Common use of Payment of Taxes, Assessments and Charges Clause in Contracts

Payment of Taxes, Assessments and Charges. The Mortgagor shall pay when due, and before any interest, collection fees or penalties shall accrue, all real estate taxes, special assessments, water and sewer charges or other governmental charges and impositions levied or assessed with respect to the Mortgaged Premises or any part thereof except to the extent that payment of any of the foregoing is then being contested in good faith by appropriate legal proceedings and with respect to which adequate financial reserves have been established on the books and records of the Mortgagor. Should Mortgagor fail to so pay such taxes, special assessments, water and sewer charges or other governmental charges or impositions or establish such adequate financial reserves, Mortgagee may, at its option, pay the same for the account of Mortgagor.