Common use of TITLE TO EQUIPMENT; SECURITY INTEREST Clause in Contracts

TITLE TO EQUIPMENT; SECURITY INTEREST. It is Authority’s and City’s intention that this Agreement not constitute a “true” lease for federal income tax purposes and, therefore, it is Authority’s and City’s intention that City be considered the owner of the Equipment for federal income tax purposes. Upon delivery of the Equipment to City under this Agreement, title to the Equipment will vest in City, subject to the rights of Authority under this Agreement; provided, however, that (a) if this Agreement is terminated as a result of an Event of Non-appropriation by the City pursuant to Section 6 hereof; (b) upon the occurrence of an Event of Default (as hereinafter defined), and as long as such Event of Default is continuing; or (c) in the event that the purchase option provided in Section 19 has not been exercised prior to the Expiration Date, title will immediately vest in Authority or its Assignee. To the extent that no Event of Default has occurred and is continuing, or no event which with notice or lapse of time, or both, could become an Event of Default then exists, when all Lease Payments have been paid, along with any applicable late charges or taxes, or when City has exercised the purchase option and paid the purchase price pursuant to Section 19 of this Agreement, Authority will transfer any and all of its right, title and interest in the Equipment to the City. In order to secure all of its obligations hereunder, City hereby (w) grants to Bank, as assignee of the Authority, a first priority security interest in any and all right, title and interest of City in the Equipment and in all additions, attachments, accessions, and substitutions thereto, and on any proceeds therefrom, (x) moneys and investments held in the Equipment Acquisition Fund, including proceeds therefrom, established the Escrow Agreement, (y) agrees that the Authority may file a financing statement evidencing such security interest, and (z) agrees to execute and deliver all financing statements, certificates of title and other instruments reasonably requested by Authority or its Assignee to evidence such security interest.

TITLE TO EQUIPMENT; SECURITY INTEREST. It is AuthorityXxxxxx’s and Citythe Authority’s intention that this Agreement not constitute a “true” lease for federal income tax purposes and, therefore, as between the Lessor and the Authority, it is AuthorityLessor’s and Citythe Authority’s intention that City the Authority be considered the owner of the Equipment for federal income tax purposes. Upon delivery of the Equipment to City the Authority under this Agreement, title to the Equipment will vest in Citythe Authority, subject to the rights of Authority Lessor under this Agreement; provided, however, that (a) if this Agreement is terminated as a result of an Event of Non-appropriation by the City pursuant to Section 6 7 hereof; , (b) upon the occurrence of an Event of Default (as hereinafter defined), and as long as such Event of Default is continuing; , or (c) in the event that the purchase option provided in Section 19 20 has not been exercised prior to the Expiration DateLease Term, title will immediately vest in Authority Lessor or its Assignee. To the extent that no Event of Default has occurred and is continuing, or no event which with notice or lapse of time, or both, could become an Event of Default then exists, when all Lease Payments set forth in Schedule C have been paid, along with any applicable late charges or taxes, or when City the Authority has exercised the purchase option and paid to Lessor the purchase price pursuant to Section 19 20 of this Agreement, Authority Lessor will transfer any and all of its right, title and interest in the Equipment to the CityAuthority. In order to secure all of its obligations hereunder, City the Authority hereby (w) grants to Bank, as assignee of the Authority, Lessor a first priority security interest in any and all right, title and interest of City the Authority in the Equipment and in all additions, attachments, accessions, and substitutions thereto, Sub-Lease and on any proceeds therefrom, ; (x) moneys and investments held from time to time in the Equipment Acquisition Fund, including proceeds therefrom, established under the Escrow Agreement, (y) agrees that the Authority Lessor may file a financing statement evidencing such security interest, ; and (z) agrees to execute and deliver all financing statements, certificates of title and other instruments reasonably requested by Authority Lessor or its Assignee to evidence such security interest.

TITLE TO EQUIPMENT; SECURITY INTEREST. It is AuthorityLessor’s and Citythe Authority’s intention that this Agreement not constitute a “true” lease for federal income tax purposes and, therefore, as between the Lessor and the Authority, it is AuthorityLessor’s and Citythe Authority’s intention that City the Authority be considered the owner of the Equipment for federal income tax purposes. Upon delivery of the Equipment to City the Authority under this Agreement, title to the Equipment will vest in Citythe Authority, subject to the rights of Authority Lessor under this Agreement; provided, however, that (a) if this Agreement is terminated as a result of an Event of Non-appropriation by the City pursuant to Section 6 7 hereof; , (b) upon the occurrence of an Event of Default (as hereinafter defined), and as long as such Event of Default is continuing; , or (c) in the event that the purchase option provided in Section 19 20 has not been exercised prior to the Expiration DateLease Term, title will immediately vest in Authority Lessor or its Assignee. To the extent that no Event of Default has occurred and is continuing, or no event which with notice or lapse of time, or both, could become an Event of Default then exists, when all Lease Payments set forth in Schedule C have been paid, along with any applicable late charges or taxes, or when City the Authority has exercised the purchase option and paid to Lessor the purchase price pursuant to Section 19 20 of this Agreement, Authority Lessor will transfer any and all of its right, title and interest in the Equipment to the CityAuthority. In order to secure all of its obligations hereunder, City the Authority hereby (w) grants to Bank, as assignee of the Authority, Lessor a first priority security interest in any and all right, title and interest of City the Authority in the Equipment and in all additions, attachments, accessions, and substitutions thereto, Sub-Lease and on any proceeds therefrom, ; (x) moneys and investments held from time to time in the Equipment Acquisition Fund, including proceeds therefrom, established under the Escrow Agreement, (y) agrees that the Authority Lessor may file a financing statement evidencing such security interest, ; and (z) agrees to execute and deliver all financing statements, certificates of title and other instruments reasonably requested by Authority Lessor or its Assignee to evidence such security interest.