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��15�3733
<br /> vEE�v �F T�usT
<br /> �Continued� Pag� 3
<br /> ha�ardr �L1511'leSS �nterruptivn, and t��il�r insuran�e, as Lender may reasonably require. Policies shall he written in
<br /> form, amvun�s, cv��rages and hasis reasvnably a��eptable to Lender and issued by a c�mpany �r companies
<br /> reasonably a��eptahle to Lend�r. Trustor, upon r�quesfi of L�nder, will de�i�er �❑ Lender from time �o �ime the
<br /> palicies ❑r certifiicates �f �nsuranc� in fvrm satisfa�tory to L�nder, including stipu[ati�ns �hat co�erage� w�ll nvt be
<br /> �ance[fed ar diminished wi�hout at least thirty �3�� days prior written not�ce �Q Lender. Each insurance policy a[so
<br /> shal[ include an endorsement pra�iding that ca�erage in fa�or❑f Lender will nat he impa�red in any ►rvay by any ac�,
<br /> omission or defaul� af Trustor or any ather persvn. 5hould th� Rea[ Prop�rty be lvcated in an area designa�ed by
<br /> the Administrator vf�he Federal Emer�ency Management Agency as a special �laod ha�ard area, Trus�or agre�s to
<br /> o��ain and maintain Federal Fl�vd lnsuran�e, if a�ailable, �or the �ull unpaid pr�ncipa[ balan�e ofi the I�an and any
<br /> prior li�ns on the proper�y securing the ioan, up to the maximum palicy limits set under �he Na�ivnal Fl�ad
<br /> Insurance Program, or as atherwise required by Lender, and to main�ain such insurance far the term o�the �oan.
<br /> App��cativn vf ProGeeds. Trustvr shall prvmpfily natify Lender of any i�ss ❑r damage �a the Prop�rty. Lend�r rnay
<br /> make proof of loss if Trus�or fails �o do so within fifteen ��5y days o� the casualty. Whether ar nat Lender's
<br /> s�cur�ty is impaired, Lender may, a� Lender"s election, rec�i�e and retain the prv�eeds of any insuranc� and app�y
<br /> the proceeds �tv the reduc�ivn of the indebtedn�ss, paymen� vf any lien affe�ting the Praperty, ar th� restorativn
<br /> and repair vf th� Property. Ifi Lender ele�ts ta apply �he prviceeds to restaration and repair, Trustor shalf repair or
<br /> replace the damaged or destroyed Impra�ements in a manner satis�actory to Lender. Lender shall, upon
<br /> sat�sfa�tory proaf �f such expenditure, pay or reimhurs� Trus�vr fr�m th� praceeds far �he reasonabi� Gost ❑f
<br /> repair ar restoration if Trustor �s not in defiault under this Deed vf Trust. Any proceeds wh�ch ha�e n�t been
<br /> disbursed within �8� days after their reGeipt and which Lender has not committed t❑ the r�pair ar rest�rati�n ❑�
<br /> �he Prop�rty shall be used �irst to pay any amount ❑wing to Lender under this deed of Trust, �hen ta pay accrued
<br /> interest, and the remainder, if any, shall be applied to �th� principaf balance �f the Inde�tedness. If L�nd�r ho�ds
<br /> any proGeeds after payment in full of the Inde��edness, su�h pra�e�ds shali be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> Trustor's Repart fln Insurance. Upon request of Lender, hovue�er nat more than once a year, Trustor shal! furnish
<br /> �a Lender a repvrt vn each existing policy of insuranc� showing. �1 f the name of the insurer; {2f the r�sks
<br /> insured; �3y the amount of the policy; �4y �he prvperty insur�d, the then current repiac�ment �aiue a� such
<br /> property, and the manner of determining that�alue; and �5j the expiration date of the pvlicy. Trust�r sha�l, upon
<br /> request�f Lend�r, ha�e an independent appraiser satisfactory tv Lender determine the Gash�alu� repiacement cost
<br /> of the Praper�y.
<br /> TAX AND [NSURANCE RESERVES. Subje�t to any limitatians and consistent wi�h any requirements set by applicable
<br /> law, Lender may require Trustor to maintain with Lender reser�es for payment af annual tax�s, assessments, and
<br /> insuranc� pr�m�ums, which reser�es shall be cr�ated by an init�a! d�p�sit and subsequent monthly payments, or
<br /> payments at such❑ther int�r�al as paym�nts under the NQte may be dus, of a sum est�mated by L�nd�r to be su�fiicient
<br /> fio pay the tota[ annual taxes, assessments, and insuranc� premiums Lender reasonab�y anticipates tv be paid #rom
<br /> �hese reser�es. The reser�e funds shall be held �y Lender as a general deposit from Trustor, which Lender may satis�y
<br /> by paym�n� af the taxes, assessments, and insurance premiums required ta be paid by Trustar as they be�ame due.
<br /> Lender shalf ha�e the right �to dravu upon #he reser�e funds t� pay such items, and Lender shail not be required t❑
<br /> determin� the �a[�dity or accuracy of any item before paying i�. Nathing in the ❑eed o� Trust shal! be construed as
<br /> requiring Lender x� advance ather monies for such pu�pases, and Lender sha�i not incur any �iahiiity�a� anyth�ng it may
<br /> dv or amit ta dQ with respe�t ta the reser�e account. Subject to any iimitations set by appiicab�e lauv, if the �ese��e
<br /> funds discl�se a shortage or deficiency, Trustor shafl pay such shortage or deficiency as �equired by Lsnder. All
<br /> amounts in the r�ser�e accaun�are hereby pledged�� fur�her secur�the �ndehtedness, and L�nder is herehy au�hari�ed
<br /> �o withdrav►r and app�y su�h amaunts an the lndebtedness upan the occurrence vf an E�ent vf Default. Lende�shall na�
<br /> b� re�uired to pay any inter�st or earnings fln �he reser�e funds unless required f�y faw ar agr�ed to by L�nder in
<br /> writing. Lender does not hold #he r�ser�e funds in trust fvr Trustor, and Lender is nat Trustor's agent far payment of
<br /> th�tax�s and assessments requir�d ta b� paid k�y Trustor.
<br /> LENDER'S EXPENDITURES. If any action ar proc�eding is cammenced that v+rould ma�erially affect Lender's interest in
<br /> th� Property or if Trustar fails to c�mply with any pro�ision af this Deed of Trus�vr any f�elated Dncumen�s, including
<br /> but not limit�d to T�ustor's �Failure to discharge or pay when due any amounts Trustor �s required �o discharge ar pay
<br /> und�r this D�ed ofi Trust or any R�lated Documen�s, Lender�n Trustar's �ehalf may �hut shall nvt be obligated tv} take
<br /> any ac�ion that Lender deems appropriate, includ�ng �ut not limited to disGharging ar paying all taxes, liens, s�curity
<br /> interests, �ncumbrances and ather claims, at any tim� levied or placed on�he Pr�perty and paying all costs �ar insuring,
<br /> maintaining and pr�ser��ng the Pr�p�rty. Alf such expenditures incurred or paid by Lender for such purposes v►►ill then
<br /> k�ear interest at the rate charged under �he Note fr�m th� date incurred or paid by Lender to �he date of r�paymen� �y
<br /> Trustvr. A11 such expenses will became a part o� the lndebtedness and, a� Lender's op�ian, will �A} �e paya�le on
<br /> demand; �B} b� add�d to �he balance of the Nat� and be apportianed amQng and be payable wi�h any installm�nt
<br /> payments tv become du� during either �1} the term of any applicable insurance pvlicy; or t2} �he remaining term of
<br /> the Note; or �Cf be �reated as a balloon paymen� v►rhi�h wi!! be due and payable at the Nvte`s maturity. The Deed �f
<br /> Trust also will se�ur� payment of these amounts. Such right shail be in addi�ifln to a�1 other rights and remedies to
<br /> which Lender may be ent�tl�d upan D�fault.
<br /> WARRANTY; DEFENSE�F TITLE. The fo[lowing pr��isions relating to ownership of the Prvperty are a part of�his Deed
<br /> of Trust:
<br /> Title. Trusto� warrants that: �a� Trust�r h�ids goad and marketable title of record �❑ the Property in fee simple,
<br /> free and �lear ❑fi al! liens and encum�ranc�s a�h�r than those set far�h in the Real Praper�y descrip�ian or in any
<br /> title insurance p�licy, ti�le rep�rt, or finai title opinion issued in fa�or of, and accepted by, Lender in cannec�ion
<br /> with this Deed o�Trust, and �f�} Trustor has the fu11 righ�, pawer, and authvrity t�execu�e and deli�er this Deed �f
<br /> Trus�ta Lender.
<br /> Defense of Title. 5ut�ject to the ex�eptivn in the paragraph abo�e, Trustor warrants and will fare�er defend the
<br /> title to the Property aga�nst the lawfuf claims af all persans. in the e�ent any actian vr proceeding is commenGed
<br /> that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust, Trustor shall defend the
<br /> aGt'rvn at Trus�vr's expense. Trustar may be the nominal party in such proceed'rng, bu�t Lender shall be entitl�d ta
<br /> participa�e in �khe prviceeding and to be represented in the praceeding by cvunsel flf Lender's own chai�e, and
<br /> Trustor will deli�er, or cause to he deli�ered, to Lender such instrum�nts as Lender may request�rom time to time
<br /> to permit such par�icipa�ion.
<br /> Compliance IlUith Laws. Trustor warrants that the Praperty and Trustor's use o� the Proper�y comp�ies with all
<br /> exist�ng applicable laws, ordinances, and regulati�ns a�go�ernmenta! authori�ies.
<br /> Sur���al o# R�p�resentatians and Warranties. All representatiQns, ►rvarranties, and agre�ments mad� by Trustor �n
<br /> this ❑eed of Trust shall sur�i�e the execution and d��ivery o�this Deed �f T�ust, shall t�e continuing in nature, and
<br /> shafl remain in full�Force and efifec�until such time as Trust�r's Inde�tedn�ss shali be paid in full.
<br /> C�NDEMNATI�N. The fallvwing pro�isions relating ta condemnation proceedin�s are a part af this D�ed of Trust:
<br /> Prviceedings. ff any proce�ding in condemnat�an is filed, Trust�r shali promp�iy noti�y Lender in wri�ing, and
<br /> Trust�r shall pr�mpt[y �ake such steps as may b� necessary to de�end the ac�ion and ❑htain the award. Trustor
<br /> may be the nam�nal party in such proceeding. but Lender shaii ��entitled to participate �n the praceeding and to be
<br /> represenfied in the proceeding by cvunsel o� its �wn chaice, and T�ustor will deli�e� vr cause to �e deli�e�ed �o
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