1964-03-23 Regular Meeting - Laserfiche WebLink

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assigning it~a.sehold estate as a part of and dent to any 17b assibiment or encumbrance desired to be given by it as security to the payment of an indebtedness secured by the buildings built or to be built by Lessee on the leased premises; provided that the in- strument of encumbrance shall expressly provide that any person, firm or corporation which acquires any right, title or interest in or to the lease or the leasehold estate by foreclosure of such deed of trust, mortgage or other instrument of foreclosure, or otherwise by, through or under such instrument, shall thereby automatically become bound and obligated to every covenant on the part of Lessee herein contained or stated of reasonably arising therefrom; except that it is not intended to hereby provide that the mere execution, delivery and acceptance of the deed of trust, mortgage or other lien instrument, shall thereby obligate either the trustee or mortgagee therein to the covenants on Lessee's part herein contained. It is the purpose and intention of this section of this lease to grant Lessee the utmost freedom in hypothecating or mortgaging the con- templated buildings and the Lessee's leasehold estate in the land; provided the City be fully protected against any possibility of any person, firm or corporation lawfully coming into possession of the premises who is not bound by every covenant on the part of Lessee herein contained. Failure of performance of any covenant on the part of Lessee herein contained or reasonably arising therefrom, if such failure be by fault or omission of any assig7zee or trustee in bankruptcy, or any receiver, or any executor or administrator, shall entitle the City to exercise any of its remedies herein provided in the event of any such failure, as fully as if such failure had been by fault or emission ~~ the pant of the L.~~se~.