Right to Contest Liens. Borrower, at its own expense, may contest the amount, validity or application, in whole or in part, of any mechanic's, materialmen's or environmental liens in which event Lender will refrain from exercising any of the Remedies, provided that the following conditions are met:
(i) Borrower delivers to Lender notice of the proposed contest not more than 30 days after the lien is filed;
(ii) the contest is by a Proceeding promptly initiated and conducted in good faith and with due diligence;
(iii) there is no Event of Default other than the Event of Default arising from the filing of the lien;
(iv) the Proceeding suspends enforcement of collection of the lien, imposition of criminal or civil penalties and sale or forfeiture of the Property and Lender will not be subject to any civil suit;
(v) the Proceeding is permitted under and is conducted in accordance with the Leases and the Property Documents;
(vi) Borrower sets aside reserves or furnishes a bond or other security satisfactory to Lender, in either case in an amount sufficient to pay the claim giving rise to the lien, together with all interest and penalties, or Borrower pays the contested lien under protest; and
(vii) With respect to an environmental lien, Borrower is using best efforts to mitigate or prevent any deterioration of the Property resulting from the alleged violation of any Environmental Laws or the alleged Environmental Activity.
Right to Contest Liens. Grantor, at its own expense, may contest the amount, validity or application, in whole or in part, of any mechanic's, materialmen's or environmental liens in which event Lender will refrain from exercising any of the Remedies, provided that the following conditions are met:
(i) Grantor delivers to Lender notice of the proposed contest not more than 30 days after the lien is filed;
(ii) the contest is by a Proceeding promptly initiated and conducted in good faith and with due diligence;
(iii) there is no Event of Default other than the Event of Default arising from the filing of the lien;
(iv) the Proceeding suspends enforcement of collection of the lien, imposition of criminal or civil penalties and sale or forfeiture of the Property and Lender will not be subject to any civil suit;
(v) the Proceeding is permitted under and is conducted in accordance with the Leases and the Property Document;
(vi) Grantor furnishes a bond or other security satisfactory to Lender, in either case in an amount sufficient to pay the claim giving rise to the lien, together with all interest and penalties, and secures an endorsement to Lender's policy of title insurance insuring against sale of the Property by the lienor to collect its lien, or Grantor pays the contested lien under protest; and
(vii) with respect to an environmental lien, Grantor is using best efforts to mitigate or prevent any deterioration of the Property resulting from the alleged violation of any Environmental Laws or the alleged Environmental Activity.
Right to Contest Liens. Landlord and Tenant shall each have the independent right to contest in good faith and by appropriate legal proceedings the validity or amount of any mechanics', laborers', materialmen's, suppliers' or vendors' lien or claimed lien; provided that the party contesting such claim shall utilize all reasonable means (including the posting of adequate security for payment) to protect the Premises and the Hotel and any part thereof or improvements thereon against foreclosure, and shall indemnify and hold harmless the other party from any adverse effects resulting from such lien.
Right to Contest Liens. Lessee shall have the right to contest, in good faith, the amount or validity of any lien of the nature described in Section 17.1 above, provided that Lessee shall give Lessor written notice of Lessee's intention to do so within ten (10) days after the recording of such lien, and provided further, that Lessee shall, at its expense, defend itself and Lessor against the same and shall pay and satisfy any adverse judgment that may be rendered thereon before the enforcement thereof against the Premises.
Right to Contest Liens. Lessee shall have the right to contest, in good faith, the amount or validity of any Lien, provided that, before doing so, Lessee shall give Lessor written notice of Lessee’s intention to do so within thirty (30) days after the recording of such Lien and provided further that Lessee shall, at its expense, defend itself and Lessor against such Lien and shall pay and satisfy any adverse judgment that may be rendered concerning such Lien before that judgment is enforced against the Premises. In addition, at the request of Lessor, Lessee shall either (a) procure and record the bond provided for in Section 3143 of the California Civil Code, or in any comparable statute hereafter enacted providing for a bond freeing the Premises from the effect of such Lien; or, (b) at Lessee’s election, cause such Lien to be insured over for the benefit of Lessor; or (c) post alternative security that is reasonably acceptable to Lessor. Lessee shall pay all reasonable attorneys’ fees, consultants’ fees, and other costs incurred by Lessor in connection with any such contest.
Right to Contest Liens. 35 Section 12.4. Substitution of Properties; Release of Property......................................... 36 ARTICLE XIII - ADDITIONAL REPRESENTATIONS, WARRANTIES AND COVENANTS........................................... 41 Section 13.1. Further Assurances...................................... 41 Section 13.2. Estoppel Certificates................................... 41 Section 13.3. Augmentation of the Portfolio........................... 42
Right to Contest Liens. Borrower, at its own expense, may ------------ ---------------------- contest the amount, validity or application, in whole or in part, of any mechanic's, materialmen's or environmental liens in which event Lender will refrain from exercising any of the Remedies, provided that, (a) with respect to -------- liens exceeding $100,000 the following conditions are met:
(i) Borrower delivers to Lender notice of the proposed contest not more than 30 days after the lien is filed;
(ii) the contest is by a Proceeding promptly initiated and conducted in good faith and with due diligence;
(iii) there is no Event of Default other than the Event of Default arising from the filing of the lien; and
(iv) the Proceeding is permitted under and is conducted in accordance with the Leases and the Property Documents; and (b) further provided that for all such liens the following conditions are ---------------- met:
(i) the Proceeding suspends enforcement of collection of the lien, imposition of criminal or civil penalties and sale or forfeiture of the Property and Lender will not be subject to any civil suit;
(ii) Borrower sets aside reserves or furnishes a bond or other security satisfactory to Lender, in either case in an amount sufficient to pay the claim giving rise to the lien, together with all interest and penalties, or Borrower pays the contested lien under protest; and
(iii) With respect to an environmental lien, Borrower is using best efforts to mitigate or prevent any deterioration of the Property resulting from the alleged violation of any Environmental Laws or the alleged Environmental Activity.
Right to Contest Liens. Lessee and Lessor shall have the right to contest, in good faith, the amount or validity of any Lien and Lessor’s Lien, respectively, provided that, before doing so, it shall give the other written notice of it’s intention to do so within thirty (30) days after the recording of such Lien and provided further that it shall, at its expense, defend itself and the other against such Lien and shall pay and satisfy any adverse judgment that may be rendered concerning such Lien before that judgment is enforced against the Premises. In addition, at the request of the other party, the contesting party shall procure and record the bond provided for in Section 3143 of the California Civil Code, or in any comparable statute hereafter enacted providing for a bond freeing the Premises from the effect of such Lien, or, at the contesting party’s election, shall cause such Lien to be insured over for the benefit of the other party. The contesting party shall pay all reasonable attorneys’ fees, consultants’ fees, and other costs incurred by the other party in connection with any such contest.
Right to Contest Liens. 29 ARTICLE
Right to Contest Liens. Lessee shall have the right to contest, in good faith, the amount or validity of any lien of the nature described in Section 11.1 above, provided that Lessee shall give Lessor written notice of Lessee's intention to do so within ten (10) days after the recording of such lien, and provided further, that Lessee shall, at its expense, defend itself and Lessor against the same and shall pay and satisfy any adverse judgment that may be rendered thereon before the enforcement thereof against the Property. In addition, at the request of Lessor, Lessee shall procure and record the bond as required by Applicable Law for purposes of freeing the Property from the effect of such lien or claim or action thereof. Lessee shall pay all reasonable attorneys' fees, consultants fees, travel expenses, and other costs incurred by Lessor in connection with any such contest.
