TEN (10) BUSINESS DAYS AFTER BORROWERS HAVE SUBMITTED EVIDENCE OF SATISFACTION
BY BORROWERS OF EACH OF THE FOLLOWING CONDITIONS WITH RESPECT TO EACH
DISBURSEMENT: (I) BORROWERS SHALL SUBMIT A WRITTEN REQUEST FOR PAYMENT TO LENDER
AT LEAST TEN (10) BUSINESS DAYS PRIOR TO THE DATE ON WHICH BORROWERS REQUEST
SUCH PAYMENT BE MADE, WHICH REQUEST SHALL SPECIFY THE REQUIRED REPAIRS TO BE
PAID ON A PROPERTY-BY-PROPERTY BASIS; (II) ON THE DATE SUCH REQUEST IS RECEIVED
BY LENDER AND ON THE DATE SUCH PAYMENT IS TO BE MADE, NO EVENT OF DEFAULT SHALL
EXIST AND REMAIN UNCURED; (III) LENDER SHALL HAVE RECEIVED AN OFFICER'S
CERTIFICATE AND/OR A CONTRACTOR'S OR ARCHITECT'S CERTIFICATE (TOGETHER WITH AN
OFFICER'S CERTIFICATE, THE "CERTIFICATE") WHICH COLLECTIVELY SHALL (A) STATE
THAT ALL REQUIRED REPAIRS TO BE FUNDED BY THE REQUESTED DISBURSEMENT HAVE BEEN
COMPLETED IN A GOOD AND WORKMANLIKE MANNER IN ALL MATERIAL RESPECTS AND IN
ACCORDANCE WITH ALL LEGAL REQUIREMENTS IN ALL MATERIAL RESPECTS, SUCH
CERTIFICATE TO BE ACCOMPANIED BY A COPY OF ANY LICENSE, PERMIT OR OTHER APPROVAL
BY ANY GOVERNMENTAL AUTHORITY NECESSARY TO PERMIT THE COMMENCEMENT AND/OR
COMPLETION OF THE REQUIRED REPAIRS, IF APPLICABLE, (B) IDENTIFY EACH PERSON THAT
SUPPLIED MATERIALS OR LABOR IN CONNECTION WITH THE REQUIRED REPAIRS TO BE FUNDED
BY THE REQUESTED DISBURSEMENT, (C) STATE THAT EACH SUCH PERSON HAS BEEN PAID IN
FULL OR WILL BE PAID IN FULL UPON SUCH DISBURSEMENT FOR WORK COMPLETED AND/OR
MATERIALS FURNISHED TO DATE, SUCH CERTIFICATE TO BE ACCOMPANIED BY LIEN WAIVERS
WITH RESPECT TO CONTRACTS THE VALUE OF WHICH EXCEEDS $175,000.00 OR OTHER
EVIDENCE OF PAYMENT REASONABLY SATISFACTORY TO LENDER, (D) STATE THAT THE
REQUIRED REPAIRS TO BE FUNDED HAVE NOT BEEN THE SUBJECT OF A PREVIOUS
DISBURSEMENT, AND (E) STATE THAT ALL PREVIOUS DISBURSEMENTS FROM THE REQUIRED
REPAIRS FUND HAVE BEEN USED TO PAY THE PREVIOUSLY IDENTIFIED REQUIRED REPAIRS;
AND (IV) TO THE EXTENT REQUESTED BY LENDER, A TITLE SEARCH INDICATING THAT THE
APPLICABLE PROPERTY IS FREE FROM ALL LIENS, CLAIMS AND OTHER ENCUMBRANCES NOT
PREVIOUSLY APPROVED BY LENDER.
LENDER SHALL NOT BE
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REQUIRED TO MAKE DISBURSEMENTS FROM THE REQUIRED REPAIR ACCOUNT UNLESS SUCH
REQUESTED DISBURSEMENT IS IN AN AMOUNT GREATER THAN FIVE THOUSAND DOLLARS
($5,000) (OR A LESSER AMOUNT IF THE TOTAL AMOUNT IN THE REQUIRED REPAIR ACCOUNT
IS LESS THAN FIVE THOUSAND DOLLARS ($5,000), IN WHICH CASE ONLY ONE DISBURSEMENT
OF THE AMOUNT REMAINING IN THE ACCOUNT SHALL BE MADE) AND SUCH DISBURSEMENT
SHALL BE MADE ONLY UPON SATISFACTION OF EACH CONDITION CONTAINED IN THIS SECTION
7.1.2.
(B)
NOTHING IN THIS SECTION 7.1.2 SHALL (I) MAKE
LENDER RESPONSIBLE FOR PERFORMING OR COMPLETING ANY REQUIRED REPAIRS; (II)
REQUIRE LENDER TO EXPEND FUNDS IN ADDITION TO THE REQUIRED REPAIRS FUND TO
COMPLETE ANY REQUIRED REPAIRS; (III) OBLIGATE LENDER TO PROCEED WITH ANY
REQUIRED REPAIRS; OR (IV) OBLIGATE LENDER TO DEMAND FROM ANY BORROWER ADDITIONAL
SUMS TO COMPLETE ANY REQUIRED REPAIRS.
(C)
EACH BORROWER SHALL PERMIT LENDER AND
LENDER'S AGENTS AND REPRESENTATIVES (INCLUDING LENDER'S ENGINEER, ARCHITECT OR
INSPECTOR) OR THIRD PARTIES TO