C153723 PIF Contract - Laserfiche WebLink

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�y ASSIGNMENT OF CERTIFICATE OF DEPOSIT In consideration of and as security for reimbursement for monies owing under a loan from the Colorado Water Conservation Board ( "Lender ") to the Mutual Mesa Lateral Enterprise in the amount of $871,000 ( "Loan ") pursuant to Contract Encumbrance `Number C 153723, ( "Loan Contract /Promissory Note "), the Mutual Mesa Lateral Enterprise ( "Owner ") hereby assigns to the Lender the following Certificate of Deposit and all principal, interest and other proceeds therefrom (cumulatively "Collateral "): Certificate of Deposit No. 6929 in the amount of $50,370.02 issued by Palisade National Bank ( "Bank ") and maturing on October 30, 1997 The Collateral secures the payment and performance of all of Owner's present and future, direct or indirect, absolute and contingent, express and implied, indebtedness, liabilities, obligations and covenants (cumulatively "Obligations ") by Lender pursuant to the Loan Contract /Promissory Note described above an y amendments thereto. This Assignment is made solely to secure performance of the ons nd is made subject to the following terms, covenants and conditions: L 1. Owner 'shall deliver the original Cet this Assignment. This Assignment shz security interest in the Collateral in a w SLeIgs' it to Lender upon the execution of e ntil Lender specifically terminates the ed by Lender. 2. Lender shall be entitled to notify the BBW tto pay Lender any monies owing Owner under the Certificate of Deposit in the event of a default under the Obligations. The Lender shall apply such monies first to costs associated with collection, including reasonable attorney's fees, next to outstanding interest, and then to the principal sum of the Loan. In the event that Owner possesses or receives possession of any instruments or other remittances with respect to the Certificate of Deposit following the giving of such notification, Owner shall hold such instruments and other remittances in trust for Lender apart from Owner's other property, endorse the instruments and other remittances to Lender, and immediately provide Lender with possession of the instruments and other remittances. 3. The Owner shall be in default under this Assignment upon the occurrence of any of the following events or conditions: (a) failure or omission to make any payment under the Loan Contract /Promissory Note when due; (b) default in the payment or performance of any obligation, covenant, agreement or liability contained or referred to in -the Loan Contract /Promissory Note; (c) the making of any levy, seizure, or attachment on the Collateral; (d) the Owner or the Orchard Mesa Irrigation District becoming insolvent or unable to pay debts` as they mature. 4. Owner hereby appoints Lender as its attorney -in -fact to endorse Owner's name on all instruments and other remittances payable to Owner with respect to the Certificate of Deposit. This power of attorney is coupled with an interest and is irrevocable. Appendix C to Loan Contract #C 153723