FOR PAYMENT OF
LOSSES TO AGENT AS ITS INTERESTS MAY APPEAR AND BORROWER SHALL DELIVER A
CERTIFICATE TO THAT EFFECT, (II) TO PROVIDE THAT SUCH POLICIES MAY NOT BE
CANCELED OR REDUCED OR AFFECTED IN ANY MATERIAL MANNER FOR ANY REASON WITHOUT
TEN (10) DAYS PRIOR NOTICE TO AGENT FROM THE INSURER, (III) TO PROVIDE FOR ANY
OTHER MATTERS SPECIFIED IN ANY APPLICABLE SECURITY DOCUMENT OR WHICH AGENT MAY
REASONABLY REQUIRE; AND (IV) TO PROVIDE FOR INSURANCE AGAINST FIRE, CASUALTY AND
ANY OTHER HAZARDS NORMALLY INSURED AGAINST, (LESS A REASONABLE DEDUCTIBLE NOT TO
EXCEED AMOUNTS CUSTOMARY IN THE INDUSTRY FOR SIMILARLY SITUATED BUSINESSES AND
PROPERTIES) OF THE PROPERTY INSURED.
(B)
EACH SUCH POLICY SHALL (A) IF SUCH POLICY IS FOR LIABILITY
INSURANCE, NAME THE APPROPRIATE RESTRICTED PERSON AND AGENT, AS AGENT FOR THE
LENDERS, AS INSURED PARTIES THEREUNDER (WITHOUT ANY REPRESENTATION OR WARRANTY
BY OR OBLIGATION UPON AGENT OR LENDERS) AS THEIR INTERESTS MAY APPEAR, (B) IF
SUCH POLICY IS FOR PROPERTY INSURANCE, CONTAIN THE AGREEMENT BY THE INSURER THAT
ANY LOSS THEREUNDER SHALL BE PAYABLE TO AGENT NOTWITHSTANDING ANY ACTION,
INACTION OR BREACH OF REPRESENTATION OR WARRANTY BY ANY RESTRICTED PERSON, AND
(C) PROVIDE THAT THERE SHALL BE NO RECOURSE AGAINST AGENT OR LENDERS FOR PAYMENT
OF PREMIUMS OR OTHER AMOUNTS WITH RESPECT THERETO.
EACH RESTRICTED PERSON WILL,
IF SO REQUESTED BY AGENT, DELIVER TO AGENT ORIGINAL OR DUPLICATE POLICIES OF
SUCH INSURANCE.
AGENT IS HEREBY AUTHORIZED TO ENFORCE PAYMENT UNDER ALL SUCH
INSURANCE POLICIES AND TO COMPROMISE AND SETTLE ANY CLAIMS THEREUNDER, IN ITS
OWN NAME OR IN THE NAME OF THE RESTRICTED PERSONS.
(C)
REIMBURSEMENT UNDER ANY LIABILITY INSURANCE MAINTAINED BY
RESTRICTED PERSONS PURSUANT TO THIS SECTION 6.8 MAY BE PAID DIRECTLY TO THE
PERSON WHO HAS INCURRED THE LIABILITY COVERED BY SUCH INSURANCE.
WITH RESPECT
TO ANY LOSS INVOLVING DAMAGE TO COLLATERAL AS TO WHICH SUBSECTION (D) OF THIS
SECTION 6.8 IS NOT APPLICABLE, EACH RESTRICTED PERSON WILL MAKE OR CAUSE TO BE
MADE THE NECESSARY REPAIRS TO OR REPLACEMENTS OF SUCH COLLATERAL, AND ANY
PROCEEDS OF INSURANCE MAINTAINED BY EACH RESTRICTED PERSON PURSUANT TO THIS
SECTION 6.8 SHALL BE PAID TO SUCH RESTRICTED PERSON BY AGENT AS REIMBURSEMENT
FOR THE COSTS OF SUCH REPAIRS OR REPLACEMENTS AS SUCH REPAIRS OR REPLACEMENTS
ARE MADE OR ACQUIRED.
(D)
UPON THE OCCURRENCE AND DURING THE CONTINUANCE OF AN EVENT OF
DEFAULT OR UPON THE OCCURRENCE OF A LOSS OF ANY COLLATERAL, ALL PROPERTY AND
CASUALTY INSURANCE PAYMENTS IN RESPECT OF SUCH COLLATERAL SHALL BE PAID TO AGENT
AND APPLIED AS SPECIFIED IN SECTION 2.7.
Section 6.9
Performance on Borrower's Behalf.
If any Restricted
Person fails to pay any taxes, insurance premiums, expenses, attorneys' fees or
other amounts it is required to pay under any Loan Document, Agent may pay the
same.
Borrower shall immediately reimburse Agent for any such payments and each
amount paid by Agent shall constitute an Obligation owed hereunder which is due
and payable on the date such amount is paid by Agent.
Section 6.10