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201211098
<br /> DEED OF TRUST
<br /> Loan No: 872058923 (Continued) Page 3
<br /> an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area,
<br /> Trustor agrees to obtain and maintain Federal Flood Insurance, if available, for the maximum amount of Trustor's
<br /> credit line and tne full unpaid principal balance of 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 such insu�ance for the term of the loan.
<br /> Application of Proceeds. Trustor sha❑ promptly notiiy Lender of any loss or damage ro the Property, Lender may
<br /> make proof of loss if Trustor fails to do so withirt fif[een ('15) days of the casualty. Whether or not Lender's
<br /> security is impaired, Lender may, at Lender's eleciion, 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 /> satisfactary proof of such expenditure, pay or reimburse Trustor from the proceeds for the reasonable cost of
<br /> repair or resioration if Trustor is not in defiault under this Deed of Trust. Any proceeds which have not been
<br /> disbursed within 7 80 days after their receipt and which Lender has not committed to the repair or restoretion 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 the remainder, if any, shall be applied to the principal balance ofi the Indebtedness. If Lender holds
<br /> any proceeds after payment i�n full of the Indebtedness, such proceeds shall be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> . Compliance with F�cisting Indebtedness_ During�the period in which any Existing fndebtedness described below is
<br /> in effect, compliance wiih the insurance provisions contained in the instrument evidencing such Existing
<br /> IndebYedness shall constitute compliance with the insurance provisions under this Deed of TYusf, to the extent
<br /> compliance with the terms of this Deed of Trust would constitute a duplication of insurance requirement. lf any
<br /> proceeds from tne insurance become payable on loss,the provisions in this Deed of Trust for division of proceeds
<br /> shall apply only to that portion of the proceeds not payable to the holder ofi the Existing Indebtedness,
<br /> LENDER'S EXPENDITURES. If Trustor fails (A) to keep the Property free ofi all taxes, liens, security interests,
<br /> encumbrances, and other claims, (B) to provide any required insuranee on the Property, (C) to make repairs to the
<br /> Property or to comply with 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 aciion that Lender believes to be
<br /> appropriate to protect Lender's interests. All expenses incurred or paid by Lender for such purposes will then bear
<br /> interest ai the rate charged under the Credit Agreement from the 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 /> with 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 /> C�edit Agreement's maturity. The Deed ofi Trust also will 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 wnicn Lender may be entitled 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 parf of this Deed
<br /> of Trust:
<br /> Tetle. Trustor warrants that: (a) Trustor holds good and marketable title of record to the Property in fee simple,
<br /> ftee and clear of aIl 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 opinion issued in favor
<br /> ofi, and accepted by, Lender in connection with ihis Deed of Trust, and (6) Trustor has the fiull right, power, and
<br /> author'rty to execute and deliver this Deed ofi Trust to Lender.
<br /> Defense of Title_ Subject to the exception in the paragraph above, Trustor warrants and will forever defend 2he
<br /> title to the Property against the lawful claims ofi all 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 ofi Trust,.Trustor shall defend the
<br /> action 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 to be represented in the proceeding by counsel of Lender's own choice, and
<br /> T�ustor will deliver, or cause to be delivered, to Lender such instruments as Lender may request from time to time
<br /> to permit such participation.
<br /> Compliance With Laws. Trustor warrants tnat tne Property and Trustor's use of tne Property complies with all
<br /> ' existing applicable laws,ordinances, and regulations of governmental autnorities.
<br /> Survival of Promises. All promises, agreements, and statements Trustor has made in this Deed of Trust shafl
<br /> survive the execution and delivery of this Deed of T�ust, 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 /> EXISTSNG INDEBTEDNESS. The followi.ng 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 an
<br /> existing lien. Trustor expressly covenants and agrees to pay, or see to the paymeM 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 securiiy documents for such indebtedness.
<br /> No Modification_ Trustor shall not enter into any agreemeni with the holder of any mortgage, deed of trust, or
<br /> other security 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 of Lender. Trustor shall neither request nor
<br /> accept any future advances under any such security agreement without the prior written consent of Lender.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Deed of Trust:
<br /> Proceedings. Ifi 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 the action and obtain the award. Trustor
<br /> may be the nominal party in such proceeding, but Lender sfiall be entitled to participate in tne 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 time to permit such
<br /> participation.
<br /> Application of NeS 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 ihe Property. The net
<br /> proceeds of the 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 CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating
<br /> to govemmental taxes, fees and charges are a part of this Deed of Trust:
<br /> Current Ta�ces, Fees and Charges. Upon request by Lender, Trustor snall execute such documents in addition to
<br /> this Deed ofi Trust and take whatever other action is requested by Lender to perfec2 and continue Lender's lien on
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