HomeMy WebLinkAbout0963 ~
~ ~
prior to such damage or destruction, Mortgagor agrees to promptly
repair, rebuild or restore the property damaged or destroyed ati
its own expense to substantially the same condition as existed
prior to the event causing such damage or destruction, with such
changes, alterations and modifications (including the
substitution or addition of other property) as may be desired by
Mortgagor which will not impair the effective use of the
Mortgaged Property, paying when due all claims for labor
performed and materials furnished in connection therewith.
In the event such damage or destruction results from an
insured casualty, all net proceeds of insurance resulting from
claims for such losses shall be paid to and held by Mortgagee and
applied, at the direction of Mortgagor, either to the redemption
of Bonds or to the restoration of the Mortgaged Property to
substantially the same condition as existed prior to such damage
or destruction. Unle~s Mortgagor shall have elected, by delivery
of written notice of such election to Mortgagee within ninety
(90) days after the occurrence of such casualty, either to apply
such net proceeds to the restoration of the Mortgaged Property or
to transfer the net proceeds to Trustee (or to the registrar and
paying agent then serving as such under the Indenture, as the ~
case may be) for deposit in the Principal Account of the Debt '
Service Fund to be used for the redemption af Bonds on the
earliest date for which notice thereof can be given by Trustee to
the bondholders, such net proceeds shall be applie3 to the
restoration of the Mortgaged Premises. In the event Mortgagor
shall elect; or be deemed to have elected, to restore the
Mortgaged Property in such instance, such restoration shall be
effected, and the net proceeds disbursed, in the manner
hereinabove provided.
If Mortgagor or Mortgagee, as the case may be, elect to
apply insurance proceeds to the redemption of Bonds as provided
herein, Mortgagor agrees to take all actions necessary or
appropriate to cause such redempticn to be consumr~ated on the
earliest date for which notice thereof can be given by Trustee to
the bondholders.
(e) At least thirty (30) days prior to the expiration
date of each policy maintained pursuant to this Section 1.07,
evidence of a renewa2 or replacement thereof that continues to
meet the requirements of this Section 1.07 shall be delivered to
Mortgagee. Mortgagor shall deliver to Mortgagee receipts
evidencing the payment for all such insurance policies and
renewals or replacements.
(f) Mortgagor hereby assigns to Mortgagee all unearned
premiums under all policies of insurance required under thxs
Section 1.07, as further security for the Secured Indebtedness.
-14-
BaaK 573 ~ACE