Common use of Limitation on Lender’s Responsibility Clause in Contracts

Limitation on Lender’s Responsibility. No provision of this Security Instrument shall operate to place any obligation or liability for the control, care, management or repair of the Property upon Lender, nor shall it operate to make Lender responsible or liable for any waste committed on the Property by the tenants or any other Person, or for any dangerous or defective condition of the Property, or for any negligence in the management, upkeep, repair or control of the Property resulting in loss or injury or death to any tenant, licensee, employee or stranger unless such loss or damage is caused by fraud, willful misconduct, gross negligence or bad faith of Lender or its agents. Nothing herein contained shall be construed as constituting Lender a “mortgagee in possession.”

Limitation on Lender’s Responsibility. No provision of this Security Instrument shall operate to place any obligation or liability for the control, care, management or repair of the Property upon Lender, nor shall it operate to make Lender responsible or liable for any waste committed on the Property by the tenants or any other Person, or for any dangerous or defective condition of the Property, or for any negligence in the management, upkeep, repair or control of the Property resulting in loss or injury or death to any tenant, licensee, employee or stranger (unless such loss loss, injury or damage is caused by frauddeath resulted from Lender’s gross negligence, illegal act or willful misconduct, gross negligence or bad faith of Lender or its agents). Nothing herein contained shall be construed as constituting Lender a “mortgagee in possession.”