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201208583
<br /> DEED OF TRt�ST
<br /> l.oan 9Vo: 1000473'i (COtltltlued)
<br /> Page 3
<br /> company or companies reasonably a.cceptable to Lender. Trustor, upon request of Lender, wili deliver to Lender
<br /> frorn time to tlme the policies or certificates of insurance in form satisfiactory to Lender, including stipulations that
<br /> coverages will not be cancelled or diminished wi*hout at least ten (10} days prior written notice to Lender. Each
<br /> insurance policy also shali include an endorsement providing that coverage in favor of Lender wili not be impaired
<br /> in any way by any act, omission or default of Trustor or any other person. Should the Real Property be located in
<br /> an area designated by the Director of the Federai Emergency Management Agency as a special flood hazard area,
<br /> Trustor agrees to obtain and maintain Federal Flood Insurance, if available, for the full unpaid principal balance ofi
<br /> the loan and any prior liens on the property securing the loan, up to the maximum policy limits set under the
<br /> National Flood Insurance Program, or as otherwise required by Lender, and.to maintain such insurance for the term
<br /> ot the loan. �
<br /> Appiication of Proceec9s. Trustor shail promptly notify Lender of any ioss or damage ro the Property. Lender may
<br /> make proof of loss if Trustor fails to do so within fifteen ("15) days of tne casualty. Whether or not Lender's
<br /> security is impa�ired, Lender may,.at Lender's election, receive and retain the proceeds of any insurance and apply
<br /> the proceeds to the reduct�on of the indebtedness, payment of any lien affecting the Property, or the restora�Cion
<br /> and repair o�the Property. {f Lender elects to appfy the proceeds to restoration and rapair, Trustor shaii repair or
<br /> repiace the damaged or destroyed improvements in a manner satisfactory to Lender. Lender shall, upon
<br /> satisfactory proofi of such expenditure, pay or reimburse Trustor from the proceeds for the reasona6le cost of
<br /> repair or restoration if Trustor is not in defauit under this Deed of Trust_ Any proceeds which have not been
<br /> dis6ursed within �SO days after their receipt and which Lender has not committed to the eepair or restoration of �
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Tru'st, then to pay accrued
<br /> interest, and the remaincier, if any, shall be applied to the principal balance of the Indebtedness. ff Lender holds
<br /> any proceeds after payment in full of the Indebtedness, such proceeds snall be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> LENDER'S EXPEI�EDITURES. I` Trustor fails (A) to keep the Property free of all taxes, liens, security interests,
<br /> encumbrances, and other claims, (B) to provide any required insurance on the Property, or iC) to malc�repairs to the
<br /> Property then Lender may do so. If any acCion or proceeding is cc�rrimenced that would materially afifect Lender`s
<br /> incerests in the Property, Yhen Lender on Trustor's behalf m�ay, but is not required �o, take any action that Lender
<br /> believes to be appropriate to protect Lender's interests. Ali expenses incurred or paid by Lender for such purposes will
<br /> lhen bear interest at the rate charged under the Note from the date incurred��or paid by Lender to the date of repayment
<br /> by Trustor. All such expenses will become a part of the Indebtedness and, at Lender`s o�tion, will (A) be payable on
<br /> demand; (B) be added to the balance of the Note and be apportioned ampng and 6e payabie with any instaliment
<br /> payments to become due during either {�) the term of any applfcable insurance pnlicy- nr (2) the remaining term of
<br /> the Note; or (C) be treated as a balloon payment which will be due and payable at the N.ote's maturity. The Deed of
<br /> Trust also will secure payment of these amounts. The rights provided for in this paragraph shall �e in addition to any
<br /> other righis or any remedies to� which Lender may be entitled on account of any defiault. Any such action by Lender
<br /> shall not be construed as curing the default so as to bar Lender from any remedy that it otherwise would have had.
<br /> WARRANTV; DEFEIVSE OF TITLE. The following provisions relating to ownershPp of the Property are a part of this Deed
<br /> of Trust:
<br /> Title� Trustor warrants thai: (aD Trustor hoids good and maricetable title of record to Yhe Property in fee simple,
<br /> free and dear of all iiens and encum6rances other tha� those set forth in the l3eal Property description or in any
<br /> title insurance palicy, title report, or final title opinion issued in favor of, and accepted by, Lencier in connection
<br /> with this t7eed of Trust, and (b) Trustor has the full right, power, and authority to execute and deliver Yhi�s Deed of
<br /> Trust to Lender.
<br /> Defense of TiUe. Subject to the exception in the paragraph above, Trustor warrants and wili forever defend the
<br /> title to the Property against the lawful claims of atl persons. In the event any action or proceeding is commenced
<br /> that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust, Trustor shall defend tne
<br /> acrion 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 Yo be represented in the proceeding by counsel of Lende�s own choice, a�nd
<br /> Trustor wiil deliver, or cause to be delivered, to Lender such instruments as Lender may request from time m time
<br /> to permit sucfi participation.
<br /> Compliance Weth Laws. Trustor warrants ihat th�e Property and Trustor's use of the Property complies with all
<br /> existing applicable 9aws, ordinances, and regularions of governmentai authorities.
<br /> Survival of Promises. AIt promises, agreements, and siatements Trustor has made in this Deed of Trust shall
<br /> survive the execution and delivery of this Deed of Trust,shall be continuing in nature and s[nall remain in full force
<br /> and effect until such time as Borrower's Indebtedness is paid in full.
<br /> CONDEMNATION._ The following provisions rela2ing to condemnation proceedings are a part of this �eed of Trust:
<br /> Proceedings. If any proceeding in condemnation is filed, Trustor shall promptly notify �ender in writing, and
<br /> Trustor shall promptly take such steps as may be necessary to defend.the action and ohlain 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 choice, and Trustor will deliver or cause to be delivered to
<br /> Lender such instruments and documentation as may be requested by Lender from time to iime to permiY such.
<br /> participation.
<br /> Application of Net Proceeds_ !f a41 or any part ofi the Property fs condemned by eminent dornain proceed�ings or 6y
<br /> any proceeding or purcnase in lieu ofi condemnation, Le:nder may ai i�ts election require that all or any portior �{the
<br /> net proceeds of the award be app�iecf to the lndebtedness or the repai-r or restoration of the Property. Tfie net
<br /> proceeds of tne award shall mean the award after payment of all reasonable costs, expenses, and attorneys` Fees
<br /> incurred by Trustee or Lender in connection with the condemnation.
<br /> IMPOSITION OF TAXES, FEES AND GHARGES 6Y GOVERNMENTAL AUTHORITIES. The following provisions relating
<br /> to governmental taxes, fees and charges are a part of this Deed of Trust: �-
<br /> Current Taxes, Fees and Charges_ Upon request by Lender, Trustor sfialf execute such documents in addition to
<br /> this Deed of Trust and take whatever other action is requested by Lender to perfect and continue Lender's lien on
<br /> the Rea! Property. Trustor� shall reimburse Lender for alI taxes, as described below, together with all expenses
<br /> incurred in recording, perfeeting or continuing this Deed of Trust, including without limitation all taxes, fees,
<br /> documentary stamps, ancl other charges for recording or registering this Deed of Trust_.
<br /> 3axes_ The following shall constitute taxes to which xhis seciinn applies: (1) a specifi��c tax upon ti�is type of
<br /> Deed of Trust or upon all or any part of the lndebtedness ser.ured by Chis Deed of Trust; (2D a specific rax on
<br /> Borrower wt�ict� Borrower is authorized or required io deduct from payments on the Indebtedness secured 6y Lhis
<br /> type of Deed of Trust; (3) a tax on this type of Deed of Trust chargeable against the Lendee or the fiolder oi'the
<br /> Note; and (4) a specific tax on all or any portion of Yhe Indebiedness or on payments ofi principai and interest
<br /> made by Eorrower.
<br /> Su6sequent Taxes_ Ifi any tax to whi�ch this section applies is enacted subsequenL to the date ofi this Deed of
<br /> Trust, this event sha❑ have the same effect as an Event of Defiault,. and Lender m:ay exercise any or all of its
<br /> available remedies for an EveM of Defiault as provided below unless Trustor either (1) pays the tax before it
<br /> becomes deiinquent, or (2) contests the tax as provided ab<�ve i:n the Taxes and Liens section and deposits with
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