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<br />event of loss Borrower will give immediate notice by mail to the
<br />Lender. who may make proof of foss if aot made promptly by
<br />Borrower. and each insurance company concerned is hereby
<br />authorized and directed to tnake payment for such loss directly to
<br />the Lender instead of to the Borrower and the Lender jointly, and
<br />the insurance proceeds, or any pan 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. to 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 oailsiaal security for the payment of the
<br />note described, and all sums tnD bWame due under this instrument.
<br />the Borrower hereby assigns iii +„ate 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 a mditions of this instrument:. z6d the
<br />Lender may demand, sue fen. mad recover any such paymcci vhen
<br />due and payable, but shall mA becequired. Satty do. This assignment
<br />is to terminate ZMA became and and void spua release of this
<br />instrument.
<br />10. That the 11 -ru7LT r r-:jf keep the buildings upon 5z id Cseirtises
<br />in good repair and mei.hea commit nor permit waste upon. std. land,
<br />COT suffer the sauce rP- emises to be used for any unlawful pia 7o<e.
<br />11. That if the premises. or any part thereof, be condemned under
<br />the power of eminent domain; cracquired for a public use, the
<br />damages awarded, the proceeds for the taking of. or the
<br />consideration for such acquisitial, to the extent of the full amount of
<br />indebtedness upon this instrument and the note which it is given to
<br />secure remaining a:,rva:;& are hereby assigned by the Borrower to the
<br />Lender, and shall be paid forthwith to said Lender to be applia br
<br />the latter on acco:r:.s bf 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 Oigible for insurance under the
<br />National Housing Act within &*it months from the date hereof
<br />(written statement of any officer of the Department of Housing and
<br />Urban Development or authorized agent of the Secretary of Housing
<br />and Urban Development dated subsequent to the eight months' time
<br />from the date of this instrument, declining to insure said note and
<br />this mortgage, being deemed conclusive proof of such ineligibility),
<br />the Lender or holder of the note may, gt its option. declare all sums
<br />secured hereby i= mediately due and payable. Notwithstanding the
<br />foregoing, this 0;6:n may not be exercised by the Lender or the
<br />holder of the nme when the ineligibility for insurance under the
<br />Nwk .al Housing Act is due to the Lender's failure to remit tie
<br />mcutpge insurance premium rte the Department of Housing Lo.4
<br />Uftm Developraw.
<br />1•3, That if the S.-rower fay .o make any pa.>:--ents of money
<br />vrtte* cite same bsrrne due. or fails to confc, z.� r;0 t:cd, W= pl y with
<br />1
<br />89-r 101384
<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 shalt give notice to Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in this
<br />instrument (but 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 ilie: right to reinstate after
<br />asaeieration and the right to bring a cover.0.ffen 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 />attomeys' fees and costs of title evidence..
<br />If the power of sale is invoked, Truriee sh' 9 record a notice of
<br />default in each county in which any part of :he Propwy is located
<br />turd shall mail copies of such notice in the manner press ibed by
<br />applicable law to Borrower and to the other persons pves+aribed by
<br />applicable law. After the time required by applicable law; Trustee
<br />,-,Ml give public notice of sale to the persons and in the manner
<br />prescribed by applicable law. Trustee, without demand on Borrower,
<br />sail 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 safe
<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 an;Fr rre: *o:rsly scheduled
<br />sale. Lender or its designee may purchase ilia 1r1, po, rut- Vk any safe.
<br />Upon receipt of payment of the price bid, Triscee stial deliver to
<br />the purchaser. Trustee's deed conveying the Property. The recitals in
<br />the Trustee's deed shall be prima facie evidence of the truth of the
<br />statements made therein. Trustee shall apply the proceeeas.of the sale
<br />in the following order: (a) to all expenses of the sale, irr.CC4 dtit ^,g, but
<br />not limited to. Trustee's fees as permitted by applicat; a F&w and
<br />reasonable amzm -: fees; (b) to all sums w.ured by t ":s 5ecurit v
<br />Instrument; and (c) any excess to the pens„.; or persons legally
<br />entitled to it.
<br />[4. Upon acceleration under paragraph 13 or abaokament of the
<br />Prdprxty, L=der (in person, by agent or by udicially appointed
<br />receiveTy stunt be entitled to enter upon. mkrc possession of and
<br />manar, 09 Property and to collect the re; �s of the Property
<br />inclz4ag +base past due. Any rents collected by Lender or the
<br />Fewer ss&-rt ire applied first to paymert or the costs of m tr..agement
<br />of ,±:s Pr;cf e.,7 and collection of rents. indu2ing, but r, c Ic^aited to.
<br />receiver's foes, premiums on receiver's bcxj a and reasom.3le
<br />attomey's fees, and then to the sums securnt i.y this iast: urnent.
<br />Page 3 of 5 Mti?N3DT•1
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