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2� 1 ��7227
<br /> DE�� �F TRUST
<br /> ��ontinued� Pa�e 3
<br /> Ma�ntenance of insurance. Trustar shall pr�cure and maintain palicies of fire insurance with standard extended
<br /> ca�erage endorsements on a fair �alue basis for the full insurable �alue co�ering a!i lmpro�ements ❑n #he Reat
<br /> Praperty in an amvunt suffcient to a�oid application of any coinsurance clause, and with a standard mortgagee
<br /> ciause in fa�o�-of Lender,t�gether with such other hazard and liabili#y insurance as Lentier may reasonably require.
<br /> Palicies shall be written in form, amounts, co�erages and basis re�sonably acceptab�e to Lende�and issued by a
<br /> c�mpany or companies reasonab#y ac�eptable to Lender. Trustor, upon request of Lender, wil! deli�er to Lender
<br /> tr�rn #�me#a time#he palicies Qr cer�if�ca#es v��nsurance in fvrm s�tisfactary tv Lender, including stipulations that
<br /> co�erages will nvt be cancelled vr diminishec!without at least thirty�3�}days prior written nvtice t�Lender. Each
<br /> insurance pv�icy also shal! include an endvrsement pro�iding that co�erage in fa�ar of Lender will na# be impaired
<br /> in any way by any act, vmission ar default of Trustor or any other person. 5hvu�d the Real Praperty he Iocat�d in
<br /> an a�-ea designated by the Administratvr of the Federai Emergency Management Agency as a special �Iood ha�a�d
<br /> area, Trustor agrees fv vatain and main�ain �'edera� Flood �nsuran�e, if a�ailable, fvr the maximum amount af
<br /> Trustor`s credit�ine and the ful! unpaid principal balanGe af any priQr iiens vn the property se�ur�ng the Ioan, up#v
<br /> the maximum policy limits set under the Natian�l Flvod Insuranoe Prag�am,or as otherwise required by Lender,and
<br /> ta maintain such insurance for�he term of the Ioan.
<br /> Application of Proceeds. Trustvr shall promptly nvtify Lende�of any lass ar damage t�the Property. Lender may
<br /> make praof of foss if T�ustor �ails #fl do so within fifteen �15] days vf the casualty, Whether ❑r not Lender's
<br /> secur�#y is impaired, Lender may, at Lender's electian, recei�e and retain the praceeds vf any insurance and appiy
<br /> the praoeeds #o the reduction of the Indebtedness, payment vf any lien affecting the Property, ar the restoratian
<br /> and repair of the Property. If Lender e�ects to apply the praoeeds#v res#aration and repair, Trustor shaiE repair or
<br /> replaae the damaged or destroyed imprv�ements En a manner satisfactory to Lender. Lender shal�, upon
<br /> satisfactory proof af such expenditure, pay ❑r reimburse Trustor from the prooeeds fQr the reas�nab�e cvst af
<br /> r-epair ar restorat�on if Trus#or is not in default under this �eed ❑f Trust. Any prooeeds whi�h ha�e not b�en
<br /> disbursed within '!S� days after their re�eipt and which Lender h�s na# committed to the repair or restoration of
<br /> the Prvperty shal! be used first ta pay any amount owing to Lender under this Deed of Trus�,then to pay accrued
<br /> interest, and the remainder, �f any, shall be applied to the principai balance of the lndeb#edness. lf Lender holds
<br /> any praceeds after payment in fuil ❑f the Indeb#edness, such pr�aeeds shall be paid to Trustnr as Trustvr's
<br /> �nterests may appear.
<br /> �omplian�e with Existing Indebtedness. During the perrod in which any Existing �ndebtedness described b�low is
<br /> in effect, compliance with the insurance pro�isians cantained in the instrument e�idencing SUCh Existing
<br /> Indebtedness shall constitute campliance with #he insurance prvuisions under this Dsed of Trust, to the extent
<br /> compfiance with the terms vf this Deed of Trust wou�d constitute a duplication of insurance requirement. If any
<br /> praceeds fram the �nsuran�e be�vme payable an Ioss, the pro�isions in this Deed�f Trust for di�isivn of pr�ceeds
<br /> shall apply vniy tv that pvrtion of the proceeds nat payab�e tv the ho�der of the Existing Indebtedness.
<br /> LENDE�t'5 EXPENDITURES. If Trustor �ails �A} to keep the Property free �f all tax�:s, liens, s�curity interests,
<br /> encumbrances, and other claims, (B} ta pro�ide any required insurance vn the Property, �G} to make repa�rs tv the
<br /> Property or to camply with any vbligation to maintain Existtng Indebtedness in good standing as required belQw, then
<br /> Lender may do sv. �f any action or prviceeding is oommenaed #hat wvuld materially aff�ct Lende�'s �nterests in the
<br /> P�vperty, �hen Lender on Trustor's behalf may, but is not requtr�d to, tafce any actian that Lender believes to be
<br /> appropriate to protect Lende�'s interests. All expenses incurred or paid by Lender far such purposes wi�l then bear
<br /> inter�st at #he rate charged under the �redit Agreement from the date incurred or paid by Lender tv #he date af
<br /> repayment by Trustvr. Ali such expenses wili k�ecome a part af the Indeb�edness and, at Lender's vption,will �A} be
<br /> payable on demand; �B) be added to the balance of the Credit Agreement and be apportivned among and be payabie
<br /> with any insta�lment payments to bec�me due during either {1} the term of any applicable insuranoe pvlicy;ar [2} the
<br /> remaining term of the�redit Agreement;or �G} he treated as a balloon payment wh�ch will be due and payabls at the
<br /> Credit Agreement's matur�ty. The Deed of Trus#also will secure payment af these amounfs. The rights pro��ded��r in
<br /> this para��aph s�all be in a�#d�tivn ta an�o�her rights nr any remed�es to which Lender may be entitled an account of
<br /> any de�ault. Any such activn by Lender sha�l not be construed as curing �he defauft sa as to bar Lender from any
<br /> remedy that it atherwise would ha�e had.
<br /> WARRANTY; DEFENSE UF TiTLE. The fvliowing pro�isions rela�ing ta ownership vf the Property are a part of this Deed
<br /> of Trust:
<br /> Ti#le. Trustor warrants that: {a}Trustar holds gavd and marke#able title ❑f recvrd to the Prvperty in fee simple,
<br /> free and clear of a�l liens and encumbrances v#her than those set forth in the Rea! property descrip�inn vr in the
<br /> F_xistin�lndebtedness section below or in any title insurance policy, title report, vr�inal title apinion issued in fa�or
<br /> ❑f, and accepted by, Lender in conne�#ion with this �eed�f Trust, and �b}Trustvr has�he full right, power, and
<br /> authvrity ta exe�ute and de�i�er#his Deed vf Trust to Lender.
<br /> Defense of Title. 5ubje�t to the excepti�n in #he paragraph abave, T�ustor warrants and will �ore�er de�end the
<br /> titfe tv the Property against the lawful claims of all persons. In the e�ent any activn or proceeding is commenced
<br /> tha#questions Trustar's title or the in�erest of Trustee❑r Lender under this Deed o�Trust,Trustor sha�f defend the
<br /> action at Trustor's expense. Trustor may be the nominal pa�#y in such proceeding, but Lender shall be entitied to
<br /> participate in the prviceeding and to be repr�sented in the proceeding hy c�unsel of Lender's vwn choi�e, and
<br /> Tr�stor wtll de�i�e�, vr caUss to be d�li�ered, to Lender such instruments as Lender may request from time tv time
<br /> ta permit such participation.
<br /> Gompliance 1Nith Laws. Trustar warrants that the Prvperty and Trustor's use of the Property cvmplies with all
<br /> existing applEcable iaws, ordinances,and regulations of go�ernmenta�authoritieS.
<br /> Survi�al of Promises. All promises, agreements, and statements T�-ustvr has matl� in this De�d of T�-ust shall
<br /> survi�e the executivn and deli�ery vf this Deed vf Trust, shaiE be continuing in nature and sha�l remain in full fvrce
<br /> and effect until such time as Trustor's Indebtedness is paid in full.
<br /> EXISTING tNBEBTEaI�ESS. The fol�awing prov�sions concern�t�g Exis#ing �ndebteciness ar�a par#of this Deed❑f Trust:
<br /> Existing Lien. The lien �f this Deed of Trust se�uring the Indebtedness may �e secondary and inferior to an
<br /> existing �i�n. Trustvr expressiy co�enants and agrees to pay, or see to the payment of, the Ex�sting Indebtedness
<br /> and t� pre�ent any default on such indebtedness, any de�au�t under the instruments e�idencing such indebtedness,
<br /> or any default und�r any security documents for su�h indebtedness.
<br /> No Modification. Trustvr shal� nat enter into any agreement wi#h the holder vf any mortgage, deed of trust, or
<br /> other security agreement which has privrity o�er this aeed �f Trust by which tha# agreement is modified,
<br /> amended, extended, vr renewed wi#hvut the prior written cansent vf Lender. Trustar shall neither request no�
<br /> accept any#uture ad�anc�s under any such se�urity agreement withvut#he priar written cvnsent of Lender.
<br /> CDNDEMNAT��N. The f�llvwing provis�ons relating to condemnativn proceedings are a part vf this Deed of Trust:
<br /> Praceedings. If any prvveeding in or�ndemnation is filed, Trustor shall promp#�y not�fy Lender in writing, and
<br /> Trusto�shall prompt�y take such steps as may be necessary ta defend the act�on and obtain the award. Trustar
<br /> may be the nomina� party in such praaeeding, but Lender shali be entitled ta participa#e in the proceeciing and to be
<br /> represented i n #he prooeeding by caunsel vf �ts vwn choiae, and Trustnr wi I! del i�er or cause to be deli�ered to
<br /> Lender such instruments and documentati�n as may be requested by Lender frvm time to t�me to permit such
<br /> participatian.
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