Loan Documents is unenforceable, such provision shall be automatically modified to the minimum extent possible to make such provision enforceable, and the enforceability of the other provisions of the Loan Documents shall not be affected.  The Loan Documents shall be binding upon and inure to the benefit of Lender, Borrower, and any guarantor and each of their respective permitted successors and assigns.  Borrower agrees that any document processing fees may be shared with or rebated to the selling dealer.  In the event Borrower is composed of more than one party, the obligations, covenants, agreements, and warranties contained herein, as well as the obligations arising therefrom, are and shall be joint and several as to each such party.  Borrower certifies they are not subject to any prohibitions under any regulation or orders of the U.S. Dept. of Treasury’s Office of Foreign Assets Control. . Borrower also certifies that they do not engage in any transactions prohibited by any U.S. laws.  To the extent permitted by applicable law the Borrower and Lender hereby voluntarily and intentionally waive the right either may have to trial by jury in respect to any litigation in connection with this Agreement, any other loan document, or actions or statements (whether verbal or written) of any party.  These Loan Documents may be executed and delivered by facsimile signature and a facsimile signature shall be treated as an original.  Multiple signatures to these Loan Documents delivered separately shall constitute one original Loan Document.

 

18.  Lender Agents.  Borrower agrees that Lender may appoint one or more agents to act on its behalf and that such agents have the power and right to administer and enforce this Agreement.

 

 

Volvo Financial Services

 

ADDENDUM NO. 001 TO Master Loan and Security Agreement

 

This Addendum No. 001 to the Master Loan and Security Agreement is dated as of March 29, 2012 and is attached to and incorporated by this reference in that certain Master Loan and Security Agreement of the same date between Volvo Commercial Finance, a division of VFS US LLC as Lender, and AMERIQUEST LEASING & MAINTENANCE, INC. DBA Cure Leasing & Maintenance, as Borrower (the “Agreement”).

 

All capitalized terms used and not defined in this Addendum are used with the same meaning as given in the Agreement.

 

Lender and Borrower hereby agree that the Master Loan and Security Agreement shall be amended as provided below.

 

1.              Paragraph 4 of the Agreement is hereby modified by amending and restating clause (c) appearing therein in its entirety to read as follows:

 

“(c) to file, report, and pay on its and Lender’s behalf by their due date all taxes, fees, and assessments of any and every kind on each item of Equipment and maintaining records evidencing that it has made such filings, reports and payments, and promptly upon request of Lender, sending a copy of such filing, report or evidence of payment to Lender;”

 

Except as expressly modified in this Addendum, all of the terms and conditions of the Agreement remain unchanged and in full force and, effect.

 

Dated: As of March 29, 2012.

 

 

	
 
    	
Borrower:
    	
AMERIQUEST   LEASING & MAINTENANCE, INC.
    
	
 
    	
 
    	
DBA Cure   Leasing & Maintenance
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Signature
    	
/s/   James Guice
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Print Name
    	
James   Guice
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Title
    	
Exec   V.P.
    

 

 

Volvo Financial Services

 

	
 
    	
SUBLEASE   ADDENDUM
    
	
 
    	
MASTER   LOAN AGREEMENT
    

 

 

Customer Name: AMERIQUEST LEASING & MAINTENANCE, INC.

Customer Number: 7621040

 

This Addendum to the Master Loan Agreement is dated as of 06/19/2012 and is attached to and incorporated by this reference in that certain Master Loan and Security Agreement dated as of 03/29/2012 between Volvo Financial Services, a division of VFS US LLC, as Lender, and AMERIQUEST LEASING & MAINTENANCE, INC., as Borrower, (the “Contract”).

 

Lender and Borrower hereby agree that the Contract shall be amended as provided below.

 

1.                                      Section 2 of the Agreement is deleted in its entirety and replaced with the following:

 

Security Agreement.  To secure Borrower’s full and complete payment and performance under all of the Loan Documents, Borrower hereby grants to Lender a security interest in and to the Equipment and such other equipment, goods and inventory of Borrower financed or leased to it by Lender whether now or hereafter acquired by Borrower together with all attachments, accessions, replacements, parts, proceeds (including insurance proceeds), income, earnings, accounts, rights to payment (including monetary obligations, whether or not earned by performance), secondary obligations incurred or to be incurred, chattel paper, electronic chattel paper, general intangibles, payment intangibles, promissory notes, warranties, service contracts, documents, records now or hereafter arising from the Equipment and such other equipment, goods and inventory financed or leased to it by Lender (collectively, the “Collateral”).  Borrower hereby authorizes Lender to file financing statements consistent with this grant of security interest.  The security interest in the Collateral and the rights granted hereunder shall secure the following (collectively, the “Obligations”): (i) the indebtedness of Borrower to Lender or any affiliates of Lender, evidenced by each of the Notes (and any renewals, extensions, or modifications thereof), together with interest thereon, late charges, and costs of collection as provided in each of the Notes; (ii) the payments of all amounts agreed to be paid by Borrower in this Agreement and the other Loan Documents; and (iii) the observance and performance by Borrower of all of the terms, provisions, and covenants to be performed by Borrower under this Agreement or any of the other Loan Documents, or under any agreement(s), of whatever nature, with any affiliate of the Lender.  The security interest shall remain in full effect, without waiver or surrender of any of Lender’s rights hereunder, notwithstanding any one or more of the following: (i) extension of the time of payment of the whole or any part of any Note; (ii) any change in the terms and conditions of any Note; (iii) substitution of any other note or evidence of indebtedness for any Note; (iv) surrender, release, exchange, or alteration of any Collateral or other security, either in whole or in part; or (v) release, settlement, discharge, compromise, change, or amendment, in whole or in part, of any claim of Lender against Borrower or of any claim against any guarantor or other party secondarily or additionally liable for the payment of any Note.

 

2.                                      Notwithstanding the provision of the Contract which prohibits the Borrower’s renting, encumbering, or transferring of the Equipment or the Equipment’s being operated by or in the possession of any party other than Borrower’s, so long as no default has occurred and is continuing, or will result therefrom, Borrower will be allowed to lease or rent the Equipment to any solvent, domestic business entity or independent driver subject to the following: (i) Borrower maintains in its books and records (which shall promptly be made available for review by Lender upon its request) the name and address of the end user and the location of the Equipment; (ii) Borrower remains primarily liable under the Contract; (iii) the lease or rental agreement is subject and subordinate to the security interest of Lender in the Equipment, which status, and

 

 

Lender’s right to recover the Equipment from the lessee or renter upon an Event of Default under the Contract, are explicitly detailed in the lease or rental agreement; (iv) the lease or rental agreement is collaterally assigned to Lender, and such lease or rental agreement is in a form acceptable to Lender and contains an acknowledgement of such assignment and Lender’s rights or a separate acknowledgment of such has been prepared, signed by the lessee or renter, and upon request of Lender, Borrower shall provide to Lender a true and correct copy of the lease or rental agreement and of any acknowledgment; (v) the lease or rental agreement is at least as protective of Lender’s interests as the Contract, and the lessee or renter is prohibited from subleasing, renting, or assigning its interests; and (vi) Borrower must not permit the original chattel paper lease or rental agreement to be in the possession of any third party and shall take or perform any acts, or obtain, execute, or cause to be executed, delivered, and/or filed all appropriate UCCs and other filings, waivers, insurance certificates, evidence of lessee’s or renter’s corporate authority, opinions, and other documents required by Lender in connection with such rental or leasing, which are necessary to protect Lender’s interest in the Equipment or to evidence Borrower’s agreement under this Addendum, all at Borrower’s sole cost and expense.

 

Except as expressly modified in this Addendum, all of the terms and conditions of the Contract remain unchanged and in full force and effect.  To the extent any terms of this Addendum conflict with any Sublease Addendum to the Contract previously executed by Borrower, this Addendum shall be controlling.

 

	
Borrower:   AMERIQUEST LEASING & MAINTENANCE, INC.
    	
 
    
	
 
    	
 
    
	
Signature: X
    	
/s/ Scott Grushoff
    	
 
    
	
 
    	
 
    	
 
    
	
Print Name:
    	
Scott Grushoff
    	
 
    
	
 
    	
 
    	
 
    
	
Title:
    	
COO
    	
 
    
	
 
    	
 
    
	
Date:   06/19/2012

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