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<br /> DEED �F TRU�T
<br /> �C�ntinued} Page 3
<br /> to maintain such insurance for the term of the �oan.
<br /> Appfication of Prviceeds. T�ustor shall promptly nvtify Lender o� any Ivss or damage to the Property if �he
<br /> estima�ed cost of repai� or r�placemen� exceeds $1,��O.aD. Lende� may make praa�v� loss if Trustvr fails to do
<br /> so wi�hin fif�een �153 days of the casuafty. Whether vr nat Lender's security is �mpaired, Lender may, a� Lender's
<br /> �lec�ion, recei�e and retain the proceeds of any insurance and apply �he p�oceeds to the reduc�ion o� �he
<br /> fndebtedness, payment o� any lien affecting the Property, or the restora�ivn and repair of the Prvp�r�y. I� Lende�
<br /> ef�cts tv apply the proceeds to restoration and repa�r, Trus�tor sha�! r�pair or repla�e the damaged vr d�st�vyed
<br /> Impro�ements in a manner satisfiactory to Lender. Lender shall, upan satisfac�ary proof a� such expenditure, pay
<br /> or reimburse Trustor from the proceeds fo� the reasonable cost of repair or restoration i#Trus�or is not in default
<br /> under �his ❑�ed of Trust. Any proceeds whi�h ha�e not been disbursed w�th�n �SQ days after their ��ceipt and
<br /> which Lender has no� c�mmitted to the repair or restorat�vn vf the Property shafl be used �First�o pay any amount
<br /> ow�ng t❑ Lender under this aeed of Trust, th�n tv pay accrued interest, and the remaind�r, i�any, shall �� applied
<br /> ta the principal ba�ance of the lndebt�dness. If Lender holds any proceeds after payment in fu�l of the
<br /> Indebtedness, such proceeds shalf b� paid ta Trustvr as Trustor's in�eres�s may appear.
<br /> Compliance w�th Existing lndebtedness. During the perivd in which any Existing Indebtedness de�cribed b�low is
<br /> in e##ect, compfian�e wi�h the insurance pro�isivns canta�ned in �he ins�rumen# e�idencing such Exis�ing
<br /> Indebtedness shali cons�i�ute cvmpliance with the insuranc� pro��sians under th�s De�d of Trust, to ths extent
<br /> complianc� with the terms of this Deed o� Trust would canst�tute a duplication v� insurance requirernent. If any
<br /> praGe�ds from the insuran�e hecome payable an loss, �he provisions in th�s Deed v#Trus�for di�isivn of proceeds
<br /> shafl app�y only�o that portion vf�he pra�eeds not payahle�v the halder❑f the Existing indet�tedness.
<br /> LENDER'S E)CPENC]ITURES. �� Trus�or �ails �A} tv keep the Property free o� all taxes, l�ens, security intsrests,
<br /> encum#�rances, and ❑ther claims, �B} to pr��ide any required insurance on the Property, �C� tv make repairs #o the
<br /> Property or �o compfy ►rvith any vbligation to main�ain Existing lndeb��dness in good standing as requir�d �elow, �hen
<br /> Lender may do so. If any action or praceeding is commenced �hat rrvvuld materia�ly affect Lender's interes�s in the
<br /> Property, th�n Lender an Trustor's b�halfi may, but is not required �o, take any activn �ha� Lender t�elie�es #� �e
<br /> appropriate to pro�ect L�nder's infierests. All expenses incurred vr paid by L�nder for such purp�ses will then bear
<br /> inter�st at the ra�e charged under �he Credit Agreemen� #rom �he da�e incurred or paid by Lender to the da�e of
<br /> repayment by Trustor. A!� such expenses v►rif� become a part flf�he lndebtedness and, at Lender`s �ption, vui�i �Ay k�e
<br /> payable on demand; {B} be added t� the balance of�he �red�t Agreement and be apportivned amang and be payab�e
<br /> with any instailment payments to became d ue d uring either �1� the�erm of any applicable insurance po�icy; or ��y �he
<br /> rema�ning term vf�he Credit Agreemen�; ar tCy he treafied as a #�allvvn payment which rrvill be due and payabl� at the
<br /> Credifi Agreemen�`s matur�ty. The ❑eed of Trust also will secure payment o��hese amounts. The ri�h�s pro�Eded for in
<br /> this paragraph shal� b� in additian to any other rights ar any �emedi�s ta which Lender may be enti�led on accoun�C ❑f
<br /> any default. Any such action by Lender shal! not be construed as curing the de�aul# sa as to bar Lender frvm any
<br /> remedy�ha#it otherwise rrvould ha�e had.
<br /> WARRANTY; DEFENSE�F TITLE. The fiollawing pro�isivns �e�ating�o ownership a�fihe Praper�y are a part of#h�s Deed
<br /> of Trust:
<br /> Ti�le. Trustor irvarrants tha�: �a� Trustor holds good and marketable ti�le af �ecard to the Proper�y in fee simple,
<br /> free and clear v� all liens and encumb�ances other than thase set �orth in the Rea� Praper�y des�ription ar in the
<br /> Existing lndebtedness section be[ow o� in any ti�le insu�ance pol�cy, title �ep�rt, ar finai ti�le opinion issued in fia�ar
<br /> vf, and accepted by, Lender in connec�ion with this D�ed of Trus�, and {b� Trustor has �he fuli �ight, power, and
<br /> authvrity ta execute and d�fi�er this Deed o�Trust�o Lender.
<br /> De#ense vf Tit�e. 5ubject �o the exceptE�n �n the paragraph �b���, Trustor warran#s and will fore�er d�fend the
<br /> ti�le to the Property agains�the lawfu( ciaims of all persons, ln the e�ent any actian or proce�ding is commenced
<br /> that questions Trus�ar`s title ar�he interes�of Trus�ee or Lender under this Deed o�Trus�, Trustor shall de�end the
<br /> action at Trustor's expense. Trustor may �e the nvminal party �n such proceeding, but Lender shall be entitled to
<br /> participate in the pro�e�ding and to be represented in the praceeding by cvunsel of Lender's awn choic�, and
<br /> Trustor will deli�er, or cause tv be deli�ered, ta Lender such instruments as Lender may �e�u�st frvm time tv�ime
<br /> to permit such participation.
<br /> Campliance Vllith Laws. Trustor warrants tha� the Property and Trustor's use o� the �'rvperty cvmpli�s w�th a��
<br /> �xisting applicable laws, ordinances, and regulations��g��e�nmental authorfties.
<br /> Sur�i►ral of Prvmises. A�l promises, agreements, and sta�tements Trust�r has made �n this Deed of Trust shall
<br /> sur�i�e the exe�utian and deli�ery of�his ❑eed ��Trust, shall be continuing in nature and sha�! remain in full �orce
<br /> and e�fect un�il such t�me as Trus�vr's 1ndeE�tedness �s paid in full.
<br /> EXISTlNG �NDEB�'EDNE55. The fv�lowing pro�isi�ns concerning Existing Indehtedness are a part of this Deed a�Trust:
<br /> Existing Lien. The lien v�F this ❑eed of Trust securing the Indebtedness may �e secvndary and in�Feriar tv an
<br /> exis�ing lien. Trust�r expressly cv�enants and agrees to pay, or see �o the payment of, the Existing lndebtedness
<br /> and to pre�ent any de�au�t�n such indebtedness, any de#aul�under the instruments e�idencing such indebtedness,
<br /> or any default und�r any securi�y documents�or such indebtedness.
<br /> No Ntvdificat�on. Trustor shall no� enter inta any agreemen� wi�h the holder of any martgage, deed of trust, vr
<br /> other security agr��m�nt which has privrfty v�er this Deed of Trust hy which �hat agreemen� is modi��ed,
<br /> amended, extended, or renewed wi�haut the p�iar writ�en consent of Lender. Trustvr shall neither request nor
<br /> accept any future ad�ances under any such security agreement wi�h�ut the p�ior wri��en consent of Lender.
<br /> CC]N�ENINATIDN. The foilow�ng pro�isions re�ating to candemnativn proce�dings a�e a part of th�s Deed of Trust:
<br /> Proceedings. lf any p�oceeding in condemnation �s filed, Trustor shali p�omp�ly notify Lender in writing, and
<br /> Trustar shall prompt�y take such steps as may be necessary ta defend the act�vn and obtain the award. Trustor
<br /> may be the nvmina[ party in such pro�eeding, but Lender shail be en�titled to pa�ticipate in the praceeding and ta be
<br /> �epresented in �he prviceeding by cvunsel of its awn ehoice, and Trustor will delive� or cause to be deli�ered to
<br /> Lender such �nstruments and documen�a�ion as may be reques�ed by Lend�r �rom time to #ime to permi� such
<br /> participation.
<br /> Appiicat�on of Net Proceeds. l�a�! or any part of the Property is �ondemned by eminent domain prviceedings or by
<br /> any proc�edEng ar purchase in fi�u o�condemna�ion, Lender may at i�s election requ��e that all or any pvr�ion af the
<br /> net proceeds �f the award be app�ied to �he indebtedness or the repair or ��starativn of �he Property. The net
<br /> proceeds of the award shall mean the award a�f�er payment ofi all reasanable �osts, expenses. and attorneys' fees
<br /> incurred by Trustee or Lender in conne�tion►nri�h�h�condemnation,
<br /> IMPQSIT��N �F TAxES, FEES AND GHARGES QY GI3VERNMENT'AL AUTHURlT�ES. The following pro�isions re[ating
<br /> to gv�ernmenta��axes, �ees and charges are a par�o��his Deed o�T'rust:
<br /> Cur�en#Taxes. Fe�s and Charges. Upon reques� by Lend�r, 'T�ustor sh�ll �xecute such dvcuments in addition ta
<br /> this Deed o�Trust and take whatever oth�r action is r�qu���ed by Lender to per�ect and cantinue Lender's lien �n
<br /> the Real Property. Trustor shaff �eimburse Lend�� for �li �a���, as de��ribed be�ow, tvge�her with ail expenses
<br /> in�urred in recording, per�ecting or cantinuing �this �eA� of "��ust, including withvut limi�at�an a�l taxes, ���s,
<br /> documenta�y stamps, and other charge� for recarding Q�r��i��e���c�this Deed❑�T�ust.
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