Common use of Damage or Destruction of the Property Clause in Contracts

Damage or Destruction of the Property. In the event of any damage to or destruction of any of the Borrowers' business properties or any part thereof, the Borrowers will either (i) promptly cause the same to be restored, replaced or rebuilt as nearly as possible to their value, condition and character immediately prior to such damage or destruction; or (ii) pay to Bank all insurance proceeds received by any Borrower on account of such damage or destruction, to be applied to the balance due on the Obligations. The Borrowers shall immediately notify Bank of the occurrence of any such damage or destruction, and shall, within thirty (30) days thereafter, notify Bank whether or not it intends to rebuild.