Contingent Interests. The RECIPIENT agrees that the STATE shall retain a Contingent Interest in the PROJECT’s capital improvements and the equipment purchased with monies loaned under this AGREEMENT as described in Exhibit A, which binds the RECIPIENT, and its successors and assigns, to continue and maintain the PROJECT for the use of the general public. The STATE shall maintain its contingent interest for the duration of this AGREEMENT, as specified in Section 2 of this AGREEMENT. During this time the RECIPIENT may not (a) use any property or equipment purchased with monies from this AGREEMENT as collateral, (b) remove runway or other improvements necessary to the operation of the airport, (c) perform any of the activities listed in Section 9, or (d) use the PROJECT capital improvements or equipment in any manner subordinating the STATE’s Contingent Interests, without obtaining prior written permission from the STATE. The requirement that the PROJECT capital improvements and equipment be maintained for public use shall also be required of all subsequent purchasers, persons, or entities acquiring all, or a material portion of, the property upon which the PROJECT is constructed. The RECIPIENT shall be obligated to include in any contract of sale or other dispositional agreement for all, or any portion of, the PROJECT provisions sufficient to perpetuate the STATE’s Contingent Interest to the PROJECT capital improvements and equipment upon the consummation of any such conveyance. The RECIPIENT further agrees that, as a precondition to the RECIPIENT’s execution of any agreement to transfer ownership of all, or a material or equipment portion of, the property upon which the PROJECT is constructed to a subsequent purchaser, assignee, or recipient, the entire outstanding balance of the loaned monies will become immediately due and payable by the RECIPIENT. The RECIPIENT shall execute and deliver to the STATE all agreements, instruments and documents that the STATE requests as necessary to perfect and maintain the STATE’s contingent interests as set forth in this section, in a form and substance acceptable to the STATE, as a condition precedent to the RECIPIENT’s right to seek loan monies under this AGREEMENT. The RECIPIENT shall make appropriate entries upon its financial statements and its books and records disclosing the STATE’s contingent interests under this section.
Contingent Interests. The Mortgage Loan does not contain provisions pursuant to -------------------- which Monthly Payments are paid or partially paid with funds deposited in any separate account established by the Borrower, the Mortgagor, or anyone on behalf of the Mortgagor, or paid by any source other than the Mortgagor nor does it contain any other similar provisions which may constitute a "buydown" provision. The Mortgage Loan is not a graduated payment mortgage loan and the Mortgage Loan does not have a shared appreciation or other contingent interest feature.
Contingent Interests. Each of the Borrowers acknowledges that no Contingent Interest has accrued or been paid pursuant to the Original Loan Agreement or any of the Loan Documents during 1998.
