Common use of TAXES AND EXPENSES REGARDING THE COLLATERAL Clause in Contracts

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateral, in its discretion and without prior notice to Borrower, (i) make payment of the same or any part thereof; (ii) set up such reserves in Borrower's loan account as Capital deems necessary to protect Capital from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.5, and shall be secured by the Collateral. Any payments made by Capital shall not constitute: (i) an agreement by Capital to make similar payments in the future, or (ii) a waiver by Capital of any Event of Default under this Agreement. Capital need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay pay, or cause the payment of, any monies monies, except for Permitted Liens, (whether taxes, rents, assessments, insurance premiums, or otherwise) due to third persons or entitiesPersons, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital mayor the other Loan Documents, then, to the extent that it Lender determines in its sole discretion that such failure by Borrower could have a material adverse change effect on Capital's Lender’s interests in any part of the Collateral, in its discretion and without prior notice to Borrower, Lender may do any or all of the following: (ia) make payment of the same or any part thereof; (iib) set up such reserves in Borrower's ’s loan account as Capital Lender deems necessary to protect Capital Lender from the exposure created by such failure; or (iiic) bothobtain and maintain insurance policies of the type described in Section 6.12, and take any action with respect to such policies as Lender deems prudent. Any such amounts paid or deposited by Capital Lender shall constitute Capital Lender Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.5, and shall be secured by the Collateral. Any such payments made by Capital Lender shall not constitute: (i) constitute an agreement by Capital Lender to make similar payments in the future, future or (ii) a waiver by Capital Lender of any Event of Default under this Agreement. Capital Lender need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance encumbrance, or lien, lien and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay pay, or cause the payment of, any monies monies, except for Permitted Liens, (whether taxes, rents, assessments, insurance premiums, or otherwise) due to third persons or entitiesPersons, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital mayor the other Loan Documents, then, to the extent that it Lender determines in its sole discretion that such failure by Borrower could reasonably be expected to have a material adverse change effect on CapitalLender's interests in any part of the Collateral, in its discretion and without prior notice to Borrower, Lender may do any or all of the following: (ia) make payment of the same or any part thereof; (iib) set up such reserves in Borrower's loan account as Capital Lender deems necessary to protect Capital Lender from the exposure created by such failure; or (iiic) bothobtain and maintain insurance policies of the type described in Section 6.12, and take any action with respect to such policies as Lender deems prudent. Any such amounts paid or deposited by Capital Lender shall constitute Capital Lender Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.5, and shall be secured by the Collateral. Any such payments made by Capital Lender shall not constitute: (i) constitute an agreement by Capital Lender to make similar payments in the future, future or (ii) a waiver by Capital Lender of any Event of Default under this Agreement. Capital Lender need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance encumbrance, or lien, lien and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital SMB may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on CapitalSMB's interests in the Collateral, in its discretion and without with prior notice to BorrowerBorrower (unless SMB has determined, in its sole and good faith determination that the delay caused by giving notice to Borrower could have a materially adverse effect on the rights of SMB, in which case, no notice to Borrower shall be required), (i) make payment of the same or any part thereof; (ii) set up such reserves in Borrower's loan account as Capital SMB deems necessary to protect Capital SMB from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital SMB shall constitute Capital SMB Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to CapitalSMB, shall bear interest at the applicable rate set forth in Section 2.3.52.4, and shall be secured by the Collateral. Any payments made by Capital SMB shall not constitute: (i) an agreement by Capital SMB to make similar payments in the future, or (ii) a waiver by Capital SMB of any Event of Default under this Agreement. Capital SMB need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateral, in its discretion and without prior notice to Borrower, (i) make payment of the same or any part thereof; (ii) set up such reserves in Borrower's loan account as Capital deems necessary to protect Capital from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.52.5, and shall be secured by the Collateral. Any payments made by Capital shall not constitute: (i) an agreement by Capital to make similar payments in the future, or (ii) a waiver by Capital of any Event of Default under this Agreement. Capital need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital Bank may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's Bank’s interests in the Collateral, in its discretion and without upon ten (10) days prior notice to Borrower, (i) make payment of the same or any part thereof; and/or (ii) set up such reserves in Borrower's loan ’s account as Capital Bank deems necessary to protect Capital Bank from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital Bank shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account Bank Expenses and become additional Obligations owing to CapitalBank, shall bear interest at the applicable rate set forth in Section 2.3.5herein, and shall be secured by the Collateral. Any payments made by Capital Bank shall not constitute: (i) an agreement by Capital Bank to make similar payments in the future, or (ii) a waiver by Capital Bank of any Event of Default under this Agreement. Capital Bank need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital Bank may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change Material Adverse Change on Capital's Bank’s interests in the Collateral, in its discretion and without upon ten (10) days prior notice to Borrower, (i) make payment of the same or any part thereof; and/or (ii) set up such reserves in Borrower's loan ’s account as Capital Bank deems necessary to protect Capital Bank from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital Bank shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account Bank Expenses and become additional Obligations owing to CapitalBank, shall bear interest at the applicable rate set forth in Section 2.3.5herein, and shall be secured by the Collateral. Any payments made by Capital Bank shall not constitute: (i) an agreement by Capital Bank to make similar payments in the future, or (ii) a waiver by Capital Bank of any Event of Default under this Agreement. Capital Bank need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, premiums or otherwise) due to third persons or entitiesparties regarding the Collateral, or fails to make any deposits or furnish any required proof of payment or deposit, all as required or fails to perform any of Borrower's other covenants under the terms of this Agreement, then Capital may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateral, in its discretion and without prior notice to Borrower, Lender may do any or all of the following: (ia) make any payment of the same which Borrower has failed to pay or any part thereof; (iib) set up such reserves in Borrower's loan account as Capital Lender deems necessary to protect Capital Lender from the exposure created by such failure; or (iiic) both. Any amounts paid or deposited take any other action deemed necessary by Capital shall constitute Capital Expenses, shall be immediately charged Lender to Borrower's loan account preserve and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.5, protect its interests and shall be secured by the Collateralrights under this Agreement. Any payments made by Capital Lender shall not constitute: (i) constitute an agreement by Capital Lender to make similar payments in the future, future or (ii) a waiver by Capital Lender of any Event of Default under this Agreement. Capital Lender need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, lien and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateral, in its discretion and without prior notice to Borrower, (i) make payment of the same or 140 any part thereof; (ii) set up such reserves in Borrower's loan account as Capital deems necessary to protect Capital from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.52.5, and shall be secured by the Collateral. Any payments made by Capital shall not constitute: (i) an agreement by Capital to make similar payments in the future, or (ii) a waiver by Capital of any Event of Default under this Agreement. Capital need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. 14.1 If Borrower fails to pay promptly when due to any other Person, monies which Borrower is required to pay by reason of any provision in this Agreement in accordance with the provisions of this Agreement (whether taxesincluding without limitation for any tax, assessments, insurance premiumsexpense or with respect to any Lien), or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all promptly contest same by proper proceedings diligently pursued and establish adequate reserves therefor as required under by the terms of this Agreement, then Capital Lender may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateralbut need not, in its discretion and without prior notice to Borrower, (i) make payment of pay the same or after any part thereof; (ii) set up such reserves in notice required hereunder and charge Borrower's loan account as Capital deems necessary to protect Capital from the exposure created by therefor, and Borrower shall promptly reimburse Lender. All such failure; or (iii) both. Any amounts paid or deposited by Capital sums shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to CapitalLender, shall bear interest at the applicable interest rate set forth in Section 2.3.5, hereunder and shall be secured by the Collateral. Any payments made by Capital Lender shall not constitute: (i) an agreement by Capital Lender to make similar payments in the future, or (ii) a waiver by Capital Lender of any Event of Default under this Agreement. Capital In connection with any payment made by Lender pursuant to this Section 14.1, Lender need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance tax or lien, Lien and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing, and the receipt of any other notice with respect to all other such monies due hereunder shall be prima facia evidence that the same was validly due and owing.

TAXES AND EXPENSES REGARDING THE COLLATERAL. If Borrower fails to pay any monies (whether taxes, assessments, insurance premiums, or otherwise) due to third persons or entities, or fails to make any deposits or furnish any required proof of payment or deposit, all as required under the terms of this Agreement, then Capital may, to the extent that it determines in its sole discretion that such failure by Borrower could have a material adverse change on Capital's interests in the Collateral, in its discretion and without prior notice to Borrower, (i) make payment of the same or any part thereof; (ii) set up such reserves in Borrower's loan account as Capital deems necessary to protect Capital from the exposure created by such failure; or (iii) both. Any amounts paid or deposited by Capital shall constitute Capital Expenses, shall be immediately charged to Borrower's loan account and become additional Obligations owing to Capital, shall bear interest at the applicable rate set forth in Section 2.3.52.4, and shall be secured by the Collateral. Any payments made by Capital shall not constitute: (i) an agreement by Capital to make similar payments in the future, or (ii) a waiver by Capital of any Event of Default under this Agreement. Capital need not inquire as to, or contest the validity of, any such expense, tax, security interest, encumbrance or lien, and the receipt of the usual official notice for the payment thereof shall be conclusive evidence that the same was validly due and owing.