|
201301355
<br /> ASSIGNMENT OF RENTS
<br /> (Continued) Page 3
<br /> remaining term of the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's
<br /> maturity. The Assignment also will secure payment of these amounts. Such right shall be in addition to all other rights
<br /> and remedies to which Lender may be entitled upon Default.
<br /> DEFAULT. Each of the following, at Lender's option, shall constitute an Event of Default under this Assignment:
<br /> Payment Default. Borrower fails to make any payment when due under the indebtedness.
<br /> Other Defaults. Borrower or Grantor fails to comply with or to perform any other term, obligation, covenant or
<br /> condition contained In this Assignment or in any of the Related Documents or to comply with or to perform any
<br /> term, obligation, covenant or condition contained In any other agreement between Lender and Borrower or Grantor.
<br /> Default on Other Payments. Failure of Grantor within the time required by this Assignment to make any payment
<br /> for taxes or insurance, or any other payment necessary to prevent filing of or to effect discharge of any lien.
<br /> Default in Favor of Third Parties. Borrower, any guarantor or Grantor defaults under any loan, extension of credit,
<br /> security agreement, purchase or sales agreement, or any other agreement, in favor of any other creditor or person
<br /> that may materially affect any of Borrower's, any guarantor's or Grantor's property or ability to perform their
<br /> respective obligations under this Assignment or any of the Related Documents.
<br /> False Statements. Any warranty, representation or statement made or furnished to Lender by Borrower or Grantor
<br /> or on Borrower's or Grantor's behalf under this Assignment or the Related Documents Is false or misleading in any
<br /> material respect, either now or at the time made or furnished or becomes false or misleading at any time
<br /> thereafter.
<br /> Defective Colleteralization. This Assignment or any of the Related Documents ceases to be in full force and effect
<br /> (including failure of any collateral document to create a valid and perfected security interest or lien) at any time and
<br /> for any reason.
<br /> Death or Insolvency. The dissolution of Grantor's (regardless of whether election to continue is made), any
<br /> member withdraws from the limited liability company, or any other termination of Borrower's or Grantor's
<br /> existence as a going business or the death of any member, the insolvency of Borrower or Grantor, the appointment
<br /> of a receiver for any part of Borrower's or Grantor's property, any assignment for the benefit of creditors, any type
<br /> of creditor workout, or the commencement of any proceeding under any bankruptcy or insolvency laws by or
<br /> against Borrower or Grantor.
<br /> Creditor or Forfeiture Proceedings. Commencement of foreclosure or forfeiture proceedings, whether by judicial
<br /> proceeding, self-help, repossession or any other method, by any creditor of Borrower or Grantor or by any
<br /> governmental agency against the Rents or any property securing the Indebtedness. This includes a garnishment of
<br /> any of Borrower's or Grantor's accounts, including deposit accounts, with Lender. However, this Event of Default
<br /> shall not apply if there is a good faith dispute by Borrower or Grantor as to the validity or reasonableness of the
<br /> claim which is the basis of the creditor or forfeiture proceeding and If Borrower or Grantor gives Lender written
<br /> notice of the creditor or forfeiture proceeding and deposits with Lender monies or a surety bond for the creditor or
<br /> forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an adequate reserve or
<br /> bond for the dispute.
<br /> Property Damage or Loss. The Property is lost, stolen, substantially damaged, sold, or borrowed against.
<br /> Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the
<br /> Indebtedness or any Guarantor dies or becomes Incompetent, or revokes or disputes the validity of, or liability
<br /> under, any Guaranty of the Indebtedness,
<br /> Adverse Change. A material adverse change occurs in Grantor's financial condition, or Lender believes the
<br /> prospect of payment or performance of the Indebtedness is impaired.
<br /> Insecurity. Lender in good faith believes itself Insecure.
<br /> RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of any Event of Default and at any time thereafter, Lender
<br /> may exercise any one or more of the following rights and remedies, in addition to any other rights or remedies provided
<br /> by law:
<br /> Accelerate Indebtedness. Lender shall have the right at its option to declare the entire Indebtedness immediately
<br /> due and payable, Including any prepayment penalty that Borrower would be required to pay,
<br /> Collect Rents. Lender shall have the right, without notice to Borrower or Grantor, to take possession of the
<br /> Property and collect the Rents, Including amounts past due and unpaid, and apply the net proceeds, over and
<br /> above Lender's costs, against the Indebtedness. In furtherance of this right, Lender shall have all the rights
<br /> provided for in the Lender's Right to Receive and Collect Rents Section, above. If the Rents are collected by
<br /> Lender, then Grantor irrevocably designates Lender as Grantor's attorney-In-fact to endorse instruments received in
<br /> payment thereof in the name of Grantor and to negotiate the same and collect the proceeds. Payments by tenants
<br /> or other users to Lender in response to Lender's demand shall satisfy the obligations for which the payments are
<br /> made, whether or not any proper grounds for the demand existed. Lender may exercise its rights under this
<br /> subparagraph either in person, by agent, or through a receiver.
<br /> Other Remedies. Lender shall have all other rights and remedies provided in this Assignment or the Note or by
<br />
|