|
Loan No: 101317216
<br />ASSIGNMENT OF RENTS
<br />(Continued) Page 3
<br />20180'7811
<br />LENDER'S EXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in
<br />the Property or if Grantor fails to comply with any provision of this Assignment or any Related Documents, including but
<br />not limited to Grantor's failure to discharge or pay when due any amounts Grantor is required to discharge or pay under
<br />this Assignment or any Related Documents, Lender on Grantor's behalf may (but shall not be obligated to) take any
<br />action that Lender deems appropriate, including but not limited to discharging or paying all taxes, liens, security
<br />interests, encumbrances and other claims, at any time levied or placed on the Rents or the Property and paying all costs
<br />for insuring, maintaining and preserving the Property. All such expenditures incurred or paid by Lender for such
<br />purposes will then bear interest at the rate charged under the Note from the date incurred or paid by Lender to the date
<br />of repayment by Grantor. All such expenses will become a part of the Indebtedness and, at Lender's option, will (A)
<br />be payable on demand; (B) be added to the balance of the Note and be apportioned among and be payable with any
<br />installment payments to become due during either (1) the term of any applicable insurance policy; or (2) the
<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. Grantor fails to make any payment when due under the Indebtedness.
<br />Other Defaults. Grantor fails to comply with or to perform any other term, obligation, covenant or condition
<br />contained in this Assignment or in any of the Related Documents or to comply with or to perform any term,
<br />obligation, covenant or condition contained in any other agreement between Lender and 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 />False Statements. Any warranty, representation or statement made or furnished to Lender by Grantor or on
<br />Grantor's behalf under this Assignment or the Related Documents is false or misleading in any material respect,
<br />either now or at the time made or furnished or becomes false or misleading at any time thereafter.
<br />Defective Collateralization. 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 Grantor's existence as a going
<br />business or the death of any member, the insolvency of Grantor, the appointment of a receiver for any part of
<br />Grantor's property, any assignment for the benefit of creditors, any type of creditor workout, or the
<br />commencement of any proceeding under any bankruptcy or insolvency laws by or against 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 Grantor or by any governmental agency
<br />against the Rents or any property securing the Indebtedness. This includes a garnishment of any of Grantor's
<br />accounts, including deposit accounts, with Lender. However, this Event of Default shall not apply if there is a
<br />good faith dispute by Grantor as to the validity or reasonableness of the claim which is the basis of the creditor or
<br />forfeiture proceeding and if Grantor gives Lender written notice of the creditor or forfeiture proceeding and deposits
<br />with Lender monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lender,
<br />in its sole discretion, as being an adequate reserve or 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 />Cure Provisions. If any default, other than a default in payment, is curable and if Grantor has not been given a
<br />notice of a breach of the same provision of this Assignment within the preceding twelve (12) months, it may be
<br />cured if Grantor, after Lender sends written notice to Grantor demanding cure of such default: (1) cures the
<br />default within fifteen 115) days; or (2) if the cure requires more than fifteen (15) days, immediately initiates steps
<br />which Lender deems in Lender's sole discretion to be sufficient to cure the default and thereafter continues and
<br />completes all reasonable and necessary steps sufficient to produce compliance as soon as reasonably practical.
<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 Grantor would be required to pay.
<br />Collect Rents. Lender shall have the right, without notice to Grantor, to take possession of the Property and
<br />
|