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201207795
<br /> DEED OF �"RUST
<br /> Loan No: 872058763 (Continued) Page 3
<br /> in any way by any act, omission or default of Trustor or any other pe�rson_ Should the Real Property be Iocated in
<br /> an area designated by the Director of the Federal Emergency Managemeni Agency as a special flood hazard area,
<br /> Trustor agrees to obtain and maintain Federal Flood Insurance, if available, for the maximum amount of T�ustor's
<br /> credit line and the full unpaid principal balance ofi any prior liens on the property securing the loan, up to the
<br /> maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lender, and to
<br /> maintain sucn insurance fio.r 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 ('15) days of the casualty. Whether or not Lender's
<br /> security is impaired, Lender may, at Lender's election, receive and retain 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 proof of such expenditure, pay or reimburse Trustor from the proceeds for the reasonable cost of
<br /> repair or restoraiion if Trusior is not in default under this Deed of Trust. Any proceeds which have not been
<br /> disbursed withi.n 1 SO days after their receipt and wh��ich 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 ofi Trust, then to pay accrued
<br /> interest, and the remainder, ifi 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 with Existing Indebtedness. During the period in which any Existing Indebtedness described below is
<br /> in effect, compliance with the insurance provisions contained in the instrumeni evidencing such ExisYing
<br /> Indebtedness shall constitute compliance with the insura�ce provisions under this Deed of Trust, to the extent
<br /> compliance witn the terms of this Deed of Trust would constitute a duplication of insurance requi.rement. If any
<br /> proceeds from the insurance become payable on loss,the provisions in this Deed ofi Trust for division ofi proceeds
<br /> shall apply only io that portion of the proceeds not payable to the holder of the Existing Inde6tedness.
<br /> LENDER'S EXPENDITURES. Ifi Trustor fails (A) to keep the Property free of all taxes, liens,. security interests,
<br /> encumbrances, and other cfaims, {B) to provide any required insurance on the Property, (C) to make repairs to the
<br /> Property or to comply wiih any obligation to maintain Existing Indebtedness in good standing 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 to proiect Lender's interests. All expenses incurred or paid by Lender for such purposes will then bear
<br /> in'teYest at the rate charged under the Credit Agreement from ihe date incurred or paid by Lender to the date of
<br /> repayment by Trustor. All such expenses will become a part of the Indebtedness and, at Lender's option, will (A) be
<br /> payable on demand; (B) be added to the balance of the Credit Agreement and be apportioned among and be payable
<br /> wiih any installment payments to become due during either ('I) the term of any applicable insurance policy; or (2) the
<br /> remainir�g term of the Credit Agreement; or (C) be treated as a balloon payment which will be due and payable aY the
<br /> Credit Agreement's maturity. The Deed of Trust also wiq 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 account of
<br /> any default_ Any such action by Lender shall not be construed as curing tne default so as to bar Lender from any
<br /> remedy that it otherwise would have had.
<br /> WARRANTY; DEFENSE OF TITLE_ The following provisions relating to ownership of the Property are a part of this Deed
<br /> ofi Trust:
<br /> Title. Trustor warrants that (a) Trustor holds good and marketable title of record to tne Property in fee simple,
<br /> free and clear of all liens and encumbrances other than those set forth in the Real Property description or in the
<br /> Existing Indebtedness section below or in any title insurance policy, title report, or final title opinio�issued in favor
<br /> of, and accepted by, Lender in connection with this Deed of Trust, and (b) Trustor has the fWl right, power, and
<br /> authority to execute and deliver this Deed of Trust to Lender.
<br /> Defense of Title, Subject to the exception in the paragraph above, Trustor warrants arad will forever defend the
<br /> title to the Property against the lawful claims of all 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 proceedi�ng, but Lender shall be entitled to
<br /> participate in the proceeding and to be represented in ihe proceeding by counsel ofi LendePs own cho�ice, and
<br /> Trustor will deliver, or cause to be delivered, to Lender such instruments as Lender may request from time Yo time
<br /> to permit such participation.
<br /> Compliance WiYh Laws. Trustor warrants that the Property and Trustor's use of the Properiy complies with all
<br /> existing applicable laws,.ordinances, and regulations of governmental.authorities.
<br /> Survival of Promises. All promises, agreements, and statements Trustor has made in this 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 effect until such time as Trustor's Indebtedness is paid in full.
<br /> EXISTING INDEBTEDNESS. The following provisions concerning 6cisting Indebtedness are a part of this Deed of Trust:
<br /> Existing Lien. The lien ofi this Deed of Trust securing the Indebtedness may be secondary and inferior to an
<br /> existing liert. Trustor expressly covenants and agrees to pay, or see to the payment ofi, the Existing Indebtedness�
<br /> and to p�event any default on such�indebtedness, any default under the instruments evidencing such indebtedness,
<br /> or any default under any security documents for such indebtedness.
<br /> No Modification. Trusior shall not enter into any agreement with the holder of any mortgage, deed of trust, or
<br /> other secur?ry agreement which has priority over this Deed of Trust by which that agreement is modified,
<br /> amended, extended, or renewed without the prior written consent ofi Lender. Trustor shall neither request nor
<br /> accept any future advances under any such security agreement without tne prior written consent of Lender.
<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 sucn steps as may be necessary to defiend 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 be
<br /> represented in the proceeding by counsel of its own ctioice, and Trustor will deliver or cause to be delivered to
<br /> Lender such instruments a.nd documentation as may 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 Property is condemned by 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. Tne net
<br /> proceeds of the award shall mean the award after payment of a❑ reasonable costs, expenses, and attorneys' fiees
<br /> incurred by Trustee or Lender in connection with the condemna[ion.
<br /> IMPOSlT10N 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 ofi Trustr
<br /> Current T�es, Fees and Charges. Upon request by Lender, Trustor snall execute such documents in. addition to
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