Common use of Application of Security Deposit Clause in Contracts

Application of Security Deposit. As security for the full and faithful performance of every covenant and condition of this Lease to be performed by Tenant, Tenant has paid to Landlord the Security Deposit specified in Section 1.6, receipt of which is hereby acknowledged. If Tenant shall default with respect to any covenant or condition of this Lease, including but not limited to the payment of Rent, then Landlord may apply all or any part of the Security Deposit to the payment of any sum in default or any sum which Landlord may be required to spend or incur by reason of Tenant’s default or any other sum which Landlord may in its reasonable discretion deem necessary to spend or incur by reason of Tenant’s default. In such event, Tenant within five (5) days of written demand therefor by Landlord shall deposit with Landlord the amount so applied. If Tenant shall have fully complied with all covenants and conditions of this Lease, but not otherwise, the amount of the Security Deposit then held by Landlord shall be repaid to Tenant (or at Landlord’s option, to the last assignee of Tenant’s interest hereunder) within thirty (30) days after the expiration or sooner termination of this Lease. In the event of Tenant’s default, Landlord’s rights to retain the Security Deposit shall be deemed to be in addition to any and all other rights and remedies at law or in equity available to Landlord for Tenant’s default under this Lease. Landlord shall not be required to keep any Security Deposit separate from its general funds and Tenant shall not be entitled to any interest thereon.

Application of Security Deposit. As Security Deposit may not be applied towards payment of the last month’s rent. Security Deposit is to be held as collateral security for and applied towards any rent or any other charge that may remain due and owing at the full and faithful performance of every covenant and condition expiration of this Agreement, or any extension thereof or holding over period or applied to any damages to the Premises caused by TENANT, his family, invitees, employees, trades people or pets, or other expenses suffered by LANDLORD as a result of a breach of any covenant of this Lease. LANDLORD’s application of TENANT’s Security Deposit to satisfy all or part of TENANT’s obligations under this Lease to shall not prevent LANDLORD from claiming damages in excess of the Security Deposit. The Security Deposit will not be performed by Tenant, Tenant has paid to Landlord returned if TENANT vacates the Premises before the Lease term is completed. LANDLORD TENANT TENANT may NOT (i) utilize the Security Deposit specified in Section 1.6as rent (ii) deduct the Security Deposit from the TENANT’s last’s month’s rent, receipt of which is hereby acknowledged. If Tenant shall default or (iii) require LANDLORD to indemnify itself from the Security Depositor any part thereof with respect to any covenant particular violation or condition default of this Lease, including but not limited to TENANT. In the payment of Rent, then Landlord may apply all or event that any part of the Security Deposit to shall have been utilized by LANDLORD in accordance with the payment terms hereof or applicable law, TENANT shall, upon the delivery of any sum in default or any sum which Landlord may be required to spend or incur notice by reason of Tenant’s default or any other sum which Landlord may in its reasonable discretion deem necessary to spend or incur by reason of Tenant’s default. In such eventLANDLORD, Tenant within five (5) days of written demand therefor by Landlord shall immediately deposit with Landlord LANDLORD the amount so applied. If Tenant applied by LANLORD so that LANDLORD shall have fully complied with the full Security Deposit on hand at all covenants and conditions times during the term of this Lease, but not otherwise, the amount of the Security Deposit then held by Landlord shall be repaid to Tenant (Lease and any renewal thereof or at Landlord’s option, to the last assignee of Tenant’s interest hereunder) within thirty (30) days after the expiration or sooner termination of this Lease. In the event of Tenant’s default, Landlord’s rights to retain the Security Deposit shall be deemed to be in addition to any and all other rights and remedies at law or in equity available to Landlord for Tenant’s default under this Lease. Landlord shall not be required to keep any Security Deposit separate from its general funds and Tenant shall not be entitled to any interest thereonholding over period.