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<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 Lender instead of to the Borrower and the Lender jointly, and
<br />the insurance proceeds, or arty 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 />4. That as additional and collateral security for the payment of the
<br />note described, and all surns to become due under this instrument,
<br />the Borrower hereby assigra 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 tbbY cerZaions of this instrument, and the
<br />Lender may demand, suer f& aod recover any such payments when
<br />due and payable, but shat¢ rat be required so to do. This assignment
<br />is to terminate and becomar n Wl zad void upon release of this
<br />instrument.
<br />10. That the &rrovrer v+ill keep the buildings upon said premises
<br />in good repair, and ceitit a to,rr.rnit nor permit waste upon said land,
<br />nor suffer the said premises to be used for any unlawful puq -vse.
<br />I1. That if the.premises, or any part thereof, be conder :ned under
<br />tln3_ power of emineor don-ain, or acquired for a public use, the
<br />dzimages awarded, the proceeds for the taking of, or the
<br />cam ; deration for such acq ;: ddcm, to the extent of the fail, itmount of
<br />in &i -dness upon this imtr:.-ent and the note which it i5 given to
<br />secam remaining unpaid: are hereby assigned by the Borrower to the
<br />Lender. and shall N Fair' forthwith to said Lender to be applied by
<br />the L=n cm a,axvtnt cf tli;:,;m maturing installments of such
<br />ind:istr�;rte�,
<br />12. The &mi.wer furtf:er zr, = that should this instrument ant
<br />the note secured hemby rot be eligible for insurance under the
<br />National Housing Act within eight months from the date hmv,
<br />(shier statement of any ai r of the Department of Hc�� -t, and
<br />fvrclttn Development or aetlx cued agent of the Secretary (;i Housing
<br />and Urban Development subsequent to the eight months! time
<br />from the date cf this instrunnert, declining to insure said note and
<br />this mortgage, being deemed co ^tlusive proof of such ineligibility),
<br />the Lender cr holder of tie nco-_ ca3y, at its option, declare all sums
<br />secured hereby immediately due and payable. Notwithstanding the
<br />foregoing, this option tea; r. i, be exercised by the !lender or the
<br />holder of the mate w hen ;1e ineligibility for insurance under the
<br />National HatWng. Act is die to the Lenders failure to remit the
<br />mortgage inmrunce pr. a an 'o 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= 101328 - -
<br />any of the conditions or agreements contained in this instrument, or
<br />the note which it securae% 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 Borrower's breach of any covenant or agreement in this
<br />instrument (hut not prior to acceleration 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 days from the date the notice is given to Borrower, by which
<br />the default must be cured; and (d) that failure to cure the default on
<br />or before the date 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 W11- of all sums secured by this instrument without
<br />further de=d and may invoke the power of sale and any other
<br />remedies permzted by applicable law. Lender shall be entitled to
<br />collect all expenses incurred in pursuing the remedies provided ita
<br />this paragraph 33, including, but not limited to, reasonable
<br />attorney fps and costs of title evidence..
<br />if the ewer of sale is invoked, Truster sF J record co',-:= of
<br />default is each county in which any par c the Property is low zd
<br />and shall mall copies of such notice in tW manner prescribed b1
<br />applicable law t o Borrower and to the vVier persons prescribed ray
<br />applicable :a w,' After the time required by applicable law, Trustee
<br />shall give public notice of sale to the persons and in the manner
<br />prescribed ?�: applicable law. Trustee, without demand on Borrower,
<br />shall sell dine R operty at public auction to the highest bidder at the
<br />time and orbx and under the terms designated in the notice of sale
<br />in one cc :-rare parcels and in any order Trustee determines. Trcs:ae
<br />,7t,a,. ; cs-;Yone sale of all or any parcel of the Property tAy public
<br />at the time and place of any previously schedules
<br />sore. l eajw �r its designee may purchase the Property at any salmi.
<br />. Upon receipt of payrnent of the price bid, Trustee shall deliver tc•
<br />:he purchaser Trustees deal conveying the Property. The recitals in
<br />the Trusters deed shall tv prima facie evidence of the truth of the
<br />statements made therein. Trustee shall apply the proceeds of the :sage
<br />in the folEa ,wing order. (a) to all expenses of the sale, including, h4i
<br />not limite4 too, Trustee's fees as permitted by applicable law and,
<br />reasonable attorneys' fees; (b) to all sums secured by this Security
<br />Instrument: and (c) any excess to the person or persons legally
<br />entitled w it.
<br />14. Up,)n acceleration under paragraph 13 or abandonment rftti:
<br />Grcpeny, Lender (in person, by agent or by judicially appointed
<br />tw=iver) stall be entitled to enter upon, take possession of and
<br />manage the ?,oDperty and to collect the rents of the Property
<br />including their past due. Any rents collected by Lender or the
<br />receiver shad 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.
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