|
MORTGAGE g� , 1'�� �� Page 2
<br /> (Continued)
<br /> POSSESSION AND MAINTENANCE OF THE PROPERTY. Grantor agrees that Grantor's possession and use of the Property shall be governed
<br /> by the following provisions:
<br /> Possession and Use. Until the occurrence of an Event of Default, Grantor may (1) remain in possession and control of the Property; (2)
<br /> use,operate or manage the Property;and (3) collect the Rents from the Property.
<br /> Duty to Maintain. Grantor shall maintain the Property in good condition and promptly perform all repairs, replacements, and maintenance
<br /> necessary to preserve its value.
<br /> Compliance With Environmental Laws. Grantor represents and warrants to Lender that: (1) During the period of Grantor's ownership of
<br /> the Property, there has been no use,generation, manufacture,storage,treatment, disposal, release or threatened release of any Hazardous
<br /> Substance by any person on, under,about or from the Property; (2) Grantor has no knowledge of,or reason to believe that there has been,
<br /> except as previously disclosed to and acknowledged by Lender in writing, (a) any breach or violation of any Environmental Laws, (b) any
<br /> use, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance on, under, about or
<br /> from the Property by any prior owners or occupants of the Property,or (c) any actual or threatened litigation or claims of any kind by any
<br /> person relating to such matters;and (3) Except as previously disclosed to and acknowledged by Lender in writing, (a) neither Grantor nor
<br /> any tenant,contractor,agent or other authorized user of the Property shall use,generate, manufacture,store,treat,dispose of or release any
<br /> Hazardous Substance on, under,about or from the Property;and (b) any such activity shall be conducted in compliance with all applicable
<br /> federal,state,and local laws,regulations and ordinances,including without limitation all Environmental Laws. Grantor authorizes Lender and
<br /> iis agents to enter upon the Property to make such inspections and tests, at Grantor's expense, as Lender may deem appropriate to
<br /> determine compliance of the Property with this section of the Mortgage. Any inspections or tests made by Lender shall be for Lender's
<br /> purposes only and shall not be construed to create any responsibility or liability on the part of Lender to Grantor or to any other person. The
<br /> representations and warranties contained herein are based on Grantor's due diligence in investigating the Property for Hazardous
<br /> Substances. Grantor hereby (1) releases and waives any future claims against Lender for indemnity or contribution in the event Grantor
<br /> becomes liable for cleanup or other costs under any such laws;and (2) agrees to indemnify and hold harmless Lender against any and all
<br /> claims, losses, liabilities, damages, penalties, and expenses which Lender may directly or indirectly sustain or suffer resulting from a breach
<br /> of this section of the Mortgage or as a consequence of any use, generation, manufacture, storage, disposal, release or threatened release
<br /> occurring prior to Grantor's ownership or interest in the Property,whether or not the same was or should have been known to Grantor. The
<br /> provisions of this section of the Mortgage, including the obligation to indemnify, shall survive the payment of the Indebtedness and the
<br /> satisfaction and reconveyance of the lien of this Mortgage and shall not be affected by Lender's acquisition of any interest in the Property,
<br /> whether by foreclosure or otherwise.
<br /> Nuisance,Waste. Grantor shall not cause,conduct or permit any nuisance nor commit, permit, or suffer any stripping of or waste on or to
<br /> the Property or any portion of the Property. Without limiting the generality of the foregoing, Grantor will not remove, or grant to any other
<br /> party the right to remove,any timber, minerals (including oil and gas), coal, clay, scoria, soil, gravel or rock products without Lender's prior
<br /> written consent.
<br /> Removal of Improvements. Grantor shall not demolish or remove any Improvements from the Real Property without Lender's prior written
<br /> consent. As a condition to the removal of any Improvements, Lender may require Grantor to make arrangements satisfactory to Lender to
<br /> replace such Improvements with Improvements of at least equal value.
<br /> Lender's Right to Enter. Lender and Lender's agents and representatives may enter upon the Real Property at all reasonable times to
<br /> attend to Lender's interests and to inspect the Real Property for purposes of Grantor's compliance with the terms and conditions of this
<br /> Mortgage.
<br /> Compliance with Governmental Requirements. Grantor shall promptly comply with all laws,ordinances,and regulations, now or hereafter
<br /> in effect,of all governmental authorities applicable to the use or occupancy of the Property. Grantor may contest in good faith any such law,
<br /> ordinance, or regulation and withhold compliance during any proceeding, including appropriate appeals, so long as Grantor has notified
<br /> Lender in writing prior to doing so and so long as, in Lender's sole opinion, Lender's interests in the Property are not jeopardized. Lender
<br /> may require Grantor to post adequate security or a surety bond,reasonably satisfactory to Lender,to protect Lender's infer�st.
<br /> C3uty to Protect. Grantor agrees neithar to abandon nor leave unattended the PropQrty. Grantor shall do all other acts,in addition to those
<br /> acts set forth above in this section,which from the character and use of the Property are reasonably necessary to protect and preserve the
<br /> Property.
<br /> TAXES AND LIENS. The following provisions relating to the taxes and liens on the Property are part of this Mortgage:
<br /> Payment. Grantor shall pay when due (and in all events prior to delinquency) all taxes, payroll taxes, special taxes, assessments, water
<br /> charges and sewer service charges levied against or on account of the Property,and shall pay when due all claims for work done on or for
<br /> services rendered or material furnished to the Property. Grantor shall maintain the Property free of any liens having priority over or equal to
<br /> the interest of Lender under this Mortgage,except for the Existing Indebtedness referred to in this Mortgage or those liens specifically agreed
<br /> to in writing by Lender,and except for the lien of taxes and assessments not due as further specified in the Right to Contest paragraph.
<br /> Right to Contest. Grantor may withhold payment of any tax, assessment, or claim in connection with a good faith dispute over the
<br /> obligation to pay,so long as Lender's interest in the Property is not jeopardized. If a lien arises or is filed as a result of nonpayment,Grantor
<br /> shall within fifteen (15) days after the lien arises or, if a lien is filed, within fifteen (15) days after Grantor has notice of the filing, secure the
<br /> discharge of the lien, or if requested by Lender, deposit with Lender cash or a sufficient corporate surety bond or other security satisfactory
<br /> to Lender in an amount sufficient to discharge the lien plus any costs and attorneys'fees,or other charges that could accrue as a result of a
<br /> foreclosure or sale under the lien. In any contest, Grantor shall defend itself and Lender and shall satisfy any adverse judgment before
<br /> enforcement against the Property. Grantor shall name Lender as an additional obligee under any surety bond furnished in the contest
<br /> proceedings.
<br /> Evidence of Payment. Grantor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and shall
<br /> authorize the appropriate governmental official to deliver to Lender at any time a written statement of the taxes and assessments against the
<br /> Property.
<br /> Notice of Construction. Grantor shall notify Lender at least fifteen(15)days before any work is commenced,any services are furnished, or
<br /> �
<br /> I
<br />
|