Common use of Risk Of Loss/Taking Clause in Contracts

Risk Of Loss/Taking. 13.1 If prior to the C losing, either the C ity Property or the D istrict Property is damaged, the Acquiring Party shall have the right, exercisable by giving written notice to Transferring Party within five days after receiving written notice of such damage or destruction (but in any event prior to the Closing), either (i) to terminate this Exchange Agreement, in which case neither Party shall have any further rights or obligations hereunder, or (ii) to accept the Property in its then condition and to proceed with the Closing and to receive an assignment of all of Transferring Party’s right to any insurance proceeds payable by reason of such damage or destruction. If Acquiring Party elects to proceed under clause (ii) above, Transferring Party shall not compromise, settle or adjust any claims to such proceeds without Acquiring Party’s prior written consent.

Risk Of Loss/Taking. 13.1 If prior to the C losingClosing, either the C ity City Property or the D istrict District Property is damaged, the Acquiring Party shall have the right, exercisable by giving written notice to Transferring Party within five days after receiving written notice of such damage or destruction (but in any event prior to the Closing), either (i) to terminate this Exchange Agreement, in which case neither Party shall have any further rights or obligations hereunder, or (ii) to accept the Property in its then condition and to proceed with the Closing and to receive an assignment of all of Transferring Party’s right to any insurance proceeds payable by reason of such damage or destruction. If Acquiring Party elects to proceed under clause (ii) above, Transferring Party shall not compromise, settle or adjust any claims to such proceeds without Acquiring Party’s prior written consent.