Fees for Failure to Provide Required Reports Clause Samples

Fees for Failure to Provide Required Reports. All reports required under Section 10.3 shall be furnished within the time period(s) specified above in this Section. In the event that any such report remains outstanding for a period of thirty (30) days beyond its due date, the Lender shall be entitled (in addition to any other remedies available to the Lender) upon fifteen (15) days written notice to increase the Interest Rate by two percent (2%) per annum (i.e., 200 basis points) until such time as the reports required under Section 10.3 are delivered to the Lender’s satisfaction. Borrower expressly acknowledges that its failure to provide any of the foregoing required reports to the Lender will (a) cause Lender to incur additional and significant costs and expenses in servicing and processing the Loan, including the need for increased attention by the Lender’s servicing department and the possibilities of increased regulatory examination and transfer of the loan to the Lender’s special servicing department or loan recovery unit, (b) potentially subject the Lender to increased reserve or capital requirements and (c) subject Lender to additional review burdens, costs and fees including the need for increased personnel to monitor Borrower’s compliance with the requirements of this Article. Borrower acknowledges that it is extremely difficult and impractical to determine any of those additional costs and expenses and that the Lender is entitled to be compensated for such increased risks. Borrower agrees that the increase in the rate of interest set forth above represents a fair and reasonable estimate of the additional costs and expenses Lender will incur by reason of Borrower’s failure to provide any such report and the additional compensation Lender is entitled to receive on account of such failure.