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<br /> 2� 15�81 �2
<br /> �EED �]F TRUST
<br /> Laa� �o: S'[Q�9�4-� ��ont�nued� Page 3
<br /> coverage endorsem�nts on a re�[acement basis �or the full insurahle �a[u� covering ail �mpro�ements on the Rea�
<br /> Prop�rty in an amoun� sufficien�t to avaid applica�ion of any cainsurance clausef and with a s�andard mortgagee
<br /> c�ause in fa�or o�L�nder. Trus�or sha11 a�so procure and main�ain comp�e.hens�v� general liability insurance in such
<br /> ca�rera�e amounts as Lende�- may request vuith Trus�ee.and Lende� h�ing named as additianal insureds in such
<br /> ��abi�ifiy insurance pplicies. Additionally, Trus-�or sha[[ maintain such oth�r insurance, �nc[uding but not fimi�ted ta
<br /> ha�ard� business interruptionr and boiler insuran��, as Lender may reasonably requir�. Policies shal� be written in
<br /> f�rm, amoun�s, cov�rages and basis reasonab[y acceptable to Lender� and issued by a company or �ompanies
<br /> reasanab[y ac�eptable ta Lende�. Trustar, upon r�qu�st of Lender, trvii� de�i�er to Lender �rom �irne �o time the
<br /> poficies or certificates of insurance in-�orm satisfactvey to Lender� including s�ipulations that eoWerages wi�I no�be
<br /> cancefled or diminished without at Ieast ten �1�} days prior trvri�ten noti�e �o Lender, Each �nsuran�e policy also
<br /> shall include an endorsement pro�iding tha�co�erage in�a�or of Lender vvif� not ba impaired in any way by any act,
<br /> vmissivn or de�au��o�Trustar or any o�her person. Shou�d the Rea� Property be locaxed in an a�-ea designa�ed hy
<br /> �he Adm�nistrator o#the Federa[ Emergency Managemen�Rgency as a�special f[ood hazard ar�a, Trustor agrees ta
<br /> obtain and maintain Federal Fl�od Insurance, i� availab�e, f�r�he fu[[ unpaid princiPa! halance ��the loan and any
<br /> prio�- [iens on the praperty secur�ng �he Foan, up to �h� maximum poiicy �imits�se� und�r �he Na�iona� Flood
<br /> Insurance Pr�g�am,or as otherwise required by Lender, and.�o main�ain such insuranc�#or the t�rm a�fihe ioan.
<br /> Appli�ativn vf Prvice�ds. Trustor shaf� prvmpt[y natify Lender of any-loss ar damage to the Property. Lende�-may
<br /> make proof �f lass i� Trustor fails ta do so�with�n fif�een ��5} da}�s of the casualty. Vllhether or not Lender's
<br /> security is impa�red, Lender may, at Lender's elec�i�n, receive and retain �he proceeds o�any insurance and apply
<br /> �he p�-oceeds ta the reduction o�the �ndebtedness,:paymen� of any �ie« af-Fecting �h� Property, ar �he r�s�ara�ian
<br /> and repair of�he Pr�perty. lf Lender e�ects to apply the proceeds to res�oration and repair, Trus�or shall repair ar
<br /> rep[ace �he damaged or destrvyed lmpro�emen�s in a mann�r s�tFsf�c�ory to Lender. Lender sha��, upon
<br /> sa�isfa�tory prao� of sueh expenditure, pay or reimhurse Trustor �r�r�-[ the p�oceeds for the reasonable cost of
<br /> repair or restora�ian i� Trustor is no�� in de€aul� under this Deed �� Trust. Any proceeds which haWe no� been
<br /> disbursed within �8D days af�er�heir receip� and which Lend�r ha� not cammitted to the repair or restoratian of
<br /> the Property shalf be used �irst to pay any amount ovving tv.Lender under�his Deed of Trust. then ta pay accrued
<br /> interes�, and the remainder, i�F any, shal[ be app��ed to-th� principa� bal�nce of the �ndebtedness. �f Lend�r halds
<br /> any pro�eeds after paymen� in fu[l of ��e Indebtedness, such pro�eeds sha�� be paid to Trustor as Trustar's
<br /> interests may appear.
<br /> Trustar`s Repor�vn Insurance. L]pon request o� Lender, havtiiever no� mvre than onc� a year, Trusto�-shall �urn�sh
<br /> fQ Lender a report on each exis�ing po�icy of �nsu�-ance showing: ��� the name o� th� insurer; ��} the r�sks
<br /> �nsured; {3� the amount o� the policy; �4� �he proper�y insured. the �hen current replacement va�ue a� such
<br /> p�-operty, and�he manner of dete�mining tha��alue; and �5} the expir�tion date af�he po�icy. Trustar sha[I�.upon
<br /> request of Lender, have an independenfi appraiser satisfactory�o Lender d�termine the cash�alue replacement cost
<br /> of the P�-operty. .
<br /> LENDER'S E�PEND�TURES. ��F any action or proceeding is camrnenced tha�wouid m�ateriaily a�Ffec� Lender's interest in
<br /> the Properky or i�F Trustor fails to comply ►rv�th any prv�isian af th�s Deed o�T�ust or any Rela�ed Dacumen�s, including
<br /> but nat limited ta Trus�o�'s failure �a discharge ❑r pay when due any amoun�s,Trus�or.is required to discharg� �r pay
<br /> under this Deed o�Trust or any Re�ated Documents, Lender.on Trustor's beha6�F inay �bu�sha[C no�be obliga-�ed to�take
<br /> any actian that Lend�r deems apprvpriate, includ�ng but not limited �o discharging or pa_�ing al�.taxes, liens, security
<br /> in-�er�s�s, encumbrances and vther c[aims, a�any��me le�ied or placed on the �r�p��y and p�ying all costs for insurin�,
<br /> maintaining and preserv�ng the Pr�p�rty. Af[ su�h expenditures incurred or �aid �y Lend�r far such purposes will �hen
<br /> bear interest at the �ate charged under the Na#e ��om the date incurred �r paid by Lender to the da�e o� repaym�nt by
<br /> Trus�or. Al[ such �xpens�s wi�l �e�ome a part of�he lnde�tedness and, a� Lender's aption, will �A� be payab�e�on
<br /> dem�n�; �By �e add�d �ta the balan�e of the Nat� and be appor�ioned among and be payab�� �nrith any insta[[men�
<br /> payments �o hecome due during either �'I} the�erm of any applicab[e dnsu�ance policy; or {2} the remaining term of
<br /> the Note; or �C} be treated a� a ba�loon payment which will b�due and pay�ble at the Nate's maturi�ty. The Deed of
<br /> Trust a[so wil! secure paymen� of�hese amaunts. 5uch right shall be in�addition ta a�� �th�r rights and rerr�edi�s �o
<br /> �vhich Lender may be entit[ed upan Defau[t.
<br /> 'i1��IRF��4NT�l;DEFEIVSE�F T�TL�, The fo[lovving provisions rela�ing to awnership o��he Properky are a part of this Deed
<br /> of Trus�:
<br /> T��t��. Trustar warrants that: �a} Trustar holds gaQd and rnarketable title of record �o �he Pr�per�y in �fee simple,
<br /> free and clear o� a�i iiens and encumbrances v�h�r than those se� forth in the Rea� Prope�ty descr�ption or in any
<br /> tit�e �nsuranc� po�i�y. title repo�tf o�- final ti�l� opinivn issu�d in favo�r of, and ac�epted by. L�nder in connection
<br /> with this D�ed of Trust, and �b} Trustor has the�u�i right, power, ant� au�hori�y to execu�e and defiver this Deed a�
<br /> Trust to Lender.
<br /> IDefense v�Ti�le. Subject to the exception �n �he paragraph above, Tr�ustor warran�s and will fore��r de�end the
<br /> titie to the Prvperty against�he [awfu� c€aims of a�� p�rsons. In the e��n�any a�tion or pr�ceeding is commenced
<br /> �hat questinns Trustor's title ar the in-�eres�of Trustee❑r Lender under�his Deed o�Trust, Trus�or shall de�end fihe
<br /> ae�ian at Trustor's expense. Trustor may be �he nominal party �n such praceeding, but Lender shall be entEt�ed fia
<br /> part€cipate En the pr�ceeding a.nd �o �e rep�esen�ed in the p�oce�ding by counsel of L�nde�'s own choice, and
<br /> �"rust�r will deliver, o�-�ause�� b� delivered��o L�nde�su�h`ins�rumen�s as Lendfer may request�rom�rime �a�ime
<br /> to perm��such �artfcEp��ion.
<br /> Cvmp[�ance V11ith Laws. Trustor v►�arran�s tha� the Property and Trus�vr's use o�F �he Pr�peirty c�mp�ies v�rith af[
<br /> ex�st�ng app��cab�e lavtirs� ord�nances, ant� regu�a�ions of go�ernmenta! au�hor€ti�s.
<br /> Survivat vf �epresenta�i�ns and Warranties. A[� r�presentations, warranties, and agreements made by Trustor in
<br /> this Deed of T�-ust sha!! sun�ive�he e.xecution and deCi�ery vfi this ❑eed of Trust, sha�l be cQntinuing in nature, and
<br /> sha�� rema�n �n#u���orce and ef�ec�until such time as Trusto�'s [ndebtedness sha�! be paEd�n fu[[.
<br /> �QNDE�JlNATl�N. The foI[ow'rng provisions re[a�ing to condemnation pro��edings are a part�f�his �eecf'of Trust:
<br /> Proceedings� �f any proceeding in condemnation is fifed, T'rustor sh�a[[ prompt�y nvti�€y Lender in w�iting, and
<br /> Trust�r shall pro�pt�y take such step� as may be necessar�tn de�end �he a�tian and obtain the �vii�rde Trustor
<br /> rnai���the no�ina� par�in suc�proceeding, bu�Lender shall �e e�tit�ed to participa�e�r�th� pr�ceed�ng and�o be
<br /> �e�resented in th� pr�ceedsng by cau�nse� Q� its owr� �h�ice, and Trus��r �i�� de�iver or c�use �� be d�[ivered ��
<br /> �.�nde�- such �ns�ruments and docurr�en�ativn as may be requested bv Lender frorn �irne to fiime �v perrn�t s��h
<br /> par�icipativn.
<br /> Application of Net Proceeds, I�a�� or any par�vf th� Property is e�nder�nned by ern�nenf dvmain praceedings or by
<br /> any proc�eding or�urchase in �ieu of condemnation, L�nde�may at its election r-equir�tha�a�i or any por�ion o��he
<br /> net proc�eds of the award be applied �o.the �ndebtedness or the repair ar r-estora�ion o� the Proper�y. The net
<br /> proceeds of the award shal� mean the award a�ter payment of all reasanable costs, expenses, and a�torneys' �ees
<br /> in�ur�-ed by Trustee�r Lende��n connectian�rvith the condemnati�n. ,
<br /> �MP�SITlaN OF T�4)CES, FEES AND �HARGES BY �QVERNMENT�►L AUTH�1R1TiES. The �o�Eowing pra�isions re�ating
<br /> to governmenta[taxes,fees�nd charges are a part o�this Deed o�T�ust:
<br /> Curr�nt Taxes, Fees and Charges. Upon request by Lender; Trus�tar sha91 ex�cute such dflcuments in addition to
<br /> this Deed of Trust and �ake wha�e�er�ther actiora is reques�ed fay Lender�o pe�ect and coratinue Lender's �iera on
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