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y �(�O 0 0 (� Q ��L� Application # 0109292201
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<br /> 14. DEFAULT. Trustor will be in default if any parry obligated on the Secured Debt fails to make payment when due. Trustor
<br /> will be in default if a breach occurs under the terms of this Security Instrument or any other document executed for the
<br /> purpose of creating,securing or guarantying the Secured Debt.A good faith belief by Beneficiary that Beneficiary at any time
<br /> is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or the value
<br /> of the Properry is nnpaired shall also constitute an event of default.
<br /> 15. REMEDIES ON DEFAULT. In some instances, federal and state law will require Beneficiary to provide Trustor with notice
<br /> of the right to cure or other notices and may establish time schedules for foreclosure actions. Subject to these limitations, if
<br /> any, Beneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a manner provided by law if
<br /> Trustor is in default.
<br /> At the option of Beneficiary, all or any part of the agreed fees and charges, accrued interest and principal shall become
<br /> immediately due and payable, after giving notice if required by law,upon the occurrence of a default or anytime thereafter.In
<br /> addition, Beneficiary shali be entitled to all the remedies provided by law, the terms of the Secured Debt, this Securiry
<br /> Instrument and any related documents, including without limitation, the power to sell the Property.
<br /> If there is a default, Trustee shall, in addition to any other permitted remedy, at the request of the Beneficiary, advertise and
<br /> sell the Properry as a whole or in separate parcels at public auction to the highest bidder for cash and convey absolute title free
<br /> and clear of all right, title and interest of Trustor at such time and place as Trustee designates. Trustee shall give notice of sale i
<br /> including the time, terms and place of sale and a description of the property to be sold as required by the applicable law in
<br /> effect at the time of the proposed sale.
<br /> Upon sale of the property and to the extent not prohibited by law,Trustee shall make and deliver a deed to the Property sold
<br /> which conveys absolute title to the purchaser, and after first paying all fees, charges and costs, shall pay to Beneficiary all
<br /> moneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest thereon, and the
<br /> principal and interest on the Secured Debt,paying the surplus, if any, to Trustor. Beneficiary may purchase the Property. The
<br /> recitals m any deed of conveyance shall be pnma facie evidence of the facts set forth therein.
<br /> All remedies are distinct, cumulative and not exclusive, and the Beneficiary is entitled to all remedies provided at law or
<br /> equity, whether or not expressly set forth. The acceptance by Beneficiary of any sum in payment or partial payment on the
<br /> Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a waiver of
<br /> Beneficiary's right to require complete cure of any existing default. By not exercising any remedy on Trustor's default,
<br /> Beneficiary does not waive Beneficiary's right to later consider the event a default if it contmues or happens again.
<br /> 16. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prohibited
<br /> by law, Trustor agrees to pay all of Beneficiary's expenses if Trustor breaches any covenant in this Security Instrument.
<br /> Trustor will also pay on demand any amount incurred by Beneficiary for insuring, inspecting, preserving or otherwise
<br /> protecting the Property and Beneficiary's security interest.These expenses will bear interest from the date of the payment until
<br /> paid in full at the highest interest rate in effect as provided in the terms of the Secured Debt.Trustor agrees to pay all costs and
<br /> expenses incurred by Beneficiary in collecting, enforcing or protecting Beneficiary's rights and remedies under this Security
<br /> Instrument. This amount may include,but is not limited to,attorneys' fees,court costs,and other legal expenses. This Security
<br /> Instrument shall remain in effect until released. Trustor agrees to pay for any recordation costs of such release.
<br /> 17. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law means,
<br /> without limitation, the Comprehensive Environmental Response, Compensation and Liabiliry Act (CERCLA, 42 U.S.C.9601
<br /> et seq.), and all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or
<br /> interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2) Hazardous
<br /> Substance means any toJcic, radioactive or hazazdous material,waste,pollutant or contaminant which has characteristics which
<br /> render the substance dangerous or potentially dangerous to the public health, safety, welfare or environment. The term
<br /> includes, without limitation, any substances defined as "hazardous material," "toacic substances," "hazardous waste" or
<br /> "hazardous substance" under any Environmental Law.
<br /> Trustor represents, warrants and agrees that:
<br /> A. Except as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br /> located, stored or released on or in the Property. This restriction does not apply to small quantities of Hazardous
<br /> Substances that are generally recognized to be appropriate for the normal use and maintenance of the Properry.
<br /> B. Except as previously disclosed and aclrnowledged in writing to Beneficiary, Trustor and every tenant have been, are,
<br /> and shall remain in full compliance with any applicable Environmental Law.
<br /> C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substance occurs on,
<br /> under or about the Property or there is a violation of any Environmental Law concerning the Property. In such an
<br /> event, Trustor shall take all necessary remedial action in accordance with any Environmental Law.
<br /> D. Trustor shall immediately notify Beneficiary in writing as soon as Trustor has reason to believe there is any pending or
<br /> threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous Substance
<br /> or the violation of any Environmental Law.
<br /> 18. CONDEMNATION. Trustor will give Beneficiary prompt notice of any pending or threatened action, by private or public
<br /> entities to purchase or take any or all of the Property through condemnation, eminent domain, or any other means. Trustor
<br /> authorizes Beneficiary to intervene in Trustor's name in any of the above described actions or claims. Trustor assigns to
<br /> Beneficiary the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part
<br /> of the Properry. Such proceeds shall be considered payments and will be applied as provided in this Security Instrument. Tlus
<br /> assignment of proceeds is subject to the ter�s of any prior mortgage, deed 9f trust, security agreement or other lien document.
<br /> 19. INSURANCE. Trustor shall keep Property insured against loss by fire, flood, theft and other hazards and risks reasonably
<br /> associated with the Property due to its type and location. This insurance shall be maintained in the amounts and for the periods
<br /> that Beneficiary requires. The insurance carrier providing the insurance shall be chosen by Trustor subject to Beneficiary's
<br /> approval, which shall not be unreasonably withheld. If Trustor fails to maintain the coverage described above, Beneficiary
<br /> may, at Beneficiary's option, obtain coverage to protect Beneficiary's rights in the Properry according to the terms of this
<br /> Security Instrument.
<br /> All insurance policies and renewals shall be acceptable to Beneficiary and shall include a standard "mortgage clause" and,
<br /> where applicable, "loss payee clause." Trustor shall immediately notify Beneficiary of cancellation or termination of the
<br /> insurance. Beneficiary shall have the right to hold the policies and renewals. If Beneficiary requires,Trustor shall immediately
<br /> give to Beneficiary all receipts of paid premiums and renewal notices. Upon loss, Trustor shall give immediate notice to the
<br /> insurance carrier and Beneficiary. Beneficiary may make proof of loss if not made immediately by Trustor.
<br /> � 1994 Bankers Systems,Inc.,St.Cloud,MN(1-80Q397-2341) Form RE-DT-NE 10727/97 ��
<br /> ��C165(NE) (vsos>
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