Professional Documents
Culture Documents
I am pleased to confirm that Allan Herbert Dolson, ( the Lender) is prepared to lend a
maximum of a maximum of $33,330.00 to EVA PLESKO ( the Borrower) to be secured by
way of a second mortgage, (this loan being hereafter referred to as the Loan), on the terms and
conditions described below:
5. Interest Rate: fifteen (15%) per cent per annum, calculated monthly not in
advance, both before and after maturity, default, and
judgment.
9. Pre-payment
Privileges: Open for prepayment in full at any time only upon
payment of three (3) months penalty.
11. SERVICING FEE: $400.00 for any tax payment, first or second mortgage
payment, or insurance payment made by the Lender;
13. OVERDUE MATURITY: Penalty payable equal to three months interest if not
paid on maturity.
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14. Conditions: The Lender shall not be required to advance funds until all
of the following requirements have been met:
c. The Lender being noted as second mortgagee on the title insurance policy;
15. Covenants: Until the Borrower has paid the Loan, the Borrower agrees
to the following:
a. To pay all real estate taxes, prior mortgage payments, common expenses
and insurance relating to the Property as they fall due;
b. No further encumbrances;
c. To pay the first mortgage in accordance with its terms and not to amend
the first mortgage.
16. Default: The Lender may declare the unpaid principal and accrued
interest and all other amounts payable by the Borrower due
and payable forthwith upon the happening of any one of the
following events of default:
a. The Borrower fails to pay interest or principal or any other sum due
hereunder on the due date whether demanded or not;
17. No Merger: It is understood and agreed that the execution and delivery
of the Security shall in no way merge or extinguish this
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commitment letter which shall continue in full force and
effect.
18. Solicitors: The Solicitors acting for the Lender at the expense of the
Borrower in this transaction shall be David W. Dolson.
Mr. Dolson acts solely for the Lender. Borrower must
retain their own solicitor. Documents must be executed
at your lawyers office.
20. Use of Funds: The Borrower represents and warrants that she is not a
farmer within the meaning of the Farm Debt Mediation
Act. Funds will be applied to discharge the existing
mortgages and to allow Borrower to complete minor
renovations of the Property.
21. Costs: The Borrower shall pay all of the Lenders legal costs of
this transaction failing which they shall be added to and
form part of the secured principal and in the event of any
default the Borrower shall pay the Lenders costs and
expenses including reasonable legal fees on a solicitor and
own client basis. The fees (excluding disbursements and
HST) will be $700.00 second mortgage.
22. Title Insurance: The Mortgage shall be title insured at the expense of the
borrower.
23. Validity Every term of this Loan Agreement shall be severable and
if any provision is held to any extent invalid or
unenforceable, the remainder of this Charge, other than the
provision which is held invalid or unenforceable, shall not
be effected and such invalid or unenforceable provision
shall be reduced only to the extent necessary for it to be
enforceable and valid.
24. Brokerage This Loan has been arranged by Daniel Stein of Syndicate
Mortgages. The Lender authorizes David W. Dolson to rely
upon the Form 1, Investor Disclosure, and waives
preparation or delivery of Forms 9D and 9E. The
Borrower hereby irrevocably authorizes and directs the
solicitor David W. Dolson to pay brokerage fees of
$645.00 from the advance.
You are urged to obtain independent legal representation. David W. Dolson is acting solely
as solicitor for the Lender only at the Borrowers expense and may be retained in any
enforcement proceedings. He is not providing any advice or representation of any kind to the
Borrower.
Yours truly,
Allan H. Dolson
I hereby accept the commitment on the terms and conditions stated which I have read and
understood. I acknowledge that I have been encouraged to obtain independent legal advice prior
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to the execution of this commitment and I have either obtained that advice or have made the
conscious decision to forego such advice and acknowledge that I will be estopped from raising
the lack of advice as a defence in any enforcement proceedings. I agree that the lenders fees
shall be earned and payable on acceptance of this commitment whether or not this transaction is
completed for any reason other than the default of the Lender.
_______________________________
EVA PLESKO