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Party of. the second part covenants and agrees to comply with all of
the terms and provisions of said rnor•t~;age (except the requirement to
make the payments of principal ~rnd interest thereon), and upon compli-
ance by party of the second part with the terms and provisions
contained ~.n 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. 1Jothing
contained herein shall reouire Lhe party of tl~e first part to perform
the. terms of provisions contained in said mortgage required to be
performed by party of the second part, its succc5sor~s 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 defau><t 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 covenants and agrees that, to the extent
party of the first part pays any installment of principal or interest
or any other sums due under the mortgage, r_arty of the first--part
shall become entitled to a lien on-the above premises hereunder but
equal in rank and priority to the mortgage and, in addition, to the
extent necessary to make effective such rank and priority: (i) party
of. the first part shall become subrogated to, receive-and enjoy-all
of t~~e rights, liens, powers and privileges granted to the mortgagee
under the mortgage, and (ii) the mortgage shall remain in exisL-ence
for the benefit of and to furthAr secure the debt and other sums
secured, -or that hereafter become secured, hereunder:
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I'n case of default hereunder, in addition to any other rights and
remedies available to party of tY,e 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 with interest thereon at the rate of
Twelve per centum-(12X) per annum. Inaction of party of the first
part shall 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 party 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 warty of the first part
in full satisfaction and liquidati:~~~ of all damages sustained.
_ -2- g~K335 P~Ei135
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