[pcfunder]

Not the way it works. To use your example, the contract only covers a MAX of $100k which can be funded under the contract. If at any point the contract is killed, because of stacking, negative days or the merchant saying they doesn't want it anymore, all the merchant owes is the payback of the amount they received, minus what they paid back. The problems kick in because all the existing pulls have to be paid out of the merchants own resources, plus the pull of the reverse which has to be paid off.

So hypothetically speaking, if I am a funding company who hypothetically funded a merchant for 100k and then renewed the merchant for 140k. When I hypothetically wanted to renew for a 3rd time I found that the merchant was in a reverse but hypothetically speaking the merchant had room for another 100k. Hypothetically speaking I would be a dick if I hypothetically funded the merchant because I should just let the reverse consolidation take over my deal?

This is all hypothetically speaking of course