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201504403
<br /> COVENANTS
<br /> 1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any
<br /> payments Lender receives from Borrower or for Borrower's benefit will be applied first to any amounts Borrower owes on the secured debt
<br /> exclusive of interest or principal,second to interest,and then to principal. If partial prepayment of the secured debt occurs for any reason,it wili
<br /> not reduce or excuse any scheduled payment until the secured debt is paid in full.
<br /> 2. Claims Against Title. Bonower will pay all taxes,assessments,and other charges attributable to the property when due and will defend
<br /> title to the property against any claims which would impair the lien af this deed of trust. Lender may require Borrower to assign any rights,
<br /> claims or defenses which Borrower may have against parties who suppty labor or materials to improve or maintain the property.
<br /> 3. Insurance. Borrower will keep the property insured under terms acceptable to Lender at Borrower's expensc and for Lender's benefit. All
<br /> Insurance policies shall include a standazd mortgage clause in favor of Lender. Lender will be named as loss payee or as the insured on any such
<br /> insurance policy. Any insurance proceeds may be applied,within Lender's discretion,to either the restoration or repair of the damaged propeRy
<br /> or to the secured debt. If Lender requires mortgage insurance,Borrower agrees to maintain such insurance for as long as Lender requires.
<br /> 4. Property. Borrower will keep the property in good condition and make all repairs reasonably necessary.
<br /> 5. Expenses. Borrower agrees to pay all Lender's expenses,including reasonable attomeys' fees,if Borrower breaks any covenants in this
<br /> deed of trust or in any obligation secured by this deed of trust. Bonower will pay these amounts to Lender as provided in Covenant 9 of this deed
<br /> of trust.
<br /> 6. Prior Security Interests. Unless Borrower first obtains Lender's written contest,Borrower will not make or permit any changes to any
<br /> prior security interests.Borrower will perform all of Borrower's obligations under any prior mortgage,deed of trust or other security agreement,
<br /> including Borrower's covenants to make payments when due.
<br /> 7. Assignment of Rents and Profits. Borrower assigns to Lender the rents and profits of the property. Unless Borrower and Lender have
<br /> agreed otherwise in writing, Borrower may collect and retain the rents as long as Borrower is not in default. If Bonower defaults, Lender,
<br /> Lender's agent,or a court appointed receiver may take possession and manage the property and collect the rents. Any rents Lender collects shall
<br /> be applied first to the costs of managing the property, including court costs and attorneys' fees, commissions to rental agents, and any other
<br /> necessary related expenses. The remaining amount of rents will then apply to payments on the secured debt as provided in Covenant 1.
<br /> 8. Leaseholds;Condominiums;Planned Unit Developments. Borrower agrees to comply with the provisions of any lease if this deed of
<br /> trust is on leasehold. If this deed of trust is on a unit in a condominiu�n or a planned unit development,Borrower wili perform all of Bonower's
<br /> duties under the covenants,by taws,or regulations of the condominium or planned unit development.
<br /> 9. Authority of Lender to Perform for Borrower. If Borrower fails to perform,any of Borrower's duties under this deed of trust,Lender
<br /> may perform the duties or cause them to be performed. Lender may sign Borrower's name or pay any amount if necessary for performance. If
<br /> any construction on the propeRy is discontinued or not carried on in a reasonable manner, Lender may do whatever is necessary to protect
<br /> Lender's security interest in the properiy. This may include completing the construction.
<br /> Lender's f'ailure to perform will not preclude Lender from exercising any of its other rights under the law or this deed of trust.
<br /> Any amounts paid by Lender to protect Lender's security interest will be secured by this deed of trust. Such amounts will be due on demand and
<br /> will beaz interest from the date of the payment until paid in full at the interest rate in effect on the secured debt.
<br /> 10. Default and Acceleration. If Bonower fails to mal:e any payment when due or breaks any covenants under this deed of trust or any
<br /> obligation secured by this deed of trust or any prior mortgage or deed of trust,Lender may accelerate the maturity of the secured debt and demand
<br /> immediate payment and may invoke the power of sale and any other remedies permitted by applicable law.
<br /> 11. Request for Notice of Default. It is hereby requested that copies of the notices of default and sale be sent to each person who is a party
<br /> hereto,at the address of each such person,as set forth herein.
<br /> 12. Power of Sale. If the Lender invokes the power of sale,the Trustee shall first record in the office of the register of deeds of each county
<br /> wherein the trust property or some part or parcel thereof is situated a notice of default containing the information required by law. The Trustee
<br /> shall also mait copies of the notice of default to the Borrower, to each person who is a party hereto, and to other persons as prescribed by
<br /> applicable law. Not less than one month after the Trustee records the notice of default, or two months if the trust properiy is not in any
<br /> incorporated city or village and is used in fuming operations carried on by the trustor,the Trustee shall give public notice of sale to the persons
<br /> and in the manner prescribed by applicable law. Trustee,without demand on Borrower,shall sell the property at public auction to the highest
<br /> bidder. If required by the Fazm Homestead Protection Act,Trustee shall offer the property in two separate sales as required by applicable law.
<br /> Trustee may postpone sale of all or any parcel of the property by public announcement at the time and place of any previously scheduled sale.
<br /> Lender or its designee may purchase the property at any sale.
<br /> Upon receipt of payment of the price bid,Trustee shall deliver to the purchaser Trustee's deed conveying the property. The recitials contained in
<br /> Trustee's deed shall be prima facie evidience of the truth of the statements contained therein. Trustee shall apply the proceeds of the sale in the
<br /> following order. (a) to al! expenses of the sale, including, but not limited to, reasonable Trustee's fees, reasonable attorney's fees and
<br /> reinstatement fees;(b)to atl sums secured by this deed of trust,and(c)the balance,if any,to the persons legally entitled to receive it.
<br /> 13. Foreclosure. At Lender's option,this deed of trust may be foreclosed in the manner provided by applicable law for forectosure of
<br /> mortgages on real property.
<br /> 14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice beforehand. The notice must state the reasonable
<br /> cause for Lender's inspection.
<br /> 15. Condemnation. Borrower assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other
<br /> taking of al(or any part of the property. Such proceeds will be applied as provided in Covenant 1. This assignment is subject to the terms of any
<br /> prior security agreement.
<br /> 16. Waiver. By exercising any remedy available to Lender, Lender does not give up any rights to later use any other remedy. By not
<br /> exercising any remedy upon Borrower's default,Lender does not waive any right to later consider the event a default if it happens again.
<br /> 17. Joint and Severai Liability;Co-signers;Successors and Assi;ns Bound. All duties under this deed of trust aze joint and several. Any
<br /> Borrower who co-signs this deed of trust but does not co-sign the underlying debt instruments(s) does so only to grant and convey that
<br /> Borrower's interest in the property to the Trustee under the terms of this deed of trust. In addition,such a Borrower agrees that the Lender and
<br /> any other Borrower under this deed of trust may extend,modify or make any other changes in the terms of this deed of trust or the secured debt
<br /> without that Borrower's consent and without releasing that Borrower from the terms of this deed of trust.
<br /> The duties and benefits of this deed of trust shall bind and benefit the successors and assigns of Lender and Borrower.
<br /> 18. Notice. Unless otherwise required by law, any notice to Borrower shall be given by delivering it or by mailing it by certified mail
<br /> addressed to Borrower at the property address or any other address that Borrower has given to Lender. Bonower will give any notice to Lender
<br /> by certitied mail to Lender's address on page 1 of this deed of trust,ar to any other address,which Lender has designated. Any other notice to
<br /> Lender shali be sent to Lender's address as stated on page 1 of this deed of trust.
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