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MORTGAGE
DOCUMENTATION
Listing of Documents:
Condominium Clause
Co-ownership Clause
Guarantor Clause
Additional Provisions
Multi-Residential Clauses
1.
The word “land” shall have the meaning stated herein
and includes a “unit” or “units” as defined in the
Condominium Act as amended.
2.
The Chargor shall be equally responsible for seeing that
the Condominium Corporation provides insurance in accordance with
the provisions of these charge terms as herein set out.
3.
The land forms part of the property described in a
Declaration under the Condominium Act and registered pursuant to
the provisions thereof. The expressions “Condominium
Corporation” shall mean the corporation created by the
registration of the said Declaration.
4.
The Chargor shall:
a)
Pay any and all money due and payable by the Chargor in
accordance with the provisions of the Condominium Act or the said
Declaration or the said by-law of the by-laws of the corporation
from time-to-time on or before the dates for payment thereof and
upon demand of the Chargee submit satisfactory proof of payment,
including, without limiting to the foregoing, any contribution to
the common expenses or in respect of any special assessments
required as owner. In the event of default the Chargee, at the
option of the Chargee, may pay the same and treat such default as
a default of the payment under the terms of charge.
b)
Comply with and observe all the covenants, provisions,
terms, conditions, stipulations, specification, rules and
regulations of the Condominium Act and of the said Declaration and
of the by-laws of the Corporation and any future by-laws of the
Corporation and of any of the said rules and regulations applying
to the owners of the said units.
5.
In the event that the government of the property by the
Corporation is terminated or in the event of a sale of the
property or a part of the common elements of the corporation being
authorized by a vote of the owners of the said units then, and in
any such event, the monies hereby secured shall, at the option of
the Chargee, become due and payable, and all the powers given
herein shall become exercisable notwithstanding any consent given
by the Chargee to such termination or sale.
6.
The Chargee may exercise from time-to-time and at any time
the right of the Chargor in the name of the Chargor and on the
behalf of the Chargor, to vote or consent at all times and for all
purposes, wherever and whenever the Chargor would such right to
vote, at any meeting of the Chargor of the Corporation or wherever
and whenever the Chargor would have such right of consent to any
matter relevant to the management or sale or any dealings with the
property of the Corporation or its assets or the termination of
the application of the Condominium Act to the Corporation.
7.
The Chargee may from time-to-time waive the right to vote
or right of consent by giving notice of intention to do so to the
corporation and such waiver may be for an indeterminate period of
time until withdrawn or for a limited period of time or for a
specific meeting or matter, and while such waiver is in effect the
Chargor may exercise the right to vote or to consent.
8.
Notwithstanding the exercise by the Chargee of the right of
the Chargor to either vote or consent, such exercise shall not
render the Chargee a Chargee in Possession.
9.
The right to vote or to consent conferred upon the Chargee
herein does not entail any representation expressed or implied,
that the Chargee shall be in any way responsible to protect the
interest of the Chargor, and the Chargee shall not be responsible
for any exercise of the right to vote or the rights to consent or
any failure to exercise the right to vote or the right to consent.
1.
The word “land” shall have the meaning stated herein
and includes a “unit” or “units” or a percentage interest
as defined in the Co-ownership Agreement.
2.
The Chargor shall be equally responsible for ensuring that
the Co-ownership Corporation provides insurance in accordance with
the provisions of these charge terms as herein set out.
3.
The land forms part of the property described in the
Co-ownership Agreement and registered pursuant to the provisions
thereof. The expression “Co-ownership Corporation” shall mean
the corporation created by the registration of the said
Co-ownership Agreement.
4.
The Chargor shall:
a)
Pay any and all money due and payable by the Chargor in
accordance with the provisions of the Co-ownership Agreement or
the by-law or the by-laws of the corporation from time-to-time on
or before the dates for payment thereof and upon demand of the
Chargee submit satisfactory proof of payment, including, without
limiting to the foregoing, any contribution to the common expenses
or in respect of any special assessments required to be paid as an
owner of the “unit”. In the event of default the Chargee, at
the sole option of the Chargee, may pay the same and treat such
default of the Chargor as a default of the payment under the terms
of charge.
b)
Comply with and observe all the covenants, provisions,
terms, conditions, stipulations, specification, rules and
regulations of the Co-ownership Corporation and of the said
Co-ownership Agreement and of the by-laws of the Corporation and
any future by-laws of the Corporation and of any of the said rules
and regulations applying to the owners of the said units.
5.
In the event that the government of the property by the
Corporation is terminated or in the event of a sale of the
property or a part of the common elements of the corporation being
authorized by a vote of the owners of the said units then, and in
any such event, the monies hereby secured shall, at the option of
the Chargee, become due and payable, and all the powers given
herein shall become exercisable notwithstanding any consent given
by the Chargee to such termination or sale.
6.
The Chargee may exercise from time-to-time and at any time
the right of the Chargor in the name of the Chargor and on the
behalf of the Chargor, to vote or consent at all times and for all
purposes, wherever and whenever the Chargor would such right to
vote, at any meeting of the Chargor of the Corporation or wherever
and whenever the Chargor would have such right of consent to any
matter relevant to the management or sale or any dealings with the
property of the Corporation or its assets or the termination of
the application of the Co-ownership Agreement to the Corporation.
7.
The Chargee may from time-to-time waive the right to vote
or right of consent by giving notice of intention to do so to the
corporation and such waiver may be for an indeterminate period of
time until withdrawn or for a limited period of time or for a
specific meeting or matter, and while such waiver is in effect the
Chargor may exercise the right to vote or to consent.
8.
Notwithstanding the exercise by the Chargee of the right of
the Chargor to either vote or consent, such exercise shall not
render the Chargee a Chargee in Possession.
9.
The right to vote or to consent conferred upon the Chargee
herein does not entail any representation expressed or implied,
that the Chargee shall be in any way responsible to protect the
interest of the Chargor, and the Chargee shall not be responsible
for any exercise of the right to vote or the rights to consent or
any failure to exercise the right to vote or the right to consent.
The
Guarantor in consideration of the Chargee making the said loan
herein and the sum of ONE ($1.00) DOLLAR now paid to him by the
said Chargee (the receipt of which is hereby acknowledged) does
hereby covenant with the said Chargee as principal debtor and not
as surety that he will pay and truly cause to be paid to the said
Chargee the Principal and Interest hereby secured as and when such
monies fall due, all taxes, rates and assessments, municipal,
local or parliamentary and otherwise which now are or which may
hereafter be imposed, charged or levied upon the said lands and
premises.
And
the said Guarantor does further covenant and agree to and with the
Chargee that should default be made hereunder and so often as the
same may occur, the Guarantor will forthwith pay unto the Chargee
the amount or amounts that may be in default and will forthwith
observe, keep and perform the conditions and covenants herein
contained by and on the part of the said Chargor to be kept,
performed and observed.
It
is further agreed that the said Chargee may at any time or times
and from time to time extend or agree to extend the time for
payment of any or all the monies secured by the said Charge or may
refrain from enforcing payments thereof and may alter the terms
and time of payment thereof or the rate or time of payment of
interest thereon and may release any part of the lands hereby
charged or any other person liable on any covenant or any other
security, collateral or otherwise, or otherwise deal with this
Charge and with the Chargor in whatsoever manner that the Chargee
shall think proper from time to time without notice to the
Guarantor and without the consent of the Guarantor and
notwithstanding same, the Guarantor shall remain fully liable
under the foregoing covenants so long as any monies are remaining
due or unpaid to the Chargee on this loan.
The
Guarantor further agrees that these covenants shall bind him and
shall continue to subsist notwithstanding his death or the giving
of time for payment of the charge or the varying of the terms of
payment thereof or the rate of interest thereon.
The
Guarantor hereby further covenants and agrees that this absolute
and unconditional guarantee and indemnity shall continue in full
force and effect and shall in no way be impaired, restricted,
released, waived, eliminated, terminated, modified, or in any
other way become unenforceable by reason of the Chargor’s
bankruptcy, insolvency, reorganization or any other proceeding by
or against the Chargor or for any other reason.
The
Guarantor does further agree that the Chargee shall not be bound
to exhaust its recourse against the Chargor or the charged
premises before being entitled to payment from the Guarantor or
the amount hereby guaranteed by the Guarantor.
The
Guarantor shall remain fully liable under the foregoing covenants
so long as any monies remain due or unpaid under this Charge
notwithstanding the sale or transfer of the subject property by
the Chargor.
The
foregoing shall be binding upon the Guarantor and his heirs,
executors, administrators, successors and assigns.
A
breach of any covenant contained in this charge shall constitute a
default hereunder and at the option of the Chargee, it may avail
itself of the remedies contained in this charge or available at
law.
NOTWITHSTANDING
anything to the contrary contained in the Standard Charge Terms
(and in the event of a contradiction, the following provisions
shall prevail), the Chargor covenants and agrees with the Chargee
as follows:
1)
To pay to the Chargee its administration and/or servicing
fees for the following matters, in the amount set forth:
a)
Missed payment fee (payable for each missed or late
instalment and for processing each
“NSF” cheque or other returned payment)- $100.00.
Provided
that if any cheque is returned NSF, any replacement cheque
must be certified. If such replacement cheque is not
certified, the Chargee shall be entitled to have it
certified, and to add all the costs of the certification
(including courier charges to and from the Chargor’s Bank)
to the amount owing on the Mortgage.
b)
Insurance (payable for dealing with each cancellation,
premium payment or other non-compliance with insurance
requirements)- $100.00.
c)
Taxes- for tax status inquiry- $100.00 plus cost of
municipal tax certificate.
d)
Default proceedings (payable for each action or proceeding
instituted)- $500.00.
e)
Mortgage Statements (for preparation of each Statement)-
$50.00.
f)
Discharge documentation (preparation)- $125.00.
2)
The Chargor agrees to pay all legal and other expenses
incurred by the Chargee in connection with the preparation and
registration of any security interests pursuant to the Personal
Property Security Act and any renewals thereof forthwith upon
demand and such fees and expenses, together with interest thereon
at the interest rate charged hereunder, shall be added to the
principal sum secured by the within charge if not paid by the
Chargor.
3)
In the event of the Chargor further encumbering the
property without the prior written consent of the Chargee, such
further encumbering shall constitute a default under this mortgage
and in such event, at the sole option of the Chargee, all money
owing under the herein mortgage shall immediately become due and
payable.
4)
a)
The Chargor covenants and agrees with the Chargee that the
Chargor will obtain the
prior written consent of the Chargee before executing any lease,
offer or agreement to lease, or any tenancy agreement for the
lease of the whole or any part of the Charged property regardless
of the length of term of any such lease, offer or agreement to
lease, or tenancy agreement.
b)
The Chargor further covenants and agrees with the Chargee
that forthwith after any change or happening affecting any of the
leases, offers or agreements to lease, or any tenancy agreements
the Chargor will forthwith advise the Chargee accordingly in
writing and will furnish the Chargee with full particulars
thereof.
c)
If the charged property is leased in whole, or in part, by
the Chargor without prior written consent of the Chargee, or if
the Chargor fails to inform the Chargee of any change or happening
affecting any of the leases as set out above all sums secured
hereunder, together with accrued interest and unearned interest
thereon until maturity shall at the Chargee’s option forwith
become due and payable.
Assignment of Rents and Leases
As
further security to this Charge, the Chargor covenants and agrees
to grant to the Chargee a specific assignment of all leases of
premises in the building on the lands comprising the security of
this Charge.
Sale of Property
The
Chargor covenants and agrees with the Chargee that in the event of
the Chargor selling, conveying, transferring or entering into an
agreement for sale or of transfer of title of the property hereby
mortgaged to a purchaser or transferee not approved, in writing,
by the Chargee, which approval shall not unreasonably be withheld,
all monies hereby secured with accrued interest thereon shall at
the option of the mortgagee forthwith become due and payable.
No right of prepayment
This
Charge/Mortgage of Land shall be closed for the Term with no right
of prepayment in whole or in part.
Environmental
The
Chargee or agent of the Chargee may, at any time, before and after
default, and for any purpose deemed necessary by the Chargee,
enter upon said lands to inspect the land and buildings thereon.
Without in any way limiting the generality of the forgoing, the
mortgagee (or its respective agents) may enter upon the said lands
to conduct any environmental testing, site assessment,
investigation or study deemed necessary by the Chargee and the
reasonable cost of such testing, assessment, investigation or
study, as the case may be, with interest at the mortgage rate,
shall be payable by the Chargor forthwith and shall be a charge
upon the said lands. The exercise of any of the powers enumerated
in this clause shall not deem the Chargee, or its respective
agents to be in possession, management or control of the said
lands and buildings.
In
consideration of the advance of funds by the Chargee, the Chargor
and the Covenantor hereby agree that, in addition to any liability
imposed on the Chargor and Covenantor under any instrument
evidencing securing the loan indebtedness, the Chargor and each
Covenantor shall be jointly and severally liable for any and all
of the costs, expenses, damages or liabilities of the Chargee, its
directors and officers (including, without limitation, all
reasonable legal fees) directly or indirectly arising out of or
attributable to the use, generation, storage, release, threatened
release, discharge, disposal or presence on, under or about the
property of any hazardous or noxious substances and such liability
shall survive foreclosure of the security for the loan and any
other existing obligations of the Chargor and each Covenantor to
the Chargee in respect of the loan and any other exercise by the
Chargee of any remedies available to them for any default under
the Loan.
Property Management
At
all times, the Chargor is to provide professional management of
the property satisfactory to the Chargee. Any change in the
management of the Property shall require the prior written
approval of the Chargee, both as to the manager and the terms and
conditions of the management agreement.
Subsequent Financing
The
Chargor shall not grant financing subsequent to this
Charge/Mortgage of Land without the express written consent of the
Chargee.
First Right of Refusal on Maturity
The
Chargee shall have the first right of refusal with respect to any
mortgage loan commitment (insured or conventional) that the
Chargor is prepared to accept with respect for the replacement of
this Mortgage upon its maturity, or during the term of our loan.
The Chargor shall provide the Chargee with a copy of any such
mortgage commitment, and the Chargee shall have the right,
exercisable by notice in writing delivered to the Chargor within
three (3) business days of receipt of the commitment, to provide
the financing offered thereon on the same terms and conditions as
therein set out. Any loan commitment which the Chargor accepts
with respect to the replacement of this Mortgage on the Property
shall be conditional for three (3) business days following
delivery of such mortgage loan commitment to the Chargee in order
to allow the Chargee to exercise this first right of refusal.
Failing which, the Chargor, agrees to pay an additional fee of N/A
to the lender. It is further agreed that the fee represents a
reasonable cost of the Chargee’s work and expenses in
underwriting this loan and that it is not a penalty.
Financing Statements
The
Chargor further covenants with the Chargee to provide annually to
the Chargee detailed financial statements of the income and
expenses of the charge property, including a current rent roll,
for each calendar year as applicable. Such statements shall be
prepared by a Chartered Accountant and provided within one hundred
and twenty (120) days after the end of each fiscal year, of the
Chargor, on one hundred and twenty (120) days after the end of
each calendar year, as applicable, if the Chargor is an
individual.
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