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HomeMy WebLinkAbout0051 Party of the second part covenants and agrees to comply with all of the terms and provisions of said mortgage (except the requirement to make the payments of principal and interest thereon), and upon compli- ance by party of the second part with the terms and provisions contained in said mortgage and contained herein, party of the first part will pay the installments of principal and interest from time to time due under said mortgage in accordance with its terms. Nothing contained herein shall require f;he Harty of the first part to perform the terms of provisions contained in said mortgage required to be performed by party of the second part, its successors and assigns, except the payment of installments of principal and interest but only in accordance with the terms. and provisions hereof. If party of the second part shall default in the performance of any term or provision contained in this Agreement, party of the first part shall not be obligated to pay any principal or interest under the mortgage. Party of the second Hart coverants and agrees that, to the extent party of the first part pays an~~ installment of principal or interest or any other sums due under the mortgage, _rarty of the first part shall become entitled to a lien on the above premises hereunder but equal in rank and priority to t~~e mortgage and, in addition, to the extent necessary to make effective such rank and priority: (i) party ~~ua v of t;~ firs* ^~r~ shall become subrogated to, receive and enjoy all of the rights, liens, powers and privileges granted to the mortgagee under the mortgage, and (ii) the mortgage shall remain in existence for the benefit of and to further secure the debt and other sums secured, or that hereafter become secured, hereunder. In case of default hereunder, in addition to any other rights and remedies available to party of the first part, party of the first part may, but need not make any payment or perform-any act herein required of party of the second part in any form and manner deemed expedient, and may, but need not, make full or partial payments of principal or interest on the mortgage, other prior encumbrances, if any, and purchase discharge, compromise or settle the mortgage, any tax lien or other prior lien or title or claim thereof, or redeem from any tax sale or forfeiture affecting said premises or contest any tax or assess- ment. All moneys paid for any of the purposes herein authorized and all expenses paid or incurred in connection therewith, including attorneys' fees, and any other money advanced by party of the first part to protect the above premises and the lien hereof, shall be so much addi- tional indebtedness secured hereby and shall become immediately due and payable without notice and i•~ith interest thereon at the rate of twelve and ' Per centum (12,66 ) per annum. Inaction of party of the first part shah never be considered as a waiver of any right accruing to it on account of any default on the part of party of the second part. ' If the unpaid principal balance of the mortgage is reduced by the holder of the mortgage applying insurance proceeds in its reduction or by prepayments made by the party of the second part with the prior written consent of the party of the first part so that the party of the first part's obligation to pay to the holder of the mortgage the unpaid balance of the mortgage as above provided is similarly reduced, then the party of the first part agrees that the Harty of the second part's obligation to pay the total indebtedness to the party of the first part shall be reduced likewise by an equivalent amount: The equivalent amount is to be deducted from the final payments to be made by the party of the second part to the party of the first part, in the inverse order of their due date. In case of failure of the said party of~the second part to make any of the payments or any part thereof, or to perform any of the covenants hereby made and entered into, this contract shall, at the option of the party of the first part, be forfeited and terminated, and the party of the second part shall forfeit all payments made on this contract; and such payments shall be retain~•.i by the said party of the first part in full satisfaction and liquidatiur~ of all damages sustained. - 2 - BO+OK P4fiE - i I