|
r
<br />L
<br />L
<br />Lender. In event of loss Borrower will give immediate notice by
<br />mail 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 jointly, ..aw i6q: 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 instrument or other trarssfer of title to the
<br />mortgaged property in extinguishment off.the indebtedness
<br />secured hereby, all right, We 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 desziibed. and all sums to become due under this
<br />w5trument, the Borrower P=eby assigns to the Lender, all
<br />pmAits. revenues., royalties. Tiots and benefits accruitag'to the
<br />$orrower under any and all 'Gil and• gas Ceaises on said premises,
<br />with the right to receive and receipt for cite same and apply
<br />them to said indebtedness as well before as after .et default in the
<br />conditions of this instrument, and the Leader niay demand, sue
<br />for attd recover any such payments when due and payable, but
<br />sh a not be required so to do. This assignment is to terminate
<br />and become uO and void upon release oaf this instrument.
<br />t(c), That the Borrower will keep the, x,-44 cgs upon said
<br />premises in good repair. and ocher 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 />iISC, Lt1C d7U11iYp Mw"CIi, lilC tifliGzu'3 201 UM MAUtIS US, Vr
<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 National Housing Act within eight months from the date
<br />hereof (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 inseue 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 sums secured hereby
<br />inazediately due and payable. Notwithstanding the faregoing,
<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 is 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 />Lender shall give notice to Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in
<br />this instrument (btr not prior to acceleration under paragraph
<br />12 unless applicable law provides othervise);'17ie notice shall
<br />specify: (a) the default* (b) the action required to cure the
<br />default; (c) a date, n,:t Iecs tban. V days from the date the
<br />notice is given to Borro•.wcr, by wtudi the default must be ctsn�J�
<br />and (d) that failure to cure the default on or before the date+
<br />specified in the notice =4 result in acceleration of the sums
<br />secured by this instrument and sale of the Proly. -M. . The notice
<br />shall fuiahet inforat lkilrawec of the right to rf1 tote after
<br />acceleration and the right, to bring a court ,acaurVto assert the
<br />non - existence of a default or any other defense'/IC .Borrower to
<br />acceleration and sale. If the default is not etacd- ant or before
<br />the date specified in the notice, Lender at its gpticm 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 ad any other remedies permitted by applicable. law.
<br />Lender shall be entitled to collect 41 expenses incurred in
<br />pursuing the remedies provided in this paragraph. 1.3; iiaclatr�tir�r,;
<br />but not Iimited to, reasonable auoiaeys' f al trees an costs. at litir_; ;
<br />evidence.
<br />If the power of sale is invoked, Trustee shall record a.pptlm-of . '
<br />default in each county in whirls any part of the Property is
<br />located and shall mail copies of such notice in the manner
<br />prescribed by applicable law tax Borrowei and to the other r ,
<br />persons prescribed by applicable law-After the time required by
<br />applicable law, Trustee shall, give public notice of sale to the
<br />persons and in the manner prescribed by applicable law.
<br />Trustee, without demand om 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 />rarMls and in any order Trustee determines, Tnlstm man
<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 Property. The
<br />recitals in the Trustee's deed:shall be prima facie evidence of the
<br />truth of the statements made therein. Trustee shall apply the
<br />proceeds of the sale in the following order: (a) to all expenses of
<br />the sale, including, but not limited to. Trustee's fees as
<br />permitted by applicable law and reasonable attorneys' fees; (b)
<br />to all sums secured by this Stcurity Instrument; and (c) any
<br />excess to the person or persons legally entitled to it.
<br />14. Upon acceleration under paragraph 13 or abandonment of
<br />the Property, Lender (in person,. by agent or by judicially
<br />appointed receiver) shall be entitled to enter upon. take
<br />possession of and manage the:Property and to collect the rents
<br />of the Property including those past. due. Any rents collected by
<br />Lender or the receiver shall be applied first to payment of the
<br />costs of management of the Broperty and collection of rents,
<br />including, but not limited to,, receiver's fees, premiums on
<br />receiver's bonds and reasonable attorneys' fees, and then to the
<br />sums secured by this instrument.
<br />Page 3 of 5 HUD- 92143DT -t
<br />J
<br />;
<br />i
<br />a
<br />
|