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201400195
<br /> DEE� OF TRUST
<br /> I.oan No: 87p04480 (Cantinued) Page 3
<br /> Natice of Construction. Trustor shall notify Lender at least fifteen (15) days before any work is commenced, any
<br /> services are furnished, or any materia[s are supp[iec!to the Property, if any mechanic's lien, materialmen's lien, or
<br /> other ]ien could be asserted on account of the work, services, or materials. 7rustor wi][ upon request of Lander
<br /> furnish to Lender advance assurances satisfactory to lender that Trustor can and will pay the cast of such
<br /> improvemertts.
<br /> PROPERTY AAMAGE INSIiRANCE. T'he follawing provisions relating to insuring the Property are a part of this Deed of
<br /> Trust.
<br /> Maintenance of lnsrarance. Trustor shali procure and rrtaintain po[icies ofi fire insurance w9th standard extended
<br /> coverage endorsements on a replacement basis for ths full insurable value covering al] Improvements on the Real
<br /> Property in an amount sufficient to avoid application of any coinsurance clause, and with a standard mortgagee
<br /> clause in fa�or of Lender. Trustor shal[ also procure and maintain comprehensive general liability insurance in such
<br /> coverage amounts as Lender may request with Trustee and Lender being named as additional insureds in svch
<br /> liability insurance po�icies. Additiona][y, Trustor shall maintain such ather insurance, including but not limited Yo
<br /> hazard, business iriterruptian, and boifer insurance, as Lender may reasonab[y require. Policies sha[I be written in
<br /> #orm, amounts, coverages and basis reasonahly acceptab€e to LeRder and issued by a company or companies
<br /> reasanably acceptable to Lender. Trustor, upon request of Lender, will deliver ta Lender fram time to time the
<br /> policies or certificaies of insurance in form satisfactory to Lender, including stipulations that coverages wifl not be
<br /> canceflec€ or diminished without at leasi ten {1p) days prior written notice to Lender. Each insurance policy also
<br /> s[�a11 include an endorsement providing that coverage in fa�or of Lender wil[ not be impaired in any way by any act,
<br /> omission or default of Trustor or any other person. Should the ReaE Property be located in an area designated by
<br /> the �irector of The Federal Emergency Managerr�ent Agency as a specia[flood f�azard area,7rustor agrees to obtain
<br /> and maintain Federal F€ood lnsurance, if ava'slable, for the fu�l unpaid principal balance of the loan and any prior
<br /> liens on The property securing the loan, up to the maximum policy ]imits set under the �[a�iona] F]ood lnsurance
<br /> Program, or as otherwise required by Lsnder, end to maintain such insurance for the term of the loan.
<br /> Application of Proceeds. Trustor sha[I promptly notify Le�der af any loss or damage to Ehe Property. Lender may
<br /> make proaf of lass if Trustor fails Eo tio so within fifteen (151 days of the casua]ty. Whether or not Lender's
<br /> security is impaired, Lender may, at Lender's slection, recei�e anc3 retain the proceeds of any insurance and app[y
<br /> the proceeds ta the reduction of the Indebtedness, payment of any lien affecting the Property, or the restoration
<br /> and repair of the Property. [f Lender elects to app3y#he proceeds Yo restoration and repair, Trustor sha[I repair ar
<br /> reAlace the damaged or destrayed lmprovements in a manner satisfactory to Lender. Lender shall, upon
<br /> satisfactary proof of sucE� expenditure, pay or reimburse Trustor from the proceeds for the reasonabEe cost of
<br /> repair or restora#ion if Trustor is not in defaul't under this Deed of Trust. Any proceeds which have not been
<br /> disbursed within 180 days after their receip# and which Lender has no# committed ta the repair or restoration of
<br /> the Property sha[I be used firsi to pay any amount owing ta Lender under this Deed of�rust, then to pay accrued
<br /> interest, and the rema'snder, if any, shal] he applied to the principaf balance of the Incfebtedness. If Lender holds
<br /> any proceeds a�ter payment in fu[I of the Indebiedness, such proceeds sha][ be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> Trustor's Report on Insurance. llpon request af Lender, however not more than orce a year, Trustor sha][ furnish
<br /> to Lender a report on each existing policy of insurance showing: {1} the name of the insurer; f21 the risks
<br /> insured; i3} the amount of the poEicy; (4} the property insured, the then eurrent repiacement �alue af such
<br /> properry, and the mar�ner of determining that vaiue; and {5} the expiration date of the policy. 7rustor shall, upon
<br /> request of L.ender, Fave an independent appraiser satisfactory to Lender determine the cash value replacement cost
<br /> of the Property.
<br /> LENDER'S EXPENDITURES. If any aetion or proceeding is commenced that would materially affect Lender's interest in
<br /> the Praperty or if Trustor fails to comply with any provision of this Deed of Trust or any Refated Documents, including
<br /> but not lirreitsd to Trustor's failure to discharge or pay when due any arr�ounts Trustor is required to discharge or pay
<br /> under this Deed of Trust or any Related �ocuments, Lender on Trustor's beha[f may {but shal[ not be obligated to} take
<br /> any action that Lender deems appropriate, including but not ]imited to discharging or paying a[I taxes, ]isns, security
<br /> ir�terests, encumbrances and other claims, at any time le�ied or p[aced on the Property and paying a[I costs fior insuring,
<br /> maintaining and preserving the �roperry. All such expenditures incurred or paid by Lender for such purposes wi[I then
<br /> bear interest at the rate charged under the Nate from the date incurred or paid by Lender to the date of repayment by
<br /> Trustor. A][ such expsnses will become a part of the Indebtedness and, at Lender's option, wifl fA] be payab[e on
<br /> demand; (B} be addad to the balance of Yhe Note and be apportioned among and be payable with a�y installment
<br /> payments to beeome due during either {1) the term of any applicab]e insurance policy; or {2} the remaining Yerm of
<br /> the Nate; or (C) be treated as a baEloon payment which will be due and payable at the Note's maturity. The Deed of
<br /> Trust also wilE secure payment of these amounts. Such right shall be in addition to all other r9ghts and remedies to
<br /> which Lender may be entitled upon �sfault.
<br /> WARRANTY; DEFENSE OF TETLE. The following provisions re[ating to ownership of Yhe Properry are a part of this �eed
<br /> of Trust:
<br /> Sitle. Trustor warrants that: (a1 Trvstor holds good and marketable Yitle of record to the Prpperty in fee simple,
<br /> free and clear of aEl ]iens and encum6rances other than those set forth in the Real Property descriptian or in any
<br /> title insurance po[icy, titfe report, ar final title opinion issued in favor of, and accepted by, Lender in connection
<br /> with this Deed of Trust, and (b] Trustor has the full right, power, and a�thority to execute and deliver this Deed af
<br /> Trust to Lender.
<br /> Defense of Title. 5u6ject to the exception in the paragraph above, Trustor warrants and will farever defend tf�e
<br /> title to the Property against the lawful claims of 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#his Deed of Trust, Trus#or sha][ defend t[ie
<br /> action at Trus'�or"s expense. Trustor may be the nomina[ party in such proceeding, b�t Lender shall be entitled to
<br /> participate in the proceeding and to be represented in the proceeding 6y counsel of E.ender's own choice, and
<br /> Trustor wil[ deliver, or cause to be delivered, to Lender such instruments as Lender may request from time to time
<br /> to permit such participatian.
<br /> Compiiance With Laws. 7rustor warrants that the Property and Trustor`s use of the Property complies with a][
<br /> existing applicable faws,ordinances, and regulations of governmental authorities.
<br /> 5urviva[ of Representatians and Warran#ies. All representations, warranties, and agreements made 6y Trustor in
<br /> this Deed of 7rust shall sttrvive the execu#ion and delivery af this Deed of Trust, shafl be cantinuing in naFure, and
<br /> sha11 remain in full force and effect until such time as gorrower's Indebtedness shall be paid in f�l�.
<br /> CONDEMl1EATIQl1E. The following provisions relating to condemnation proceedings are a part of this �eed of Trust:
<br /> Proceedings. If any proceeding in condemnation is filed, Trustor sfiall promptly no#ify Lender in writing, and
<br /> Trustor shall promptly take such steps as may 6e necessary to defend the action and obtain #he award. Trustor
<br /> may be the nomina[ party in suc[� proceeding, but�ender shall be entitled to participate in the proceeding and to he
<br /> represented in the proceeding by counsel of its own choice, and Trustor will deliver ar cause to be delivered to
<br /> iender such instruments and documentation as may 6e requested by Lender from time to time #o permit such
<br /> participation.
<br /> Application of Net Praceeds. If al! or any part of the Property is condemned by eminent domain proceedings or by
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