Common use of Limitation on Lessee’s Right to Encumber Clause in Contracts

Limitation on Lessee’s Right to Encumber. Any Leasehold Mortgage now or hereafter placed on Lessee’s interest in the Premises shall be subject and subordinate to any limitations in the Tidelands Grants, Lessor’s interest in the Tidelands, this Agreement, and any mortgage now in existence on the Leasehold Estate. Lessee shall not use, encumber or Transfer this Agreement or the Premises as security or collateral for any action unless directly related to the Tidelands and the permitted uses allowed by this Agreement.