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201109703
<br /> DEED OF TRUS7'
<br /> Loan No`. 87028Q (C011tif�ued} Page 3
<br /> clause in favor of Lender. TrusYOr shall also procure and maintain comprehensive general liability insu�ance in such
<br /> coverage amounts as Lender may request with Trustee and Lender being named as addltional insureds in such
<br /> � liability insurance policies. Additionally,Trustor shall maintain such other insurance,induding but not limited to
<br /> hazard,business interruption,and boiler insurance,as Lender may reasonably require. Policies shall be written i❑
<br /> form, amounTS, coverages and basis reasona6ly acceptable to Lender and issued by a company oY companies
<br /> reasonably accepta6le to Lender. Trustor, upon request of Lender, will deliver to Lender from time to time the
<br /> policies or certificates of insurance in form satisfactory to Lender,including stipulations that coverages will not be
<br /> cancetled or diminished without at least ten (10)days prior written notice to Lender. Each insurance policy also
<br /> shall indude an endorsement providing That coverage in favor of Lender will not be impaired in any way by any act,
<br /> omission or tlefauit of Trustor or any other persort. Should tFie Real Property be locatetl in an area designated by
<br /> the Director of the Federel Emergency Management Agency as a special fiood hazard area,Trusto�r agrees to obtain
<br /> and mairttain Federal Flood Insurence,if available,within 45 days after notice is given 6y Lender that the Property
<br /> is located in a special flood hazard�area,for the full unpaid principal balance of tlie loan and any prior liens on the
<br /> property securing the loan,up to the maximum policy limits set under the National Flood Insurance Program,or as
<br /> otherwise required by Lender,and to maintain such insurance for the term of the loan.
<br /> Application of Proceeds. Trustor shall promptly notify Lender of any loss or damage to the Property. Lender may
<br /> make proof of loss if Trustor fails to do so�within fifteen f151 days of the casualty. Whether or not Lender's
<br /> security is impaired, Lender may,at Lender's election,receive and refain the proceeds of any insurance and apply
<br /> the proceeds to the reduction of the Indebtedness, payment of any lien affecting the Property, or the restoration
<br /> � and repair of the Propeo-ty. If Lender elects to apply the proceeds to restoration and repair,Trustor shall repair or
<br /> replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon
<br /> satisfactory proof of such expenditure, pay or reimburse Trustor from the proceeds for the reasonable cost of
<br /> repair or restoration if Trustor is not in default under this Deed of Trust. Any proceeds which have not been
<br /> disbursed within 180 days after their receipt and which Lender has not committed to the repair or restoration of
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Trust,then to aay accrued �
<br /> interest,ard the remainder; if any,shall be applied to the principal 6alance of the Indebtedness. If Lender holds
<br /> any proceeds after payment in fall of the Indebtedness, such proceeds shall be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> Trustor's Report on Insurance. Upon request of Lender,however not more than once a year,Trustor shall fumish
<br /> to Lender a report on each existing policy of insurance showing: (1) the name of the insurer; 12) the risks
<br /> �nsured; (3) the amount of Yhe policy; (4) the�property insured,the then current replacement value of such �
<br /> property,and the manner of determining that value;and (5) the expiration date of the policy. Trustor shall,upon
<br /> request of Lender,have an independent appraiser satisfactory to Lender determine the cash value replacement cost -
<br /> of the Property. � � .
<br /> LENDER'S IXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in
<br /> the Property or if Trustor fails to comply with any provision of this Deed of Trust or any Related Documents,including
<br /> . but not limited to Trustor's failure to discharge or pay when due any amounts Trustor is required to discharge or pay
<br /> under this Deed of Trust or any Related�ocuments,Lender on Trustor's behalf may(6ut shall not be obligated io)take
<br /> any action that Lender deems appropriate, including but not limited to dischargeng or paying all taxes, liens,securiry
<br /> interests,encumbrances and other daims,at any time levied or placed on the Property and paying all costs for insuring,
<br /> maintaining and preserving the Property. All such expenditures incurred or paid 6y Lender for such purposes will then
<br /> bear lnterest at the rate charged under the Note from the date incurred or paid 6y Lender to the date of repayment by
<br /> Trustor. All such expense5 will become a part of the Indebtedness and, ai Lender's option, wilf (A) be payable on
<br /> demand; (B) be added to fhe balance of the Note and be apportioned among and be payable with any installment
<br /> payments to become due during either (1) the term of any applicable insurance policy;or f2) the remaining term of
<br /> the Note;or (C) be treated as a balloon payment which will be due and payable at the NoYe's maturity. The Deed of
<br /> Trust also will secure payment oi theSe amounts. $uch right shall be in addition to all other rights and remedies to
<br /> which Lender may be entitled upon Default.
<br /> WARRANTY;DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a part of this Deed
<br /> of Trust: ' �
<br /> Title. Trustor warrants that: (a)Trustor holds good and marketable title of record to the Properry in fee simple,
<br /> free and clear of all liens and encumbrances other than those set forth in the Real.Property description or in any �
<br /> title insurance policy,.title report, or final title opinion issued in favor ofi, and accepted by, Lender in connection �
<br /> with this Deed of Trust,and (b)Trustor has the full right,power,and authority to exeeute and deliver this Deed of
<br /> Trust to Lender. � �
<br /> Defense of Title. Subject to the exception in the paragraph above,Trustor warrants and will forever defend the
<br /> title to the Property against the lawful ciaims of ail persons. In the event any action or proceeding is commenced.
<br /> that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust,Trustor shall defend the
<br /> action at Trustor's expense. Trustor may be the nominol party in such proceeding,but Lender shall be eniitled to
<br /> participate in the proceeding and to be represented in the proceeding 6y counsel of Lender's own choice, and
<br /> Trustor will daliver,or cause to be delivered,to Lender such instrumenis as Lender may request from time m time
<br /> . to permit such participation.
<br /> Compliance With Laws. Trustor warrants that the Property and Trustor's use of the Property complies with all �
<br /> existing applicabfe laws,ordinances,and regulations of govemmental authorities.
<br /> Survival of Representations and Warranties. All representations,warranties,and agreements made by Trustor in
<br /> this Deed of Trust shall suroive the execution and delivery of this Deed of Trust,shall be continuing in nature,and
<br /> shall.remain in�Full force and effect until such time as Trustor's Indebtedness shall be paid in full.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Deed of Trust �
<br /> Proceedings. If any proceeding in condemnation is filed, Trustor shall promptly notify Lender in writing, and
<br /> Trustor shall promptly take such steps as may be necessary to defend the action and obtain the award. Trustor
<br /> may be the nominal party in such proceeding,but Lender shall be entitled to participate in the proceeding and to 6e
<br /> represented in the proceeding by counsel of itS own choice, and Trustor will deliver or cause to be delivered [o
<br /> Lender such instruments and.documentation as m�ay be requested by Lender from time to time to permit such
<br /> participation.
<br /> Application of Net Proceeds. if all or any part of the Properiy is condemned hy eminent domain proceedings or by �
<br /> any proceeding or purchase in lieu of condemnation,Lender may at its election require that all or any portion of the
<br /> net proceeds of the award be applied to the Indebtedness or the repair or restoration of the Property. The net
<br /> proceeds of the award shall mean the award after paymsnt of all reasonable costs,expenses,and attomeys'fees
<br /> incurred by Trustee or Lender in connection with the condemnation.
<br /> IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating
<br /> to governmental taxes,fees and charges are a part of this Deed of Trust:
<br /> Current Taxes,Fees and Charges. Upon request by Lender,Trustor shall execute such documents in addiVOn to
<br /> this Deed of Trust and take whatever other action is requested by Lender to perfect and continue Lender's lien on
<br /> the Real Property. Trustor shall reimburse Lender for all taxes, as described below,together with all expenses
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