|
r
<br />L
<br />event of loss Borrower will give immediate notice; by mail to the
<br />Lender, who may make proof of loss if not made promptly by
<br />Borrower, and each insurance company concerned is hereby
<br />authorized and directed to make payment for such loss directly to
<br />the Render instead of to the Borrower and the lender jointly, and
<br />the insurance proceeds, or any part thereof, may be applied by the
<br />Lender at its option either to the reduction of the indebtedness
<br />hereby secured or to the restoration or repair of the property
<br />damaged. In event of foreclosure of this instrument or other transfer
<br />of title to the mortgaged property in extinguishment of the
<br />indebtedness secured hereby, all right, title and interest of the
<br />Borrower in and to any insurance policies then in force shall pass to
<br />the purchaser or grantee.
<br />9. That as additional and collateral security for the payment of the
<br />note described, and till sums to become due under this instrument,
<br />the Borrower hereby assigns to the Lender all profits, revenues,
<br />royalties, rights and benefits accruing to the Borrower under any and
<br />all oil and gas leases on said premises, with the right to receive and
<br />receipt for the same and apply them to said indebtedness as well
<br />before as after default in the conditions of this instmment, and the
<br />Lender may demand, sue for and recover any such payments when
<br />due and payable, but shall not be required so to do. This assignment
<br />is to terminate and become null and void upon release of this
<br />instrument.
<br />10. That the Borrower will keep the buildings upon said premises
<br />in'good mpair. and neither commit nor permit waste upon said land.
<br />nor suffer the said premises to be used for any unlawful purpose.
<br />11. That if the premises, or any part thereof, be condemned under
<br />the power of eminent domain, or acquired for a public use, the
<br />daiicages &W&fdno', the Nroa vt ds fa. 'auf tasting oi, or the
<br />consideration for such acquisition, to the extent of the full amount of
<br />indebtedness upon this instrument and the note which it is given to
<br />secure remaining unpaid, are hereby assigned by the Borrower to the
<br />Lender, and shall be paid forth%ith -to said Lender to be applied by
<br />the latter on account of the 'next maturing installments of such
<br />indebtedness.
<br />12. The Borrower further agrees that should this instrument and
<br />the note secured hereby not be eligible for insurance under the
<br />National Housing Act within eight months from the date hereof
<br />(writtem. statement of any officer of the Department of Housing and
<br />Urban Development or authorized agent of the Secretary of Rdz6ing
<br />and Urban Development dated subsequent to the eight months' tiate
<br />from the date of this iem ment, declining to insure said note in ,
<br />this mortgage, being deemed conclusive proof of such ineligibl-,ty,
<br />the Lender or-hokler of the note: rrm� �. at its option, declare all stints
<br />secured hereby immediately dire and payable. Notwithstanding the
<br />foregoing, this option: may not be exercised by the Lender or the
<br />holder of the note whert the ineligibility for insurance under the
<br />National Housing Act is due to the Lenders 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 with
<br />89`100421
<br />any of the conditions or agreements contained in this instrument, or
<br />the note which it secures, then the entire principal sum and accrued
<br />interest shall at once become due and payable, at the election of the
<br />Lender.
<br />Lender shall give notice to Borrower prior to acceleration
<br />following Borrowers breach of any covenant at agreement in this
<br />instrument (but not prior to acceltration under paragraph 12 unless
<br />applicable law provides otherwise). The notice shall specify: (a) the
<br />default; (b) the action required to cure the default; (c) a date, not less
<br />than 30 da%s from the date the notice is given to Borrower, by which
<br />the default trntt,, t be cured; and (d) that failure to cure the default on
<br />or before the elate specified in the notice may result in acceleration
<br />of the sums secured by this instrument and sale of the Property. The
<br />notice shall further inform Borrower of the right to reinstate after
<br />acceleration and the right to bring a court action to assert the non-
<br />existence of a default or any other defense of Borrower to
<br />acceleration and sale. If the default is not cured on or before the date
<br />specified in the notice, Lender at its option may require immediate
<br />payment in full of all sums secured by this instrument without
<br />further demand and may invoke the power of sale and any other
<br />remedies permitted by applicable law. Lender shall be entitled to
<br />collect all expenses incurred in pursuing the remedies provided in
<br />this paragraph 13, including, but not limited to, reasonable
<br />attornevs fees and costs of title evidence.
<br />If the power of sale is invoked, Trustee shall record a notice of
<br />default'in each county in which any part of the Property is located
<br />and shall mail copies of such notice in the maatter prescribed by
<br />applicable law to Borrower and to the other persons prescribed by
<br />applicable law. After the time required by applicable law, Trustee
<br />shall give public notice of sale to the persons and in the manner
<br />p,M,^ri'...d by _Yr..:v:e ass: Tr
<br />us witfwut de_nsnd on %rrower
<br />shall sell the Property at public auction to the highest bidder at the
<br />time and place and under the terms designated in the notice of sale
<br />in one or more parcels and in any order Trustee determines. Trustee
<br />may 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 t1Ge Property at any sale.
<br />U'pm receipt of payment of the price bid, Trustee shall deliver to
<br />the purchaser Trustee's deed conveying the Property. The recitals in
<br />the Trustee's deed shall be prima facie evidecs. of the truth of the
<br />statements made therein. Trustee shall apply slue proceeds of the sale
<br />in the following older: (a) to all expenses of the sale, including, but
<br />not limited to. Trustee's fees as permitted by applicable law and
<br />reasonable attorneys' fees: (b) to all sums seWcd by this Security
<br />Instrument; and Cc) any excess to the person at persons legally
<br />entitled to it.
<br />14. Upon acceleration under paragraph 13 or abandonment of the
<br />Property, Lender (in person, by agent or by judicially appointed
<br />receiver) shall be entitled to enter upon, take possession of and
<br />manage the Property and to collect the rents of the Property
<br />including those past due. Any rents collected by Lender or the
<br />receiver shall be applied first to payment of the costs of management
<br />of the Property and collection of rents, including, but not limited to,
<br />receiver's fees. premiums on receiver's bonds and reasonable
<br />attorney's fees, and then to the sums secured by this instrument.
<br />Paqe 3 or 5
<br />44
<br />f
<br />
|