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<br />11. LENDER'S RIGHT TO COMMENCE OR DEFEND LEGAL ACTIONS. Grantor shall immediately provide Lender with written notice of any
<br />actual or threatened action, suit, or other proceeding affecting the Property. Grantor hereby appoints Lender as its attorney -in -fact to
<br />commence, intervene in, and defend such actions, suits, or other legal proceedings and to compromise or settle any claim or controversy
<br />pertaining thereto. Lender shall not be liable to Grantor for any action, error, mistake, omission or delay pertaining to the actions described in
<br />this paragraph or any damages resulting therefrom. Nothing contained herein will prevent Lender from taking the actions described in this
<br />paragraph in its own name.
<br />12. INDEMNIFICATION. Lender shall not assume or be responsible for the performance of any of Grantor's obligations with respect to the
<br />Property under any circumstances. Grantor shall immediately provide Lender with written notice of and indemnify and hold Lender and its
<br />shareholders, directors, officers, employees and agents harmless from all claims, damages, liabilities (including attorneys' fees and legal
<br />expenses), causes of action, actions, suits and other legal proceedings (cumulatively "Claims ") pertaining to the Property (including, but not
<br />limited to, those involving Hazardous Materials). Grantor, upon the request of Lender, shall hire legal counsel to defend Lender from such
<br />Claims, and pay the attorneys' fees, legal expenses and other costs incurred in connection therewith. In the alternative, Lender shall be entitled
<br />to employ its own legal counsel to defend such Claims at Grantor's cost. Grantor's obligation to indemnify Lender under this paragraph shall
<br />survive the termination, release or foreclosure of this Deed of Trust.
<br />13. TAXES AND ASSESSMENTS. Grantor shall pay all taxes and assessments relating to Property when due and immediately provide Lender
<br />evidence of payment of same. Upon the request of Lender, Grantor shall deposit with Lender each month one - twelfth (1/12) of the estimated
<br />annual insurance premium, taxes and assessments pertaining to the Property. So long as there is no default, these amounts shall be applied to
<br />the payment of taxes, assessments and insurance as required on the Property. In the event of default, Lender shall have the right, at its sole
<br />option, to apply the funds so held to pay any taxes or against the Obligations. Any funds applied may, at Lender's option, be applied in reverse
<br />order of the due date thereof.
<br />14. INSPECTION OF PROPERTY, BOOKS, RECORDS AND REPORTS. Grantor shall allow Lender or its agents to examine and inspect the
<br />Property and examine, inspect and make copies of Grantor's books and records pertaining to the Property from time to time. Grantor shall
<br />provide any assistance required by Lender for these purposes. All of the signatures and information contained in Grantor's books and records
<br />shall be genuine, true, accurate and complete in all respects. Grantor shall note the existence of Lender's beneficial interest in its books and
<br />records pertaining to the Property. Additionally, Grantor shall report, in a form satisfactory to Lender, such information as Lender may request
<br />regarding Grantor's financial condition or the Property. The information shall be for such periods, shall reflect Grantor's records at such time,
<br />and shall be rendered with such frequency as Lender may designate. All information furnished by Grantor to Lender shall be true, accurate and
<br />complete in all respects, and signed by Grantor if Lender requests.
<br />15. ESTOPPEL CERTIFICATES. Within ten (10) days after any request by Lender, Grantor shall deliver to Lender, or any intended transferee of
<br />Lender's rights with respect to the Obligations, a signed and acknowledged statement specifying (a) the outstanding balance on the Obligations;
<br />and (b) whether Grantor possesses any claims, defenses, set -offs or counterclaims with respect to the Obligations and, if so, the nature of such
<br />claims, defenses, set -offs or counterclaims. Grantor will be conclusively bound by any representation that Lender may make to the intended
<br />transferee with respect to these matters in the event that Grantor fails to provide the requested statement in a timely manner.
<br />16. DEFAULT. Grantor shall be in default under this Deed of Trust and the Trustee's power shall become operative in the event that Grantor,
<br />Borrower or any guarantor of the Obligations:
<br />(a) fails to pay any Obligation to Lender when due;
<br />(b) fails to perform any Obligation or breaches any warranty or covenant to Lender contained in this Deed of Trust or any other
<br />present or future agreement;
<br />(c) destroys, loses or damages the Property in any material respect or subjects the Property to seizure, confiscation, or condemnation;
<br />(d) seeks to revoke, terminate or otherwise limit its liability under any guaranty to Lender;
<br />(e) dies, becomes legally incompetent, is dissolved or terminated, becomes insolvent, makes an assignment for the benefit of creditors,
<br />fails to pay debts as they become due, files a petition under the federal bankruptcy laws, has an involuntary petition in bankruptcy filed in
<br />which Grantor, Borrower or any guarantor is named, or has property taken under any writ or process of court;
<br />(f) allows goods to be used, transported or stored on the Property, the possession, transportation, or use of which, is illegal;
<br />(g) allows any party other than Grantor or Borrower to assume or undertake any Obligation without the written consent of Lender; or
<br />(h) causes Lender to deem itself insecure due to a significant decline in the value of the Property; or if Lender, in good faith, for any
<br />reason, believes that the prospect of payment or performance is impaired.
<br />17. RIGHTS OF LENDER ON DEFAULT. If there is a default under this Deed of Trust, Lender shall be entitled to exercise one or more of the
<br />following remedies without notice or demand (except as required by law):
<br />(a) to declare the Obligations immediately due and payable in full;
<br />(b) to collect the outstanding Obligations with or without resorting to judicial process;
<br />(c) to require Grantor to deliver and make available to Lender any personal property or Chattels constituting the Property at a place
<br />reasonably convenient to Grantor and Lender;
<br />(d) to enter upon and take possession of the Property without applying for or obtaining the appointment of a receiver and, at Lender's
<br />option, to appoint a receiver without bond, without first bringing suit on the Obligations and without otherwise meeting any statutory
<br />conditions regarding receivers, it being intended that Lender shall have this contractual right to appoint a receiver;
<br />(e) to employ a managing agent of the Property and let the same, either in Trustee's own name, in the name of Lender or in the name of
<br />Grantor, and receive the rents, incomes, issues and profits of the Property and apply the same, after payment of all necessary charges and
<br />expenses, on account of the Obligations;
<br />(f) to pay any sums in any form or manner deemed expedient by Lender to protect the security of this Deed of Trust or to cure any default
<br />other than payment of interest or principal on the Obligations;
<br />(g) to foreclose this Deed of Trust judicially or nonjudicially and to direct the sale of the property through exercise of the power of sale as
<br />referenced in paragraph 20 hereof in acccordance with applicable law;
<br />(h) to set -off Grantor's Obligations against any amounts owed Grantor by Lender including, but not limited to, monies, instruments, and
<br />deposit accounts maintained with Lender or any currently existing or future affiliate of Lender; and
<br />(i) to exercise all other rights available to Lender under any other written agreement or applicable law.
<br />Lender's rights are cumulative and may be exercised together, separately, and in any order. In the event that Lender institutes an action seeking
<br />the recovery of any of the Property by way of a prejudgment remedy in an action against Grantor, Grantor waives the posting of any bond which
<br />might otherwise be required. Lender or Lender's designee may purchase the Property at any sale. Proceeds of any Trustee's sale hereunder
<br />shall be applied first, to the costs and expenses of exercising the power of sale and of the sale, including the payment of the Trustee's fees
<br />actually incurred and not to exceed the amount which may be provided for in this Deed of Trust, second, to payment of the Obligations secured
<br />hereby, third, to the payment of junior trust deeds, mortgages, or other lienholders, and the balance, if any, to the person or persons legally
<br />entitled thereto. The property or any part thereof may be sold in one parcel, or in such parcels, manner or order as Lender in its sole discretion
<br />may elect, and one or more exercises of the power herein granted shall not extinguish or exhaust the power unless the entire property is sold or
<br />the obligations are paid in full.
<br />18. TRUSTEE'S EXERCISE OF POWER OF SALE ON DEFAULT: If Lender elects to sell Grantor's interest in the Property by exercise of the
<br />power of sale herein contained, Lender shall notify Trustee in the manner then required by law.
<br />Upon receipt of such notice of Lender and at the direction of Lender, Trustee shall cause to be recorded, published and delivered such notices of
<br />default and notices of sale as may then be required by law and by this Deed of Trust. Trustee shall, only at the direction of Lender and without
<br />demand on Grantor, after such time as may then be required by law and after recordation of such notice of default and after notice of sale
<br />having been given as required by law, sell the Property at the time and place of sale fixed by it in such notice of sale, either as whole or in
<br />separate lots or parcels or items as Lender shall deem expedient, and in such order as it may determine, at public auction to the highest bidder
<br />for cash in lawful money of the United States payable at the time of sale, or as otherwise may then be required by law. Trustee shall deliver to
<br />such purchaser or purchasers thereof its good and sufficient deed or deeds conveying the property so sold, but without any covenant or
<br />warranty, express or implied. The recitals in such deed of any matters or facts shall be conclusive proof of the truthfulness thereof. Any
<br />person, including, without limitation, Grantor, Trustee or Lender, may purchase at such sale. Trustee may in the manner provided by law
<br />postpone sale of all or any portion of the Property.
<br />19. REQUEST FOR NOTICES: Grantor requests that a copy of any notice of default and a copy of any notice of sale hereunder be mailed to
<br />each person who is a party hereto at the address of such person set forth herein at the same time and in the same manner required as though a
<br />separate request thereof had been filed by each such person.
<br />NEDOTC [HP] Rev. 1/98
<br />Page 3 of 6
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