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<br /> �]EED �F TFtU�T
<br /> ��vntir�ued} Page 3
<br /> Pvlicies sha11 be written in form, amvunts, caverages and basis reasana�ly a�ceptable t� Lender and issued by a
<br /> company ar�ampanies reasanably accep�abl�tv Lender. Trusfor, upan request af Lender, wilf deliver to Lender
<br /> fram time t❑time fhe policies or cer�ifEcates af insurance in form satisfactary ta Lender,including stipufa�ions#haf
<br /> co�erages wi[1 nat be cance�led or diminished without at[east thirty�3�}days prior written notice to Lender. Each
<br /> Ensurance pol�cy alsv sha[[include an endorsement pro�iding,that coWerage in favar�f Lender wili not be impaired
<br /> in any way hy any ac�,omission vr defauft of Trustor or any❑ther person. Shauld the Real Praperty be Eaca#ed in
<br /> an a�ea designated by#he AdminEstrator af the Federal Ernergency Managemen�Ag�ncy as a spe�ial flvod hazard
<br /> area, Trustar agrees fv ob�ain and main#ain F�deral Flaad [nsurance, if availahfe, for the maximum amount of
<br /> Trustvr's credit line and th�full unpaid principal balance o�any prior fiens an the properfy securing the loan, up to
<br /> �he maximum palicy limits set under the Nationa[F[oad Ensurance Program,or as otherwise required by Lender,and
<br /> to maintain such insuranGe f�r the t�rm of the laan.
<br /> Applica�ian of Proceeds. Trustor sha��prompt[y no�i�y Lender of any Eoss or damage to th�Praperty. Lender may
<br /> make pravf❑f [oss if Trustar�ails fio do so w��hin fifteen �15} days of the casuaity. Whe�her vr no� Lender's
<br /> security is impaired, Lender ma�, at Lender's e�ection, receNe and retain�he proceeds��any insurance an�i apply
<br /> the proceeds t� the reduction ❑f the Indebtedn�ss, payrnen�vf any�ien aff�cting�he Praperfy, ar the restarafii�n
<br /> and repair nf the Prop�rty. If Lender elecfis tv app�y�he proGeeds fa restoratian and repa�r, Tru�to�shal[repair or
<br /> rep�ace the damaged or destroy�d Impro�ements in a manner sa#�sfactory to Lender. Lender shail, upon
<br /> satis�faGf�ry proof af such expendi�ure, pay or reimburse Trustor frorn the proceeds for the reasvnable cast �f
<br /> repair or restora�ian if Trustar is nat in defauf� under�his Deed of Trust. Any prviceeds which ha�e not been
<br /> disbursed wi�hin 18❑ days aft�r their receip� and whi�h Lender has nat cammitted ��th� repair vr res�orativn ❑f
<br /> #he Property sha[[ be used first to pay any amount awing to Lender under th9s aeed o�Trust,then ta pay accrued
<br /> interest, and the remainder, if any, shall be app�ied to the principa[ balance vf the Indebt�dness. If Lende�-holds
<br /> any praceeds af��r payment in full o� the Ind�btedness, such proceeds shall be paid �o Trustor as Trustnr's
<br /> in�eres�s may appear.
<br /> Carnpiiance wi�h E�asting Indebtedness. During�he period in which any Existing Indebtedness d�scribed be�aw is
<br /> in effect, oamplEance with �he insurance pra�isions cantained in th� instrumen� evidencing such Existing
<br /> �ndebtsdness shall cons�itute complEance with th� insurance provisians under this De�d af Trust, �o the extent
<br /> complian�e v+rith the terrns af this ❑eed of Trusf would constitute a duplicafian of insurance requiremenf. If any
<br /> � proceeds from the insurance become payab[�on loss,the provisions in this Deed vf 7rusf for division a�proceeds
<br /> sha!!apply anfy tv fhat pvrtion af th�prac�eds not payable ta�ha h�ld�r of th�Exis�ing 1nd�b�edness_ �
<br /> LEN[3ER'S EXPENDITU6�ES. If Trustar fails �A} to keep the Praperty free of al[ i�axes, [iens, seGurity in�eresfis,
<br /> enciambrances, and other claims, �B} to prv�ide any required insurance on the Praperty, {�} ta make repairs to the
<br /> Prvperty vr tv camply with any obligatian to rnainfain Exisfiing Indebtedness in gaad s�anding as required below,then
<br /> Lender may do sa. lf any actian vr praaeeding is ctimrnenced that wouid material�y afFect Lender's interests in the
<br /> Pr�perty, then Lender an Trus�or's behalf may, but is not required to, �ake any action that Lender be[ie�es to be
<br /> appropriate ta prote�t Lender's interes�s. All expenses �ncurred or paid by Lender for such purpvses wEll then bear
<br /> interest at the rat� charged under the �redit Agreemen� from the date incurred or pa�d by Lender to the date of
<br /> repayment by Trustor. All such expenses►rvi[1 became a par�of the I ndebtedness and, at Lender's op#�on,wi[1 tA} be
<br /> payable on demand; �B} be added ta the balance vf the�redit Agreernent and be apportinned among and be payable
<br /> with any instal f inent payrnents to became due duri ng eith�r �'!} th�term of any appl icable i nsurance pvl i cy;or ��} the
<br /> remaining term of the Cred�t Agreement;or {C} be�reated as a balloan payment which wi[1 b�due and payabie at the
<br /> Credit Agreement's'maturity. The Deed of Trust afso wili se�ure payment vf these amounts. Th�right�pro�ided fvr in
<br /> this paragraph shall be in addition tv any other rights or any remedies to which Lender rnay be enti#led an account v�
<br /> any defau[f. Any such acfion by Lender sha�! not be cans�rued as curing the default so as�o bar Lender from any
<br /> rem�cfy tha�it otherwis�w�uld ha�e had.
<br /> VIrARRANTY;DEFE[VSE�F TITLE. The follawing prv�isions relating to Qwnership of the Property are a par�af this ❑eed
<br /> of Trust:
<br /> Title. Trustor warrants fhat: {a}Trus��r holds goad and marketable title ❑f recvrd to the Property in fee simple,
<br /> fr�e and ciear af alf liens and encumbrances ofher than�hose set forth in the Real Property d�s�rip��an or in the
<br /> Existing Indebtedn�ss s�ction ��I�w�r in any ti�Ie insuran�e p�li�y,titEe report,❑r�inal titfe op�nion Essued in fa�or
<br /> af, and acGepted by, Lender in connecfian wi�h this Deed v�Trus�, and �b}Trus�or has�h�full righ�, pawer, and
<br /> authari�y t�execufe and deli�er this Deed vf Trust to Lender.
<br /> Defense of T�fle. Subject ta �he exception in the paragraph above, Trustor warrants and wil� fvr��er de�end �he
<br /> t�tl�to the Prvperty against the lawful c[airns af all persons. In the e�ent any action or pro�eeding is commen�ed
<br /> thaf quest�ons Trus�vr's t�tle o�the interest�f Trustee vr Lender under this Deed v�T�ust,Trustor sha[I defend the
<br /> ac�ivn a�Trustor's �xpense. Trustar may be the naminal party in such p�oceeding, but Lender shall be�ntitled fo
<br /> participate in the pr�ceeding and to be represented in the proceed�ng lay counsel a� Lender's own choice, and
<br /> Trustor will delE�er,or cause�t�be deli��red,�o Lender such instrum�nts as L�nder may reques�from time��fiime
<br /> to permit such�artici,pa#ion. .
<br /> Compliance►rl�ith Laws. Trus�or warrants that the Property and Trustor's use o�the P�-op�rty complies with all
<br /> existing app[icable�aws,ordinances,and regulations of governmental authorities.
<br /> 5urvi�al of Pramises. All pr�omises, agreements, and statements Trustor has made in fhis Deed of T�ust shaEl
<br /> survive the executian and de�E�ery o�this Deed of Trust,shall be continuing in nature and shall remain in full�orce
<br /> and e�fec�unti!su�h�ime as Trustor's fndebfedness is paid in fu11.
<br /> Ex[ST�NG INDEBTEDNE55. The following pra�isions cancerning Existing [ndebtedness are a par�❑f this Deed of Trust:
<br /> Exis#ing Lien. The ]ien of this Deed of Trust securing the lndebtedness may be secondary and inferior fo an
<br /> existing lien. Trustar expressly co�enan�s and agrees�a pay, ar se�t❑ the payment of, the Existing lndebtedness
<br /> and to prevenf any default on such indebtedness,any default under the instruments evidencing such indeb�edness,
<br /> �r any defatalt under any security documen�s for such indebtedness. �
<br /> No �Idiodificafion. Trustor shalf no� en�er in#a any agre�men�with the holder of any mor�gage, deed o€frus�, �r
<br /> ather se�urity agreement WhiCh has priority a�er this Deed of Trust riy which that agreement is modifed,
<br /> amended, extended, vr renewed wEthaut th� prior wri#�en consent of Lende�r. Trustor shall nei�her request nor
<br /> . accept any fu�ure ad�ances under any such securi�ty agreement without the prior written cansent of Lender.
<br /> C�NDEMNATI4N. The following pro�isi�ns reiating to�andemnation proceedings are a part❑�this Deed of Trust:
<br /> Proceedings. If any proceeding in condemnatian is filed, Trust�r sha[[ promptly notify Lender in writing, and
<br /> Trustor shaiE prvmptly take such steps as rnay be n�oessary#o d�fend the action and obta�n the award. Trustor
<br /> may be the nominaf party in such praoeeding,buf Lender sha�I be entif[ed tv partic�apate�n the proceeding and ta be
<br /> repr�:sented in the prviceedin� by caunsel o�its own choice, and Trus�or wilf deli�er or cause to he deli�e�-ed t�
<br /> Lender such ins�rumen�s and dacumenfatian as may be requeste�i by Lender from #irne�o fime to permit such
<br /> participation.
<br /> Application a�Net Proceeds. if al[or any part of fhe Prvperty is cvndemned by emEnent�iamain prn�eedings or by
<br /> any proceeding or purchase in lEeu of condemnafian,Lender may at its election require fhat all or any portian vf the
<br /> net proceeds of the award be applied fo fhe Indebtedness or the repair or restaratian of the Praperty. Th8 net
<br /> prooeeds of the award sha��mean the award after pa�me�of alf reasonable costs, expenses,and attorneys'fiees
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