First Mortgagee Clause Samples
The 'First Mortgagee' clause establishes the rights and priority of the primary lender who holds the first mortgage on a property. This clause typically ensures that the first mortgagee's interests take precedence over those of subsequent lenders or claimants, especially in the event of default or foreclosure. For example, if the property is sold to satisfy debts, the first mortgagee is paid before any other parties with subordinate claims. The core function of this clause is to provide security and priority to the main lender, thereby reducing their risk and making the loan more attractive.
First Mortgagee. The holder of the First Mortgage Loan or “Bank”.
First Mortgagee. 3 2.18 IMPROVEMENTS.............................................................. 3 2.19 INVITEE................................................................... 3 2.20
First Mortgagee. The holder from time to time of the First Mortgage, if any.
First Mortgagee. The liability of the holder of a first mortgage on a Unit (each, a “First Mortgagee”), or its successors or assigns, who acquires title to a Unit by foreclosure or by deed in lieu of foreclosure for the unpaid Assessments (or installments thereof) that became due before the First Mortgagee’s acquisition of title is limited to the lesser of:
(a) The Unit’s unpaid Common Expenses and regular periodic Assessments which accrued or came due during the twelve (12) months immediately preceding the acquisition of title and for which payment in full has not been received by the Association; or
(b) One percent (1%) of the original mortgage debt. As to a Unit acquired by foreclosure, the limitations set forth in clauses (a) and (b) above shall not apply unless the First Mortgagee joined the Association as a defendant in the foreclosure action. Joinder of the Association, however, is not required if, on the date the complaint is filed, the Association was dissolved or did not maintain an office or agent for service of process at a location which was known to or reasonably discoverable by the mortgagee.
First Mortgagee. First Mortgagee" shall mean a beneficiary, creditor or holder of a First Mortgage.