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2� 1 ��274�
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<br /> QEED [�F TRU�T
<br /> ���ntinued� �a�e 3
<br /> Insurance Pr�gram, or as otherwise required by Lender, and to maintain such in�uran��for the term of the loan.
<br /> Applicatian of Prac��ds. Trustor sha�l pr�mptly notify Lender af �ny Ioss �r damage ta the Property. Lender may
<br /> mal�� proofi �f lass if Trustar fails to do so within fifteen {�5j days of the casualt�. Whether �r nat Lender's
<br /> �ecurity is impaired, Lend�r m�y, ax L�nder's e��ction, receiW� and r��ain xh� pr�ceeds �f any insurance and apply
<br /> the pr�ceet�s to the reduction of the indebtedness, payment af any lien af-��cting th� Praperty, or the restoration
<br /> and repair of th� Property. Ef Lender elects ta apply the proce�ds to restor�tion and repair, Trustor shail repair�r
<br /> replaca th� damaged ar destray�d ImRt�o�ements in a mann�r satisfact�r� to L�nder. Lender shall, upon
<br /> sati�f�ctory proof af $u�h �xp�nditure, pay ar r�imburse Trustor frorrr the proc��ds far the reasonabl� cost of
<br /> repair ar rest4ratian if Trustar is n�t in default under this Qeed af T�ust. Any proce�ds whi�h ha�� not been
<br /> disbUrsed within 'I$0 �ays aft�r �their re�eipt and which Lender ha$ �rot c�mmitted #o th� repair or �estoration of
<br /> the Property �hall be used fir�t ta p�y any amaur�t owir�g ta Lendsr under this Deed �fi Trust, then to pay accrued
<br /> interest, an� the remainder, if any, shall be applied to the prin�ipal balan�� af th� Inde�tedness. if Lender i�a�ds
<br /> any pro�eeds aft�r paym�nt in fu�i af the �ndebtedness, such proceeds �hall he �aid to Trustor as Trustor's
<br /> int��ests may�ppear.
<br /> Trustar's R�part an Insuran�e. Upon requ�st af L�nder, howev�r not mare than �nce a year, Trustor shall furnish
<br /> to Len�er a report vn ea�h ��€isting policy of insurance showing; �1� the name of th� insurer; ��� th� risks
<br /> insursd; �3� the am�unt �# the pali�y; �4y the prap�rty insured, the then �urr�nt replacement �a�ue of such
<br /> prop�rty, and �he manner of det�rminin� that valu�; and �5� the expirati�n date of the palicy. Trustor shall, upon
<br /> request of Lender, hav� an independent appraiser satisfac#ory to Lender determine the cash�alue repiacement cost
<br /> o�the Praperty.
<br /> TA� AND INSUF�ANCE f�ESERVES. 5ubject tn any limitations and consistent with any requirements set by applicable
<br /> law, Lend�r may r�qUire Trustv� ta maintain with Lender res�r�es fvr payment of annua! taxes, assessments, and
<br /> insucance premiums, which reserves shall be created by an initia� depos�t and subsequent monthly payments, or
<br /> peyments at such ot�rer interval as payments under the Mote may be due, of�sum�stimated by Lender t� be suffi�ient
<br /> t4 pay the total annual taxes, assessments, and in�urance premiums Lender reasonably �nticip�t�s t� �e paid from
<br /> these reser�es. The reser�e fund�shall be held by Lender as ��eneral depvsit frvm Trustar, whi�h Lender may satisfy
<br /> by payment af the ta��s, �55�5$ITI8r1tS� and iflSLll'B�G� premium5 requir�d to be paid bY Trustvr �s they I�ecome due.
<br /> L�nder shall ha�e the right ta draw upon the reser�e funds to p�y su�h items, �nd L�nd�r shal! npt be required tv
<br /> �ietermine the �alidit� ar aGcuracy of any it�m bef�re paying it. Nothing in #he De�d nf Trust shall be construed as
<br /> requiring Lender tv advance oth�r monies far such purpases. and Lender shal! nvt incur any liability �ar anything it may
<br /> do or omit to do with respect to the r�serve accaunt. Su��ect to any limitati�ns s�t by applicab�e I�w, if the reser�e
<br /> tunds d�sclase a sh�rtage ar deti�iency, Trustar shal� p8y such shQrtage or deficien�� as required by Lender. All
<br /> amounts in the re�erv�ac��unt are h�r�by pledged�o further secur�th� Indebtedn�ss, and Lender is hereby authorized
<br /> to withdraw and apply su�h am�unts❑n th� Indebt�drress up�n#he oceurrence af ar� Event��aefaul�. Lend�r shall not
<br /> be required tfl pay any interest ar earnings on the reserve #unds unless r�quired by law or �greed tv by Lender in
<br /> writing. L�nder does no� ha�d the reserve funds in trust tor Trustor, and Len�er is nat Trustor`s agent �or�aymen�ot
<br /> the taxes and assessments required to be pai�l by Trustor.
<br /> LENDEi�'S EI�CPENDtTURES. If any actian or proceeding is cammenced that wou�d materially �#fect Lender`s int�rest in
<br /> the Property ��if Trustor fai�s t� camply with any pro�isian of this De�d vf Trust ar ar�y Related Doeuments, includtng
<br /> �ut nat lirnited to Trustor's failure tQ dischar�e or pay when due any amflunts Trustar �s r�quired ta discharge or pay
<br /> under this �]e�d of Trust ar any Related Dacuments, L�nder on Trustar'� b�half may �but shall not b�obligated to} take
<br /> �ny actian #hat Lender deems ap�r�priate, including but not limited ta disch�rging ar pa�ying al! taxes, liens. security
<br /> in#eresis, �n�umbrances and ath�r�laims. at any#ime IeW�ed or placed on the Pr�perty and paying all cvsts for insuring,
<br /> maintaining and preser�ring th� Proper#y. All such exp�nditures incurred ar pai�! ka� Lender fvr such purposes wil� then
<br /> k�ear int�r�st at�he rate �har�ed �nd�r the Nate fram the date ir�curred or paEd by Lender to the d�t� of repayment by
<br /> Trustor. AI� such expenses will be�ome � part of the Indebt�dness and, at Lender's �ption, will �A� b� pay�bl� on
<br /> demand; t8� be adde�l tv the balance of the Note and be �p�artion�� amon� and be p�yable with a�� in5'tallm��t
<br /> payments ta decame due during either {1 f the term of any app�ica#�le insurance �oiicy; or �2y the remaining term of
<br /> the Nate; or tCf be treated as a bakloon payment which will be du� and paya�le at the Nvt�'s maturity. Th� �sed af
<br /> Trust alsv wi11 sscure payment o# these amQunts. Such right shaEl be in addition ta a�l other rights and remedies ra
<br /> which Lender may bs entitl��upon Defaul�.
<br /> WAF�RANTY; DEFENSE�F TITLE. The f�llarrving pro�isians relating to ownership of the Praperty are a part of this Deed
<br /> of Trust:
<br /> Title. Trustar warra�nts that: {a� Trustar holds good and marketabte titie af re��rd to the Property in �ee sirnpl�,
<br /> free and clear vf all liens and en�umhrances other than thase s�t f�rth in tl�e Real Prap�rty description �r in any
<br /> title insurance pali�y, title r�p�rt� vr final title apinian issued in fawQr of, and acc�pted by. Lender in connection
<br /> with this Deed of Trust, and {a�TrUstor has the fu�l r�ghi� pvwer� and auth�rit�to execute and del��er this Deed of
<br /> Trust to L�nd�r.
<br /> Defanse af Ti�ie. �uh�ect ta the exception in th� paragraph above, Trustor warrants and will fore�e� defend th�
<br /> title t� the Property against the lawful claims of all persan�. In the �v�nt any a�tion ar pracs�ding is commer��ed
<br /> that questi�ns Trustor's tit�e�r th�in#erest of�rustee ar L�nder under this Deed of Trust. Trust�r sha�i defend the
<br /> actian at Trustar's expense. Trustor may be the naminal party in such pr�ce�ding. but Lender shali be �ntirled t�
<br /> participat� ir� th� proceedin� and to be repres�nted in th� pra�eeding by �ounsel �f Len�er's �wn choic�� and
<br /> Trustor uvili deiiver, or�aus�to be deii�ered, �v Lend�r such instrum�rrts as Lend�r may request from tim�to time
<br /> to permit such part�cipati�n.
<br /> �ompiianca Vl�ith L�ws. Tru$t�r warrants that the Pro�erty an� Trustar's use qf th� Praperty camplies wit�r �II
<br /> exist�ng a�plicab�e�aws, ordinances, and regul�tians af gv�ernmental authariti�s.
<br /> �urvi�al af Representati�ns and Vllarranties. A!! representations, warranties, and agreements made by Trustor in
<br /> this �eeti of Trust shall survive the ex�cution and deli�rery of this De�d of Tru�t, shall be c�ntinuing in natUre, and
<br /> shall rematn in full force and ef�ect until such time as Tr�star's �ndebtedness shal!b�pa�d in ful�.
<br /> �flNDEMNATIC3N. The f�tlawing pravisions relating to condemnation pr�ceedings are a p�rt of this Deed af Trust:
<br /> Praceedin�s. If any praceeding in condemnation is filed, Trustar shai! pramptly n�tify Lender in writing, and
<br /> Tru�tor shal! pr�mptly take such steps as may be n�cessary t� defend the ��tion and obtain the a►►vard. Trustor
<br /> may be the naminal party�n such proceeding, but Lender sh�ll b�entitled�tv participate in ihe proceeding and ta be
<br /> repr�sented in the proceeding k�� couns�l of its awn choic�, and T�ustor will deli�er or �ause to be deli�ered t�
<br /> L�nder such instrum�nts and dacumentation as may be requ�sted by Lender �ram time ta t�me to permit such
<br /> p�rticipa#ian.
<br /> Applic�ti�n�f Net Rroce�d�. If ai��r�n�part of th� Praperty is �andemn�d by eminent domain proceedinys or by
<br /> any pr�ce�ding or pur�hase in lieu�f candemnatian, Lender may at its ele�tion r�quire that a!I or any partion of the
<br /> n�t proceeds of th� award b� appl�ed to th� Ind�btedness �r the repair ar r�staratian �# the Property. Th� net
<br /> proceeds c�fi th� award shail mean th� award after payment of�II r�asanable casts, Bxp�n5es, and attorneys` fees
<br /> incufred by Truste�ar Lend�r in cannectian with the cvndemnation.
<br /> IMPaSlTI�N �F TA�CES. FEES AND CHARGES BY GOVERNIVIENTAL AUTHORITIES. The following pro�isions reiating
<br /> to gavernrr�ental tax�s, fiees and charges are a part af this Dee�f of Trust:
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