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200001502 <br />policies. Beneficiary shall not by the fact of approving, <br />disapproving, accepting, preventing, obtaining or failing to <br />obtain any insurance, incur any liability for or with respect to <br />the amount of insurance carried, the form of legal sufficiency of <br />insurance contracts, solvency of insurance companies, or payment <br />or defense of lawsuits, and Borrower hereby expressly assumes <br />full responsibility therefor and all liability, if any, with <br />respect thereto. <br />F. Said policy will provide that Lender will receive thirty <br />(30) days notice from insurance company before cancellation. <br />5. Escrows. The undersigned agrees, upon request of the <br />holder hereof, to pay in the manner set forth in the Trust Deed <br />given to secure this Note, monthly advance payments estimated by <br />the holder thereof to be sufficient to anticipate the payment of <br />taxes, assessments, and insurance as determined to be necessary <br />by the holder of said Note, and agrees further that such advances <br />may be held by the holder hereof and commingled with the holder's <br />own funds and other funds and, further, that the holder hereof <br />shall not be liable for interest on such funds. <br />6. Maintenance, Repairs and Compliance with Laws. <br />A. Borrower shall keep the Property in good condition and <br />repair; shall promptly repair, or replace any improvements which <br />may be damaged or destroyed; shall not commit or permit any waste <br />or deterioration of the Property; shall not remove, demolish, or <br />substantially alter any of the improvements on the Property; <br />shall not commit, suffer or permit any act to be done in or upon <br />the Property in violation of any law, ordinance or regulation; <br />and shall pay and promptly discharge at Borrower's cost and <br />expense all liens, encumbrances and charges levied, imposed and <br />assessed against the Property or any part thereof. <br />B. Borrower will perform all of the covenants of the Lessor <br />or Landlord under any and all present and future Leases effecting <br />the Property, and neither do nor neglect to do, nor permit to be <br />done, any thing which may diminish or impair the value of all <br />such Leases or the Rents and Profits provided for in such Leases, <br />or the interest of the Lessor or the Beneficiary therein or <br />thereunder. <br />7. Eminent Domain. <br />A. If all or a portion of the Property is taken or damaged <br />by reason of any public improvement or condemnation proceeding, <br />or in any other manner including deed in lieu of Condemnation <br />( "Condemnation "), or should any Borrower receive any notice or <br />other information regarding such proceeding, Borrower shall give <br />prompt written notice to Lender. Lender shall be entitled to all <br />compensation, awards, and other payments. The Lender shall be <br />entitled, at its option, to commence, appear in and prosecute in <br />its own name any action or proceedings. Lender shall also be <br />entitled to make any compromise or settlement in connection with <br />such taking or damage. Said proceeds shall be distributed in the <br />same order that insurance proceeds are distributed under <br />paragraph 4 A(i) through (iii). Condemnation proceeds or awards <br />shall be credited to the last maturing installments of the <br />indebtedness secured and shall not extend or postpone the due <br />date of the monthly installment referred to in the Note and under <br />this Trust Deed, or change the amount of such installments. If <br />the proceeds pay off all sums due and owing, the excess shall be <br />paid to the Borrower. <br />B. If the Property is abandoned by Borrower, or if, after <br />notice by Lender to Borrower that the condemnor offers to make an <br />award or settle a claim for damages, Borrower fails to respond to <br />Lender within thirty (30) days after the date such notice is <br />mailed, Lender is authorized to collect and apply the proceeds to <br />the sums secured by this Trust Deed. <br />4 <br />