Subordination and Cession of Priority Leased Equipment

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This particular legal document or agreement is used to assist with the subordination and cession of priority. See other legal documents that you may be interested in at https://www.templateguru.co.za/templates/legal/

Excerpt:

SUBORDINATION AND CESSION OF PRIORITY REFERENCE: Leases (the Leases) of Lessor and [COMPANY NAME] and related accessories (theEquipment) by Lessor to [COMPANY NAME] (Lessee) and sub-lease by Lessee to its groupmembers (the Sub-Leases)The undersigned hereby acknowledges declares and agrees that any rights it might have as a secured creditor pursuant to any security which might have been granted in its favor by Lesseeand/or its predecessor entities (including without limitation [COMPANY NAME] [COMPANY NAME] and [COMPANY NAME]) or otherwise (the Security) in (a) the Equipment whetherleased by Lessor to Lessee pursuant to the Leases or sub-leased by Lessee pursuant to the Sub- Leases (b) the Leases (c) the Sub-Leases and (d) the rentals owing to Lessee pursuant to theSub-Leases (the Rentals) and assigned by Lessee to Lessor are and shall be junior and subordinate to the rights of Lessor therein and the realisation thereof whether in whole or inpart and whether at or prior to maturity or upon acceleration of any maturity is postponed to theprior rights of Lessor therein until payment in full of all amounts owing to [SPECIFY] pursuantto the Leases and the Sub-Leases.

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