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t- 20120377�
<br />Financial Reports and Additional Documents. Trustor will provide to Beneficiary upon request, any financial statement
<br />or information Beneficiary may deem reasonably necessary. Trustor agrees to sign, deliver, and �le any additional
<br />documents or certifications that Beneficiary may consider necess . to perfect, continue, and preserve Trustor's obligations
<br />under this Security Instruinent and �eneficiary's lien status on tki�operty. '
<br />' 6. WA,�R�NT`'Y OF TITI.E. Trustor warrants that Tiustor is or will be lawfully saized of 'tlie estate 'conveyed by this
<br />. Securxty ;Xnstrument and lias the right to irrevocably giant, �onv�y, and sell the Property to Trustee, in trust, with power of
<br />,sale: �'rustor also warr�nts that the Property is unencumbered, except for encumbrances of record.
<br />7. DUE ON SALE. Beneficiary may, at its option, declare the entire balance of the Secured Debt to be immediately due and
<br />payable upon the creation of, or contract for the creation of, a transfer or sale of the Property. This right is sub�ect to the
<br />restnctions unposed by federal law (12 C.F.R. 591), as applicable.
<br />S. DEFAULT. Trustor will be in default if any of the following occur:
<br />Fraud. Any Consumer Borrower engages in fraud or material misrepresentation in connection with the Secured Debt that
<br />is an open end home equity plan.
<br />Paymen�c. Any Cansumer Bonower on any Secured Debt that is an ogen end home equity �lan fails to mak� a payment
<br />when due.
<br />Property. Any action or inaction by the �Borrower or Trustor occurs that adversely affects the Property or, Beneficiary's
<br />rights in the Property. This includes, but is not limited to, the following: (a) Trustor fails to maintain required insurance
<br />on the Property; (b) Trustor transfers the Property; (c) Trustor commits waste or otherwise destructively uses or fails to
<br />maintain the Property such that the action or inaction adversely affects Beneficiarx's security; (d) Trustor fails to pay taxes
<br />on the Property or otherwise fails to act and thereby causes a lien to be filed agamst the Property that is senior to the lien
<br />of this Secunty Instrument; (e) a sole Trustor dies; (fl if more than one Trustor, any Trustor dies and Beneficiary's
<br />security is adversely affected; (g) the Property is taken throu h eminent domain; (h) a judgment is filed against Trustor and
<br />subjects Trustor and the Property to action that "adversely af�ects Beneficiary's interest; or (i) a pnor lienholder forecloses
<br />on the Property and as a result, Beneficiary's interest is adversely affected.
<br />Executive Of�cers. Any Borrower is an executive. officer of �Beneficiary or an affiliate and such Bonower becomes
<br />indebted to Beneficiary or another lender in an aggregate amount greater than'the amount permitted under federal laws and
<br />regulations.
<br />9. REMEDIES ON DEFAULT. In addition to any other remedy available under the terms of this Security Instrument,
<br />Bene�ciary may accelerate the Secured Debt and foreclose this Secunty Instrument in a manner provided by law if Trustor
<br />is in default. In some instances, federal and state law will require Beneficiary to provide Trustor with notice of the right
<br />cure, or other notices and may establish time schedules for foreclosure actions. Each Trustor re uests a copy of any notice
<br />of default and any notice of sale thereunder be mailed to each Trustor at the address provided in�ection 1 above.
<br />At the option of the Beneficiary, all or any part of the agreed fees and charges, accrued interest and principal shall become
<br />immediately due and payable, after givmg notice if required by law, upon the occurrence of a default or anytime
<br />thereafter.
<br />If there is a default, Trustee shall, at the request of the Beneficiary, advertise and sell the Property as a whole or in
<br />separate parcels at public auction to the highest bidder for cash and convey absolute title free and clear of all right, title
<br />and mterest of Trustor at such tiine and place as Trustee designates. Trustee stialrgiv� natice ef s�ie time,
<br />terms and place of sale and a description of the property to be sold as required by the applicable law in effect at the time of
<br />the proposed sale.
<br />Upon sale of the Property and to the extent not prohibited by law, Trustee shall make and deliver a deed to the Property
<br />sold which conveys absolute title to the purchaser, and after first paying all fees, charges and costs, shall pay to
<br />Beneficiary all moneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest
<br />thereon, and the principa1 and interest on the Secured Debt, paying the surplus, if any, to Trustor. Beneficiary may
<br />purchase the Property. The recital�„in an,y deed of conveyance shall be prima facie evidence of the facts set forth therein.
<br />The acceptance by Beneficiary of any sum in payment or partial payment on the Secured Debt after the balance is due or is
<br />accelerated or after foreclosure proceedings are filed shall not constrtute a waiver of Bene�ciary's right to require complete
<br />cure of any existing default. By not exercising any remedy on Trustor's default, Beneficiary does not waive Beneficiary's
<br />right to later consider the event a default if it happens again.
<br />10. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS.. If Trustor breaches
<br />any covenant in this Security Instrument, Trustor agrees to pay all expenses Beneficiary incurs in performing such
<br />covenants or protecting its secunty interest in the Property. Such expenses mclude, but are not limited to, fees incurred for
<br />inspecting, preserving, or otherwise protecting the Property and Beneficiary's security interest. These expenses are payable
<br />on demand and will bear interest ftom the date of payment until paid in full at the highest rate of interest in effect as
<br />provided in the terms of the Secured Debt. Trustor a�rees to pay all costs and expenses mcuned by Beneficiary in
<br />collecting, enforcing or protecting Beneficiary's rights and remedies under this Security Instniment. 1'his amount may
<br />include, but is not limited to, Trustee's fees, court costs, and other le�al expenses. To the extent permitted by the United
<br />States Bankruptcy Code, Trustor agrees to pay the reasonable attomeys fees Beneficiary incurs to collect the Secured Debt
<br />as awarded by any couR exercising �urisdiction under the Bankruptcy Code. This Secunty Instrument shall remain in effect
<br />until released. Trustor agrees to pay for any recordation costs of such release.
<br />11. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law
<br />means, without limitation, the Gomprehensive Environmental Response, Compensation and. Liabilit� Act (CERCLA, 42
<br />U.S .C. 9601 et seq ,), and all other federal, state and local laws, regulations, ordinances, court orders, attomey general
<br />opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2)
<br />Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or contaminant which has
<br />characteristics which render the substance dangerous or potentially dangerous to the public health, safety, welfare or
<br />environment. The term includes, without limitation, any substances defined as"hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Environmental Law.
<br />Trustor represents, warrants and agrees that:
<br />A. Except as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br />located, stored or released on or in the Property. This restnctiori daes �1bt: app Iy�to°sxnalt quantities of Hazardous
<br />Substances that are generally recognized to be appropnate for tkie normal, use' and mau►tenance of the Property.
<br />B:rExcept as previously diselosed and acknowledged in writin to Beneficiary TrustQr and every tenant have been, are,
<br />';and-sha11 remain i� full compliance with any applicable Envira�unental Law.... '-
<br />C: '�rustor shall immediately notify Beneficiary if a release ar threatened release of a Hazardous Substance occurs on,
<br />, ; under or about the Property or there is a violation of any Environmental Law conceming the Property. In such an
<br />� event; Tr►istor shall take all necessary remedial action in accordance with any Environmental Law. �
<br />fPage 3 of 41
<br />� � 1994 Benkera Systems, Inc., SL Cloud, MN Form OCP-REDT-NE 7/31/2003 ��y� ��
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