Here is the full Assignment of Leases and Rents with Attornment Agreement (click here to download), from which last week’s post Attornment Agreement contradicts county’s view excerpted a single page.
In this document, the parties are identified as thus: GEMMA DEVELOPMENT COMPANY, LLC is the “Company,” MANUFACTURERS AND TRADERS TRUST COMPANY, as “Trustee,” and City of Newburgh Industrial Development Agency, as “Issuer.”
Of additional interest is paragraph three (pictured in pink above):
3. ACTIONS REQUIRING THE TRUSTEE’S PRIOR WRITTEN CONSENT. Without the prior written consent of the Trustee in each instance, the Company agrees not to (a) modify or amend any Assigned Lease so as to (i) shorten the term, (ii) decrease or change the time of payment of the rent, (iii) accelerate the payment of installments of rent to become due thereunder or (iv) change the terms of any renewal option contained therein; (b) terminate any of the Assigned Leases except in accordance with its terms; (c) consent to the cancellation or surrender of any of the Assigned Leases; (d) accept any prepayment of installments or rent to become due thereunder; (e) further sell, assign, transfer, mortgage, pledge or otherwise encumber any of the rents due or to become due under any of the Assigned Leases or any part thereof; or (f) subordinate or permit the subordination of any of the Assigned Leases to any lien on the Facility, other than a Permitted Encumbrance, as defined in the Lease Agreement.
Also of note is paragraph 17:
17. MODIFICATIONS AND AMENDMENTS: No modification, amendment, cancellation, release or discharge hereof, or of any part hereof, shall be valid unless the Trustee shall have consented thereto in writing.
According to the account given by Assistant County Attorney Joseph Mahoney and Deputy County Executive Jim O’Donnell last Wednesday, no written consent of any kind was given by the Trustee at the time M&T Bank to permit Mr. Carchietta’s Gemma Development to receive the lease payments instead of M&T.
$60,000 a month in Orange County is not small potatoes. In the scheme of expenses, it’s a big one. Diana should resign under embarrassment if not shame for not being able to have a handle on such a large sum of money. Again, why weren’t these documents presented at the Ways and Means committee meeting? What else has this administration hidden from the Legislators?
[...] who must make the request in writing before it can go through. All of this is spelled out in the lease agreement, which the assistant county attorney and deputy county executive seem to dispute. March 20, 2011 [...]
[...] the lease agreement and attornment [...]