Document:

Exhibit 10.10

 

AMENDED
AND RESTATED PLEDGE OF SHARES OF BENEFICIAL INTEREST AGREEMENT

(LEASE
NO. 2)

 

THIS AMENDED AND RESTATED PLEDGE
OF SHARES OF BENEFICIAL INTEREST AGREEMENT (this “Agreement”) is made and given as of June 30,
2008 by FSQ, INC., a Delaware
corporation and FS TENANT HOLDING COMPANY
TRUST, a Maryland business trust (collectively, the “Pledgors”),
for the benefit of CCC FINANCING I TRUST,
a Maryland business trust, CCC OF KENTUCKY
TRUST, a Maryland business trust, CCC
OHIO HEALTHCARE TRUST, a Maryland business trust, CCC PUEBLO NORTE TRUST, a Maryland business
trust, CCC INVESTMENTS I, L.L.C.,
a Delaware limited liability company, CCCP
SENIOR LIVING LLC, a Delaware limited liability company, CCDE SENIOR LIVING LLC, a Delaware limited
liability company, CCFL SENIOR LIVING LLC,
a Delaware limited liability company, CCOP
SENIOR LIVING LLC, a Delaware limited liability company, CCSL SENIOR LIVING LLC, a Delaware limited
liability company, LTJ SENIOR COMMUNITIES LLC,
a Delaware limited liability company, CCC
FINANCING LIMITED, L.P., a Delaware limited partnership, CCC RETIREMENT COMMUNITIES II, L.P., a
Delaware partnership, HRES1 PROPERTIES TRUST,
a Maryland real estate investment trust, LEISURE
PARK VENTURE LIMITED PARTNERSHIP, a Delaware limited partnership,
and PANTHER HOLDINGS LEVEL I, L.P.,
a Delaware limited partnership (together with its respective successors and
assigns, collectively, the “Secured Parties”).

 

W  I  T  N  E
S  S  E  T  H:

 

WHEREAS, FS Tenant Holding Company Trust, a Maryland business trust,  and  FS Tenant Pool III
Trust, a Maryland business trust (collectively, “Sunrise Tenant”),
and certain Entities comprising the Secured Parties, are parties to that
certain Amended Master Lease Agreement, dated as of January 11, 2002, as
the same has been amended to date (as so amended, the “Original Sunrise
Lease”); and

 

WHEREAS, the Pledgors and certain Entities comprising the Secured Parties are
parties to that certain Pledge of Shares of Beneficial Interest Agreement,
dated as of January 11, 2002 (the “Original Sunrise Pledge Agreement”),
executed in connection with the Original
Sunrise Lease; and

 

WHEREAS, FS Commonwealth LLC, a Maryland limited
liability company, and FS Patriot LLC, a Maryland limited liability company (collectively, “Rehab Tenant”, and
together with Sunrise Tenant, collectively, “Tenant”), and HRES1 Properties Trust

 

 

(“HRES1”), are
parties to that certain Amended and Restated Master Lease Agreement, dated as
of October 1, 2006, as the same has been amended to date (as so amended,
the “Original Rehabilitation Hospital Lease”, and together with the Original Sunrise Lease, collectively, the “Original
Leases”).

 

WHEREAS, FSQ, Inc. and HRES1 are parties to that certain Amended and
Restated Pledge Agreement, dated as of October 1, 2006 (the “Original
Rehab Pledge Agreement”, and together with the Original Sunrise Pledge
Agreement, collectively, the “Original Pledge Agreements”), executed in
connection with the Original
Rehabilitation Hospital Lease; and

 

WHEREAS, the Secured
Parties and Tenant are amending, restating and consolidating the Original
Leases into a single lease which shall be named the Amended and Restated Master Lease
Agreement (Lease No. 2), (the “Amended Lease No. 2”);

 

WHEREAS, the Pledgors currently own all of the
outstanding shares of beneficial interest in Tenant and are wholly-owned
subsidiaries of Five Star Quality Care, Inc. (the “Guarantor”); and

 

WHEREAS, the Pledgors and the Secured Parties
wish to amend, restate and consolidate the Original Pledge Agreements, subject
to and upon the terms and conditions herein set forth;

 

NOW,
THEREFORE, in
consideration of the foregoing and for other good and valuable consideration,
the mutual receipt and legal sufficiency of which are hereby acknowledged, the
Pledgors and the Secured Parties agree that the Original Pledge Agreements are
hereby amended, restated and consolidated, effective as of the date hereof, to
read as follows:

 

Section 1. 
Certain Terms.  Capitalized
terms used and not otherwise defined in this Agreement shall have the meanings
ascribed to such terms in the Amended Lease No. 2.  The Amended Lease No. 2 and the other
Incidental Documents are herein collectively referred to as the “Transaction
Documents”.

 

Section 2. 
Pledge.  The Pledgors hereby pledge to the Secured
Parties all of the shares of beneficial interests in each of the Entities
comprising Tenant (the “Pledged Interests”) and all other shares of
beneficial interest in each of the Entities comprising Tenant in which the
Pledgors may have rights from time to time and any other securities or other
investment property and other collateral of the Pledgors now owned or hereafter
acquired which under this Agreement are required to be 

 

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pledged to the Secured Parties, and in each case, all
certificates representing such Pledged Interests or other investment property
or collateral, and all rights, options, warrants, stock or other securities or
other property which may hereafter be received, receivable or distributed in
respect of the Pledged Interests, together with all proceeds of the foregoing,
including, without limitation, all dividends, cash, notes, securities or other
property from time to time acquired, receivable or otherwise distributed in
respect of, or in exchange for, the foregoing, (the Pledged Interests and any
additional securities or collateral pledged hereunder, collectively, the “Pledged
Collateral”), and the Pledgors hereby grant to the Secured Parties a
security interest in all of the Pledged Collateral and the proceeds thereof as
security for the due and punctual payment and performance of the Secured
Obligations (as hereinafter defined).

 

The
Pledgors have delivered to and deposited with the Secured Parties any and all
certificates or other instruments representing the Pledged Collateral and
undated trust share powers endorsed in blank, as security for the payment and
performance of all of the Secured Obligations. 
If in the future any Pledgor possesses or controls any other
certificates or other instruments representing the Pledged Collateral, such
Pledgor shall immediately and without notice deliver the same to the Secured
Parties together with undated trust share powers endorsed in blank, as security
for the payment and performance of all of the Secured Obligations.

 

Section 3. 
Secured Obligations.  For purposes
of this Agreement, the term “Secured Obligations” shall mean the payment
and performance of each and every obligation of Tenant and the Guarantor under
the Transaction Documents or relating thereto, whether now existing or
hereafter arising, and including, without limitation, the payment of the full
amount of the Rent payable under the Amended Lease No. 2.

 

Section 4. 
Representations of the Pledgors.  Each Pledgor
covenants that the Pledged Interests are duly and validly pledged to the
Secured Parties in accordance with law and such Pledgor shall warrant and
defend the Secured Parties’ right, title and security interest in and to the
Pledged Interests against the claims and demands of all persons whomsoever.
Each Pledgor represents and warrants to the Secured Parties that such Pledgor
has good and marketable title to all the Pledged Interests pledged by it
hereunder, free and clear of all claims, mortgages, pledges, liens, security
interests and other encumbrances of every nature whatsoever; that the Pledged 

 

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Interests are not subject to any restriction on
transfer contained in the Declarations of Trust, Certificates of Formation,
Limited Liability Company Agreements or any other charter documents of any of
the Entities comprising Tenant or in any agreement or instrument to which any
of the Entities comprising Tenant or such Pledgor is a party or by which any of
the Entities comprising Tenant or such Pledgor is bound which would prohibit or
restrict the pledge of the Pledged Interests hereunder or the disposition
thereof upon default hereunder; that all of the Pledged Interests have been
duly and validly issued and are fully paid for and nonassessable; and that the
Pledged Interests constitute all of the presently issued and outstanding shares
of the beneficial interests of each of the Entities comprising Tenant.

 

Section 5. 
Covenants of the Pledgors.  Each Pledgor
hereby covenants and agrees that it shall not sell, convey or otherwise dispose
of any of the Pledged Collateral nor create, incur or permit to exist any
pledge, mortgage, lien, charge, encumbrance or any security interest whatsoever
with respect to any of the Pledged Collateral or the proceeds thereof, other
than the liens on and security interests in the Pledged Collateral created
hereby.  Each Pledgor further covenants
and agrees that it shall not consent to or approve the admission of any new
member in any of the Entities comprising Tenant.  Each Pledgor further covenants and agrees
that, until the Secured Obligations are paid in full, such Pledgor shall not
change the state of its organization or its name without providing the Secured
Parties with thirty (30) days’ prior written notice and making all filings and
taking all such other actions as the Secured Parties determine are necessary or
appropriate to continue or perfect the security interest granted hereunder.

 

Section 6. 
Filing of Financing Statements, Etc. 
Each Pledgor authorizes the Secured Parties to file from time to time
one or more financing statements describing the Pledged Collateral. Each
Pledgor will cooperate with the Secured Parties at their request from time to
time in obtaining control agreements in form and substance reasonably
satisfactory to the Secured Parties with respect to any collateral investment
property, deposit accounts, or other Pledged Collateral as to which the Secured
Parties determine such agreements are necessary or appropriate to perfect the
security interest granted hereunder.

 

Section 7. 
Distributions, Etc.  Upon the
dissolution, winding up, liquidation or reorganization of any Entity comprising
Tenant, whether in bankruptcy, insolvency or 

 

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receivership proceedings or upon an assignment for the
benefit of creditors or any other marshalling of the assets and liabilities of
any Entity comprising Tenant, if any sum shall be paid or any property shall be
distributed upon or with respect to any of the Pledged Collateral, such sum
shall be paid over to the Secured Parties, to be held as collateral security
for the Secured Obligations.  If any
dividend shall be declared on any of the Pledged Collateral (excluding cash
dividends), or any share of beneficial interest or fraction thereof shall be
issued pursuant to any split of beneficial interests involving any of the
Pledged Collateral, or any distribution of capital shall be made on any of the
Pledged Collateral, or any property shall be distributed upon or with respect
to the Pledged Collateral pursuant to recapitalization or reclassification of
the capital of any Entity comprising Tenant, the shares or other property so
distributed shall be delivered to the Secured Parties to be held as collateral
security for the Secured Obligations.

 

Section 8. 
Event of Default.  For purposes
of this Agreement, the term “Event of Default” shall mean (a) the
occurrence of an Event of Default under the Transaction Documents; (b) the
failure of the Guarantor to comply with any of its covenants or obligations
under any Guaranty and the continuation thereof for a period of ten (10) Business
Days after written notice thereof; (c) the failure of any Pledgor to
comply with any of its covenants or obligations under this Agreement and the
continuation thereof for a period of ten (10) Business Days after written
notice thereof; or (d) any representation or warranty contained herein or
made by any Pledgor in connection herewith shall prove to have been false or
misleading in any material respect when made.

 

Section 9. 
Remedies.  (a) Upon
the occurrence and during the continuance of an Event of Default, the Secured
Parties may cause all or any of the Pledged Collateral to be transferred into
its name or into the name of its nominee or nominees, subject to the provisions
of the Uniform Commercial Code or other applicable law.

 

(b)           Upon
the occurrence and during the continuance of an Event of Default, the Secured
Parties shall be entitled to exercise the voting power with respect to the
Pledged Collateral, to receive and retain, as collateral security for the
Secured Obligations, any and all dividends or other distributions at any time
and from time to time declared or made upon any of the Pledged Collateral, and
to exercise any and all such rights of payment, conversion, exchange,
subscription or any other rights, privileges or options pertaining to the 

 

5

 

Pledged Collateral as if it were the absolute owner
thereof, including, without limitation, all such rights under the Declarations
of Trust, Certificates of Formation, Limited Liability Company Agreements or
any other charter documents of any Entity comprising Tenant, and further
including, without limitation, the right to exchange, at its discretion, any
and all of the Pledged Collateral upon the merger, consolidation,
reorganization, recapitalization or other readjustment of such Entity, upon the
exercise of any such right, privilege or option pertaining to the Pledged Collateral,
and in connection therewith, to deposit and deliver any and all of the Pledged
Collateral with any committee, depositary, transfer agent, registrar or other
designated agency upon such terms and conditions as the Secured Parties may
determine.

 

(c)           Upon
the occurrence and during the continuance of an Event of Default, the Secured
Parties shall have all of the rights and remedies of a secured party under the
Uniform Commercial Code or other applicable law and shall have the right to
sell, resell, assign and deliver all or any of the Pledged Collateral in one or
more parcels at any exchange or broker’s board or at public or private
sale.  The Secured Parties shall give the
Pledgors at least ten (10) days’ prior written notice of the time and
place of any public sale thereof or of the time after which any private sale or
any other intended disposition thereof is to be made.  Any such notice shall be deemed to meet any
requirement hereunder or under any applicable law (including the Uniform
Commercial Code) that reasonable notification be given of the time and place of
such sale or other disposition.  Such
notice may be given without any demand of performance or other demand, all such
demands being hereby expressly waived by the Pledgors to the extent permitted
by applicable law.  All such sales shall
be at such commercially reasonable price or prices as the Secured Parties shall
deem best and either for cash or on credit or for future delivery (without
assuming any responsibility for credit risk). 
At any such sale or sales, the Secured Parties may purchase any or all
of the Pledged Collateral to be sold thereat upon such terms as the Secured
Parties may deem best.  Upon any such
sale or sales, the Pledged Collateral so purchased shall be held by the purchaser
absolutely free from any claims or rights of any kind or nature of any Pledgor,
including any equity of redemption and any similar rights, all such equity of
redemption and any similar rights being hereby expressly waived and released by
such Pledgor to the extent permitted by applicable law.  In the event any consent, approval or
authorization of any governmental agency will be necessary to effectuate any
such sale or sales, such Pledgor shall execute, and hereby agree to cause the 

 

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applicable Entity comprising Tenant to execute, all
such applications or other instruments as may be required.  The proceeds of any such sale or sales,
together with any other additional collateral security at the time received and
held hereunder, shall be received and applied: 
first, to the payment of all costs and expenses of such sale,
including attorneys’ fees; and second, to the payment of the Secured
Obligations in such order of priority as the Secured Parties shall determine;
and any surplus thereafter remaining shall be paid to such Pledgor or to
whomever may be legally entitled thereto (including, if applicable, any
subordinated creditor of such Pledgor).

 

Each
Pledgor recognize that the Secured Parties may be unable to effect a public
sale of all or a part of the Pledged Collateral by reason of certain
prohibitions contained in the Securities Act of 1933, and may be compelled to
resort to one or more private sales to a restricted group of purchasers who
will be obliged to agree, among other things, to acquire such Pledged
Collateral for their own accounts, for investment and not with a view to the
distribution or resale thereof.  Each
Pledgor agrees that private sales so made may be at prices and upon other terms
less favorable to the seller than if such Pledged Collateral were sold at
public sales, and that the Secured Parties shall have no obligation to delay
sale of any such Pledged Collateral for the period of time necessary to permit
such Pledged Collateral to be registered for public sale under the Securities
Act of 1933. Each Pledgor agrees that private sales made under the foregoing
circumstances may be deemed to have been made in a commercially reasonable
manner.  Nothing herein shall be deemed
to require any Pledgor to effect a registration of the Pledged Collateral under
the Securities Act of 1933.

 

(d)           Upon
the occurrence and during the continuance of any Event of Default, the Secured
Parties, in their discretion, may demand, sue for and/or collect any money or
property at any time due, payable or receivable, to which it may be entitled
hereunder, on account of or in exchange for any of the Pledged Collateral.  Upon the occurrence and during the
continuance of any Event of Default, the Secured Parties shall further have the
right, for and in the name, place and stead of each Pledgor, to execute
endorsements, assignments, or other instruments of conveyance or transfer with
respect to all or any of the Pledged Collateral.

 

(e)           The
Secured Parties shall not be obligated to do any of the acts hereinabove
authorized and in the event that the Secured Parties elect to do any such act,
the Secured Parties 

 

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shall not be responsible to any Pledgor, other than
for gross negligence or willful misconduct.

 

(f)            The Secured Parties shall have no obligation to
marshal any assets in favor of any Pledgor, or against or in payment of the
Secured Obligations or any other obligation owed to the Secured Parties by any
Pledgor or any other person.

 

Section 10. 
Rights of Secured Parties.  No course of
dealing between any Pledgor and the Secured Parties nor any failure to
exercise, nor any delay in exercising, on the part of the Secured Parties, any
right, power or privilege hereunder or under any of the Secured Obligations,
shall operate as a waiver thereof; nor shall any single or partial exercise of
any right, power or privilege hereunder or thereunder preclude any other or
further exercise thereof or the exercise of any other right, power or
privilege.  The rights and remedies
herein provided and provided under any of the Secured Obligations are
cumulative and are in addition to, and not exclusive of, any rights or remedies
provided by law, including, without limitation, the rights and remedies of the
Secured Parties under the Uniform Commercial Code.

 

Section 11. 
Assignment, Etc.  No waiver by
the Secured Parties or by any other holder of Secured Obligations of any
default shall be effective unless in writing nor operate as a waiver of any
other default or of the same default on a future occasion.  In the event of a sale or assignment by the
Secured Parties of its interests under the Transaction Documents, the Secured
Parties may assign or transfer its rights and interests under this Agreement in
whole or in part to the purchaser or assignee of such interests, whereupon such
purchaser or purchasers shall become vested with all of the powers and rights
given to the Secured Parties hereunder, and the Secured Parties shall thereafter
be forever released and fully discharged from any liability or responsibility
thereafter arising hereunder with respect to the rights and interests so
assigned.

 

Section 12. 
Duty of Secured Parties.  Beyond the
exercise of reasonable care to assure the safe custody of the Pledged
Collateral while held hereunder, the Secured Parties shall have no duty or
liability to collect any sums due in respect thereof or to protect or preserve
rights pertaining thereto, and shall be relieved of all responsibility for the
Pledged Collateral upon surrendering the same to the Pledgors.

 

Section 13. 
Waivers, Etc.  To the extent
permitted by applicable law, each Pledgor, on its own behalf and on behalf of 

 

8

 

its successors and assigns, hereby waive presentment,
demand, payment, notice of dishonor, protest and, except as otherwise provided
herein, all other demands and notices in connection with this Agreement or the
enforcement of the rights of the Secured Parties hereunder or in connection
with any Secured Obligations.  The
Secured Parties may release, supersede, exchange or modify any collateral
security it may from time to time hold and release, surrender or modify the
liability of any third party without giving notice hereunder to the
Pledgors.  The Secured Parties shall be
under no duty to exhaust their rights against any such collateral security or
any such third party before realizing on the Pledged Collateral.  Such modifications, changes, renewals,
releases or other actions shall in no way affect any Pledgor’s obligations
hereunder.

 

Each
Pledgor further waive any right it may have under the Constitution of the
Commonwealth of Massachusetts (or under the constitution of any other state in
which any of the Pledged Collateral may be located), or under the Constitution
of the United States of America, to notice (except for notice specifically
required hereby) or to a judicial hearing prior to the exercise of any right or
remedy provided by this Agreement to the Secured Parties, and waives its
rights, if any, to set aside or invalidate any sale duly consummated in
accordance with the foregoing provisions hereof on the grounds (if such be the
case) that the sale was consummated without a prior judicial hearing. EACH
PLEDGOR’S WAIVERS UNDER THIS SECTION 13 HAVE BEEN MADE VOLUNTARILY,
INTELLIGENTLY AND KNOWINGLY AND AFTER SUCH PLEDGOR HAS BEEN APPRISED AND
COUNSELED BY ITS ATTORNEYS AS TO THE NATURE THEREOF AND ITS POSSIBLE
ALTERNATIVE RIGHTS.

 

Section 14. 
Further Assurances as to Collateral; Attorney-in-Fact. 
From time to time hereafter, each Pledgor shall execute and deliver, or
will cause to be executed and delivered, such additional instruments,
certificates or documents (including, without limitation, financing statements,
renewal statements, collateral assignments and other security documents), and
shall take all such actions, as the Secured Parties may reasonably request, for
the purposes of implementing or effectuating the provisions of this Agreement
or of more fully perfecting or renewing the Secured Parties’ rights with
respect to the Pledged Collateral (or with respect to any additions thereto or
replacements or proceeds thereof or with respect to any other property or
assets hereafter acquired by such Pledgor which may be deemed to be a part of
the Pledged Collateral) pursuant hereto and thereto.  The Secured Parties are hereby appointed the
attorney-in-fact, with full power of substitution, of each Pledgor for the
purpose of carrying out 

 

9

 

the provisions of this Agreement and taking any
action, including, without limitation, executing, delivering and filing
applications, certificates, instruments and other documents and papers with
governmental authorities, and executing any instruments, including without
limitation, assignments, conveyances and transfers which are required to be
taken or executed by such Pledgor under this Agreement, on its behalf and in
its name which appointment is coupled with an interest, is irrevocable and
durable and shall survive the subsequent dissolution, disability or incapacity
of such Pledgor.

 

Section 15. 
Notices.  (a) Any
and all notices, demands, consents, approvals, offers, elections and other
communications required or permitted under this Agreement shall be deemed
adequately given if in writing and the same shall be delivered either in hand,
by telecopier with electronic confirmation of receipt, or by mail or Federal
Express or similar expedited commercial carrier, addressed to the recipient of
the notice, postpaid and registered or certified with return receipt requested
(if by mail), or with all freight charges prepaid (if by Federal Express or
similar carrier).

 

(b)           All notices required or permitted to be sent hereunder
shall be deemed to have been given for all purposes of this Agreement upon the
date of electronic confirmation of receipt, in the case of a notice by
telecopier, and, in all other cases, upon the date of receipt or refusal,
except that whenever under this Agreement a notice is either received on a day
which is not a Business Day or is required to be delivered on or before a
specific day which is not a Business Day, the day of receipt or required
delivery shall automatically be extended to the next Business Day.

 

(c)           All such notices shall be addressed,

 

if to
the Secured Parties to:

 

c/o
Senior Housing Properties Trust

400
Centre Street

Newton,
Massachusetts  02458

Attn:  Mr. David J. Hegarty

[Telecopier No. (617)
796-8349]

 

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if to
the Pledgors to:

 

c/o
Five Star Quality Care, Inc.

400
Centre Street

Newton,
Massachusetts  02458

Attn:  Mr. Bruce J. Mackey Jr.

[Telecopier No. (617)
796-8385]

 

(d)           By notice given as herein provided, the parties hereto
and their respective successors and assigns shall have the right from time to
time and at any time during the term of this Agreement to change their
respective addresses effective upon receipt by the other parties of such notice
and each shall have the right to specify as its address any other address
within the United States of America or to such other address as the party to
whom such notice is directed may have designated in writing to the other
parties hereto.

 

Section 16. 
Successors and Assigns.  This
Agreement shall be binding upon and inure to the benefit of the parties hereto
and their respective successors and assigns, and the term “Secured Parties”
shall be deemed to include any other holder or holders of any of the Secured
Obligations.  Where the context so
permits or requires, terms defined herein in the singular number shall include
the plural, and in the plural number, the singular.  This Agreement may be executed in any number
of counterparts and by the different parties on separate counterparts, each of
which, when so executed and delivered, shall be an original and all of which
shall together constitute one and the same agreement.

 

Section 17. 
Appointment of Agent for Secured Parties.  Each of the Secured Parties hereby appoints CCC
Financing I Trust as its agent for the following purposes under this Agreement
(including, without limitation, the full power and authority to act of the
Secured Parties’ behalf for such purposes): (i) to give or receive
notices, demands, claims and other communications on behalf of the Secured
Parties under this Agreement and (ii) to receive and hold any and all
certificates or other instruments representing the Pledged Collateral which are
to be delivered from time to time by the Pledgors to the Secured Parties in
accordance with the terms and conditions of this Agreement.

 

Section 18. 
Reinstatement.  This
Agreement shall continue to be effective, or be reinstated, as the case may be,
if at any time any amount received by the Secured Parties in respect of the
Pledged Collateral is rescinded or must otherwise be 

 

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restored or returned by the Secured Parties upon the
insolvency, bankruptcy, dissolution, liquidation or reorganization of any
Pledgors or upon the appointment of any intervenor or conservator of, or
trustee or similar official for any Pledgor or any substantial part of its or
property, or otherwise, all as though such payments had not been made.

 

Section 19. 
Restrictions on Transfer.  To the extent
that any restrictions imposed by the Declarations of Trust, Certificates of
Formation, Limited Liability Company Agreements or any other charter documents
of any Entity comprising Tenant or any other document or instrument would in
any way affect or impair the pledge of the Pledged Collateral hereunder or the
exercise by the Secured Parties of any right granted hereunder including,
without limitation, the right of the Secured Parties to dispose of the Pledged
Collateral upon the occurrence of any Event of Default, each Pledgor hereby
waives such restrictions, and each Pledgor hereby agrees that it will take any
action which the Secured Parties may reasonably request in order that the
Secured Parties may obtain and enjoy the full rights and benefits granted to
the Secured Parties by this Agreement free of any such restrictions.

 

Section 20.  Applicable Law.  This
Agreement and any other instruments executed and delivered to evidence,
complete or perfect the transactions contemplated hereby and thereby shall be
interpreted, construed, applied and enforced in accordance with the laws of the
Commonwealth of Massachusetts applicable to contracts between residents of
Massachusetts which are to be performed entirely within Massachusetts
regardless of (i) where any such instrument is executed or delivered; or (ii) where
any payment or other performance required by any such instrument is made or
required to be made; or (iii) where any breach of any provision of any
such instrument occurs, or any cause of action otherwise accrues; or (iv) where
any action or other proceeding is instituted or pending; or (v) the
nationality, citizenship, domicile, principal place of business, or
jurisdiction of organization or domestication of any party; or (vi) whether the
laws of the forum jurisdiction otherwise would apply the laws of a jurisdiction
other than the Commonwealth of Massachusetts; or (vii) any combination of
the foregoing.

 

Section 21. 
Arbitration.  The Secured
Parties or any Pledgor may elect to submit any dispute hereunder that has an
amount in controversy in excess of $250,000 to arbitration hereunder.  Any such arbitration shall be conducted in
Boston, Massachusetts in accordance with the Commercial Arbitration Rules of
the American Association then pertaining and the 

 

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decision of the arbitrators with respect to such
dispute shall be binding, final and conclusive on the parties.

 

In the
event the Secured Parties or any Pledgor shall elect to submit any such dispute
to arbitration hereunder, the Secured Parties and such Pledgor shall each
appoint and pay all fees of a fit and impartial person as arbitrator with at
least ten (10) years’ recent professional experience in the general
subject matter of the dispute.  Notice of
such appointment shall be sent in writing by each party to the other, and the
arbitrators so appointed, in the event of their failure to agree within thirty
(30) days after the appointment of the second arbitrator upon the matter so
submitted, shall appoint a third arbitrator. 
If either the Secured Parties or any Pledgor shall fail to appoint an
arbitrator, as aforesaid, for a period of twenty (20) days after written notice
from the other party to make such appointment, then the arbitrator appointed by
the party having made such appointment shall appoint a second arbitrator and
the two (2) so appointed shall, in the event of their failure to agree upon any
decision within thirty (30) days thereafter, appoint a third arbitrator.  If such arbitrators fail to agree upon a
third arbitrator within forty five (45) days after the appointment of the
second arbitrator, then such third arbitrator shall be appointed by the
American Arbitration Association from its qualified panel of arbitrators, and
shall be a person having at least ten (10) years’ recent professional
experience as to the subject matter in question.  The fees of the third arbitrator and the
expenses incident to the proceedings shall be borne equally between the Secured
Parties and the Pledgor, unless the arbitrators decide otherwise.  The fees of respective counsel engaged by the
parties, and the fees of expert witnesses and other witnesses called for the
parties, shall be paid by the respective party engaging such counsel or calling
or engaging such witnesses.

 

The
decision of the arbitrators shall be rendered within thirty (30) days after
appointment of the third arbitrator. 
Such decision shall be in writing and in duplicate, one counterpart
thereof to be delivered to the Secured Parties and one to the Pledgor.  A judgment of a court of competent
jurisdiction may be entered upon the award of the arbitrators in accordance
with the rules and statutes applicable thereto then obtaining.

 

The
Secured Parties and each Pledgor acknowledge and agree that, to the extent any
such dispute shall involve any Manager and be subject to arbitration pursuant
to such Manager’s Management Agreement, the Secured Parties and such Pledgor
shall 

 

13

 

cooperate to consolidate any such arbitration hereunder
and under such Management Agreement into a single proceeding.

 

Section 22. 
Severability.  In case any
one or more of the provisions contained in this Agreement should be invalid,
illegal or unenforceable in any respect, the validity, legality and enforceability
of the remaining provisions contained herein shall not in any way be affected
or impaired thereby, but this Agreement shall be reformed and construed and
enforced to the maximum extent permitted by applicable law.

 

Section 23. 
Entire Contract.  This
Agreement constitutes the entire agreement between the parties hereto with
respect to the subject matter hereof and shall supersede and take the place of
any other instruments purporting to be an agreement of the parties hereto
relating to the subject matter hereof.

 

Section 24. 
Headings; Counterparts.  Headings in
this Agreement are for purposes of reference only and shall not limit or
otherwise affect the meaning hereof. 
This Agreement may be executed in any number of counterparts, each of
which shall be an original, but all of which together shall constitute one
instrument, and in pleading or proving any provision of this Agreement, it
shall not be necessary to produce more than one of such counterparts.

 

Section 25. 
NONLIABILITY OF TRUSTEES.  THE
DECLARATIONS OF TRUST ESTABLISHING CERTAIN ENTITIES COMPRISING THE SECURED
PARTIES, COPIES OF WHICH, TOGETHER WITH ALL AMENDMENTS THERETO (COLLECTIVELY,
THE “DECLARATIONS”), ARE DULY FILED WITH THE DEPARTMENT OF ASSESSMENTS
AND TAXATION OF THE STATE OF MARYLAND, PROVIDE THAT THE NAMES OF SUCH ENTITIES
REFER TO THE TRUSTEES UNDER SUCH DECLARATIONS COLLECTIVELY AS TRUSTEES, BUT NOT
INDIVIDUALLY OR PERSONALLY, AND THAT NO TRUSTEE, OFFICER, SHAREHOLDER, EMPLOYEE
OR AGENT OF SUCH ENTITIES SHALL BE HELD TO ANY PERSONAL LIABILITY, JOINTLY OR
SEVERALLY, FOR ANY OBLIGATION OF, OR CLAIM AGAINST, SUCH ENTITIES.  ALL PERSONS DEALING WITH SUCH ENTITIES, IN
ANY WAY, SHALL LOOK ONLY TO THE ASSETS OF SUCH ENTITIES FOR THE PAYMENT OF ANY
SUM OR THE PERFORMANCE OF ANY OBLIGATION.

 

Section 26. 
Original Pledge Agreements.  The Pledgors and the Secured Parties
acknowledge and agree that this Agreement amends and restates the Original
Pledge Agreements in their entirety with respect to the Pledged Collateral and
that this Agreement shall govern the rights and obligations of the Pledgors and
the Secured Parties with respect to the Pledged Collateral from and after the
date of this Agreement.  

 

14

 

Notwithstanding the
foregoing, the Original Pledge Agreements shall continue to govern the rights
and obligations of the Pledgors and the Secured Parties with respect to the
Pledged Collateral prior to the date of this Agreement.

 

[Remainder of page intentionally
blank.]

 

15

 

WITNESS
the execution hereof under seal as of the date above first written.

 

 

	
   

  	
  PLEDGOR:

  
	
   

  	
   

  	
   

  
	
   

  	
  FSQ, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Travis K. Smith

  
	
   

  	
   

  	
  Travis K. Smith

  
	
   

  	
   

  	
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FS
  TENANT HOLDING COMPANY TRUST

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Travis K.
  Smith

  
	
   

  	
   

  	
  Travis
  K. Smith

  
	
   

  	
   

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  SECURED PARTIES:

  
	
   

  	
   

  	
   

  
	
   

  	
  CCC FINANCING I TRUST,

  
	
   

  	
  CCC OF KENTUCKY TRUST,

  
	
   

  	
  CCC OHIO HEALTHCARE TRUST,

  
	
   

  	
  CCC PUEBLO NORTE TRUST

  
	
   

  	
  CCC INVESTMENTS I, L.L.C.,

  
	
   

  	
  CCCP SENIOR LIVING LLC,

  
	
   

  	
  CCDE SENIOR LIVING LLC,

  
	
   

  	
  CCFL SENIOR LIVING LLC,

  
	
   

  	
  CCOP SENIOR LIVING LLC,

  
	
   

  	
  CCSL SENIOR LIVING LLC,

  
	
   

  	
  LTJ SENIOR COMMUNITIES LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
  Treasurer and Chief
  Financial

  Officer of each of the foregoing

  entities

  

 

 

	
   

  	
  CCC FINANCING LIMITED, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  CCC RETIREMENT TRUST,

  
	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer and Chief
  Financial

  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  CCC RETIREMENT COMMUNITIES II,
  L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  CRESTLINE VENTURES LLC,

  
	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer and Chief
  Financial

  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  HRES1 PROPERTIES TRUST

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
  Treasurer and Chief
  Financial

  Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  LEISURE PARK VENTURE LIMITED

  PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  CCC LEISURE PARK
  CORPORATION,

  
	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer and Chief
  Financial

  Officer

  

 

 

	
   

  	
  PANTHER HOLDINGS LEVEL I, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  PANTHER GENPAR TRUST,

  
	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer and Chief
  Financial

  OfficerExhibit 10.11

 

AMENDED
AND RESTATED SECURITY AGREEMENT

(LEASE
NO. 2)

 

THIS
AMENDED AND RESTATED SECURITY AGREEMENT (this “Agreement”) is entered into as of June 30,
2008, by FS PATRIOT LLC, a
Maryland limited liability company, FS
COMMONWEALTH LLC, a Maryland limited liability company, FS TENANT HOLDING COMPANY TRUST, a Maryland
business trust, and FS TENANT POOL III TRUST,
a Maryland business trust (collectively, “Tenant”), and CCC FINANCING I TRUST, a Maryland business
trust, CCC OF KENTUCKY TRUST, a
Maryland business trust, CCC OHIO HEALTHCARE
TRUST, a Maryland business trust, CCC
PUEBLO NORTE TRUST, a Maryland business trust, CCC INVESTMENTS I, L.L.C., a Delaware
limited liability company, CCCP SENIOR LIVING
LLC, a Delaware limited liability company, CCDE SENIOR LIVING LLC, a Delaware limited
liability company, CCFL SENIOR LIVING LLC,
a Delaware limited liability company, CCOP
SENIOR LIVING LLC, a Delaware limited liability company, CCSL SENIOR LIVING LLC, a Delaware limited
liability company, LTJ SENIOR COMMUNITIES LLC,
a Delaware limited liability company, CCC
FINANCING LIMITED, L.P., a Delaware limited partnership, CCC RETIREMENT COMMUNITIES II, L.P., a
Delaware partnership, HRES1 PROPERTIES TRUST,
a Maryland real estate investment trust, LEISURE
PARK VENTURE LIMITED PARTNERSHIP, a Delaware limited partnership,
and PANTHER HOLDINGS LEVEL I, L.P.,
a Delaware limited partnership (together with their successors and assigns,
collectively, the “Secured Parties”).

 

W  I  T  N
E  S  S  E  T  H:

 

WHEREAS, certain
entities comprising the Secured Parties and FS Tenant Holding Company Trust and FS Tenant Pool III
Trust (collectively, “Sunrise Tenant”), are parties to that certain Amended Master Lease Agreement, dated as of January 11,
2002, as the same has been amended to date (as so amended, the “Original
Sunrise Lease”); and

 

WHEREAS, the Sunrise Tenant executed that certain Security Agreement, dated as
of January 11, 2002, for the benefit of certain entities comprising the
Secured Parties in connection with the Original Sunrise Lease (the “Original
Sunrise Security Agreement”); and

 

WHEREAS, certain other
entities comprising the Secured Parties and FS Commonwealth LLC and FS Patriot LLC (collectively, “Rehab Tenant”) are
parties to that certain Amended and Restated Master Lease Agreement, dated as
of October

 

 

1, 2006, as the same has
been amended to date (as so amended, the “Original Rehabilitation Hospital
Lease” and, together with the Original Sunrise Lease, collectively, the “Original
Leases”); and

 

WHEREAS, the Rehab Tenant executed that certain Amended and Restated Security
Agreement, dated as of October 1, 2006, for the benefit of certain
entities comprising the Secured Parties in connection with the Original
Rehabilitation Hospital Lease (the “Original Rehab Security Agreement” and, together with the Original Sunrise
Lease, collectively, the “Original Security Agreements”); and

 

WHEREAS, the Secured
Parties and Tenant are amending, restating and consolidating the Original
Leases into a single lease, which shall be named the Amended and Restated Master Lease
Agreement (Lease No. 2), (the “Amended Lease No. 2”);

 

WHEREAS, the Secured Parties and Tenant wish to amend, restate and consolidate the
Original Security Agreements into one Security Agreement which grants to
the Secured Parties a first and perfected lien and security interest in the
Collateral (as hereinafter defined) as
security for the payment and performance of the Obligations (as hereinafter
defined);

 

NOW,
THEREFORE, in
consideration of the mutual covenants herein contained and other good and
valuable consideration, the mutual receipt and legal sufficiency of which are
hereby acknowledged, Tenant and the Secured Parties hereby agree that the
Original Security Agreements are hereby amended, restated and consolidated
effective as of the date hereof, to read as follows:

 

Section 1.    Definitions.  As used in
this Agreement, the following terms shall have the meanings specified
below.  Except as otherwise defined,
terms defined in the Uniform Commercial Code and used herein without definition
shall have the meanings given such terms in the Uniform Commercial Code.

 

“Affiliated
Person” shall
have the meaning given such term in the Amended Lease No. 2.

 

“Amended
Lease No. 2” shall have the meaning given such term in the recitals to this
Agreement.

 

“Business
Day” shall
have the meaning given such term in the Amended Lease No. 2.

 

2

 

“Collateral” shall mean all of Tenant’s right, title
and interest in and under or arising out of all and any personal property,
intangibles and fixtures of any type or description (other than Excluded
Collateral), wherever located and now existing or hereafter arising, or which
constitute or arise from the operation, maintenance or repair of the Leased
Property or any portion thereof, together with any and all additions and
accessions thereto and replacements, products, proceeds (including, without
limitation, proceeds of insurance) and supporting obligations thereof,
including, but not limited to, the following:

 

(a)                                  all goods, including, without limitation, all
Equipment; and

 

(b)                                 all General Intangibles; and

 

(c)                                  all other personal property or fixtures
of any nature whatsoever which relate to the operation, maintenance or repair
of the Leased Property, or any portion thereof, and all property from time to
time described in any financing statement signed by Tenant naming the Secured
Parties as secured parties; and

 

(d)                                 all claims, rights, powers or privileges and remedies
relating to the foregoing or arising in connection therewith, including,
without limitation, all Licenses and Permits which Tenant legally may grant a
security interest in, rights to make determinations, to exercise any election
(including, but not limited to, election of remedies) or option or to give or
receive any notice, consent, waiver or approval; all liens, security,
guaranties, endorsements, warranties and indemnities and all insurance, eminent
domain and condemnation awards and claims therefor relating thereto or arising
in connection therewith; all rights to property forming the subject matter of
any of the foregoing, including, without limitation, rights to stoppage in
transit and rights to returned or repossessed property; all writings relating
to the foregoing or arising in connection therewith; and

 

(e)                                  all contract rights, general intangibles
and other property rights of any nature whatsoever arising out of or in
connection with any of the foregoing (other than Excluded Collateral),
including, without limitation, payments due or to become due, whether as 

 

3

 

repayments,
reimbursements, contractual obligations, indemnities, damages or otherwise.

 

“Equipment” shall mean all buildings, structures,
improvements, fixtures and items of machinery, equipment and other tangible
personal property which constitute, arise from or relate to the operation,
maintenance or repair of the Leased Property or any portion thereof, together
with all repairs, replacements, improvements, substitutions, extensions or
renewals thereof or additions thereto, all parts, additions and accessories
incorporated therein or affixed thereto, and all “equipment” as such term is
defined in the Uniform Commercial Code, and all cash and non-cash proceeds
therefrom.

 

“Event
of Default” shall
have the meaning given such term in Section 6.

 

“Excluded
Collateral”
shall mean (a) all Accounts of Tenant,
(b) all Deposit Accounts and Securities Accounts of Tenant, (c) all
Chattel Paper of Tenant, (d) all General Intangibles relating to such
Accounts or Chattel Paper, (e) all Support Obligations relating to any of
the foregoing, (f) all Instruments or Investment Property evidencing or
arising from any Accounts or Chattel Paper, (g) all documents, books,
records or other information pertaining to any of the foregoing (including,
without limitation, customer lists, credit files, computer programs, printouts,
tapes, discs, punch cards, data processing software and other computer
materials and records and related property and rights), (h) all accessions
to, substitutions for, and all replacements, products and proceeds of the
foregoing (including without limitation, proceeds of insurance policies
insuring any of the foregoing) and (i) any of the sublease agreements
relating to the Leased Property under which Tenant is a party.

 

“Facilities” shall have the meaning given such term
in the Amended Lease No. 2.

 

“General
Intangibles” shall
mean all present and future general intangibles and contract rights (other than
Excluded Collateral) which constitute, arise from or relate to the operation,
maintenance or repair of the Leased Property, or any portion thereof,
including, but not limited to, all causes of action, corporate or business
records, inventions, designs, patents, patent applications, trademarks,
trademark registrations and applications therefor, goodwill, trade names, trade
secrets, trade processes, copyrights, copyright registrations and applications
therefor, franchises, customer 

 

4

 

lists, computer programs, claims under guaranties, tax
refund claims, rights and claims against carriers and shippers, leases, claims
under insurance policies, all rights to indemnification and all other
intangible personal property of every kind and nature which constitutes, arises
from or relates to the operation, maintenance or repair of the Leased Property,
or any portion thereof.

 

“Instrument” shall have the meaning give such term in
Article 9 of the Uniform Commercial Code.

 

“Leased
Property”
shall have the meaning given such term in the Amended Lease No. 2.

 

“Legal
Requirements”
shall have the meaning given such term in the Amended Lease No. 2.

 

“Licenses” shall mean all certificates of need (if
any), licenses, permits, rights of use, covenants or rights otherwise
benefiting or permitting the use and operation of each applicable Property or
any part thereof pertaining to the operation, maintenance or repair of such
Property or any portion thereof.

 

“Obligations” shall mean each and every
obligation and liability of Tenant to the Secured Parties, whether existing as
of the date hereof or hereafter arising, under the Original Leases or the
Amended Lease No. 2 or any other document or agreement executed and
delivered pursuant thereto, including, without limitation, the payment of the
rent and the payment and performance of each and every other obligation of
Tenant to the Secured Parties, whether existing as of the date hereof or
hereafter arising, whether direct or indirect, absolute or contingent, due or
to become due under the Original Leases or the Amended Lease No. 2.

 

“Original Leases” shall have the
meaning given such term in the recitals to this Agreement.

 

“Overdue Rate” shall have the
meaning given to such term in the Amended Lease No. 2.

 

“Permits” shall mean all permits, approvals,
consents, waivers, exemptions, variances, franchises, orders, authorizations,
rights and licenses obtained or hereafter obtained from any federal, state or
other governmental authority or agency relating to the operation, maintenance
or repair, of each applicable Property, or any portion thereof.

 

5

 

“Person”
shall have the
meaning given such term in the Amended Lease No. 2.

 

“Property” shall have the meaning given such term
in the Amended Lease No. 2.

 

“Rent” shall have the meaning given such term
in the Amended Lease No. 2.

 

“Secured
Parties” shall have the meaning given such term in the
preamble to this Agreement.

 

“Tenant”
shall have the meaning given such term in the preamble to this Agreement.

 

“Uniform
Commercial Code” means Article 9 of the Uniform Commercial Code as in effect in the
Commonwealth of Massachusetts from time to time.

 

Section 2.    Security Interest.  As security
for the prompt payment and performance of all the Obligations, Tenant hereby
grants, pledges, transfers and assigns to the Secured Parties, their successors
and assigns and all other holders from time to time of the Obligations, a
continuing security interest under the Uniform Commercial Code from time to
time in effect in the jurisdiction in which any of the Collateral is located in
and a continuing lien upon all of Tenant’s right, title and interest in the
Collateral, together with any and all additions thereto and replacements,
products and proceeds thereof, whether now existing or hereafter arising or
acquired and wherever located.

 

Section 3.    General Representations,
Warranties and  Covenants.  Tenant
represents, warrants and covenants, which representations, warranties and
covenants shall survive execution and delivery of this Agreement, as follows:

 

(a)           Each
of the warranties and representations of Tenant contained herein, in the
Amended Lease No. 2 or in any other document executed in connection
herewith or therewith are true and correct on the date hereof.

 

(b)           Except
for the lien granted to the Secured Parties pursuant to this Agreement and any
liens permitted under the Amended Lease No. 2, Tenant is, and as to the
Collateral acquired from time to time after the date hereof Tenant will be, the
owner of all the Collateral free from any lien, security interest, encumbrance
or other right, title or interest of any Person, except for the security
interest of the Secured Parties therein, and Tenant shall defend the Collateral
against all 

 

6

 

claims and demands of all
Persons at any time claiming the same or any interest therein adverse to the
Secured Parties.  The lien granted in
this Agreement by Tenant to the Secured Parties in the Collateral is not
prohibited by and does not constitute a default under any agreements or other
instruments constituting a part of the Collateral, and no consent is required
of any Person to effect such lien which has not been obtained.

 

(c)           Except
as permitted under the Amended Lease No. 2, there is no financing
statement (or similar statement or instrument of registration under the law of
any jurisdiction) now on file or registered in any public office covering any
interest of any kind in the Collateral, or intended so to be, which has not
been terminated, and so long as this Agreement remains in effect or any of the
Obligations or any obligations of any Affiliated Person of Tenant to the
Secured Parties remain unpaid, Tenant will not execute and there will not be on
file in any public office any financing statement (or similar statement or
instrument of registration under the law of any jurisdiction) or  statements relating to the Collateral, except
financing statements filed or to be filed in respect of and covering the
security interest of the Secured Parties.

 

(d)           The
chief executive office and the principal place of business of each of the
Entities comprising Tenant are as set forth in Schedule 1 and none of
such Entities will move its chief executive office or establish any other
principal place of business except to such new location as such Entity may
establish in accordance with this Section 3(d). The location of
each Facility comprising a portion of the Leased Property is as set forth in Schedule
2.  The originals of all documents
evidencing Collateral and the only original books of account and records of
each of the Entities comprising Tenant relating thereto are, and will continue
to be, kept at such chief executive office or the applicable Facility, as the
case may be, or at such new location as such Entity may establish in accordance
with this Section 3(d).  None
of the Entities comprising Tenant shall move its chief executive office or
establish any other principal place of business until (i) such Entity
shall have given to the Secured Parties not less than ten (10) days’ prior
written notice of its intention to do so, which notice shall clearly describe
such new location and provide such other information in connection therewith as
the Secured Parties may reasonably request, and (ii) with respect to such
new location, such Entity shall have taken such action, satisfactory to the
Secured Parties (including, without limitation, all action required by Section 5),
to maintain the security interest of the Secured Parties in the Collateral.

 

7

 

(e)           All tangible personal property owned on
the date hereof by Tenant to be used in connection with the operation or
maintenance of the Leased Property, or any portion thereof, is located at each
applicable Property or is in transit to such Property from the vendor
thereof.  Tenant agrees that (i) all
such property held by Tenant on the date hereof, once at each applicable
Property, shall remain at such Property and (ii) all such property
subsequently acquired by Tenant shall immediately upon acquisition be
transferred to and remain at the applicable Property.

 

(f)            The corporate name and organizational
identification number of each of the Entities comprising Tenant are as set
forth on the signature page hereto. 
The name under which each of the Facilities is operated is set forth on Schedule
2.  Tenant shall not (i) change
such name without providing the Secured Parties with thirty (30) days’ prior
written notice and making all filings and taking all such other actions as the
Secured Parties determines are necessary or appropriate to continue or perfect
the security interest granted hereunder, (ii) change its corporate
organizational number, nor (iii) conduct its business in any other name or
take title to any Collateral in any other name while this Agreement remains in
effect.  Except as otherwise set forth on
Schedule 1, Tenant has not had any other name nor conducted business in
any other name in any jurisdiction.  The
organizational structure of Tenant is as set forth in the preamble to this
Agreement.  Subject to the terms and
conditions of the Amended Lease No. 2, Tenant shall not change its
organizational structure or jurisdiction of organization without giving at
least thirty (30) days’ prior written notice thereof to the Secured Parties.

 

(g)           The Secured Parties are authorized (but
are under no obligation) to make, upon ten (10) Business Days’ notice to
Tenant (except in the case of exigent circumstances, in which circumstances
upon such notice, if any, as may then be reasonably practical), any payments
which in the Secured Parties’ opinion are necessary to:

 

(i)            discharge any liens which have or may
take priority over the lien hereof; and

 

(ii)           pay all premiums payable on the insurance
policies referred to in the Amended Lease No. 2 or any other document or
agreement executed in connection therewith or herewith, upon the failure of
Tenant to make such payments within the time permitted therein.

 

8

 

Tenant
shall have no claim against the Secured Parties by reason of its decision not
to make any payments or perform such obligations permitted under this Section 3(g).  Tenant shall repay to the Secured Parties any
sums paid by the Secured Parties upon demand. 
Any sums paid and expenses incurred by the Secured Parties pursuant to
this paragraph shall bear interest at the Overdue Rate.

 

(h)           If
any of the Collateral at any time becomes evidenced by an Instrument, Tenant
shall promptly deliver such Instrument to the Secured Parties, appropriately
endorsed to the order of the Secured Parties, to be held pursuant to this
Agreement.

 

(i)            Tenant
shall not sell, transfer, change the registration, if any, of, dispose of,
attempt to dispose of, or substantially modify or abandon the Collateral or any
material part thereof, other than as permitted under the Amended Lease No. 2,
without the prior written consent of the Secured Parties.  Except as permitted under the Amended Lease No. 2,
Tenant shall not create, incur, assume or suffer to exist any lien upon any of
the Collateral without the prior written consent of the Secured Parties.

 

(j)            Tenant
shall not assert against the Secured Parties any claim or defense which Tenant
may have against any seller of the Collateral or any part thereof or against
any Person with respect to the Collateral or any part thereof.

 

(k)           Tenant
shall, upon demand, pay to the Secured Parties the amount of any and all
reasonable expenses, including the reasonable fees and expenses of its counsel
and of any experts and agents, which the Secured Parties may incur in
connection with (i) the administration of this Agreement, (ii) the
custody or  preservation of, or the sale
of, collection from, or other realization upon, any of the Collateral, (iii) the
exercise or enforcement of any of the rights of the Secured Parties hereunder
and under such other agreements or (iv) the failure by Tenant to perform
or observe any of the provisions hereof.

 

(l)            Tenant
shall indemnify and hold harmless the Secured Parties from and against any and
all liabilities, obligations, losses, damages, penalties, actions, judgments,
suits, costs, expenses or disbursements of any kind and nature whatsoever which
may be imposed on, incurred by or asserted against the Secured Parties in any
way relating to or arising out of this Agreement or arising out of Tenant’s
obligations 

 

9

 

under any other documents
contemplated by or referred to herein or therein or the transactions contemplated
hereby or thereby or the enforcement of any of the terms hereof or of any such
other documents.

 

Section 4.    Special
Provisions Concerning Equipment.  Tenant shall
not impair the rights of the Secured Parties in the Equipment.  Regardless of the manner of the affixation of
any Equipment to real property, the Equipment so attached shall at all times
constitute and remain personal property. 
Tenant retains all liability and responsibility in connection with the
Equipment and the liability of Tenant to pay the Obligations shall in no way be
affected or diminished by reason of the fact that such Equipment may be lost,
destroyed, stolen or damaged or for any reason whatsoever have become
unavailable to Tenant.  Upon the request
of the Secured Parties, Tenant shall provide to the Secured Parties a current
list of Equipment.

 

Section 5.    Financing
Statements; Documentary Stamp Taxes.

 

(a)           Tenant
shall, at its own expense, make, execute, endorse, acknowledge, file and/or
deliver to the Secured Parties from time to time such lists, descriptions and
designations of inventory, warehouse receipts, bills of lading, documents of
title, vouchers, invoices, schedules, confirmatory assignments, conveyances,
financing statements, transfer endorsements, powers of attorney, certificates,
reports and other assurances or instruments and take such further steps
relating to the Collateral and other property or rights covered by the security
interest hereby granted, which the Secured Parties reasonably deem appropriate or
advisable to perfect, preserve or protect their security interest in the
Collateral.  Tenant authorizes the
Secured Parties to file any such financing statements without the signature of
Tenant and Tenant will pay all applicable filing fees and related expenses.  To the extent permitted by law, a carbon,
photographic or other reproduction of this Agreement or a financing statement
shall be sufficient as a financing statement.

 

(b)           Tenant
shall procure, pay for, affix to any and all documents and cancel any
documentary tax stamps required by and in accordance with, applicable law, and
Tenant shall indemnify and hold harmless the Secured Parties from and against
any liability  (including interest and
penalties) in respect of such documentary stamp taxes.

 

Section 6.    Event of Default.    For purposes of this Agreement, the term “Event
of Default” shall mean (a) the 

 

10

 

occurrence of an Event of Default under the Amended
Lease No. 2 or any document or agreement executed in connection therewith;
(b) the failure of Tenant to comply with any of its covenants or
obligations under this Agreement and the continuance thereof for a period of
ten (10) Business Days after written notice thereof; (c) any
representation or warranty contained herein or made by Tenant in connection
herewith shall prove to have been false or misleading in any material respect
when made; or (d) the occurrence of any default or event of default under
any document, instrument or agreement evidencing the Obligations.

 

Section 7.    Remedies.

 

(a)           Upon the occurrence and during the
continuance of an Event of Default, in addition to any rights and remedies now
or hereafter granted under applicable law, under the Amended Lease No. 2
or under any other documents or agreements entered into in connection herewith
or therewith, and not by way of limitation of any such rights and remedies, the
Secured Parties shall have all of the rights and remedies of a secured party
under the Uniform Commercial Code as enacted in any applicable jurisdiction,
and the right, without notice to, or assent by, Tenant, in the name of Tenant
or, subject to any limitations imposed by applicable Legal Requirements, in the
name of the Secured Parties or otherwise:

 

(i)                with respect to the General Intangibles
to ask for, demand, collect, receive, compound and give acquittance therefor or
any part thereof, to extend the time of payment of, compromise or settle for
cash, credit or otherwise, and upon any terms and conditions, any thereof, to
exercise and enforce any rights and remedies in respect thereof, and to file
any claims, commence, maintain or discontinue any actions, suits or other
proceedings deemed by the Secured Parties necessary or advisable for the
purpose of collecting or enforcing payment and performance thereof;

 

(ii)               to take possession of any or all of the
Collateral and to use, hold, store, operate, merge and/or control the same and
to exclude Tenant and all Persons claiming under it wholly or partly therefrom,
and, for that purpose, to enter, with the aid and assistance of any Person or
Persons and with or without legal process, any premises where the Collateral,
or any part 

 

11

 

thereof, are, or
may be, placed or assembled, and to remove any such Collateral;

 

(iii)                                         from time to time, at the expense of Tenant, to make
all such repairs, replacements, alterations, additions and improvements to and
of the Collateral as the Secured Parties may reasonably deem proper; to carry on
the business and to exercise all rights and powers of Tenant in respect to the
Collateral, as the Secured Parties shall deem best, including the right to
enter into any and all such agreements with respect to the leasing, management
and/or operation of the Collateral or any part thereof as the Secured Parties
may see fit; to collect and receive all rents, issues, profits, fees, revenues
and other income of the same and every part thereof which rents, issues,
profits, fees, revenues and other income may be applied to pay the expenses of
holding and operating the Collateral and of conducting the business thereof,
and of all maintenance, repairs, replacements, alterations, additions and
improvements, and to make all payments which the Secured Parties may be required
or may elect to make, if any, for taxes, assessments, insurance and other
charges upon the Collateral or any part thereof, and all other payments which
the Secured Parties may be required or authorized to make under any provision
of this Agreement (including, without limitation, reasonable legal costs and
attorneys’ fees);

 

(iv)                                        to execute any instrument and do all other things
necessary and proper to protect and preserve and realize upon the Collateral
and the other rights contemplated hereby;

 

(v)                                           upon notice to such effect, to require
Tenant to deliver, at Tenant’s expense, any or all Collateral which is
reasonably movable to the Secured Parties at a place designated by the Secured
Parties, and after delivery thereof Tenant shall have no further claim to or
interest in the Collateral; and

 

(vi)                                        without obligation to resort to other security, at any
time and from time to time, to sell, re-

 

12

 

sell, assign and
deliver all or any of the Collateral, in one or more parcels at the same or
different times, and all right, title and interest, claim and demand therein
and right of redemption thereof, at public or private sale, for cash, upon
credit or for future delivery, and at such price or prices and on such terms as
the Secured Parties may determine, with the amounts realized from any such sale
to be applied to the Secured Obligations in the manner determined by the
Secured Parties.

 

Tenant
hereby agrees that all of the foregoing may be effected without demand,
advertisement or notice (except as hereinafter provided or as may be required
by law), all of which (except as hereinafter provided) are hereby expressly
waived, to the maximum extent permitted by law. 
The Secured Parties shall not be obligated to do any of the acts
hereinabove authorized and in the event that the Secured Parties elect to do
any such act, the Secured Parties shall not be responsible to Tenant.

 

(b)           Upon the occurrence and during the continuance of an
Event of Default, the Secured Parties may take legal proceedings for the
appointment of a receiver or receivers (to which the Secured Parties shall be
entitled as a matter of right) to take possession of the Collateral pending the
sale thereof pursuant either to the powers of sale granted by this Agreement or
to a judgment, order or decree made in any judicial proceeding for the
foreclosure or involving the enforcement of this Agreement.  If, after the exercise of any or all of such
rights and remedies, any of the Obligations shall remain unpaid or unsatisfied,
Tenant shall remain liable for any deficiency or performance thereof, as
applicable.

 

(c)           Upon any sale of any of the Collateral, whether made
under the power of sale hereby given or under judgment, order or decree in any
judicial proceeding for the foreclosure or involving the enforcement of this
Agreement:

 

(i)                the Secured Parties may bid for and purchase the property being sold
and, upon compliance with the terms of sale, may hold, retain and possess and
dispose of such property in its own absolute right without further
accountability, and may, in paying the purchase money therefor, deliver any
instruments evidencing the Obligations or agree to the satisfaction of all or a
portion of the Obligations in lieu of cash in payment of 

 

13

 

the amount which
shall be payable thereon, and such instruments, in case the amounts so payable
thereon shall be less than the amount due thereon, shall be returned to the
Secured Parties after being appropriately stamped to show partial payment;

 

(ii)               the Secured Parties may make and deliver to the purchaser or purchasers
a good and sufficient deed, bill of sale and instrument of assignment and
transfer of the property sold;

 

(iii)              all
right, title, interest, claim and demand whatsoever, either at law or in equity
or  otherwise, of Tenant of, in and to
the property so sold shall be divested; such sale shall be a perpetual bar both
at law and in equity against Tenant, its successors and assigns, and against any
and all Persons claiming or who may claim the property sold or any part thereof
from, through or under Tenant, its successors or assigns;

 

(iv)                                        the receipt of the Secured Parties or of
the officers thereof making such sale shall be a sufficient discharge to the
purchaser or purchasers at such sale for his or their purchase money, and such
purchaser or purchasers, and his or their assigns or personal representatives,
shall not, after paying such purchase money and receiving such receipt of the
Secured Parties or of such officer therefor, be obliged to see to the
application of such purchase money or be in any way answerable for any loss,
misapplication or nonapplication thereof; and

 

(v)                                           to the extent that it may lawfully do so,
Tenant agrees that it will not at any time insist upon, or plead, or in any
manner whatsoever claim or take advantage of, any appraisement, valuation,
stay, extension or redemption laws, or any law permitting it to direct the
order in which the Collateral or any part thereof shall be sold, now or at any
time hereafter in force, which may delay, prevent or otherwise affect the
performance or enforcement of this Agreement or any other document, the Amended
Lease No. 2 or 

 

14

 

any other document
or agreement entered into in connection herewith or therewith, and Tenant
hereby expressly waives all benefit or advantage of any such laws and covenants
that it will not hinder, delay or impede the execution of any power granted or
delegated to the Secured Parties in this Agreement, but will suffer and permit
the execution of every such power as though no such laws were in force.

 

In the
event of any sale of Collateral pursuant to this Section 7, the
Secured Parties shall, at least ten (10) days before such sale, give
Tenant written notice of its intention to sell, except that, if the Secured
Parties shall determine in their reasonable discretion that any of the
Collateral threatens to decline in value, any such sale may be made upon three (3) days’
written notice to Tenant, which time periods Tenant hereby agrees are
reasonable.

 

(d)           The Secured Parties are hereby irrevocably appointed
the true and lawful attorney-in-fact of Tenant in its name and stead, to make
all necessary deeds, bills of sale and instruments of assignment and transfer
of the property sold pursuant to this Section 7 and for such other
purposes as are necessary or desirable to effectuate the provisions of this
Agreement, and for that purpose it may execute and deliver all necessary deeds,
bills of sale and instruments of assignment and transfer, and may substitute
one or more Persons with like power, Tenant hereby ratifying and confirming all
that its said attorney, or such substitute or substitutes, shall lawfully do by
virtue hereof.  If so requested by the
Secured Parties or by any purchaser, Tenant shall ratify and confirm any such
sale or transfer by executing and delivering to the Secured Parties or to such
purchaser all property, deeds, bills of sale, instruments or assignment and
transfer and releases as may be designated in any such request.

 

Section 8.    Application
of Moneys.  All moneys which the Secured Parties shall
receive pursuant hereto shall first be applied 
(to the extent thereof) to the payment of all reasonable costs and
expenses incurred in connection with the administration and enforcement of, or
the preservation of any rights under, this Agreement or the Amended Lease No. 2
(including, without limitation, the reasonable fees and disbursements of its
counsel and agents), and the balance, if any, shall be applied first to accrued
and unpaid interest, charges and fees on, and then to outstanding principal of,
any Obligations of Tenant (or its affiliates) to the Secured 

 

15

 

Parties,
and then to any other amounts outstanding on any such Obligations and then as
required by law to any other parties having an interest therein.

 

Section 9.    Waivers,
Etc.  Tenant, on its own behalf and on behalf of
its successors and assigns, hereby waives presentment, demand, notice, protest
and, except as is otherwise specifically provided herein, all other demands and
notices in connection with this Agreement or the enforcement of the rights of
the Secured Parties hereunder or in connection with any Obligations or any
Collateral; waives all rights to require a marshaling of assets by the Secured
Parties; consents to and waives notice of (i) the substitution, release or
surrender of any Collateral, (ii) the addition or release of Persons
primarily or secondarily liable on any Obligation or on any Collateral, (iii) the
acceptance of partial payments on any Collateral and/or the settlement or
compromise thereof, (iv) any requirement of diligence or promptness on the
part of the Secured Parties in the enforcement of any rights in respect of any
Collateral or any other agreement or instrument directly or indirectly relating
thereto, and (v) any enforcement of any present or future agreement or
instrument relating directly or indirectly to the Collateral.  No delay or omission on the part of the
Secured Parties or any holder of Obligations in exercising any right hereunder
shall operate as a waiver of such right or of any other right hereunder.  No waiver of any such right on any one
occasion shall be construed as a bar to or waiver of any such right on any
future occasion.  No course of dealing
between Tenant and the Secured Parties or any holder of Obligations, nor any
failure to exercise, nor any delay in exercising, on the part of the Secured
Parties or any holder of Obligations, any right, power or privilege hereunder
or under any of the Obligations, shall operate as a waiver thereof; nor shall
any single or partial exercise of any right, power or privilege hereunder or
thereunder preclude any other or further exercise thereof, or the exercise of
any other right, power or privilege.

 

Tenant
further waives any right it may have under the constitution of any state or
commonwealth in which any of the Collateral may be located, or under the Constitution
of the United States of America, to notice (except for notice specifically
required hereby) or to a judicial hearing prior to the exercise of any right or
remedy provided by this Agreement to the Secured Parties, and waives its
rights, if any, to set aside or invalidate any sale duly consummated in
accordance with the foregoing  provisions
hereof on the grounds (if such be the case) that the sale was consummated
without a prior judicial hearing.  TENANT’S
WAIVERS UNDER THIS SECTION 9 HAVE BEEN MADE 

 

16

 

VOLUNTARILY, INTELLIGENTLY AND KNOWINGLY AND AFTER
TENANT HAS BEEN APPRISED AND COUNSELED BY ITS ATTORNEYS AS TO THE NATURE
THEREOF AND ITS POSSIBLE ALTERNATIVE RIGHTS.

 

The
Secured Parties shall not be required to marshal any present or future security
for (including without limitation this Agreement and the Collateral pledged
hereunder), or guaranties of, the Obligations or any of them, or to resort to
such security or guaranties in any particular order; and all of the rights
hereunder and in respect of such securities and guaranties shall be cumulative
and in addition to all other rights, however existing or arising.  To the maximum extent permitted by applicable
law, Tenant hereby agrees that it will not invoke any law relating to the
marshalling of collateral which, might cause delay in or impede the enforcement
of the Secured Parties’ rights under this Agreement or under any other
instrument evidencing any of the Obligations or under which any of the
Obligations is outstanding or by which any of the Obligations is secured or
guaranteed, and, to the maximum extent permitted by applicable law, Tenant
hereby irrevocably waives the benefits of all such laws.

 

Section 10.    Further
Assurances as to Collateral; Attorney-in-Fact. 
From time to time hereafter, Tenant will execute and deliver, or will
cause to be executed and delivered, such additional instruments, certificates
or documents (including, without limitation, financing statements, renewal
statements, mortgages, collateral assignments and other security documents),
and will take all such actions as the Secured Parties may reasonably request,
for the purposes of implementing or effectuating the provisions of this
Agreement or of more fully perfecting or renewing the Secured Parties’ rights
with respect to the Collateral (or with respect to any additions thereto or
replacements or proceeds thereof or with respect to any other property or
assets hereafter acquired by Tenant which may be deemed to be a part of the
Collateral) pursuant hereto and thereto. 
The Secured Parties are hereby appointed the attorney-in-fact, with full
power of substitution, of Tenant for the purpose of carrying out the provisions
of this Agreement and taking any action, including, without limitation,
executing, delivering and filing applications, certificates, instruments and
other documents and papers with governmental authorities, and executing any
instruments, including without limitation financing or continuation statements,
deeds to secure debt, mortgages, assignments, conveyances, assignments and
transfers which are required to be taken or executed by Tenant under this
Agreement, on its behalf and in its name which appointment is coupled with an
interest, is irrevocable and durable and shall 

 

17

 

survive the subsequent dissolution, disability or
incapacity of Tenant.

 

Section 11.    Arbitration.
 The Secured Parties or Tenant may elect to
submit any dispute hereunder that has an amount in controversy in excess of
$250,000 to arbitration hereunder.  Any
such dispute shall be resolved in accordance with the Commercial Arbitration Rules of
the American Association then pertaining and the decision of the arbitrators
with respect to such dispute shall be binding, final and conclusive on the
parties.

 

In the
event the Secured Parties or Tenant shall elect to submit any such dispute to
arbitration hereunder, the Secured Parties and Tenant shall each appoint and
pay all fees of a fit and impartial person as arbitrator with at least ten (10) years’
recent professional experience in the general subject matter of the
dispute.  Notice of such appointment
shall be sent in writing by each party to the other, and the arbitrators so
appointed, in the event of their failure to agree within thirty (30) days after
the appointment of the second arbitrator upon the matter so submitted, shall
appoint a third arbitrator.  If either
the Secured Parties or Tenant shall fail to appoint an arbitrator, as aforesaid,
for a period of twenty (20) days after written notice from the other party to
make such appointment, then the arbitrator appointed by the party having made
such appointment shall appoint a second arbitrator and the two (2) so
appointed shall, in the event of their failure to agree upon any decision
within thirty (30) days thereafter, appoint a third arbitrator.  If such arbitrators fail to agree upon a
third arbitrator within forty five (45) days after the appointment of the
second arbitrator, then such third arbitrator shall be appointed by the
American Arbitration Association from its qualified panel of arbitrators, and
shall be a person having at least ten (10) years’ recent professional
experience as to the subject matter in question.  The fees of the third arbitrator and the
expenses incident to the proceedings shall be borne equally between the Secured
Parties and Tenant, unless the arbitrators decide otherwise.  The fees of respective counsel engaged by the
parties, and the fees of expert witnesses and other witnesses called for the
parties, shall be paid by the respective party engaging such counsel or calling
or engaging such witnesses.

 

The
decision of the arbitrators shall be rendered within thirty (30) days after
appointment of the third arbitrator. 
Such decision shall be in writing and in duplicate, one counterpart
thereof to be delivered to the Secured Parties and one to Tenant.  A judgment of a court of competent
jurisdiction 

 

18

 

may be entered upon the award of the arbitrators in
accordance with the rules and statutes applicable thereto then obtaining.

 

Section 12.    Appointment
of Agent for Secured Parties.  Each of the Secured Parties hereby
appoints CCC Financing I Trust as its agent for the following purposes under
this Agreement (including, without limitation, the full power and authority to
act on the Secured Parties’ behalf for such purposes): (i) to give or
receive notices, demands, claims and other communications on behalf of the Secured
Parties under this Agreement and (ii) to receive and hold any and all
Collateral which is to be delivered from time to time by Tenant to the Secured
Parties in accordance with the terms and conditions of this Agreement.

 

Section 13.    Miscellaneous.

 

(a)           Tenant
agrees that its obligations and the rights of the Secured Parties hereunder and
in respect of the Obligations may be enforced by specific performance hereof
and thereof and by temporary, preliminary and/or final injunctive relief
relating hereto and thereto, without necessity for proof by the Secured Parties
or any holder of the Obligations that it would otherwise suffer irreparable
harm, and Tenant hereby consents to the issuance of such specific and
injunctive relief.

 

(b)           Any
notice or demand upon Tenant or the Secured Parties shall be deemed to have
been sufficiently given when given in accordance with the provisions of the
Amended Lease No. 2.

 

(c)           None
of the terms and conditions of this Agreement may be changed, waived, modified
or varied in any manner whatsoever unless in writing duly signed by Tenant and
the Secured  Parties.  No notice to or demand on Tenant in any case
shall entitle Tenant to any other or further notice or demand in similar or
other circumstances or constitute a waiver of any of the rights of the Secured
Parties to any other or further action in any circumstances without notice or
demand.

 

(d)           The
obligations of Tenant hereunder shall remain in full force and effect without
regard to, and shall not be impaired by, (i) any bankruptcy, insolvency,
reorganization, arrangement, readjustment, composition, liquidation or the like
of Tenant; (ii) any exercise or non-exercise, or any waiver of, any right,
remedy, power or privilege under or in respect of this Agreement, the Amended
Lease No. 2 or any document or agreement executed in connection herewith
or therewith, the 

 

19

 

Obligations or any
security for any of the Obligations; or (iii) any amendment to or
modification of any of the Amended Lease No. 2 or any document or
agreement executed in connection herewith or therewith, the Obligations or any
security for any of the Obligations; whether or not Tenant shall have notice or
knowledge of any of the foregoing.  The
rights and remedies of the Secured Parties herein provided for are cumulative
and not exclusive of any rights or remedies which the Secured Parties would
otherwise have, including, without limitation, under the Amended Lease No. 2
or any document or agreement executed in connection herewith or therewith.  This Agreement is intended as a supplement
for and is not intended to supersede in any respect the Amended Lease No. 2
or any document or agreement executed in connection herewith or therewith.  Each Entity comprising Tenant hereunder shall
be jointly and severally liable for the payment and performance of each and
every obligation and liability of Tenant hereunder.

 

(e)           This
Agreement shall be binding upon Tenant and its successors and assigns and shall
inure to the benefit of the Secured Parties, and its respective successors and
assigns.  All agreements, representations
and warranties made herein shall survive the execution and delivery of this
Agreement.

 

(f)            The
descriptive headings of the several sections of this Agreement are inserted for
convenience only and shall not in any way affect the meaning or construction of
any provision of this Agreement.

 

(g)           Any
provision of this Agreement which is prohibited or unenforceable in any
jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining
provisions hereof, and any such prohibitions or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

 

(h)           This
Agreement shall be interpreted, construed, applied and enforced in accordance
with the laws of the Commonwealth of Massachusetts applicable to contracts
between residents of Massachusetts which are to be performed entirely within
Massachusetts, regardless of (i) where this Agreement is executed or
delivered; or (ii) where any payment or other performance required by this
Agreement is made or required to be made; or (iii) where any breach of any
provision of this Agreement occurs, or any cause of action otherwise accrues;
or (iv) where any action or other proceeding is instituted or pending; or (v) the
nationality, citizenship, domicile, 

 

20

 

principle place of
business, or jurisdiction of organization or domestication of any party; or (vi) whether
the laws of the forum jurisdiction otherwise would apply the laws of a
jurisdiction other than the Commonwealth of Massachusetts; or (vii) any
combination of the foregoing.  Notwithstanding
the foregoing, to the extent that matters of title, or creation, perfection and
priority of the security interests created hereby, or procedural issues of
foreclosures are required to be governed by the laws of the state in which the
Collateral, or relevant part thereof, is located, the laws of such State shall
apply.

 

Section 14.    NONLIABILITY
OF TRUSTEES.  THE DECLARATIONS OF TRUST ESTABLISHING
CERTAIN ENTITIES COMPRISING THE SECURED PARTIES, COPIES OF WHICH, TOGETHER WITH
ALL AMENDMENTS THERETO (COLLECTIVELY, THE “DECLARATIONS”), ARE DULY
FILED WITH THE DEPARTMENT OF ASSESSMENTS AND TAXATION OF THE STATE OF MARYLAND,
PROVIDE THAT THE NAMES OF SUCH ENTITIES REFER TO THE TRUSTEES UNDER SUCH
DECLARATIONS COLLECTIVELY AS TRUSTEES, BUT NOT INDIVIDUALLY OR PERSONALLY, AND
THAT NO TRUSTEE, OFFICER, SHAREHOLDER, EMPLOYEE OR AGENT OF SUCH ENTITIES SHALL
BE HELD TO ANY PERSONAL LIABILITY, JOINTLY OR SEVERALLY, FOR ANY OBLIGATION OF,
OR CLAIM AGAINST, SUCH ENTITIES.  ALL
PERSONS DEALING WITH SUCH ENTITIES, IN ANY WAY, SHALL LOOK ONLY TO THE ASSETS
OF SUCH ENTITIES FOR THE PAYMENT OF ANY SUM OR THE PERFORMANCE OF ANY
OBLIGATION.

 

Section 15.    Original Security
Agreements.  The Secured Parties and Tenant acknowledge
and agree that this Agreement amends and restates the Original Security
Agreements in their entirety with respect to the Collateral and that this
Agreement shall govern the rights and obligations of the Secured Parties and
Tenant with respect to the Collateral from and after the date of this
Agreement.  Notwithstanding the
foregoing, the Original Security Agreements shall continue to govern the rights
and obligations of the Secured Parties and Tenant with respect to the
Collateral prior to the date of this Agreement.

 

[Remainder of page intentionally
left blank.]

 

21

 

IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
under seal as of the date first above written.

 

	
   

  	
  TENANT:

  
	
   

  	
   

  
	
   

  	
  FS  COMMONWEALTH
  LLC,

  
	
   

  	
  FS  PATRIOT LLC,

  
	
   

  	
  FS  TENANT HOLDING COMPANY TRUST, and

  
	
   

  	
  FS  TENANT POOL III TRUST

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Travis K. Smith

  
	
   

  	
   

  	
  Travis
  K. Smith

  
	
   

  	
   

  	
  Vice
  President of each of the 

  
	
   

  	
   

  	
  foregoing
  entities

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FS
  COMMONWEALTH LLC

  
	
   

  	
  Corporate
  Organizational Number:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FS
  PATRIOT LLC

  
	
   

  	
  Corporate
  Organizational Number:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FS
  TENANT HOLDING COMPANY TRUST

  
	
   

  	
  Corporate
  Organizational Number:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FS
  TENANT POOL III TRUST

  
	
   

  	
  Corporate
  Organizational Number:

  
	
   

  	
   

  
	
   

  	
   

  

 

 

	
   

  	
  SECURED
  PARTIES:

  
	
   

  	
   

  
	
   

  	
  CCC
  FINANCING I TRUST,

  
	
   

  	
  CCC
  OF KENTUCKY TRUST,

  
	
   

  	
  CCC
  OHIO HEALTHCARE TRUST,

  
	
   

  	
  CCC
  PUEBLO NORTE TRUST

  
	
   

  	
  CCC
  INVESTMENTS I, L.L.C.,

  
	
   

  	
  CCCP
  SENIOR LIVING LLC,

  
	
   

  	
  CCDE
  SENIOR LIVING LLC,

  
	
   

  	
  CCFL
  SENIOR LIVING LLC,

  
	
   

  	
  CCOP
  SENIOR LIVING LLC,

  
	
   

  	
  CCSL
  SENIOR LIVING LLC,

  
	
   

  	
  LTJ
  SENIOR COMMUNITIES LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
  Treasurer
  and Chief Financial

  
	
   

  	
   

  	
  Officer
  of each of the foregoing 

  
	
   

  	
   

  	
  entities

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  CCC

  	
  FINANCING
  LIMITED, L.P.

  
	
   

  	
  By:

  	
  CCC
  RETIREMENT TRUST,

  
	
   

  	
   

  	
  its
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer
  and Chief Financial 

  
	
   

  	
   

  	
   

  	
  Officer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  CCC

  	
  RETIREMENT
  COMMUNITIES II, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  CRESTLINE
  VENTURES LLC,

  
	
   

  	
   

  	
  its
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer
  and Chief Financial 

  
	
   

  	
   

  	
   

  	
  Officer
  

  
						

 

 

	
   

  	
  HRES1
  PROPERTIES TRUST

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Doyle

  
	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
  Treasurer
  and Chief Financial 

  
	
   

  	
   

  	
  Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  LEISURE
  PARK VENTURE LIMITED 

  
	
   

  	
  PARTNERSHIP

  
	
   

  	
   

  
	
   

  	
  By:

  	
  CCC
  LEISURE PARK CORPORATION,

  
	
   

  	
   

  	
  its
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer
  and Chief Financial 

  
	
   

  	
   

  	
   

  	
  Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  PANTHER
  HOLDINGS LEVEL I, L.P.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  PANTHER
  GENPAR TRUST,

  
	
   

  	
   

  	
  its
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/
  Richard A. Doyle

  
	
   

  	
   

  	
   

  	
  Richard
  A. Doyle

  
	
   

  	
   

  	
   

  	
  Treasurer
  and Chief Financial 

  
	
   

  	
   

  	
   

  	
  Officer
  

  
							

 

 

SCHEDULE
1

 

CHIEF EXECUTIVE OFFICE:

 

                                                400 Centre Street

                                                Newton,
Massachusetts  02458

 

PRINCIPAL PLACE OF
BUSINESS:

 

                                                400 Centre Street

                                                Newton,
Massachusetts  02458

 

 

SCHEDULE
2

 

THE FACILITIES

 

ARIZONA:

 

                Forum at Desert Harbor

                                13840 North Desert Harbor Drive

                                Peoria, AZ 85381

 

                Forum at Pueblo Norte

                                7090 East Mescal Street

                                Scottsdale, AZ 85254

 

                Forum at Tucson

                                2500 North Rosemont Boulevard

                                Tucson, AZ 85712

 

CALIFORNIA:

 

                The Remington Club I

                                16925 Hierba Drive

                                San Diego, CA 92128

 

                The Remington Club II

                                16916 Hierba Drive

                                San Diego, CA 92128

 

DELAWARE:

 

                Millcroft

                                255 Possum Park Rd

                                Newark, DE 19711

 

                Forwood Manor

                                1912 Marsh Rd

                                Wilmington, DE 19810

 

                Foulk Manor North

                                1212 Foulk Road

                                Wilmington, DE 19803

 

                Foulk Manor South

                                407 Foulk Road

                                Wilmington, DE 19803

 

 

                Shipley Manor

                                2723 Shipley Road

                                Wilmington, DE 19810

 

FLORIDA:

 

                Park Summit at Coral Springs

                                8500 Royal Palm Blvd

                                Coral Springs, FL 33065

 

                Forum at Deer Creek

                                3001 Deer Creek Country Club Boulevard

                                Deerfield Beach, FL 33442

 

                Springwood Court

                                12780 Kenwood Lane

                                Fort Myers, FL 33907

 

                Coral Oaks

                                900 West Lake Road

                                Palm Harbor, FL 77381

 

                Fountainview

                                111 Executive Center Drive

                                West Palm Beach, FL 33411

 

INDIANA:

 

                Forum at the Crossing

                                8505 Woodfield Crossing

                                Indianapolis, IN 46240

 

KANSAS:

 

                Forum at Overland Park

                                3501 West 95th Street

                                Overland Park, KS 66206

 

KENTUCKY:

 

                Lafayette at Country Place

                                690 Mason Headley Road

                                Lexington, KY 40504

 

                Lexington

                                700 Mason Headley Road

                                Lexington, KY 40504

 

 

                Forum at Brookside

                                200 Brookside Drive

                                Louisville, KY 40243

 

MASSACHUSETTS:

 

                Braintree
Rehabilitation Hospital

                                250
Pond Street

                                Braintree,
MA 02184

 

                Gables
at Winchester

                                299
Cambridge Street

                                Winchester,
MA 01890

 

                New
England Rehabilitation Hospital

                                2
Rehabilitation Way

                                Woburn,
MA 01801

 

NEW JERSEY:

 

                Leisure
Park

                                1400
Route 70

                                Lakewood,
NJ 08701

 

NEW MEXICO:

 

                Montebello

                                10500 Academy Road

                                Albuquerque, NM 87111

 

OHIO:

 

                Forum at Knightsbridge

                                4590 Knightsbridge Boulevard

                                Columbus, OH 43214

 

SOUTH CAROLINA:

 

                Myrtle Beach Manor

                                9547 Highway 17 North

                                Myrtle Beach, SC 29576

 

TEXAS:

 

                Forum at Park Lane

                                7831 Park Lane

                                Dallas, TX 75225

 

 

                Montevista

                                1575 Belvidere Street

                                El Paso, TX 79912

 

                Forum at Memorial Woods

                                777 North Post Oak Road

                                Houston, TX 77024

 

                Forum at Lincoln Heights

                                311 West Nottingham Road

                                San Antonio, TX 78209

 

                Forum at Woodlands

                                5055 W Panther Creek Drive

                                Woodlands, TX 77381

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00144-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00144-of-00352.parquet"}]]