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iv. appear in and defend any action or proceeding arisi~g
under or in any manner connected with the Leases or
with the obligations and undertakings of the landlord .
or.the tenants thereu~der.
3. Borrower shall not, without the prior consent of
Le nde r ,
i. further assign~or attempt tn assign the Leases or any
portion of the Rents due and payable or to become due
and payable thereunder,
ii. consent to any cancellation, surrender, amendment, or
modif ication of the Leases, or
iii. accept prepayments of any portion of the rents for a
period of more than two (2) months in advance.
4. This Assignment shall not be deemed or construed
to obligate Lender to take any action or incur any expense or
perform or discharge any obligation, duty or liability under
the Leases, and Borrawer hereby agrees to indemnify and hold
Lender harmless from and against all liability, loss or damage,
including, but not limited to, reasonable attorneys' fees,
which Lender may or might incur under the Leases or under or by
reason of this Assignment and from and against any and all
claims whatsoever which may be asserted aga~inst Lender by
reason of any alleged obligation or undertaking on Lender's
part to perform or discharge any of the terms, covenants or
provisions contained in the Leases.
5. This Assignment has been made as additional
security for the payment of the Debt and the observance and
~ performance by Borro~wer of the terms, covenants and provisions
of the Note, the Mortgage and this Assignment on Borrower's
part to be observed and performed. Subject to the provisions
of this Assignment hereinafter set forth, Lender waives the
i right to enter the Premises for the purpose of collecting the
f Rents, and grants eorrower the right to collect the Rents.
, Borrower shall hold the Rents, or an amount sufficient to
~ discharge all current sums due on the Debt, in trust for use in
~ the payment of the Debt. The right of Borrower to collect the
~ Rents may be revoked by Lender~upon any default by Borrower in
~ the observance or ~performance of any of the terms, covenants or
provisions of the"Note, the Mortgage or this Assignment on its
part to be observed or performed or upon the occurrence of any
one of the events described in the Mortgage which would entitle
Lender, at its option, to declare the Debt due (hereinafter
--referred to as an "Event of Default") , by giving notice of such
revocation to Borrower. Following such notice Lender may
retain arx3 apply the Rents toward payment of the Debt in such _
~ priority and proportions as Lender, in its sole discretion, .
~ shall deem proper, or to the operation, maintenance and repair
~ of the Premises.
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