|
�ti-- i�r�4"�5�
<br /> B. All future advances from Lender to Grantor or other future obligations of Grantor to Lender under any promissory
<br /> note, contract, guaranty, or other evidence of debt executed by Grantor in favor of Lender executed after this
<br /> Security Instrument whether or not this Security Instrument is specifically referenced. If more than one person
<br /> signs this Security Instrument,each Grantor agrees that this Security Instrument will secure all future advances and
<br /> future obligations that are given to ar incurred by any one or more Grantor, or any one or mare Grantor and
<br /> others. All future advances and other future obligations are secured by this Security Instrument even though all or
<br /> part may not yet be advanced. All future advances and other future obligations are secured as if made on the date
<br /> of this Security Instrument. Nothing in this Security Instrument shall constitute a commitment to make additional
<br /> or future loans or advances in any amount.Any such commitment must be agreed to in a separate writing.
<br /> C. All obligations Grantor owes to Lender,which may later arise,to the extent not prohibited by law,including,but
<br /> not limited to,liabilities for overdrafts relating to any deposit account agreement between Grantor and Lender.
<br /> D. All additional sums advanced and expenses incurred by Lender for insuring,preserving or otherwise protecting
<br /> the Property and its value and any other sums advanced and expenses incurred by Lender under the terms of
<br /> this Security Instrument.
<br /> This Security Instrument will not secure any other debt if Lender fails to give any required notice of the right of rescission.
<br /> 5. PAYMENTS. Grantor agrees that all payments under the Secured Debt will be paid when due and in accordance
<br /> with the terms of the Secured Debt and this Security Instrument.
<br /> 6. WARRANTY OF TITLE. Grantor warrants that Grantor is or will be lawfully seized of the estate conveyed by this
<br /> Security Instrument and has the right to irrevocably grant, convey, and sell the Property to Trustee, in trust, with
<br /> power of sale. Grantor also warrants that the Property is unencumbered,except for encumbrances of record.
<br /> 7. PRIOR•SECURITY INTERESTS.With regard to any other mortgage,deed of trust,sccurity agreement or other lien
<br /> document that created a prior security interest or encumbrance on the Property,Grantor agrees:
<br /> A. To make all payments when due and to perform or comply with all covenants.
<br /> B. To promptly deliver to Lender any notices that Grantor receives from the holder.
<br /> C. Not to allow any modificatio�or extension of,nor to request any future advances under any nole or agreement
<br /> secured by the lien document without Lender's prior written consent.
<br /> 8. CLAIMS AGAINST TITLE. Grantar will pay all taxes, assessments, liens, encumbrances, lease payments, ground
<br /> rents,utilities,and other charges relating to the Property when due. Lender may reyuire Grantor to provide to Lender
<br /> copies of all notices that such amounts are due and the receipts evidencing Grantor's paymenl. Grantor will detend
<br /> title to the Property against any claims that would impair the lien of this Security [nsU�ument. Grantor agrees to assign
<br /> to Lender, as requested by Lender, any rights, claims or defenses Grantor may have against parties who supply labor
<br /> or materials to maintain or improve the Property.
<br /> 9. DUE ON SALE OR ENCUMBRANCE.Lender may,at its option,declare thc entire balance of thc Secured Debt to
<br /> be immediately due and payable upon the creation of, or contract for the creation of, any lien, encumbrance, transfer
<br /> or sale of the Property. This right is subject to the restrictions imposed by federal law (12 C.F.R. 591), as applicable.
<br /> This covenant shall run with the Property and shall remain in effect until the Secured Debt is paid in full and this
<br /> Security Instrument is released.
<br /> 10. PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Grantor will keep the Property in good
<br /> condition and make all repairs that are reasonably necessary. Grantor shall not commit or allow any waste,
<br /> impairment, or deterioration of tl�e Property. Grantor will keep the Property free of noxious weeds and grasses.
<br /> Grantor agrees that the nature of the occupancy and use will not substantially change without Lender's prior written
<br /> consent. Grantor will not permit any change in any license, restrictive covenant or easemcnt withoul Lendcr's prior
<br /> written consent. Grantor will notify Lender of all demands, proceedings, claims, and aclions against Grantor, and of
<br /> any loss or damage to the Property.
<br /> Lender or Lender's agents may, at Lender's option, enter the Property at any reasonable time for the purposc of
<br /> inspecting che Property. Lender shall give Grantor nolice at thc time ol' or before an inspection specifying a
<br /> reasonable purpose for the inspection. Any inspection of the Property shall be entirely for Lendcr's benefit and
<br /> Grantor will in no way rely on Lender's inspection.
<br /> 11. AUTHOR[TY TO PERFORM. If Grantor fails to perform any duty or any of the covenants contained in this
<br /> Security Instrument, Lend�;r may, without notice, perform or cause them to be performed. Grantor appoints l,ender
<br /> as attorney in fact to sign Grantor's name or pay any amount necessary for performance. Lender's right to perform for
<br /> Grantor shall not create an obligation to perform, and Lender's failure to perform will not precludc Lendcr from
<br /> exercising any of Lender's other rights under lhe law or this Security InstrumenL If any construction on the Property is
<br /> discontinued or not carried on in a reasonable manner, Lender may take all steps necessary to protect Lender's
<br /> security interest in the Property,including completion of the construction.
<br /> 12. ASSIGNMENT OF LEASES AND RENTS.Grantar irrevocably grants,conveys and sclls to Trustee, in trust for the
<br /> benefit of Lender, as additional security all the right, title and interest in and to any and all existing or future leascs,
<br /> subleases, and any other written or verbal agreements for the use and occupancy of any portion of the Property,
<br /> including any extensions, renewals, modifications or substitutions of such agreemcnts (all referrecl to as "Lcases") and
<br /> rents, issues and profits (all referred to as "Rents"). Grantor will �r<�mpUy provide Lender with truc and corrcct
<br /> copies of all existing and future Leases. Grantor may collect,receive,enjoy and use lhe Rents so lung as Granlur is not
<br /> in default under the terms of this Security Instrument.
<br /> Grantor acknowledges that this assignment is perfected upon lhe recording ol' this I)ecd of"I'rust ancl lhat Lencler is
<br /> entitled to notify any of Grantor's tenants to makc paymenl of Rents cluc ��r tc� becomc cluc lo Lcnder. f lowcvcr,
<br /> Lender agrees that only on default will Lender notify Crantor and Grantor's tenants and make demand tl�al all future
<br /> Rents be paid directly to Lender. On receiving notice of default, Grantor will endorse and deliver to Lender any
<br /> payment of Rents in Grantor's possession and will receive any Rents in trust for Lender and wi11 n��t cc�mmingle the
<br /> Rents with any other funds. Any amounts collected will be applied as provided in this Security lnstrument. Grantor
<br /> warrants that no default exists under the Leases or any applicable landlard/tenant law. Grantor also agrees to maintain
<br /> and require any tenant to comply with the terms of the Leases and applicable law.
<br /> 13. LEASEHOLDS; CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. Grantor agrees to comply with the
<br /> provisions of any lease if this Security Instrument is on a leasehold. If the Property includes a unit in a condominium
<br /> or a planned unit development, Grantor will perform all of Grantor's duties under the covenants, by-laws, or
<br /> regulations of the condominium or planned unit development.
<br /> 14. DEFAULT. Grantor will be in default if any party obligated on the Secured Debt fails to make payment when due.
<br /> Grantor will be in default if a breach occurs under the terms of this Security Instrument or any other document
<br /> (page 2 of 4)
<br /> OO 1994 Bankers Systems,Inc.,St.Cloud,MN (1-800-397-2341) Form RE-0T-NE 8/8/94
<br />
|