Common use of Condemnation and Insurance Proceeds Clause in Contracts

Condemnation and Insurance Proceeds. Immediately upon obtaining knowledge of the institution of any proceedings for the condemnation or other taking of all or any portion of the Property, or knowledge of any casualty damage to the Property, or damage in any other manner, Trustor shall immediately notify Beneficiary thereof. Trustor hereby authorizes and empowers Beneficiary as attorney-in-fact for Trustor to make proof of loss, to adjust and compromise any claim under the insurance policies covering the Property, to appear in and prosecute any action arising from such insurance policies, to collect and receive insurance proceeds, and to deduct therefrom Beneficiary's expenses incurred in the collection of such proceeds; provided, however, that nothing contained in this Section shall require Beneficiary to incur any expense or take any action hereunder. Trustor hereby authorizes and empowers Beneficiary, at Beneficiary's option, as attorney-in-fact for Trustor, to commence, appear in and prosecute, in Beneficiary's or Trustor's name, any action or proceeding relating to any condemnation or other taking of all or any part of the Property, whether direct or indirect, and to settle or compromise any claim in connection with such condemnation or other taking. The proceeds of any award payment or claim for damages, direct or consequential, in connection with any condemnation or other taking, whether direct or indirect, of the Property, or any part thereof, or for conveyances in lieu of the Property, or any part thereof, shall be paid to Beneficiary. The foregoing powers of attorney are coupled with an interest and are irrevocable. Trustor hereby authorizes Beneficiary to apply such awards, payments, proceeds or damages relating to condemnation of the Property and insurance covering the Property, after the deduction of Beneficiary's expenses incurred in the collection of such amounts, at Beneficiary's option, subject to the requirements of applicable law and the provisions hereof, to restoration or repair of the Property or to payment of the sums secured by this Deed of Trust. Beneficiary shall be under no obligation to question the amount of any compensation, awards, proceeds, damages, claims, rights of action, and payments relating to condemnation or other taking of the Property or insured casualty affecting the Property, and may accept the same in the amount in which the same shall be paid. Trustor shall execute such further evidence of assignment of any awards, proceeds damages or claims arising in connection with such condemnation or taking or such insurance as Beneficiary may require.

Condemnation and Insurance Proceeds. Immediately upon obtaining knowledge of the institution of any proceedings for the condemnation or other taking of all or any portion of the Property, or knowledge of any casualty damage to the Property, or damage in any other manner, Trustor shall immediately notify Beneficiary thereof. Trustor hereby authorizes and empowers Beneficiary as attorney-in-fact for Trustor to make proof of loss, to adjust and compromise any claim under the insurance policies covering the Property, to appear in and prosecute any action arising from such insurance policies, to collect and receive insurance proceeds, and to deduct therefrom Beneficiary's expenses incurred in the collection of such proceeds; provided, however, that nothing contained in this Section shall require Beneficiary to incur any expense or take any action hereunder. Trustor hereby authorizes and empowers Beneficiary, at Beneficiary's option, as attorney-in-fact for Trustor, to commence, appear in and prosecute, in Beneficiary's or Trustor's name, any action or proceeding relating to any condemnation or other taking of all or any part of the Property, whether direct or indirect, and to settle or compromise any claim in connection with such condemnation or other taking. The proceeds of any insurance, award payment or claim for damages, direct or consequential, in connection with any condemnation or other taking, whether direct taking of or indirect, of damage or injury to the Mortgaged Property, or any part thereof, or for conveyances conveyance in lieu of condemnation, are hereby assigned to Beneficiary as additional security. In addition, all causes of action, whether accrued before or after the Propertydate of this Deed of Trust, of all types for damages or injury to the Mortgaged Property or any part thereof, or in connection with or affecting the Mortgaged Property or any part thereof, including without limitation causes of action arising in tort or contract and causes of action for fraud or concealment of a material fact, are hereby assigned to Beneficiary as additional security, and the proceeds thereof shall be paid to Beneficiary. The foregoing powers Beneficiary may at its option appear in and prosecute in its own name any action or proceeding to enforce any such cause of attorney are coupled with an interest action and are irrevocablemay make any compromise or settlement thereof. Trustor hereby authorizes Beneficiary to apply such awardsTrustor, payments, proceeds or damages immediately upon obtaining knowledge of the institution of any proceedings relating to condemnation or other taking of the Property and insurance covering the Property, after the deduction of Beneficiary's expenses incurred in the collection of such amounts, at Beneficiary's option, subject or damage or injury to the requirements of applicable law and the provisions hereof, to restoration or repair of the Mortgaged Property or any portion thereof, or knowledge of any casualty damage to payment of the sums secured by this Deed of TrustMortgaged Property or damage in any other manner, will immediately notify Beneficiary in writing. Beneficiary shall be under no obligation to question the amount of may participate in any such proceedings and may join Trustor in adjusting any loss covered by insurance. All compensation, awards, proceeds, damages, claims, insurance, recoveries, rights of action, action and payments relating which Trustor may receive or to condemnation or other taking of which Trustor may become entitled with respect to the Mortgaged Property or insured casualty affecting the Property, and may accept the same in the amount in which the same any part thereof shall be paid. Trustor paid over to the Beneficiary and shall execute such further evidence be applied first toward reimbursement of assignment all reasonable costs and expenses of any awards, proceeds damages or claims arising Beneficiary in connection with recovery of the same, including reasonable attorney’s fees. To the extent such condemnation funds are available more than sixty (60) days prior to the Maturity Date specified in the P/M Note, beneficiary shall permit Trustor to use the balance of such compensation, awards, proceeds, claims, insurance recoveries, rights of action and payments (the “Net Claims Proceeds”) to pay costs of repairing or taking reconstructing the Mortgaged Property in the manner described below, provided (i) the Net Claims Proceeds are sufficient in Beneficiary’s determination to pay for the total cost of repair or such insurance as reconstruction; or Trustor has provided its own funds in an amount equal to the difference between the Net Claims Proceeds and a reasonable estimate, made by Trustor and found acceptable to Beneficiary, of the total cost of repair or reconstruction, and (ii) no Event of Default shall have occurred and be continuing hereunder. If Beneficiary finds that one or more of the foregoing conditions are not satisfied, Beneficiary may requireelect, in its sole discretion, either to apply the Net Claims Proceeds in payment of all or any portion of the P/M Note or to make the Net Claims Proceeds available to Trustor to pay the costs of reconstructing or repairing the Mortgaged Property. Trustor hereby specifically, unconditionally and irrevocably waives all rights of a property owner granted under California Code of Civil Procedure Section 1265.225(a), which provides for allocation of condemnation proceeds between a property owner and a lienholder, and any other law or successor statute of similar import.

Condemnation and Insurance Proceeds. Immediately upon obtaining knowledge of the institution of any proceedings for the condemnation or other taking of all or any portion of the Property, or knowledge of any casualty damage to the Property, or damage in any other manner, Trustor shall immediately notify Beneficiary thereof. Subject to the subordination set forth at Section 10 hereof, Trustor hereby authorizes and empowers Beneficiary as attorney-in-attorney in fact for Trustor to make proof of loss, to adjust and compromise any claim under the insurance policies covering the Property, to appear in and prosecute any action arising from such insurance policies, to collect and receive insurance proceeds, and to deduct therefrom Beneficiary's ’s expenses incurred in the collection of such proceeds; provided, however, that nothing contained in this Section shall require Beneficiary to incur any expense or take any action hereunder. Subject to the subordination set forth at Section 10 hereof, Trustor hereby authorizes and empowers Beneficiary, at Beneficiary's ’s option, as attorney-in-attorney in fact for Trustor, to commence, appear in and prosecute, in Beneficiary's ’s or Trustor's ’s name, any action or proceeding relating to any condemnation or other taking of all or any part of the Property, whether direct or indirect, and to settle or compromise any claim in connection with such condemnation or other taking. The proceeds of any award payment or claim for damages, direct or consequential, in connection with any condemnation or other taking, whether direct or indirect, of the Property, or any part thereof, or for conveyances in lieu of the Property, or any part thereof, if not paid to a trustor with priority, shall be paid to Beneficiary. The foregoing powers of attorney are coupled with an interest and are irrevocable. Trustor hereby authorizes Beneficiary to apply such awards, payments, proceeds or damages relating to condemnation of the Property and insurance covering the Property, after the deduction of Beneficiary's ’s expenses incurred in the collection of such amounts, at Beneficiary's option, subject to the requirements of applicable law and the provisions hereof, to restoration or repair of the Property or to payment of the sums secured by this Deed of Trust. Beneficiary shall be under no obligation to question the amount of any compensation, awards, proceeds, damages, claims, rights of action, and payments relating to condemnation or other taking of the Property or insured casualty affecting the Property, and may accept the same in the amount in which the same shall be paid. Trustor shall execute such further evidence of assignment of any awards, proceeds damages or claims arising in connection with such condemnation or taking or such insurance as Beneficiary may reasonably require. Notwithstanding the above, the Beneficiary shall release all insurance and condemnation proceeds to Trustor to be used to reconstruct the improvements on the Property provided that Beneficiary determines that such restoration, repair or rebuilding is economically feasible. If such insurance proceeds shall be insufficient for such purposes, Trustor shall make up the deficiency. If the Project (as defined in the Agreement) is subject to a partial condemnation or taking, then the proceeds received therefrom, to the extent not paid to a trustor with priority, shall be applied to restore the Project taken, provided the Beneficiary determines that such restoration is economically feasible and no default exists under the Loan Documents following the expiration of all applicable cure periods. If the Project is subject to a total condemnation, or if Beneficiary determines that restoration of the Housing Project is not feasible following a partial condemnation, or if a default exists then the proceeds from any condemnation award or claim for damages shall be used first to repay all sums under the Note, with the excess, if any, paid to Trustor.

Condemnation and Insurance Proceeds. Immediately upon obtaining knowledge of the institution of any proceedings for the condemnation or other taking of all or any portion of the Property, or knowledge of any casualty damage to the Property, or damage in any other manner, Trustor shall immediately notify Beneficiary thereof. Trustor hereby authorizes and empowers Beneficiary as attorney-in-fact for Trustor to make proof of loss, to adjust and compromise any claim under the insurance policies covering the Property, to appear in and prosecute any action arising from such insurance policies, to collect and receive insurance proceeds, and to deduct therefrom Beneficiary's expenses incurred in the collection of such proceeds; provided, however, that nothing contained in this Section shall require Beneficiary to incur any expense or take any action hereunder. Trustor hereby authorizes and empowers Beneficiary, at Beneficiary's option, as attorney-in-fact for Trustor, to commence, appear in and prosecute, in Beneficiary's or Trustor's name, any action or proceeding relating to any condemnation or other taking of all or any part of the Property, whether direct or indirect, and to settle or compromise any claim in connection with such condemnation or other taking. The proceeds of any award payment or claim for damages, direct or consequential, in connection with any condemnation or other taking, whether direct taking of or indirect, of damage or injury to the Mortgaged Property, or any part thereof, or for conveyances conveyance in lieu of the Propertycondemnation, or any part thereof, are hereby assigned to and shall be paid to Beneficiary. The foregoing powers In addition, all causes of attorney are coupled with an interest and are irrevocable. Trustor hereby authorizes Beneficiary to apply such awardsaction, payments, proceeds whether accrued before or damages relating to condemnation of the Property and insurance covering the Property, after the deduction date of Beneficiary's expenses incurred in the collection of such amounts, at Beneficiary's option, subject to the requirements of applicable law and the provisions hereof, to restoration or repair of the Property or to payment of the sums secured by this Deed of Trust, of all types for damages or injury to the Mortgaged Property or any part thereof, or in connection with any transaction financed by funds loaned to Trustor by Beneficiary and secured hereby, or in connection with or affecting the Mortgaged Property or any part thereof, including causes of action arising in tort or contract and causes of action for fraud or concealment of a material fact, are hereby assigned to Beneficiary as additional security and the proceeds shall be paid to Beneficiary. Trustor, promptly upon obtaining knowledge of the institution of any proceedings relating to condemnation or other taking of or damage or injury (exceeding $250,000 with respect to damage or injury, provided no Event of Default is then in existence) to the Mortgaged Property or any portion thereof, or knowledge of any casualty damage (exceeding $250,000, provided no Event of Default is then in existence) to the Mortgaged Property, will promptly notify Beneficiary in writing. Beneficiary shall be under no obligation to question the amount of may participate in any such proceedings and may join Trustor in adjusting any loss covered by insurance. All compensation, awards, proceeds, damages, claims, insurance recoveries, rights of actionaction and payments which Trustor may receive or to which Trustor may become entitled with respect to the Mortgaged Property or any part thereof exceeding $250,000 (or, if an Event of Default is then in existence, all such compensation, awards, proceeds, damages, insurance recoveries, rights of action and payments) with respect to any one occurrence giving rise thereto shall be paid over to Beneficiary and shall be applied first toward reimbursement of all costs and expenses of Beneficiary in connection with recovery of the same, and payments relating then shall be applied, in the sole and absolute discretion of Beneficiary and without regard to the adequacy of its security hereunder, but subject to the provisions of subsection (D) below with respect to any condemnation proceeds or insurance recoveries resulting from condemnation, damage or injury to the Mortgaged Property, to the payment or prepayment of the Obligations in such order as Beneficiary may determine, or to the reimbursement of Trustor for expenses incurred by it in the repair or restoration of the Mortgaged Property. Any application of such amounts or any portion thereof to the Obligations or any release of funds by Beneficiary to Trustor shall not be construed to cure or waive any default or notice of default hereunder or invalidate any act done pursuant to any such default or notice. In the event of any condemnation or other taking or damage or injury to the Mortgaged Property, if Trustor shall seek to apply any such condemnation proceeds or insurance recoveries to the rebuilding and restoration of the Mortgaged Property or insured casualty affecting the Propertyso damaged, then Beneficiary shall make such condemnation proceeds and may accept the same in the amount in which the same shall be paid. insurance recoveries available, providing that Trustor shall execute such further evidence have fulfilled all of assignment of any awards, proceeds damages or claims arising in connection with such condemnation or taking or such insurance as Beneficiary may require.the following conditions: