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JR Policy NO. 98 B4H544 1 47-6095 Page 1 of2
<br /> 9
<br /> Form 438BFU
<br /> (Rev.May 1, 1942)
<br /> FORM 438BFU - LENDERS LOSS PAYABLE ENDORSEMENT
<br /> S.F. FORM
<br /> 1. Loss or damage, if any under this policy shall be paid to
<br /> CITY OF EVERETT , ITS OFFICERS, EMPLOYEES, AND AGENTS
<br /> its successors and assigns, hereinafter referred to as "the Lender," in whatever form or capacity its
<br /> interests may appear and whether said interest be vested in said Lender in its individual or in its dis-
<br /> closed or undisclosed fiduciary or representative capacity, or otherwise, or vested in a nominee or
<br /> trustee of said Lender.
<br /> 2. The insurance under this policy, or any rider or endorsement attached thereto, as to the interest only
<br /> of the Lender, its successors and assigns, shall not be invalidated nor suspended: (a) by any error,
<br /> omission, or change respecting the ownership, description, possession, or location of the subject of
<br /> the insurance or the interest therein, or the title thereto; (b) by the commencement of foreclosure pro-
<br /> ceedings or the giving of notice of sale of any of the property covered by this policy by virtue of any
<br /> mortgage or trust deed; (c) by any breach of warranty, act, omission, neglect, or non-compliance with
<br /> any of the provisions of this policy, including any and all riders now or hereafter attached thereto, by
<br /> the named insured, the borrower, mortgagor, trustor, vendee, owner, tenant, warehouseman, custo-
<br /> dian, occupant, or by the agents of either or any of them or by the happening of any event permitted
<br /> by them or either of them, or their agents, or which they failed to prevent, whether occurring before or
<br /> after the attachment of this endorsement, or whether before or after a loss, which under the provi-
<br /> sions of this policy of insurance or of any rider or endorsement attached thereto would invalidate or
<br /> suspend the insurance as to the named insured, excluding herefrom, however, any acts or omissions
<br /> of the Lender while exercising active control and management of the property.
<br /> 3. In the event of failure of the insured to pay any premium or additional premium which shall be or be-
<br /> come due under the terms of this policy or on account of any change in occupancy or increase in
<br /> hazard not permitted by this policy, this Company agrees to give written notice to the Lender of such
<br /> non-payment of premium after sixty (60) days from and within one hundred and twenty (120) days af-
<br /> ter due date of such premium and it is a condition of the continuance of the rights of the Lender here-
<br /> under that the Lender when so notified in writing by this Company of the failure of the insured to pay
<br /> such premium shall pay or cause to be paid the premium due within ten (10) days following receipt of
<br /> the Company's demand in writing therefor. If the Lender shall decline to pay said premium or addi-
<br /> tional premium, the rights of the Lender under this Lender's Loss Payable Endorsement shall not be
<br /> terminated before ten (10) days after receipt of said written notice by the Lender.
<br /> 4. Whenever this Company shall pay to the Lender any sum for loss or damage under this policy and
<br /> shall claim that as to the insured no liability therefor exists, this Company, at its option, may pay to
<br /> the Lender the whole principal sum and interest and other indebtedness due or to become due from
<br /> the insured, whether secured or unsecured, (with refund of all interest not accrued), and this Compa-
<br /> ny, to the extent of such payment, shall thereupon receive a full assignment and transfer, without re-
<br /> course, of the debt and all rights and securities held as collateral thereto.
<br /> 5. If there be any other insurance upon the within described property, this Company shall be liable un-
<br /> der this policy as to the Lender for the proportion of such loss or damage that the sum hereby insured
<br /> bears to the entire insurance of similar character on said property under policies held by, payable to
<br /> and expressly consented to by the Lender. Any Contribution Clause included in any Fallen Building
<br /> Clause Waiver or any Extended Coverage Endorsement attached to this contract of insurance is
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