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7. EQUIPMENT
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<br />Title. Title to the Equipment and any and all additions, repairs, replacements or
<br />modifications thereto, shall be deemed to be vested in the Lessee subject to the rights of
<br />the .Lessor hereunder from and after the date of the acceptance of the Equipment so long
<br />as the Lessee shall not be in default hereunder and/or this Agreement shall not have been
<br />terminated pursuant to the provisions of Section 14 hereof, and shall vest permanently in
<br />the Lessee upon the completion of all rental payments specified in Schedule B, free and
<br />clear of any lien or security interest of the Lessor therein: Immediately upon the
<br />occurrence of an Event of Default by the Lessee hereunder or the termination of this
<br />Agreement under Section 14, title to the Equipment (and all additions, repairs,
<br />· replacements or modifications thereto) shall revert to the Lessor, free and clear of any
<br />right, title or interest of the Lessee unless the Lessor elects otherwise, without the .
<br />necessity of any further 'action or the execution of any documents by the parties.
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<br />Security Agreement. To secure all obligations of the Lessee hereunder, the Lessee hereby
<br />grants to the Lessor a security interest in any and all of the Lessee's right, title and interest
<br />in and to this Agreement, the Escrow Fund, the Equipment, all additions, attachments,
<br />accessions, substitutions and replacements thereto, and rental payments due or to become
<br />due hereunder, and any and all proceeds thereof, including without limitation, the
<br />proceeds of insurance thereon. The Lessee agrees to execute and deliver all documents,
<br />instruments and financing statements necessary or appropriate to perfect or maintain the
<br />security interest granted hereby. The Lessor is authorized to file financing statements
<br />without the Lessee's signature or to execute and file such financing statements on the
<br />Lessee's behalf as .specified by the Uniform Commercial Code or other applicable law to
<br />perfect or maintain the Lessor's security interest granted hereby. At the request of the
<br />Lessor, the Lessee will keep and maintain a conspicuous marking or tag on the
<br />Equipment that a security interest therein is held by the Lessor.
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<br />Personal Property. The Equipment is, and shall at all times be and remain,-personal
<br />property notwithstanding that the Equipment or any part thereof may now be, or hereafter
<br />become, in any manner affixed or attached to, or imbedded in, or permanently resting
<br />upon, real property or any building thereon or any fixtures, or attached in any manner to
<br />what is permanent by any means of cement, plaster, nails, bolts, screws or otherwise.
<br />Upon request of the Lessor, Lessee shall endeavor to obtain, as to any place where the
<br />Equipment is located, a waiver from the landlord and mortgagee thereof with respect to
<br />any rights they may have in and to the Equipment or the rights of levy or seizure thereon.
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<br />Liens. The Lessee shall not directly or indirectly create, incur, assume or suffer to exist
<br />any mortgage, pledge, lien, charge, security interest, encumbrance or claim on or with
<br />respect to the Equipment or any interest therein, except for the lien and security interest
<br />of the Lessor therein created under this Agreement. The Lessee shall promptly, at its own
<br />expense, take such action as may be necessary to duly discharge any such mortgage,
<br />pledge, lien, security interest, charge, encumbrance or claim if the same shall arise at any
<br />time.
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