Common use of Title and Physical Condition Clause in Contracts

Title and Physical Condition. Northern and/or one or more Northern Affiliate (on a direct or an indirect basis) holds (fully or in part) fee simple or leasehold title to each Northern Property, as described in further detail in the Contribution Agreement. To the Knowledge of Northern, and except as otherwise provided in the Contribution Agreement, there is no existing patent or latent structural or other physical defect or deficiency in the condition of any Northern Property, or any component or portion thereof, that would have a Northern Material Adverse Effect. Northern acknowledges that since the Contribution Agreements and the corresponding title policies will reflect that the conveyance of the Northern Properties is “subject to” all liens and other encumbrances, its current lenders on the Northern Property Indebtedness may pursue causes of action against Northern (depending on which property and lender) for breaches of any applicable note, mortgage, deed of trust, or other existing obligations associated with the Northern Property Indebtedness.