Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender will apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower.
Appears in 2 contracts
Sources: Open End Mortgage and Security Agreement (Associated Estates Realty Corp), Open End Mortgage and Security Agreement (Associated Estates Realty Corp)
Escrow Fund. In addition At the option of Lender, Lender may require Borrower to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the payment of taxes, insurance premiums, and maintenance as required by the Deed of Trust. The initial deposits together with respect to Taxes andthe amounts set forth in this subsection shall be called the (“Escrow Fund”). Initial deposits for taxes, if applicablepremiums, Insurance Premiums and maintenance shall be made by Borrower to Lender in amounts determined by Lender in its sole and exclusive discretion on the date hereof to be held by Lender in escrowLender’s Escrow Fund. Additionally, Borrower shall pay to Lender or its designee on the tenth first day of each calendar month month: (a) one twelfth of an amount which would be sufficient to pay the taxes payable, or estimated by Lender to be payable (if greater), upon the due dates established by the appropriate taxing authority during the ensuing twelve (12) months; (b) one-twelfth of an amount which would be sufficient to pay, or estimated by Lender to be sufficient to pay (if greater), the insurance premiums due for the renewal of the coverage afforded by the policies upon the expiration thereof; and (c) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay (if greater), all costs associated with maintenance and upkeep of building, grounds, equipment, and all other property which needs to be maintained in the Insurance Premiums due for the renewal ordinary course of the coverage afforded by the Policies upon the expiration thereof business (the amounts in (a) and (b) above shall be called the "Escrow Fund"“CAM”). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes taxes, insurance premiums, and Insurance Premiums CAM of which it has or obtains obtained knowledge and expressly authorizes Lender or its agent designee to obtain the bills for Taxes taxes and other charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal principal, or both, payable pursuant to the Note Note, shall be added together and shall be paid as an the aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Default or an Event of Default exists, Lender will apply shall be obligated to pay on behalf of Borrower the taxes, insurance premiums and CAM as they become due on their respective due dates by applying the Escrow Fund to payments the payment of Taxes such taxes, insurance premiums, and Insurance Premiums CAM required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereofhereunder. If the amount of the Escrow Fund shall exceed not be sufficient to pay the amounts due for Taxes taxes, insurance premiums, and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveCAM herein, Borrower shall promptly (but in no event later than three (3) Business Days after demand by Lender) pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust separate fund and may shall not be commingled with other monies held by Lender. No interest or earnings or interest on the Escrow Fund shall be payable to BorrowerBorrower on the Escrow Fund.
Appears in 2 contracts
Sources: Loan Agreement (Blue Dolphin Energy Co), Loan Agreement (Blue Dolphin Energy Co)
Escrow Fund. In addition At any time that Tenant is obligated under the Lease to pay the initial deposits with respect to Taxes and, if applicable, Tax and Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrowReserve Fund Payment, Borrower shall pay to Lender on the tenth day of each calendar month (a) one-twelfth of an amount which would be sufficient or cause Tenant to pay same. Additionally, if at any time under the Taxes payableLease, or estimated by Borrower is obligated to return to Tenant any amounts in the Escrow Fund, Lender shall release such amounts from the Escrow Fund to be payableTenant in accordance with the terms of the Lease. In addition, during the next ensuing twelve (12) months and (b) at the option of any period that Borrower is required to maintain Policies pursuant to Section 4.01 hereof, Borrower will also pay monthly to Lender, if for deposit into the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereofEscrow Fund, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authorityon such Policies. The Escrow Fund Fund, if any, and the payments of interest or principal or both, payable pursuant to the Note shall Note, will be added together and shall must be paid as an aggregate sum by Borrower to Lender. Borrower pledges to Lender any and all monies now or hereafter deposited in the Escrow Fund as additional security to pay the Debt subject to Tenant’s right to such monies, if any, as set forth in subparagraph 13(e) of the Lease. Lender will apply the Escrow Fund to payments of pay Taxes and Insurance Premiums required to be made by Borrower paid pursuant to Sections 3.3 4.01 and 3.4 4.02 hereof. If the amount of the Escrow Fund shall exceed exceeds the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 4.01 and 3.4 4.02 hereof, Lender shall, in its discretion, will either return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Mortgaged Property. If the Escrow Fund is not sufficient sufficient, in Lender’s judgment, to pay when due the items set forth in (a) Taxes and (b) aboveInsurance Premiums, Borrower shall must promptly pay, or must cause Tenant to pay promptly, to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. Subject to Tenant’s rights set forth in subparagraph 13(e) of the Lease, if an Event of Default exists, Lender may apply any sums then on deposit in the Escrow Fund to pay the following items in any order in its sole discretion:
(i) Taxes and Impositions and Insurance Premiums;
(ii) Interest on the unpaid principal balance of the Note;
(iii) Amortization of the unpaid principal balance of the Note; or
(iv) All other sums payable pursuant to the Loan Documents, including,’ Protective Advances made by Lender. Until expended or applied as above provided, any amounts in the Escrow Fund will constitute additional security for the Debt. The Escrow Fund shall will not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall will be payable or credited to Borrower.
Appears in 2 contracts
Sources: Loan Agreement (Maxxam Inc), Loan Agreement (Maxxam Inc)
Escrow Fund. In addition Borrower shall establish a fund (“Escrow Fund”) sufficient to the initial deposits pay and discharge, with respect to the Property, all taxes, assessments, non-metered water and sewer charges, frontage charges, flood insurance (if Land is located in a federal special flood hazard area), hazard, liability and other property insurance premiums (at the option of Lender), municipal charges, governmental impositions and other charges, including vault charges and license fees for the use of vaults, chutes and similar areas adjoining the Land (“Real Property Taxes”). Initial deposits of Real Property Taxes and, if applicable, Insurance Premiums shall be made by Borrower to Lender in amounts determined by Lender in its discretion on the date hereof to be held by Lender in escrow, hereof. Borrower shall pay to Lender on the tenth first day of each calendar month (a) occurring after the date hereof one-twelfth (1/12) of an amount which would be sufficient to pay the Real Property Taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority(ies) during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become duemonths. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Real Property Taxes and Insurance Premiums of which it Borrower has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Real Property Taxes directly from the appropriate taxing tax authority. The Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender shall pay the payments Real Property Taxes as they become due on their respective due dates on behalf of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum Borrower by Borrower to Lender. Lender will apply applying amounts in the Escrow Fund to the payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereofsuch Real Property Taxes. If the amount of the Escrow Fund shall exceed exceeds the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereofReal Property Taxes, Lender shallmay, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the such deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless required by applicable Law, no earnings or interest on the Escrow Fund shall be payable to BorrowerBorrower or any other Person. In the events that (a) water and/or sewer charges are assessed against the Property on a metered basis and (b) the Borrower fails to timely pay such charges to the applicable Governmental Authority, the Lender (y) shall be entitled (but not required) to pay same and/or (z) may require the Borrower to pay to the Lender a sum of money equal to 150% of the amount of such charges (annualized), as determined by Lender on the basis of examination of historical records, current estimated usage or such other data available to Lender, and the Borrower shall immediately pay such sum to the Lender upon demand which funds shall be held by Lender in a non-interest bearing account or may be comingled with its general funds and may be used by Lender to pay such outstanding charges, held as additional collateral or applied in reduction of any amounts due and owing to the Lender.
Appears in 2 contracts
Sources: Mortgage, Assignment of Leases and Rents and Security Agreement (Clipper Realty Inc.), Consolidation, Modification, Extension and Spreader Agreement (Clipper Realty Inc.)
Escrow Fund. In addition to At any time after an Event of Default (as defined in the initial deposits with respect to Taxes andLease) has occurred, or if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrowa Credit Rating Downgrade has occurred, Borrower shall must pay or must cause Tenant to pay to Lender on the tenth day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay Tax and Insurance Reserve Fund Payment due under the Taxes payable, or estimated by Lender to be payableLease. In addition, during the next ensuing twelve (12) months and (b) at the option of any period that Borrower is required to maintain Policies pursuant to Section 4.01 hereof, Borrower will also pay monthly to Lender, if for deposit into the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereofEscrow Fund, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund")on such Policies. In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay pledges to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts any and all monies now or hereafter deposited in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient as additional security to pay all Insurance Premiums and Taxes the Debt subject to Tenant's right to such monies, if any, as they become due. Borrower agrees to notify Lender immediately set forth in subparagraph 13(e) of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to LenderLease. Lender will apply the Escrow Fund to payments of pay Taxes and Insurance Premiums required to be made by Borrower paid pursuant to Sections 3.3 4.01 and 3.4 4.02 hereof. If the amount of the Escrow Fund shall exceed exceeds the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 4.01 and 3.4 4.02 hereof, Lender shall, in its discretion, will either return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Mortgaged Property. If the Escrow Fund is not sufficient sufficient, in Lender's judgment, to pay when due the items set forth in (a) Taxes and (b) aboveInsurance Premiums, Borrower shall must promptly pay, or must cause Tenant to pay promptly, to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. Subject to Tenant's rights set forth in subparagraph 13(e) of the Lease, if an Event of Default exists, Lender may apply any sums then on deposit in the Escrow Fund to pay the following items in any order in its sole discretion:
(i) Taxes and Impositions and Insurance Premiums;
(ii) Interest on the unpaid principal balance of the Note;
(iii) Amortization of the unpaid principal balance of the Note; or
(iv) All other sums payable pursuant to the Loan Documents, including, Protective Advances made by Lender. Until expended or applied as above provided, any amounts in the Escrow Fund will constitute additional security for the Debt. The Escrow Fund shall will not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund will be payable or credited to Borrower, except in the case of a Credit Rating Downgrade interest shall be payable disbursed according to Borrowerthe terms of the Lease.
Appears in 2 contracts
Sources: Loan Agreement (Maxxam Inc), Loan Agreement (Maxxam Group Holdings Inc)
Escrow Fund. In addition At the option of the Lender, the Lender may require the Borrower to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the payment of taxes, insurance premiums, and maintenance pursuant to this Agreement. (The initial deposits together with the amounts in
(a) (b), and (c) below shall be called the "Escrow Fund"). Initial deposits for taxes, premiums, and maintenance shall be made by the Borrower to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made Lender in amounts determined by Borrower to the Lender in its discretion on the date hereof to be held by Lender in escrowthe Lender's Escrow Fund. Additionally, the Borrower shall pay to the Lender on the tenth first day of each calendar month month: (a) one-twelfth of an amount which would be sufficient to pay the Taxes taxes payable, or estimated by the Lender to be payable, upon the due dates established by the appropriate taxing authority during the next ensuing twelve (12) months and months; (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums insurance premiums due for the renewal of the coverage afforded by the Policies policies upon the expiration thereof (the amounts in (a) thereof; and (bc) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to one-twelfth of an amount which, together with anticipated monthly escrow payments, shall which would be sufficient to pay all Insurance Premiums costs associated with maintenance and Taxes as they become dueupkeep of buildings, grounds, equipment, and all other property which needs to be maintained in the ordinary course of business ("CAM"). The Borrower agrees to notify the Lender immediately of any changes to the amounts, schedules schedules, and instructions for payment of any Taxes taxes, insurance premiums, and Insurance Premiums CAM of which it has or obtains obtained knowledge and authorizes authorized the Lender or its agent to obtain the bills for Taxes taxes and other charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal principal, or both, payable pursuant to the Note Note, shall be added together together; and shall be paid as an the aggregate sum by the Borrower to the Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, the Lender will apply shall be obligated to pay on behalf of the Borrower the taxes, insurance premiums, and CAM as they become due on their respective due dates by applying the Escrow Fund to the payments of Taxes such taxes, insurance premiums, and Insurance Premiums CAM required to be made by the Borrower pursuant to Sections 3.3 and 3.4 hereofthis Agreement. If the amount of the Escrow Fund shall exceed the amounts due for Taxes taxes, insurance, and Insurance Premiums CAM pursuant to Sections 3.3 and 3.4 hereofthis Agreement, the Lender shall, in at its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, the Lender may deal with the person persons shown on the records of the Lender to be the owner of the Propertyproperty. If the Escrow Fund is not sufficient to pay the items set forth in (a) ), (b), and (bc) above, the Borrower shall promptly pay to the Lender, upon demand, an amount amount, which the Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by the Lender. No Unless otherwise required by applicable law, no earnings or interest interest, if any, on the Escrow Fund shall be payable to the Borrower. ▇▇▇▇▇▇ may elect to appoint a third party to perform on ▇▇▇▇▇▇'s behalf the tasks associated with managing the Escrow Fund as described in this Section 2.7, in which case ▇▇▇▇▇▇▇▇ agrees to pay the costs for such third party. In the event the Lender does not establish an Escrow Fund, the Borrower shall make all required payments herein described in a timely manner and shall provide evidence thereof as required by the Lender.
Appears in 1 contract
Sources: Mortgage (Naco Industries Inc)
Escrow Fund. (a) In addition the event Mortgagor shall at any time fail to pay ----------- any Taxes when due, and such failure shall continue for a period of fifteen (15) days after the initial deposits with respect date such Taxes were due, Mortgagee may, at its election, require Mortgagor to Taxes andpay to Mortgagee, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) occurring thereafter, one-twelfth (1/12th) of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender Mortgagee to be payable, during the next ensuing twelve (12) months and also provide for an additional reserve equal to one- sixth (1/6th) of the Taxes payable (said amounts being hereinafter called the "Tax Escrow Fund.") ---------------
(b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Tax Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note Note, shall be added together and shall be paid as an aggregate sum by Borrower Mortgagor to LenderMortgagee. Lender Mortgagor hereby pledges to Mortgagee any and all monies now or hereafter deposited in the Tax Escrow Fund as additional security for the payment of the Debt. Mortgagee will apply the Tax Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower Mortgagor pursuant to Sections 3.3 and 3.4 paragraph 4 hereof. If the amount of the Tax Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 paragraph 4 hereof, Lender Mortgagee shall, in its discretion, return any excess to Borrower Mortgagor or credit such excess against future payments to be made to the Tax Escrow Fund. In allocating such excess, Lender Mortgagee may deal with the person shown on the records of Lender Mortgagee to be the owner of the Mortgaged Property. If the balance in the Tax Escrow Fund on the first day of the month which is one full month prior to the due date of any Taxes is not sufficient to pay the items set forth in (a) and (b) aboveTaxes, Borrower Mortgagor shall promptly pay to LenderMortgagee, upon demand, an amount which Lender Mortgagee shall estimate as sufficient to make up the deficiency. Upon the acceleration of the Debt as described in paragraph 25 hereof, Mortgagee may apply any sums then present in the Tax Escrow Fund to the payment of the following items in any order in its sole discretion:
(i) Taxes and Other Charges;
(ii) Interest on the unpaid principal balance of the Note;
(iii) Amortization of the unpaid principal balance of the Note; or
(iv) All other sums payable pursuant to the Note, the Credit Agreement, this Mortgage and the other Loan Documents, including without limitation, advances made by Mortgagee pursuant to the terms of this Mortgage.
(c) Until expended or applied as above provided, any amounts in the Tax Escrow Fund shall constitute additional security for the Debt. The Tax Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by LenderMortgagee. No earnings or interest on the Tax Escrow Fund shall be payable paid to BorrowerMortgagor, unless applicable law requires interest on the Tax Escrow Fund to be paid to Mortgagor. Any such required interest shall be deposited in the Tax Escrow Fund as additional security for the payment of the Debt.
Appears in 1 contract
Sources: Mortgage, Security Agreement and Assignment of Leases and Rents (Afc Enterprises Inc)
Escrow Fund. In addition At the option of Lender upon an Event of Default which continues beyond any applicable cure period, Lender may require Borrower to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the payment of taxes, insurance premiums, and maintenance as required by the Deed of Trust. The initial deposits together with respect to Taxes andthe amounts set forth in this subsection shall be called the “Escrow Fund”). Initial deposits for taxes, if applicablepremiums, Insurance Premiums and maintenance shall be made by Borrower to Lender in amounts determined by Lender in its sole and exclusive discretion on the date hereof to be held by Lender in escrowLender’s Escrow Fund. Additionally, Borrower shall pay to Lender or its designee on the tenth first day of each calendar month month: (a) one twelfth of an amount which would be sufficient to pay the taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority during the ensuing twelve (12) months; (b) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated insurance premiums due for the renewal of the coverage afforded by Lender to be payable, during the next ensuing twelve (12) months policies upon the expiration thereof; and (bc) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay all costs associated with assessments and other amounts, if any, owing toTRI Owners Association pursuant to the Insurance Premiums due for the renewal Declaration of Covenants, Conditions and Restrictions For Tahoe-Reno Industrial Center, recorded at Book No. 123, Page 945 of the coverage afforded by the Policies upon the expiration thereof Official Records of Storey County, Nevada (the amounts in (a) and (b) above shall be called the "Escrow Fund"“CAM”). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes taxes, insurance premiums, and Insurance Premiums CAM of which it has or obtains obtained knowledge and expressly authorizes Lender or its agent designee to obtain the bills for Taxes taxes and other charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal principal, or both, payable pursuant to the Note Note, shall be added together and shall be paid as an the aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay on behalf of Borrower the taxes, insurance premiums and CAM as they become due on their respective due dates by applying the Escrow Fund to payments the payment of Taxes such taxes, insurance premiums, and Insurance Premiums CAM required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereofhereunder. If the amount of the Escrow Fund shall exceed not be sufficient to pay the amounts due for Taxes taxes, insurance premiums, and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveCAM herein, Borrower shall promptly pay to top Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust separate fund and may shall not be commingled with other monies held by Lender. No interest or earnings or interest on the Escrow Fund shall be payable to BorrowerBorrower on the Escrow Fund.
Appears in 1 contract
Sources: Loan Agreement (Aqua Metals, Inc.)
Escrow Fund. In addition Mortgagor shall, or shall cause Prime Tenant to, pay to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender Mortgagee on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes Impositions payable, or estimated by Lender Mortgagee to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the said amounts in (a) and (b) above shall be hereinafter called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower Mortgagor to LenderMortgagee. Lender will apply Mortgagor hereby pledges to Mortgagee any and all monies now or hereafter deposited in the Escrow Fund as additional security for the payment of the Debt. Upon receipt of evidence, satisfactory to payments of Taxes Mortgagee, that proves that the Impositions and Insurance Premiums required to be made and any other items for which sums have been deposited by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of Mortgagor into the Escrow Fund shall exceed the amounts due for Taxes have been paid in full,and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereofprovided that no Event of Default (hereinafter defined) has occurred hereunder, Lender Mortgagee shall, in its discretion, return on each January 1 after the date hereof credit any excess to Borrower or credit such excess funds in the Escrow Fund against future payments to be made to the Escrow Fund. In allocating such excess, Lender Mortgagee may deal with the person shown on the records of Lender Mortgagee to be the owner of the Mortgaged Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower Mortgagor shall promptly pay to LenderMortgagee, upon demand, an amount which Lender Mortgagee shall estimate as sufficient to make up the deficiency. The Upon the occurrence of an Event of Default, Mortgagee may apply any sums then present in the Escrow Fund to the payment of the following items in any order in its uncontrolled discretion:
(i) Impositions and other charges;
(ii) Insurance Premiums;
(iii) interest on the unpaid principal balance of the Note;
(iv) amortization of the unpaid principal balance of the Note;
(v) maintenance of the Mortgaged Property; and
(vi) all other sums payable pursuant to the Note, this Mortgage and the Other Security Documents, including without limitation advances made by Mortgagee pursuant to the terms of this Mortgage. Until expended or applied as above provided, any amounts in the Escrow Fund shall constitute additional security for the Debt. In accepting the Escrow Fund, Mortgagee is not consenting to act as Mortgagor's agent for the payment of Impositions or Insurance Premiums and the Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by LenderMortgagee. No earnings or interest on the Escrow Fund shall be payable to BorrowerMortgagor. Notwithstanding anything contained in this paragraph 5 to the contrary, so long as (a) the Prime Tenant is the sole tenant of the entire Premises pursuant to the Prime Lease, (b) the Prime Lease is in full force and effect, (c) no default or event which with the passing of time or the giving of notice would become a default has occurred under the Prime Lease, and (d) the Prime Tenant is responsible for paying the Impositions under the Prime Lease and actually pays the Impositions before they become delinquent, then the obligations of Mortgagor under this paragraph 5 shall be deemed to have been met; provided, however, in the event that Mortgagor is obligated pursuant to the Prime Lease to pay for or maintain insurance of any type, Mortgagor shall be required to escrow sums with Mortgagee for such required insurance pursuant to the terms of this paragraph 5.
Appears in 1 contract
Sources: Mortgage and Security Agreement (Quantum Corp /De/)
Escrow Fund. In addition Borrower shall establish a fund (“Escrow Fund”) sufficient to the initial deposits pay and discharge, with respect to the Property, all taxes, assessments, non-metered water and sewer charges, frontage charges, flood insurance (if Land is located in a federal special flood hazard area), hazard, liability and other property insurance premiums (at the option of Lender), municipal charges, governmental impositions and other charges, including vault charges and license fees for the use of vaults, chutes and similar areas adjoining the Land (“Real Property Taxes”). Initial deposits of Real Property Taxes and, if applicable, Insurance Premiums shall be made by Borrower to Lender in amounts determined by Lender in its discretion on the date hereof to be held by Lender in escrow, hereof. Borrower shall pay to Lender on the tenth first day of each calendar month (a) occurring after the date hereof one-twelfth (1/12) of an amount which would be sufficient to pay the Real Property Taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority(ies) during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become duemonths. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Real Property Taxes and Insurance Premiums of which it Borrower has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Real Property Taxes directly from the appropriate taxing tax authority. The Mortgage CD Form 127 Page 17 Loan No. 110686537 File No. 123-33001 04-09-11 Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender shall pay the payments Real Property Taxes as they become due on their respective due dates on behalf of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum Borrower by Borrower to Lender. Lender will apply applying amounts in the Escrow Fund to the payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereofsuch Real Property Taxes. If the amount of the Escrow Fund shall exceed exceeds the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereofReal Property Taxes, Lender shallmay, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the such deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless required by applicable Law, no earnings or interest on the Escrow Fund shall be payable to BorrowerBorrower or any other Person. In the events that (a) water and/or sewer charges are assessed against the Property on a metered basis and (b) the Borrower fails to timely pay such charges to the applicable Governmental Authority, the Lender (y) shall be entitled (but not required) to pay same and/or (z) may require the Borrower to pay to the Lender a sum of money equal to 150% of the amount of such charges (annualized), as determined by Lender on the basis of examination of historical records, current estimated usage or such other data available to Lender, and the Borrower shall immediately pay such sum to the Lender upon demand which funds shall be held by Lender in a non-interest bearing account or may be comingled with its general funds and may be used by Lender to pay such outstanding charges, held as additional collateral or applied in reduction of any amounts due and owing to the Lender.
Appears in 1 contract
Sources: Consolidation, Modification and Extension Agreement (Clipper Realty Inc.)
Escrow Fund. In addition At the option of Lender, Lender may require Mortgagor to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the initial deposits with respect to Taxes and, if applicable, payment of Insurance Premiums and Taxes pursuant to Sections 3.3 and 3.4 hereof. Initial deposits of Taxes and Insurance Premiums shall be made by Borrower Mortgagor to Lender in amounts determined by Lender in its discretion on the date hereof to be held by Lender in escrow. Additionally, Borrower Mortgagor shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the initial deposits together with the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower Mortgagor agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing tax authority. The Provided there are sufficient amounts in the Escrow Fund and the payments no Event of interest or principal or bothDefault exists, payable pursuant to the Note Lender shall be added together obligated to pay the Taxes and shall be paid Insurance Premiums as an aggregate sum they become due on their respective due dates on behalf of Mortgagor by Borrower to Lender. Lender will apply applying the Escrow Fund to the payments of such Taxes and Insurance Premiums required to be made by Borrower Mortgagor pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower Mortgagor or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower Mortgagor shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless otherwise required by Applicable Law (defined in Section 3.10(a), no earnings or interest on the Escrow Fund shall be payable to BorrowerMortgagor.
Appears in 1 contract
Escrow Fund. In addition to the any initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender the Escrow Fund (defined below) on the date hereof to be held by Lender in escrow(if any), except as provided below, Borrower shall pay to Lender on the tenth day of each calendar month Monthly Payment Date (a) one-one twelfth of an amount which would be sufficient to pay the Taxes payable, or reasonably estimated by Lender to be payable, during the next ensuing twelve (12) months (such Taxes, the “Applicable Taxes”) and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-one twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for such Insurance Premiums, Borrower shall pay the “Applicable Insurance Premiums”), which such amounts so paid to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient held in an account with Lender or Servicer, with such amounts and such account each being referred to pay all Insurance Premiums and Taxes herein as they become duethe “Escrow Fund”. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided no Event of Default is continuing, Lender will timely apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Applicable Taxes and Applicable Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretionprovided no Event of Default is continuing, promptly return any excess to Borrower or credit such excess against future payments to be made to the Escrow FundBorrower. In allocating disbursing such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveany Applicable Taxes and/or Applicable Insurance Premiums, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower.
Appears in 1 contract
Sources: Deed of Trust and Security Agreement (American Assets Trust, Inc.)
Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay or cause to be paid to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably an approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable sole discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender will apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower.
Appears in 1 contract
Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes The Tax and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note Note, shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender will apply the Tax and Insurance Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 this Agreement and 3.4 hereofunder the Mortgage. In making any payment relating to the Tax and Insurance Escrow Fund, Lender may do so according to any ▇▇▇▇, statement or estimate procured from the appropriate public office (with respect to Taxes) or insurer or agent (with respect to Insurance Premiums) or from Borrower without inquiry into the accuracy of such ▇▇▇▇, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof, provided, however, Lender shall use reasonable efforts to pay such real property taxes sufficiently early to obtain the benefit of any available discounts of which it has knowledge. If the amount of the Tax and Insurance Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereofPremiums, Lender shall, in its sole discretion, return any excess to Borrower or credit such excess against future payments to be made to the Tax and Insurance Escrow Fund. Any amount remaining in the Tax and Insurance Escrow Fund after the Debt has been paid in full shall be returned to Borrower. In allocating such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If at any time Lender reasonably determines that the Tax and Insurance Escrow Fund is not or will not be sufficient to pay Taxes or Insurance Premiums by the items dates set forth in (a) and (b) above, Lender shall notify Borrower of such determination and Borrower shall promptly pay increase its monthly payments to Lender, upon demand, an Lender by the amount which that Lender shall estimate as estimates is sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings deficiency at least thirty (30) days prior to delinquency of the Taxes or interest on the Escrow Fund shall be payable to BorrowerInsurance Premiums.
Appears in 1 contract
Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, and Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "“Escrow Fund"”). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay the Taxes and Insurance Premiums as they become due on their respective due dates on behalf of Borrower by applying the Escrow Fund to the payments of such Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless otherwise required by Applicable Laws (defined in Section 3.11), no earnings or interest on the Escrow Fund shall be payable to Borrower.to
Appears in 1 contract
Sources: Deed of Trust and Security Agreement (Innovative Micro Technology Inc)
Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the such amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note Note, shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender will apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections Section 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections Section 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveTaxes when due, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower.
Appears in 1 contract
Sources: Consolidation, Modification, Spreader and Extension Agreement (Unitel Video Inc/De)
Escrow Fund. In Subject to the right of the First Lender to collect an escrow fund under the First Loan Documents, in addition to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums and insurance premiums made by Borrower Property Owner to Lender on the date hereof to be held by Lender in escrow, provided First Lender has not elected to establish such an escrow fund, or the First Loan is no longer outstanding, Borrower shall cause Property Owner pay to Lender Lender, on the tenth (10) day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall is not constitute insured under a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereofpolicy, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in Clauses (a) and (b) above shall be called the "“Escrow Fund"”). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to to, or shall cause Property Owner to, notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums insurance premiums of which it has or obtains obtained knowledge and authorizes authorizes, and shall cause Property Owner to authorize, Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender will apply the Escrow Fund to payments of Taxes and (if escrow payments are made for such purposes) Insurance Premiums required to be made by Property Owner or Borrower pursuant to Sections 3.3 4.4 and 3.4 4.5 hereof. Any interest earned on the Escrow Fund shall become a part of the Escrow Fund. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums insurance premiums pursuant to Sections 3.3 4.4 and 3.4 4.5 hereof, Lender shall, in its discretion, return any excess to Property Owner or Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If Lender believes that the Escrow Fund is not sufficient to pay the items set forth in Clauses (a) and (b) aboveof this Section, Borrower shall, or shall cause Property Owner to, promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiencydeficiency and Lender may immediately readjust the amount of the monthly deposits to the Escrow Fund. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Property Owner or Borrower. Notwithstanding the foregoing, Borrower shall not be required to cause Property Owner to make deposits for Taxes and insurance premiums into the Escrow Fund as set forth above, provided that (i) Property Owner makes such deposits for Taxes and insurance premiums into an Escrow Fund established pursuant to the First Loan Documents and held by First Lender for the payment of Taxes and insurance premiums and (ii) upon the request of Lender, Borrower shall deliver evidence of the timely payment of the Taxes and insurance premiums to Lender within three (3) Business Days of request therefor by Lender. Upon the failure of Borrower to comply with the provisions of the immediately preceding sentence, Borrower shall be subject to and shall immediately comply with each and every provision of the first paragraph of this Section 4.6.
Appears in 1 contract
Sources: Mezzanine Loan Agreement (KBS Real Estate Investment Trust II, Inc.)
Escrow Fund. In addition to the initial deposits with respect to Taxes and, if applicable, and Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay the Taxes and Insurance Premiums as they become due on their respective due dates on behalf of Borrower by applying the Escrow Fund to the payments of such Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless otherwise. required by Applicable Laws (defined in Section 3.11), no earnings or interest on the Escrow Fund shall be payable to Borrower. Notwithstanding the foregoing, so long as (i) no Event of Default has occurred and is continuing, (ii) Fleming or an Acceptable Replacement Tenant is not in default under ▇▇▇ ▇▇▇ms of the Fleming Lease or an Acceptable Replacement Lease, as applicable, bey▇▇▇ ▇▇▇ applicable notice and cure periods set forth therein, and (iii) Fleming or an Acceptable Replacement Tenant is paying the Taxes purs▇▇▇▇ ▇▇ the terms of Section 3.4 hereof and Insurance Premiums in accordance with the terms of the last sentence of Section 3.3(b) hereof, directly pursuant to the terms hereof, and such Taxes are current, then Borrower shall not be required to make monthly payments into the Escrow Fund.
Appears in 1 contract
Sources: Mortgage and Security Agreement (Corporate Property Associates 15 Inc)
Escrow Fund. In addition [At the option of Lender] Borrower shall establish with Lender an Escrow Fund sufficient to discharge Borrower’s obligations for the initial deposits with respect to Taxes and, if applicable, payment of Insurance Premiums and Taxes pursuant to Sections 3.3 and 3.4. Initial deposits of Taxes and Insurance Premiums shall be made by Borrower to Lender on the date hereof of this Security Instrument to be held by Lender in escrow. Additionally, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof of them (the initial deposits together with the amounts in (a) and (b) above shall be called the "“Escrow Fund"”). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay the Taxes and Insurance Premiums as they become due on their respective due dates on behalf of Borrower by applying the Escrow Fund to payments the payment of such Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower3.
Appears in 1 contract
Sources: Deed of Trust and Security Agreement
Escrow Fund. In addition to the any initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender the Escrow Fund (defined below) on the date hereof to be held by Lender in escrow(if any), except as provided below, Borrower shall pay to Lender on the tenth day of each calendar month Monthly Payment Date (a) one-one twelfth of an amount which would be sufficient to pay the Taxes payable, or reasonably estimated by Lender to be payable, during the next ensuing twelve (12) months (such Taxes, the “Applicable Taxes”) and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-one twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for such Insurance Premiums, Borrower shall pay the “Applicable Insurance Premiums”), which such amounts so paid to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient held in an account with Lender or Servicer, with such amounts and such account each being referred to pay all Insurance Premiums and Taxes herein as they become duethe “Escrow Fund”. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided no Event of Default is continuing, Lender will timely apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Applicable Taxes and Applicable Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretionprovided no Event of Default is continuing, promptly return any excess to Borrower or credit such excess against future payments to be made to the Escrow FundBorrower. In allocating disbursing such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If If, at any time, Lender determines that the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveany Applicable Taxes and/or Applicable Insurance Premiums, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower. Notwithstanding the foregoing, Borrower shall not be required to make deposits to the Escrow Fund for Applicable Insurance Premiums and Applicable Taxes pursuant to this Section 3.5 so long as (i) no Event of Default occurs and is continuing hereunder, (ii) solely with respect to Applicable Taxes, no Trigger Period (as defined on Exhibit A hereof) exists, (iii) Borrower pays all Insurance Premiums and Taxes by no later than five (5) Business Days prior to the delinquency thereof and (iv) Borrower provides Lender paid receipts for the payment of the Insurance Premiums and Taxes by no later than one (1) Business Day prior to the delinquency thereof. Upon the occurrence of a failure of any of the conditions specified in clauses (i) through (iv) above (as applicable), Borrower shall, upon Lender’s written demand therefor, (A) pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes, shall be sufficient to pay, as applicable, the Applicable Insurance Premiums and the Applicable Taxes and (B) commence making the deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes required pursuant to this Section 3.5 commencing with the next Monthly Payment Date, which payments shall continue for the remainder of the term of the Loan unless (x) the trigger event for such obligation was an Event of Default or Trigger Period (other than a Trigger Period caused as a result of an Event of Default) (such trigger event, an “Escrow Trigger Event”), (y) the related Escrow Trigger Event is no longer continuing and (z) not more than one (1) Escrow Trigger Event has occurred during the term of the Loan, whereupon Borrower’s obligation to make deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes pursuant to this Section 3.5 will again be suspended and any funds then held by Lender for payment of, as applicable, Applicable Insurance Premiums and Applicable Taxes shall be released to Borrower for use in paying the next installment of, as applicable, Applicable Insurance Premiums and Applicable Taxes.
Appears in 1 contract
Sources: Deed of Trust and Security Agreement (American Assets Trust, Inc.)
Escrow Fund. In addition to the any initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender the Escrow Fund (defined below) on the date hereof to be held by Lender in escrow(if any), except as provided below, Borrower shall pay to Lender on the tenth day of each calendar month Monthly Payment Date (a) one-one twelfth of an amount which would be sufficient to pay the Taxes payable, or reasonably estimated by Lender to be payable, during the next ensuing twelve (12) months (such Taxes, the “Applicable Taxes”) and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-one twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for such Insurance Premiums, Borrower shall pay the “Applicable Insurance Premiums”), which such amounts so paid to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient held in an account with Lender or Servicer, with such amounts and such account each being referred to pay all Insurance Premiums and Taxes herein as they become duethe “Escrow Fund”. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided no Event of Default is 9 continuing, Lender will timely apply the Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Applicable Taxes and Applicable Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretionprovided no Event of Default is continuing, promptly return any excess to Borrower or credit such excess against future payments to be made to the Escrow FundBorrower. In allocating disbursing such excess, Lender may deal with the person Person shown on the records of Lender to be the owner of the Property. If If, at any time, Lender determines that the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) aboveany Applicable Taxes and/or Applicable Insurance Premiums, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower.. Notwithstanding the foregoing, Borrower shall not be required to make deposits to the Escrow Fund for Applicable Insurance Premiums and Applicable Taxes pursuant to this Section 3.5 so long as (i) no Event of Default occurs and is continuing hereunder, (ii) solely with respect to Applicable Taxes, no Trigger Period (as defined on Exhibit A hereof) exists, (iii) Borrower pays all Insurance Premiums and Taxes by no later than five (5) Business Days prior to the delinquency thereof and (iv) Borrower provides Lender paid receipts for the payment of the Insurance Premiums and Taxes by no later than one (1) Business Day prior to the delinquency thereof. Upon the occurrence of a failure of any of the conditions specified in clauses (i) through (iv) above (as applicable), Borrower shall, upon Lender’s written demand therefor, (A) pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes, shall be sufficient to pay, as applicable, the Applicable Insurance Premiums and the Applicable Taxes and (B) commence making the deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes required pursuant to this Section 3.5 commencing with the next Monthly Payment Date, which payments shall continue for the remainder of the term of the Loan unless (x) the trigger event for such obligation was an Event of Default or Trigger Period (other than a Trigger Period caused as a result of an Event of Default) (such trigger event, an “Escrow Trigger Event”), (y) the related Escrow Trigger Event is no longer continuing and (z) not more than one (1) Escrow Trigger Event has occurred during the term of the Loan, whereupon Borrower’s obligation to make deposits to the Escrow Fund for, as applicable, Applicable Insurance Premiums and Applicable Taxes pursuant to this Section 3.5 will again be suspended and any funds then held by Lender for payment of, as applicable, Applicable Insurance Premiums and Applicable Taxes shall be released to Borrower for use in paying the next installment of, as applicable, Applicable Insurance Premiums
Appears in 1 contract
Sources: Deed of Trust and Security Agreement
Escrow Fund. In addition At the option of Lender, Lender may require Borrower to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the initial deposits with respect to Taxes and, if applicable, payment of Insurance Premiums made by Borrower and Taxes pursuant to Lender on the date hereof to be held by Lender in escrowSections 3.3 and 3.4 hereof. Additionally, Borrower shall pay to Lender on each "Payment Date" (as defined in the tenth day of each calendar month Note) (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the initial deposits together with the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing tax authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay the Taxes and Insurance Premiums as they become due on their respective due dates on behalf of Borrower by applying the Escrow Fund to the payments of such Taxes and Insurance Premiums required to be made by Borrower pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest Notwithstanding the foregoing, provided no Event of Default has occurred and is continuing, Lender agrees to forebear collection from Borrower of monthly deposits of Insurance Premiums provided that (i) an initial deposit of Insurance Premiums shall be made by Borrower to Lender in the amount of $17,500 on the Escrow Fund date hereof to be held by Lender in escrow, such escrowed amount to be increased yearly by an amount that Lender determines in its reasonable discretion to be adequate to account for the increase in premiums due to inflation or otherwise and payable by Borrower within ten (10) days of demand therefor; and (ii) Borrower delivers to Lender certificates of insurance with respect to all renewal and replacement policies within the time permitted by Lender set forth in Section 3.3(b) hereof prior to the expiration date of any of the Policies required to be maintained hereunder, which certificates shall be payable to Borrowerbear notation evidencing payment of all applicable Insurance Premiums, and (iii) Borrower has otherwise complied with all of the terms and conditions of Section 3.3(b) hereof.
Appears in 1 contract
Sources: Mortgage and Security Agreement (Butler International Inc /Md/)
Escrow Fund. In addition At the option of Lender, Lender may require Mortgagor to establish an Escrow Fund (defined below) sufficient to discharge its obligations for the initial deposits with respect to Taxes and, if applicable, payment of Insurance Premiums and Taxes pursuant to Sections 3.3 and 3.4 hereof. Initial deposits of Taxes and Insurance Premiums shall be made by Borrower Mortgagor to Lender in amounts determined by Lender in its discretion on the date hereof to be held by Lender in escrow. Additionally, Borrower Mortgagor shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender to be payable, upon the due dates established by the appropriate taxing authority during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the initial deposits together with the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower Mortgagor agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains obtained knowledge and authorizes Lender or its agent to obtain the bills for Taxes and Other Charges directly from the appropriate taxing tax authority. The Provided there are sufficient amounts in the Escrow Fund and the payments no Event of interest or principal or bothDefault exists, payable pursuant to the Note Lender shall be added together obligated to pay the Taxes and shall be paid Insurance Premiums as an aggregate sum they become due on their respective due dates on behalf of Mortgagor by Borrower to Lender. Lender will apply applying the Escrow Fund to the payments of such Taxes and Insurance Premiums required to be made by Borrower Mortgagor pursuant to Sections 3.3 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower Mortgagor or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower Mortgagor shall promptly pay to Lender, upon demand, an amount which Lender shall reasonably estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No Unless otherwise required by Applicable Law (defined in Section 3.0), no earnings or interest on the Escrow Fund shall be payable to BorrowerMortgagor.
Appears in 1 contract
Escrow Fund. In addition (a) Grantor shall, following an Event of Default which has not been waived in writing by the Holders in accordance with the Indenture, pay to the initial deposits with respect to Taxes and, if applicable, Insurance Premiums made by Borrower to Lender Mortgagee on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount (hereinafter referred to as the "ESCROW FUND") which would be sufficient to pay the Taxes Taxes, all insurance premiums and all of Grantor's monetary obligations under the Lease payable, or estimated by Lender Mortgagee to be payable, during the next ensuing twelve (12) months and (b) at the option of Lendermonths, if the liability or casualty Policy maintained by Borrower covering the Property which shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(cbe invested as provided in Section 10(b) hereof, or Lender shall require Borrower to obtain with income earned thereon becoming a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal part of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender , PROVIDED that Mortgagee shall elect to collect payments in escrow bear no liability for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined any loss occasioned by Lender, in its reasonable discretion, to increase the amounts in investment of the Escrow Fund as herein provided, by any delays in investing or reinvesting the Escrow Fund or by any failure to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to achieve the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly maximum possible yield from the appropriate taxing authorityEscrow Fund. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Lender Mortgagee will apply the Escrow Fund to payments the payment of Taxes and Insurance Premiums insurance premiums which are required to be made paid by Borrower Grantor pursuant to Sections 3.3 and 3.4 hereofthe provisions of this Shore Mortgage. If the amount of the Escrow Fund shall exceed the such amounts due for Taxes and Insurance Premiums payable by Grantor pursuant to Sections 3.3 and 3.4 hereofthe provisions of this Shore Mortgage, Lender shallMortgagee shall at its election, in its discretion, (a) return any excess to Borrower or Grantor, (b) credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender Fund or (c) reimburse Mortgagee for any amount owed to be the owner it under this Shore Mortgage or under any of the PropertyTransaction Documents. If the Escrow Fund is not sufficient to pay such amounts as the items set forth in (a) and (b) abovesame become payable, Borrower Grantor shall promptly pay on demand pay, to Lender, upon demand, Mortgagee an amount which Lender shall estimate as be sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on Any amounts in the Escrow Fund shall be payable kept separate and segregated from the general funds of Mortgagee. If this Shore mortgage is sold or assigned by Mortgagee in whole, Mortgagee shall deduct any amount owing to Borrowerit under this Shore Mortgage or any Transaction Document and transfer to the assignee the balance, if any, then held by Mortgagee under this Paragraph and, upon such assignment and transfer, Mortgagee shall have no further obligation to Grantor with respect to such amount. If at any time Grantor tenders to Mortgagee full payment of the entire Secured Obligations, including any applicable premium or penalty, and the lien of the Indenture or this Shore Mortgage shall have been discharged, Mortgagee shall refund to Grantor any balance remaining in the Escrow Fund.
(b) In the event that the Escrow Fund is created, Mortgagee shall create an account denominated "Louisiana Casino Cruises, Inc. -- Shore Mortgage Escrow Fund" (or some similar name) in which to hold all amounts in the Escrow Fund. All amounts from time to time in the Escrow Fund shall be invested in the First American Fund (or, if the First American Fund should become unavailable for any reason, a comparable cash management fund). Mortgagee is specifically authorized to implement its automated cash investment system to assure that funds in the Escrow Fund are invested and to charge its normal cash management fees, which may be deducted from income earned on investments.
Appears in 1 contract
Escrow Fund. In addition At the option of Lender after Borrower has failed to timely pay Insurance Premiums, Taxes or Other Charges, Borrower shall establish with Lender an Escrow Fund sufficient to discharge Borrower's obligations for the initial payment of Insurance Premiums, Taxes and Other Charges pursuant to Sections 3.1 and 3.2 hereof. Initial deposits with respect to Taxes and, if applicableof Taxes, Insurance Premiums and Other Charges, plus a two month reserve of each, shall be made by Borrower to Lender on the date hereof to be held by Lender in escrow. Additionally, Borrower shall pay to Lender on the tenth first day of each calendar month (a) one-twelfth of an amount which would be sufficient to pay the Taxes and Other Charges payable, or estimated by Lender to be payable, during the next ensuing twelve (12) months and (b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts initial deposits together with the amount in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Taxes, Insurance Premiums and Other Charges of which it has or obtains knowledge of and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note Note, shall be added together and shall be paid as an aggregate sum by Borrower to Lender. Provided there are sufficient amounts in the Escrow Fund and no Event of Default exists, Lender will apply shall be obligated to pay the Taxes, Insurance Premiums and Other Charges as they become due on their respective due dates on behalf of Borrower by applying the Escrow Fund to payments the payment of Taxes and such Taxes, Insurance Premiums and Other Charges required to be made by Borrower pursuant to Sections 3.3 3.1 and 3.4 hereof. If the amount of the Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 hereof, Lender shall, in its discretion, return any excess to Borrower or credit such excess against future payments to be made to the Escrow Fund. In allocating such excess, Lender may deal with the person shown on the records of Lender to be the owner of the Property. If the Escrow Fund is not sufficient to pay the items set forth in (a) and (b) above, Borrower shall promptly pay to Lender, upon demand, an amount which Lender shall estimate as sufficient to make up the deficiency. The Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by Lender. No earnings or interest on the Escrow Fund shall be payable to Borrower3.
Appears in 1 contract
Sources: Deed of Trust and Security Agreement (Global Geophysical Services Inc)
Escrow Fund. (a) In addition the event Mortgagor shall at any time fail to pay ----------- any Taxes when due, and such failure shall continue for a period of fifteen (15) days after the initial deposits with respect date such Taxes were due, Mortgagee may, at its election, require Mortgagor to Taxes andpay to Mortgagee, if applicable, Insurance Premiums made by Borrower to Lender on the date hereof to be held by Lender in escrow, Borrower shall pay to Lender on the tenth first day of each calendar month (a) occurring thereafter, one-twelfth (1/12th) of an amount which would be sufficient to pay the Taxes payable, or estimated by Lender Mortgagee to be payable, during the next ensuing twelve (12) months and also provide for an additional reserve equal to one-sixth (1/6th) of the Taxes payable (said amounts being hereinafter called the "Tax --- Escrow Fund.") -----------
(b) at the option of Lender, if the liability or casualty Policy maintained by Borrower covering the Property shall not constitute a reasonably approved blanket or umbrella Policy pursuant to Subsection 3.3(c) hereof, or Lender shall require Borrower to obtain a separate Policy pursuant to Subsection 3.3(c) hereof, one-twelfth of an amount which would be sufficient to pay the Insurance Premiums due for the renewal of the coverage afforded by the Policies upon the expiration thereof (the amounts in (a) and (b) above shall be called the "Escrow Fund"). In the event Lender shall elect to collect payments in escrow for Insurance Premiums, Borrower shall pay to Lender an initial deposit to be determined by Lender, in its reasonable discretion, to increase the amounts in the Escrow Fund to an amount which, together with anticipated monthly escrow payments, shall be sufficient to pay all Insurance Premiums and Taxes as they become due. Borrower agrees to notify Lender immediately of any changes to the amounts, schedules and instructions for payment of any Taxes and Insurance Premiums of which it has or obtains knowledge and authorizes Lender or its agent to obtain the bills for Taxes directly from the appropriate taxing authority. The Tax Escrow Fund and the payments of interest or principal or both, payable pursuant to the Note Note, shall be added together and shall be paid as an aggregate sum by Borrower Mortgagor to LenderMortgagee. Lender Mortgagor hereby pledges to Mortgagee any and all monies now or hereafter deposited in the Tax Escrow Fund as additional security for the payment of the Debt. Mortgagee will apply the Tax Escrow Fund to payments of Taxes and Insurance Premiums required to be made by Borrower Mortgagor pursuant to Sections 3.3 and 3.4 paragraph 4 hereof. If the amount of the Tax Escrow Fund shall exceed the amounts due for Taxes and Insurance Premiums pursuant to Sections 3.3 and 3.4 paragraph 5 hereof, Lender Mortgagee shall, in its discretion, return any excess to Borrower Mortgagor or credit such excess against future payments to be made to the Tax Escrow Fund. In allocating such excess, Lender Mortgagee may deal with the person shown on the records of Lender Mortgagee to be the owner of the Mortgaged Property. If the balance in the Tax Escrow Fund on the first day of the month which is one full month prior to the due date of any Taxes is not sufficient to pay the items set forth in (a) and (b) aboveTaxes, Borrower Mortgagor shall promptly pay to LenderMortgagee, upon demand, an amount which Lender Mortgagee shall estimate as sufficient to make up the deficiency. Upon the acceleration of the Debt as described in paragraph 26 hereof, Mortgagee may apply any sums then present in the Tax Escrow Fund to the payment of the following items in any order in its sole discretion :
(i) Taxes and Other Charges;
(ii) Interest on the unpaid principal balance of the Note;
(iii) Amortization of the unpaid principal balance of the Note; or
(iv) All other sums payable pursuant to the Note, the Credit Agreement, this Mortgage and the other Loan Documents, including without limitation, advances made by Mortgagee pursuant to the terms of this Mortgage.
(c) Until expended or applied as above provided, any amounts in the Tax Escrow Fund shall constitute additional security for the Debt. The Tax Escrow Fund shall not constitute a trust fund and may be commingled with other monies held by LenderMortgagee. No earnings or interest on the Tax Escrow Fund shall be payable paid to BorrowerMortgagor, unless applicable law requires interest on the Tax Escrow Fund to be paid to Mortgagor. Any such required interest shall be deposited in the Tax Escrow Fund as additional security for the payment of the Debt.
Appears in 1 contract