Exhibit 10.24
TOWER TECH, INC. LOCAL FEDERAL BANK, F.S.B. Loan Number _______________
RR #3 P O BOX 1838 3601 N.W. 63RD STREET Date JUNE 10, 1998
XXXXXXXXX XX 00000 XXXXXXXX XXXX, XX 00000 Maturity Date JUNE 10, 2003
Loan Amount $ 135, 500.00
Renewal Of ________________
XXXXXXXX'S NAME AND ADDRESS XXXXXX'S NAME AND ADDRESS
"I" includes each borrower "You" means the lender, its
above, joint and severally. successors and assigns.
For value received, I promise to pay to you, or your order, at your address
listed above the PRINCIPAL sum of ONE HUNDRED THIRTY FIVE THOUSAND FIVE HUNDRED
AND NO/100* ** * * Dollars $ 135,500.00 XX Single Advance: I will receive all of
this principal sum on JUNE 10, 1998. No additional advances are contemplated
under this note.
__ Multiple Advance: The principal sum shown above is the maximum amount of
principal I can borrow under this note. On ______________________
________________ I will receive the amount of $_______________________________
and future principal advances are contemplated.
Conditions: The conditions for future advances are _____________________________
__Open End Credit: You and I agree that I may borrow up to the maximum amount of
principal more than one lime. This feature is subject to all other conditions
and expires on ________________________
___Closed End Credit: You and I agree that I may borrow up to the maximum only
one time land subject to all other conditions).
INTEREST: I agree to pay interest on the outstanding principal balance from JUNE
10, 1998 at the rate of 8.250 % per year until JUNE 10, 2003.
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__Variable Rate: This rate may then change as stated below.
__Index Rate: The future rate will be_______the following index rate: _________.
__No Index: The future rate will not be subject to any internal or external
index. It will be entirely in your control.
__Frequency and Timing: The rate on this note may change as often as
___________________________ A change in the interest rate will take effect
_________________________________________________
__Limitations: During the term of this loan, the applicable annual interest rate
will not be more than _________________________% or less than
_________________________ %. The rate may not change more than
_________________________ % each_________________________.
Effect of Variable Rate: A change in the interest rate will have the following
effect on the payments:
__The amount of each scheduled payment will change.
__The amount of the final payment will change.
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ACCRUAL METHOD: Interest will be calculated on an ACTUAL/365 basis.
POST MATURITY RATE: I agree to pay interest on the unpaid balance of this note
owing after maturity, and until paid in full, as stated below:
XX on the same fixed or variable rate basis in effect before maturity (as
indicated above). __at a rate equal to __________
XX LATE CHARGE:
If a payment is made more than 15 days after it is due, I agree to pay a late
charge of 5.000% OF THE LATE PAYMENT.
XX ADDITIONAL CHARGES: In addition to
interest, I agree to pay the following charges which __ are __ are not included
in the principal amount above:
PAYMENTS: I agree to pay this note as follows:
__Interest: I agree to pay accrued interest ___________________________________
__Principal: I agree to pay the principal _____________________________________
XX Installments: I agree to pay this note in 60 payments. The first payment will
be in the amount of $2,764.26 and will be due JULY 10, 1998. A payment of
$2,764.26 will be due ON THE 10TH DAY OF EACH MONTH thereafter. The final
payment of the entire unpaid balance of principal and interest will be due on
JUNE 10, 2003.
ADDITIONAL TERMS:
PURPOSE: The purpose of this loan is BUSINESS:
PURCHASE USED THERMOFORMER AND BLOWER
XX SECURITY: This note is separately secured by (describe separate document by
type and date): 1989 XXXX MODEL 125FI' THERMOFORMER SERIAL#
______________________________USED 1989 CUMBERLAND 1426 20HP BLOWER AND
DISCHARGE.
SIGNATURES: I AGREE TO THE TERMS OF THIS NOTE (INCLUDING THOSE ON PAGE 2). I
have received a copy on today's date.
TOWER TECH, INC.
BY: XXXXXXX X. XXXXXXXX, CFO
________________________
Xxxxxxx X. Xxxxxxxx
Signature for Lender
XXXXXX X. XXXXXXX
_________________
Xxxxxx X. Xxxxxxx
DEFINITIONS: As used on page 1, "X" means the terms that apply to this loan.
"I," "me" or "my" means each Borrower who signs this note and each other person
or legal entity (including guarantors, endorsers, and sureties) who agrees to
pay this note (together referred to as "us"). "You" or "your" means the Lender
and its successors and assigns. APPLICABLE LAW: The law of the State in which
you are located will govern this note. Any term of this note which is contrary
to applicable law will not be effective, unless the law permits you and me to
agree to such a variation. If any provision of this agreement cannot be enforced
according to its terms, this fact will not affect the enforceability of the
remainder of this agreement. No modification of this agreement may be made
without your express written consent. T ime is of the essence in this agreement.
PAYMENTS: Each payment I make on this note will first reduce the amount I owe
you for charges which are neither interest nor principal. The remainder of each
payment will then reduce accrued unpaid interest, and then unpaid principal. If
you and I agree to a different application of payments, we will describe our
agreement on this note. I may prepay a part of, or the entire balance of this
loan without penalty, unless we specify to the contrary on this note. Any
partial prepayment will not excuse or reduce any later scheduled payment until
this note is paid in full (unless, when I make the prepayment, you and I agree
in writing to the contrary). INTEREST: Interest accrues on the principal
remaining unpaid from time to time, until paid in full. If I receive the
principal in more than one advance, each advance will start to earn interest
only when I receive the advance. The interest rate in effect on this note at any
given time will apply to the entire principal advanced at that time.
Notwithstanding anything to the contrary, I do not agree to pay and you do not
intend to charge any rate of interest that is higher than the maximum rate of
interest you could charge under applicable law for the extension of credit that
is agreed to here (either before or after maturity). If any notice of interest
accrual is sent and is in error, we mutually agree to correct it, and if you
actually collect more interest than allowed by law and this agreement, you agree
to refund it to me. INDEX RATE: The index will serve only as a device for
setting the rate on this note. You do not guarantee by selecting this index, or
the margin, that the rate on this note will be the same rate you charge on any
other loans or class of loans to me or other borrowers. ACCRUAL METHOD: The
amount of interest that I will pay on this loan will be calculated using the
interest rate and accrual method stated on page 1 of this note. For the purpose
of interest calculation, the accrual method will determine the number of days in
a "year." If no accrual method is stated, then you may use any reasonable
accrual method for calculating interest. POST MATURITY RATE: For purposes of
deciding when the "Post Maturity Rate" (shown on page 11 applies, the term
"maturity" means the date of the last scheduled payment indicated on page 1 of
this note or the date you accelerate payment on the note, whichever is earlier.
SINGLE ADVANCE LOANS: If this is a single advance loan, you and I expect that
you will make only one advance of principal. However, you may add other amounts
to the principal if you make any payments described in the "PAYMENTS BY LENDER"
paragraph below. MULTIPLE ADVANCE LOANS: If this is a multiple advance loan, you
and I expect that you will make more than one advance of principal. If this is
closed end credit, repaying a part of the principal will not entitle me to
additional credit. PAYMENTS BY LENDER: If you are authorized to pay, on my
behalf, charges I am obligated to pay (such as property insurance premiums),
then you may treat those payments made by you as advances and add them to the
unpaid principal under this note, or you may demand immediate payment of the
charges. SET-OFF: I agree that you may Set off any amount due and payable under
this note against any right I have to receive money from you.
"Right to receive money from you," means:
(1) any deposit account balance I have with you;
(2) any money owed to me on an item presented to you or in your possession
for collection or exchange; and (3) any repurchase agreement or other
nondeposit obligation. "Any amount due and payable under this note" means
the total amount of which you are entitled to demand payment under the terms
of this note at the time you Set off. This total includes any balance the
due date for which you properly accelerate under this note. If my right to
receive money from you is also owned by someone who has not agreed to pay
this note, your right of set-off will apply to my interest in the obligation
and to any other amounts I could withdraw on my sole request or endorsement.
Your right of set-off does not apply to an account or other obligation where
my rights are only as a representative. It also does not apply to any
Individual Retirement Account or other tax-deferred retirement account. You
will not be liable for the dishonor of any check when the dishonor occurs
because you set off this debt against any of my accounts. I agree to hold
you harmless from any such claims arising as a result of your exercise of
your right of set-off.
REAL ESTATE OR RESIDENCE SECURITY: If this note is secured by real estate or a
residence that is personal properly, the existence of a default and your
remedies for such a default will be determined by applicable law, by the terms
of any Separate instrument creating the security interest and, to the extent not
prohibited by law and not contrary to the terms of the separate security
instrument, by the "Default" and Remedies" paragraphs herein. DEFAULT: I will be
in default if any one or more of the following occur: (1) I fail to make a
payment on time or in the amount due; (2) I fail to keep the property insured,
if required; (3) I fail to pay, or keep any promise, on any debt or agreement I
have with you; (4) any other creditor of mine attempts to collect any debt I owe
him through court proceedings; (5) I die, am declared incompetent, make an
assignment for the benefit of creditors, or become insolvent (either because my
liabilities exceed my assets or I am unable to pay my debts as they become due);
(6) I make any written statement or provide any financial information that is
untrue or inaccurate at the time it was provided; (7) 1 do or fail to do
something which causes you to believe that you will have difficulty collecting
the amount xxxx you; (8) any collateral securing this note is used in a manner
or for a purpose which threatens confiscation by a legal authority; (9) I change
my name or assume an additional name without first notifying you before making
such a change; (10) I fail to plant, cultivate and harvest crops in due season
if I am a producer of crops; (11) any loan proceeds are used for a purpose that
will contribute to excessive erosion of highly erodible land or to the
conversion of wetlands to produce an agricultural commodity, as further
explained in 7 C.F.R. Part 1940, Subpart G, Exhibit M. REMEDIES: If I am in
default on this note you have, but are not limited to, the following remedies:
(1) You may demand immediate payment of all I owe you under this note
(principal, accrued unpaid interest and other accrued charges)
(2) You may set off this debt against any right I have to the payment of money
from you, subject to the terms of the "Set-Off" paragraph herein.
(3) You may demand security, additional security, or additional parties to be
obligated to pay this note as a condition for not using any other remedy.
(4) You may refuse to make advances to me or allow purchases on credit by me.
(5) You may use any remedy you have under state or federal law. By selecting
any one or more of these remedies you do not give up your right to later
use any other remedy. By waiving your right to declare an event to be a
default, you do not waive your right to later consider the event as a
default if it continues or happens again.
COLLECTION COSTS AND ATTORNEY'S FEES: I agree to pay all costs of collection,
replevin or any other or similar type of cost if I em in default. In addition,
if you hire an attorney to collect this note, I also agree to pay any fee you
incur with such attorney plus court costs (except where prohibited by law). To
the extent permitted by the United States Bankruptcy Code, I also agree to pay
the reasonable attorney's fees and costs you incur to collect this debt as
awarded by any court exercising jurisdiction under the Bankruptcy Code.
WAIVER: I give up my rights to require you to do certain things. I will not
require you to:
(1) demand payment of amounts due (presentment);
(2) obtain official certification of nonpayment (protest); or
(3) give notice that amounts due have not been paid (notice of dishonor). I
waive any defenses I have based on suretyship or impairment of collateral.
OBLIGATIONS INDEPENDENT: I understand that I must pay this note even if someone
else has also agreed to pay it (by, for example, signing this form or a separate
guarantee or endorsement). You may sue me alone, or anyone else who is obligated
on this note, or any number of us together, to collect this note. You may do so
without any notice that it has not been paid (notice of dishonor). You may
without notice release any party to this agreement without releasing any other
party. If you give up any of your rights, with or without notice, it will not
affect my duty to pay this note. Any extension of new credit to any of us, or
renewal of this note by all or less than all of us will not release me from my
duty to pay it. (Of course, you are entitled to only one payment in full.) I
agree that you may at your option extend this note or the debt represented by
this note, or any portion of the note or debt, from time to time without limit
or notice and for any term without affecting my liability for payment of the
note. I will not assign my obligation under this agreement without your prior
written approval.
CREDIT INFORMATION: I agree and authorize you to obtain credit
information about me from time to time (for example, by requesting a credit
report) and to report to others your credit experience with me (such as a credit
reporting agency). I agree to provide you, upon request, any financial statement
or information you may deem necessary. I warrant that the financial statements
and information I provide to you are or will be accurate, correct and complete.
NOTICE: Unless otherwise required by law, any notice to me shall be given by
delivering it or by mailing it by first class mail addressed to ome at my last
known address. My current address is on page 1. I agree to inform you in writing
of any change in my address. I will give any notice to you by mailing it first
class to your address stated on page 1 of this agreement, or to any other
address that you have designated.
