Security Agreement
To secure payment and performance of its obligations, Applicant hereby grants Seller a security interest in the following “Collateral”: (a) any and all material, or goods sold by Seller to Applicant, as specifically identified in the Bills of Lading , Invoices or other documents relating to the sale of such goods and services, together with all replacements or substitutions therefore and all proceeds thereof; and (b) any and all proceeds, accounts, contract rights, bond rights, lien rights, instruments, and general intangibles of Applicant, and all other rights of Applicant to the payment of money, arising from any sale or other disposition of the items described in (a) above. Applicant specifically agrees that this Agreement along with any Bills of Lading, Invoices or any other documents related to the sale of goods, constitutes a valid security agreement and Applicant hereby waives all defenses that such agreement is incomplete or not sufficiently specific. Applicant authorizes Seller to file financing statements or other documentation covering the Collateral as Seller shall deem necessary or desirable to protect its interest in the Collateral. Without limiting the foregoing, Seller may reclaim goods if not paid for in accordance with the terms and conditions contained herein or as provided for under applicable UCC laws. All payments on Applicant’s account may be applied against open charges or otherwise set-off against Applicant in the discretion of Seller.
The undersigned agrees to keep the information contained in this Credit Application current and to immediately notify Seller via written notice of all changes within twenty (20) days of such changes. Seller reserves the right at any time to change the amount of or withdraw any credit extended under any terms to Applicant. Credit privileges may be revoked for failure to pay balance due when required, and may also be revoked for charges in excess of credit limit. Charges in excess of credit limit shall not change these terms and conditions. If the financial responsibility of Applicant becomes impaired or is deemed unsatisfactory by Seller for any reason, or if Applicant is in default hereunder, Applicant shall provide satisfactory security or advance cash payment on delivery, and delivery may be withheld until such security or payment is received. In the event of Applicant’s bankruptcy, insolvency, or assignment for the benefit of creditors, or Applicant’s default in payment of any indebtedness to Seller, all of Applicant’s outstanding indebtedness to Seller shall become immediately due and payable.
The undersigned acknowledges and agrees that Seller may utilize outside credit reporting services to obtain information on the Applicant. The undersigned also agrees that by submitting this Credit Application, Applicant is hereby authorizing Seller to make such other information credit inquiries, including but not limited to third party trade references, from time to time, for purposes of determining Applicant's current and continued credit worthiness. The undersigned also authorizes Seller to furnish information about Applicant’s account to credit reporting agencies and other persons who may lawfully receive information.