Common use of Contesting Impositions Clause in Contracts

Contesting Impositions. Other than insurance premiums, Borrower may contest, at its expense, by appropriate legal proceedings, the amount or validity of any Imposition if: Borrower notifies Lender of the commencement or expected commencement of such proceedings; Lender determines that the Mortgaged Property is not in danger of being sold or forfeited; Borrower deposits with Lender (or the applicable Governmental Authority if required by applicable law) reserves sufficient to pay the contested Imposition, if required by Lender (or the applicable Governmental Authority); Borrower furnishes whatever additional security is required in the proceedings or is reasonably requested in writing by Lender; and Borrower commences, and at all times thereafter diligently prosecutes, such contest in good faith until a final determination is made by the applicable Governmental Authority. Release to Borrower. Upon payment in full of all sums secured by the Security Instrument and this Loan Agreement and release by Lender of the lien of the Security Instrument, Lender shall disburse to Borrower the balance of any Imposition Deposits then on deposit with Lender.

Contesting Impositions. Other than insurance premiums, Borrower may contest, at its expense, by appropriate legal proceedings, the amount or validity of any Imposition if: Borrower notifies Lender of the commencement or expected commencement of such proceedings; Lender determines that the Mortgaged Property is not in danger of being sold or forfeited; Borrower deposits with Lender (or the applicable Governmental Authority if required by applicable law) reserves sufficient to pay the contested Imposition, if required by Lender (or the applicable Governmental Authority); Borrower furnishes whatever additional security is required in the proceedings or is reasonably requested in writing by LenderXxxxxx; and Borrower Xxxxxxxx commences, and at all times thereafter diligently prosecutes, such contest in good faith until a final determination is made by the applicable Governmental Authority. Release to Borrower. Upon payment in full of all sums secured by the Security Instrument and this Loan Agreement and release by Lender of the lien of the Security Instrument, Lender shall disburse to Borrower the balance of any Imposition Deposits then on deposit with Lender.