a) Unless inconsistent with the context the expression “Borrower” includes all persons executing this Contract (whether described as a Borrower or Guarantor) and the covenants contained or implied in this Contract shall bind all such persons jointly and severally as principal debtors.
b) The expressions or words “money hereby secured” includes i) all advances, credits, financial services, interest, commission, costs and charges which are payable by the Borrower to the Lender or which are incurred by the Lender in exercising or attempting to exercise the rights powers and remedies of the Lender under this Contract. ii) all other debts and obligations of the Borrower to the Lender.
c) Collateral means all of the Borrowers right title and interest (legal and equitable) in the personal property described as collateral in the disclosure statement.
d) “Upon demand” and “will ensure” have the meaning ascribed to them in the Fifth Schedule of the Chattels Transfer Act 1924 (repealed).
e) Unless inconsistent with the context expressions not otherwise defined in this Contract but which are defined in the Personal Property Securities Act (PPSA) have the meaning defined by the PPSA.
2. In consideration of the cash advance lent (at the request of the Guarantor if one is included) to the Borrower by the Lender (the receipt of which sum is hereby acknowledged) the Borrower and the Guarantor (if one is included) hereby covenant and agree with the Lender as follows:
a) The Borrower shall pay to the Lender at its address stated in the Schedule or as otherwise directed by the Lender without demand and free of exchange all the Moneys Hereby Secured on the days upon which such moneys are payable.
b) The Borrower shall take proper care of the collateral and keep the same in good order, condition and repair and shall not alter or deface the same nor during the continuance hereof to remove or take away or suffer to be removed or taken away the said collateral or any part of them from the premises mentioned in the Schedule hereto (except in the ordinary course of daily use unless and subject to the consent in writing of the Lender first had and obtained and shall keep such of the collateral as are motor vehicles safely garaged when not in use.
c) The Borrower will not without the prior written consent of the Lender sell part with possession of or dispose of or mortgage charge or otherwise encumber the collateral nor do not permit or suffer any act matter or thing whereby the collateral may be or may be likely to be charged in any way in priority to this security nor shall the Borrower do any act or thing which leads or is likely to lead to the collateral being seized under any legal proceedings or to a lien being created upon the collateral.
d) The Borrower at its expense “will insure” and keep insured the collateral to the full insurable value thereof in an insurance office approved by the Lender such insurance to be effected in the name of the Borrower and the Lender for their respective rights and interests so that all proceeds of claim shall be payable to the Lender. All moneys received under any such insurance claim may be applied by the Lender in discharging the Moneys Hereby Secured if the Lender so elects. The collateral shall be insured under a comprehensive insurance policy applicable to such collateral (including, without limitation, insurance against loss by fire, accident and theft) and, where the collateral is a motor vehicle such insurance shall also cover third party risk. All policies of insurance and the receipts for premium paid thereunder shall forthwith be delivered to the Lender. It shall be the Borrowers responsibility to arrange such insurance.
e) In respect of such of the collateral as shall be motor vehicles the Lender shall comply with all the provisions of the Transport Act 1962 and all statutes laws by-laws and regulations for the time being affecting the ownership, possession, operation and use of motor vehicles and in particular shall pay all taxes fees and charges payable in respect of the ownership, possession, operation and use of motor vehicles.
f) So long as any moneys remain owing hereunder the Lender shall be entitled to the exclusive custody of any certificate of registration or ownership or other documents of title relating to the collateral.
g) The Borrower shall punctually pay all rents rates taxes charges and impositions payable in respect of any land or premises on or in which the collateral is from time to time kept or placed and shall deliver to the Lender upon demand by the Lender all receipts for such payments. The Borrower shall permit the Lender its officers or duly authorised agents at all times during the continuance of this Contract to have access to the collateral and any premises upon which the same is situate to inspect and/or test the condition of the collateral.
h) The borrower shall “upon demand” pay to the Lender the costs of and incidental to the preparation, execution, registration, renewal and discharge of this Contract and security and also all moneys expended by the Lender through or consequent on the default or neglect of the Borrower or which the Lender considers in any way necessary to expend or incur in the protection or attempted protection of the collateral (including the Lender’s full legal and Solicitor’s costs) and this security secures the payment of any insurance premium, costs and all moneys expended by the Lender in or about or incidental to the exercise or enforcement of any powers rights or remedies expressed or implied in this Contract or conferred by law.
i) The Borrower shall indemnify and keep harmless the Lender from and against all liabilities, damages, claims, demands and expenses suffered or incurred by the Lender in the lawful exercise or enforcement of any of the powers rights or remedies of the Lender expressed or implied in this Contract or conferred by law.
j) The Borrower shall give to the Lender not less than seven clear days prior written notice of any proposed change of address of the Borrower and, unless and until such notice shall be given, the Borrower by his/her/their execution of this Contract specifies the Borrowers address set out in the Schedule as the Borrowers address for the purpose of the Lender making disclosure (of whatsoever nature) pursuant to the Credit Contracts and Consumer Finance Act 2003.
k) If the Borrower shall make default in payment of any of the Moneys Hereby Secured on the due date for payment thereof the Borrower shall pay interest on a daily basis on the sum in respect of which default is made at the default interest rate specified herein which interest shall be payable on the amount in respect of which default is made from the due date for payment thereof down to the date on which the full amount in respect of which default has been made is paid in full.
l) In the event of the Borrower wishing to pay the full amount of the Moneys Hereby Secured before the due date for payment thereof then the Borrower may be required to compensate the Lender for the Lender’s loss resulting from such early repayment as is calculated using the formula prescribed in Regulation 9 or Regulation 11 of the Credit Contracts and Consumer Finance Regulations 2004.
m) That if default is made by the Borrower in payment of any of the Moneys Hereby Secured on the due date for payment thereof or in the observance or performance of any of the covenants conditions or agreements herein expressed or implied and on the part of the Borrower to be observed or performed or if the Borrower becomes bankrupt or makes an assignment or an arrangement with his creditors or any of them or commits any act of bankruptcy or if any judgement of any court against the Borrower remains unsatisfied for one day or if the Borrower is a company and a receiver of its assets is appointed or a resolution is passed or statement of claim filed for the winding up of a Borrower or the Borrower is unable to pay its debts within the meaning of Section 289 of the Companies Act 1993 then and in any such event the Lender may at its option demand or compel payment of all of the Moneys Hereby Secured for the time being remaining unpaid notwithstanding that the time or times for payment thereof may not have arrived and/or subject to the provisions of the Credit (Repossession) Act 1997 the Lender by its agents or servants may immediately thereupon or at any time thereafter without further notice to or consent of the Borrower and notwithstanding any subsequent acceptance of any part of the Moneys Hereby Secured enter upon any lands premises or place whereupon or wherein the collateral may be and take possession thereof and sell and dispose of the same or any part thereof by private sale or public auction in such manner in every respect as the Lender shall deem expedient with power to allow time for payment of purchase money and further power to buy the collateral or any part or parts thereof at such auction and to rescind or vary the terms of any contract or sale and to resell the collateral without being answerable for any loss or expense occasioned thereby and to execute all such assurances and do all such things giving effect to any such sale as may be necessary or proper and the receipt of the Lender or its agent shall be a sufficient discharge to any purchaser at such sale for any of the purchase money and upon any sale purporting to be made in exercise of the powers herein expressed or implied no purchaser shall be bound to enquire as to the proprietary or regularity of any such sale or be affected by notice express or constructive that any such sale is improper or irregular.
n) To enable the Lender to obtain the benefits of the covenants of the Borrower in this Contract the Borrower hereby irrevocably nominate/s constitute/s and appoint/s the Lender and any director secretary solicitor or manager for the time being of the Lender jointly and each of them severally to be the attorney or attorneys of the Borrower during the continuance of this Contract for and in the name or otherwise on behalf of the Borrower to do execute and perform all and every act matter deed and thing which shall or may be deemed necessary or expedient for more fully and perfectly transferring assigning and securing unto the Lender or to any purchaser from the Lender under the power of sale herein contained and implied the collateral and in the name and on behalf of the Borrower to do and execute all acts and documents which the Lender may deem necessary for the protection of its security or the preservation of its rights under this Contract.
o) The use of the term “Lender” herein shall mean and include the successors and assigns of the Lender. The use of the term “Borrower” herein shall mean the Borrower jointly and each of them severally and shall include the executors and administrators of the Borrower where the Borrower is an individual and where the Borrower is a corporation shall mean and include such corporation and its successors. The liability of the Borrower hereunder shall, where there is more than one Borrower, be joint and several. Any words importing the masculine shall include also the feminine and the neuter and vice versa in each case.
p) Where this Contract is collateral with and secured payment of the same moneys as are payable under any other deed, agreement, contract or instrument made between the Borrower and the Lender and expressed to be collateral herewith then any such other deed, agreement, contract or instrument and this Contract shall be read and construed together so that default under any one or more of them shall be deemed also to be a default under the other or others of them but so nevertheless that the Lender may pursue its remedies and exercise its powers under any one of the documents separately or under one or more of the documents concurrently.
q) Notwithstanding anything expressed or implied in this Contract the Lender may from time to time without notice set off against any claim or demand whatsoever that the Lender may have against the Borrower but only to the extent that the same is not prohibited by law.
r) In the event that the Borrower shall make default in payment of any part of the Moneys Hereby Secured on the due date for payment thereof and the Lender, without prejudice to its rights powers and remedies arising out of such default, shall elect to mail or deliver to the Borrower a notice to the effect that such default has been made then to the extent that it shall not be prohibited by law the Lender shall be entitled to charge to the Borrower a reasonable amount in respect of each such notice mailed or delivered to the Borrower such amount being reimbursement to the Lender of production, postal, delivery and other expenses of and incidental to the giving of such notice and any amount so charged shall be and become part of the Moneys Hereby Secured and be payable by the Borrower to the Lender upon demand being made by the Lender to the Borrower.
s) The Borrower by signing this Credit Contract grants to the Lender a security interest in the collateral and acknowledges that the Lender may register the same on the Personal Property Securities Register in accordance with the Personal Property Securities Act 1999. The Borrower waives the right to be notified of registration by verification statement. The verification statement will be held by the Lender and details are available upon request.
t) The Borrower by signing this Contract acknowledges to have received a copy of this Contract and disclosure statement attached thereto and acknowledges and accepts that this Contract includes as part of its terms the terms and statements of the disclosure statement.