Mortgage Deed Assignment of Rent Clause

MORTGAGE DEED-(ASSIGNMENT OF RENT CLAUSE)
INDIVIDUAL TO CORPORATION

This Indenture, Made this day of , 20 ,

between , of the County of , State of , part of the first part, and , a corporation under the laws of the State of , party of the second part.

Witnesseth, That the said part of the first part, in consideration of the sum of DOLLARS, ($), to in hand paid by the said party of the second part, the receipt whereof is hereby acknowledged, do hereby Grant, Bargain, Sell, and Convey unto the said party of the second part, its successors and assigns, Forever, all the tract or parcel of land lying and being in the County of and State of Minnesota, described as follows, to-wit:

To Have and to Hold the Same, Together with the hereditaments and appurtenances thereunto now or hereafter belonging or in any wise appertaining, including all gas fixtures and electric lighting fixtures, all heating and plumbing apparatus and fixtures of every nature and kind whatsoever, all storm windows, storm doors and vestibules, and all screen doors and window screens, unto the said party of the second part, Forever.

And the said part of the first part, do covenant with the said party of the second part, as follows: First, that lawfully seized of said premises in fee simple; Second, that ha good right to convey the same; Third, that the same are free from all liens and incumbrances , Fourth, that said party of the second part shall quietly enjoy and possess the same, and that the said part of the first part will Warrant and Defend the title to the same against all lawful claims not hereinbefore expressly excepted.

Provided, Nevertheless, That if the said part of the first part shall well and truly pay or cause to be paid to the said party of the second part, the sum of DOLLARS, ($), payable with interest thereon, before and after maturity, at the rate of () per cent per annum, according to the conditions of () promissory note

said part of the first part to said party of the second part, payable to the order of said party of the second part, at and bearing even date herewith, and shall keep and perform all and singular the covenants herein contained on the part of the said part of the first part to be kept and performed, then this deed shall be null and void, otherwise to be and remain in full force and effect.

The time of payment of said note and this mortgage may be extended by the mutual written agreement of the holder thereof and the owner of said premises, but such extension shall not operate to release the part of the first part from personal obligation upon said note

And the said part of the first part do further covenant and agree with the said party of the second part, that will pay said sums of money above specified, and the interest thereon, at the time and in the manner above mentioned, at the office of , in , or at such other place in the United States of America as the holder hereof may from time to time in writing designate, and that at all times during the continuance of this mortgage, and until the same shall be fully paid or released will keep the buildings on said premises unceasingly insured against fire and windstorm in such first-class, responsible, Insurance Company or Companies as the party of the second part shall select or designate; such fire insurance to be for at least the sum of Dollars ($), and such windstorm insurance to be for at least the sum of Dollars ($),

all payable in case of loss to said party of the second part, to the amount then secured by this mortgage, with a mortgage and subrogation clause satisfactory to said party of the second part, attached to such policy or policies of insurance, and if a greater amount of insurance is placed upon said buildings than the amount aforesaid, then all such insurance shall be made payable in case of loss as aforesaid, and with like subrogation clause, said policy or policies to be at all times deposited with said party of the second part, and will promptly pay the premium for all such insurance, and that will during all said time pay all taxes or assessments that may for any and all purposes be payable, assessed or imposed on said premises, or any part hereof, and will pay them before the same shall become delinquent and before a penalty might attach for non-payment thereof, and that in case of failure so to keep said buildings continually insured, or the premiums aforesaid promptly paid, or such taxes paid as herein provided, or if said part of the first part herein shall fail to pay and discharge any lien upon said premises which the protection of the lien of this mortgage may require to be paid, then and in either of such cases the said part of the first part do hereby authorize and empower the said party of the second part, at its option, to effect such insurance, and pay all such unpaid premiums, and pay such taxes or assessments, and cancel and discharge such liens, and all such sum or sums paid for any and all such purposes, shall be tacked and impressed as an additional lien upon said premises, and shall be secured by and be collectible as a part of this mortgage, and bear interest at the same rate as the indebtedness secured hereby.

And in case it shall become necessary or expedient to foreclose this mortgage by reason of any default in its terms or conditions, then said part of the first part do hereby authorize and fully empower said party of the second part to effect insurance upon the buildings aforesaid for a period covering the time of redemption from the sale of said premises the amount under such foreclosure and to pay the premium therefor, and the amount so paid shall be tacked and impressed as an additional lien upon said premises and shall be secured by and be collectible as a part of this mortgage, and bear interest at the same rate as the indebtedness secured hereby.

And it is hereby stipulated and agreed by and between the parties hereto that in case said part of the first part shall neglect or fail to keep said buildings continually insured or to pay the premiums for insurance, or the taxes or assessments as herein stipulated, the said part of the first part in such case do hereby bargain, sell, assign and set over unto the said party of the second part, all the rents and moneys which, whether before or after foreclosure or during the period of redemption until the full and complete payment of the said taxes and said premiums, shall accrue and be owing for the use or occupation of the said premises and of the buildings thereon, or of any part thereof;

and for the purpose aforesaid and not otherwise, during the time last aforesaid, the part of the first part do hereby constitute and appoint said party of the second part, attorney in fact, irrevocably in name, to receive, collect and receipt for all sums due or owing for such use and occupation, as the same accrue, and out of amount so collected to pay and discharge all taxes, assessments and premiums for insurance upon said premises, so far as the sums so collected by it shall be sufficient for that purpose, paying the overplus from time to time, if any there be, to said part of the first part.

The part of the first part do further covenant and agree that if any lien for labor, skill or material shall be filed for record during the life of this mortgage, upon or against the premises hereby mortgaged, the said mortgagor will, within thirty days after the date of its filing for record, either pay off the said lien and secure its satisfaction of record, or will protect the mortgagee against any loss or damage growing out of its enforcement, by depositing with the mortgagee the amount claimed to be due on said lien, with an additional sum of $100.00 to cover interest and costs; or by furnishing a bond for the same amount in the form and with the sureties to be approved by the mortgagee.

If the validity of said lien shall be established either by agreement of the lienor and the mortgagor , or by a legal adjudication, the mortgagee may use so much of the moneys deposited with it, as aforesaid, as may be necessary for the purpose, to pay off and discharge said lien, returning any surplus to the mortgagor .

And it is hereby stipulated and agreed by and between the parties hereto, that in case of the payment of taxes or assessments upon the said premises by the said party of the second part, as hereinbefore provided, the receipt or receipts of the proper officer for the same in the hands of the said party of the second part shall be conclusive evidence of the validity and amount of such taxes or assessments, and that if default shall be made in any of the conditions or covenants herein contained on the part of the said part of the first part, to be kept and performed, that then and from thenceforth, it shall be lawful for the said party of the second part or its agent or attorney, at its election, to declare the whole sum hereby secured as immediately due and payable without notice, and proceed to enforce the payment thereof in like manner as if the same had become due and payable by the terms of said note .

And it is also hereby stipulated and agreed by and between the parties hereto, that the part of the first part shall not and will not apply for or claim any deduction by reason of this mortgage from the taxable value of said land, premises or property, but will pay all taxes upon the same in full.

The part of the first part will pay all taxes, excepting only the federal income tax, which may be assessed upon the said land, premises or property, or upon the party of the second part's interest therein, or upon this mortgage or the moneys secured hereby, without regard to any law heretofore, enacted, or hereafter to be enacted, imposing payment of the whole or any part thereof upon the party of the second part.

Upon violation of this undertaking or the passage by the State of a law imposing payment of the whole or any portion of any of the taxes aforesaid upon the party of the second part; or upon the rendering by any Court of competent jurisdiction of a decision that the undertaking by the part of the first part as herein provided to pay any tax or taxes is legally inoperative, then and in any such event the debt hereby secured, without any deduction, shall, at the option of the party of the second part become immediately due and collectible, notwithstanding anything contained in this mortgage or any law hereafter enacted, unless, following the levy of any such tax the part of the first part shall have paid said tax before the same becomes delinquent.

But if default shall be made in the payment of said sum or sums of money or interest, or any part thereof, or in paying the taxes, assessments or insurance premiums on said premises, or in canceling or discharging the liens above referred to, at the time and in manner herein specified for the payment thereof, or in the performance of any of the covenants or agreements herein contained, the said part of the first part in such case do hereby authorize and fully empower the said party of the second part to foreclose this mortgage and sell said premises hereby granted, at public auction, and convey the same to the purchaser, in fee simple, agreeably to the statute in such case made and provided, and out of the proceeds arising from such sale to retain the principal and interest which shall then be owing on said note , together with all such sum or sums of money as the said party of the second part shall have paid for taxes, assessments, insurance, or discharging liens as aforesaid, with interest thereon as herein provided and all costs and charges of such foreclosure, including the sum of DOLLARS ($) as attorney's fees, and pay the overplus, if any to the said part of the first part.

It is agreed that the record of assignment of this mortgage in the office of the County Recorder of said County, shall of itself be deemed notice of such assignment to said part of the first part for all purposes.

All grants, privileges, covenants, agreements, obligations and conditions set forth in this instrument shall inure to and be obligatory upon the heirs, legal representatives, successors and assigns of the respective parties hereto, as fully in all respects as though specifically hereinbefore set forth.

In Testimony Whereof, The said part of the first part ha hereunto set hand the day and year first above written.

State of ) ss.
County of )

On this day of , 20 , before me, a within and for said County, personally appeared to me known to be the person described in and who executed the foregoing instrument, , and acknowledged that executed the same as

THIS INSTRUMENT WAS DRAFTED BY

(Name)

(Address)

Notary Public County, Minn.

My commission expires , 20 .