Common use of Right of Contest Clause in Contracts

Right of Contest. Borrower may contest in good faith any claim, demand, levy or assessment (other than liens and stop notices, subject to the provisions of Section 4.9 of this Agreement) by any person other than Lender which would constitute a Default if: (a) Borrower pursues the contest diligently, in a manner which Lender determines is not prejudicial to Lender, and does not impair the rights of Lender under any of the Loan Documents; and (b) Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's compliance with this Section shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 4 contracts

Samples: Construction Loan Agreement (Equity Office Properties Trust), Construction Loan Agreement (Equity Office Properties Trust), Construction Loan Agreement (Equity Office Properties Trust)

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Right of Contest. Borrower may contest in good faith any claim, demand, levy or assessment (other than including mechanics’ and materialmens’ liens and stop notices, subject to the provisions of Section 4.9 of this Agreement) by any person other than Lender which would constitute a Default if: (a) Borrower pursues the contest diligently, in a manner which Lender reasonably determines is not prejudicial to Lender, and does not impair the rights of Lender under any of the Loan Documents; and (b) Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's ’s compliance with this Section shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 2 contracts

Samples: Loan Agreement, Building Loan Agreement (Thomas Properties Group Inc)

Right of Contest. Borrower may contest in good faith any claim, demand, levy or assessment (other than liens and stop notices, subject to the provisions of Section 4.9 of this Agreement) by any person other than Lender which would constitute a Default if: (a) Borrower pursues the contest diligently, in a manner which Lender determines is not prejudicial to Lender, and does not impair the rights of Lender under any of the Loan Documents; and (b) Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's ’s compliance with this Section shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 1 contract

Samples: Construction Loan Agreement (Equity Office Properties Trust)

Right of Contest. Borrower may contest in good faith any claim, ---------------- demand, levy or assessment (other than liens and stop notices, subject to the provisions of provision for which is made in Section 4.9 of this Agreement4.09) by any ------------ person other than Lender which would constitute a Default if: if (a) Borrower pursues the contest diligently, diligently and in a manner which Lender determines is not prejudicial to Lender, Lender and does not impair the rights of Lender under any of the Loan Documents; and (b) Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time reasonably determines appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's compliance with this Section shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 1 contract

Samples: Construction Loan Agreement (New England Life Pension Properties)

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Right of Contest. Borrower may contest in good faith any claim, demand, levy or assessment (other than liens and stop notices, subject to the provisions of Section 4.9 of this Agreementprovision for which is made in Article 3 hereof) by any person other than Lender which would constitute a Default if: if (a) Borrower pursues the contest diligently, diligently and in a manner which Lender determines is not prejudicial to Lender, Lender and does not impair the rights of Lender under any of the Loan Documents; Documents and (b) if requested by Lender, Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time determines appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's compliance with this Section section shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 1 contract

Samples: Construction Loan Agreement (Fair Isaac & Company Inc)

Right of Contest. Borrower may contest in good faith any claim, demand, levy or assessment (other than liens Liens and stop notices, subject to the provisions of Section 4.9 of this Agreement) by any person other than Lender which would constitute a Default if: (a) Borrower pursues the contest diligently, in a manner which Lender determines is not prejudicial to Lender or any Lender, and does not impair the rights of Lender under any of the Loan Documents or Other Related Documents; and (b) Borrower deposits with Lender any funds or other forms of assurance which Lender in good faith determines from time to time appropriate to protect Lender from the consequences of the contest being unsuccessful. Borrower's ’s compliance with this Section 13.7 shall operate to prevent such claim, demand, levy or assessment from becoming a Default.

Appears in 1 contract

Samples: Loan Agreement (KBS Strategic Opportunity REIT, Inc.)

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