Document:

consentandwaiver.htm

     

    
      

      

    

    EXHIBIT
10.2

     

    

      CONSENT
AND WAIVER

      

      August 6,
2009

      

      

      

      Diamond
Jo, LLC

      c/o
Peninsula Gaming Partners, LLC

      400 E.
Third Street, P.O. Box 1750

      Dubuque,
Iowa 52004

      

      The Old
Evangeline Downs, L.L.C.

      c/o
Peninsula Gaming Partners, LLC

      11100
Santa Monica Boulevard, 10th Floor

      Los
Angeles, California 90025

      

      
        	
                 
      

              	
                Re:

              	
                Consent
      and Waiver

              

      

      

      Ladies
and Gentlemen:

      

      Reference is hereby made to that
certain Loan and Security Agreement, dated as of June 16, 2004 (as amended,
restated, supplemented or otherwise modified from time to time, the “Loan Agreement”;
capitalized terms used herein and not otherwise defined shall have the meanings
ascribed to such terms in the Loan Agreement), among The Old Evangeline Downs,
L.L.C., a Louisiana limited liability company (“OED”), and Diamond
Jo, LLC, a Delaware limited liability company (each, a “Borrower” and
collectively, the “Borrowers”; and
together with the Guarantors and any additional “Borrower” as contemplated
hereunder, the “Loan
Parties”), the lenders party thereto from time to time (the “Lenders”), and Wells
Fargo Foothill, Inc., as agent for the Lenders (“Agent”).

      

      The Borrowers have informed Agent and
the Lenders that Peninsula Gaming, LLC, a Delaware limited liability company
(“Parent”), and
Peninsula Gaming Corp., a Delaware corporation (“PGC”), as co-issuers
(collectively, the “Issuers”) intend to
issue 8 3/8% senior
secured notes due 2015 in an aggregate principal amount equal to $240,000,000
(the “Secured
Notes”) and 10 3⁄4% senior unsecured notes due 2017 in an aggregate
principal amount equal to $305,000,000 (the “Unsecured Notes”;
together with the Secured Notes, collectively, the “Notes”) which Notes
shall, among other things, have a maturity date beyond the maturity date of the
existing 8 3⁄4% senior secured notes due 2012 issued by Parent (the “Parent Notes”) and,
in the case of the Secured Notes, be secured by substantially the same
collateral that currently secures the Parent Notes as well as certain additional
collateral (the “Additional
Collateral”) (the “Note
Transactions”).  The proceeds of the Notes shall be used by the
Issuers or, following certain intercompany transfers thereof (the “Intercompany
Transfers”), certain affiliates of the Issuers to, among other things,
(i) subject to the proviso at the end of this sentence, fund the purchase price
of the acquisition of Belle of Orleans, L.L.C., a Louisiana limited liability
company (“Amelia
Belle”) by Parent (the “AB Acquisition”),
(ii) redeem and/or repurchase all of the Parent Notes, (iii) redeem and/or
repurchase all of the existing 11% senior secured notes due 2012 (the “DJW Notes”) issued by
Diamond Jo Worth, LLC, a Delaware limited liability company (“DJW”) in the
aggregate principal amount of $110,029,000, (iv) redeem and/or repurchase all of
the existing 13% senior notes due 2010 issued by OED, (v) repay a portion of the
outstanding indebtedness under the Loan Agreement and (vi) pay for fees and
expenses related to such issuances and the other transactions described herein;
provided, that
if the AB Acquisition is not consummated or the definitive purchase agreement
related thereto is terminated, in either case, on or prior to December 31, 2009,
a portion of the net proceeds of the Notes will be used to redeem (the “Mandatory
Redemption”; together with the redemptions described in clauses (ii)
through (iv) above, the “Redemptions” and,
together with the Note Transactions and the Intercompany Transfers, the “Transactions”) an
aggregate principal amount of outstanding Notes equal to $100,000,000, together
with accrued and unpaid interest thereon, on a pro rata basis. Additionally, the
Borrowers have requested that Parent, DJW and, upon the consummation of the AB
Acquisition, Amelia Belle become Borrowers under the Loan Agreement, and that
the Required Lenders allow each Loan Party (except Parent and PGC), after giving
effect to the transaction described above, to become a guarantor of the
Notes.

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Notwithstanding anything to the
contrary contained herein, in the Loan Agreement or in any of the other Loan
Documents, the Required Lenders hereby

      

      (A) consent to:

      

      (i) the
issuance of the Notes by the Issuers, the guarantee by the Loan Parties (except
Parent and PGC) of the Notes, the other Note Transactions (including the
granting of the liens in connection therewith) and the Intercompany Transfers,
so long as (a) the aggregate principal amount of the Notes does not exceed
$545,000,000, (b) the Notes have a final scheduled maturity that equals or
exceeds the final stated maturity of the Parent Notes, and, assuming the
Mandatory Redemption does not occur, a weighted average life to maturity that is
equal or greater than the weighted average life to maturity of the Parent Notes,
(c) Agent receives, from the trustee under the Secured Notes (the “New Indenture
Trustee”), a fully executed intercreditor agreement, in form and
substance reasonably satisfactory to Agent and substantially similar to the
existing Intercreditor Agreement, (d) all other documentation with respect to
the issuance of the Notes and such guarantees are in form and substance
reasonably satisfactory to Agent (it being acknowledged and agreed that the
execution by Agent of the intercreditor agreement referred to in clause (c)
above shall be conclusive evidence of such satisfaction), and (e) Agent is
granted a first priority perfected Lien on the Additional Collateral to be
granted to the New Indenture Trustee prior to or contemporaneously with the New
Indenture Trustee and receives a guaranty of the Obligations from each guarantor
of the Notes that is not already a Loan Party, together with such certificates,
opinions of counsel and other documents as Agent may reasonably request, in each
case, in form and substance reasonably acceptable to Agent;

      

      (ii) the
joinder of each of Amelia Belle, Parent and DJW as Borrowers under the Loan
Agreement, so long as, in each such case, (a) such proposed Borrower delivers to
Agent all joinder supplements and all other agreements (including any amendments
to the financial covenant requirements of the Loan Agreement and a pledge of the
Capital Stock of each such Person), documents, certificates, instruments and
opinions of counsel reasonably requested by Agent, in each case, in form and
substance reasonably satisfactory to Agent, (b) Agent has received the results
of legal and business due diligence on such proposed Borrower and its assets and
earnings, the results of which are reasonably satisfactory to Agent and the
Required Lenders and (c) no Default or Event of Default shall exist or occur
upon such joinder to the Loan Documents;

       
 

      (iii) the
AB Acquisition, pursuant to the terms of that certain Purchase Agreement by and
among Columbia Properties New Orleans, L.L.C., AB Casino Acquisition LLC (“AB Casino
Acquisition”) and Peninsula Gaming Partners, LLC (“PGP”), dated June 18,
2009, as such agreement may be amended or waived from time to time with the
prior written consent of the Agent, and the dissolution of each of Diamond Jo
Worth Holdings, LLC, a Delaware limited liability company (“DJWH”), Diamond Jo
Worth Corp., a Delaware corporation (“DJWC”), and AB Casino
Corp., a Delaware corporation (“AB Casino”);
and

      

      (iv) the
Redemptions and the transfers at any time or from time to time on or after the
date hereof of all or any portion of those certain 7.5% Urban Renewal Tax
Increment Revenue Bonds, Taxable Series 2007 (regardless of whether any such
transfers have previously been made) by any Loan Party, directly or indirectly,
to PGP; and

      

      (B)
waive:

      

      (i)  the
failure of the Borrowers to deliver the certificate referred to in Section
7.14(d)(iii) of the Loan Agreement at the time specified therein so long as such
certificate is delivered on the date hereof;

      

      (ii) any
requirement under the Loan Documents that requires that any Loan Party grant a
Lien to Agent, for the benefit of the Lenders, on any interest that such Loan
Party may have in:

      

      (a) any
lease entered into after the date hereof by any Loan Party for off-track betting
parlors or similar facilities;

      

      (b) any
agreements, permits, licenses (including Gaming Licenses) or the like described
in subsection (d) of the definition of “Excluded Assets” contained in the Loan
Agreement;

      

      (c)
Securities Accounts and Deposit Accounts used solely for payroll, taxes,
employee wage or benefit payments and trust or escrow
purposes;

      

      (d) the
facility (including all related real property and amenities), currently owned by
DJW, known as “Pheasant Links” located in Emmons, Minnesota on which a “member’s
only” 9-hole golf course and 9-station sporting clay course and hunting facility
are located; or

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (e) any
other property or asset of Parent or any Subsidiary of Parent not already
contained in the definition of “Excluded Assets” (other than any Deposit
Account) acquired after the date on which the Notes are issued in which a
security interest cannot be perfected by the filing of a financing statement
under the Uniform Commercial Code of the relevant jurisdiction, so long as the
fair market value, as reasonably determined in good faith by the managers of
Parent, of such property or asset hereunder does not, in the aggregate, exceed
$2,500,000; provided, however, the waiver
with respect to this subsection (e) shall terminate and be of no further force
and effect on and after November 15, 2009;

      

      
        provided, in the case
of clauses (a), (b), (d) and (e) above, a Loan Party does not grant a Lien on
such property to any other Person and, in the case of clause (c) above, a Loan
Party does not grant a Lien on such property to any other Person other than the
purported beneficiary of any such funds in such Securities Accounts and Deposit
Accounts;

      

      

      (iii)
Section 7.20(b) of the Loan Agreement to the extent necessary to permit DJW to
make capital expenditures in any fiscal year in the amount permitted pursuant to
Section 7.20(b) of the Loan Agreement plus $3,000,000;

      

      (iv)  any
requirement under the Loan Documents that requires that any Loan Party pledge to
Agent, for the benefit of the Lenders, the Capital Stock of DJWH, DJWC, AB
Casino and AB Casino Acquisition until the earlier of (a) the consummation of
the AB Acquisition and (b) September 30, 2009 (and to the extent such Persons
still exist as of any such date);

      

      (v) for
30 days any requirement under the Loan Documents that requires that any Loan
Party deliver to Agent a Control Agreement with respect to Account Number
2783669308 maintained at American Trust and Savings Bank (“American Trust”) for
the purpose of cash collateralizing Letter of Credit No. 1705 issued by American
Trust for the benefit of the Iowa Racing and Gaming Commission, which deposit
account shall not contain more than $744,000.00 at any given time;
and

      

      (vi)  any
Default or Event of Default arising under the Loan Agreement as a direct result
of the consummation of the Transactions (it being acknowledged and agreed,
however, that under no circumstance shall the waiver set forth in this clause
(v) be effective to waive at any time any Default or Event of Default arising as
a result of a violation of any financial covenant set forth in the Loan
Agreement, including Section 7.20 thereof).

      

      Each
Lender hereby authorizes Agent, on behalf of the Lenders, to execute an
intercreditor agreement, substantially similar to the existing Intercreditor
Agreement (as amended, restated, supplemented or otherwise modified from time to
time, the “New
Intercreditor Agreement”), by and among Agent and New Indenture Trustee.
Agent, each Lender and each Loan Party hereby acknowledges and agrees that each
reference to “Intercreditor Agreement” in the Loan Agreement and the other Loan
Documents shall be deemed to be a reference to the New Intercreditor Agreement
upon the execution and delivery thereof.

      

      By acknowledging and agreeing to this
Consent and Waiver, the Borrowers hereby represent and warrant to Agent and the
Lenders that, after giving effect to this Consent and Waiver, no Default or
Event of Default has occurred and is continuing or would occur as a consequence
thereof.

      

      This Consent and Waiver shall be
effective only upon the execution and delivery hereof by the Borrowers and the
Required Lenders to Agent.

      

      Except as set forth herein, all terms
and conditions of the Loan Agreement and all other Loan Documents shall remain
in full force and effect and not be affected by this Consent and Waiver and
Agent and the Lenders reserve the right to require strict compliance with the
terms and conditions of the Loan Agreement and the other Loan
Documents.

      

      This Consent and Waiver may be executed
in any number of counterparts, each of which shall be deemed an original but all
of which, when taken together, shall constitute one and the same
agreement.  Any signatures delivered by a party by facsimile
transmission or by other electronic transmission shall be deemed an original
signature hereto.

      

      This Consent and Waiver shall be deemed
to be a Loan Document for all purposes.

      

      

      [Remainder
of page intentionally left blank.]

      

      

      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

      

      Very truly yours,

      

      WELLS FARGO FOOTHILL, INC., as
Agent and a

      Lender

      

      

      By:  /s/Patrick
McCormack                                               

           Name:
Patrick McCormack

           Title:  
Vice President

      

      CIT LENDING SERVICES
CORPORATION, as a

      Lender

      

      

      By:  /s/Anthony
Holland                                                     

           Name: 
Anthony Holland

           Title:   
Vice President

      

      AMERICAN TRUST AND SAVINGS
BANK, as a

      Lender

      

      

      By:    /s/Victoria J.
Richter                                                     

           Name: 
Victoria J. Richter

           Title:  
2nd Senior Vice President

      

      

      

      [Signatures
continued on following page.]

      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

      

      ACKNOWLEDGED AND
AGREED:

      

       

      THE OLD EVANGELINE DOWNS,
L.L.C.,

      a
Louisiana limited liability company

      

      

      By:  /s/Natalie
Schramm                                                                         

                        Name: Natalie
Schramm

            Title: CFO

      

      DIAMOND JO, LLC (formerly
known as Peninsula Gaming Company, LLC),

      a
Delaware limited liability company

      

      

      By:  /s/Natalie
Schramm                                                                         

                        Name: Natalie
Schramm

           
Title: CFOwfftrademarkagrmt.htm

     

    
      

      

    

     

    EXHIBIT
10.3

     

    
 

    
 

    TRADEMARK
SECURITY AGREEMENT

    

    This TRADEMARK SECURITY AGREEMENT (this
“Agreement”),
entered into as of the 6th day of August 2009, by and between THE OLD EVANGELINE
DOWNS, L.L.C., a Louisiana limited liability company (“Pledgor”), and WELLS
FARGO FOOTHILL, INC., a California corporation, as agent for the Lenders (as
defined in the hereinafter defined Loan Agreement) (“Agent”).

    

    W I T N E S S E T
H:

     

    WHEREAS,
pursuant to that certain Loan and Security Agreement dated as of June 16, 2004
(as amended, restated, supplemented or otherwise modified from time to time, the
“Loan
Agreement”), by and among Pledgor and Diamond Jo, LLC (formerly known as
Peninsula Gaming Company, LLC), a Delaware limited liability company, as
borrowers (collectively, “Borrowers”), the Lenders and Agent, the Lender Group
has agreed to extend credit to Borrowers from time to time pursuant to the terms
and conditions thereof; and

    

    WHEREAS,
it is a condition precedent to the extension of credit under the Loan Agreement
that Pledgor shall have granted the security interest contemplated by this
Agreement;

    

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

    

    1.           The
Loan Agreement and the terms and provisions thereof are hereby incorporated
herein in their entirety by this reference thereto.  Capitalized terms
not otherwise defined herein shall have the meanings ascribed to those terms in
the Loan Agreement.

     

    2.           To
secure the complete and timely payment, performance and satisfaction of
(a) all covenants, agreements and liabilities of the Borrowers under the
Loan Documents and all now existing or hereafter arising Obligations (including,
without limitation, any interest, fees and other charges in respect of the Loan
Agreement and the other Loan Documents that would accrue but for the filing of
an Insolvency Proceeding with respect to any Borrower, regardless of whether
such claim is allowed in such Insolvency Proceeding, but excluding the FF&E
Obligations), and (b) the obligations of Pledgor arising from this
Agreement and any other Loan Document to which Pledgor is a party (items (a) and
(b) above are hereinafter referred to as the “Secured
Obligations”), Pledgor hereby grants to Agent, for the benefit of the
Lender Group, a security interest in, as and by way of a first mortgage and
security interest having priority over all other security interests, with power
of sale to the extent permitted by applicable law, all of Pledgor's right, title
and interest in, to and under the following, whether presently existing or
hereafter created or acquired:  (a) all trademarks, trade names,
corporate names, business names, trade styles, service marks, logos, other
source or business identifiers, prints and labels on which any of the foregoing
have appeared or appear, designs and

     

    

    
      
        
          
             

            

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

     

    general
intangibles of like nature (whether registered or unregistered), all
registrations and recordings thereof, and all applications in connection
therewith in the United States, Canada or any other country, including all
registrations, recordings and applications in the United States Patent and
Trademark Office or in any similar office or agency of the United States, Canada
or any State, Province or Territory thereof, or any other country or any
political subdivision thereof, including, without limitation, those listed on
Schedule 1
attached hereto and made a part hereof, and (i) all renewals thereof, (ii) all
income, royalties, damages and payments now and hereafter due and/or payable
under and with respect thereto, including, without limitation, payments under
all licenses entered into in connection therewith and damages and payments for
past or future infringements or dilutions thereof, (iii) the right to sue for
past, present and future infringements and dilutions thereof, (iv) the goodwill
of Pledgor's business symbolized by the foregoing and connected therewith, and
(v) all of Pledgor's rights corresponding thereto throughout the world (all of
the foregoing trademarks, trade names, registered trademarks and trademark
applications, service marks, registered service marks and service mark
applications, together with the items described in clauses (i)-(v) in
this paragraph
2(a), are sometimes hereinafter individually and/or collectively referred
to as the "Trademarks"); and (b)
all proceeds of any and all of the foregoing, including, without limitation,
license royalties and proceeds of infringement suits.

     

    3.           Pledgor
agrees that it will not, without Agent’s prior written consent, enter into any
agreement, including, without limitation, any license agreement, which is
inconsistent with this Agreement, and Pledgor further agrees that it will not
take any action, and will use its best efforts not to permit any action to be
taken by others subject to its control, including, without limitation,
licensees, or fail to take any commercially reasonable action, which would in
any material respect affect the validity or enforcement of the rights
transferred to Agent under this Agreement or the rights associated with the
Trademarks.

     

    4.           Pledgor
represents and warrants that, from and after the date hereof, (a) the
Trademarks listed on Schedule 1 are all of
the trademarks, trade names, corporate names (other than the legal name of
Pledgor), business names, trade styles, service marks, logos, other source or
business identifiers, prints and labels on which any of the foregoing have
appeared or appear, designs and general intangibles of like nature (whether
registered or unregistered), all registrations and recordings thereof, and all
applications in connection therewith in which Pledgor now has any right, title
or interest, and (b) the Trademarks have not been adjudged invalid or
unenforceable, and Pledgor is the legal and beneficial owner of the Trademarks
free and clear of all liens, claims or security interests other than (i) the
lien of Agent, (ii) the lien in favor of the Collateral Agent securing the
Indenture Documents (as defined in the Intercreditor Agreement), provided such lien of
the Collateral Agent is subject to the Intercreditor Agreement at all times, and
(iii) the Liens described in clauses (b), (d) and (i) of the definition of
Permitted Liens.  If, prior to the termination of this Agreement,
Pledgor shall obtain rights to any new trademarks, trade names, corporate names,
business names, trade styles, service marks, logos, other source or business
identifiers, prints and labels on which any of the foregoing have appeared or
appear, designs or general intangibles of like nature (whether

     

    

    
      
        
          
             

            

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

     

    registered
or unregistered), any registrations and recordings thereof, or any applications
in connection therewith, the provisions of paragraph 2 above shall automatically
apply thereto.  Pledgor shall give to Agent prompt written notice of
events described in the preceding sentence promptly after the occurrence
thereof.  Pledgor authorizes Agent to modify this Agreement by
amending Schedule
1 to include any future trademarks, trade names, corporate names,
business names, trade styles, service marks, logos, other source or business
identifiers, prints and labels on which any of the foregoing have appeared or
appear, designs and general intangibles of like nature (whether registered or
unregistered), all registrations and recordings thereof, and all applications in
connection therewith which are or may become Trademarks hereunder and to record
such modifications (or notice thereof) in the United States Patent and Trademark
Office or with other applicable recording office at the expense of
Pledgor.  Pledgor agrees to execute any and all instruments (including
individual conditional assignments or security agreements) necessary to confirm
such amendment or to enable such recording.

     

    5.             Pledgor
agrees, except to the extent such action would not result in a Material Adverse
Change,  not to abandon any Trademark without the prior written
consent of Agent, and  to take all action necessary to maintain in
force any registration of the Trademarks, in the United States Patent and
Trademark Office and in any other jurisdiction in which it is registered,
including (without limitation) any filing, to the extent permitted and
authorized by law, of any declarations under Sections 8 of the Trademark Act of
1946 (Lanham Act) and any renewals thereunder, with respect to the
Trademarks.  Any expense with regard to the foregoing shall be borne
and paid by  Pledgor.

     

    6.           At
any time after the occurrence and during the continuance of an Event of Default,
Agent shall have the right, but shall not be obligated, to bring suit in its own
name to enforce the Trademarks and, if Agent shall commence any such suit,
Pledgor shall, at the request of Agent, do any and all lawful acts and execute
any and all proper documents required by Agent in aid of such
enforcement.  Pledgor shall, upon demand, promptly reimburse Agent for
all costs and expenses incurred by Agent in the exercise of its rights under
this paragraph
6 (including, without limitation, reasonable fees and expenses of
attorneys and paralegals for Agent).

     

    7.           
(a)           Pledgor
hereby irrevocably designates, constitutes and appoints Agent (and all officers
and agents of Agent designated by Agent in its sole and absolute discretion) as
Pledgor's true and lawful attorney-in-fact, and authorizes Agent and any of
Agent's designees, in Pledgor's or Agent’s name, to take any action and execute
any instrument necessary or advisable to accomplish the purposes of this
Agreement, including, without limitation, at any time after the occurrence and
during the continuance of an Event of Default, to (i) endorse Pledgor's name on
all applications, documents, papers and instruments necessary or desirable for
Agent in the use of the Trademarks, (ii) assign, pledge, convey or otherwise
transfer title in or dispose of the Trademarks to anyone, (iii) grant or issue
any exclusive or nonexclusive license under the Trademarks to anyone, and (iv)
take any other actions with respect to the Trademarks as Agent deems in its best
interest.  Pledgor hereby ratifies all that such attorney shall
lawfully do or cause

     

    

    
      
        
          
             

            

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

     

    to be
done by virtue hereof.  This power of attorney is coupled with an
interest and shall be irrevocable until this Agreement is
terminated.  Pledgor acknowledges and agrees that this Agreement is
not intended to limit or restrict in any way the rights and remedies of Agent
under the Loan Agreement or any other Loan Document, but rather is intended to
facilitate the exercise of such rights and remedies.

     

    (b)           Agent
shall have, in addition to all other rights and remedies given it by the terms
of this Agreement, all rights and remedies allowed by law and the rights and
remedies of a secured party under the Uniform Commercial Code as enacted in any
jurisdiction in which the Trademarks may be located or deemed
located.  Upon the occurrence and during the continuance of an Event
of Default and the election by Agent to exercise any of its remedies under the
Uniform Commercial Code as in effect in the State of New York with respect to
the Trademarks, Pledgor agrees to assign, convey and otherwise transfer title in
and to the Trademarks to Agent or any transferee of Agent and to execute and
deliver to Agent or any such transferee all such agreements, documents and
instruments as may be necessary, in Agent’s Permitted Discretion, to effect such
assignment, conveyance and transfer.  All of Agent’s rights and
remedies with respect to the Trademarks, whether established hereby, by the Loan
Agreement or by any other agreements or by law, shall be cumulative and may be
exercised separately or concurrently.  Notwithstanding anything set
forth herein to the contrary, it is hereby expressly agreed that Agent may
exercise any of the rights and remedies provided in this Agreement, the Loan
Agreement or any of the other Loan Documents.  Pledgor agrees that any
notification of intended disposition of any of the Trademarks required by law
shall be deemed reasonably and properly given if given at least 10 days before
such disposition; provided, however, that Agent
may give any shorter notice that is commercially reasonable under the
circumstances.  Pledgor hereby acknowledges and agrees that such
notice, when filed, shall constitute a reasonable “authenticated notification of
disposition” within the meaning of Section 9-611 of the Uniform Commercial Code
as in effect from time to time in any jurisdiction.

    

    8.           Upon
the satisfaction in full of the Secured Obligations and the termination of the
Loan Agreement, including the Commitments of the Lenders thereunder, Agent shall
execute and deliver to Pledgor all instruments as may be necessary or proper to
remove and terminate the security interest, and to reassign to Pledgor any and
all right, title and interest in the Trademarks and the goodwill of the business
symbolized by the Trademarks, subject to any disposition thereof which may have
been made by Agent pursuant hereto.

     

    9.           The
provisions of this Agreement are severable, and if any clause or provision shall
be held invalid and unenforceable in whole or in part in any jurisdiction, then
such invalidity or unenforceability shall affect only such clause or provision,
or part thereof, in such jurisdiction, and shall not in any manner affect such
clause or provision in any other jurisdiction, or any other clause or provision
of this Agreement in any jurisdiction.

     

    10.           This
Agreement is subject to modification only by a writing signed by the
parties.

     

    

    
      
        
          
             

            

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

     

           
11.           The
benefits and burdens of this Agreement shall inure to the benefit of, and be
binding upon, the respective successors and permitted assigns of the
parties.

     

    12.           This
Agreement may be executed in one or more counterparts, all of which taken
together shall constitute one and the same instrument and any of the parties
hereto may execute this Agreement by signing any such counterpart. Delivery of
an executed counterpart of this Agreement by telefacsimile shall be equally as
effective as delivery of an original, executed counterpart of this
Agreement.  Any party delivering an executed counterpart of this
Agreement by telefacsimile shall also deliver an original executed counterpart
of this Agreement, but the failure to deliver an original, executed counterpart
shall not affect the validity, enforceability, and binding effect of this
Agreement.

     

    13.           This
Agreement shall be construed according to the internal laws of the New York,
without regard to the conflict of laws principles thereof.

     

    14.           The
powers conferred on Agent hereunder are solely to protect its interest in the
Trademarks and shall not impose any duty upon Agent to exercise any such
powers.  Except for the accounting for moneys actually received by
Agent pursuant hereto, Agent shall have no duty with respect to the Trademarks
or as to the taking of any necessary steps to preserve rights against prior
parties or any other rights pertaining to any of the Trademarks. Each reference
herein to any right granted to, benefit conferred upon or power exercisable,
exercised, or action taken by Agent shall be deemed to be a reference to, or be
deemed to have been so taken, as the case may be, by Agent in its capacity as
Agent pursuant to the Loan Agreement for the benefit of the Lender Group, all as
more fully set forth in the Loan Agreement.

     

    

     

    [REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

     

    

    
      
        
          
             

            

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    IN WITNESS WHEREOF, Agent and Pledgor
have caused this Trademark Security Agreement to be duly executed as of the day
and year first above written.

     

     

    
      
        	
                AGENT

                 

                WELLS FARGO FOOTHILL, INC.

              	 	 	
                 PLEDGOR

                 

                THE OLD EVANGELINE DOWNS, L.L.C.

              	 
	
                /s/Patrick
      McCormack

              	 	 	
                /s/Natalie
      Schramm 

              	 
	
                Name:
      Patrick McCormack

              	 	 	
                Name: 
      Natalie Schramm

              	 
	
                Title: 
      Vice President

              	 	 	
                Title: 
      CFO

              	 

      

    

    
 

    
    

    

    
      
        
          
            TRADEMARK
SECURITY AGREEMENT

            LEGAL_US_W #
62394995.2

          

           

        

        
           

          
            

          

        

        
           

        

      

    

    

    

    SCHEDULE  1

     

    Trademark                                Serial
No.                                Registration
No.                                Filing/Registration
Date

     

    Races and
Aces

    Evangeline
Downs

    Casino
& Off Track

    Betting                                    76-518029                                                                                                   
05/30/03

     

    

    
      
        
          
             

            LEGAL_US_W #
62394995.2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00165-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00165-of-00352.parquet"}]]