Common use of Taxes and Premiums Clause in Contracts

Taxes and Premiums. Borrower will, and will cause each Subsidiary to, pay and discharge all taxes, assessments, governmental charges, and real and personal property taxes including, but not limited to, federal and state income taxes, employee withholding taxes and payroll taxes, and all premiums for insurance required hereunder, prior to the date upon which penalties are attached thereto. CNB may pay, for the account of Borrower, any of the foregoing which Borrower fails to pay; any such amounts will be debited to Borrower’s Loan Account and will be paid by Borrower to CNB, with interest thereon at the rate stated in Section 2.1.1 (exclusive of LIBOR Loans), upon demand, unless such taxes, assessments or governmental charges shall be contested in good faith and by appropriate proceedings and adequate reserves therefor have been established on the books of Borrower or the appropriate Subsidiary in conformity with GAAP.

Taxes and Premiums. Borrower will, and will cause each Subsidiary to, pay and discharge all taxes, assessments, governmental charges, and real and personal property taxes including, but not limited to, federal and state income taxes, employee withholding taxes and payroll taxes, and all premiums for insurance required hereunder, prior to the date upon which penalties are attached thereto. CNB may pay, for the account of Borrower, any of the foregoing which Borrower fails to pay; any such amounts will be debited to Borrower’s Loan Account and will be paid by Borrower to CNB, with interest thereon at the rate stated in Section 2.1.1 (exclusive of LIBOR for Prime Loans), upon demand, unless such taxes, assessments or governmental charges shall be contested in good faith and by appropriate proceedings and adequate reserves therefor have been established on the books of Borrower or the appropriate Subsidiary in conformity with GAAP.