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payment of the indebtedness hereby secured and Mortgagor
hereby agrees that after default hereunder any values avail-
able thereunder upon cancellation or termination of any of
said policies or renewals, whether in the form of return of .
premiums or otherwise, shall be payable to Mortgagee as
assignee thereof. If Mortgagee becomes the owner of the
Mortgaged Property or any part thereof by foreclosure or
otherwise, such policies, including all right, title and
interest of Mortgagor thereunder, if any, shall become the
absolute property of Mortgagee.
5. Taxes and Other Charges. Mortgagor shall
pay when due and payable and before interest or penalties
are due thereon, without any deduction (except such discount
as may be permitted by law), defalcation or abatement, all
taxes, assessments, levies, liabilities, obligations,
encumbrances, water and sewer rents and all other charges
or claims of every nature and kind which may be imposed,
suffered, placed, assessed,_levied or filed at any time
against Mortgagor, the Premises, the Mortgaged Property or
any part thereof or against the interest of Mortgagee
therein, or which by any present or future law may have
priority over the indebtedness secured either. in lien or in
distribution out of the proceeds of any judicial sale,
without regard to any law heretofore or hereafter to be
- enacted imposing payment of the whole or of any part upon
Mortgagee; and insofar as. any such tax, assessment, levy,
liability, obligation or encumbrance is of record, the same
shall be promptly satisfied and discharged of record and
the original official document (such as, for instance, the
tax receipt or the satisfaction paper officially endorsed or
certified] si~aii 6e pierced in the-hands of Mortgagee not
later than such dates; provided, however; that if, pursuant
to the Note, this Mortgage or otherwise, Mortgagor-shall
have deposited with Mortgagee before the due date thereof .
i sums sufficient to pay any such taxes, assessments, levies,
' water and sewer rents, charges or claims, and Mortgagor is
not otherwise in default, they shall be paid by Mortgagee;
and provided further that if Mortgagor in good faith and by
appropriate legal action shall contest the validity of any _
such lien, or the amount thereof, and shall have established
on its books_or by deposit of cash with Mortgagee, as
Mortgagee may elect, a reserve for the payment thereof in
such amount as Mortgagee may require, then Mortgagor shall
not be required to pay the item or to produce the required s
receipts, while the reserve is maintained and so long as the
contest operates to prevent collection, is maintained and
prosecuted with diligence, and is not terminated or dis-
continued adversely to Mortgagor.
6. Notice and Grace Periods.
Notwithstanding the foregoing provisions of
this Mortgage and the Note secured hereby, Mortgagee shall
not exercise any right or remedy provided for herein or in
the Note or allowed by law because of any default of Mortgagor
unless Mortgagor shall have failed, in the event of a
monetary default, to pay the outstanding sums for ten (10)
calendar days, or in the event of a nonmonetary default, -
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~~328 P~E~142