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2� 17�2791
<br /> DEED �F TRUST
<br /> ����1t�nu�d� Page 3
<br /> form, amoun�s, �o�erages and �asis reasonably acceptah�e tv Lender and issued by a company or campanies
<br /> reasonahly acceptable tv Lender. Trustor, upon request of Lender, will deli�er t❑ Lender �rom time tv time the
<br /> p�licies ❑r certificates of insurance in farm satisfa���ry �v Lender, including stipulations that co�erages will not b�
<br /> cancelled vr diminished without a� least thirty t30� days prior written notice tv Lender. Each insurance pvlicy a[s�
<br /> shall in��ude an endvrsement pro�iding that cv�erage in fa�or of Lend�r w��l not be impaired in any way by any act,
<br /> omission or defau[t a�f Trustor or any other persvn. Should the Real P�aperty be located in an area d�signated by
<br /> �he Administra�or o�the Federal Emergency Management Agency as a special flvvd hazard area, Trustvr agrees to
<br /> obtain and maintain Federal Flood Insurance, if a�ailable, fo� �the full unpaid principaf baiance of the Ioan and any
<br /> priar liens on the proper�y securing the loan, up t� �he maximum po�icy fimits s�t under the National Flood
<br /> lnsurance Program, vr as otherwise requ��ed hy Lender, and t❑ maintain su�h insurance�or�he term�f the loan.
<br /> Applicativn o�Prv�eeds. Trusfior shall promp�ly notify Lender of any lass or damage to �he Prop��ty. Lender may
<br /> make proof vf loss if Trustor fails to do sv within fift�en ��5� days of the casuafty. Vllhether or nvt Lender's
<br /> security is impaired, Lender may, at Lend�r`s ele�tion, recei�e and retain the proceeds of any insurance and app�y
<br /> the pr�ceeds t❑ fihe reduction of th� lndehtedness, paymen� of any l�en affecting the Property, or th� restoratian
<br /> and repa�r o�f the P�operty, I� Lender el�cts to apply the proceeds to restora�ion and repair, Trust�r shall repafr or
<br /> replace �he damaged or destroyed Impro�ements in a manner sat�sfactory to Lender. Lender shall, upon
<br /> sa�isfactory proof v# such expendi�ure, pay or reimburse Trus�or #rom the prviceeds far the reasanab�e �ost o�
<br /> repair or restvrat�an if Trustor is no� in de�aul� under �h�s Deed of Trust. Any proceeds which ha�e no� been
<br /> disbursed wi�hin 1$4 days afte� �heir receip� and which Lender has n�t commi��ed to the repair or r�staration �f
<br /> the Praperty sha�f be used first ta pay any amaun�t ow�ng to Lender under this Deed ❑#Trus�, then �o pay accrued
<br /> in�erest, and the remainder, if any, shal� be applied ta the principa[ baiance of the Indebt�dness. I� Lender h�lds
<br /> any proceeds aft�r payment in �ull of �he Indebtedness, such pro�e�ds shall be paid ta Trustor as Trust�r's
<br /> in�erests may appear.
<br /> Trustor's Re�ort on Insurance. Upon reques�of Lender, howe�er nat mare than once a year, Trustor shalf furnish
<br /> to Lender a report on each exis�ing poiicy of insurance showing: t 1} �he name vf the insurer; �2} the C{5IC5
<br /> insured; �3� the amount of �he po�icy; �4y the p�oper�y insured, the �hen current replacement �alue o� such
<br /> property, and the manner❑f determining fiha��alu�; and �5� �the exp�ration dat� o�the poli�y. Trustar shal�, upon
<br /> request of L�nder, ha�e an independ�nt appraiser satis�actary to Lender determ�ne the cash�alue replacem�nt�ast
<br /> of the Prvperty.
<br /> TAX AND INSURANCE RESERVES. 5ubj�ct tv any limitations and cansistent with any r�quirements se� by applicable
<br /> law, Lender may require Trus�or to maintain with Lender reser�es for payment o� annual �axes, assessments, and
<br /> insurance prem�ums, which reser�es sha11 be created by an initial deposit and subsequent monthly payments, ❑r
<br /> payments at such other inter�al as payments under the Note may be due, of a sum estimated by Lender to be suffi�ient
<br /> to pay the total annual taxes, assessments, and insurance premiums Lends� reasanably anticipa�es to be paid from
<br /> these reser�es. The reser�e�unds shall be held by Lender as a general deposit fram Trustor, which Lender may satisfy
<br /> by payment of the taxes, assessments, and insuranc� premiums required �o he paid by Trustor as they become due.
<br /> Lender shai� ha�e the right �to draw upon the reser�e funds �o pay such items, and Lender shalk not b� required to
<br /> determine the �alid�ty or a��uracy of any item befare paying it. N�thing in �he Deed vf Trust shal� be �onstrued as
<br /> requiring Lender t� ad�ance other m�nies for such purp�ses, and Lender shall not incur any liability for any�hing it may
<br /> do vr amit t❑ do with respect to �he res�r�e account. 5u#aje�� to any fimi�atians set hy appli�a�fe law, if the reser�e
<br /> funds disclase a shor�age or deficiency, Trustor shall pay such sho�tage or def�cien�y as re�uired by Lender. All
<br /> amounts in the reser�e a�count are hereby pledged�v further secure th� lndebtedness, and Lender is hereby autharized
<br /> to withdraw and apply such amounts�n the Indebtedness up�n the occurr�nce of an E�ent of Default. Lend�r shall not
<br /> be required to pay any �nterest or earnings on the reser�e �unds uni�ss required by law or agr�ed to �y Lender in
<br /> wri�ing. Lender does n�t ho�d the reser�� fiunds in trust for Trustar, and Lender �s nat Trusta�'s agent for paymen� af
<br /> the taxes and assessments r�quired ta be paid by Trustvr.
<br /> LENDER'S EXPENDiTURES. lf any actian ar proceeding is commenced that would materially affect Lender's interest in
<br /> the Property or i�Trustar fails to comply with any prv�ision af�his Deed vf Trust vr any Related Dvcuments, including
<br /> but not limited to Trustor's failure to discharge or pay when due any amounts Trus�or �s required to discharge ar pay
<br /> under�his D�ed af Trust or any Re�ated Do�uments, Lender on Trus�or's behal#may �but sha1� no� be obligated to� tak�
<br /> any action that Lender deems appropriate, includ�ng but not iimi�ted �o discharging or paying all �axes, fi�ns, securi�y
<br /> interests, encumbran�es and other claims, at any time le�ied or p�aced an the Praperty and pay�ng all costs far insuring,
<br /> maintaining and preser�ing the Property. Al[ such expenditures �ncurr�d or pa�d by Lender �or such purposes will then
<br /> bear in�erest at the rat� charged under�he Note frvm the date in�urred or paid by Lender ta the date af repayment by
<br /> Trustor. A�i such expenses will become a part of the Indebtedness and, at Lender's option, will �A) be payable on
<br /> demand; {g} be added to the balance af �he Note and be apportioned among and h� payable with any �nstallment
<br /> payments to be�ame due dur�ng either t�� �he �erm of any appli�able insuranGe policy; or �2� �he remaining te�m o�
<br /> �he Note; ❑r �Cy �s trea�ed as a �alloon paymen� which will be due and payable a�the Note's maturity. The D��d of
<br /> Trus� also will se�ure payment af �hese amounts. 5uch right shall be in addition to ali ather rights and remedies ta
<br /> which Lende�may be entitled upon Defau[t.
<br /> WARRANTY; DEFENSE�F TITLE. The fo��owing pro�isions re�a�ing to ownership af the Proper�y are a part of this ❑eed
<br /> o�Trust;
<br /> Title. Trustor warrants �hat: �ay Trustor hvlds good and marketable title af record to the Praperty in �ee simp�e,
<br /> �ree and �fear of all liens and encum�arances other than �hose set �vrth in the Real Property descr�ption or in any
<br /> title insurance policy, t�tle report, �r �inal title opinivn issued in fa�ar of, and accepted by, Lender in connection
<br /> with this Deed of Trust, and 4by Trustor has�he fu[� right, power, and authority to execute and deli�er�his Deed of
<br /> Trust to L�nder.
<br /> Defense v�Titfe. Subje�t to the exception in the paragraph a�ove, Trustor warrants and wi[[ fQre��r defend the
<br /> title to the Property against the �awfu[ �faims ❑f all persans. fn the e��nt any action or proceeding is commenced
<br /> that questivns Trustor's title or the interest of Trustee or Lender under th�s Deed af Trust, Trustvr shail defend the
<br /> actian at Trustor's expense. Trustor may be the nominal par�y in such p�oc�eding, but Lender sha�i be en�i�led to
<br /> parti�ipats in the prviceed€ng and ta be represented in the proceeding by counse� of Lender's awn �hoice, and
<br /> Trustor will deliver, ❑r caus� to be deli�ered, to Lende�such instruments as Lender may request from time to time
<br /> to perm�t such participation. �
<br /> Camp�iance Vllith Laws, Trustor warrants that �he Property and Trust�r's use of the Proper�y complies wi�h a�l
<br /> existing applicable laws, vrd�nances, and regulations of go��rnmental authorities.
<br /> Sur�iWa� of Represen#ations and VNarranties. Ai� representations, warranti�s, and agreements made by Trus�or in
<br /> th�s Deed ❑�Trust sha�� sur�i�e the execu�ivn and deli�ery of this [Jeed of Trust, shall be continuing in nature, and
<br /> shal� �emain in full force and effe�t unt�l such time as Trus�or's Ind�btedness shall he paid in fuli.
<br /> C�IVOEMNATION. The fo[f�wing pro�isions relating ta condemnation p�oceedings are a par�af this Deed vf Trust:
<br /> Proceed�ngs. If any p�aceeding in candemnatian is #iled, Trustor shall promptly notify Lender in writing, and
<br /> Trustor shatf pramp#ly take such steps as may b� necessary to de�end the action and obtain th� award, Trusto�
<br /> may be�he nominal pa�ty in such proceeding, but Lender shall be entit�ed to part�cipa�e in th� proceeding and to be
<br /> represen�ed in the praceeding by counsel vf its own choice, and Trustor will d�ii�e�- or cause to be deli�ered tv
<br /> Lender such instruments and docum�ntatian as may he requested by Lender fram time to t�me to permit such
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