Common use of Litigation; Government Proceedings Clause in Contracts

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement.

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement. 1. Purpose for which disbursement is requested: 2. To whom the disbursement will be made (may be the undersigned in the case of reimbursement for advances and payments made or cost incurred for work done by the undersigned): 3. Estimated costs of completing the uncompleted Repairs as of the date of this Disbursement Request: 4. The undersigned certifies that each of the following is true: (a) The disbursement requested pursuant to this Disbursement Request will be used solely to pay a cost or costs allowable under the Loan Agreement.

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement. 1. Purpose for which disbursement is requested: 2. To whom the disbursement will be made (may be the undersigned in the case of reimbursement for advances and payments made or cost incurred for work done by the undersigned): 3. Estimated costs of completing the uncompleted Repairs as of the date of this Disbursement Request: 4. The undersigned certifies that each of the following is true: (a) The disbursement requested pursuant to this Disbursement Request will be used solely to pay a cost or costs allowable under the Loan Agreement. (b) None of the items for which disbursement is requested pursuant to this Disbursement Request has formed the basis for any disbursement previously made from the Repair Reserve Fund. (c) All labor and materials for which disbursements have been requested have been incorporated into the Improvements or suitably stored upon the Mortgaged Property in accordance with reasonable and standard building practices, the Loan Agreement and all applicable laws, ordinances, rules and regulations of any governmental authority having jurisdiction over the Mortgaged Property. (d) The materials, supplies and equipment furnished or installed for the Repairs are not subject to any Lien or security interest or that the funds to be disbursed pursuant to this Disbursement Request are to be used to satisfy any such Lien or security interest. 5. All capitalized terms used in this Disbursement Request without definition will have the meanings ascribed to them in the Loan Agreement.

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement. 1. Purpose for which disbursement is requested: 2. To whom the disbursement will be made (may be the undersigned in the case of reimbursement for advances and payments made or cost incurred for work done by the undersigned): 3. Estimated costs of completing the uncompleted Repairs as of the date of this Disbursement Request: 4. The undersigned certifies that each of the following is true:

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement. 1. Purpose for which disbursement is requested: 2. To whom the disbursement will be made (may be the undersigned in the case of reimbursement for advances and payments made or cost incurred for work done by the undersigned): 3. Estimated costs of completing the uncompleted Repairs as of the date of this Disbursement Request: ______________________________________________________________ 4. The undersigned certifies that each of the following is true:

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following certain consumer class action lawsuits (1) a lawsuit styled “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updates, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written request; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the Lawsuits, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement. 1. Purpose for which disbursement is requested: 2. To whom the disbursement will be made (may be the undersigned in the case of reimbursement for advances and payments made or cost incurred for work done by the undersigned): 3. Estimated costs of completing the uncompleted Repairs as of the date of this Disbursement Request: 4. The undersigned certifies that each of the following is true: (a) The disbursement requested pursuant to this Disbursement Request will be used solely to pay a cost or costs allowable under the Loan Agreement. (b) None of the items for which disbursement is requested pursuant to this Disbursement Request has formed the basis for any disbursement previously made from the Repair Reserve Fund. (c) All labor and materials for which disbursements have been requested have been incorporated into the Improvements or suitably stored upon the Mortgaged Property in accordance with reasonable and standard building practices, the Loan Agreement and all applicable laws, ordinances, rules and regulations of any governmental authority having jurisdiction over the Mortgaged Property. (d) The materials, supplies and equipment furnished or installed for the Repairs are not subject to any Lien or security interest or that the funds to be disbursed pursuant to this Disbursement Request are to be used to satisfy any such Lien or security interest.

Litigation; Government Proceedings. (a) Borrower will give prompt Notice to Lender of any litigation or governmental proceedings pending or, to the best of Borrower’s knowledge, threatened in writing against Borrower or any Borrower Principal which might have a Material Adverse Effect. As and when requested by Lender, Borrower will provide Lender with written updates on the status of all litigation proceedings affecting Borrower or any Borrower Principal. (i) Borrower has disclosed to Lender that Property Manager is a party to the following that certain consumer class action lawsuits (1) a lawsuit styled as “Xxxx Xxxxx v. Steadfast Management Company, Inc. and XXX Xxxxxxx Ranch Apartments, LLC d/b/a Meritage at Xxxxxxx Ranch”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-00747-RP on August 25, 2015 (the "Xxxxx Lawsuit"), and (2) a lawsuit styled “Xxxxx Xxxxxxx v. Steadfast Management Company, Inc. and SIR Montecito, LLC”, filed in the U.S. District Court - Western District of Texas, Case No. 1:15-cv-01189-RP on December 17, 2015 (the “Xxxxxxx Lawsuit”, together with the Xxxxx Lawsuit, referred to as the “Lawsuits”). The Xxxxx Lawsuit alleges claims for breach of contract related to alleged impermissible utility service fees and alleged unauthorized pest control fees. The Xxxxxxx Lawsuit asserts claims related to prohibited service fees for allocation utility billing, overcharging of water and sewer fees, and violations of the Texas Public Utility Commission’s registration requirements. (ii) Borrower must provide Lender with updatesquarterly updates or within 10 days of Lender’s written request, in form and substance reasonably acceptable to Lender (but without impairing attorney client confidentiality, requiring disclosure potential defense strategy, or obligating Borrower to incur material additional expense), regarding the status of the Lawsuits within 10 days of Lender's request prior to Securitization and then quarterly updates thereafter or within 10 days of Lender’s written requestLawsuit; provided that copies of any court orders or settlement agreements that are issued or agreed upon in connection with the LawsuitsLawsuit, together with a summary reasonably acceptable to Lender, must be delivered promptly to Lender upon issuance or execution of such court order or settlement agreement.