This excerpt taken from the EVOL 8-K filed Nov 17, 2005.
(a) Collateral Reporting. Each Credit Party shall:
(i) provide Agent with not less than thirty (30) days prior written notice of any change in such Credit Partys legal name, organizational identification number, if any, federal employer identification number, mailing address, corporate or organizational form or jurisdiction of organization, or of any new location for any of its Property valued at an amount greater than an amount equal to $100,000;
(ii) notify Agent promptly in writing (A) prior to any change in the proposed use by such Credit Party or Subsidiary of any trade name or fictitious business name and (B) upon obtaining knowledge that any application or registration relating to any Necessary Intellectual Property (whether now or hereafter existing) may become abandoned, or of any adverse determination or development (including the institution of, or any such determination or material development in, any proceeding in the United States Patent and Trademark Office, the United States Copyright Office or any Court) regarding such Credit Partys or Subsidiarys ownership of any Necessary Intellectual Property, its right to register the same, or to keep and maintain the same;
(iii) promptly notify Agent of any Commercial Tort Claim in excess of an amount equal to $50,000 and any claims in excess of an amount equal to $100,000 in the aggregate, acquired by it and, unless otherwise consented to by Agent, and promptly enter into a supplement to the Security Agreement to which it is a party granting to Agent, for the benefit of the Lender Parties, a Lien on and security interest in such Commercial Tort Claim;
(iv) upon acquiring or receiving any of the same, deliver and pledge to Agent any and all Instruments (excluding checks, drafts and similar instruments that are customarily endorsed or presented for collection or deposit in the Ordinary Course of Business), negotiable Documents, Chattel Paper and, subject to the limitations contained in Section 6.7(c) of this Agreement, certificated Securities (or Capital Stock) (accompanied by transfer certificate executed in blank) duly endorsed and/or accompanied by such instruments of assignment and transfer executed by such Person in such form and substance as Agent may request in its Permitted Discretion; provided, that so long as no Event of Default shall have occurred and be continuing, each Credit Party or Subsidiary may retain for collection in the Ordinary Course of Business any Instruments, negotiable Documents and Chattel Paper received by such Person in the Ordinary Course of Business; provided, further, that if any such Credit Party or Subsidiary retains possession of any Instruments, negotiable Documents or Chattel Paper pursuant to the terms hereof, each such Instrument (excluding checks, drafts and similar instruments that are customarily endorsed or presented for collection or deposit in the Ordinary Course of Business), negotiable Documents and Chattel Paper shall be marked with the following legend: This writing and the obligations evidenced or secured hereby are subject to the security interest of CapitalSource Finance LLC, as Agent, as secured party, for the benefit of certain Lender Parties in each case in accordance with the terms of any applicable Security Document;
(v) deliver to Agent an updated Schedule I (Filing Jurisdictions), Schedule II (Capital Stock, Instruments, Documents, Letter of Credit Rights and Chattel Paper), Schedule III (Legal Names, Prior Names, Type of Entity, Organizational Identification Number, State of Organization, Chief Executive Office, Principal Place of Business, Offices, Warehouses, Consignees, Processors, Books and Records) of the Security Agreement to which it is a party within five (5) Business Days of any change thereto;
(vi) prior to any Credit Party opening any new deposit or securities accounts (except accounts used exclusively for payroll and employee benefits), such Credit Party shall give Agent not less than ten (10) Business Days prior written notice of its intention to do so and shall deliver to Agent a revised version of Schedule V (Deposit Accounts) of the Security Agreement to which it is a party showing any changes thereto within five (5) Business Days of any such change (and shall otherwise obtain and deliver to Agent an Account Control Agreement in respect thereof in accordance with the terms of such Security Agreement);
(vii) advise Agent promptly, in reasonable detail, (A) of any Lien (other than a Permitted Lien) or material claim made or asserted against any of the Collateral, and (B) of the occurrence of any other event which would reasonably be expected to have a Material Adverse Effect on the value of the Collateral or on the Liens created hereunder or under any other Loan Document;
(viii) promptly, and in any event within five (5) Business Days after becoming a beneficiary, notify Agent of the issuance of any letter of credit of which such Credit Party or Subsidiary is a beneficiary;
(ix) promptly notify Agent of any Collateral which constitutes a claim against the United States government or any instrumentality or agent thereof in an amount equal to or greater than $50,000 individually or $100,000 in the aggregate, the assignment of which claim is restricted by federal law and, upon the request of Agent, such Credit Party or Subsidiary shall take such steps as may be necessary to comply with any applicable federal assignment of claims laws or other comparable laws; and
(x) promptly comply with all of the terms and conditions of each Security Agreement to which such Credit Party or Subsidiary is a party as is necessary or desirable to ensure the attachment, granting, creation, perfection, continuation and/or enforceability of a Lien, in favor of Agent, for the benefit of the Lender Parties, as a result of any of the events or circumstances described in the other clauses of this paragraph (b) in each case subject to any grace or cure periods set forth therein.