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<br />tender. In event of loss Borrower will give immediate notice by
<br />tttail to the Lender, who may make proof of loss if not made
<br />promptly by Borrower, and each insurance company concerned
<br />Is hereby authorized and directed to make payment for such loss
<br />directly to the Lender instead of to the Borrower and the
<br />Lender joint(v, and the insurance proceeds. or any part thereof,
<br />may be applied by the Lender at Its option either to the
<br />reduction of the indebtedness hereby secured or to the
<br />restoration or repair of the property damaged. In event of
<br />foreclosure of this bmttument or other transfer of title to the
<br />mortgaged property in extinguishment of the indebtedness
<br />secured hereby, all right, title and interest of the Borrower in
<br />and to any insurance policies then in force shall pass to the
<br />purchaser or grantee.
<br />9. That as additional and collateral security for the payment
<br />of the note descrfJxd, and all sums to become due under this
<br />instrument, the Borrower hereby assigns to the Lender a3 '
<br />profits, revenui+s„ royalties. rights and benefits accruing to the
<br />Borrower under any and all oil and gas teases an said premises,
<br />with the right to receive and receipt for the same and apply
<br />them to said indehtedness as well before as after default in the
<br />conditions of this instrument, and the Lender may demand, sue
<br />for and recover any such payments when due and payable. but
<br />shall not be required so to do. This assignment is to terminate
<br />and become null and void upon.release of this instrument..
<br />I0. That the Borrower will keep the buildings upon said
<br />' pfetaises in good repair, and neither commit nor permit waste
<br />upon said land; nor suffer the said premises to be used for any
<br />unlawful purpose.
<br />11. That If the premises, or any part thereof, be condemned
<br />under the power of eminent domain, or acquired for a public
<br />use, flu-1-9 dfu-nagas rawaided, 'wc pfiriiati8 for the iuking Of. or
<br />the consideration for such acquisition, to the extent of the full
<br />amount of indebtedness upon this instrument and the note
<br />which it is given to secure remaining unpaid, are hereby assigned
<br />by the Borrower to the Lender. and shall be paid forthwith to
<br />said Lender to be applied by the latter on account of the next
<br />maturing installments of such indebtedness.
<br />12. The Borrower further agrees that should this instrument
<br />and. the note secured hereby not be eligible for insurance under
<br />the Mflonal Housing Act within eight months from the date
<br />heeeof (written statement of any officer of the Department of
<br />Housing and Urban Development or authorized agent of the
<br />Secretary of Housing and Urban Development dated subsequent
<br />to-the eight months' time from the date of this instrument,
<br />declining to insure said note and this mortgage, being deemed
<br />conclusive proof of such ineligibility), the Lender or holder of
<br />the note may, at its option, declare all suns secured hereby
<br />immediately due and payable. Notwithstanding the foregoing,
<br />this option may not be exercised by the Lender or the holder of
<br />the note when the ineligibility for insurance under the National
<br />Housing Act b due to the Lender's failure to remit the
<br />mortgage insurance premium to the Department of Housing and
<br />Urban Development.
<br />13. That if the Borrower fails to make any payments of money
<br />when the same become due, or fails to conform to and comply
<br />with any of the conditions or agreements contained in this
<br />instrument, or the note which it secures, then the entire
<br />principal sum and accrued interest shall at once become due and
<br />payable, at the election of the Lender.
<br />Bb- 100103
<br />Lender shall give notice to Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in
<br />W3 instrument (but not prior to acceleration under paragraph
<br />12 unless applicable law provides otherwise). The notice shall
<br />specify: (a) the default; (b) the action required to cure the
<br />default; (c) a date, not less than 30 days from the date the
<br />notice is given to Borrower, by which the default must be cured;
<br />and (d) that failure to cure the default on or before the date
<br />specified in the notice may result in acceleration of the stuns
<br />secured by this instrument and sale of the Property. The notice
<br />shall further inform Borrower of the right to reinstate after
<br />acceleration and the right to bring a court action to assert the
<br />non - existence of a default or any other defense of Borrower to
<br />acceleration and sale. If the default is not cured on or before
<br />the date specified in the notice, Lender at its option may require
<br />immediate payment in full of all sums secured by this
<br />instrument without further demand and may invoke the power
<br />of sale and any other remedies permitted by applicable law.
<br />Leader shall be entitled to collect all expenses incurred in
<br />pursuing the remedies provided In this paragraph I3. including,
<br />but not limited to, reasonable attorneys' fees and costs of title
<br />evidence.
<br />If the power of sale is invoked. Tt-agft shall record a notice of
<br />default in each county in which and gart.of the Property is
<br />located and shall mail copies of such notice in the manner
<br />prescribed by applicable law to Borrower and to the other
<br />persons prescribed by applicable law. After the titre required by
<br />applicable taw„ Trustee shall give public notice of sale to the
<br />persons acid is the mariner prescribed by applicable' law.
<br />Trustee. with ut demand on Borrower, shall sell the Property at
<br />public auction to the highest bidder at the time and-place and
<br />under the terms designated in the notice of sale in one or more
<br />parcels and in any order, TiUaacc vt~tVauiuc'b. 'SAWMZ May
<br />postpone sale of all or any parcel of the Property by public
<br />announcement at the time and place of any previously scheduled
<br />sale. Lender or its designee may purchase the Property at any
<br />sale.
<br />Upon receipt of payment of the price bid, Trustee shall deliver
<br />to the purchaser Trustee's deed conveying the PropeAy. The
<br />recitals in the Trustee's deed shall be prima facie evidence of the
<br />truth of the �tements made therein. Trustee shall apply the
<br />proceeds of the sale in the following order: (a) to all expenses of
<br />. Lbe sale, including, but not limited to, Trustee's fen as
<br />permitted by applicable law and reasonable attorneys' fees; (b)
<br />co all sums secured by this Security Instrument; and (c) any
<br />excess to fhe: person or persons legally entitled to it.
<br />14. Upon: acceleration under paragraph 13 or abandonment of
<br />tilt Property, Lender (in person, by agent or by judicially
<br />,appointed roceiver) shall be entitled to enter upon; take
<br />gossessiary of and manage the Property and to collect the rents
<br />of the Property including those past dire. Any rents collected by
<br />Lender or the receiver shall be applied first to payment of the
<br />casts of management of the Property and collection of rents,
<br />including, but not limited to. receiver' ;.fees, premiums on
<br />receiver's bonds and reasonable attorneys'. fees, and then to the
<br />sums secured by this instrument.
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