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Security Instrument - Commercial /Agricultural -NE
<br />VMP® Bankers Systems
<br />Wolters Kluwer Financial Services ©1993, 2011
<br />20160047$,
<br />discretion to the Secured Debts, the costs of managing, protecting and preserving the Property, and other
<br />necessary expenses. Trustor agrees that this Security Instrument is immediately effective between Trustor
<br />and Beneficiary and effective as to third parties on the recording of this Assignment.
<br />As long as this Assignment is in effect, Trustor warrants and represents that no default exists under the
<br />Leases, and the parties subject to the Leases have not violated any applicable law on leases, licenses and
<br />landlords and tenants. Trustor, at its sole cost and expense, will keep, observe and perform, and require all
<br />other parties to the Leases to comply with the Leases and any applicable law.
<br />If Trustor or any party to the Lease defaults or fails to observe any applicable law, Trustor will promptly
<br />notify Beneficiary. If Trustor neglects or refuses to enforce compliance with the terms of the Leases, then
<br />Beneficiary may, at Beneficiary's option, enforce compliance. Trustor will not sublet, modify, extend,
<br />cancel, or otherwise alter the Leases, or accept the surrender of the Property covered by the Leases (unless
<br />the Leases so require) without Beneficiary's consent. Trustor will not assign, compromise, subordinate or
<br />encumber the Leases and Rents without Beneficiary's prior written consent. Beneficiary does not assume or
<br />become liable for the Property's maintenance, depreciation, or other losses or damages when Beneficiary
<br />acts to manage, protect or preserve the Property, except for losses and damages due to Beneficiary's gross
<br />negligence or intentional torts. Otherwise, Trustor will indemnify Beneficiary and hold Beneficiary harmless
<br />for all liability, loss or damage that Beneficiary may incur when Beneficiary opts to exercise any of its
<br />remedies against any party obligated under the Leases.
<br />15. CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. If the Property includes a unit in a condominium or a
<br />planned unit development, Trustor will perform all of Trustor's duties under the covenants, by -laws, or
<br />regulations of the condominium or planned unit development.
<br />16. DEFAULT. Trustor will be in default if any of the following occur:
<br />A. Any party obligated on the Secured Debt fails to make payment when due;
<br />B. A breach of any term or covenant in this Deed of Trust, any prior mortgage or any construction loan
<br />agreement, security agreement or any other document evidencing, guarantying, securing or otherwise
<br />relating to the Secured Debt;
<br />C. The making or furnishing of any verbal or written representation, statement or warranty to
<br />Beneficiary that is false or incorrect in any material respect by Trustor or any person or entity
<br />obligated on the Secured Debt;
<br />D. The death, dissolution, appointment of a receiver for, or application of any debtor relief law to,
<br />Trustor or any person or entity obligated on the Secured Debt;
<br />E. A good faith belief by Beneficiary at any time that Beneficiary is insecure with respect to any person
<br />or entity obligated on the Secured Debt or that the prospect of any payment is impaired or the
<br />Property is impaired;
<br />F. A material adverse change in Trustor's business including ownership, management, and financial
<br />conditions, which Beneficiary in its opinion believes impairs the value of the Property or repayment of
<br />the Secured Debt; or
<br />G. Any loan proceeds are used for a purpose that will contribute to excessive erosion of highly erodible
<br />land or to the conversion of wetlands to produce an agricultural commodity, as further explained in 7
<br />C.F.R. Part 1940, Subpart G, Exhibit M.
<br />17. REMEDIES ON DEFAULT. In some instances, federal and state law will require Beneficiary to provide
<br />Trustor with notice of the right to cure, mediation notices or other notices and may establish time schedules
<br />for foreclosure actions. Subject to these limitations, if any, Beneficiary may accelerate the Secured Debt
<br />and foreclose this Deed of Trust in a manner provided by law if this Trustor is in default.
<br />At the option of Beneficiary, all or any part of the agreed fees and charges, accrued interest and principal
<br />shall become immediately due and payable, after giving notice if required by law, upon the occurrence of a
<br />default or anytime thereafter. In addition, Beneficiary shall be entitled to all the remedies provided by law,
<br />the Evidence of Debt, other evidences of debt, this Deed of Trust and any related documents including
<br />without limitation, the power to sell the Property.
<br />If there is a default, Trustee shalt, in addition to any other permitted remedy, at the request of the
<br />Beneficiary, advertise and sell the Property as a whole or in separate parcels at public auction to the highest
<br />bidder for cash and convey absolute title free and clear of all right, title and interest of Trustor at such time
<br />and place as Trustee designates. Trustee shall give notice of sale including the time, terms and place of sale
<br />and a description of the property to be sold as required by the applicable law in effect at the time of the
<br />proposed sale.
<br />AGCO - RESI -NE 7/1/2011
<br />VMP- C595(NE) (1107).00
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