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warrants that, to the best of Mortgagor's knowledge, no elements or compounds which are
<br />contained in the list of hazardous substances adopted by the United States Environmental
<br />Protection Agency or any other element or compound defined as a hazardous or toxic waste
<br />substance or material by any other Federal, State of Minnesota, or applicable local statute,
<br />ordinance, code or regulation are present in detectable quantities in the soil, groundwater,
<br />improvements, fixtures, utility services, equipment, personal property or otherwise on the
<br />Mortgaged Property or the improvements located thereon, and no such wastes, substances or
<br />materials will he used in any improvements hereinafter constructed on the Mortgaged Property.
<br />Neither Mortgagor nor, to the best of Mortgagor's knowledge, any other person has, at any tine,
<br />caused any such wastes, substances or materials to be placed, held, stored, located or disposed of
<br />on, under or in the Mortgaged Property or the improvements located thereon. The warranties
<br />contained herein shall survive payment in full of the Note and /or foreclosure of this Mortgage.
<br />b. Indemnification by Mortgagor. The Mortgagor shall bear all loss, expense
<br />(including attorneys' fees), and damage in connection with, and agrees to indemnify and hold
<br />harmless and defend the Mortgagee and each of its agents, servants and employees from all
<br />claims, demands and judgments made or recovered against the Mortgagee or any of its agents,
<br />servants and employees because of bodily injuries, including death at any time resulting
<br />therefrom, and /or because of damages to property of the Mortgagee or others (including loss of
<br />use) from any cause whatsoever, arising out of, incidental to, or in connection with the
<br />construction and /or operation of the Mortgaged Property and any improvements located thereon
<br />or arising by reason of the presence of hazardous or toxic substances, asbestos, PCB's, petroleum
<br />products, volatile hydrocarbons on the Mortgaged Property or in any improvements located
<br />thereon or releases thereof from the Mortgaged Property, whether or not due to any act of
<br />omission or commission, including negligence of the Mortgagor or Mortgagor's employees,
<br />servants or agents, provided, however, that nothing herein shall be construed to obligate
<br />Mortgagor to protect, indemnify and save Mortgagee harmless from and against liabilities,
<br />obligations, claims, damages, penalties, causes of action, costs and expenses (including, without
<br />limitations, attorney's fees and expenses) imposed upon or incurred by Mortgagee by reason of
<br />the negligent or tortious acts on the part of Mortgagee or any of its employees, agents
<br />contractors, licensees or invitees. The Mortgagor's liability hereunder shall not be limited to the
<br />extent of insurance carried by or provided by the Mortgagor or subject to any exclusions from
<br />coverage in any insurance policy. The obligations of the Mortgagor under this paragraph shall
<br />survive the payment of the Note and /or foreclosure of this Mortgage.
<br />e. Right to Require Environmental Assessment. Upon the occurrence of an
<br />Event of Default hereunder or if the Mortgagee has received information which leads the
<br />Mortgagee, in its sole discretion, to believe that a Hazardous Substance is unlawfully present on
<br />or is being unlawfully handled, stored, transported, manufactured, released or disposed of in, on
<br />or about the Mortgaged Property, the Mortgagee may, at its option, through its employees, agents
<br />or independent contractors, enter upon the Mortgaged Property and obtain, at the Mortgagor's
<br />expense, environmental tests (including core drilling), studies, investigations and reports from a
<br />reputable environmental consultant chosen by the Mortgagee. If any such environmental reports
<br />indicate any unlawful presence, handling, storage, transportation, manufacture, release or
<br />disposal of Hazardous Substances in, on or about the Mortgaged Property, the Mortgagee may
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