|
200007462 DEED OF TRUST
<br />(Continued) Page 2
<br />federal, state, and local laws, regulations and ordinances, Including without limitation all Environmental Laws. Trustor authorizes Lender and
<br />Its agents to enter upon the Property to make such Inspections "and tests, of Tnustor's expense, as Lender may doom appropriate to
<br />determine compliance of the Property_ with this section of ifs Deed` of Trust: ,.Any Inspections or tests made by Lender shall be for Lender's
<br />purposes Dray and shah not be'. construed to create any responsibMity or IiebiNly' on th>• part of Lender to Trustor or to any other person. The
<br />reprssenfations and warranties Contained herein are based on Trustor's due dMigeriCe in investigating the Property for Hazardous
<br />Substances. Trwto hereby (1) releases and waives terry future claims against Lender for Indemnity or contribution in the event Trustor
<br />becomes liable for cleanup or other costs under any such laws; and '(2) agrees to indemnify and hold harmless Lender against any and all
<br />claims, losses, liabilities, damages, penalties, and expenses which Lender may directly or indirectly sustain or suffer resulting from a breach
<br />of this section of the Deed of Trust or as a consequence of any use, generation, manufacture, storage, disposal, release or threatened
<br />release occurring prior to Trustor's ownership or interest in the Property, whether or not the same was or should have been known to Trustor.
<br />The provisions of this section of the Deed of Trust, Including the obligation to indemnify, shall survive the payment of the Indebtedness and
<br />the satisfaction and reconveyance of the Men of this Deed of Trust and shall not be affected by Lender's acquisition of any interest in the
<br />Property, whether by foreclosure or otherwise.
<br />Nuisance, Weals. Trustor shall not cause, conduct or permit any nuisance nor commit, permit, or suffer any stripping of or waste on or to
<br />the Property or any portion of the Property. Without limiting the generality of the foregoing, Trustor will not remove, or grant to any other
<br />party the right to remove, any timber, minerals Cux*x* g oil and sus), coal, duly, scoria, aril, gravel or rack products without Lender's prior
<br />written consent. .
<br />°-- R@NW Nr of 111WOvilaet ie: `TrdiRWVWrW ddrAdlig of remove any Improvements from the Real Property without Lender's prior written
<br />consent. As a condition to the removal of any Improvements, lender may require Trustor to make arrangements satisfactory to Lender to
<br />replace such Improvements with Improvements of at least equal valve.
<br />Lender's RigM to Enter. Lender and Lender's agents and representatives may enter upon tie Real Property at all reasonable times to
<br />attend to Lender's interests and to inspect the Real Property for purposes of Trustor's compliance with the terms and conditions of this Deed
<br />of Trust.
<br />Compliance with Governmental RequWanents, Trustor shall promptly comply with all laws, ordinances, and regulations, now or hereafter
<br />in effect, of all governmental authorities applicable to the ws or occupancy of the Property. Trustor may contest in good faith any such law,
<br />ordinance, or regulation and withhold compliance during any proceeding, Including appropriate appeals, so long as Trustor has notified
<br />Lender in writing prior to doing so and so long as, in Lender's sole opinion, Lender's interests In the Property are not jeopardized. Lender
<br />may require Trustor to post adequate security or a surety bond, reasonably satisfactory to Lender, to protect Lender's Interest.
<br />Duty to Protect. Trustor agrees neither to abandon nor leave unattended the Property. Trustor shall do all other acts, in addition to those
<br />ads set forth above in this section, which from the character and use of the Property are reasonably necessary to protect and preserve the
<br />Property.
<br />TAXES AND LIENS. The following provisions relating to the taxes and liens on the Property are part of this Deed of Trust:
<br />Payment. Tru etor shall pay when due (and In all events prior to delinquency) all taxes, special taxes, assessments, Charges (Including water
<br />and sewer), Ames and impositions levied against or on account of the Property, and shall pay when due all claims for work dorm on or for
<br />services rendered or malerial furnished to the Property. Trustor shall maintain the Property free of all Mons having priority over or equal to the
<br />Interest of Lender under this Deed of Trust, except for the Ilan of taxse and assessments not due, except for the Existing Indebtedness
<br />referred to below, and except as otherwise provided In this Deed of Taut.
<br />RI9M to Contest. Trustor may withhold payment of any tax, assessment, or claim in connection with a good faith dispute over the obligation
<br />to pay, so long as Lender's interest In its Property is not jeopardized. If a Ion arises or is flied as a result of nonpayment, Trustor shall within
<br />fifteen (15) days after the Non arises or, if a Ion is Sod, within Aileen (15) days after Trustor has notice of the filing, secure the discharge of the
<br />Non, or it requested by Lender, deposit with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender M an
<br />amount sufficient to discharge the Non plus any costs and attorneys' fees, or other charges that could accrue as a re" of a foreclosure or
<br />sale under the Non. In any contest, Trustor shelf defend NW ard'tender end 00,satisfy any adverse judgment before enforcement against
<br />the Property. Trustor shall name Lender as an additW obliges under any surety bond furnished in the contest proceedings.
<br />Evidence of Payment. Trustor shall upon demand hunlsh to Lender satsfectory evidence of payment of the taxes or assessmenb and stall
<br />authorize the appropriate governmental official to deliver to Lender at any time a written statement of the taxes and assessments against the
<br />Property.
<br />Notice of Construction. Trustor shall notify Lender at least Mean (15) days before any work is commenced, any services are furnished, or
<br />any materials are suppled to the Property, If any mechanic's Men, materisinen's Nen, or other Non could be asserted on account of the work,
<br />services, or materials. Trustor will upon request of Lender furnish to Lender advance assuranoss satisfactory to Lender that Trustor can and
<br />will pay the cost of such improvements.
<br />PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring its Property are a part of this Deed of Trust.
<br />Maintenance of hmmance. Trustor shall procure and.mainWn polc*.of Are insurance with standard extended coverage endorsements on
<br />a fair value basis for the full Insurable value covering all Improvements on the Real Property in an amount sufficient to avoid application of
<br />any coinsurance clause, and with a standard mortgagee clause in ,favor of tender, together with such other hazard and liability Insurance as
<br />Lender may reasonably require. Policies shall be written In form, amounts, coverages and basis reasonably acceptable to Lender and issued
<br />by a company or companies reasons* acceptable to Lender. Trustor, upon request of Lender, will delver to Lender from tine to time the
<br />policies or certificates of Insurance in form satisfactory to Lender, including stipulation that coverages will not be cancelled or diminished
<br />without at least thirty (30) days prior written notice to Lender. Each insurance policy also stall include an endorsement providing that
<br />coverage In favor of Lender will not be Impaired M any way by any act, omission or default of Trustor or any other person. Should the Real
<br />Property be located in an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area,
<br />Trustor agrees to obtain and maintain Federal Flood Insurance, It available, within 45 days after notice is given by Lander that the Property is
<br />located in a special flood hazard area, for tie full unpaid principal balance of the loan and any prior Hens on the property securing the ban,
<br />up to the maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lender, and to maintain such
<br />Insurance for the term of the ban.
<br />Applicedon of Proceeds. Trustor shalt promptly notify Lender of any loss or damage to the Property. Lender may make proof of loss ff
<br />Trustor fails to do so within fifteen (15) days of the casualty. Whether or not Lender's security is Impaired, Lender may, at Lender's election,
<br />receive and retain the proceeds of any Insurance and apply the proceeds to the reduction of the Indebtedness, payment of srgr Non aasoting
<br />the Property, or the restoration and repair of the Proper ±y. If Lender elects to apply the proceeds to restoration and repair, Trustor shell
<br />repair or replace the damaged or destroyed InWvmm w* in a manner satisfactory to Lender. Lender shelf, upon satisfactory proof of such
<br />expenditure, pay or reimburse Trustor from the proceeds for the reasonable cost of repair or restoration if Tnutar Is not In default under this
<br />Deed of Trust Any proceeds which have not been disbursed within 180 days after their receipt and which Lender has not oonmdfied to the
<br />repel or restoration of the Property shall be used first to pay any amount owing to Lender under this Deed of Taut, then to pay accrued
<br />Interest, and the remainder, it any, shell be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment
<br />M full of the Indebtedness, such proceeds shall be paid to Trustor as Trwtor's interests may appear.
<br />Unexpired Insurance M Sate. Any unexpired insurance shall inure to the benefit of, and pass to, the purchaser of the Property covered by
<br />this Deed of Trust at any instee's sate or other sate held under the provisions of this Deed of Trust, or at any foreclosure sate of such
<br />Property.
<br />Compliance with Existing Indebtedness. During the period in which any Existing Indebtedness described below is In effect, compliance
<br />with the insurance provisions contained in the instrument evidencing such Existing Indebtedness shall constitute compliance with the
<br />insurance provisions under this Deed of Trust, to the extent compliance with the terms of this Deed of Trust would constitute a duplication of
<br />Insurance requirement. If any proceeds from the insurance become payable on loss, the provision in this Deed of Trust for division of
<br />proceeds shell apply only to that portion of the proceeds not payable to the adder of the Existing Indebtedness.
<br />LENDER'S EXPENDITURES. It Trustor falls (A) to keep the Property free of all taxes, liens, security Interests, encumbrances, and other claims,
<br />(B) to provide any required Insurance rance on the Property, (C) to make repairs to the Property or to comply with any obligation to maintain Existing
<br />Indebtedness in good standing as required below, then Lender may do so. If any action or proceeding is commenced that would materially affect
<br />Lender's interests in the Properly, then Lender on Trrstor's behalf nay, but Is not required to, take any action that Lender believes to be
<br />
|