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Exhibit 10.3
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INSTR # 107871003 |
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OR BK 45339 Pages 285 -- 294 |
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RECORDED 05-/05/08 12:03:01 |
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BROWARD COUNTY COMMISSION |
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DOC STMP-M: $7000.00 |
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INT TAX: f1 $4000.00 |
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DEPUTY CLERK 1924 |
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#1. 10 Pages |
After
Recording Mail to :
Robert E. Goldman, Esq.
Law Office of Robert E. Goldman
1 East Broward Blvd., Ste. 700
Fort Lauderdale, FL 33301
MORTGAGE AND SECURITY
AGREEMENT
This Mortgage and Security Agreement
is executed on
, 2008, by Scorpion Performance, Inc., referred to below as
“Mortgagor,” which term includes Mortgagor’s
successors and assigns, to Yali Golan and Leslie Golan, as husband
and wife, collectively referred to below as
“Mortgagee.”
W I T
N E S S E T H:
(A) Mortgagor is the owner in
fee simple of certain real property (the “Mortgaged
Property”) located in Broward County, Florida, as more
particularly described herein.
(B) Mortgagor and the Mortgagee
are parties to that certain Stock Purchase Agreement dated
, 2008 (the “Stock Purchase Agreement”) entered into by
and between Mortgagor and Mortgagee whereby Mortgagees have sold to
the Mortgagor 10,000,000 shares of the common stock of Scorpion
Performance, Inc.
(C) In accordance with and
subject to the terms and provisions set forth in the Stock Purchase
Agreement, the Mortgagor has executed and delivered to Mortgagee, a
promissory note in the principal amount of Two Million Dollars and
No/100 ($2,000,000.00) along with interest to purchase the shares
from the Mortgagee (the “Note”).
(D) Mortgagor and the Mortgagee
desire and intend that the Mortgagor and Mortgagee’s
covenants and obligations, contained herein or in the Note, or
Stock Purchase Agreement, collectively, the “Related
Transaction Document” be secured by, along with other things,
this Mortgage and Security Agreement.
NOW THEREFORE, to secure the payment
of all sums due under, and the performance and observance by
Mortgagor of all terms, covenants and conditions contained in the
Note and this Mortgage and Security Agreement Mortgagor does grant,
bargain, sell, and convey to Mortgagee, their successors and
assigns, in fee simple, all the certain tract of land of which
Mortgagor is now the legal owner, and in actual possession,
situated in the County of Broward, State of Florida, described as
follows:
C-1
The real property located at street
address: 3000 SW 4 th Avenue, Fort
Lauderdale, Florida and bearing the legal description:
The South
200.78 feet of the North 846.78 feet of the West 1 / 2 of the East 1 / 2 of the Southeast 1 / 4 of the Northwest 1 / 4 of Section 22, Township 50 South,
Range 42 East, Less the West 40 feet thereof, lying, situate and
being in Broward County, Florida.
Together with (i) all structures
and improvements now and hereafter on the land and the fixtures
attached thereto now or hereafter attached to or used in connection
with the premises; (ii) all and singular rights of Mortgagor
in and to the tenements, hereditaments, easements, and
appurtenances thereunto belonging or in anyways appertaining:
(iii) all the estate, right, title, interest, and all claims
and demands whatsoever, in law and in equity, of Mortgagor in and
to the same, and every part and parcel thereof; and (iv) all
and singular rights of Mortgagor as lessor in and to all rents,
issues, and profits thereof; provided however, that so long as no
default has occurred hereunder, Mortgagor shall collect, receive,
and use such benefits from the property as they become due and
payable.,
The property described above is
hereafter collectively called the “Mortgaged
Property.”
TO HAVE AND TO HOLD the Mortgaged
Property unto the Mortgagee forever; PROVIDED ALWAYS, that if
Mortgagor shall pay or cause to be paid to Mortgagee all amounts
due under the Note at the times and in the manner stipulated
therein, and in all other instruments securing the Note, including
renewals, extension or modification thereof, and in this Mortgage
and Security Agreement, to be kept, performed or observed by
Mortgagor, then Mortgagee shall execute, file and record a
satisfaction of this Mortgage and Security Agreement and thereupon
this Mortgage and Security Agreement shall cease and
terminate.
Mortgagor does covenant, agree and
stipulate with Mortgagee as follows:
1) Title; No Encumbrances .
Mortgagor is indefeasibly seised of the land in fee simple; that
Mortgagor has full power and lawful right to convey the land in fee
simple; that the land is free from all encumbrances; that Mortgagor
will make such further assurances to protect the fee simple title
to the land in Mortgagee, its successors, legal representatives, or
permitted assigns, as may reasonably be required; that Mortgagor
does fully warrant the title of the land and will defend the same
against the lawful claims of all persons whomsoever.
2) Payment of Note . Mortgagor
shall pay the principal and interest evidenced by the Note at the
time and in the manner provided herein and in the Note, and all
other sums and charges payable when due by Mortgagor and pursuant
to the
Note and this Mortgage and Security
Agreement.
3) Taxes . Except as set forth
in Section 15 herein, Mortgagor shall pay the taxes,
assessments, levies, liabilities, obligations, and encumbrances of
every nature on the described property when due and payable
according to law before they become delinquent and before any
interest attaches or any penalty is incurred. Insofar as any
indebtedness is of record the same shall be promptly satisfied and
evidence of such satisfaction shall be given to Mortgagee.
4) Attorney’s Fees . If
any legal action or any other proceeding is brought for the
enforcement of the Note or this Mortgage and Security Agreement, or
because of an alleged dispute, breach, default, or
misrepresentation in connection with any provision of the Note or
this Mortgage and Security Agreement, the prevailing party or
parties shall be entitled to recover reasonable attorneys’
fees and other costs incurred in that action or proceeding, in
addition to any other relief to whi
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