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2� 17��85�
<br /> �EED �F TRUST
<br /> Laan No: '1�'13a�'I 3a �Cont�nued} Page 4
<br /> ❑n the pr�per�y securing the Ioan, up�o�he maximum poli�y limits se�under the National Flvod Insur-ance Program,
<br /> or as o�herwise required by Lender-, and�o maintain such insurance far the term ot the loan.
<br /> Appli�ativn vf Pro�eeds. Trus�or shall promptly notify Lender❑f any loss or damage �a�he Property. Lender may
<br /> make proa� a� loss i�F Trustor fails to do so within �ifteen {�5} days �� the casualty. Whe�her or not Lender`s
<br /> security is �mpaired, Lender may, at Lender's election, receive and retain the proceeds a� any insurance and apply
<br /> the praceeds �o the reduct�an ��the Indebtedness, paymen� v� any lien affecting the Praperty, ar the restvrafiivn
<br /> and repair ❑f the Property. I� Lender e(e��s �❑ app�y�he proceeds �o restoration and repair, Trustor shall repair ❑r
<br /> replace the damaged ar des�rvyed lmprovemen�s in a manner satis�actory ta Lender. Lender shall, upon
<br /> satisfactory proo� of such expendi�ure, pay ar reimburse Trustor from �he proceeds �or the reasonable cost of
<br /> r�pair or restora�ian if Trustor is nat in de�ault under this Deed af Trust. Any praceeds which haWe not been
<br /> disbursed v+rithin �8� days a�ter fiheir re�eipt and which L�nder has not Commi�ted t❑ the repair or restvrativn ❑f
<br /> the Property shall be used �irst�o pay any amvunt owing tv Lender under thzs ❑eed of Trust, �hen �o pay ac�rued
<br /> in�eres�, and �he remainder, if any, shall be applied t� �he pr�n�ipal balance ❑f the Indebtedness. lf Lender holds
<br /> any proceeds a�ter paymen� in full ❑�f the lndebtedness, such proc�eds shail be paid fiv Trus�o�- as Trustor's
<br /> interes�s may appea�.
<br /> Trustvr's Report❑n Insurance. Upvn request o�f Lender, how��er nofi mare �han once a year, Trus�vr shall �Furnish
<br /> to Lender a repart an ea�h exis�ing p�licy of insurance shawing: {`l} the name of �he �nsurer; �2} the risks
<br /> insured; {3� the amounfi o� �he policy; �4} the pro�erty insu�-ed, fihe �hen current replacement �alue o� such
<br /> property, and the manner a�determining that�alue; and {5� the expiration da�e ❑f the palicy. Trus�or shall, upon
<br /> request of Lender, haWe an independen�appraiser satis�acfiary to L�nder determine the cash�alue replacement cosfi
<br /> of the Proper�y.
<br /> LENDER'S EXPEND�TURES. If any ac�ian or proce�ding is commenced that wauld ma�fieria�Iy a��e�� Lender's interest in
<br /> �he �roperty or if Trus�ar�ails ta cflmply with any pro�ision of�his Deed �f Trus� or any Rela�ed Documents, including
<br /> but no� limited fiv Trusfiar's failure to discharge ar pay when due any amounfis Trustar is required t� discharge vr pay
<br /> under�his ❑eed af Trus�or any Related a�cumen�s, Lender an Trus�or's b�ha[f may �but shall not be oh�iga�ed to} take
<br /> any act�on tha� Lender deems appropria�e, including but not limited fio dischar�ing ❑r paying all taxes, liens, security
<br /> interests, encumbrances and ❑ther claims, at any�ime le�ied or placed an the Property and paying all casts for insuring,
<br /> mainfiaining and preser�ing the Properfiy. A[I such expenditures incurred ❑r paid by Lender�or such pu�pvses will then
<br /> bear interes� at�he ra�e charged under the Note �r�m �he date incurred ar pa�d by Lender to the da�e o� repaymenfi by
<br /> Trustor. A�! such expenses will becvme a part o�the Indebtedness and, at Lender's vptian, will �A� be payable an
<br /> demand; �B} 1ae added �❑ the balance of �he No�e and be appor�ioned among and be payahle wi�h any installment
<br /> payments ta become due during either {�� the t�rm o� any appli�ab[e insuran�e policy; ❑r {�} �he remaining term ❑f
<br /> the Note; or �C} be �reated as a balloon payment which will be due and payable at the No�e's ma�urity. The I�eed of
<br /> Trust a�so wili s�cure payment of these amounts. Such �-ight sha11 be in addition to all other righfis and remedies �❑
<br /> which Lender may be entifiled upvn Default.
<br /> 1NARRANTY: DEFENSE QF T1TLE. The fvllawing pra�isions rela�ing tv ownership of the Prvper�y are a par�of this ❑eed
<br /> of Trust:
<br /> Title. Trus�ar wa�-ran�s �hat: �a� Trusfior hvlds good and marketahle title vfi re�ord to the Proper�y in fee simple,
<br /> free and clear of all �iens and �ncumbrances other than those se� farfh in the Real Property descriptivn ❑r in any
<br /> �itle insurance policy, title repor�, or fina! t�tle opinion issued in fa�or of, and accepted by, Lender in cannec�ion
<br /> wi�h this ❑eed af Trust, and �b} Trustvr has the fu�! righ�, pvwer, and authvrity to exe�ute and delE�er this L�eed v€
<br /> Trus�k to Lender.
<br /> De�ense v�Tifie. Subj�ct to the �xceptian in the paragraph alao�e, Trustor warran�s and wiI[ fo�-e�er defend �he
<br /> ti�file�o the Prvperfiy against�he lawful claims ❑�all persans. ln �he e�ent any action ❑r proceeding is �ommenced
<br /> tha�questEons Trus�or's�it�e or the interest❑f Trustee or Lender under this ❑eed vf Trust, Trus�or shall defend�he
<br /> a�tion a�Trusfor's expense. Trus�or may be the nominaf par�y in such prviceeding, but Lender shall be entitied ta
<br /> par�icipate in the proceeding and t� I�e represented in the proceeding by counsel o-� Lender's own choice, and
<br /> Trustvr will deli�er, v�-cause�o be deli�ered, �❑ Lender such ins�ruments as Lender may request fram �ime �❑time
<br /> to permit such par�icipatian.
<br /> GvmpEiance Vllith Laws. Trus�vr warrants that the Prvperty and Trus�ar's use ❑�f the Prop�rty �omplies w��h all
<br /> existing appli�abfe laws, ordinances, and regulativns ❑f governmental authorities.
<br /> 5ur�iva[ of R�pres�nta#ions and Warranties. All �epresenta�ions, warran�ies, and agreements made by Trustor in
<br /> this aeed o�Trus�sha�l survive th� execu�ion and defivery o�fih�s Deed o�Trust, shall he continuing in nature, and
<br /> sha1� remain in full for�e and effect unti�su�h�ime as Trustar's lndebtedn�ss shall 1ae paid in full.
<br /> C�NDEMNATIQN. The fo�lvwing prv�isions rela�ing to condemna�ion prv�eedings are a par�af this Deed of Trust:
<br /> Proceedings. lfi any proceeding in cvndemnation is fi�ed, Trustor shall prompt[y natify Lender in wri�ing, and
<br /> Trus�or shall promp�ly�ake such steps as may be ne�essary to defend the action and obtain the award. Trustar
<br /> may be the nominal par�y in such proceeding, I�u�t L�nder shall be entitled#❑ participa�e in�he proceeding and�� }�e
<br /> represented in the praceeding by counse� vfi i�s ❑wn choice, and Trustor will deli�er or cause fia he deli��red �❑
<br /> Lender such instrumen�ts and documentation as may be r�quested by Lender from time t❑ time tv perm�t such
<br /> participation.
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