Common use of Matters Concerning Manager Clause in Contracts

Matters Concerning Manager. (a) If (i) at any time, the Debt Service Coverage Ratio for the immediately preceding twelve (12) month period is less than 1.10 to 1.0 other than solely as a result of Market Conditions, (ii) an Event of Default occurs and is continuing, (iii) the applicable Manager shall become bankrupt or insolvent, (iv) a material default occurs by the Manager under the applicable Management Agreement beyond any applicable grace and cure periods, or (v) Manager commits gross negligence, malfeasance or willful misconduct, Borrower shall, at the request of Lender, cause the Mortgage Borrowers to remove the Properties from the application of the Management Agreement and replace the applicable Manager with a manager unaffiliated with Manager, Borrower, any Mortgage Borrower, Principal, Guarantor or any Person controlling Manager, Borrower, Principal, any Mortgage Borrower or Guarantor approved by Lender, who shall enter into a new management agreement (that will apply to such Properties) on terms and conditions satisfactory to Lender, it being understood and agreed that the management fee for such replacement manager shall not exceed then prevailing market rates.

Matters Concerning Manager. (a) If (i) at any time, the Debt Service Coverage Ratio for the immediately preceding twelve (12) month period is less than 1.10 to 1.0 other than solely as a result of Market Conditions, (ii) an Event of Default occurs and is continuing, (iii) the applicable Manager shall become bankrupt or insolvent, (iv) a material default occurs by the Manager under the applicable Management Agreement beyond any applicable grace and cure periods, or (v) Manager commits gross negligence, malfeasance or willful misconduct, each Borrower shall, at the request of Lender, cause the Mortgage Borrowers to remove the Properties from the application of the Management Agreement and replace the applicable Manager with a manager unaffiliated with Manager, BorrowerBorrowers, any Mortgage Principal of Borrowers, Mezzanine Borrower, Principal, Guarantor or any Person controlling Manager, Borrower, PrincipalBorrowers, any Mortgage Principal of Borrowers, Guarantor or Mezzanine Borrower or Guarantor approved by Lender, who shall enter into a new management agreement (that will apply to such Properties) on terms and conditions satisfactory to Lender, it being understood and agreed that the management fee for such replacement manager shall not exceed then prevailing market rates.