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<br /> If under paragraph 1S hereof the Property is sold or t,he Yroperty is othenvise acquired by Lender, Lender
<br /> shall apply, no later than immediately prior to tlie salc of the Property or its acquisition by Lender, any Funds
<br /> held by Lender at the time of application as a credit against thc sums secured by this VIottgage.
<br /> 3. Application oi Pay:ueats. Unless appticublc Inw provides othenvisq .tll payments received by Lender
<br /> under theNote and paragrapiis 1 and 2 hereof shull bc applied by Lender first in payment of amounts payable to
<br /> Lender by Borrower under psragrapir 2 liereof, then to intereat pxysb]e on tlic Note and on Future Advances, if
<br /> sny, and then to the principai of the Note and to the principal of Future Advances, if uny.
<br /> 4- Char50s: Lieas: Borrower shull puy ssll taxes, assessments and other charges, fines and impositions attrib- r "
<br /> f utable to the Property which may attain a priority over this Mortgage, and ground rents, if sny, at Lender's
<br /> 9 t optioa in the manner Provided under paragraph 2 hereof or by Bonower making payment, when due, directly to
<br /> � the payee thereof. Borrower shall promptly furnisl� to Lender ull notices of amounts due under this paragraph, `
<br /> a � and, in the event Borrower shall make payment directly, Borrower shnll promptly furnish to Lender receipts evi-
<br /> � dencing sucl� payments. Borrower shall promptIy discharge nny lien which has priority over this Mortgage ; pro-
<br /> F vided, that Borrower ahall not be required to discharge any sucl� lien so long as Borrower shnll agree in writing to
<br /> r ''� the payment of the obligation secured by sucli lien in a munner acceptable to Lender, or shuli in good faith contest
<br /> �i � such lien by, or defend enforcement of such lien in, legal proceedingy wl�ich operate to prevent the en£orcement of �
<br /> the lien or forfeiture of the Property or any ��art tliereof.
<br /> ; � 5. Hazard Iasur�ce. Borrower shall keep the improvements now existing or hereafter erected on the Prop-
<br /> ^ erty insured sgainst loss by fire, hazards included �vithin the term "extended coverage", nnd such other hazards as
<br /> Lender may require and in such amounts and for sucli periodc as Lender may require ; provided, that Lender ahsll
<br /> not require that the amount of such coverage exceed that smount of coverage required to pay the sums aecured 'by
<br /> this Mortgage.
<br /> ; The insurance carrier providing the insurance shat] be chosen by Borrower subject to spproval by Lender, ;
<br /> � provided, that such approval shall not be unreasonobly �vithheld. All premiums on insurance policies shall be paid
<br /> ? at Lender's option in the manner provided under paragrapl� 2 liereof or by Borrower making payment, when due,
<br /> � directly W the insurance carrier.
<br /> i� In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect
<br /> its interest, may procnre insurance on the improvements, pay the premiums and such sum shall become
<br /> ? immediately due and payable with interest at the rate set forth in said note until paid and shall be
<br /> � ± secured by this Mortgage. Failure by Borrower to comply may, at option of Lender, constitute a default
<br /> � under the terms of this Mortgage.
<br /> i All insurance policies and renewAls tLereof shalt be in fonn ncceptable to Lender and shall include a standard
<br /> mortgage clsuse in favor of and in form acceptable to Lender. Lender shall have the right to l�old the policies and '
<br /> ii . renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and sll receipts of paid pre- 4
<br /> miums_ In the event of loss, Sorrower shall give prompt notice to the insurance currier and Lender, snd Lender "
<br /> E may make proof of ]oss if not made promptly by Borrower.
<br /> Ualess Lender and Borrower othenvise agree in writing, insurunce �>roceeds shalt be appiied to restoration or
<br /> � repair of the Property damaged, provided such restorution or repair is economicully feasible and the security of
<br /> , j this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security �
<br /> ; of this Mortgsge would be impaired, the insurance proceeds shall be applied to the sutns secured by this Mortgage, k .
<br /> 1 with the excess, if any, paid to Borrower. It the Yroperty is abandoned by Borrower or if Borrower fails to respond
<br /> '� to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settle a claim for x
<br /> �` insurance benefits, Lender is suthorized to coltect nnd- apply thc insurance proceeds at Lender's option either to
<br /> restoration or repair of the Property or to the sums secured by tl�is \Iortgage.
<br /> Unless Lender and Borrower otherwise ugree in �vriting, any sucli upplication of proceeds to principa! shall y
<br /> . � notextend or postpone the due dute of the �nonthly installments referred to in paragraphs 1 and 2 hereof or change '
<br /> the amount of such installments.
<br /> If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in
<br /> r and to any insurance policies and in and to the proceeds tl�ereof (to tl�e extent of the �ums secured by this Mort-
<br /> jt gage imxnediately prior to such sale or acquisition ) result.ing from damnge to the Property prior to the sale or
<br /> acquisition shall pass to Lender.
<br /> 1 6. Preservatioa �d Mmatenrmee of Property; Leaseholds; Coadominiums, gorrower shall keep the Prop-
<br /> ; i erty in good repair and sha11 not permit or commit waste, impairment, or deterioration of the Property and shal!
<br /> �� comply with the provisions of any lease, if this \Iortgage is on a leasehold. If this Mortgag¢ is on a condominiam
<br /> unit, Borrower shall perform all of Borrower's obligations under the declarAtion of condominium or master deed,
<br /> I . the by-lawa snd regulations of the condominium project and constituent documents.
<br /> 1 7. Proteetion of Leader's Security. If Borrower fails to perform the covenants and agreements contained in
<br /> � 'this l4ortgage, or if any action or proceeding is commenced tivhich rnaterially affects Lender's interest in the Prop-
<br /> erty, including, but not ]imited to, eminent domain , insolvency, code enforcement, or arrangements or proceed-
<br /> ings involving a bnnkrupt or decedent, then Lender at 7,ender's option, upon notice to Borrower, may make such
<br /> j ' appearances, disburse such sums and take such action as is necessary to protect Lender's intereat, including, but
<br />�f! • not limited to, disbursement of reasonable attorney s fees and entry upon the Property to make repairs, Any
<br /> amounts diebursed by Lender pursuant to this paragrapl� 7, witl� interest thereon, shall become udditional indebt-
<br /> edness of Borrower secured by this �iortgage. Unless Borrower and Lender agree to other terms of payment, such
<br /> E! amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br />� est from the date of disbursement at the rate stated in the Note unless pnyment of interest at such rate would be
<br /> f contrary to appl;cable law, in which event such amounts shall bear interest st the highest rate permisaible by
<br /> M1 he elun ere �aW� NOthing contained ia this paragraph 7 shnll re�uire Lender to incur any expense or do any set
<br /> F 8- Iaspection, Lender may make or cause to be inadc reasonablc entries upon and inspections of the Prop-
<br /> erty, provided that Lender sirall give Borrower noticc �u•ior to �iny eueh inspection specifying reasonable cau�e
<br /> therefor relsted to Lender's interest in the Property.
<br /> 9. CondemaeGoa. The proceeds of any amarct or claim for damages, direct ar consequential, in conneetion
<br /> with sny,condemnation or other taking of the Property, or part . tl�ereof, or for com•eyance in Iieu of condemna-
<br /> tion, sre hereby;sseigned and shall be paid to Lender.
<br /> In the event of a total taking of the Property, the proceeds sha11 be applied to the sums secured by this Mort-
<br /> gage, svith the excess, if any; paid to Borro�ver. In tl�e event of a partial taking of the Property, unless Borrower
<br />�' and I,ender otherwise agree in writing, there shall be applied to the sums secured by this Dlortgage such pro or-
<br /> ' tion of the proceeds es qs eyuaj to that proportion which tl�e amount of the sums secured b this \Zo p �
<br /> diately priorto the date of:taking bears to tl�e fair msrket value of tLe Property immediatel �8ge �me-
<br /> ��n8r �b ,"'the �s3ance`of the proceeds paid to Borrower. Y prior to the date of
<br /> � ���'topert}r'is-abandoned by Borrower or if after notice by Lender to Borrower that the condemnor offers
<br /> �Oyma�Ca su a�v`ar`d or settle s cia'un for dsmages;'Borrower fsils to respond to Lender within 30 days of the dste
<br /> of}s4ch aoEic�, 7yeader. is suthorited to 'collect and ap�ily'the prdceeds st Lender� option either to restoration or
<br /> repeu� of the Property or to the aums seCnred gy tl�is Jlort�qage.
<br /> Un�eas Lender and .Borrower,:othenvise: agree in ryriting, any such application of pmceeds to principa! sha11
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