Business Pledge Document

Business Pledge Document

Parties

Recitals

WHEREAS, Pledger Name: is engaged in operating certain business activities and possesses certain rights, assets and revenues relevant to the pledge described below;

WHEREAS, Beneficiary Name: requires assurance of performance and/or payment and Pledger is willing to grant a pledge interest under the terms set forth in this Business Pledge Document; and

NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties agree as follows.

Scope of Work / Pledge Description

Pledger hereby pledges the following assets, rights, or revenue streams to secure obligations to Beneficiary. The pledge is described with specificity below. The parties intend that the pledged property constitute collateral to secure performance and payment obligations as set forth herein.

Payment Terms

Pledger covenants to make payments and otherwise perform under this pledge according to the following terms:

Term and Termination

This pledge commences on Start Date: and continues until End Date: , unless earlier terminated in accordance with this section.

Either party may terminate this pledge upon written notice delivered to the other party no fewer than days prior to the effective date of termination, except that termination shall not relieve Pledger of obligations accrued prior to termination.

In the event of a material breach by Pledger, Beneficiary may declare an event of default and exercise available remedies following a cure period of days after written notice of breach.

Confidentiality

Each party shall keep confidential all non-public information disclosed in connection with this pledge and shall not disclose such information to any third party except as reasonably required to enforce the pledge, comply with law, or to a party's professional advisers who are bound by confidentiality obligations. This obligation survives termination for a period of five (5) years.

By checking this box, the signatory acknowledges and agrees to the confidentiality obligations set forth above.

Security, Remedies and Default

Pledger grants to Beneficiary a security interest in the pledged assets and proceeds described in the Scope of Work section to secure all obligations arising under this pledge. Upon default, Beneficiary shall have all rights and remedies available under applicable law, including the right to take possession of, sell, or otherwise realize upon the pledged collateral and to set off amounts owed against any receivables assigned to Beneficiary. Pledger shall cooperate in executing any documents necessary to perfect Beneficiary's security interest.

Representations and Warranties

Each party represents and warrants that it has full power and authority to enter into this Business Pledge Document, that the execution and performance hereunder do not violate any agreement to which it is a party, and that the information provided to the other party regarding pledged assets is true and correct in all material respects.

Governing Law

This Business Pledge Document shall be governed by and construed in accordance with the laws of the State of , without regard to its conflicts of law principles.

Assignment and Amendment

Neither party may assign or transfer its rights or obligations under this pledge without the prior written consent of the other party, except Beneficiary may assign its rights to any successor or assignee in connection with a transfer of the secured obligation. This document may be amended only by a written instrument signed by both parties.

Severability and Entire Agreement

If any provision of this Business Pledge Document is held to be invalid or unenforceable, such provision shall be reformed only to the extent necessary to make it enforceable and the remaining provisions shall remain in full force and effect. This document, together with any schedules or attachments expressly incorporated herein, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements and understandings, oral or written.

Notices

All notices, demands or other communications required or permitted under this Business Pledge Document shall be in writing and delivered to the addresses set forth above or to such other address as either party may designate by written notice to the other in accordance with this section.

Sign Now