Common use of Default Draws Clause in Contracts

Default Draws. If Lender draws under the Letter of Credit pursuant to Section 4.08(b)(i) above, Lender may in its sole discretion use monies drawn under the Letter of Credit for any of the following purposes: (i) to pay any amounts required to be paid by the applicable Collateral Pool Borrower under the Loan Documents (including, without limitation, any amounts required to be paid to Lender under this Agreement); (ii) to (on such Collateral Pool Borrower’s behalf, or on its own behalf if Lender becomes the owner of the Mortgaged Property) pre-pay any Note; (iii) to make repairs required to address emergency or life and safety conditions to any Mortgaged Property in such Collateral Pool; or (iv) deposit monies into the Cash Collateral Account.