An agreement that permits a tenant holding a lease to remain in possession of a property despite any foreclosure against the owner(s) of the property.... read full article
Protects tenants from the foreclosing of their leases in the event of a foreclosure on the property; typically, tenants cannot be in default.
A clause inserted in a mortgage whereby the mortgagee agrees not to terminate the tenancies of lessees who pay their rent if the mortgagee forecloses on the mortgagor-lessor's building.
A clause in a loan stating that the lender will not terminate the lease of a tenant when he forecloses on the property occupied by the tenant.
A mortgage condition by which the borrower agrees not to terminate leases (if the tenants are in compliance with the lease terms) in the event of mortgage foreclosure.