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<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 matte payment' for such loss
<br />directly to the Lender instead of to the Borrower and the
<br />Lender jointly, and the insuraao= imoceeds. or any part thereof,
<br />may be applied by the. Le ndez'at its option either to the
<br />reduction of the indebtediess benbY secured or to the
<br />restoration or repair.'- oft- he.prat r:!' damaged. In event of
<br />forie,q tsure of this iira= trument or 'C Lhar trans fer of title to the
<br />mcma3ged, property in extinguis!-,mq,�y of the indebtedness
<br />smured b='eby, all right, title anss'13erest of the Borrower in
<br />and to any itrsn:.rarrce Olicies their''= force shall pass to the
<br />purchaser or gratrtee.:
<br />9. That as additkradi' acrd cAxoral security for the payment
<br />of the note described, to become due under this
<br />instrument, the BorraRe , het"pV assigns to the lender all
<br />profits, revenues. res ;ryes, TWVh ; and benefits accruing to the
<br />Borrower under aap'A O' all ail and gas leases on said premises,
<br />with the right to recciva and receipt for the same and apply
<br />them to said indebtedness as well before as after default in, the
<br />conditions of this instrument; and the Lender may demands sue
<br />for and recover any such payments when due and payable, but
<br />shall not be requir j so to do. This assignment is to terminate
<br />and become null a.,jAbraid jgwn release of this instrument.
<br />10. That the Borw.ry ,Nil' lw* the buildings upon said
<br />premises in good rep&...:andneither commit nor permit waste
<br />upon said land, the said premises to be used for, any
<br />unlawful purpose.,
<br />11: That if the -;en t1M, or any part thereof, be condemned
<br />undth: tine power of ¢atinent domain, or acquired for a public
<br />use, the damages awarded. the proceeds for the taking 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 tt a titter 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 eligib)t for insurance under
<br />the National Hout,ioa Act within eight months from the date
<br />hemof•q�written statement of any officer of the Departm:nt of
<br />Housing and Urban Development or authorized agent of she
<br />Secretary of Housing and Urban Mvelopment dated sub3dj"nt
<br />to the eight moMM time from the date of this instrument.
<br />declining to inswe said note and this mortgage, being deemed
<br />conclusive proof oC such ineligibility), the Lender or holder of
<br />the note may. at its option. declare all sums secured hereby
<br />immediately due and payable. Notwithstanding the foregaing,
<br />this option may raa be exercised by the Lender ur the hvl+:er of
<br />the note when Wa ineligibility for insurance endY the National
<br />Housing Act is duce to the Lender's failure tr remit the
<br />mortfitge insurance premium to the Department of Housing and
<br />Urban Development.
<br />13. That if the Borrower feiI3 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 intert5t shall at once becom: due and
<br />payable. at the election of the Lender.
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<br />Lender shall give notice to Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in
<br />this instrument (but not prior to acceleration under paragraph
<br />12 unless applicable law provides otherwise). The notice shat?
<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 sums
<br />serumd. by this instrument and sale. of the Property. The notice
<br />dial' Ember inform Borrower of the right to reinstate after
<br />ac rzration and tk-v right to bring a court action to assert the
<br />�.a.f a default or any other defense of Borrower to
<br />had =tiraa =d sale. If the default is not cured on or before
<br />'wse:d� 3r pa in the notice, Lender at its c+ptien may.require
<br />imtitediafe Tnent. in full of all sums secured ly this
<br />in ;_
<br />strument:a -out further demand and ms� a<!oke th .wet
<br />of sale and, any other remedies permitted ty applicable law, t.
<br />Leoder shall be entitled to collect all expenses incurred.t-
<br />p ss Ping the remedies provided in this paragraph 13, �si,: rag,
<br />�
<br />b;d,= t limiseA *_o, rgasgnahle attorneys' fees and COO,,.- Of title
<br />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
<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 press^ bed by applicable law. After the time required by
<br />applicable law, Trustee shall give public T611ce of sale to the
<br />persons and it it manner prescribed b3:.ipplicable law.
<br />Trustee, withaim amand on Borrower, 'shall sell the Property at
<br />pti i z suction Toy' the !ii�as: bs3��er at the time and ply: and
<br />unde: the te-.m5 designated s : +ae notice of. sale in a:<<q gr more
<br />-parcels and in aay order Trustee dete:MZuer T uVt4.°.' :s•{
<br />postpone sakv ed all or any parcel of the. n;pE?ty s t, p Alic
<br />announcement at the time and place of any pre;�a�rr: ss htduled
<br />sate;. Lender or its designee may purchase the Property"at any
<br />sate.
<br />Upon receipt of payment of the price bid, Trustee shall deliver
<br />to the purchaser Trustee's deed conw ing the Property. The
<br />recitals in thr Trustee's deed shall be prima facie evidence of the
<br />:ri:.;i of the statements ma4e therein. Trustee shall apply the
<br />proaAz: of the sale in the Cullowing order: (a) to all expenses of
<br />ata r i:. including, but not limited to. Trustee's foes as
<br />pemm ,jed by applicable law and reasonable attorneys' fees; (b)
<br />to all sums secured by this Security 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 r t elver) 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 stall be applied first to payment of the
<br />costs of management of the Property 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 />sutras secured by this instrument.
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