Common use of Mandatory; Liquidation Event Clause in Contracts

Mandatory; Liquidation Event. (i) In the event of a Liquidation Event, Borrower shall cause the related Net Liquidation Proceeds After Debt Service to be deposited directly into an account designated by Lender. On each date on which Lender actually receives a distribution of Net Liquidation Proceeds After Debt Service, if such date is a Payment Date, other than during the occurrence and continuation of an Event of Default, such Net Liquidation Proceeds After Debt Service shall be applied to the outstanding principal balance of the Note in an amount equal to one hundred percent (100%) of such Net Liquidation Proceeds After Debt Service, together with (a) in the event that such Net Liquidation Proceeds After Debt Service are received on or before a Payment Date, interest accruing on such amount calculated through and including the end of the Interest Accrual Period in which such Payment Date occurs, or (b) in the event that such Net Liquidation Proceeds After Debt Service are received on a date after a Payment Date, interest accruing on such amount calculated through and including the end of the Interest Accrual Period in which the next Payment Date occurs and all other sums then due and payable in connection with such prepayment. (ii) Borrower shall immediately notify Lender of any Liquidation Event once Borrower has knowledge of such event. Borrower shall be deemed to have knowledge of (i) a sale (other than a foreclosure sale) of any Individual Property on the date on which a contract of sale for such sale is entered into, and a foreclosure sale, on the date written notice of such foreclosure sale is given, and (ii) a refinancing of the Property, on the date on which a commitment for such refinancing is entered into. The provisions of this Section 2.6(b) shall not be construed to contravene in any manner the restrictions and other provisions regarding refinancing of the Mortgage Loan or Transfer of the Property set forth in this Agreement and the other Loan Documents.

Mandatory; Liquidation Event. (i) In the event of a Liquidation Event, Borrower shall cause the related Net Liquidation Proceeds After Debt Service to be deposited paid directly into an account designated by to Lender. On each date on which Lender actually receives a distribution of Net Liquidation Proceeds After Debt Service, if such date is a Payment Date, other than during the occurrence and continuation of an Event of Default, Lender shall apply such Net Liquidation Proceeds After Debt Service shall be applied as a prepayment to the outstanding principal balance of the Note Debt in an amount up to the Release Price associated with the Individual Property (provided that to the extent Net Liquidation Proceeds After Debt Service are less than such Release Price, provided there exists no Event of Default, Borrower shall be permitted to prepay the Loan in an amount equal to one hundred percent (100%) the remainder of such Net Liquidation Proceeds After Debt Service, together Release Price in compliance with (athe requirements of Section 2.6(a) in the event that hereof without payment of any Spread Maintenance Premium) to which such Net Liquidation Proceeds After Debt Service are received on or before a Payment Date, interest accruing on such amount calculated through relate together with any Compensating Interest and including the end of the Interest Accrual Period any Breakage Costs associated therewith and any other sums due in which such Payment Date occurs, or (b) in the event that such connection therewith. All Net Liquidation Proceeds After Debt Service are received on a date after a Payment Date, interest accruing on in excess of such amount calculated through Release Price and including the end of the Compensating Interest Accrual Period in which the next Payment Date occurs and all Breakage Costs associated therewith (if any) and any other sums then due and payable in connection with such prepayment. (ii) Borrower therewith shall immediately notify Lender of any Liquidation Event once Borrower has knowledge of such event. Borrower shall be deemed to have knowledge of (i) a sale (other than a foreclosure sale) if an Event of any Individual Property on Default has occurred and is continuing, be held and applied by Lender in accordance with the date on which a contract terms of sale for such sale is entered into, and a foreclosure sale, on the date written notice of such foreclosure sale is given, and (ii) a refinancing of the Property, on the date on which a commitment for such refinancing is entered into. The provisions of this Section 2.6(b) shall not be construed to contravene in any manner the restrictions and other provisions regarding refinancing of the Mortgage Loan or Transfer of the Property set forth in this Agreement and the other Loan DocumentsDocuments and (ii) if no Event of Default has occurred and is continuing be applied as follows: (A) first, to the Mezzanine D Loan up to the Mezzanine D Release Price for the affected Individual Property (together with any Compensating Interest (as defined in the Mezzanine D Loan Agreement) and any Breakage Costs (as defined in the Mezzanine D Loan Agreement) associated therewith and any other sums due in connection therewith), and (B) second, any remaining Net Proceeds shall be deposited into the Cash Management Account and applied by Mortgage Lender in accordance with the terms of the Mortgage Loan Agreement. Borrower shall not be required to pay a Spread Maintenance Premium or any other prepayment premium in connection with any prepayment made pursuant to this Section 2.6(b) solely in connection with a Casualty or Condemnation.