Side Letter Agreement Regarding Bank Account and Accounts Receivable between Frontline Communications Corp. and DelaNet, Inc.

Contract Categories: Business Finance › Purchase Agreements
Summary

This agreement is between Frontline Communications Corp. and DelaNet, Inc. following the sale of certain assets. DelaNet agrees not to withdraw funds from a specified bank account without Frontline's written consent and to continue collecting accounts receivable, depositing all collections into that account. DelaNet must also provide weekly reports to Frontline until the bank account is transferred. The agreement outlines post-closing obligations to ensure proper handling of funds and receivables after the asset purchase.

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EX-10.9 10 0010.txt SIDE LETTER [FRONTLINE.NET LETTERHEAD] June 20, 2000 Mike Brown, President DelaNet, Inc. 262 Quigley Boulevard New Castle, DE 19720 Re: Side Letter re: Bank Account and Accounts Receivable Dear Mike: The purpose of this Side Letter is to set forth the parties' agreement with regard to certain post-closing obligations. Pursuant to Section 1.2 of the Asset Purchase Agreement dated June 20, 2000 (the "Agreement"), Frontline Communications Corp. (the "Purchaser") is acquiring the accounts receivable of DelaNet, Inc. (the "Seller") as well as the cash balance of the Seller's Pennsville National Bank Account Number 21-855-3 (the "Bank Account"). Subsequent to the Closing Date (i.e, June 20, 2000) the Seller agrees that it shall not, without the prior written consent of the Purchaser, withdraw any funds from the Bank Account. Seller further agrees that it shall continue to collect accounts receivable and shall promptly deposit all sums collected into the Bank Account. Seller shall provide Purchaser with reports reflecting all amounts collected not less than once per week until control of the Bank Account has been transferred to Purchaser. o Page 2 July 5, 2000 If the foregoing reflects your understanding, please execute below. Thank you. Sincerely, Amy Wagner-Mele Executive Vice President and General Counsel AGREED TO THIS ____ DAY OF JUNE, 2000 - ----------------------- DELANET, INC. AWM/mmw