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��14�1199
<br /> �s
<br /> �d} B�rrower, at its �vUn exp�ns�, and, so �ong as the Loan is insured ar
<br /> hefd by H U D, in accardance with the Reg u lat�ry Ag reem�nt, may contest by
<br /> appropriate legal pr�ceedings, conducted diligently and in gaod faith, the am�unt or
<br /> validity �f any �m�os�tion other than insurance premiums, if �1} Barrnwer notif�es L�nder
<br /> of the commencement or expected commencement of such pr��e�dings, �2} the
<br /> Mortgaged Property is n�t in dang�r vf b�in� sold or forfeited, �3} Borrower d�posits
<br /> with Lender res�rves suff�cient to pay the cantested [mpasition, if request�d by L�nder,
<br /> and �4} BorrovUer furnishes whatever additional security �s r�quired in the �roce�dings
<br /> ar is reasonably requested by L�nd�r, which may include the deiivery to Lender �f the
<br /> reserves establish�d �y B�rrower to pay the contested Imposition.
<br /> ��} Borr�wer shail promptiy deli�er to L�nder a co�y of all Notices �f, and
<br /> in�o�ces f�r, �mpositions, and if Borr�wer pays any imp�s�tE�n directly, Borrower shall
<br /> pr�mpt�y furnish to Lender rece��ts ev�dencing such paym�nts.
<br /> 'I?. LIENS; EN�UIVIBRANCES. �a} Borrow�r shai� not permit the grant,
<br /> cr�ation or �xtstence of any m�rtgage, �eed of trust, deed ta secure de�t, secur�ty
<br /> int�rest or oth�r li�n �r encumbrance �"Lien"} Qn the Mortgaged Prop�rty ��ther than the
<br /> I��n of this Secur�ty Instrument, any tax liens vUhich are impos�� bef�re paym�nt is du�,
<br /> �r any inferior ��ens which are apprav�d by H U D and Lender}, whether�oluntary,
<br /> in��luntary or �y operation of law, and whether or not such Lien has priority o�er the
<br /> li�n of this SeGurity lnstrum�nt. �b} Bvrr�w�r shall not repay any HUa-appraved �nferi�r
<br /> Lien from proc�e�s �f the Loan other than fr�m Sur�lus Cash or R�s�dua� Recei�ts �as
<br /> b�th terms are defined in the Regu�at�ry Agreement}, exc�pt in the cas� of an inferior
<br /> Li�n created in an �p�rating l�ss laan insured pursuant to Section 2�3�d} of the Act or a
<br /> suppl�m�nt loan insured pursuant to Sect��r� 241 of the Act.
<br /> 'I S. PRESERVATi�N, MANA�EMENT AND MA�NTENAN�E �F
<br /> Ni�RTGACED PR�PERTY. Borrow�r �a} shall not commit Vllaste, �b} shall not
<br /> abandon the Martgaged Pr�perty, �c} shaii restore �r repair pr�mptly, in a goad and
<br /> workman�ike manner, any damaged part of th� Mortgag�d Property t� th� equi�alent �f
<br /> +ts ariginal c�ndition, or such ather condition as L�nder may appro�e in writin�, whether
<br /> or nat li�igation or insuranc� proceeds or condemnatf�n awards are a�ailabie to ca�er
<br /> any Gosts �f such restoration or repair, �d} sha�� keep the Mortgaged Pr�perty in d�cent,
<br /> safe, and sanitary conditian and g��d r�pair, in�luding the replacem�nt of Persona�ty
<br /> and Fixtures with items of equal or better functian and �uafity, aii in ac�ardance with
<br /> Program �b[�gations, �e} shall provide far qualified management of the Martgaged
<br /> Pro�er�y by a r�sid�ntial ren�al �roperty manager, �f} shaii g��e Notice to Lender af and,
<br /> unless oth�rwise dir�cted in writing �y L�nder, shall app�ar in and d�f�nd, any a�tian or
<br /> �r�ceeding that could impair the Mortgag�d Property, Lender's security or L�nd�r's
<br /> rights under this Se�ur�ty �n�trument, �g} sha!! not �and sha�l not permit any tenant or
<br /> other p�rson t�} remo��, d�molish �r alt�r the M�rtgage� Property or any part of the
<br /> Mortgaged Property except that Borrower may dispose �f obsofet� or deteri�rated
<br /> __.�
<br /> Previaus editions are obsofete HU❑MF Security Instrument HUD-94Q4DM(Re�. 0411�}
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