Common use of Our Security Clause in Contracts

Our Security. You grant us the following security over the leased property. You mortgage or charge the leasehold interest to us as security and not as a complete or absolute assignment of your leasehold interest. Where the effect of any term of the mortgage would be to assign your leasehold interest to us, that term does not apply. To the extent required by law you sublease the leased property to us for the rest of the term of the lease, except the last day of the term. Because you have not assigned the lease to us, your giving us the security does not put us under an obligation to you or your landlord to comply with your obligations under the lease. Although you have not assigned the lease to us, you must hold the last day of the term of the lease in trust for us. You must, when we can enforce the security, dispose of or deal with the last day of the term of the lease, as we require. We may at any time after we become entitled to enforce the security appoint anyone as a new trustee in place of you or any other trustee, and we may use every power given by law to a person who appoints a new trustee to transfer the leasehold interest to the new trustee. To the extent applicable the security in this section is in addition to the security granted to us in part 5.