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2013003
<br />Property or security hereof or the rights or powers of Beneficiary or Trustee; and Trustor shall
<br />pay all costs and expenses, including cost of evidence of title and attorneys' fees, in any such
<br />action or proceeding in which Beneficiary or Trustee may appear.
<br />Section 1.13. Actions by Beneficiary and /or Trustee to Preserve Mortgaged
<br />Property. Should Trustor fail to make any payment or to do any act as and in the manner
<br />provided in this Deed of Trust, Beneficiary, in its sole discretion, without obligation to do so and
<br />without notice to or demand upon Trustor and without releasing Trustor from any Secured
<br />Obligation, may make or do the same in such manner and to such extent as Beneficiary may
<br />deem necessary to protect the security hereof. In connection therewith (without limiting its
<br />general powers), Beneficiary shall have and is hereby given the right, but not the obligation: (i)
<br />to enter upon and take possession of the Mortgaged Property; (ii) to direct Trustor to terminate
<br />any management agent and to employ such management agent as Beneficiary may determine its
<br />sole discretion; (iii) to make additions, alterations, repairs and improvements to the Mortgaged
<br />Property which it may consider necessary or proper to keep the Mortgaged Property in good
<br />condition and repair; (iv) to appear and participate in any action or proceeding affecting or which
<br />may affect the security hereof or the rights or powers of Beneficiary or Trustee; (v) to pay,
<br />purchase, contest or compromise any encumbrance, claim, charge, lien or debt which in the
<br />judgment of Beneficiary may affect or appears to affect the security of this Deed of Trust or be
<br />prior or superior hereto; and (vi) in exercising such powers, to pay necessary expenses, including
<br />employment of counsel or other necessary or desirable consultants. Trustor shall immediately
<br />upon demand therefor by Beneficiary pay all costs and expenses incurred by Beneficiary in
<br />connection with the exercise by Beneficiary of the foregoing rights, including, without
<br />limitation, costs of evidence of title, court costs, appraisals, surveys and attorneys' fees.
<br />Section 1.14. Survival of Warranties. Trustor shall fully and faithfully satisfy and
<br />perform the Secured Obligations. All representations, warranties and covenants of Trustor
<br />contained herein shall remain continuing obligations, warranties and representations of Trustor
<br />during any time when any portion of the Secured Obligations remain outstanding.
<br />Section 1.15. Eminent Domain. Should the Mortgaged Property, or any part thereof or
<br />interest therein, be taken or damaged by reason of any public improvement or condemnation
<br />proceeding, or in any other manner ( "Condemnation "), or should Trustor receive any notice or
<br />other information regarding such proceeding, Trustor shall give prompt written notice thereof to
<br />Beneficiary. Beneficiary may participate in any such Condemnation proceedings, and Trustor
<br />shall from time to time deliver to Beneficiary all instruments requested by Beneficiary to permit
<br />such participation. Trustor shall, at its expense, diligently prosecute any such proceedings and
<br />shall consult with Beneficiary and its attorneys and experts, and cooperate with them in the
<br />carrying on or defense of any such proceedings. All proceeds of Condemnation awards or
<br />proceeds of sale in lieu of Condemnation with respect to the Mortgaged Property and all
<br />judgments, decrees and awards for injury or damage to the Mortgaged Property or any part
<br />thereof or interest therein shall be paid to Beneficiary and shall be applied first to all costs and
<br />expenses incurred by Beneficiary in obtaining the proceeds. Provided no Event of Default has
<br />occurred hereunder and no event has occurred which, with the passage of time or the giving of
<br />notice, or both, would constitute an Event of Default, the balance of the proceeds, if any, shall be
<br />applied at the option of Beneficiary (i) toward altering, restoring or rebuilding the Mortgaged
<br />Property, or such portion thereof that may have been altered, damaged or destroyed, or (ii)
<br />against sums secured hereby in such order as Beneficiary may in its absolute discretion elect. If
<br />Beneficiary elects not to apply all of the Condemnation proceeds for the restoration or repair of
<br />the Mortgaged Property, Trustor shall not be required to repair or restore that portion of the
<br />Mortgaged Property affected by Beneficiary's election and the failure to do so shall not constitute
<br />a breach by Trustor of its obligation to maintain the Mortgaged Property set forth in Section 1.04
<br />hereof.
<br />Trustor hereby assigns and transfers to Beneficiary, and agrees to execute such further
<br />assignments of, all such proceeds, judgments, decrees and awards as Beneficiary may request.
<br />Beneficiary is hereby authorized, in the name of Trustor, to execute and deliver valid
<br />acquittances for, and to appeal from, any such judgment, decree or award. Beneficiary shall not
<br />be, in any event or circumstance, liable or responsible for failure to collect or exercise diligence
<br />in the collection of any proceeds, judgments, decrees or awards.
<br />Section 1.16. Additional Security. In the event Beneficiary at any time holds
<br />additional security for any of the Secured Obligations, it may enforce the sale thereof or
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