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  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
  • Scope Leasing, Inc. v. Eileen M. Patrick, Jeffrey J. Ervine, Jpmorgan Chase Bank N.A. as successor in interest to Washington Mutual Bank, FA Commercial - Contract - Commercial Division document preview
						
                                

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FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 EXHIBIT N FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 UNCONDITIONAL, UNLIMITED CONTINUING GUARANTY AGREEMENT OF JEFFREY J. ERVINE This UNCONDITIONAL., UNLIMITED CONTINUING GUARANTY AGREEMENT (the ~'Guaranty") is executed as of October 24, 2018, by JEFFREY J. ERVINE (the "Guarantor"), for the benefit of SCOPE LEASING, INC., an Ohio corporation (the "Lender"). RECITALS A. Lender has made or is making one or more commercial loans (collectively, the "Loans") to Genesis Custom Jetliners, LLC (the "Borrower"), including, without limitation, the loan evidenced by that certain Promissory Note in the original principal amount of $500,000 of even date herewith, and by various other loan documents (collectively, the "Loan Documents"). B. Ps a condition of the Loans, Lender requires that Guarantor execute and deliver this Guaranty. C. The Guarantor will derive substantial direct and indirect benefits from the Loans to the Borrower. NOW, THEREFORE, as an inducement to Lender to lend to the Borrower and to extend such additional credit as Lender may from time to time agree to extend, and for other good and valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged, the Guarantor, hereby agrees as follows: AGREEMENTS ARTICLE I. NATURE AND SCOPE OF GUARANTY Section 1.1. Guaranty of Obligations. Guarantor hereby irrevocably and unconditionally guaranties to Lender and its successors and assigns the due and punctual payment of all obligations and any other indebtedness of Borrower to Lender, whether now existing or hereafter arising (collectively, the "Obligations"). Guarantor hereby irrevocably and unconditionally covenants and agrees that Guarantor is liable for the Obligations as a primary obliger. The obligation of Guarantor hereunder is unlimited as to amount. Section 1.2. Additional Undertakings. Guarantor further agrees to cause Borrower to comply with each of the following requirements: (a) all reports with respect to the Collateral and all other financial and other reports of every nature whatsoever submitted by Borrower to Lender or required under the loan documents shall be true, complete and correct in all respects, as of the date delivered to Lender, consistent with generally accepted accounting practices, and will not contain any misstatement of fact, 1 _J__ --------- FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 (b) Borrower shall fully and timely comply with all of the covenants of the loan documents, including, without limitation, those covenants which require disclosure to Lender. I Section 1.3. Obligations Not Reduced by Offset. The Obligations, and the liabilities and obligations of Guarantor to Lender hereunder, shall not be reduced, discharged or released because or by reason of any existing or future offset, claim or defense of Borrower, or any other party, against Lender or against payment of the Obligations, whether such offset, claim or defense arises in connection with the Obligftions (or the transactions creating the Obligations) or otherwise, except indefeasible payment in full. Without limiting the foregoing or the Guarantor's liability hereunder, to the extent that Lender advances funds or extends credit to Borrower, and does not receive payments or benefits thereon in the amounts and at the times required or provided by applicable agreements or laws, Guarantor is absolutely liable to make such payments to (and confer such benefits on) Lender, on a timely basis. Section 1.4. "Borrower" to Include Successors. The term "Borrower" as used herein shall include any new or successor entity formed as a result of any merger or reorganization of Borrower, and all other successors and assigns of Borrower. Section 1.5. Payment by Guarantor. If all or any part of the Obligations shall not be punctually paid when due, whether at maturity or earlier by acceleration or otherwise, Guarantor shall, immediately upon demand by Lender, and without presentment, protest, notice of protest, notice of non-payment, notice of intention to accelerate or acceleration or any other notice whatsoever, pay in lawful money of the United States of America, the amount due on the Obligations to Lender at Lender's office in Columbus, Ohio. Such demands may be made at any time coincident with or after the time for payment of all or part of the Obligations, and may be made from time to time with respect to the same or different items of Obligations. Such demand shall be deemed made given and received in accordance with Section 5.2 hereof. Section 1.6. No Duty to Pursue Others. It shall not be necessary for Lender (and Guarantor hereby waives any rights which Guarantor may have to require Lender), in order to enforce such payment by Guarantor, first to (a) institute suit or exhaust its remedies against Borrower or others liable on the Obligations or any other person, (b) enforce its rights or exhaust any remedies available to it against any security which shall ever have been given to secure the Obligations, (c) enforce its rights against any other guarantor of the Obligations, (d) join Borrower or any others liable on the Obligations in any action seeking to enforce this Guaranty, or (e) resort to any other means of obtaining payment of the Obligations. Lender shall not be required to mitigate damages or take any other action to reduce, collect or enforce the Obligations. Section 1.7. Waiver of Notices. etc. Guarantor hereby waives notice of (a) any loans or advances made by Lender to Borrower, (b) acceptance of this Guaranty, (c) any amendment or extension under any of the loan documents, or of any other instrument or document pertaining to all or any part of the Obligations, (d) the execution and delivery by Borrower and Lender of the loan documents or of Borrower's execution and delivery of any promissory notes or other documents in connection therewith, {e) the 2 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 occurrence of any breach by Borrower or event of default, (f) Lender's transfer or disposition of the Obligations, or any part thereof, (g) protest, proof of non-payment or default by Borrower, or (h) any other action at any time taken or omitted by Lender, and, generally, all demands and notices of every kind in connection with this Guaranty, or any docurlnents or agreements evidencing, securing or relating to any of the Obligations, except as otherwise specifically provided herein. I Section 1.8. Nature of Guaranty. This Guaranty is an irrevocable, absolute, continuing guaranty of payment and performance and not a guaranty of collection. This Guar~nty shall continue to be effective with respect to any Obligations existing or which arise out of commitments made by Lender prior to any attempted revocation by Guarantor, and as to all renewals and extensions thereof, in whole or in part, whenever made. The fact that at any time or from time to time the Obligations may be increased or reduced I shall not release, discharge or reduce the obligation of Guarantor with respect to indebtedness or obligations of Borrower to Lender thereafter incurred (or other Obligations thereafter arising). This Guaranty may be enforced by Lender and any subsequent holder of the Obligations and shall not be discharged by the assignment or negotiation of all or part of the Obligations. Section 1.9. Payment of Expenses. In the event that Guarantor should breach or fail to timely perform any provisions of this Guaranty, such Guarantor shall, immediately upon demand by Lender, pay Lender all reasonable costs and expenses (including court costs and reasonable attorneys' fees) incurred by Lender in the enforcement of this Guaranty against Guarantor hereof or the preservation of Lender's rights hereunder against Guarantor. The covenant contained in this Section 1.9 shall survive the payment of the Obligations. This Guaranty and the loan documents constitute a contract of indebtedness pursuant to O.R.C. §1301.21. Section 1.10. Effect of Bankruptcy. In the event that, pursuant to any insolvency, bankruptcy, reorganization, receivership or other debtor relief law, or any judgment, order or decision thereunder, Lender must rescind or restore any payment, or any part thereof, received by Lender in satisfaction of the Obligations, any prior release or discharge from the terms of this Guaranty given to Guarantor by Lender shall be without effect, and this Guaranty shall remain in full force and effect. It is the intention of Guarantor that Guarantor's obligations hereunder shall not be discharged except by Guarantor's performance of such obligations, and then only to the extent of such performance, and by the indefeasible payment of the Obligations. i Section 1.11. Financial Information. The Guarantor shall provide to Lender the following: a. On or before January 31 of each year, Guarantor shall deliver to Lender his personal financial statement in a form acceptable to Lender, in its sole discretion, which financial statement shall be certified by him as true, correct and complete as of the last day of the prior calendar year. 3 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 b. As soon as filed, but no later than October 31st of each year, Guar~mtor shall deliver to Lender his federal income tax return(s) together with all schedules and other information filed with such return(s). If any federal income tax return is amended subsequent to delivery to Lender, Guarantor shall deliver to Lender such amended return(s) immediately upon filing the amendment with the Internal Revenue Service. I c. Within five (5) business days upon request therefore by Lender, the Guarantor shall deliver to Lender such information regarding his business affairs, financial circumstances, assets and liabilities as Lender may request. ARTICLE II. I EVENTS AND CIRCUMSTANCES NOT REDUCING OR DISCHARGING GUARANTOR'S OBLIGATIONS Guarantor hereby consents and agrees to each of the following, and agrees that Guarantor's obligations under this Guaranty shall not be released, diminished, impaired, reduced or adversely affected by any of the following, and waive any common law, equitable, statutory or other rights and defenses (including without limitation rights to notice) which Guarantor might otherwise have as a result of or in connection with any of the following: Section 2.1. Modifications, etc. Any renewal, extension, increase, modification, alteration or rearrangement of all or any part of the Obligations, or any note, loan agreement, security agreement, mortgage collateral document or other document, instrument, contract or understanding between Borrower and Lender, or any other parties, pertaining to the Obligations; Section 2.2. Adjustment, etc. Any adjustment, indulgence, forbearance or compromise that might be granted or given by Lender to Borrower; Section 2.3. Condition of Borrower. The insolvency, bankruptcy, arrangement, adjustment, composition, liquidation, disability, dissolution or lack of power of Borrower or any other party at any time liable for the payment of all or part of the Obligations; or any dissolution of Borrower, or any sale, lease or transfer of any or all of the assets of Borrower, or any changes in the shareholders or members of Borrower; or any reorganization of Borrower; Section 2.4. Invalidity of Obligations. The invalidity, illegality or unenforceability of all or any part of the Obligations or any note, document or agreement executed in connection with the Obligations, for any reason whatsoever, including without limitation the fact that (a) the Obligations, or any part thereof, exceeds the amount permitted by law, (b) the act of creating the Obligations or any part thereof is ultra vires, (c) the officers or representatives executing the documents creating the Obligations acted in 4 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 excess of their authority, (d) the Obligations violate applicable usury laws, (e) the creation, performance or repayment of the Obligations (or the execution, delivery and performance of a~y document or instrument representing part of the Obligations or executed in conn~ction with the Obligations, or given to secure the repayment of the Obligations) is illegaj, uncollectible or unenforceable, or (f) the documents or instruments pertaining to the Obligations have been forged or otherwise are irregular or not genuine or authentic; I Section 2.5. Release of Borrower. Any full or partial release of the liability of Borrower on the Obligations or any part thereof, or of any co-guarantor, or any other persJn or entity now or hereafter liable, whether directly or indirectly, jointly, severally, or jointly and severally, to pay, perform, guarantee or assure the payment of the Obligations or any part thereof, it being recognized, acknowledged and agreed by Guarantor that Guarantor may be required to pay the Obligations in full, without assistance or support of any other party, and Guarantor has not been induced to enter into this Guaranty on the basis of a contemplation, belief, understanding or agreement that other parties will be liable to perform the Obligations, or that Lender will look to other parties to perform the Obligations; Section 2.6. Other Security. The taking or accepting of any other security, collateral or guaranty, or other assurance of payment, for all or any part of the Obligations; Section 2.7. Release of Collateral, etc. Any release, surrender, exchange, subordination, deterioration, waste, loss or impairment of any collateral, property or security, at any time existing in connection with, or assuring or securing payment of, all or any part of the Obligations; Section 2.8. Care and Diligence. The failure of Lender or any other party to exercise diligence or reasonable care in the preservation, protection, enforcement, sale or other handling or treatment of all or any part of any collateral, property or security; Section 2.9. Status of Liens. The fact that any collateral, security, security interest or lien contemplated or intended to be given, created or granted as security for the repayment of the Obligations shall not be properly perfected or created, or shall prove to be unenforceable or subordinate to any other security interest or lien, it being recognized and agreed by Guarantor that Guarantor is not entering into this Guaranty in reliance on, or in contemplation of the benefits of, the validity, enforceability, collectibility or value of any collateral for the Obligations; Section 2.10. Offset. The Obligations, and the liabilities and obligations of Guarantor to Lender hereunder, shall not be reduced, discharged or released because of or by reason of any existing or future right of offset, defense or claim of Borrower against Lender, or any other party, or against payment of the Obligations, whether such right of offset, defense or claim arises in connection with the Obligations (or the transactions creating the Obligations) or otherwise; Section 2.11. Merger. The reorganization, merger or consolidation of Borrower into or with any other entity; 5 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 Section 2.12. Preference. Any payment by Borrower to Lender is held to constitute a preference under bankruptcy laws, or for any reason Lender is required to refund such payment or pay such amount to Borrower or someone else; Section 2.13. Other Actions Taken or Omitted. Any other action taken or omitt d to be taken with respect to the Obligations, or security and collateral therefor. It is the uhambiguous and unequivocal intention of Guarantor that Guarantor shall be obligated to pay the Obligations when due, notwithstanding any occurrence, circumstance, event, actior;i, or omission whatsoever (including, without limitation, the unenforceability of any promissory note, mortgage and/or any other loan document against Borrower), whether contemplated or uncontemplated, and whether or not otherwise or particularly described herein, except for the full and final payment and satisfaction of the Obligations. ARTICLE Ill. REPRESENTATIONS, WARRANTIES AND COVENANTS To induce Lender to extend credit to Borrower, Guarantor represents, warrants and covenants to Lender that: Section 3.1. Familiarity and Reliance. Guarantor is familiar with, and has independently reviewed books and records regarding the financial condition of the Borrowers and the terms of the note, mortgage and other loan documents and all other documents or instruments arising from or related to the Obligations; Section 3.2. No Representation by Lender. Neither Lender nor any other party has made any representation, warranty or statement to Guarantor in order to induce Guarantor to execute this Guaranty; Section 3.3. Benefit. Guarantor has received, or will receive, direct or indirect benefit from the making of this Guaranty and the loan; Section 3.4. Legality. The execution, delivery and performance by Guarantor of this Guaranty and the consummation of the transactions contemplated hereunder, do not, and will not; contravene or conflict with any law, statute or regulation whatsoever to whicH Guarantor is subject or constitute a default (or an event which with notice or lapse of time or both would constitute a default) under, or result in the breach of, any indenture, mortgage, deed of trust, charge, lien, or any contract, agreement or other instrument to which Guarantor is a party or which may be applicable to Guarantor or any of Guarantor's assets. This Guaranty is a legal, valid and binding obligation of Guarantor and is enforceable in accordance with its terms, except as limited by bankruptcy, insolvency or other laws of general application relating to the enforcement of creditors' rights; Section 3.5. Litigation. Guarantor is not involved in, nor is Guarantor aware of, any Litigation, nor are there any outstanding or unpaid judgments against Guarantor. 6 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 Section 3.6. Survival. All representations and warranties made by Guarantor herein shall survive the execution hereof. ARTICLE IV. SUBORDINATION OF CERTAIN INDEBTEDNESS; WAIVER OF SUBROGATION Section 4.1. Subordination of All Guarantor Claims. As used herein, the term "Guarantor Claims shall mean all debts and liabilities of Borrower to Guarantor, 11 whet~er such debts and liabilities now exist or are hereafter incurred or arise, or whether the obligations of Borrower thereon be direct, contingent, primary, secondary, several, joint and several, or otherwise, and irrespective of whether such debts or liabilities be evidenced by note, contract, open account, or otherwise, and irrespective of the person or persons in whose favor such debts or liabilities may, at their inception, have been, or may hereafter be created, or the manner in which they have been or may hereafter be acquired by Guarantor. Until the Obligations shall be paid and satisfied in full, and in cash as to monetary Obligations, and Guarantor shall have performed all of Guarantor's obligations hereunder, whenever an Event of Default has occurred and ls continuing or if such payment would result in the occurrence of an Event of Default, Guarantor shall not receive or collect, directly or indirectly, from Borrower or any other party any amount of the Guarantor Claims. Section 4.2. Waiver of Subrogation. Unless and until the Obligations have been indefeasibly paid in full, Guarantor hereby waives and releases, to the fullest extent permitted by law: (a) any and all rights that would result in Guarantor being deemed a "creditor", under the United States Bankruptcy Code, of Borrower or any other person, on account of payments made or obligations performed by Guarantor relating to this Guaranty; and (b) any claim, right or remedy which Guarantor may now have or hereafter acquire against Borrower that arises hereunder and/or from the performance by Guarantor hereunder including, without limitation, any claim, remedy or right of subrogation, reimbursement, exoneration, contribution, indemnification, or participation in any claim, right or remedy of Lender against Borrower or any security which Lender now has or hereafter acquires , whether or not such claim, right or remedy arises in equity under contract, by statute, under common law or otherwise. Section 4.3. Claims in Bankruptcy. In the event of receivership, bankruptcy, reorganization, arrangement, debtor's relief, or other insolvency proceedings involving Borrower as debtor, Lender shall have the right to prove the Guarantor Claims in any such proceeding so as to establish their rights hereunder and receive directly from the receiver, trustee or other court custodian dividends and payments which would otherwise be 7 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 payable upon Guarantor Claims. Guarantor hereby assigns such dividends and payments to Le~der to the extent required for repayment of Guarantor's obligation hereunder. Section 4.4. Payments Held in Trust. In the event that, notwithstanding Secti ns 4.1, 4.2 and 4.3 above, Guarantor should receive any funds, payment, claim or distribution which is prohibited by such Sections, Guarantor agrees to hold in trust for Lend~r an amount equal to the amount of all funds, payments, claims or distributions so received, and agrees that Guarantor shall have absolutely no dominion over the amount of such Ifunds, payments, claims or distributions, except to pay them promptly to Lender, and Guarantor covenants to pay promptly the same to Lender. I Section 4.5. Liens Subordinate. Guarantor agrees that any liens, security interests, judgment liens, charges or other encumbrances upon Borrower's assets securing payment of the Guarantor Claims shall be and remain inferior and subordinate to any l~ns, security interests, judgment liens, charges or other encumbrances upon such Borrower's assets securing payment of the Obligations, regardless of whether such encumbrances in favor of the Guarantor or Lender presently exist or are hereafter created or attached. Without the prior written consent of Lender, Guarantor shall not (a) exercise or enforce any creditor's right Guarantor may have against Borrower, or (b) foreclose, repossess, sequester or otherwise take steps or institute any action or proceedings judicial or otherwise, including without limitation the commencement of, or joinder in, any liquidfltion, bankruptcy, rearrangement, debtor's relief or insolvency proceeding) to enforce any liens, mortgages, deeds of trust, security interest, collateral rights, judgments or other encumbrances on assets of Borrower held by Guarantor. Section 4.6. Notation of Records. All promissory notes, accounts receivable ledgers or other evidences of the Guarantor Claims accepted by or held by Guarantor shall cont~in a specific written notice thereon that the indebtedness evidenced thereby is subordinated under the terms of this Guaranty. Section 4.7. Disgorged Payments. If after receipt of any payment of all or any part of the Obligations, Lender is for any reason compelled to surrender such payment to any person or entity because such payment is determined to be void or voidable as a preference, impermissible setoff, or a diversion of trust funds, or for any reason, this Guaranty shall continue in full force notwithstanding any contrary action that may have been taken by Lender in reliance upon such payment, and any such contrary action so taken shall be without prejudice to Lender's rights under this Guaranty and shall be deemed to have been conditioned upon such payment having become final and irrevocable. ARTICLE V. MISCELLANEOUS | Section 5.1. Waiver. No failure to exercise, and no delay in exercising, on the part ?f Lender, any right hereunder shall operate as a waiver thereof, nor shall any single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any 6ther right. The rights of Lender hereunder shall be in addition to all other rights provided by law. No modification or waiver of any provision of this Guaranty, nor consent I 8 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 to departure therefrom, shall be effective unless in writing and signed by Lender and no such consent or waiver shall extend beyond the particular case and purpose involved. No notice or demand given in any case shall constitute a waiver of the right to take other action in the same, similar or other instances without such notice or demand. Section 5.2. Notices. (a) All communications under this Guaranty shall be in writing and shall be mailed by first class mail, postage prepaid, or by overnight delivery or facsimile transmission, (1) if to Lender, at the following address, or at such other address as may have been furnished in writing to the Guarantor by Lender: Robert N. Kent, Jr. President Scope Leasing, Inc. 140 East Town Street, Suite 1010 Columbus, OH 43215 Telephone: 614-228-9918 Facsimile: 614-221-2411 Email: bkent@parknationalbank.com (2) if to the Guarantor, at the following address, or at such other address as may have been furnished in writing to Lender by the Guarantor: Jeffrey J. Ervine 438 East 87th Street New York, NY 10128 Telephone: 212-860-8996 Facsimile: 212-860-8997 Email: jervine@salonfunds.com (b) any notice so addressed and mailed by registered or certified mail or overnight delivery or facsimile transmission, shall be deemed to be given when so mailed or transmitted. Section 5.3. Governing Lawj Venue. This Guaranty shall be construed in accordance with and governed by the laws of the State of Ohio. Venue for any proceeding related to or arising from this Guaranty shall be Franklin County, Ohio, at the option of Lender. Section 5.4. Waiver of Jury. Lender and Guarantor hereby voluntarily, irrevocably and unconditionally waive any right to have a jury participate in resolving any dispute, whether sounding in contract, tort, or otherwise, between Lender and Guarantor arising out of, in connection with, related to, or incidental to the relationship established between Guarantor and Lender in connection with the loan documents, this Guaranty, or any other agreement or document executed or delivered in connection herewith or the transactions related hereto. This prov;sion is a material inducement to Lender to enter into the financing transaction. It shall not in any way affect, waive, limit, amend or modify Lender's ability to pursue its remedies, including, but not limited to, any confession or 9 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 judgment or cognovit provision contained in the loan documents or any other document related hereto. I Section 5.5. Invalid Provisions. In the case any one or more of the provi$ions contained in this Guaranty should be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained therein shall not in any way be affected thereby, unless such continued effectiveness of this Guaranty, as modified, would be contrary to the basic understandings and intentions of the p~rties as expressed herein. Section 5.6. Parties Bound. This Guaranty shall be binding upon and inure to the benefit of the parties hereto and their respective successors, permitted assigns and legal representatives; provided, however, that Guarantor may not, without the prior written consent of Lender, assign any of Guarantor's respective rights, powers, duties or obligations hereunder. Section 5.7. Headings. Section headings are for convenience of reference only and shall in no way affect the interpretation of this Guaranty. Section 5.8. Rights and Remedies. If Guarantor becomes liable for any indebtedness owing by Borrower to Lender, by endorsement or otherwise, other than under this Guaranty, such liability shall not be in any manner impaired or affected hereby and the rights of Lender hereunder shall be cumulative of any and all other rights that Lender may ever have against Guarantor. The exercise by Lender of any right or remedy hereunder or under any other instrument, or at law or in equity, shall not preclude the concurrent or subsequent exercise of any other right or remedy. Section 5.9. Indemnity. Guarantor hereby agrees to indemnify, hold harmless, and defend Lender and its directors, officers, agents, counsel and employees ("Indemnified Persons") from and against any and all losses, liabilities, damages, costs, expenses, suits, actions and proceedings ("Losses") ever suffered or incurred by any Indemnified Person arising out of or relating to this Guaranty, but not including any losses caused by the negligence or willful misconduct of such Indemnified Person, and Guarantor shall reimburse Lender and each other Indemnified Person for any expenses (including in connection with the investigation of, preparation for or defense of any actual or threatened claim, action or proceeding arising herefrom and therefrom, including any such costs of responding to discovery requests or subpoenas, regardless of whether Lender or such other Indemnified Person is a party thereto). In the event that any claim, demand, investigation, litigation or inquiry (a "Claim") is brought against any Indemnified Person, the Indemnified Person agrees to give prompt written notice to Guarantor with respect to same, together with a copy of such Claim, provided that, a delay in giving notice shall not relieve Guarantor of liability hereunder except to the extent that Guarantor suffers actual prejudice because of the delay. So long as no event of default shall have occurred and be continuing under note, mortgage or other loan documents, Guarantor shall have the right in good faith and by appropriate proceedings to defend any Claim and to employ counsel acceptable to such Indemnified Person to conduct such defense (at Guarantor's sole expense) so long as such defense shall not involve any danger of the foreclosure, sale, 10 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 forfeiture or loss of, or imposition of any lien, other than a permitted lien, on any part of the collateral, or subject any Indemnified Person to criminal liability. Should Guarantor elect to engage counsel acceptable to such Indemnified Person, such Indemnified Person may continue to participate in the defense of any such Claim and will retain the right to settle any such matter on terms and conditions satisfactory to such Indemnified Person and Guarantor. All such settlements shall be paid by and remain the sole responsibility of Guarantor. In the event Guarantor does not accept the defense of the Claim as provided aboveI such Indemnified Person shall have the full right to defend against such Claim, in its sole discretion, and pursue its rights hereunder. Notwithstanding any contrary provision of this Guaranty, the obligation of Guarantor under this Section 5.9 shall survive the payment in full of each Borrower's Obligations under the note and this Guaranty. This Section shall not bb deemed to be a bar of any claim by Guarantor against any Indemnified Person for I such Indemnified Person's negligence or willful misconduct to the Guarantor or a breach by the lndem nified Person of this Guaranty. Section 5.10. Notice of Final .Agreement. This Guaranty constitutes a written agreement which represents the final agreement between the parties. Such written agreement may not be contradicted by evidence of prior, cont~mporaneous, or subsequent oral agreements of the parties. There are no unwritten oral agreements between the parties relating to this Guaranty. Section 5.11. Legal Counsel. Guarantor acknowledges that Guarantor has been represented by independent legal counsel in connection with all matters concerning this Guaranty, including but not limited to the negotiation, acceptance and execution of this Guaranty; that Guarantor has relied upon the advice of Guarantor's independent legal counsel in agreeing to the terms and conditions herein and in executing this Guaranty; and that Guarantor has freely and voluntarily entered into this Guaranty as the product of arms- length negotiations. [The remainder of this page is intentionally left blank; signatures follow.] 11 FILED: NEW YORK COUNTY CLERK 06/05/2024 05:38 PM INDEX NO. 652871/2024 NYSCEF DOC. NO. 28 RECEIVED NYSCEF: 06/05/2024 This Guaranty is executed as of the date and year first above written. e e . e State of New York ) ) ss.: County of New York ) On the !iday of (9c)- , 2018 before me, the undersigned, personally appeared Jeffrey J. Ervine, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her capacity, and that by her signature on the instrument, she executed the instrum~nt Sajjad Al Mamu11 .NOTARY PUBLIC, STATE OF NEW!OaK ' IIMAA60610 .QVAl.mBD IN NEWYOU,lft 2{) . Notary for the S t /County of NewYork C01IMISSION BXPIUS N()V811111tf,•_ Seal 12