Common use of Maintenance and Operation of the Project Clause in Contracts

Maintenance and Operation of the Project. The Borrower shall, at its expense, keep the Project in good repair and operating condition and free and clear of all encumbrances except Permitted Encumbrances, as defined in the Reimbursement Agreement, making from time to time all necessary repairs, renewals and replacements. The Borrower may, at its expense, make any additions, modifications or improvements to the Project that it may deem desirable for the efficient operation of the facility as a manufacturing facility and that do not substantially impair the revenue producing capability of the facility, provided that all such additions, modifications or improvements are located wholly on the Land and comply with all Federal, state and local codes as applied to the Project. All such renewals, replacements, additions, modifications and improvements shall become part of the Project. The Borrower shall (a) use, maintain and operate the Project for manufacturing purposes; (b) comply with all laws, rules and regulations of any governmental body applicable to the condition and operation of the Project, whether existing or later enacted or foreseen or unforeseen and whether involving any change in governmental policy or requiring structural or other changes to the buildings at the facility; (c) neither commit nor suffer others to commit a nuisance in or about the facility site at which the Project is located; and (d) provide at its own cost and expense, to the extent not included at the facility site at which the Project is located, the other personal property required for the proper use, maintenance and operation of the Project in an economical and efficient manner.

Appears in 1 contract

Samples: Loan Agreement (Sherwood Brands Inc)

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Maintenance and Operation of the Project. The Borrower ---------------------------------------- shall, at its expense, keep the Project in good repair and operating condition and free and clear of all encumbrances except Permitted Encumbrances, as defined in the Reimbursement Letter of Credit Agreement, making from time to time all necessary repairs, renewals and replacements. The Borrower may, at its expense, make any additions, modifications or improvements to the Project that it may deem desirable for the its efficient operation of the facility as a manufacturing office/warehouse facility and that do not substantially impair the revenue producing capability capacity of the facilityProject, provided that all the Borrower provides the Letter of Credit Issuer with prior written notice of any such additions, modifications or improvements and such additions, modifications or improvements are located wholly on the Land and comply with all Federal, state and local codes as applied to the Project, and further provided that no liens or other encumbrances are filed on the Land as a result of such additions, modifications or improvements. All such renewals, replacements, additions, modifications and improvements shall become part of the Project. The Borrower shall (a) use, maintain and operate operate, or cause to be used, maintained and operated, the Project for manufacturing purposesas a office/warehouse facility; (b) comply with all laws, rules and regulations of any governmental body applicable to the condition and operation of the Project, whether existing or later enacted or foreseen or unforeseen and whether involving any change in governmental policy or requiring structural or other changes to the buildings at the facilityProject; (c) neither commit nor suffer others to commit a nuisance in or about the facility site at which the Project is locatedProject; and (d) provide at its own cost and expense, or cause to be provided, to the extent not included at within the facility site at which the Project is locatedProject, the other personal property required for the proper use, maintenance and operation of the Project in an economical and efficient manner.

Appears in 1 contract

Samples: Loan Agreement (Pen Tab Industries Inc)

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