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<br />Beneficiary shall have the option to pay and discharge same without notice to Grantor. Any
<br />sums so expended by Beneficiary shall at once become an indebtedness of Grantor and shall be
<br />due and payable by Grantor with interest as provided in the Note after default, which sums shall
<br />thereupon become secured by this Deed of Trust.
<br />
<br />1.4Other Taxes, Liens and Utility Charges.
<br /> Grantor will pay promptly, when and
<br />as due, all charges for utilities, whether public or private, and will promptly exhibit to
<br />Beneficiary, upon reasonable request, receipts for the payment of all taxes, assessments, water
<br />and sewer charges, dues, fines and impositions of every nature whatsoever imposed, levied or
<br />assessed or to be imposed, levied or assessed upon or against the Premises and the Collateral, or
<br />any part thereof, or upon the interest of Grantor in the Premises (other than any of the same for
<br />which provision has been made in Section 1.3 of this Article I), as well as all income taxes,
<br />assessments and other governmental charges lawfully levied and imposed by the United States of
<br />America or any State, county, municipality or other taxing authority upon Grantor in respect of
<br />the Premises and the Collateral or any part thereof, or any charge which, if unpaid, would
<br />become a lien or charge upon the Premises and the Collateral or any part thereof. Grantor will
<br />not suffer any mechanic's, laborer's, statutory or other liens, or any mortgage or other lien which
<br />might or could be prior to, equal to, or subordinate to the lien of this Deed of Trust to be created
<br />or to remain outstanding upon the Premises and the Collateral or any part thereof, other than the
<br />Permitted Exceptions. Notwithstanding the foregoing, Grantor may withhold payment of any
<br />tax, assessment, or claim in connection with a good faith dispute over the obligation to pay, so
<br />long as Beneficiary's interest in the Premises and Collateral is not jeopardized. If a lien arises or
<br />is filed, Grantor shall within 15 days after the lien arises or, if a lien is filed, within 15 days after
<br />Grantor has notice of the filing, secure the discharge of the lien or deposit with Beneficiary cash
<br />or a sufficient corporate surety bond or other security satisfactory to Beneficiary in an amount
<br />sufficient to discharge the lien plus any costs, attorney fees, or other charges that could accrue as
<br />a result of a foreclosure or sale under the lien.
<br />
<br />1.5Insurance.
<br />
<br />
<br />(a)Grantor will, at its expense, keep the Premises and the Collateral owned
<br />by it, adequately insured at all times against such risks as are customarily insured against by
<br />entities engaged in similar businesses. Without limiting the foregoing, Grantor will (i) keep the
<br />Premises and the Collateral fully insured against fire, theft and extended coverage risks (all
<br />hazards included within the term "all risks coverage"), and if the Premises are determined to be
<br />in a flood plain or flood prone area, flood insurance, in an amount sufficient to prevent Grantor
<br />or Beneficiary from becoming a co-insurer of any partial loss under applicable insurance policies
<br />and in any event not less than 100 percent of the full replacement value (actual replacement
<br />value without deduction for physical depreciation, but exclusive of the cost of excavation,
<br />footings, foundation and underground utilities) thereof; provided, however, in no event less than
<br />the then outstanding principal amount of the Note; (ii) maintain all such workers' compensation
<br />or similar insurance as may be required by law, (iii) maintain rental interruption insurance
<br />coverage equal to or greater than six months of income from the Premises and Collateral;
<br />(iv) maintain personal property insurance in an amount as Beneficiary shall reasonably request;
<br />and (v) maintain general public liability insurance in respect of the Premises and the Collateral
<br />against claims for personal and bodily injury, death or property damage occurring, in or about
<br />the Premises and the Collateral and liability insurance covering the operations of Grantor
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