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201206676
<br /> DEED OF TRUST
<br /> Loan No: 872056'i 77 (C011tillued) Page 3
<br /> Trust_
<br /> Maintenance� of Insurance. Trustor snall procure and maintain. policies of fite insurance with standard eMended
<br /> coverage endorsements on a replacement basis for the fiull insurable value covering all Improvements on the Real
<br /> Property in an amount sufficient to avoid application ofi any coinsurance clause, and with a standard mortgagee
<br /> clause in favor of Lender,together with such other hazard and liability insurance as Lender may reasonably require.
<br /> Policies shall be written in form, amounts, covereges and basis reasonably acceptable to Lender and issued by a
<br /> company or companies reasonably acceptable to Lender. Trustor, upon request of Lender, wilt deliver to Lender
<br /> firom time to time the policies or cert"rficates of insurance in form satisfiactory to Lender, including stipulations tnat
<br /> coverages will not be cancelled or diminished wiihout at least ten (10) days prior written notice to Lender. Each
<br /> insurance policy also shall include an endorsement providing that coverage in fiavor of Lender will not be impaired
<br /> in any way by any act, omission or default ofi Trustor or any other person. Should the Real Property be located in
<br /> an area designated by the Director ofi the Federal Emergency Management Agency as a special flood hazard area,
<br /> Trustor agrees to obtain and maintain Federal Flood Insurance, if available, fior the maximum amount of Borrower's
<br /> credit line and tne full unpaid principal balance of�any prior liens on the property securing the loan, up to the
<br /> maximum policy Iimits set under the National Flood Insurance Program, or as otherwise required by Lender, and to
<br /> maintain such insurance for the term of the loan.
<br /> Application of Proceeds. Trustor sha❑ promptly notify Lender of any loss or damage io the Property. Lender may
<br /> make proof of loss if Trustor fiails to do so within fifteen ('15) days of the casualiy. Whether or not Lender's
<br /> security is impaired, Lender may, at Lender's election, receive and reiain 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 Property. 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 proofi of such expenditure, pay or reimburse Trustor firom the proceeds for the reasonable cost of
<br /> repair or restoretion if Trustor is not in default under this Deed of Trust Any proceeds which have not been
<br /> disbursed within '180 days afte�their receipt and which Lender has not committed to the repair or restoration ofi
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Trust, then to pay accrued
<br /> interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds
<br /> any proceeds after payment in full of the Indebtedness, such proceeds shall be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> Compliance witt� E�sting Bndebtedness. During the period in which any Existing Indebtedness described below is
<br /> in effect, compliance with the insurance provisions contained in the instrument evidencing such Existing
<br /> Indebtedness shall constitute compliance with the insurance provisions under this Deed of Trust, to the extent
<br /> compliance with the terms ofi this Deed of Trust would constitute a duplication of insurance requirement. If any
<br /> proceeds from the insurance become payable on Ioss, the provisions in this Deed of Trust for division of proceeds
<br /> shall apply only to that portion of the proceeds not payable to the holder of the E�sting IndeStedness.
<br /> LENDER'S EJCPENDITURES. If Trustor fails (A) to keep the Property free of all taxes, liens, security iMerests, .
<br /> encumbrances, and other claims, (B) to provide any required insurance on the Property, (C7 to make repairs io the
<br /> Property or io comply with any obligation to maintain Exisiing Indebtedness in good s[anding as required below, then
<br /> Lender may do so. If any action or proceeding is commenced that would materially affect Lender's interests in the
<br /> Property, then Lender on Trustor's behalf may, but is not required to, take any action that Lender believes to be
<br /> appropriate io protect Lender's interests. All expenses incurred or paid by Lender for such purposes will then bear
<br /> interest at the rate charged under the Credit Agreement from the date incurred or paid by Lender to the date of
<br /> repayment by Trustor. All such expenses will become a part ofi the Indebtedness and, at Lender's option, will (A) be
<br /> payable on demand; (B) be added to the balance of the CYedit Agreement and be apportioned among and be payable
<br /> with any installment payments to become due during either ('1) the term ofi any applicable insurance policy; or (2) the
<br /> � remaining term of the Credit Agreement; or {G) be treated as a balloon payment which will be due and payable at the
<br /> Credit Agreement's maturity. The Deed of TrusY also will secure payment of these amounts. The rights provided for in
<br /> this paragraph shall be in addition to any other rights or any remedies to which Lender may be entitled on accouni of
<br /> any default. Any such action by Lender shall not be construed as curing the default so as to bar Lender from any
<br /> remedy that it otherwise would have nad.
<br /> WARRANTY; DEFENSE OF TITLE. The following provisions relating to ownersnip ofi the Property are a part ofi tnis Deed
<br /> of Trustc
<br /> TiUe. Trustor warranis that: (a) Trustor holds good and marketable title of record to the Property in fee simple,
<br /> free and dear of aIl Iiens and encumbrances other than those set forth in the Real Property descri.ption or in the
<br /> Existing Indebtedness section below or in any title insurance policy, title report, or final title opinion issued in favor
<br /> ofi, and accepted by, Lender in connection witti tnis Deed of Trust, and (b) Trustor has the full right, power, and
<br /> authority to execute and deliver this Deed of Trust to Lender.
<br /> Defense ofi Title�_ Subject to the exception in the paragraph above, Trustor warrents and will forever defend the
<br /> title to the Property against the lawful dai��ms of aIl persons. In the event any action or ptoceeding 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 nominal party in such proceeding, but Lender shall be entitled to
<br /> participate in the proceeding and to be represented in the proceeding by counsel of Lender's own choice, and
<br /> Trustor will del[ver, or cause to be delivered, to Lender such insiruments as Lender may request from time to time
<br /> to permit such partici.pation.
<br /> Compliance With Laws. Trustor warrents that the Property and TrustoPs use of the Property complies with aIl
<br /> existing applicable Iaws, ordinances, and regulations of governmental authorities.
<br /> Survival of Promises. All promises, agreements, and statements Trustor has made in Yhis Deed ofi Trust shall
<br /> survive the execution and delivery of this Deed of Trust, shall be continuing in nature and shall remain in full force�
<br /> and effiect until such time as Borrower's Indebtedness is paid in full.
<br /> EXISTING INDEBTEDNESS_ The following provisions concerning Existing Indebtedness are a part of this Deed of Trust:
<br /> Existeng Lien. The lien of this Deed of Trust securing the Indebtedness may be secondary and infierior to an
<br /> existing lien. Trustor expressly covenants and agrees to pay, or see to the payment of, tne Existing Indebtedness
<br /> and to prevent any default on such indebtedness, any default under the instruments evidencing sucn indebtedness,
<br /> or any deFault under any security documents for such indebtedness.
<br /> No Modification. Trustor shall �ot enter into any agreement with the holder of any mortgage, deed ofi trust, or
<br /> other security agreemeM which has priority over this Deed ofi Trust by which that agreement is modified,
<br /> arnended, extended, or renewed without the prior written consent of Lender. Trustor shall neither request nor
<br /> accept any future advances under any such security agreement without the prfor written consent of Lender.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part ofi 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 tne nominal party in such proceeding, but Lender shall be entitled to participate in ihe proceeding and to be
<br /> represented in the proceeding by counsel ofi its own choice, and Trustor wilt deliver or cause to be delivered to
<br /> Lender such instruments and documentation as may be requested by Lender from time to time to� permit such
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