Laserfiche WebLink
the Mortgagor empowers the Mortgagee to effect insurance upon the Property at Mortgagor's <br /> expense and for the benefit of the Mortgagee in the amounts and types aforesaid for a period of time <br /> covering the time of redemption from foreclosure sale, and if necessary, to cancel any or all existing <br /> insurance policies. Mortgagor agrees to furnish Mortgagee copies of all inspection reports and <br /> insurance recommendations received by Mortgagor from any insurer. <br /> SECTION 2.2: Escrows. Intentionally deleted. <br /> ARTICLE THREE <br /> UNIFORM COMMERCIAL CODE <br /> INTENTIONALLY DELETED <br /> ARTICLE FOUR <br /> APPLICATION OF INSURANCE AND AWARDS <br /> SECTION 4.1: Damage or Destruction of the Property. Mortgagor will give the Mortgagee <br /> prompt notice of any damage to or destruction of the Property. If the insurance proceeds are <br /> sufficient to pay all costs of repair and/or restoration, then the parties will in good faith consider that <br /> option. <br /> SECTION 4.2: Condemnation. Subject to the rights of any mortgagee lender of the Property for <br /> construction of the Project to which this Mortgage may be subordinated, Mortgagor will give the <br /> Mortgagee prompt notice of any action, actual or threatened, in condemnation or eminent domain <br /> and hereby assigns, transfers and sets over to the Mortgagee the entire proceeds of any award or <br /> claim for damages for all or any part of the Property taken or damaged under the power of eminent <br /> domain or condemnation, the Mortgagee being hereby authorized to intervene in any such action in <br /> the name of the Mortgagor and to collect and receive from the condemning authorities and give <br /> proper receipts and acquittances for such proceeds to the extent such proceeds and claims for <br /> damage are not assigned to any mortgagee lender for the Property for construction of the Project. <br /> Any expenses incurred by the Mortgagee in intervening in such action or collecting such proceeds <br /> shall be reimbursed to the Mortgagee first out of the proceeds. The proceeds or any part thereof <br /> shall be applied upon or in reduction of the Indebtedness Secured Hereby then most remotely to be <br /> paid, whether due or not, without the application of any prepayment premium, or to the restoration <br /> or repair of the Property, the choice of application to be solely at the discretion of Mortgagee. <br /> SECTION 4.3: Disbursement of Insurance and Condemnation Proceeds. Should any insurance <br /> or condemnation proceeds be applied to the restoration or repair of the Property, the restoration or <br /> repair shall be done under the supervision of an architect acceptable to Mortgagee and pursuant to <br /> plans and specifications approved by the Mortgagee. In such case the insurance or condemnation <br /> proceeds shall be held by Mortgagee, subject to the rights of any mortgagee lender for the Property <br /> for construction of the Project, for such purposes and will from time to time be disbursed by <br /> Mortgagee to defray the costs of such restoration or repair under such safeguards and controls as the <br /> Mortgagee may reasonably require to assure completion in accordance with the approved plans and <br /> specifications and free of liens or claims. Any surplus which may remain after payment of all costs <br /> of restoration or repair may at the option of the Mortgagee be applied on account of the <br /> 171419v1 25 <br />