COVENANTS AND THE REQUIREMENTS OF
ANY GOVERNMENTAL AUTHORITY, EXCEPT WHERE THE FAILURE TO SO COMPLY WOULD NOT
REASONABLY BE EXPECTED TO HAVE A MATERIAL ADVERSE EFFECT ON BORROWER, THE
IMPROVEMENTS OR BORROWER'S ABILITY TO PAY AND/OR PERFORM THE OBLIGATIONS.
NEITHER THE CONSTRUCTION OF THE IMPROVEMENTS NOR THE USE OF THE IMPROVEMENTS
WHEN COMPLETED AS AN INDUSTRIAL PLANT FOR THE PRODUCTION OF BIODIESEL FUEL WILL
VIOLATE (I) ANY LAWS (INCLUDING SUBDIVISION, ZONING, BUILDING, ENVIRONMENTAL
PROTECTION AND WETLAND PROTECTION LAWS), OR (II) ANY BUILDING PERMITS,
RESTRICTIONS OF RECORD OR AGREEMENTS AFFECTING THE PROPERTY, THE IMPROVEMENTS OR
ANY PART THEREOF.
NEITHER THE ZONING AUTHORIZATIONS,
34
APPROVALS OR VARIANCES NOR ANY OTHER RIGHT TO CONSTRUCT OR TO USE THE
IMPROVEMENTS IS TO ANY EXTENT DEPENDENT UPON ANY REAL ESTATE OTHER THAN THE
PROPERTY.
WITHOUT LIMITING THE GENERALITY OF THE FOREGOING, ALL CONSENTS,
LICENSES AND PERMITS AND ALL OTHER AUTHORIZATIONS OR APPROVALS (COLLECTIVELY,
"GOVERNMENTAL APPROVALS") REQUIRED TO COMPLETE THE IMPROVEMENTS IN ACCORDANCE
WITH THE PLANS AND SPECIFICATIONS HAVE BEEN OBTAINED OR WILL BE OBTAINED PRIOR
TO THE INITIAL CONSTRUCTION/TERM LOAN DISBURSEMENT , EXCEPT TO THE EXTENT THAT
FAILURE TO OBTAIN ANY GOVERNMENTAL APPROVAL WOULD NOT HAVE A MATERIAL ADVERSE
EFFECT ON BORROWER, THE IMPROVEMENTS AND/OR THE ABILITY OF BORROWER PAY AND/OR
PERFORM THE OBLIGATIONS, AND ALL LAWS RELATING TO THE DEVELOPMENT, CONSTRUCTION
AND OPERATION OF THE IMPROVEMENTS HAVE BEEN COMPLIED WITH IN ALL MATERIAL
RESPECTS AND ALL PERMITS AND LICENSES REQUIRED FOR THE OPERATION OF THE
BIODIESEL PLANT WHICH CANNOT BE OBTAINED UNTIL SUCH DEVELOPMENT AND CONSTRUCTION
IS COMPLETED CAN BE OBTAINED IF THE IMPROVEMENTS ARE COMPLETED IN ACCORDANCE
WITH THE PLANS AND SPECIFICATIONS.
WHEN THE IMPROVEMENTS ARE COMPLETED IN
ACCORDANCE WITH THE PLANS AND SPECIFICATIONS, NO BUILDING OR OTHER IMPROVEMENT
WILL ENCROACH UPON ANY PROPERTY LINE, BUILDING LINE, SETBACK LINE, SIDE YARD
LINE OR ANY RECORDED OR VISIBLE EASEMENT (OR OTHER EASEMENT OF WHICH BORROWER IS
AWARE OR HAS REASON TO BELIEVE MAY EXIST) WITH RESPECT TO THE PROPERTY, AND THE
USE OF THE IMPROVEMENTS WILL COMPLY WITH ALL REQUIREMENTS OF GOVERNMENTAL
AUTHORITIES AND ANY RESTRICTIVE COVENANTS TO WHICH THE PROPERTY MAY BE SUBJECT.
4.13
BROKERAGE FEES. NO BROKERAGE FEES OR COMMISSIONS ARE PAYABLE
BY OR TO ANY PERSON IN CONNECTION WITH THIS AGREEMENT OR THE LOAN TO BE
DISBURSED HEREUNDER.
4.14
NO MARGIN STOCK; NO PLAN ASSETS.
THE LOAN IS NOT BEING MADE
FOR THE PURPOSE OF PURCHASING OR CARRYING "MARGIN STOCK" WITHIN THE MEANING OF
REGULATION G, T, U OR X ISSUED BY THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE
SYSTEM, AND BORROWER AGREES TO EXECUTE ALL INSTRUMENTS NECESSARY TO COMPLY WITH
ALL THE REQUIREMENTS OF REGULATION U OF THE FEDERAL RESERVE SYSTEM, AS AT ANY
TIME AMENDED.
BORROWER IS NOT A PARTY IN INTEREST TO ANY PLAN DEFINED OR
REGULATED UNDER ERISA, AND THE ASSETS OF BORROWER ARE NOT "PLAN ASSETS" OF ANY
EMPLOYEE BENEFIT PLAN COVERED BY ERISA OR SECTION 4975 OF THE INTERNAL REVENUE
CODE.
4.15
INVESTMENTS.
BORROWER HAS NO LOANS TO OR INVESTMENTS IN ANY
PERSON.