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• ARTICLE TWO
DEFAULTS
2.01 Event of Delault. The term Event of Dafault,
wherever used in this HortB~ge, shall mean any one or more oP
the following events and eaeh of the folloWing events shall
constltute an eve»t of default hereunder:
(a) ~'ailure by Mortgagor to pey, aa and When due and
payable, any installment of principal or incerest due under the
Note; or
(b) Failure by Moctgagor to pay as and When due and
payable, the Secured Indebtedn~ss; or
(c) Failure by Mortgagor to perform or~ observe any
of the covenants, agreements or conditions on the part of the
Mortgagor ~n this lnstrument or in any other instrument
securing a12 or any pa~t of the Secured Indebtedness
{ineluding, Wlthout liaitation, that certein Receivable and
Inventory Financing Agreement dated March 20, 1980 between
Mortgagor and Hortgagee, that certain Security A~reement
(Inventory - Corporation) dated Mareh 20~ 1980 by Mortgagor in
favor of Mortgagee~ that certain Mortgage and Security
Agreement dated October 1~ 19g1, given by Mortgagor to
Mortgagee~ or that certain Assignroent of Lessor's Interest in
~ Lease dated October 1, 1981, given by Mortgagor Lo Mortgagee),
O~ Chat certain Ffortgage and S~curity Agreen~ent dated August 1, 1983; or
(d) Should Mortgagor or any guarantor oP the Seeured
I~debtedness ("Guarantor") make any assignment Por the benefit
of creQitors~ or s~ould a receiver, 1l~quidator or tru9tee of
Mortgagor or of any of Mortgagor'e property be appointed, or
should any petition for the ba~kruptcy, reo~•ganization or
srrangement of Mortgagor or any Guarantor, puraua~t to the
Federal Bankruptcy Act or any similat^ statute, be fi~ed by
Mortgagor or any Guarantor, or should any such proceeding be
filed against Mortgagor or any Guara~tor and remain undismissed
for a period of thirty (30) dayst or should Nortgagor be
ad~udicated a bankrupt inaolvent, or shotald Mortgagor in any
proeeeding admit its lnsolvency or inability to pay its debts
as they fall due or should Mortgagor be liquidated or dissolved
or its articles of incorporation expire or be revoked; or
(e) Should Mortgagor sell, enCUmber, convey or
otherwfse transfer any interest !n the Mortgaged Property or
t any portion thereof, whether or not sueh interest is sub~ect or
~ s~~bordinate to the intere9t of Mortgagee, without prior Writte~
- consent of Mortgagee.
~ 2.02 Acceleration of MaturitY. If an Event of Default
shal~ heve oecurred, Mortgagee way declare the outstanding
principal amount o!` the Note and the interest accrued thereon,
~ and all other sums secured hereby, to be due and payable
immediately and upon such declaration aueh prin~ipal and
interest and other suIDS ahala immediately become and be due and
payable without demand or noti~e.
2.03 PoWer of Enfo~oement. If an Event of Defauit ahal~
have oeourrea, Mortgagee m~y~ either with or without entry or
taking possea~ion ae hereinebove provi4ed or otherwi9o, proceed
r9~
BOOK U~~ PACf 1551