Class One Real Property Clause Samples

Class One Real Property. (i) Within five (5) Business Days after Buyer’s receipt of the Title Commitments referred to in Section 5.22(a) above, or for Title Commitments received prior to the date hereof, within five (5) Business Days of the date hereof, pertaining to any Class One Real Property, Buyer may object to any title matter reflected thereon by written notice to Seller, provided that the title matter (A) would materially and adversely affect the ability of the Buyer to conduct business at the subject Real Property in the manner in which it is currently being conducted by Seller, or (B) would materially reduce the fair market value of the subject Owned Real Property, or (C) would materially reduce the fair market value of Seller’s leasehold interest in the subject Leased Real Property, and (D) was not caused directly or indirectly by Buyer. If Buyer fails to so notify Seller of any title matter reflected on a Title Commitment pertaining to any Class One Real Property, or if any such title matter is not properly objectionable (as specified above), then such title matter shall be deemed accepted by Buyer. If Buyer properly objects in writing within the twenty-day period, Seller shall, at its expense, use commercially reasonable efforts to cure the title matter objected to by causing the Title Company to either: (A) remove such matter from the Title Commitment in its entirety, or (B) provide express insurance coverage with respect to such matter reasonably acceptable to Buyer. Seller shall notify Buyer of its election at least three (3) Business Days (or as soon as reasonably possible once the Closing Date is established) prior to the Closing and, in the event the Title Commitment is so revised, provide Buyer with a new Title Commitment reflecting either (i) the removal of the objectionable matter from the Title Commitment or (ii) reflecting the express insurance coverage. All title matters accepted or deemed accepted pursuant to this Section 5.22(b) shall become Permitted Encumbrances. (ii) Within five (5) days after discovery, either party shall inform the other in writing of any new title matter concerning any Class One Real Property that arises for the first time after the date of this Agreement and before the Closing and is not reflected in any Title Commitment pertaining to any Class One Real Property. If the new title matter meets the criteria for objectionability set out in Section 5.22(b)(i), and is a title matter that will be reflected on the applicable Title Commitm...