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201301591
<br /> • DEED OF TRUST
<br /> Loan No: 101261779 (Continued) Page 4
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<br /> make proof of loss if Trustor 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 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 Improvernents in a mariner satisfactory to Lender. Lender shall, upon
<br /> satisfactory proof of such expenditure, pay or reimburse Truetar from the proceeds for the reasonable cost of
<br /> repair or restoration if Trustor is not in default under this Deed of Trust. Any proceeds which have not been
<br /> disbursed 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 the remainder, If any, shall be applied to the principal balance of the Indebtedness. If Lender holds
<br /> any proceeds after payment in full of the Indebtedness, such!proceeds shell be paid to Trustor as Trustor's
<br /> Interests may appear.
<br /> Compliance with Existing Indebtedoeea, 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 Dead of Trust for division of proceeds
<br /> shall apply only to that portion of the proceeds not payable to the'holder of the Existing Indebtedness,
<br /> Trustor's Report on insurance. Upon request of Lender, however.not more than once a year, Trustor shall furnish
<br /> to Lender a report on each existing policy of insurance showing: (1) the name of the Insurer; (2) the risks
<br /> insured; (31 the amount of the policy; (4) the property insured, the then current replacement value of such
<br /> property, end the manner of determining that value; and {51 the explrntlon date of the policy. Tanner shall, upon
<br /> request of Lender, have an independent appraiser satisfactory to Lender determine the cash value replacement cost
<br /> of the Property,
<br /> LENDER'S EXPENDITURES, If any action or proceeding is commenced that would materially Affect Lender's interest in
<br /> the Property or If Trustor tails to comply with any provision of this Deed of Trust or any Related Documents, including
<br /> but not limited to Trustor's failure to comply with any obligation to maintain Existing Indebtedness in good standing as
<br /> required below, or to discharge or pay when due any amounts Trustor is required to discharge or pay under this Deed of
<br /> Trust or any Related Documents, Lender on Trustor's behalf may (but shall not be obligated to) take any action that
<br /> Lander deems appropriate, including but not limited to discharging or paying all taxes, liens, security Interests,
<br /> encumbrances and other claims, at any time levied or placed on the Property and paying all costs for insuring,
<br /> maintaining and preserving the Property. Al! such expenditures incurred or paid by Lender for such purposes will then
<br /> bear Interest at the rate charged under the Note from the data incurred or paid by Lender to the date of repayment by
<br /> Trustor. All such expenses will become a part of the Indebtedness end, at Lender's option, will (A) be payable on
<br /> demand, (B) be added to the balance of the Note and be apportioned among and be payable with any installment
<br /> payments to become due during either (1) the term of any applicable insurance policy; or (2) the remaining term of
<br /> the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's maturity, The Deed of
<br /> Trust also will secure payment of these amounts. Suoh right shall be in addition to all other rights and remedies to
<br /> which Lender may be entitled upon Default,
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<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 /> tree and clear of all liens and encumbrances other than those sat 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 /> of, and accepted by, Lender In connection with this Deed of Trust, and (b) Trustor has the full right, power, and
<br /> authority to execute and deliver this Dead of.Trust to Lender,
<br /> Deems of Tins. Subject to the exception in the paragraph above, Truetor•warranta and will forever defend the
<br /> title to the Property against the lawful claims of all persons. In the event any potion or proceeding is commenced
<br /> that questions Trustor's title or the interest of Trustee or Lender under thee Deed of 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 end to be represented in the proceeding by counsel of Lender's own choice, and
<br /> Truster 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 that the Property and Trustor's use of the'Property complies with all
<br /> existing agpllceble laws, ordinances, and regulations of governme tal authorities,
<br /> Survival of Representations and Warranties. All representations, warranties, and agreements made by Trustor in
<br /> this Deed of Trust shall survive the execution and delivery of thlslDeed of Trust, shall be continuing in nature, and
<br /> shell remain in full force and effect until such time as Borrower's Indebtedness shall be paid in full.
<br /> EXISTING 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 an
<br /> existing lien. Trustor expressly covenenta and agrees to pay, or 'ee to the payment of, the Existing Indebtedness
<br /> and to prevent any default on such indebtedness, any default under the instruments evidencing such Indebtedness,
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