Reso 2011-1735 - Laserfiche WebLink

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ARTICLE XVIII Leasehold Mortgage Section 1. Tenant's Right to Finance. Tenant, and any successor or assign of Tenant, may not, without Landlord's consent, pledge, mortgage or encumber the Leasehold Estate demised hereunder. Any Leasehold Mortgage shall by its terms be made expressly subject to all of Landlord's rights under the provisions, covenants, conditions, exceptions and reservations herein contained, and to Landlord's interest in the Improvements at the expiration of the Term or the earlier termination of this Lease. Landlord shall not be bound to recognize any Leasehold Mortgagee or to give any Leasehold Mortgagee the notices, rights and protections contemplated under this Lease unless such Leasehold Mortgagee or Tenant shall have notified Landlord of the existence of such Leasehold Mortgage and of the name and United States address of such Leasehold Mortgagee. Tenant shall provide to Landlord the name and mailing address of the lender or leasehold mortgagee together wit true copies of the loan documents, including, as applicable, deed of trust, mortgages, security agreements, and promissory notes, within ten (10) days after execution by Tenant. Section 2. Tenant's Lender's Rights and Obligations. Landlord hereby agrees with and for the benefit of each Leasehold Mortgagee and the successors and assigns of each Leasehold Mortgagee: (a) When giving notice to Tenant with respect to any default under this Lease or any exercise of any right to terminate this Lease, Landlord will also give a copy of such notice to each Leasehold Mortgagee at the address of each Leasehold Mortgagee furnished to Landlord, and no such notice to Tenant shall be deemed to have been duly given nor shall such notice be effective unless such notice is also given in said manner to each such Leasehold Mortgagee. Any Leasehold Mortgage shall contain a provision requiring Mortgagee to notify Landlord of any default by Tenant under such mortgage. (b) In case Tenant shall default in respect of any of the provisions of this Lease, any Leasehold Mortgagee shall have the right, but not the obligation, to cure such default whether the same consists of the failure to pay Basic Rent or the failure to perform any other covenant which Tenant is required to perform under this Lease, and Landlord shall accept performance, by or on behalf of such Leasehold Mortgagee as though, and with the same effect as if, the same had been done or performed by Tenant. (c) Landlord hereby agrees to cooperate in good faith with the Leasehold Mortgagee and to execute such additional documentation providing customary Leasehold Mortgagee protections as may be reasonably requested by the Leasehold Mortgagee. (d) A Leasehold Mortgagee (or its designee or nominee) may become the legal owner and holder of the interest of Tenant under this Lease, including, without limitation, ownership of the Improvements, by foreclosure .or other enforcement proceedings, or by obtaining an assignment of this Lease in lieu of foreclosure or through settlement of or arising out of any pending or threatened foreclosure proceeding, without Landlord's consent, subject always to the applicable terms and provisions of this Lease. 25