1. MIDA Bond Hospice of Red River Valley

failure of consideration, destruction of or damage to the Facilities, eviction by paramount title, commercial frustration of purpose, bankruptcy or insolvency of the Issuer or the Trustee, change in the tax or other laws or administrative rulings or actions of the United States of America or ofthe State or any political subdivision thereof, or failure of the Issuer to perform and observe any agreement, whether express or implied, or any duty, liability, or obligation arising out of or connected with this Loan Agreement. SECTION 4.05. CORPORA TION'S REMEDIES. Nothing contained in this Article 4 shall be construed to release the Issuer from the performance of any of its agreements in this Loan Agreement, and if the Issuer should fail to perform any such agreement, the Corporation may institute such action against the Issuer as the Corporation may deem necessary so long as such action shall not violate the Corporation's agreements in Section 4.04 or diminish or delay the amounts required to be paid by the Corporation pursuant to Section 4.02 hereof. The Corporation acknowledges however and agrees that any pecuniary obligation of the Issuer created by or arising out of this Loan Agreement shall be payable solely out of the proceeds derived from this Loan Agreement, any sale of the Bonds, any insurance or condemnation awards or upon sale or other disposition of the Facilities. The Corporation may, at its own cost and expense and in its own name, prosecute or defend any action or proceeding against third parties or take any other action which the Corporation deems reasonably necessary in order to secure or protect its right of possession and use of the Facilities. In such event, the Issuer agrees to cooperate fully with the Corporation and to take all action necessary to effect the substitution of the Corporation for the Issuer in any such action or proceeding ifthe Corporation shall so request and agree to any and all costs and expenses and agree to indemnify the Issuer and save it harmless against any risks, claims, or liabilities arising out of such action. (Remainder of this page intentionally left blank.) 4-3