Agenda - Council - 08/24/2021 - Laserfiche WebLink

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ARTICLE IV EVENTS OF DEFAULT Section 4.1. Events of Default Defined. The following shall be "Events of Default" under this Agreement and the term "Event of Default" shall mean whenever it is used in this Agreement any one or more of the following events: (1) Failure by the Developer or the Owner to timely pay any ad valorem real property taxes, special assessments or other City charges with respect to the Development Property. (2) Failure of the Developer or the Owner to observe or perform any covenant, condition, obligation or agreement on their parts to be observed or performed under this Agreement and the City Development Agreement. (3) The holder of any mortgage on the Development Property or any improvements thereon, or any portion thereof, commences foreclosure proceedings as a result of any default under the applicable mortgage documents. (4) If the Developer or the Owner shall: (a) file any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under the United States Bankruptcy Act of 1978, as amended or under any similar federal or state law; or (b) make an assignment for the benefit of its creditors; or (c) admit in writing its inability to pay its debts generally as they become due; or (d) be adjudicated a bankrupt or insolvent; or if a petition or answer proposing the adjudication of the Developer or the Owner as bankrupt or its reorganization under any present or future federal bankruptcy act or any similar federal or state law shall be filed in any court and such petition or answer shall not be discharged or denied within sixty (60) days after the filing thereof; or a receiver, liquidator or trustee of the Developer or the Owner, or of the Project, or part thereof, shall be appointed in any proceeding brought against the Developer or the Owner, and shall not be discharged within sixty (60) days after such appointment, or if the Developer or the Owner, shall consent in such appointment. Section 4.2. Remedies on Default. Whenever any Event of Default referred to in Section 4.1 occurs and is continuing, the City, as specified below, may take any one or more of the following actions after the giving of thirty (30) days' written notice to the Developer and Owner, but only if the Event of Default has not been cured within said thirty (30) days, or, if such Event of Default cannot reasonably be cured by the Developer or the Owner within thirty (30) days of receipt of such notice, the Developer or the Owner shall have such additional time to cure such Event of Default as is reasonably necessary, not to exceed an additional sixty (60) days: 12 13580713v3