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2� 1 ����41
<br /> DEEa �F TF�UST
<br /> Laan No: 'i�'i�9�37� {C�ntinued� Page 4
<br /> �he proceeds t❑ �he reduc�ion ��the lnde�tedness, payment of any lien affectEng the Pr�perty, vr the res�vra�ivn
<br /> and �epair of the P�operty. �f L�nder elects ta apply the prviceeds to restoratian and repair, Trusto� shall repair or
<br /> replace fihe damaged vr destroyed Impt•v�ements in a manner satisfactory t❑ Lender. Lender shaE�, upan
<br /> satisfactory proot of such expenditure, pay or reimburse Trustor from the proceeds #ar the reasanab�e C05� a�
<br /> repair ar restora�ivn if Trus�or is not in de#ault under this Deed of Trust. Any p�-aceeds which ha�e not heen
<br /> disbursed within �8� days af-ter their receipt and whi�h Lender has not committed to the repair or restvrat�an vf
<br /> �he Prop�rty shall l�e used first to pay any amoun� arrving �❑ Lender under thEs Deed of Trust, then t❑ pay accrued
<br /> interest, and the remaind�r, if any, shafl be applied to the principal balance af the lndebtedness. lf Lender holds
<br /> any pr�c�eds after payment in fu[E of fihe lndebtedness, such proceeds shall be paid t� Trustar as Trustor's
<br /> interests may app�ar.
<br /> CompEiance with Existing Indebtedness. ❑uring the p�rivd in which any Existing lndebtedn�ss described below is
<br /> in e#fe�t, compliance with the insuranre prv�isions cantaEned in �he instrumant e�idencing such Existing
<br /> lndebtedness shall cons�itute compliance wi�h the insuranc� provisions under this Deed ❑� Trust, �v the extent
<br /> compliance with the tsrms af this Deed of Trust would constitute a duplication o# insurance requirement. lf any
<br /> prviceeds from the insurance be�ame pay�ble �n loss, the provisions in this ❑�ed of Trust for di�isivn of proceeds
<br /> shall apply oniy t❑that portian af th� pr�ceeds not payab[e to the ho�der af fihe Existing Indebtedness.
<br /> Trustor`s Report on lnsurance. Upon reques� ❑f Lender, howe�er not mvre than ance a year, Trustor shal! furnish
<br /> to Lender a repo�t an each existing pa[icy of insurance shawing: {�} the name o# the insurer; �2} the risks
<br /> insured; {3� the amount of the policy; �4} the praperty insured, the then �urrent replacement �a�ue of such
<br /> proper�y, and the manner o�determining t�nat�alue; and �5} the expirati�n date of the policy. Trustor shall, up�n
<br /> reques�❑�Lender, ha�e an indep�ndent a�apraEser satisfactory�o Lender determine th� cash value replacement cost
<br /> af the Praperty.
<br /> LENDER'S EXPENQiTURES. lf any activn vr proceeding is cammenced tha�would materially affe�� Lender's in�erest �n
<br /> the Praper#y �r if Trustor�ails to comply with �ny provision ❑f this Deed o�Trust vr any Re[ated Dvcuments, inc[uding
<br /> but no# fimit�d �o Trust�r's failur�t❑ �omply v�►ith any ❑b�igation to maintain Existing lndebtedness in goo�1 s�anding as
<br /> required below, or to dEscharge or pay when due any amounts Trustor is required t❑discharge❑r pay under this Deed of
<br /> Trust ar any Reiated ❑ocuments. Lender on Trustar's beha[�F inay �hu� shall not be obligated to} �ake any action that
<br /> Lender de�ms appropriafie, including but nvt limited to discharging vr paying all taxes, liens, se�uri�y �nteres�s,
<br /> encumbrances and ather claims, at any time ie�ied or placed on the Property and paying all costs for insuring,
<br /> maintaining and preser�ing �he Praperty, All such expenditures incurred flr paid by Lender far su�h purpvses wi[[ �hen
<br /> bear inter�st at th� rate charged under#he No�e from the da#e incurred �r paid by Lender ta the date o� repayment by
<br /> Trustar. A[l such expenses will become a part of the lndebtedn�ss and, at Lender's option, will {A} be pa�ab�e an
<br /> d�mand; �g} be added to the bafance ❑� the Nate and be appor�ioned among and be payab[� with any insta[[men�
<br /> payments to become due during either {'i} the �erm ❑f any app��cahle insurance po[icy; or �2} the remaining term ❑f
<br /> the Note; or �C} be treated as a balloon payrrient which will be due and payable a��he Note's mafiuri�y. The Deed of
<br /> Trust alsv will secure payment of these amaunts. 5uch �-ighf shall be in addition t❑ a[[ ather rights and remed�es �o
<br /> which Lender may be entitled upon Defau[t.
<br /> 1NARRANTY; DEFENSE�F T1TLE. The���Iowing prav�sions relating�o❑wnership of the Property are a part a�this Deed
<br /> ❑f Trust:
<br /> Ti#le. Trustor warran�s that: �a} Trustor holds gaod and marketable tit�e ❑f recvrd to the Proper�y in fee simple,
<br /> free and clear of all liens and encumbran�es other than those set �orth in �he Real Property descr�ption �r in th�
<br /> Existing lndebtedness section be�ow or in any tit�e �nsurance poli�y, ti#le repor�, ar tina�title opinion issued in fa�or
<br /> o�, and accepted by, Lender in connect�vr� wi�h this ❑eed of Trust, and {b} Trustor has fihe #ull right, power, and
<br /> aufhority�o execute and deliver this Deed❑�Trust to Lender.
<br /> De�ense of Tit[e. Sub�ect to the exceptian in the paragraph aho�e, Trustvr warrants and will fare�er de#end the
<br /> title tv the Praperty agains�the lawfu[ ciaims o� all persons. ln the e�ent any action or proceeding is �ommenc�d
<br /> that questions T�-ustor's titie or the intere�t o�Trustee ❑r Lender under this Deed of Trust,Trus�or sha[I de#end the
<br /> a�tE�n at Trustvr`s expense. Trustor may be the naminal �arty in such praceeding, but Lender sha[I be entit[ed �o
<br /> participate in the proceeding and to be represen��d in the proceeding �y counse� ❑# Lender'� own choice, and
<br /> Trustor wi[[ defi�er, or cause�a be de[i�er�d, t� L�nder such instruments as Lender may requesfi from tim�ta#im�
<br /> ta perm�t such participation.
<br /> Campliance VNith Laws. Trus�or warrants �ha� the Property and Trustor's use of the Property �omp[ies with all
<br /> ex�sfiing applicabEe laws, ❑rdinanc�s, and regulations❑f go�ernmenta[ auth�ri�i�s.
<br /> Survival of Representations and Warranti�:s. Al[ representations, warrant�es, and agreem�nts made by Trusfior in
<br /> this ❑eed vf Trusfi shall sur�i�e the execu•�ion and de�i�e�y o�this ❑eed of Trust, shal[ be �vntinuing in nature, and
<br /> shall remain in�u�l#orce and�ffect unti[s�.ich fime as Trus#ar's lndebtedness shall be paid En full.
<br /> E�[STING INDEBTEDNESS. The following provisions conc�rning Existing Indehtedness are a part❑f this Deed��Trust:
<br /> Existing Lien. The iien of this Deed of Trust securing the indeb#edness may be secondary and inferior to an
<br /> existing �ien. Trustor expressly cv�enant� and agrees to pay, v�-see t❑ �he payment of, the Existing Indehtedness
<br /> and t� pre��nt any defaul�❑n such indebt�dness, any de�Fault under the instruments e�iden�ing such ;ndebtedness,
<br /> ar any default under any se�urity documer��s for such indebtedness.
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