Where HD Faculty™ or its subsidiary (or their respective nominee) is in possession of proceeds that are derived from a given transaction in respect to the issuance of a promissory note, a debt instrument, investment instrument, commercial paper, bonds, or loan, it shall undertake or cause to be undertaken the issuance of security interest to the creditor in order to secure the creditor or investor from exposure to unnecessary risks.
The security interest granted, be it direct or indirect, must secure the payment and satisfaction of any and all obligations, indebtedness, and liability to the Creditor of the proceeds, be it present or future, direct or indirect, absolute or contingent, matured or not, extenuated or renewed, and howsoever incurred, and any ultimate unpaid balance thereof, and whether the same, from time to time is reduced and thereafter increased or entirely extinguished and thereafter incurred again, in one (1) or more the following:
- Portfolio securities;
- Marketable securities; and/or,
- Designated accounts receivable, by way of registration.
