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2� 1 ��313�
<br /> L�EE� �F TRUST
<br /> Loan iV�: 'I�"I�95��2 ���ntinu�d} Page 4
<br /> hazard, business interrupti�n, and boiler insuran��, as L�nder may reasonably require. Polic��s shall be written in
<br /> fflrm, amoun�s, caWerag�s and basis reasonably acc�p�able to Lender and issued by a c�mpany or companies
<br /> reas�nab[y acceptable �o Lender. Trustor, upon re�uest of Lender, wii! deliver to Lender �rom �ime to time �h�
<br /> p��icies or cer�Eficates vf insurance in forrn satisfactory to Lender, including s�ipuIations that�overages wzll not be
<br /> can�elled or diminished without at leas� �en {10� days prior wri�ten notice t� Lend�r. Each insurance policy alsa
<br /> shafl include an endorsement pro�iding that co��rage in fa�or v�Lender vuill not be impaired i�any way by any ac�,
<br /> am�ssion or d�fault �f Trus�or or any o�her person. 5hauld the Real Property be Iocated in a�t area designated by
<br /> �he Adm�nistrator o�the Federal Em�rg�ncy Management Agen�y as a spec�al flood ha�ard �r�a, Trustor a�rees to
<br /> �btain and main�ain Federal Flood [nsurance, if a�ailahle, within 45 days afte� notice is gi�en by Lencler that the
<br /> Property is lacafied in a sp��Eal flaod hazard area, for the full unpaid principal ba�ance of fihe IQan and any prior liens
<br /> �n the prop�rty securing�he loan, up to the maximum palicy�imi�s set under the Na�ional Fload lnsurance Program,
<br /> ❑r as otherwise required by Lender, and to maintain such insurance far�he term afi�he Ioan.
<br /> App[i�ation of Pra���ds. Trustor shall promptly notify Lender af any loss ar damage to �he �'roperty, Lender may
<br /> make pr��� af Ioss if Trusfior faifs to d� so within fift�en t�5� days af the casualty. VIli�ether or not Lender's
<br /> security is impaired, Lencler may, a� Lender's election, rece��e and retain the pr�ceeds of any insurance and apply
<br /> the proceeds to the reduc�tion of the Indebtedness, paymen� o� any lien af�e�ting the Prope�ty, or the restoration
<br /> and repair of the Pr�perty. If Lender elects to apply the proc�eds to res�orativn and repairr `F'rustor shall r�pair or
<br /> repla�e �he damaged or destroyed Impro��ments in a manner satisfac�ory to Lender. Lender shall, upon
<br /> sa�i�fiactory provf of such expend�ture, pay or reimburse Trus#�r from the prviceeds for the reasonable cost �f
<br /> repair or restoration if Trustor is not En default under this aeed af Trust. Any proc�sds �hich ha�e nvt been
<br /> disbursed within �80 �ay5 af�er their receipt and which L�nder has n�� committed to the repair or res��ration of
<br /> the Proper�y shall I�e us�d �First to pay any amaunt ❑wing �o Lender under fhis Deed of Trusfi, then �o pay accrued
<br /> inter�st, and the remainder, if any, shaEl be app�ied to the prin�ipa[ balance ofi�h� lndebtedness. [f Lender holds
<br /> any proceeds after payment in fu�l of the indebtedness, such pr�ceeds shall be paid to Trustor as Trustor's
<br /> interests may appear.
<br /> Compliance with Exisfiing Indebtedness, During the period in which any Existing [ndebt��ness described below is
<br /> in effect, compliance wi�h the insurance pro�isians c�ntained in the instrument e�id�ncin� such Existing
<br /> Indeb�edness shall constitute compliance with the insuran�e pra�isions under �his Deed vf Trus�, ta the extent
<br /> c�mpliance wi�h the �erms o�this Deed of Trust would cansti�ute a duplication o� insurance r�quirement, If any
<br /> proceeds frflm the insurance becvme payable �n loss, th� proWisions in this Deed of Trust far division of proceeds
<br /> shafl appl}�only�o that por�ion vf the proceeds not payable to the holder af the Existing Indebtedness.
<br /> Trustor's Report on �nsuran�ee LJpan request of Lender, hawe�er n�t more than an�e a year, Trustor sha!! furnish
<br /> ta Lender a report vn each �xisting policy of insurance show�ng: {�� the name of �he iRsurer; ��� the ris�s
<br /> insured; {3} the amaun� �f the poli�y; {�-} �he property insured, th� �hen current replacement value o� su�h
<br /> property, and the manner a�de�ermining that�alue; and {5} �he expiration date of th� polic�r. Trustor shal�, upon
<br /> request of L�nder, have an indep�ndent appraiser satisfactary to Lender de�ermine�he cash value repiacement cost
<br /> af the Prvperty.
<br /> LENDER'S E3CPENDITURES. If any action or proceeding is commen�ed that wfluld mater�aliy aff��t L�nder's interest in
<br /> �h� Praper�y or if Trustar fails to comply wifih any pro�isivn a��his Deed of Trust or any Refa�ed Docum�nts, including
<br /> but not IEmit�d to Trustar's �ailure to camply with any obiigatifln t� maintain Existing lndebtednass in govd standing as
<br /> required �elow, or tQ discharge ar pay when due any amounts Trus��r is required t�discharg�or pay under this Deed af
<br /> Trust or any Related Do�uments, Lender vn Trustor's behalf may �t�ut shall not be flbliga�ed ta} take any a�tian that
<br /> L�nder deems apprapriate, including bu�t no� limited �o discharging ar paying a!I tax�s, �iens, security interes�s,
<br /> encumb�-an�es and other c[aims, at any �ime levied �r placed an �he Property and paying afl costs for insuring,
<br /> maintaining and preser�ing the P�operty. All such expenditures incurred or paid by Lender far such purposes wi�i then
<br /> bear interest at the rate charged und�r the N�te from the date incurred or paid by Lender to the date vf repayment by
<br /> 7'rustar. Ali such expenses wil� become a part of th� Indebtedness �nd, at Lender's option, wil� �Ay be payable on
<br /> demand; �B} be added �� th� balan�e �f the Note and be app�r�i�ned among and be payab�e w�th any installment
<br /> paymen�s �to become due during either �1 j �he term �f any applicahle insurance pfllicy; or ��� the remaining term af
<br /> the Nofie; ar ��} be treated as a balloon payment which will �e due and payable at the Na�e's maturi�y, The Deed vf
<br /> Trust also wil� secure paymen� of these amaunfis. Such right shall b� in addition to al� oth�r rights and remec�ies ta
<br /> ►rvhich Lender may be entitled upon ❑efaul�.
<br /> WARRANTY; ❑EFENSE�F TITLE. The following pro�isions r�lating fio v�rvnership o�the Praperty are a par�of this Deed
<br /> of Trust:
<br /> Tit1e. Trustor warrants that: �a} Trustor h�lds good and marl�etable �tifil� of record to the Pr�perty in f�� simpie,
<br /> �ree and clear �f ali �iens and encumbranGes oth�r than those se� fflrth in the Real ProQer�y descripti�n flr in �he
<br /> Exis�ing [ndeb�edness s��tian be�ow or in any title insuran�e policy, ti�le r�p�r�, ar�inal title opinion issued in faWor
<br /> o�, and accepted by, Lender in connec�ion with this De�d o�T�ust, and {b� Trusfiar has �he full right, power, and
<br /> authori�y ta ex��ute and de�iver this Deed of Trust�o Lender.
<br /> ❑sf�nse of Titls. Subjec� �❑ �he exceptian in the paragraph abo�e, Trus�o� warrants and will fore�er de�end the
<br /> title fa the Pr�per�y against th� lawful �laims of all persons. !n the e�en� any action �r proGeeding is cammenced
<br /> that questi�ns Trustar's �i�le or the interest of Trustee or Lender uncfer this ❑eed of Trus�, Trustor shall defend the
<br /> action a�Trust�r's expense. Trustar may be the namina! party in such proceeding, but Lender sha[I be entitled �❑
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