Disposition of the Mortgaged Property Clause Samples

The "Disposition of the Mortgaged Property" clause defines the rules and procedures governing the sale, transfer, or other handling of property that serves as collateral under a mortgage agreement. Typically, this clause outlines whether and under what conditions the borrower may sell or otherwise dispose of the mortgaged property, such as requiring lender consent or specifying the application of sale proceeds to the outstanding loan balance. Its core practical function is to protect the lender’s security interest by ensuring that the property cannot be transferred or encumbered in a way that undermines the lender’s rights or ability to recover the loan amount.
Disposition of the Mortgaged Property. The terms of the other Finance Documents and of any side letters between any parties to such documents in relation to any Finance Document are incorporated in this Debenture to the extent required to ensure that any purported disposition of the Collateral contained in this Debenture is a valid disposition in accordance with section 2(1) of the Law of Property (Miscellaneous Provisions) ▇▇▇ ▇▇▇▇.
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Disposition of the Mortgaged Property. (a) Mortgagor shall not, during the term hereof, sell, assign, convert the Mortgaged Property or any part thereof into a condominium or cooperative, mortgage, pledge or hypothecate or otherwise transfer, encumber or dispose of the Mortgaged Property or any part thereof or any interest therein or any of the rents or other sums to be earned therefrom or of any direct or indirect interest in Mortgagor, if Mortgagor is a partnership, limited liability company, corporation or any other entity (in each of the foregoing cases, either of record or beneficially), without Mortgagee’s prior written consent. (b) A sale, assignment, mortgage, pledge, hypothecation or transfer within the meaning of this Section 2.18 shall be deemed to include (i) an installment sales agreement wherein Mortgagor agrees to sell the Mortgaged Property or any part thereof for a price to be paid in installments; (ii) an agreement by Mortgagor leasing all or a substantial part of the Mortgaged Property for other than actual occupancy by a space tenant thereunder or a sale, assignment or other transfer of or the grant of a security interest in, Mortgagor’s right, title and interest in and to any Leases; (iii) if Mortgagor, Guarantor, or any general partner or sole or managing member of Mortgagor or Guarantor is a corporation, the voluntary or involuntary sale, conveyance or transfer of such corporation’s stock (or the stock of any corporation directly or indirectly controlling such corporation by operation of law or otherwise) or the creation or issuance of new stock by which an aggregate of more than 10% of such corporation’s stock shall be vested in a party or parties who are not now stockholders; (iv) if Mortgagor, Guarantors, or any general partner or sole or managing member of Mortgagor or Guarantors is a limited liability company, the voluntary or involuntary sale, conveyance or transfer of direct or indirect interests in such limited liability company (or interests in any limited liability company directly or indirectly controlling such limited liability company by operation of law or otherwise) or the creation or issuance of membership interests by which an aggregate of more than 10% of such limited liability company’s membership interests shall be vested in a party or parties who are not now members; (v) if Mortgagor, Guarantors or any general partner or sole or managing member of Mortgagor or Guarantors is a limited or general partnership or joint venture, the change, removal or resi...
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Disposition of the Mortgaged Property. Section 2.18 of the Mortgage is hereby amended to add at the end thereof the following Section 2.18(c):
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Disposition of the Mortgaged Property. Article 27 27.1 Method of disposition of the Mortgaged Property available to Party B includes, without limitation, the following: (1) By consultation with Party A, the Mortgaged Property may be traded-in, disposed of in auction or sales, and Party B shall be compensated by the proceeds obtained hereon. (2) the Mortgaged Property may be legally leased in whole or in part with reasonable rent, term and conditions, and be compensated by the rent and the proceeds therefrom. 27.2 Party B shall sale, lease or dispose of the Mortgaged Property by other means under this Agreement and in accordance with relevant laws and regulations. 27.3 Under any of the following circumstances, Party B shall have the right to dispose of the Mortgaged Property and has priority to be compensated by the proceeds from such disposition: (1) Party A fails to repay principal plus interest of the loan continuously for three months or accumulatively six months; (2) Party A provides false materials or omits materially facts, which may bring or has brought the loss to Party B; (3) Party A refuses to accept the supervision by Party B with respect to usage of the loan, production, operation and financial activities, or refuses or obstructs Party B’s inspection of the Mortgaged Property; (4) Without the written consent of Party B, Party A disposes of the Mortgaged Property by means of selling, exchanging, transferring, donating, paying for debt, etc., rebuilds or removes the Mortgaged Property, or changes the usage nature and characteristic of the Mortgaged Property via other means; (5) During the term of this Agreement, by reason of Party A’s poor operation and management, Party A loses money as reflected in the financial records or in reality, is subject to any debt dispute with a third party, or is in the event of dissolution, deregistration, revoke, suspension and other situations which may adversely affect the safety of the loan; (6) Party A indicates, explicitly or by its actions, that it will not perform any obligation under this Agreement; (7) Any other behaviors which violate provisions of this Agreement.
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Related to Disposition of the Mortgaged Property

  • Mortgaged Property The real property securing repayment of the debt evidenced by a Mortgage Note.

  • Photograph of the Mortgaged Property Survey of the Mortgaged Property, unless a survey is not required by the title insurer.

  • Occupancy of the Mortgaged Property As of the related Closing Date the Mortgaged Property is lawfully occupied under applicable law. All inspections, licenses and certificates required to be made or issued with respect to all occupied portions of the Mortgaged Property and, with respect to the use and occupancy of the same, including but not limited to certificates of occupancy and fire underwriting certificates, have been made or obtained from the appropriate authorities. The Mortgagor represented at the time of origination of the Mortgage Loan that the Mortgagor would occupy the Mortgaged Property as the Mortgagor's primary residence;

  • Mortgaged Property Undamaged; No Condemnation Proceedings There is no proceeding pending or threatened for the total or partial condemnation of the Mortgaged Property. The Mortgaged Property is undamaged by waste, fire, earthquake or earth movement, windstorm, flood, tornado or other casualty so as to affect adversely the value of the Mortgaged Property as security for the Mortgage Loan or the use for which the premises were intended and each Mortgaged Property is in good repair. There have not been any condemnation proceedings with respect to the Mortgaged Property and the Seller has no knowledge of any such proceedings in the future;

  • Condition of Mortgaged Property Except as Borrower may have disclosed to Lender in writing in connection with the issuance of the Commitment Letter, the Mortgaged Property has not been damaged by fire, water, wind or other cause of loss, or any previous damage to the Mortgaged Property has been fully restored.