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Exhibit 10.2
VALIDITY GUARANTY
Dated as of December ___, 2002
GREENFIELD COMMERCIAL CREDIT, L.L.C. ("Greenfield")
THIS VALIDITY GUARANTY ("Guaranty"), effective as of the above
date, sets
forth the terms and conditions upon which the undersigned
(whether one or more
in number, referred to herein as "we," "us" or "our" and whom,
if two or more in
number, shall be jointly and severally bound) agrees to guaranty
certain
agreements entered into by you:
1. Underlying Facts.
(a) You have agreed to enter into a certain Loan and Security
Agreement
of even date herewith (the "Agreement") with DIVERSIFIED
CORPORATE RESOURCES,
INC., a Texas corporation ("Borrower") and its subsidiaries
(each a "Credit
Party" and, collectively, the "Credit Parties"), pursuant to
which you will make
loans against and be granted a security interest in various
accounts receivable
of the Credit Parties ("Financed Accounts Receivable").
(b) Borrower has executed and delivered to you the Agreement and
other
documents executed in connection therewith (the "Loan
Documents").
(c) You require as a condition of entering into the Agreement
that we
execute and deliver this Guaranty.
2. Amount of Guaranty. In order to induce you to enter into the
Agreement
with the Credit Parties, we absolutely and unconditionally
guarantee to you the
due and prompt payment and performance of any and all
indebtedness, liabilities
and obligations of any Credit Party to you which arise out of,
and to the extent
of: (a) the failure of any Credit Party to remit funds it
receives on any
Financed Accounts Receivable during the period of time prior to
ten (10) days
from the date that you receive written notice from the Borrower
that J. Michael
Moore ("Moore") is no longer an officer of the Borrower, and/or
(b) any loss on
any Financed Accounts Receivable that is incurred due to the
fraud or
misrepresentation of any Credit Party or any officers,
directors, agents,
employees or representatives of any Credit Party (collectively,
the
"Obligations"). In addition, we shall pay you all costs
incurred, including
reasonable attorneys' fees, in enforcing payment and performance
of this
Guaranty.
3. Your Authority. You may from time to time without notice to
us and/or
without our consent and upon such terms and conditions as you
may deem advisable
without affecting this Guaranty:
(a) release any Credit Party, any maker, guarantor, surety or
other
person liable for payment of all or any part of the
Obligations;
(b) make any agreement extending or otherwise altering the time
for or
the terms of payment of all or any part of the Obligations;
(c) modify, waive, forbear, compromise, release, subordinate,
resort to,
exercise or refrain from exercising any right you may have
hereunder, or under
any of the Loan Documents;
(d) accept or decline additional security or guarantees of any
kind;
(e) endorse, transfer or assign the Note or any other security
to any
other party;
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(f) accept partial payment or payments on account of the
Obligations;
(g) make loans or give or extend further or additional credit to
or for
the benefit of any Credit Party;
(h) release, settle or compromise any of your claims against any
Credit
Party or any other person, firm, corporation, guarantor, or
account debtor whose
obligation is held by you as collateral security for the
Obligations;
(i) release or substitute collateral, guaranties or guarantors;
and/or
(j) amend the Agreement whether or not such amendment increases
the
likelihood of our liability under this Guaranty.
4. Our Waivers. We unconditionally and absolutely waive:
(a) any obligation you may have to protect, secure or insure any
of the
collateral given to secure the payment of the Obligations or to
ensure any
Credit Party's compliance with any such obligation imposed on
any Credit Party
under the Loan Documents;
(b) any right to participate in any of the collateral given as
security
for the payment under the terms of the Agreement;
(c) notice of your acceptance of this Guaranty;
(d) any right to notice of presentment, notice of demand for
payment,
notice of non-performance, protest, notice of protest and notice
of dishonor,
notice of non-payment and notice of partial payment;
(e) any right to notice of any default under any of the Loan
Documents
or in the performance of any of the covenants and agreements
contained therein
or in any instrument given as security for the transactions
contemplated in the
Agreement;
(f) any defense, offset or claim any Credit Party may have
against you;
(g) any limitation or exculpation of liability on the part of
any Credit
Party whether contained in the Loan Documents or otherwise;
(h) the right to notice and the right to consent or object to
the
transfer or sale by any Credit Party of any collateral or any
diminution in
value of any collateral or any release of any collateral;
(i) any defense, offset or claim of lack of commercial
reasonableness in
the method, manner, time, place and terms of the disposition of
collateral given
as security for the Obligations;
(j) any failure, neglect or omission on your part to realize
upon or
protect the Obligations or any collateral given as security
therefor;
(k) any right to insist that you prosecute collection of the
Obligations
or resort to any collateral given as security for the
Obligations or to proceed
against any Credit Party or against any other guarantor or
surety prior to
enforcing this Guaranty; provided, however, in your sole
discretion you may,
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either in a separate action or in an action pursuant to this
Guaranty, pursue
your remedies against any Credit Party or any other guarantor or
surety, without
affecting your rights under this Guaranty;
(l) any right to participate in or direct such action or
proceeding in
(k) above;
(m) any right to notice of advances made to any Credit Party
under the
Loan Documents;
(n) any right relating to notice or any order, method or manner
of
application of any payments on the Obligations; and/or
(o) any right to insist that you disburse the full principal
amount due
under the Loan Documents to any Credit Party or the order,
method, manner or
amounts disbursed pursuant to the Loan Documents.
5. Our Revocation. This Guaranty shall remain in full force and
effect and
be binding upon us and shall inure to your benefit until thirty
(30) days after
the date this Guaranty is expressly terminated by notice in
writing delivered
personally to or received by registered mail by you at 1301 W.
Long Lake, Suite
190, Troy, Michigan 48098, or such other address you specify in
writing to us;
provided, however, that this Guaranty shall remain in full force
and effect
regardless of such termination with respect to all Obligations
in existence on
the date of such termination (including any subsequent
extension, renewal,
modification, amendment or compromise thereof and all
subsequently accruing
interest and other charges thereon) until all such Obligations
are fully
satisfied and paid to you. In the absence of any termination of
this Guaranty in
accordance with the provisions of this Section 5, we agree that
until all
Obligations and our obligations under this Guaranty are
satisfied, this Guaranty
shall remain in full force and effect notwithstanding that from
time to time any
Credit Party may be free from all Obligations.
6. Additional Waivers. We will not assert against you and do
hereby
unconditionally and absolutely waive all defenses of any Credit
Party and any
defenses we may have against you, including, but not limited to,
defenses of
waiver, release, discharge, bankruptcy, statute of limitations,
res judic
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