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<br />event of loss Borrower will g►se immediate notice by mail to the
<br />I.tndcr, who may make proof of lose if not made promptly by
<br />Borrower, and each insurance company concerned is hereby
<br />authorised and directed to make payment for such loss directly to
<br />the Lender instead of to the Borrower and the tender 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. In event of foreclosure of this instrument or other transfix r,
<br />of title to the mortgaged property in Mnguishment of the
<br />indebtedness secured hereby, all right, u0o: and interest of the
<br />Borrower in and to any insurance pi+L Q=; then in Earr,;,,e shalt pass t,7.
<br />the purchaser er grantee.
<br />9. That as additional and collateral S,&u1_ ty, Fv ft Mirrent of S'he
<br />note described, and all sums to become dim under this instrument,
<br />the Borrower hereby assigns 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 the conditions of this instrument, and the
<br />Lender may demand, sue for and recover an such payments when
<br />due and payable. but shall not be required so io do Thn assignment
<br />is to terminate and hecrmc null and void upon release of this
<br />instrument
<br />10 That the Borrower will keep the buildings upon said premises
<br />in good repair, and neither commit nor permit waste upon said land,
<br />nor suffer the said premises to be used for any unlawful purpose.
<br />11. That if the premises, or any pan thereof. be condemned under
<br />the power of eminent domain, or acquired for a public use, the
<br />damages awarded, the proceeds for the taking of, or the
<br />consideration for such acquisition, 10 the extent of the full amount of
<br />indebtedness upon this instrument and the note which it is given to
<br />secure remaining unpaid, are hereby assigned by the Borrower to the
<br />Lender, and shall be p:id loo ;with tv said Lender to be applied by
<br />the latter on account of the next maturiinr fAstallmenis of such
<br />indebtedness.
<br />12. The Borrower further agrees that should this instrument and
<br />the note secured hereby not be eligible for insurance under the
<br />National Housing Act within eight mouths from the date hereof
<br />(written statement of any officer of the Ikpartment of Housing and
<br />Urban Development or authorized agent of the Secretary of liiaorryg.
<br />and Urban Development dated subsequent to the eight months' •tufte
<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, at its option, declare all sums
<br />secured hereby immediately due and payable. Notwithstanding the
<br />foregoing, this option may not be exercised by the lender or the
<br />holder of the note when the ineligibility for insurance under the
<br />National 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 fain to make any payments of money
<br />when the same become due, or fails to c(mform to and comply with
<br />.8%7-t 1OP4867- _
<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 shall give notice to Borrower prior to acceleration
<br />following Borrowers breach of any covenant or agreement in this
<br />instrument (but not prior to aecelerasscn under p ar,.4,aph AZ unless
<br />applicable law provides otherwise). The ttatty,v shall NWztFv; (ap the
<br />dcfavlt. 0,j,. the action required to cure t•7ceddAV � (,.a a oa.ce, n4v toes..
<br />ohan 31� dka s from the date the notice is gmen W, &n-rowcr, by which
<br />the default trust be cured. and fill that fa fum to cure the default on
<br />vwT ltic;� the date Wctfte rl M Ote ttoliw may result in acceleration
<br />of Ube 5U.t - secured by u'hrs, uisr t mm, t: and sale of the Property. The
<br />notice shall further irtfoM Borrower of the right to reinstate after
<br />acceleration and the rW�,t 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 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 />urllect all expenses incurred in pursuing the remedies provided in
<br />this paragraph 13. including, but not limited to, reasonable
<br />attorney..' fees and costs of title 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 located
<br />and shall mail copies of such notice in the manner prescribed by
<br />applicable law to Borrower and to the other persons prescribed by
<br />applicable law. After the time required by applicable law, Trustee
<br />shall give public notice of sale to the persons and in the manner
<br />prescribed by applicable law. Trustee, without detmand on Borrower,
<br />shall 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 sale
<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 publit:
<br />announcement at the tr -mc and place of any pre,,:ieusly scheduled
<br />sale. Lender or its de4Pce may purchase the Property, at any sale.
<br />Upon receipt of payment of the price bid, Trustee dial( deliver to
<br />the purchaser Trustees deed conveying the Property. The recitafs in
<br />the Trustee's deed shall be prima facie evidence of the truth of the
<br />statements made thereia. Trustee shall apply the proceeds of the sale
<br />in the following order- (a) ter all expenses of the Safe, including, but
<br />not limited to, Trustee's fees as perm"'ned by applicable law and
<br />reasonable attorneys' fees, (h) to aii.swns secured by this Security
<br />Instrument, and (c) &toy excess to the person or persons legal[)
<br />entitled to it.
<br />14. Upon acceleration under paragraph 13 or abandonment of the
<br />Property. Lender (in person, by agent or by judicially appointed
<br />receiver) shall be entitled to enter upon, take possession of and
<br />manage the Property and to collect the rents of the Property
<br />including those past due. Any rents collected by lender or the
<br />receiver shall 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
<br />Pare 3 of 5
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