UNCONDITIONALLY ASSIGNS TO LENDER ALL OF BORROWER'S RIGHT, TITLE AND INTEREST IN
AND TO ALL CURRENT AND FUTURE LEASES AND RENTS; IT BEING INTENDED BY BORROWER
THAT THIS ASSIGNMENT CONSTITUTES A PRESENT, ABSOLUTE ASSIGNMENT AND NOT AN
ASSIGNMENT FOR ADDITIONAL SECURITY ONLY.
NEVERTHELESS, SUBJECT TO THE TERMS OF
THE ASSIGNMENT OF LEASES AND SECTION 7.1(H) OF THIS SECURITY INSTRUMENT, LENDER
GRANTS TO BORROWER A REVOCABLE LICENSE TO COLLECT, RECEIVE, USE AND ENJOY THE
RENTS.
BORROWER SHALL HOLD THE RENTS, OR A PORTION THEREOF SUFFICIENT TO
DISCHARGE ALL CURRENT SUMS DUE ON THE DEBT, FOR USE IN THE PAYMENT OF SUCH SUMS.
SECTION 1.3
SECURITY AGREEMENT.
THIS SECURITY INSTRUMENT IS BOTH A
REAL PROPERTY MORTGAGE AND A "SECURITY AGREEMENT" WITHIN THE MEANING OF THE
UNIFORM COMMERCIAL CODE.
THE PROPERTY INCLUDES BOTH REAL AND PERSONAL PROPERTY
AND ALL OTHER RIGHTS AND INTERESTS, WHETHER TANGIBLE OR INTANGIBLE IN NATURE, OF
BORROWER IN THE PROPERTY.
BY EXECUTING AND DELIVERING THIS SECURITY INSTRUMENT,
BORROWER HEREBY GRANTS TO LENDER, AS SECURITY FOR THE OBLIGATIONS (HEREINAFTER
DEFINED), A SECURITY INTEREST IN THE FIXTURES, THE EQUIPMENT, THE PERSONAL
PROPERTY AND OTHER PROPERTY CONSTITUTING THE PROPERTY TO THE FULL EXTENT THAT
THE FIXTURES, THE EQUIPMENT, THE PERSONAL PROPERTY AND SUCH OTHER PROPERTY MAY
BE SUBJECT TO THE UNIFORM COMMERCIAL CODE (SAID PORTION OF THE PROPERTY SO
SUBJECT TO THE UNIFORM COMMERCIAL CODE BEING CALLED THE "COLLATERAL").
IF AN
EVENT OF DEFAULT SHALL OCCUR AND BE CONTINUING, LENDER, IN ADDITION TO ANY OTHER
RIGHTS AND REMEDIES WHICH IT MAY HAVE, SHALL HAVE AND MAY EXERCISE IMMEDIATELY
AND WITHOUT DEMAND, ANY AND ALL RIGHTS AND REMEDIES GRANTED TO A SECURED PARTY
UPON DEFAULT UNDER THE UNIFORM COMMERCIAL CODE, INCLUDING, WITHOUT LIMITING THE
GENERALITY OF THE FOREGOING, THE RIGHT TO TAKE POSSESSION OF THE COLLATERAL OR
ANY PART THEREOF, AND TO TAKE SUCH OTHER MEASURES AS LENDER MAY DEEM NECESSARY
FOR THE CARE, PROTECTION AND PRESERVATION OF THE COLLATERAL.
UPON REQUEST OR
DEMAND OF LENDER AFTER THE OCCURRENCE AND DURING THE CONTINUANCE OF AN EVENT OF
DEFAULT, BORROWER SHALL, AT ITS EXPENSE, ASSEMBLE THE COLLATERAL AND MAKE IT
AVAILABLE TO LENDER AT A CONVENIENT PLACE (AT THE LAND IF TANGIBLE PROPERTY)
REASONABLY ACCEPTABLE TO LENDER.
BORROWER SHALL PAY TO LENDER ON DEMAND ANY AND
ALL EXPENSES, INCLUDING REASONABLE LEGAL EXPENSES AND ATTORNEYS' FEES, INCURRED
OR PAID BY LENDER IN PROTECTING ITS INTEREST IN THE COLLATERAL AND IN ENFORCING
ITS RIGHTS HEREUNDER WITH RESPECT TO THE COLLATERAL AFTER THE OCCURRENCE AND
DURING THE CONTINUANCE OF AN EVENT OF DEFAULT.
ANY NOTICE OF SALE, DISPOSITION
OR OTHER INTENDED ACTION BY LENDER WITH RESPECT TO THE COLLATERAL SENT TO
BORROWER IN ACCORDANCE WITH THE PROVISIONS HEREOF AT LEAST FIFTEEN (15) BUSINESS
DAYS PRIOR TO SUCH ACTION, SHALL, EXCEPT AS OTHERWISE PROVIDED BY APPLICABLE
LAW, CONSTITUTE REASONABLE NOTICE TO BORROWER.
THE PROCEEDS OF ANY DISPOSITION
OF THE COLLATERAL, OR ANY PART THEREOF, MAY, EXCEPT AS OTHERWISE REQUIRED BY
APPLICABLE LAW, BE APPLIED BY LENDER TO THE PAYMENT OF THE DEBT IN SUCH PRIORITY
AND PROPORTIONS
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