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201208459
<br /> DEED OF TRUST
<br /> Loan No: 87205872'I (Continued) Page 3
<br /> insurance policy also snall include an endorsement providing that coverage in favor of Lender will not be impaired
<br /> in any way by Sny act, omission or default of Trustor or any other person. Should the Real Property be located in
<br /> an area des�ignated by the Director of the Federal Emergency Management Agency as a special flood nazard area,
<br /> Trustor agrees to obtain and maintain Federaf Flood Bnsurance, if available, for the maximum amount ofi Trustor's
<br /> credif line and ttie fiulf unpaid principal balance of any ptior liens on YFie property securing the ioan., up #o the
<br /> maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lender, and to
<br /> mainiain such insurance for the term of the loan.
<br /> Application of Proceeds. Trus'tor shall promptly notify Lender of any loss or damage to the Property. Lender may
<br /> make proof of loss if Trusior 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 ofi the Indebtedness, payment of any lien affecting the Property, or the resto�ration
<br /> and repair ofi the Property. If Lender elects to apply the proceeds to restoration and repair, Trustor shall repai� or
<br /> repla.ce tne 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 tne reasonable cost of
<br /> repair o� restoration if Trustor is not in default under this Deed of Trust. Any proceeds which have not been
<br /> d�isbursed within 180 days after their receipt and which 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 of Trust, then to pay accrued
<br /> interest, and '[he remainde�, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds
<br /> any proceeds after payment in full ofi the Indebtedness, such proceeds shall be paid to Trustor as Trustor's
<br /> interests may appea.r. �
<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 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 of this Deed of Trust would constitute a duplication of insurance requirement. If any
<br /> proceeds from the insurance become payable on loss, the provisions in this Deed of Trust for division of proceeds
<br /> shall apply only Yo that portion of the proceeds not payable to the holder ofi the Existing lndebtedness.
<br /> LENDER'S EXPENDITURES. Ifi Trustor fai.ls (A) to keep the Property free of all taxes, liens, security interests,
<br /> encu:mbrances, and other claims, (B) to provide any required insurance on the Property, (C) to make repairs to the
<br /> Property or to comply with any obligation to maintain Existing indebtedness in good stan@i.ng as required below, the�n
<br /> Lender may do so. Ifi any action or proceeding is commenced that would rnaterially 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 protect Lender°s interests. A!I expenses� incurred or paid by Lender for such purposes will then bear
<br /> interest at the rate charged under ihe Credit Agreement from the date incurred or paid by Lender to ihe 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 /> payabie on demand; (B) be added to the balance of the Credit Agreement and be apportioned among and be payabie
<br /> witn any installment payments to become due during either ("I) the term of any applicable insurance policy; or (2) the
<br /> remaining term of the Credit Agreement; or (C) be treated as a balloon payment which will be due and payable at the
<br /> Credit Agreement's maturity. Tne Deed of Trust also will secure payment of these amounts. The rights provided fior in
<br /> this paragraph shall be in addition to any other rights or any remedies to which Lender may be eniitled on account 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 had.
<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 �ti�tle of record to the Prooeriy in fee sirnple,
<br /> fitee and clear o� all fiens and encumbrances other than those set iorth in tfie Real Property description or in the
<br /> Existi.ng indebtedness section below or in any titie insurance policy,title report, or final titie opinion.issued in favor
<br /> of, and accepted by, Lender in connecCion with this Deed of Trust, and (b) Trustor has the #ull �ight, power, and
<br /> authority to execute and deliver this Deed of Trust to Lender�.
<br /> Defense of Title. Subject to the exception i�n the paragraph above, Trustor warrants and will forever defend the
<br /> title to the Property against the lawful daims of all persons. In the event any action or proceedi.ng is commenced
<br /> that questions Trustor's title or tne interest of Trustee or Lender under this Deed of Trust,Trustor shall defend the
<br /> action at Trustor's expense. Trustor may be tne nominal party in such proceeding, but Lender shall be entitled to
<br /> participate in the proceeding and to be represented in tne proceed�ing 6y counsei of Lender's own choice, and
<br /> Trustor will deliver, or cause to be delivered, io Lender such instruments as Lender may request from time to tim�.e
<br /> to permiY such participation.
<br /> Compliance With Laws_ Trustor warrants that the Property and Trustor's use of the Property com,plies with all
<br /> existing applicable laws, ordinances, and regulations of governmental authorities.
<br /> Surveval of Promises. All promises, agree:ments, and statements Trustor has made in this Deed of Trust snall
<br /> survive the execution and delivery of this Deed of Trust, shall be continuing in nature anci shall remain in Tull force
<br /> and effect untii such time as Trustor's Indebteciness is paid in full.
<br /> EXISTING INDEBTEDNESS. The following provisions concerning Existing Indebtedness are a part of this Deed ofi Trust:
<br /> Existing Lien. The lien ofi this Deed of Trust securing the Indebtedness may be secondary and inferior to an
<br /> existing lien.. Trustor expressly covenants and agrees to pay, or see to the payment of, the Existing Indebtedness
<br /> and to prevent any default on such indebtedness, any default under the instruments evidencing such indebtedness,
<br /> or any default under any secu�ity documents fo�r such indebtedness.
<br /> No Modification. Trustor shall not enter into any agreement with the holder of any mortgage, deed of trust, or
<br /> oYher security agreemenY which has priority over this Deed of Trust by which that agreement is modified,
<br /> amended, e�ctended, 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 the prior written consent of Lender.
<br /> COlVDEMNATION. The folfowing provisions selating to condemnation proceedings are a part ofi this Deed of Trust:
<br /> Proceedings. lf 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 tne action and obtain the award. Trust[or
<br /> may be the nominal party in such proceeding, but Lender shall be entitled to participate in tne proceeding and to be
<br /> represented in the proceeding by counsel ofi its own choice, and Trustor will deliver or cause to be delivered to
<br /> Lender such instruments and do�cumentation as may be requested by Lender from time to time to permit such
<br /> participation.
<br /> Applecation of Net Proceeds. If all or any part of the Property is condemned by eminent domain proceedings or by
<br /> any proceeding or purcFi.ase in lieu of condemnation, Lender may at its election require that all or any portion of the
<br /> neY proceeds of the award be applied io the tndebtedness or the repair or restoration of the Property. The neY
<br /> proceeds of the award shall mean the award after payment of all reasonable costs, expenses, and a'ttorneys' fees
<br /> incurred by Trustee or Lender in connection tivith the condemnatson.
<br /> IfVIPOSIT101V OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHOFtIT1ES. The following provisi�ons relating
<br /> to governmental taxes,fees and charges are a part of this Deed of Trust:
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