Common use of Reserves and Cash Management Clause in Contracts

Reserves and Cash Management. (A) Upon the occurrence of an Event of Default, Borrower shall deposit with and pay to Lender, on each payment date specified in the Note, sums calculated by Lender for payment of: (i) the estimated taxes and assessments assessed or levied against the Premises, and (ii) the estimated premiums for insurance required by the Loan Documents, excluding commercial general liability insurance (collectively, the “Tax and Insurance Escrows”). Lender shall use the Tax and Insurance Escrows to pay the taxes, assessments and premiums when the same become due. Borrower agrees it is liable for any taxes, assessments and/or insurance premiums identified as being paid for by Borrower on Lender’s written Tax and Insurance Escrow analysis previously provided to Borrower and Borrower agrees to make any such payments when the same become due. Borrower shall procure and deliver to Lender, in advance, statements for such charges. If the total payments made by Borrower under this Section exceed the amount of payments actually made by Lender for taxes, assessments and insurance premiums, such excess shall be credited by Lender on subsequent deposits to be made by Borrower. If, however, the Tax and Insurance Escrows are insufficient to pay the taxes, assessments and insurance premiums when the same shall be due and payable, Borrower will pay to Lender any amount necessary to make up the deficiency, within five (5) business days before the date when payment of such taxes, assessments and insurance premiums shall be due. If at any time Borrower shall tender to Lender, in accordance with the provisions of the Note and the other Loan Documents, full payment of the entire Indebtedness, Lender shall, in computing the amount of such Indebtedness, credit to the account of Borrower any balance remaining in the Tax and Insurance Escrows. If there is an Event of Default resulting in a public sale of the Premises, or if Lender otherwise acquires the Premises after an Event of Default, Lender shall apply, at the time of commencement of such proceedings, or at the time the Premises is otherwise acquired, the then remaining balance in the Tax and Insurance Escrows as a credit toward any delinquent or accrued taxes and then, in such priority as Lender elects, to the other Indebtedness.

Reserves and Cash Management. (A) Upon the occurrence of an Event of Default, Borrower shall deposit with and pay to Lender, on the Closing Date and/or each payment date specified in the Note, sums reasonably calculated by Lender for payment of: (i) the estimated taxes and assessments assessed or levied against the Premises, and (ii) following an Event of Default on each payment date specified in the Note the estimated premiums for insurance required by the Loan Documents, excluding commercial general liability insurance (collectively, the “Tax and Insurance Escrows”). Lender shall use the Tax and Insurance Escrows to pay the taxes, assessments and premiums when the same become duedue unless any such expenses for taxes or insurance have been deposited by Borrower into the Tax and Insurance Escrows, in which case such expenses shall be paid by Lender out of the Tax and Insurance Escrows. Borrower agrees it is liable for any taxes, assessments and/or insurance premiums identified as being paid for by Borrower on Lender’s written Tax and Insurance Escrow analysis previously provided to Borrower and Borrower agrees to make any such payments when the same become due. Borrower shall procure and deliver to Lender, in advance, statements for such charges. If the total payments made by Borrower under this Section exceed the amount of payments actually made by Lender for taxes, assessments and insurance premiums, such excess shall be credited by Lender on subsequent deposits to be made by Borrower. If, however, the Tax and Insurance Escrows are insufficient to pay the taxes, assessments and insurance premiums when the same shall be due and payable, Borrower will pay to Lender any amount necessary to make up the deficiency, within five (5) business days before after Lender has notified Borrower in writing of such deficiency, but in all events prior to the date when payment of such taxes, assessments and insurance premiums shall be duedelinquent. If at any time Borrower shall tender to Lender, in accordance with the provisions of the Note and the other Loan Documents, full payment of the entire Indebtedness, Lender shall, in computing the amount of such Indebtedness, credit to the account of Borrower any balance remaining in the Tax and Insurance Escrows. If there is an Event of Default resulting in a public sale of the Premises, or if Lender otherwise acquires the Premises after an Event of Default, Lender shall apply, at the time of commencement of such proceedings, or at the time the Premises is otherwise acquired, the then remaining balance in the Tax and Insurance Escrows as a credit toward any delinquent or accrued taxes and then, in such priority as Lender elects, to the other Indebtedness.