6.3 EDSR 07-20-2015 - Laserfiche WebLink

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PROMISSORY NOTE (Microloan) July , 2015 Amount: $200,000.00 Interest: 2.00% Maturity: August 1, 2020 FOR VALUE RECEIVED, the undersigned, SCOTT MORRELL, LLC , a Minnesota limited liability company ("Borrower"), promises to pay to the order of the ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER, a public body corporate and politic of the State of Minnesota ("Lender"), at 13065 Orono Parkway, Elk River, Minnesota 55330, or such other place as the Lender or any other holder of this Note may designate in writing, on or before August 1, 2020 ("Maturity Date"), the principal sum of Two Hundred Thousand and 00/100 Dollars ($200,000.00), together with interest on any and all amounts remaining unpaid thereon from time to time from the date hereof (computed on the basis of actual days elapsed in a year of 360 days) at a fixed interest rate of two percent(2%)per annum. This Note is made pursuant to a Loan Agreement, between Borrower and Lender, of even date herewith ("Loan Agreement") which provides for the payment of the cost of certain real property. The principal amount of this Note shall be amortized over a twenty(20) year period. Based on the foregoing, the Borrower shall be obligated to make monthly installments (each a "Monthly Installment") in the amount of and _/100 Dollars ($ ), which Monthly Installments shall commence on September 1, 2015, and continue on the first (1st) day of each and every month thereafter until the Maturity Date, when all outstanding principal and accrued but unpaid interest shall be payable in full. The final payment shall be a balloon payment in the amount of all outstanding principal and accrued but unpaid interest. This Note is secured by, among other things a Security Agreement ("Security Agreement") given by Morrell Oversize, Inc. to Lender, a Mortgage and Assignment of Rents and Security Agreement and Fixture Financing Statement covering property owned by the Borrower (the "Mortgage"), the Personal Guaranties made by Terry Morrell and Renee Morrell, and that certain Entity Guaranty made by Morrell Oversize, Inc. all of which are made to Lender of even date herewith (collectively, the "Security Documents"). All of the terms and conditions contained in the Security Documents which are to be kept and performed by Borrower are hereby made a part of this Note to the same extent and with the same force and effect as if they were fully set forth herein; and Borrower covenants and agrees to keep and perform them, or cause them to be kept and performed, strictly in accordance with their terms. If the Lender, or any other holder of this Note, has not received the full amount of any Monthly Installment provided for in this Note, by the end of seven (7) calendar days after the date it is due, Borrower shall pay a late charge fee to the Lender, or any other holder of this Note. The amount of the late charge fee shall be eight percent (8.00%) of the overdue Monthly Installment. The Borrower shall pay this late charge fee on demand, however, collection of the 1 464438v2 EL185-33