Fillable Pbb Form 4 - Control Agreement - Single Owner (Page 2 of 4) in pdf

2. Security Interest. Grantor, on the terms set forth in this Agreement and as security for the full and timely payment

of the Indebtedness in accordance with the terms thereof, hereby grants to the DCJS a continuing security interest,

under the Virginia Uniform Commercial Code, as in effect on the date hereof and as amended from time to time

hereafter (the “Code”), in and a lien on the Collateral. In addition to all the rights given to the DCJS by this

Agreement, the DCJS shall have all the rights and remedies of a secured party under the Code.

3. Control. Bank enters into this Agreement for the purpose of acknowledging that it is holding the Collateral for the

benefit of DCJS pursuant to this Agreement and further hereby agrees that it will comply with instructions originated

by an authorized representative of DCJS directing disposition of the Collateral without further consent by Grantor

and/or the account holder.

4. Principles Applicable to the Collateral. The parties agree that, at all times during the term of this Agreement, the

following provisions shall be applicable to the Collateral:

(a) Grantor covenants and agrees that it will keep or cause to be kept accurate and complete books and

records concerning the Collateral.

(b) DCJS shall have the right to review the books and records of Grantor pertaining to the Collateral and to

copy and make excerpts therefrom, all at such times and as often as the DCJS may reasonably request.

Collateral or to preserve any rights relating to the Collateral.

5. Control Events.

(a) Enforcement Costs. Should any Control Event occur, Grantor will pay to DCJS the costs incurred by

DCJS for the purpose of enforcing its rights hereunder, including, without limitation, attorney's fees and

legal expenses incurred by DCJS.

(b) Remedies. Upon the occurrence of any Control Event, DCJS shall be entitled to exercise one or more

of the following remedies without notice or demand: (i) to transfer the whole or any part of the

Collateral into the name of DCJS or its nominee; (ii) to apply the balance of the Collateral to the

Indebtedness or instruct Bank to pay the balance of the Collateral to or for the benefit of DCJS; and/or

(iii) to exercise any remedy available at law (including those available under the provisions of the

Code) or in equity to collect, enforce, and/or satisfy any Indebtedness then owing, whether by

acceleration or otherwise.

6. Severability. If any provision of this Agreement or the application thereof to any person or circumstances shall be

invalid and unenforceable to any extent, the application of such provisions to other persons or circumstances and the

remainder of this Agreement shall not be affected thereby and shall be enforced to the greatest extent permitted by

law.

7. No Waiver; Rights Cumulative. No failure or delay on the part of DCJS in exercising any right, remedy, power or

privilege hereunder shall operate as a waiver thereof or of any other right, remedy, power or privilege hereunder or

under the Loan Agreement; nor shall any single or partial exercise of any such right, remedy, power or privilege

preclude any other or further exercise thereof or of any other right, remedy, power or privilege. The rights and

remedies of DCJS under this Agreement are cumulative and not exclusive of any rights or remedies which it may

otherwise have. No modification or waiver of any provision of this Agreement nor consent to any departure by

Grantor therefrom shall be effective unless the same shall be in writing, and then such waiver or consent shall be

effective only in the specified instance and for the specific purpose for which given.

DCJS Control Agreement – Single Owner, PBB Form #4

Updated: 09/2014

Page 2 of 4

Pbb Form 4 - Control Agreement - Single Owner Page 2