Agenda - Council - 11/10/1981 - Laserfiche WebLink

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! I I I i I I I I I I I i I I I I I I The entire obligation evidenced by this Note, including any unpaid principal amount and any accrued but unpaid in- terest, shall be due and payable.on January 1, 2002. How- ever, the Holder may accelerate this Note'in whole on Janu- ary 1, 1992, upon sixty (60) days prior written notice to the Issuer and the Borrower. Upon acceleration, the unpaid principal amount of this Note plus any accrued but unpaid interest shall be due and payable. Ail payments made under this Note shall be applied first to interest and then to principal and premium, if any, ex- cept that if any advances made by the Holder hereof under the terms of any instruments securing this Note are not repaid, any moneys received, at the option of the Holder, may first be applied to repay such advances, plus interest thereon, at the interest rate then in effect hereunder, and the balance, if any, shall be applied on account of any installments of principal, premium, if any, and interest hereon then due. Ail interest shall be computed daily on the basis of 1/360th of the annual rate stated. In the event that interest on this Note becomes includ- able in the taxable income of the Holder for federal tax purposes pursuant to a Determination of Taxability (as here- inafter defined), the interest rate on this Note shall be increased to an interest rate equal to two percent (2%) over the Prime Interest Rate (as hereinafter defined) beginning on the Date of Taxability (as hereinafter defined); provided that in no event shall the interest rate of the Note after a Determination of Taxability fall below seventeen percent (17%); provided further, that in no event shall the interest rate exceed the maximum interest rate permitted by law. In the event of a Determination of Taxability, the principal and interest payments to be made by the Issuer pursuant to this Note shall be adjusted accordingly as is required to amortize the unpaid principal amount and accrued interest on this Note by the maturity date. In addition, upon demand, the Issuer shall pay to the Holder or any prior Holder an amount equal to the interest which would have been payable on the unpaid principal amount of this Note from the Date of Taxability until the date of such demand less the amount of interest actually.paid during such period and the amount of any interest penalties, additions to tax and additional amounts as referred to in Subchapter A of Chapter 67 and Subchapters A and B of Chapter 68 of the Internal Revenue Code of 1954, as amended (the "Code"), which are payable to the United States as a -consequence of the failure to include the interest in the Holder's taxable income. The Holder - 2 -