SEC Filings Section 16 Filings Only
 
PFSWEB INC filed this 10-Q/A on 11/16/2001.
« Prev Page Outline Printer Friendly Entire FilingNext Page »



                  4.1.2    You hereby agree to transfer ownership to us of all
                           Receivables and VAT Receivables (together with all
                           Receivables Rights) created after the Commencement
                           Date until this Agreement ends, or we give you notice
                           under Clause 4.1.12 that no more Receivables and/or
                           VAT Receivables will be accepted from a date
                           designated by us. Such Receivables and VAT
                           Receivables shall vest in us the moment the
                           Receivables are created and transfer of ownership of
                           any such Receivables and VAT Receivables to us shall
                           take place automatically and with immediate effect.
                           On that day our receipt of the relevant Notifications
                           and our ownership of such Receivables and VAT
                           Receivables shall then be complete. We will credit to
                           your ledger account with us the Purchase Price of all
                           such Receivables and VAT Receivables upon such date.

                  4.1.3    You will pay any duties or similar charges including
                           any Stamp Duty arising in connection with this
                           Agreement and the transfer of the Receivables,
                           Acquired Receivables and VAT Receivables to us.

                  4.1.4    After the Commencement Date, you will notify us in
                           the manner agreed with us, and at the frequency
                           stated in the Schedule of the invoice value of
                           Receivables and Acquired Receivables, less any
                           rebates or deductions or other credits given by you,
                           or to which a Debtor may be entitled. You will
                           provide on request copies of the relevant Sales
                           Contracts, Sales Invoices, credit notes, delivery
                           notes, and other evidence of the fulfilment of the
                           Sales Contracts as we may reasonably require and PFS
                           Web B.V. will provide similar information in relation
                           to VAT Receivables. There will be either be a service
                           fee for each Notification subject to a minimum
                           service fee payable in accordance with Clause 7.2.1,
                           or a monthly service fee, as set out in the Schedule
                           which you agree to pay to us. The Loan Parties will
                           promptly when required by us complete any forms of
                           assignment, documents or other instruments necessary
                           to ensure the transfer of full ownership of the
                           Receivables, Acquired Receivables and VAT Receivables
                           to us or to enable us to collect the Receivables,
                           Acquired Receivables and VAT Receivables.

                  4.1.5    If, for any reason, the sale or transfer of
                           Receivables, Acquired Receivables and/or VAT
                           Receivables, pursuant to the above provisions of this
                           Agreement, does not vest ownership of the
                           Receivables, Acquired Receivables and/or VAT
                           Receivables in us, the Loan Parties will hold any
                           such Receivables, Acquired Receivables and/or VAT
                           Receivables and any monies collected by them in
                           respect of such Receivables, Acquired Receivables
                           and/or VAT Receivables in trust for us, and pay any
                           such monies to us.

                  4.1.6    We may use the monies we receive from or on behalf of
                           Debtors in respect of each Receivable, Acquired
                           Receivable and VAT Receivable to satisfy any monies
                           then owing to us by you. We will transfer any
                           remaining amount to your designated bank account
                           (provided there is no Event of Default) at the
                           frequency agreed with you subject to the banking
                           charge specified in the Schedule.

                  4.1.7    As the absolute owner we have the sole and unfettered
                           right to enforce payment of and collect any
                           Receivable, Acquired Receivable and VAT Receivable
                           purchased by us under this Agreement. However until
                           further notice from us the Loan Parties will act
                           diligently and promptly as our undisclosed agent in
                           administering the accounts of customers and in
                           collecting and enforcing payment of Receivables,
                           Acquired Receivables and VAT Receivables at the Loan
                           Parties expense. However if (a) we consider that your
                           continued collection of any Receivables, Acquired
                           Receivables and VAT Receivables would be prejudicial
                           to us, and that such collection would


--------------------------------------------------------------------------------
                                                                               9