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DEED OF TRUST �0�2�����
<br />Loan No: 101257432 (�ontinued) Page 4
<br />repair or restoration if Trustor is not in default under this Deed of Trust. Any proceeds which heve not been
<br />disbursed within 180 days after their receipt end which Lender hes not committed to the repeir or restoration of
<br />the Property shall be used first to pey any emount owing to Lender under this Deed of Trust, then to pey accrued
<br />interest, and the remainder, if any, shell be epplied to the principel balance of the Indebtedness. If Lender holds
<br />any proceeds after payment in full of the Irtdebtedness, such proceeds shall be peid 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 provisfons contained in the instrument evidencing such Existing
<br />Indebtedness shall constitute complience with the insurance provisions under this Deed of Trust, to the extent
<br />complience with the terms of this Deed of Trust would constitute a duplicatfon of insurence raquirement. If any
<br />proceeds from the insurence become peyable on loss, the provisions in this Deed of Trust for division of proceeds
<br />shall epply only to tl5et portion of the proceeds not payable to the holder of the Existing Indebtedness.
<br />Trustor's Report on Insurance. Upon request of Lender, however not more then once a year, Trustor shall furnfsh
<br />to Lender a report on each existing policy of insurance show(ng: (1) the name of the insurer; (2) the risks
<br />insured; (3) the amount of the policy; (4) tlle property insured, the then current replacement value of such
<br />property, and the manner of determining that value; end 15) the expiration date of the pollcy. Trustor shall, upon
<br />request of Lender, have an independent appraiser satisfectory to Lender determine the cash value replacement cost
<br />of the Property.
<br />LENDER'S EXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in
<br />the Property or if Trustor feils to comply with any provision of this Deed of Trust or eny Related Documents, including
<br />but not limited to Trustor's failure to comply with any obligation to maintain Existing Indebtedness in good standing es
<br />required below, or to discharge or pey when due any amounts Trustor is required to discherge or pay under this Deed of
<br />Trust or any Related Documents, Lender on Trustor's behalf may (but shall not be obligated to) teke eny actibn that
<br />Lender deems appropriate, including but not limited to discherging or paying all taxes, liens, security interests,
<br />encumbrances and other claims, at any time tevied or placed on the Property and paying all costs for insuring,
<br />maintaining and preserving the Property. All such expenditures incurred or paid by Lender for such purposes will then
<br />bear interest at tNe rate charged under the Note from the date incurred or paid by Lender to the date of repayment by
<br />Trustor. All such expenses will become a part of the Indebtedness and, at Lender's option, will (A) be payable on
<br />demand; (B) be added to the balance of the Note and be apportioned among and be payable with any instellment
<br />payments to become due during either (1) the term of eny applicable insurance policy; or (2) the remaining term of
<br />the Note; or (C) be treated as a balloon payment which will be due and payable et the Note's maturity. The Deed of
<br />Trust also will secure payment of these amounts. Such right shall be in eddition 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 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 insurence policy, title report, or finel title opinion issued in favor
<br />of, and accepted by, Lender in connection with this Deed of Trust, end (b) Trustor has the full rlght, power, and
<br />authority to execute and deliver this Deed of Trust to Lender.
<br />Defense of TiUe. Subject to the exception in the paregraph ebove, Trustor warrants and will forever defend the
<br />title to the Property against the lawful ciaims of all persons. In the event any action or proceeding (s commenced
<br />that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust, Trustor shall defend the
<br />ection at Trustor's expense. Trustor may be the nominel perty in such proceeding, but Lender shell be entitled to
<br />perticipate in the proceeding end to be represented in the proceeding by counsel of Lender's own choice, and
<br />Trustor will deliver, or cause to be delivered, to Lender such instruments es Lender may requeat from t(me to 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 applicable laws, ordinances, and regulationa of governmentel authorities.
<br />Survival of RepresentaUons and WarranUes. All representetions, warranties, and agreements made by Trustor in
<br />this Deed of Trust shall survive the execution and delivery of this Deed of Trust, shall be continuing in nature, end
<br />shell remain in full force and effect until such time es Trustor's Indebtedness shell be paid in full.
<br />EXISTING INDEBTEDNESS. The following provisions concerning Existing Indebtedness are a part of this Deed of Trust:
<br />F�cisting Lien. The lien of this Deed of Trust securing the Indebtedness rt�ay be secondary and inferior to an
<br />existing lien. Trustor expressly covenants arld egrees to pay, or see to the payment of, the Existing Indebtedness
<br />and to prevent any defeult on such indebtedness, any default under the instruments evidencing such indebtedness,
<br />or any default under any security documents for sucN indebtedness.
<br />No Modification. Trustor shall not enter into eny egreement with the holder of any mortgage, deed of trust, or
<br />other security agreement which hes priority over this Deed of Trust by which thet agreement is modified,
<br />amended, 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 prior written consent of Lender.
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