Common use of Right to Contest Clause in Contracts

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any Imposition, provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 6 contracts

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Ashford Hospitality Trust Inc), Open End Mortgage, Security Agreement, Financing Statement and Assignment of Rents (Ashford Hospitality Prime, Inc.), Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Ashford Hospitality Trust Inc)

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Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender Lender, Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 3 contracts

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Lightstone Value Plus Real Estate Investment Trust, Inc.), Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Lightstone Value Plus Real Estate Investment Trust, Inc.), Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Grubb & Ellis Co)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith other than with respect to Lender’s gross negligence or willful misconduct and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal RequirementsRequirements or the applicable Governmental Authority, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 3 contracts

Samples: Agreement of Consolidation and Modification of Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Morgans Hotel Group Co.), Agreement of Consolidation and Modification of Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Morgans Hotel Group Co.), Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Morgans Hotel Group Co.)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject any of the Property Projects or any portion thereof to any lien or affect the priority of the lien of this Security Instrumentany Mortgage, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security InstrumentAgreement and the Mortgages, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not materially and adversely affect the ownership, use or occupancy of any of the PropertyProjects, (f) none of the Property Projects or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 3 contracts

Samples: Loan Agreement (Mack Cali Realty L P), Loan Agreement (Mack Cali Realty Corp), Loan Agreement (Mack Cali Realty Corp)

Right to Contest. Borrower shall have the right, after prior notice to LenderTenant, at its sole expense, after notice to contest Landlord, may contest, by appropriate legal proceedings prosecuted diligently conducted and in good faith, the validity or applicability of any Applicable Laws, provided that: (a) Landlord will not be subject to civil or criminal penalty or to prosecution for a crime, nor will the Premises or any part thereof be subject to being condemned or vacated, by reason of non-compliance or otherwise by reason of such contest; (b) if an adverse decision in such proceeding or the failure to pay any judgment resulting from such adverse decision could result in the imposition of any lien against the Premises, then before the commencement of such contest, Tenant will furnish to Landlord the bond of a surety company reasonably satisfactory to Landlord, or other deposit or security in each case in form, substance and amount reasonably satisfactory to Landlord, and will indemnify Landlord against the cost of such compliance and liability resulting from or incurred in connection with such contest or non-compliance (including the costs and expenses in connection with such contest; (c) Tenant will keep Landlord regularly advised as to the status of such proceedings; (d) such contest will be prosecuted with diligence and in good faith to final adjudication, settlement, compliance or other disposition of the Applicable Laws so contested; (e) such contest, and any disposition thereof (including, without limitation, the cost of complying therewith and paying all interest, penalties, fines, liabilities, fees and expenses in connection therewith), will be at the sole cost of and will be paid by Xxxxxx; (f) promptly after disposition of the contest, Tenant will comply with such Applicable Laws to the extent determined by such contest; and (g ) Tenant will comply with any Applicable Laws in accordance with the applicable provisions of this Lease if the Premises, or expense part thereof, will be in danger of being forfeited or if Landlord is in danger of being subject to Lender criminal liability or penalty, or civil liability, in connection with such contest. Landlord will be deemed subject to prosecution for a crime if Landlord or any of its respective officers, directors, partners, shareholders, agents, employees, officers or directors, the validity, amount or application employees is charged with a crime of any Imposition, provided that (a) no Event of Default shall exist during kind whatever unless such proceedings and charge is withdrawn ten Business Days before such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property party is required to plead or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lenderanswer thereto.

Appears in 3 contracts

Samples: Deed of Lease, Deed of Lease, Deed of Lease

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 3 contracts

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Grubb & Ellis Co), Open End Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Grubb & Ellis Co), Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (CNL Hotels & Resorts, Inc.)

Right to Contest. Borrower shall have the right, after prior notice to LenderTenant, at its sole expense, after notice to contest Landlord, may contest, by appropriate legal proceedings prosecuted diligently conducted and in good faith, the validity or applicability of any Applicable Laws, provided that: (a) Landlord shall not be subject to civil or criminal penalty or to prosecution for a crime, nor shall the Premises or any part thereof be subject to being condemned or vacated, by reason of non-compliance or otherwise by reason of such contest; (b) if an adverse decision in such proceeding or the failure to pay any judgment resulting from such adverse decision could result in the imposition of any lien against the Premises, then before the commencement of such contest, Tenant shall furnish to Landlord the bond of a surety company reasonably satisfactory to Landlord, or other deposit or security in each case in form, substance and amount reasonably satisfactory to Landlord, and shall indemnify Landlord against the cost of such compliance and liability resulting from or incurred in connection with such contest or non-compliance (including the costs and expenses in connection with such contest; (c) Tenant shall keep Landlord regularly advised as to the status of such proceedings; (d) such contest shall be prosecuted with diligence and in good faith to final adjudication, settlement, compliance or other disposition of the Applicable Laws so contested; such contest, and any disposition thereof (including, without limitation, the cost of complying therewith and paying all interest, penalties, fines, liabilities, fees and expenses in connection therewith), shall be at the sole cost of and shall be paid by Tenant; (e) promptly after disposition of the contest, Tenant shall comply with such Applicable Laws to the extent determined by such contest; and (f) notwithstanding any bond, deposit or expense other security furnished to Lender Landlord, Tenant shall comply with any Applicable Laws in accordance with the applicable provisions of this Lease if the Premises, or part thereof, shall be in danger of being forfeited or if Landlord is in danger of being subject to criminal liability or penalty, or civil liability, in connection with such contest. Landlord shall be deemed subject to prosecution for a crime if Landlord or any of its agentsrespective officers, employees, officers or directors, the validitypartners, amount shareholders, agents or application employees is charged with a crime of any Imposition, provided that kind whatever unless such charge is withdrawn ten (a10) no Event of Default shall exist during days before such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property party is required to plead or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lenderanswer thereto.

Appears in 3 contracts

Samples: Ground Lease, Ground Lease, Ground Lease

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerXxxxxxxx, (g) Borrower has given Lender notice of the commencement of such contest and upon request by LenderXxxxxx, from time to time, notice of the status of such contest by Borrower Xxxxxxxx and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 3 contracts

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Parkway Properties Inc), Loan Agreement (U Haul International Inc), Borrowing Agreement (U Haul International Inc)

Right to Contest. Borrower Lessee shall upon written request provide Lessor with evidence reasonably satisfactory to Lessor that taxes and assessments have been timely paid by Lessee. In the rightevent Lessor receives a tax xxxx, after prior notice Lessor shall use commercially reasonable efforts to Lenderforward said xxxx to Lessee within fifteen (15) days of Lessor’s receipt thereof. Lessee may, at its sole own expense, contest or cause to contest be contested by appropriate legal proceedings diligently conducted in good faithfaith and with due diligence, any above-described item or lien with respect thereto, including, without cost or expense to Lender or any of its agents, employees, officers or directorslimitation, the validity, amount or application validity or application, in whole or in part, of any Impositionsuch item, provided that (ai) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject neither the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or nor any interest therein shall not would be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, proceedings; (gii) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default existshas occurred and is continuing; (iii) if and to the extent required by the applicable taxing authority, disburse Lessee posts a bond or takes other steps acceptable to Borrower any sums held such taxing authority that removes such lien or stays enforcement thereof; and (iv) if requested by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Lessor, Lessee shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver promptly provide Lessor with copies of all notices received or delivered by Lessee and bills relating filings made by Lessee in connection with such proceeding. Lessor shall at the request of Lessee, execute or join in the execution of any instruments or documents necessary in connection with such contest or proceedings, but Lessor shall incur no cost or obligation thereby. Lessor and Lessee will cooperate in good-faith basis in the response to any Imposition informational requests, resolution of any tax audits or other charge covered by this Article IV similar tax matters, and will do so in a timely manner so as to Lenderavoid any disruption of the business located on the Property.

Appears in 3 contracts

Samples: Lease Agreement (Four Corners Property Trust, Inc.), Revolving Credit and Term Loan Agreement (Four Corners Property Trust, Inc.), Lease Agreement (Four Corners Property Trust, Inc.)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender Lender, Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith other than with respect to Lender’s gross negligence or willful misconduct and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal RequirementsRequirements or the applicable Governmental Authority, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 2 contracts

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Morgans Hotel Group Co.), Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Morgans Hotel Group Co.)

Right to Contest. Borrower shall have the right, after prior notice to LenderTenant, at its sole expense, after notice to contest Landlord, may contest, by appropriate legal proceedings prosecuted diligently conducted and in good faith, the validity or applicability of any Applicable Laws, provided that: (a) Landlord shall not be subject to civil or criminal penalty or to prosecution for a crime, nor shall the Premises or any part thereof be subject to being condemned or vacated, by reason of non-compliance or otherwise by reason of such contest; (b) if an adverse decision in such proceeding or the failure to pay any judgment resulting from such adverse decision could result in the imposition of any lien against the Premises, then before the commencement of such contest, Tenant shall furnish to Landlord the bond of a surety company reasonably satisfactory to Landlord, or other deposit or security in each case in form, substance and amount reasonably satisfactory to Landlord, and shall indemnify Landlord against the cost of such compliance and liability resulting from or incurred in connection with such contest or non-compliance (including the costs and expenses in connection with such contest; (c) Tenant shall keep Landlord regularly advised as to the status of such proceedings; (d) such contest shall‌ be prosecuted with diligence and in good faith to final adjudication, settlement, compliance or other disposition of the Applicable Laws so contested; (e) such contest, and any disposition thereof (including, without limitation, the cost of complying therewith and paying all interest, penalties, fines, liabilities, fees and expenses in connection therewith), shall be at the sole cost of and shall be paid by Tenant; (1) promptly after disposition of the contest, Tenant shall comply with such Applicable Laws to the extent determined by such contest; and (f) Tenant shall comply with any Applicable Laws in accordance with the applicable provisions of this Lease if the Premises, or expense part thereof, shall be in danger of being forfeited or if Landlord is in danger of being subject to Lender criminal liability or penalty, or civil liability, in connection with such contest. Landlord shall be deemed subject to prosecution for a crime if Landlord or any of its agentsrespective officers, employees, officers or directors, the validitypartners, amount shareholders, agents or application employees is charged with a crime of any Imposition, provided that kind whatever unless such charge is withdrawn ten (a10) no Event of Default shall exist during Business Days before such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property party is required to plead or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lenderanswer thereto.

Appears in 2 contracts

Samples: Deed of Lease, Comprehensive Agreement

Right to Contest. Borrower Mortgagor shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Mortgagor shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Mortgagor first pays the Imposition or charge), (d) prior to and during such contest, Borrower Mortgagor shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerMortgagor, (g) Borrower Mortgagor has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower Mortgagor and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower Mortgagor shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Mortgagor shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Mortgagor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 2 contracts

Samples: Mortgage and Security Agreement (Lightstone Value Plus Real Estate Investment Trust, Inc.), Mortgage and Security Agreement (Lightstone Value Plus Real Estate Investment Trust, Inc.)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01, provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender Lender, Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 2 contracts

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Pebblebrook Hotel Trust), Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Pebblebrook Hotel Trust)

Right to Contest. Borrower (a) Tenant may, if it shall have so desire, protest or contest the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost validity or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any Imposition, provided in whole or in part, without paying at the time of such protest or contest such Imposition; provided, however, that (a) no Event of Default shall exist during such proceedings and such contest shall if Tenant has not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure elected to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, Imposition: (ci) the same is done by Tenant upon prior written notice to Landlord, at Tenant’s sole cost and expense and with due diligence and continuity so as to resolve such protest or contest suspends enforcement promptly; (ii) neither the Demised Premises nor the Common Elements, nor any part thereof is or will be in imminent danger of the Imposition being forfeited or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury lost by reason of such protest or contest; (iii) Tenant shall either bond such Imposition or deposit with Landlord, or provide Landlord with, security in an amount and in form and substance reasonably satisfactory to Landlord (it being agreed that an acceptable guaranty of an Acceptable Guarantor shall be security reasonably satisfactory to Landlord under this Section 4.3(a)(iii)) for application toward the cost of curing or removing the same from record and to secure Landlord against any loss or damage arising out of such protest or contest or the deferral of Tenant’s performance or compliance; (iv) if an in rem action with respect to the non-payment of such Imposition has been commenced or charge (and if such security any writ or order is cashissued under which the Demised Premises and/or the Common Elements, Lender or any part thereof, may deposit be sold or forfeited, Tenant shall thereafter diligently proceed to cure or remove the same from record or take such other actions in lieu thereof as are legally permissible to toll or enjoin any such action, sale or forfeiture; (v) such protest or contest shall not subject Landlord to prosecution for a criminal offense or a claim for civil liability (it being agreed that assessment of the Imposition, together with interest and penalties thereon, shall not be deemed civil liability for the purpose of this clause); (vi) Tenant agrees in writing to indemnify Landlord from and against any and all Claims upon or arising out of such protest or contest; and (vii) no Event of Default shall have occurred and be continuing. (b) If Tenant receives any notice that Tenant or the Demised Premises and/or the Common Elements, or any part thereof, is in default under or is not in compliance with any of the foregoing Sections 4.3(a)(i) through 4.3(a)(vii) hereof, or notice of any proceeding initiated under or with respect to any of the foregoing Sections 4.3(a)(i) through 4.3(a)(vii) hereof, Tenant will promptly furnish a copy of such notice to Landlord. Nothing herein contained, however, shall be so construed as to allow such Imposition to remain unpaid for such length of time as shall permit the Demised Premises and/or the Common Elements, or any part thereof, to be sold by any Governmental Authority for the non-payment of the same, and, if at any time in the judgment of Landlord, reasonably exercised, it shall become necessary or proper to do so, Landlord, after not less than twenty (20) Business Days’ written notice to Tenant (unless such sale is scheduled prior to the expiration of any shorter period), may pay or apply the moneys deposited in accordance with this Section 4.3 or so much thereof as may be required to the payment of the challenged Imposition to prevent the sale of the Demised Premises and/or the Common Elements or any part thereof. If the amount so deposited as aforesaid shall exceed the amount required to satisfy the challenged Imposition as finally fixed and determined, the excess (or the entire amount if no such payment is required) shall be paid to Tenant, or in case there shall be any deficiency, the amount of such deficiency shall be forthwith paid by Tenant. Promptly following resolution of the contest and payment by Tenant of any amounts due, Landlord shall refund to Tenant any monies so deposited and not applied to payment of the Imposition. Any moneys so deposited shall be held in an interest-bearing account at a Lending Institution, and any interest accrued earned thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrumentrefunded, but Lender applied or paid in the same manner as the amount deposited is refunded, applied or paid in accordance with the immediately preceding two (i2) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and sentences. (iic) Landlord shall not be deemed required to join in any action or proceeding referred to in this Section 4.3 unless required by any Legal Requirement in order to make such action or proceeding effective, in which event any such action or proceeding may be a trustee pursued by Tenant (upon prior written notice to Landlord) in the name of, but without expense to, Landlord. Tenant hereby agrees to indemnify Landlord from and against any and all Claims incurred or fiduciary with respect to suffered by Landlord in its receipt proprietary capacity and arising out of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use action or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) proceeding. The provisions of this Section 4.04, and (h4.3(c) upon a final determination of such contest, Borrower shall promptly comply with survive the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) expiration or earlier termination of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderLease.

Appears in 2 contracts

Samples: Sublease Agreement (New York Times Co), Sublease Agreement (New York Times Co)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Event of Default ofDefault shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security InstrumentInstrument or the Mortgage, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, if requested by Lender Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any imminent danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender. Notwithstanding the foregoing, provided that (i) no Event of Default exists, (ii) the State Street Lease is in full force and effect and (iii) the tenant under the State Street Lease is contesting any Imposition in accordance with the terms of the State Street Lease, Borrower shall not be required to comply with the provisions of this Section 4.04. Notwithstanding the foregoing, provided that no Event of Default exists, Borrower may bring a tax certiorari proceeding to the extent and in accordance with all Legal Requirements.

Appears in 1 contract

Samples: Loan and Security Agreement (Etre Reit, LLC)

Right to Contest. Borrower Mortgagor shall have the right, after prior notice to LenderMortgagee, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender Mortgagee or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Mortgagor shall comply with clause (d) of this Section 4.04) subject the Mortgaged Property or any portion thereof to any lien or affect the priority of the lien of this Security InstrumentMortgage, (b) failure to pay such Imposition or charge will not subject Lender Mortgagee or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Mortgagor first pays the Imposition or charge), (d) prior to and during such contest, Borrower Mortgagor shall furnish to Lender Mortgagee security satisfactory to LenderMortgagee, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender Mortgagee may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security InstrumentMortgage, but Lender Mortgagee (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of LenderMortgagee), (e) such contest shall not affect the ownership, use or occupancy of the Mortgaged Property, (f) the Mortgaged Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerMortgagor, (g) Borrower Mortgagor has given Lender Mortgagee notice of the commencement of such contest and upon request by LenderMortgagee, from time to time, notice of the status of such contest by Borrower Mortgagor and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower Mortgagor shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Mortgagor shall immediately pay the amount due, if any, and deliver to Lender Mortgagee proof of the completion of the contest and payment of the amount due, if any, following which Lender which, Mortgagee shall return the security, if any, deposited with Lender Mortgagee pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Mortgagor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of LenderMortgagee, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderMortgagee.

Appears in 1 contract

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Mills Corp)

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Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) unless Borrower first pays the Imposition or charge or the Basic Carrying Costs Escrow Account has or will have funds sufficient to pay the same, plus any interest and penalties as may accrue in connection therewith, if requested by Lender, Borrower shall, prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may shall deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any imminent danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 1 contract

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Behringer Harvard Reit I Inc)

Right to Contest. Borrower shall have the right, after prior notice to LenderTenant, at its sole expense, after notice to contest Landlord, may contest, by appropriate legal proceedings prosecuted diligently conducted and in good faith, without cost the validity or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application applicability of any ImpositionApplicable Laws, provided that that: (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge Landlord will not be subject Lender or any of its agents, employees, officers or directors to any civil or criminal liabilitypenalty or to prosecution for a crime, (c) nor will the contest suspends enforcement Premises or any part of the Imposition Premises, be subject to being condemned or charge (unless Borrower first pays the Imposition vacated, by reason of non-compliance or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury otherwise by reason of such contest contest; (b) If an adverse decision in such proceeding or the non-payment of failure to pay any judgment resulting from such Imposition or charge (and if such security is cash, Lender may deposit adverse decision could result in the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt imposition of any such security and any such security may be commingled with other monies of Lender)lien against the Premises, (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of then before the commencement of such contest, Tenant will furnish to Landlord the bond of a surety company, or other deposit or security, reasonably satisfactory to Landlord, and will indemnify Landlord against any cost or liability resulting from or incurred in connection with Tenant’s contest or non-compliance (including all related costs and upon request by Lender, from time expenses); (c) Tenant will keep Landlord regularly advised as to time, notice of the status of such proceedings; (d) Such contest will be prosecuted with diligence and in good faith to final adjudication, settlement, compliance, or other disposition; such contest, and any disposition thereof (including, without limitation, the cost of all interest, penalties, fines, liabilities, fees, and expenses in connection therewith), will be at the sole cost of and will be paid by Borrower and/or confirmation Tenant; (e) Promptly after disposition of the continuing satisfaction of clauses (a) through contest, Xxxxxx will comply with such Applicable Laws to the extent determined by such contest; and (f) Notwithstanding any bond, deposit, or other security furnished to Landlord, Tenant will comply with all Applicable Laws in accordance with the applicable provisions of this Section 4.04Lease if the Premises, and (h) upon a final determination or part of the Lease Property, will be in danger of being forfeited or if Landlord is in danger of being subject to criminal liability or penalty, or civil liability, in connection with such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 1 contract

Samples: Lease

Right to Contest. Borrower (a) Tenant may, if it shall have so desire, protest or contest the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost validity or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any Imposition, provided in whole or in part, without paying at the time of such protest or contest such Imposition; PROVIDED, HOWEVER, that (a) no Event of Default shall exist during such proceedings and such contest shall if Tenant has not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure elected to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, Imposition: (ci) the same is done by Tenant upon prior written notice to Landlord, at Tenant's sole cost and expense and with due diligence and continuity so as to resolve such protest or contest suspends enforcement promptly; (ii) neither the Property nor any part thereof is or will be in imminent danger of the Imposition being forfeited or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury lost by reason of such protest or contest; (iii) Tenant shall either bond such Imposition or deposit with Landlord, or provide Landlord with, security in an amount and in form and substance reasonably satisfactory to Landlord (it being agreed that an acceptable guaranty of an Acceptable Guarantor shall be security reasonably satisfactory to Landlord under this SECTION 4.3(a)(iii)) for application toward the cost of curing or removing the same from record and to secure Landlord against any loss or damage arising out of such protest or contest or the deferral of Tenant's performance or compliance; (iv) if an in rem action with respect to the non-payment of such Imposition has been commenced or charge (and if such security any writ or order is cashissued under which the Property or any part thereof may be sold or forfeited, Lender may deposit Tenant shall thereafter diligently proceed to cure or remove the same from record or take such other actions in lieu thereof as are legally permissible to toll or enjoin any such action, sale or forfeiture; (v) such protest or contest shall not subject Landlord to prosecution for a criminal offense or a claim for civil liability (it being agreed that assessment of the Imposition, together with interest and penalties thereon, shall not be deemed civil liability for the purpose of this clause); (vi) Tenant agrees in writing to indemnify Landlord from and against any and all Claims upon or arising out of such protest or contest; and (vii) no Event of Default shall have occurred and be continuing. (b) If Tenant receives any notice that Tenant or the Property, or any part thereof, is in default under or is not in compliance with any of the foregoing SECTIONS 4.3(a)(i) through 4.3(a)(vi) hereof, or notice of any proceeding initiated under or with respect to any of the foregoing SECTIONS 4.3(a)(i) through 43(a)(vi) hereof, Tenant will promptly furnish a copy of such notice to Landlord. Nothing herein contained, however, shall be so construed as to allow such Imposition to remain unpaid for such length of time as shall permit the Property, or any part thereof, to be sold by any Governmental Authority for the non-payment of the same, and, if at any time in the judgment of Landlord, reasonably exercised, it shall become necessary or proper to do so, Landlord, after not less than twenty (20) Business Days' written notice to Tenant (unless such sale is scheduled prior to the expiration of any shorter period), may pay or apply the moneys deposited in accordance with this SECTION 4.3 or so much thereof as may be required to the payment of the challenged Imposition to prevent the sale of the Property or any part thereof. If the amount so deposited as aforesaid shall exceed the amount required to satisfy the challenged Imposition as finally fixed and determined, the excess (or the entire amount if no such payment is required) shall be paid to Tenant, or in case there shall be any deficiency, the amount of such deficiency shall be forthwith paid by Tenant. Promptly following resolution of the contest and payment by Tenant of any amounts due, Landlord shall refund to Tenant any monies so deposited and not applied to payment of the Imposition. Any moneys so deposited shall be held in an interest-bearing account at a Lending Institution, and any interest accrued earned thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrumentrefunded, but Lender applied or paid in the same manner as the amount deposited is refunded, applied or paid in accordance with the immediately preceding two (i2) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and sentences. (iic) Landlord shall not be deemed required to join in any action or proceeding referred to in this SECTION 4.3 unless required by any Legal Requirement in order to make such action or proceeding effective, in which event any such action or proceeding may be a trustee pursued by Tenant (upon prior written notice to Landlord) in the name of, but without expense to, Landlord. Tenant hereby agrees to indemnify Landlord from and against any and all Claims incurred or fiduciary with respect to suffered by Landlord in its receipt proprietary capacity and arising out of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use action or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) proceeding. The provisions of this Section 4.04, and (hSECTION 4.3(c) upon a final determination of such contest, Borrower shall promptly comply with survive the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) expiration or earlier termination of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderLease.

Appears in 1 contract

Samples: Lease Agreement (New York Times Co)

Right to Contest. Borrower Mortgagor shall have the right, after prior notice to LenderMortgagee, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender Mortgagee or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Mortgagor shall comply with clause (d) of this Section 4.04) subject the Mortgaged Property or any portion thereof to any lien or affect the priority of the lien of this Security InstrumentMortgage, (b) failure to pay such Imposition or charge will not subject Lender Mortgagee or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Mxxxxxxxx first pays the Imposition or charge), (d) prior to and during such contest, Borrower Mortgagor shall furnish to Lender Mortgagee security satisfactory to LenderMortgagee, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender Mortgagee may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security InstrumentMortgage, but Lender Mortgagee (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of LenderMortgagee), (e) such contest shall not affect the ownership, use or occupancy of the Mortgaged Property, (f) the Mortgaged Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerMxxxxxxxx, (g) Borrower Mortgagor has given Lender Mortgagee notice of the commencement of such contest and upon request by LenderMortgagee, from time to time, notice of the status of such contest by Borrower Mxxxxxxxx and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower Mortgagor shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Mxxxxxxxx shall immediately pay the amount due, if any, and deliver to Lender Mortgagee proof of the completion of the contest and payment of the amount due, if any, following which Lender which, Mortgagee shall return the security, if any, deposited with Lender Mortgagee pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Mortgagor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of LenderMortgagee, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderMortgagee.

Appears in 1 contract

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (Motels of America Inc)

Right to Contest. Borrower Grantor shall have the right, after prior notice to LenderBeneficiary, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender Beneficiary or Deed Trustee or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Grantor shall comply with clause (d) of this Section 4.04) subject the Trust Property or any portion thereof to any lien or affect the priority of the lien of this Security InstrumentDeed of Trust, (b) failure to pay such Imposition or charge will not subject Lender Beneficiary or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Grantor first pays the Imposition or charge), (d) prior to and during such contest, Borrower Grantor shall furnish to Lender Beneficiary security satisfactory to LenderBeneficiary, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender Beneficiary may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security InstrumentDeed of Trust, but Lender Beneficiary (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of LenderBeneficiary), (e) such contest shall not affect the ownership, use or occupancy of the Trust Property, (f) the Trust Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerGrantor, (g) Borrower Grantor has given Lender Beneficiary notice of the commencement of such contest and upon request by LenderBeneficiary, from time to time, notice of the status of such contest by Borrower Grantor and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower Grantor shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Grantor shall immediately pay the amount due, if any, and deliver to Lender Beneficiary proof of the completion of the contest and payment of the amount due, if any, following which Lender which, Beneficiary shall return the security, if any, deposited with Lender Beneficiary pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Grantor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of LenderBeneficiary, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderBeneficiary.

Appears in 1 contract

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Host Funding Inc)

Right to Contest. Borrower (A) Notwithstanding the provisions of Section 7.14(b)(i) hereof, the Loan Parties shall have the right, after prior notice to Lender, at its their sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender the Lenders or the Administrative Agent, the Syndication Agent or any of its or their agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition on or in respect of any Property other than any Property on which a Borrower or any of its Subsidiaries has granted a Lien or Liens to or for the benefit of the Lenders to secure repayment of any part of the Obligations; provided, provided however, that the prosecution of any such contest would not be likely to result in a Material Adverse Effect. (aB) Notwithstanding the provisions of Section 7.14(b)(i) hereof, the Loan Parties shall have the right, at their sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to the Lenders or the Administrative Agent, the Syndication Agent or any of its or their agents, employees, officers or directors, the validity, amount or application of any Imposition on or in respect of any Property on which a Borrower or any of its Subsidiaries has granted a Lien or Liens to or for the benefit of the Lenders to secure repayment of any part of the Obligations; provided, however, that: (1) no Default or Event of Default shall exist have occurred and be continuing during such proceedings and the failure to pay such Imposition shall not otherwise violate the terms of the Facility Documents; (2) such contest shall and/or the failure to pay such Imposition will not (unless Borrower shall comply with clause (d) of this Section 4.04I) subject the Lenders, the Administrative Agent, the Syndication Agent or any of its or their agents, employees, officers or directors, to any criminal or material civil liability or (II) subject any Property or any portion thereof to any lien Lien or affect the priority of the lien of this Security Instrument, (bII) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not materially adversely affect the ownership, use or occupancy of any Property or (III) adversely affect the Property, priority of any Lien securing the Loans or any guaranty thereof; (f3) such contest suspends enforcement of the Imposition and such contest is maintained and prosecuted diligently; (4) the applicable Property or any part thereof or any interest therein shall will not be in any imminent danger of being sold, forfeited or lost by reason of such contest by Borrowercontest; (5) the Loan Parties shall apprise the Administrative Agent fully, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lenderthe Administrative Agent, from time to time, by written notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of the foregoing clauses (a) through (f) of this Section 4.04, and 7.14(b)(ii)(B); and (h6) upon a final determination of such contest, Borrower the Loan Parties shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower the Loan Parties shall immediately pay pay, or cause to be paid, the amount due, if any, and deliver to Lender the Administrative Agent, proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 1 contract

Samples: Revolving Credit and Guaranty Agreement (Cornerstone Properties Inc)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01, provided that (a) no Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender Lender, Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.. 62

Appears in 1 contract

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Pebblebrook Hotel Trust)

Right to Contest. Borrower Grantor shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Grantor shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender or any of its agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Grantor first pays the Imposition or charge), (d) prior to and during such contest, Borrower Grantor shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerGrantor, (g) Borrower Grantor has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower Grantor and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower Grantor shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Grantor shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Grantor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 1 contract

Samples: Mortgage, Security Agreement, Assignment of Rents and Fixture Filing (RLJ Lodging Trust)

Right to Contest. Borrower Grantor shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender Beneficiary or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no Default or Event of Default shall exist during such proceedings and such contest shall not (unless Borrower Grantor shall comply with clause (d) of this Section 4.04) subject the Trust Property or any portion thereof to any lien or affect the priority of the lien of this Security InstrumentDeed of Trust, (b) failure to pay such Imposition or charge will not subject Lender Beneficiary, Deed Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower Grantor first pays the Imposition or charge), (d) such contest shall not affect the ownership, use or occupancy of the Trust Property, (e) the Trust Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Grantor, (f) upon a final determination of such contest, Grantor shall promptly comply with the requirements thereof and (g) in the event that the amount of the Imposition or charge being contested is in excess of $50,000, (i) Grantor has given Beneficiary prompt notice of the commencement of such contest and upon request by Beneficiary, from time to time, notice of the status of such contest by Grantor and/or confirmation of the continuing satisfaction of clauses (a) through (e) of this Section 4.04, and (ii) prior to and during such contest, Borrower Grantor shall furnish to Lender Beneficiary security satisfactory to LenderBeneficiary, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender Beneficiary may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security InstrumentDeed of Trust, but Lender Beneficiary (iA) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (iiB) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of LenderBeneficiary), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by Borrower, (g) Borrower has given Lender notice of the commencement of such contest and upon request by Lender, from time to time, notice of the status of such contest by Borrower and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower Grantor shall immediately pay the amount due, if any, and deliver to Lender Beneficiary proof of the completion of the contest and payment of the amount due, if any, following which Lender which, Beneficiary shall return the security, if any, deposited with Lender Beneficiary pursuant to clause (dg)(ii) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower Grantor shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of LenderBeneficiary, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to LenderBeneficiary.

Appears in 1 contract

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Prime Retail Inc)

Right to Contest. Borrower shall have the right, after prior notice to Lender, at its sole expense, to contest by appropriate legal proceedings diligently conducted in good faith, without cost or expense to Lender or any of its agents, employees, officers or directors, the validity, amount or application of any ImpositionImposition or any charge described in Section 4.01(b), provided that (a) no continuing Event of Default shall exist during such proceedings and such contest shall not (unless Borrower shall comply with clause (d) of this Section 4.04) subject the Property or any portion thereof to any lien or affect the priority of the lien of this Security Instrument, (b) failure to pay such Imposition or charge will not subject Lender Lender, Trustee or any of its their agents, employees, officers or directors to any civil or criminal liability, (c) the contest suspends enforcement of the Imposition or charge (unless Borrower first pays the Imposition or charge), (d) prior to and during such contest, Borrower shall furnish to Lender security satisfactory to Lender, in its reasonable discretion, against loss or injury by reason of such contest or the non-payment of such Imposition or charge (and if such security is cash, Lender may deposit the same in an interest-bearing account and interest accrued thereon, if any, shall be deemed to constitute a part of such security for purposes of this Security Instrument, but Lender (i) makes no representation or warranty as to the rate or amount of interest, if any, which may accrue thereon and shall have no liability in connection therewith and (ii) shall not be deemed to be a trustee or fiduciary with respect to its receipt of any such security and any such security may be commingled with other monies of Lender), (e) such contest shall not affect the ownership, use or occupancy of the Property, (f) the Property or any part thereof or any interest therein shall not be in any danger of being sold, forfeited or lost by reason of such contest by BorrowerXxxxxxxx, (g) Borrower has given Lender notice of the commencement of such contest and upon request by LenderXxxxxx, from time to time, notice of the status of such contest by Borrower Xxxxxxxx and/or confirmation of the continuing satisfaction of clauses (a) through (f) of this Section 4.04, and (h) upon a final determination of such contest, Borrower shall promptly comply with the requirements thereof. Upon completion of any contest, Borrower shall immediately pay the amount due, if any, and deliver to Lender proof of the completion of the contest and payment of the amount due, if any, following which Lender shall return the security, if any, deposited with Lender pursuant to clause (d) of this Section 4.04, provided that Lender shall, so long as no Event of Default exists, disburse to Borrower any sums held by Lender pursuant to clause (d) hereof to pay any contested Impositions. Borrower shall not pay any Imposition in installments unless permitted by applicable Legal Requirements, and shall, upon the request of Lender, deliver copies of all notices and bills relating to any Imposition or other charge covered by this Article IV to Lender.

Appears in 1 contract

Samples: Deed of Trust, Security Agreement, Assignment of Rents and Fixture Filing (Maguire Properties Inc)

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