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Priority and Subordination Agreement 20 Teanaway Court Senior Loan Documents, the Senior Lender shall apply the Cash Collateral to the outstanding balance of its Senior Indebtedness in connection with any foreclosure sale of the Property; provided, however, that the obligation to so apply Cash Collateral shall be limited to Cash Collateral (A) in which the Senior Lender has a perfected security interest that is not subject to avoidance or being set aside under bankruptcy or similar laws and (B) that the Senior Lender is entitled to apply to its Senior Indebtedness and that is not subject to revocation or return. g. If any party other than the Partnership (including any Senior Lender) acquires title to any of the Property pursuant to a foreclosure of, or trustee’s sale or other exercise of any power of sale under, the Senior Deed of Trust conducted in accordance with applicable law and with notice to the Subordinate Lender in accordance with applicable law, the lien, operation, and effect of the Subordinate Deed of Trusts and other Subordinate Loan Documents automatically shall terminate with respect to such Property. h. Senior Lender and Subordinate Lender hereby agree that, notwithstanding anything to the contrary set forth elsewhere herein, following a foreclosure sale under the Senior Deed of Trust, or the acceptance by Senior Lender of a deed to the Property in lieu of such a foreclosure (each, a “Foreclosure Action”), the Restrictive Covenants shall survive and the successor owner of the Property shall acquire the Property subject to all of the terms and conditions of the Restrictive Covenants, except as otherwise expressly provided below: (i) No successor owner after a Foreclosure Action shall be obligated by the Restrictive Covenants to make any payment under the Subordinate Note, or to otherwise comply with, any of the Subordinate Loan Documents, but this paragraph shall not affect the enforceability of the Subordinate Loan Documents against Partnership or affect obligations contained in the Restrictive Covenants merely because the same or similar obligations are contained in a Subordinate Loan Document; (ii) The Foreclosure Action and the transfer of the Property pursuant to the Foreclosure Action will not violate the limitations on transfers in the Restrictive Covenants or require the approval of the Subordinate Lender; (iii) Neither Senior Lender (or its nominee), nor any immediate successor in interest of such party, shall be obligated to pay, or otherwise have any liability for or in connection with, any claim by Subordinate Lender for liquidated damages, for indemnification or for damages in connection with any breach of any term or provision of the Restrictive Covenants occurring prior to the date upon which such successor owner acquired title to the Property; and (iv) Neither Senior Lender (or its nominee), nor any immediate successor in interest of such party, shall be required to cure any default under the Restrictive