Option to Purchase Upon Default. In the event that a Member (the "Defaulting Member") materially breaches any of such Member's covenants or agreements set forth in this Agreement (including without limitation a Transfer or attempted Transfer of an Interest in violation of this Agreement), and such breach remains uncured for thirty (30) days following written notice to the Defaulting Member (and any Transferee) by the Company (specifying in reasonable detail the nature of the breach), the Company shall have the option to purchase the Defaulting Member's Interest at the Contract Price and on the Contract Payment Terms. Such option shall be exercised by the Company giving written notice to the Defaulting Member (and any transferee) of the Company's exercise of its option to purchase pursuant to this Section 8.8. Such notice shall set forth a date for the closing of such purchase and sale which is not less than sixty (60) days nor more than ninety (90) days following the date of such notice. At the closing specified in the Company's notice, the Company shall purchase and the Defaulting Member or Transferee shall sell such Interest at the Contract Price and on the Contract Payment Terms. The rights of the Company set forth in this Section 8.8 are in addition to any other remedies available to it under this Agreement or applicable law with respect to the Defaulting Member's breach.
Option to Purchase Upon Default. In addition to the remedies provided the City elsewhere in this Covenant, Owner hereby grants to the City the option to purchase the Property effective upon the declaration of a default. The option to purchase may be exercised upon a default under this Covenant or upon default under any notes Owner has executed in favor of the City, or any deed of trust or any other lien secured by or recorded against the Property including but not limited to a judgment lien, tax lien or Homeowner’s Association lien. The City shall have thirty (30) days after declaring a default or receiving notice that a default is declared on any other obligation secured by this Property to notify the Owner of its decision to exercise its option to purchase. Not later than sixty (60) days after the certified mailing of the notice to exercise its option, the City or its assignee shall purchase the Property for the following default purchase price: The lesser of the following:
1. The Maximum Sales Price calculated per Section X above as of the date of default; or
2. The appraised value of the property as determined by a state licensed appraiser approved by the Owner and City; or
3. The amount necessary to pay the balance due on any City-approved financing The default purchase price, as determined, shall then be reduced by ten percent (10%) to cover the City’s resale costs and further reduced by the cost of damage or maintenance repairs as reasonably determined by the City. The City may also enforce the covenant through the courts.
