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I . apply to the Minnesota District Court for the County wherein the Mortgaged
<br />Property is located foir the appointment of a receiver under Minnesota Statute § 559.1 7,
<br />it being understood and agreed that Mortgagee shall be entitled to the app oi , ntmient of a
<br />receiver upon a showing that an Event of Default has occurred under the terms of this
<br />Mortgage. A receiver so appointed shall, apply all rents and profits collected from the
<br />date of his appointment through the redemption period from, any foreclosure sale, first as
<br />provided in Minnesota Statutes § 576.01, Subdivision 2, and thereafter shall. apply the
<br />rents and profits to the payment of the following items in the order indicated.- first, to the
<br />payment of principal and interest on any prior niortgages; second, to the payment of ally
<br />other prior liens or encumbrances; third, to payment of all adviancies made by Mortgagee
<br />under this Mortgage and all costs of collection incurred by Mortgagee in collecting the
<br />Indebtedness and enforcing this Mortgage and all interest therieon�, and fourth, to the
<br />payment of interest and principal on the Noted or
<br />2, collect all rents and profits from the occupiers off' the Mortgaged Property upon
<br />the filing by the Mortgagee, in the office of the County Recorder or, in the case of
<br />registered property in the office of the Registrar of Titles, for the County in. which the
<br />Mortgaged Property is located, of a notice of the occurriencle of an Event of Default in the
<br />terms and conditions of this Mortgage and the service of said notice of default upon the
<br />occupiers of the Mortcyaged Property. From the date of filing, and service upon the
<br />occupiers of notice of default through the redemption period from any foreclosure sale,
<br />Mortgagee shall first, apply all rents and profits so collected 'in the same manner provided
<br />in subparagraph (1) above where the rents and profits are collected pursuant to the
<br />appointment of a receiver. In the event Mortgagee exercises the Mortgagee's rights under
<br />this subparagraph (2), the Mortgagee shall not, solely by reason thereof, be deemed to be
<br />a mortgagee-in-possession of the Mortgaged Property.
<br />The Mortgagee shall not be obligated to perform or discharge, nor, does the Mortgagee hereby
<br />undertake to per-forn-i or discharge, any obligation, duty or liability under any leases, subleases or
<br />rental agreements relating to the Mortgaged Property, and the Mortgagor, shall and does hereby
<br />agree to *Indemnify and hold the Mortgagee harmless from and against any and all liability, loss
<br />or damage which the Mortgagee may or might incur, under any such lease, sublease or agreement
<br />or under or by reason of the assignment of the rents thereof and from and against any and all
<br />claims and demands whatsoever which may be asserted against the Mortgagee by reason of any
<br />alleged obligations or undertakings on the Mortgagee's part to plerform or diischiarge any of the
<br />terms, covenants or agreements contained in any of such leases, provided that the Mortgagor
<br />shall not indemnify and hold harmless the Mortgagee from any liability, loss, or damage resulting
<br />from acts or omissions of the Mortgagee which occur on or after the date the Mortgagee takes
<br />possession of the Mortgaged Property. Except for any liability, loss or damage resulting from
<br />acts or omissions of the Mortgagee, should the Mortgagee incur any liability , . lioss, or damage by
<br />reason of this assignment of leases and rents, or in the defense of any claim or demand, the
<br />Mortgagor agrees to reimburse the Mortgagee for the amount thereof, including costs, expenses
<br />and reasonable attorneys' fees, immediately upon demand,
<br />The Mortcyt� agee, o f t
<br />r such agent, or receiver, in the exercise of rights and powers conferred
<br />upon the Mortgagee by this assignment -of leases and rents shall have the full power to use and
<br />apply the avails, rents, issues, income and profits of the Mortgaged Property to which the
<br />2150387v] 7
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