leotyndall
#3836
Marketlend owns the supplies until the final payment is made, and places a
security interest on the collateral of the company.
Marketlend has a security interest to the value of the outstanding loan over all stock owned by the
pharmacy, including but not limited the supplies they purchased with our stock.
The security is a personal property security interest over all present and future collateral of the
pharmacy.
In a default scenario, we would then go to the administrator and make a claim for any stock that
was purchased with our funds, as well as we would call upon the guarantees to claim for any
monies we cannot collect. We can call on the guarantee at anytime when a default occurs, we don’t
need to wait to get the proceeds of stock. We would set off any further proceeds to them.
We have to accept that some supplies we cannot claw-back, e.g. if they had sold items and did not
reduce our loan but we would then trace the monies and claim the monies.
Reality is we are more likely to get money from the guarantees or the windup of the company as we have rights on all assets to the value of the loan, and then any other monies are a set off for the
guarantor.
9 years, 3 months ago
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