|
DEED OF TRUST 2 012 0 9 31 J
<br />Loan No: 1 0 7 258486 (Gontinued) Page 3
<br />maximum policy limits set under the Netional Flood Insurence Program, or es otherwise required by Lender, and to
<br />maintein such insurance for the term of the toan.
<br />LENDER'S EXPENDITURES. If Trustor fails (A) to keep the Property free of all taxes, Ifens, security interests,
<br />encumbrences, and other claims, (B) to provide eny 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 stending as required below, then
<br />Lender may do so. If any action or proceeding is commenced thet would materially effect Lender's interests in the
<br />Property, then Lender on Trustor's behalf may, but is not required to, take eny ection that Lender believes to be
<br />eppropriate to protect Lender's fnterests. 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 peid by Lender to the dete 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 belance of the Credit Agreement and be epportioned among and be payable
<br />with any installment payments to become due during either (1) the term of any epplicable insurence policy; or (2) the
<br />remeining term of the Credit Agreement; or (C) be treated as a balloon payment which will be due and peyable et the
<br />Credit Agreement's maturity.
<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 end clear of all liens end encum6rances other than those set fortY1 in the Real Property description or in the
<br />Existing Indebtedness sectfon below or in any title insurance policy, title report, or final title opinion issued in favor
<br />of, and eccepted by, Lender in connection with this Deed of Trust, and (b) Trustor has the full right, •power, and
<br />authority to execute end deliver this Deed of Trust to Lender.
<br />Defense of Title. Subjeci to the exception in the paragraph above, Trustor warrants and will forever defend the
<br />title to the Property egeinst the lawful claims of all persons.
<br />EXISTINQ INDEBTEDNESS. The following provisions concerning Existing Indebtedness are a part of this Deed of Trust:
<br />Existing Lien. The lien of this Deed of Trust securing the Indebtedness may be secondary and inferior to en
<br />existing lien. Trustor expressly covenants and agrees to pay, or see to the payment of, the Existing Indebtedness
<br />end to prevent any default on such indebtedness, any defeult under the instruments evidencing such indebtedness,
<br />or any defeult under any security documents for such indebtedness.
<br />EVENTS OF DEFAULT. Trustor will be in default under this Deed of Trust if any of the following happen: (A) Trustor
<br />commits fraud or makes e materiel misrepresentation at any time in connection with the Credit Agreement. This cen
<br />include, for example, a false statement about Borrower's or Trustor's income, assets, Ifabflities, or any other aspects of
<br />Borrower's or Trustor's financial condition. (B) Borrower does not meet the repeyment terms of the Credit Agreement.
<br />(C) Trustor's action or inaction adversely affects the collateral or Lender's rights in the collaterel. This can include, for
<br />example, failure to maintain required insurance, waste or destructive use of the dwelling, feilure to pay taxes, death of
<br />all persons liable on the account, trensfer of title or sale of the dwelling, creation of a senior lien on the dwelflng
<br />without Lender's permission, foreclosure by the holder of another lien, or the use of funds or the dwelling for prohibited
<br />purposes.
<br />RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of any Event of Default under any indebtedness, or
<br />should Borrower or Trustor fail to comply with any of Borrower's or Trustor's obligations under this Deed of Trust,
<br />Trustee or Lender may exercise eny one or more of the following rights and remedies:
<br />Acceleration Upon Default; Additional Remedies. If any Event of Default occurs as per the terms of the Credit
<br />Agreement secured hereby, Lender may declare all Indebtedness secured by this Deed of Trust to be due end
<br />peyeble and the seme shell thereupon become due and peyable without any presentment, demand, protest or
<br />notice of any kind. Thereafter, Lender mey:
<br />- (a) Either in person or by agent witF� or wkhout bringing any action or procaeding, or by e receiver
<br />appointed by a court end without regerd to the adequacy of its security, enter upon and take possession
<br />of the Property, or any part thereof, in fts own name or in the name of Trustee, and do any acts which it
<br />deems necessary or desirable to preserve the velue, marketability or rentability of the Property, or part of
<br />the Property or interest in the Property; increase the income from the Property or protect the security of
<br />the Property; end, with or without taking possession of the Property, sue for or othervvise collect the
<br />rents, issues end profits of the Property, including those past due and unpaid, and apply the seme, less
<br />costs and expenses of operation end collection attorneys' fees, to any indebtedness secured by this Deed
<br />of Trust, all in such order as Lender mey determine. The entering upon and taking possession of the
<br />Property, the collection of such rents, issues and profits, and the applicetion thereof shall not cure or
<br />waive any default or notice of default under this Deed of Trust or invalidate any act done in response to
<br />such default or pursuant to such notice of defeult; and, notwithstanding the continuance in possession of
<br />the Property or the collection, receipt and epplication of rents, issues or profits, Trustee or Lender shall
<br />be entitled to exercise every right provided for in the Credit Agreement or the Related Documents or by
<br />law upon the occurrence of any event of default, including the right to exercise the power of sale;
<br />(b) Commence an action to foreclose this Deed of Trust as e mortgage, appoint a receiver or speciflcally
<br />enforce any of the covenents hereof; and
<br />
|