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11 <br /> 3238974.3 CDBG Loan <br />Agreement <br />5.1 EVENTS OF DEFAULT. The occurrence of any one or more of the following events shall constitute <br />an event of default hereunder ("Event of Default"): <br />(a) Participant removes the Improvements from the Property, or fails to maintain the <br />Improvements and the Property according to the City’s standards, or fails to promptly make repairs in violation <br />of Section 3.4. <br />(b) Any representation or warranty contained in this Agreement or any certificate <br />furnished in connection with the foregoing or in connection with any request for disbursement of CDBG Loan <br />Proceeds proves to have been false or misleading in any respect when made. <br />(c) Participant defaults in the performance of any term, provision, covenant or <br />agreement (other than an obligation enumerated in this Article V) contained in this Agreement or unless a <br />shorter cure period for such default is specified herein, the default continues for ten (10) days in the event of <br />a monetary default or thirty (30) days in the event of a nonmonetary default after the date upon which City <br />shall have given written notice of the default to Participant (or such longer time as City may agree upon in <br />writing), provided that in each case Participant commences to cure the default within thirty (30) days and <br />thereafter prosecutes the curing of such default with due diligence and in good faith. <br />(d) Participant becomes insolvent or shall cease to pay its debts as they mature or <br />voluntarily files a petition seeking reorganization of, or the appointment of a receiver, trustee, or liquidation <br />for it or a substantial portion of its assets, or to effect a plan or other arrangement with creditors, or shall be <br />adjudicated bankrupt, or shall make voluntary assignment for the benefit of creditors. <br />(e) An insolvency petition is filed against Participant under any bankruptcy, insolvency, <br />or similar law or seeking the reorganization of or the appointment of a receiver, trustee, or liquidator for <br />Recipient, or of a substantial part of the property of the Recipient’s, or a writ or warrant of attachment or <br />similar process shall be issued against a substantial part of the property of Recipient, and such petition shall <br />not be dismissed, or such writ or warrant of attachment or similar process shall not be released or bonded, <br />within sixty (60) days of filing of levy. <br />5.2 REMEDIES AND RIGHTS UPON DEFAULT. Upon the occurrence of an Event of Default, <br />City shall have all remedies available to it under law or equity, including, but not limited to the following, and <br />City may, at its election, without notice to or demand upon Participant, except for notices or demands required <br />by law or expressly required pursuant to this Agreement, exercise one or more of the following remedies: <br />a) Seek specific performance to enforce the terms of this Agreement; <br />b) Accelerate and declare the balance of the CDBG Note and interest accrued thereon <br />immediately due and payable; <br />c) Pursue any and all other remedies available under any other Loan Document; <br />d) Terminate Participant’s right to use or occupy the Property. Participant understands that <br />the Property is owned by the City, and expressly acknowledges and agrees that an Event <br />of Default shall give the City the right to terminate Participant’s right to use or occupy the <br />240