Continuing

agreement. An agreement entered into by a borrower with the bank or other lender from which or whom he regularly borrows money on call. Tt obviates the making of a special or separate note each time a loan is effected. It contains all the usual provisions safeguarding the lender. The form of continuing agreement in use in New York follows: Know all Men by these Presents, That the undersigned, in consideration of financial accommodations given, or to be given, or continued to the undersigned by THE TWENTY-NINTH NATIONAL BANK OF: THE CITY OF NEW YORK, hereby agree with the said Bank that whenever the undersigned shall become or remain, directly or contingently, | indebted to the said Bank for money lent, or for money paid for the use or account of the undersigned, or for any overdraft or upon any indorsement, draft, guarantee or in any other manner whatsoever, or upon any } other claim, the said Bank shall then and thereafter have the following rights, in addition to those created by the circumstances from which such indebtedne may arise against the undersigned, or his, or their executors, administrators or a igns, namely:: 1. All securities deposited by the undersigned with said Bank, as collateral to any such loan or indebtedne of the undersigned to said Bank, shall also be held by said Bank as security for any other liability of the undersigned to said Bank, whether then existing or thereafter contracted; 5 and said Bank shall also have a lien upon any balance of the deposit account of the undersigned with said Bank existing from time to time, and upon all property of the undersigned of every description left with said Bank for safe keeping or otherwise, or coming to the hands of said Bank in any way,. ] as security for any liability of the undersigned to said Bank now existing or hereafter contracted. 2. Said Bank shall at all times have the right to require from the undersigned that there shall be lodged with said Bank as security for all existing liabilities of the undersigned to said Bank, approved collateral securities to an amount satisfactory to said Bank; and upon the failure of the undersigned at all times to keep a margin of securities with said Bank; for such liabilities of the undersigned, satisfactory to said Bank, or upon any failure in busine or making of an insolvent a ignment by the undersigned, then and in either event all liabilities of the undersigned to said: Bank shall at the option of said Bank become immediately due and payable, notwithstanding any credit or time allowed to the undersigned by any instrument evidencing any of the said liabilities. 3. Upon the failure of the undersigned either to pay any indebtedne to said Bank when becoming or made due, or to keep up the margin of collateral securities above provided for, then and in either event said Bank May immediately without advertisement, and without notice to the undersigned, sell any of the securities held by it as against any or all of the liabilities of the undersigned, at private sale or Broker’s Board or otherwise | and apply the proceeds of such sale as far as needed toward the payment of any or all of such liabilities together with interest and expenses of sale, ' holding the undersigned responsible for any deficiency remaining unpaid.; |: - - a after such application. If any such sale be at Broker’s Board or at public auction, said Bank may itself be a purchaser at such sale free from any right or equity of redemption of the undersigned, such right and equity being hereby expre ly waived and released. Upon default as aforesaid, said Bank may also apply toward the payment of the said liabilities all balances of any deposit account of the undersigned with said Bank then existing. It is further agreed that these presents constitute a continuing agreement, applying to any and all future as well as to existing transactions. between the undersigned and said Bank. 142