Common use of PROTECTION OF BENEFICIARY’S SECURITY Clause in Contracts

PROTECTION OF BENEFICIARY’S SECURITY. If Trustor fails to perform the covenants and agreements contained in this Deed of Trust, or if any action or proceeding is commenced which materially affects Beneficiary's interest in the Property, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Beneficiary at its option, upon notice to Trustor, may make such appearances, disburse such sums and take such action as is necessary to protect Beneficiary's interest, including, but not limited to, disbursement of reasonable attorneys' fees and entry upon the Property to make repairs. Any amounts disbursed by Beneficiary pursuant to this Paragraph 8, or any other provision of this Deed of Trust, with interest thereon, shall become additional indebtedness of Trustor secured by this Deed of Trust. Unless Trustor and Beneficiary agree to other terms of payment, such amounts shall be payable upon notice from Beneficiary to Trustor requesting payment thereof, and shall bear interest from the date of disbursement at the Default Rate set forth in the Note, unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Trustor recognizes that its failure to pay such sums when due will require Beneficiary to incur additional expense in servicing the loan secured hereby, in loss to the Beneficiary in meeting its other financial commitments, and that damages caused thereby would be extremely difficult and impractical to ascertain. Trustor agrees that the accrual of interest at the Default Rate on such sums is a reasonable estimate of the damage to Beneficiary in the event of Trustor's failure to pay such sums. Nothing contained in this Paragraph 8 shall require Beneficiary to incur any expense or take any action hereunder. Likewise, in the event that Trustee shall expend any amounts pursuant to any provision of this Deed of Trust, such amounts with interest shall be repaid and become additional indebtedness secured by this Deed of Trust, all in accordance with the foregoing.

PROTECTION OF BENEFICIARY’S SECURITY. If Trustor Subject to the rights of Grantor under paragraph 15 hereof, if Grantor fails to perform or comply with any of the covenants and agreements contained in this Deed of Trust, Trust or if any action or proceeding is commenced which materially affects Beneficiary's the Collateral or the interest in the Property, including, but not limited to, eminent domain, insolvency, code enforcementof Trustee or Beneficiary therein, or arrangements or proceedings involving a bankrupt or decedentthe title thereto, then Beneficiary Beneficiary, at its Beneficiary’s option, upon notice to Trustormay perform such covenants and agreements, may make defend against and/or investigate such appearancesaction or proceeding, disburse such sums and and/or take such other action as is Beneficiary reasonably deems necessary to protect Beneficiary's interestits interests in the exercise of its judgment, includingincluding without limitation, but not limited toadvancing funds for the payment of taxes, disbursement levies or insurance costs with respect to the Collateral or to protect the Collateral from waste, damage or abuse. Beneficiary shall be entitled to rely on an opinion of counsel as to the legality, validity and priority of any claim, lien, encumbrance, tax, assessment, charge and premium paid by it and shall be the sole reasonable attorneys' fees and entry upon judge of the Property amount necessary to make repairsbe paid in satisfaction thereof. Any reasonable amounts or expenses disbursed or incurred by Beneficiary pursuant to this Paragraph 8paragraph 18, or to otherwise enforce any other provision provisions of this Deed of Trust, to preserve any of the rights, powers or privileges of Beneficiary granted or created hereby, or otherwise in order to protect the Collateral from waste, damage, or abuse, including, without limitation, reasonable attorney’s fees (including fees and costs incurred in any appeal), with interest thereonthereon as hereinafter stated, shall become additional indebtedness of Trustor Obligations secured by this Deed of TrustTrust with same effect and priority as if disbursed on or before the date this Deed of Trust is recorded. Unless Trustor Grantor and Beneficiary agree in writing to other terms of paymentrepayment, such amounts shall be due and payable upon ten days’ written notice from Beneficiary to Trustor requesting payment thereofBeneficiary, and shall bear interest from the date of disbursement at the Default Rate set forth in the Notea rate of ten (10%) per annum, unless payment collection of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible which may be collected under applicable law. Trustor recognizes that Beneficiary shall, at its failure to pay such sums when due will require Beneficiary to incur additional expense in servicing the loan secured herebyoption, in loss be subrogated to the lien of any mortgage or other lien discharged in whole or in part by the Obligations or by Beneficiary in meeting its other financial commitmentsunder the provisions hereof, and that damages caused thereby would any such subrogation rights shall be extremely difficult additional and impractical to ascertain. Trustor agrees that the accrual cumulative security for this Deed of interest at the Default Rate on such sums is a reasonable estimate of the damage to Beneficiary in the event of Trustor's failure to pay such sumsTrust. Nothing contained in this Paragraph 8 paragraph 18 shall require Beneficiary to incur any expense or take do any act hereunder, and Beneficiary shall not be liable to Grantor for any damages or claims arising out of action hereunder. Likewise, in the event that Trustee shall expend any amounts pursuant to any provision of this Deed of Trust, such amounts with interest shall be repaid and become additional indebtedness secured taken by this Deed of Trust, all Beneficiary in accordance with the foregoingprovisions of this paragraph 18.

PROTECTION OF BENEFICIARY’S SECURITY. If Trustor fails to perform any of the covenants and agreements contained in this Deed of Trust, Trust or if any action or proceeding is commenced which materially affects Beneficiary's does or may adversely affect the Property or any portion thereof or the interest in the Propertyof Trustor, including, but not limited to, eminent domain, insolvency, code enforcementTrustee or Beneficiary therein, or arrangements the title of Trustor thereto, or proceedings involving if Beneficiary shall be made a bankrupt party to any such action or decedentproceeding, including a bankruptcy proceeding in which Trustor or the then owner of the Property is a debtor, then Beneficiary the Beneficiary, at its sole option, upon notice to Trustormay perform such covenants and agreements, may make defend against and/or investigate such appearancesaction or proceeding, disburse such sums obtain appraisals and take such other action as is Beneficiary deems necessary to protect Beneficiary's interest. Beneficiary shall be the sole judge of the legality, includingvalidity and priority of claims, but not limited toliens, disbursement encumbrances, taxes, assessments, charges and premiums paid by it and of reasonable attorneys' fees and entry upon the Property amount necessary to make repairsbe paid in satisfaction thereof. Any All amounts disbursed or incurred by Beneficiary pursuant to this Paragraph 8Section, or any including but not limited to reasonable attorney's fees, disbursements and other provision of this Deed of Trust, with interest thereon, shall become additional indebtedness of Trustor secured by this Deed of Trust. Unless Trustor and Beneficiary agree to other terms of payment, such amounts charges shall be payable upon notice from Beneficiary to Trustor requesting payment thereofdemand, and shall bear interest from the date of disbursement or the date incurred at the Default Interest Rate set forth in the Noteand shall become an additional amount secured hereunder. Beneficiary shall, unless payment of interest at such rate would its option, be contrary subrogated to applicable lawany encumbrance, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Trustor recognizes that its failure to pay such sums when due will require Beneficiary to incur additional expense in servicing the loan secured herebylien, in loss to the Beneficiary in meeting its other financial commitmentsclaim or demand, paid or discharged by Beneficiary, and that damages caused thereby would to all the rights and securities for the payment thereof and any such subrogation rights shall be extremely difficult additional and impractical to ascertain. Trustor agrees that the accrual cumulative security for this Deed of interest at the Default Rate on such sums is a reasonable estimate of the damage to Beneficiary in the event of Trustor's failure to pay such sumsTrust. Nothing contained in this Paragraph 8 Section shall require Beneficiary to incur any expense or take do any act hereunder and Beneficiary shall not be liable to Trustor for any damages or claims arising out of action hereunder. Likewise, in the event that Trustee shall expend any amounts taken or not taken by Beneficiary pursuant to any provision of this Deed of Trust, such amounts with interest shall be repaid and become additional indebtedness secured by this Deed of Trust, all in accordance with the foregoingSection.

PROTECTION OF BENEFICIARY’S SECURITY. Leases. If Trustor Grantor fails to pay the Indebtedness or perform the covenants and agreements contained in this Deed of TrustObligations, or if any action or proceeding is commenced which materially affects Beneficiary's interest in the Property, includingTrustee or Beneficiary, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Beneficiary at its Beneficiary’s option, upon notice to Trustor, Beneficiary may make such appearances, disburse such sums and take such action as is necessary Beneficiary deems necessary, in its sole discretion, to protect the Property or Beneficiary's interest’s or Trustee’s respective interests herein, including, but not limited to, disbursement of reasonable attorneys' fees and including entry upon the Property to make repairsrepairs and perform environmental tests and studies. Any amounts disbursed by Beneficiary pursuant to this Paragraph 8, or any other provision of this Deed of Trust7 (including attorneys’ costs and expenses), with interest thereonthereon at the “Default Rate” (defined in the Note) from the date of disbursement, shall become additional indebtedness Indebtedness of Trustor Grantor secured by this Deed of Trust. Unless Trustor the Loan Documents and Beneficiary agree to other terms of payment, such amounts shall be due and payable upon notice from Beneficiary to Trustor requesting payment thereof, and shall bear interest from the date of disbursement at the Default Rate set forth in the Note, unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Trustor recognizes that its failure to pay such sums when due will require Beneficiary to incur additional expense in servicing the loan secured hereby, in loss to the Beneficiary in meeting its other financial commitments, and that damages caused thereby would be extremely difficult and impractical to ascertain. Trustor agrees that the accrual of interest at the Default Rate on such sums is a reasonable estimate of the damage to Beneficiary in the event of Trustor's failure to pay such sumsdemand. Nothing contained in this Paragraph 8 7 shall require Beneficiary to incur any expense or take any action hereunder. LikewiseGrantor shall not be authorized to enter into any ground lease of the Property, without Beneficiary’s prior written approval. Grantor shall not, without Beneficiary’s prior written consent, modify, amend, surrender or terminate any Lease, which approval shall not be unreasonably withheld or delayed. All Leases of space in the Property shall be on the form of lease previously approved by Beneficiary with tenants and for a use acceptable to Beneficiary. All Leases of space in the Property executed or renewed after the date hereof must be approved by Beneficiary prior to the execution thereof by Grantor. Notwithstanding anything contained herein to the contrary, Grantor may enter into a proposed Lease (including the amendment, renewal or extension of an existing Lease (“a Renewal Lease”)) without the prior written consent of Beneficiary, provided such proposed Lease or Renewal Lease (i) provides for rental rates and terms comparable to existing local market rates and terms (taking into account the type and quality of the tenant) as of the date such Lease or Renewal Lease is executed by Grantor (unless, in the event that Trustee case of a Renewal Lease, the rent payable during such renewal, or a formula or other method to compute such rent, is provided for in the original Lease), (ii) is an arms-length transaction with a bona fide, independent third party tenant, (iii) is written on the standard form of lease previously approved by Beneficiary, (iv) is not for premises greater than or equal to ten percent (10%) of the gross leaseable area of the Property, (v) is not for a rental, or greater than or equal to ten percent (10%) of the total gross rental revenues of the Property; (vi) shall expend have an initial term of not less than three (3) years or greater than ten (10) years, (vii) is for the same use as the current use of the Property, (viii) shall not contain any amounts pursuant options for renewal or expansion by the tenant thereunder at rental rates which are either below comparable market levels or less than the rental rates paid by the tenant during initial lease term; and (ix) shall be to a tenant which is experienced, creditworthy and reputable. If Beneficiary consents to any provision new Lease of space in the Property or the renewal of any existing Lease of space in the Property, at Beneficiary’s request, Grantor shall cause the tenant thereunder to execute a subordination and attornment agreement in form and substance satisfactory to Beneficiary contemporaneously with the execution of such Lease. Grantor expressly understands that any and all new or proposed leases or Renewal Leases are included in the definition of “Lease” or “Leases” as such terms may be used throughout this Deed of Trust, such amounts with interest shall be repaid and become additional indebtedness secured by this Deed Trust or any of Trust, all in accordance with the foregoingother Loan Documents.