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DEED OF TRUST 4 00007$80
<br />(Continued) Page 2
<br />the Property, there has been no use, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous
<br />Substance by any person on, under, about or from the Property; (2) Trustor has no knowledge of, or reason to believe that there has been,
<br />except as previously disclosed to and acknowledged by Lender In writing, (a) any breach or violation of any Environmental Laws, (b) any
<br />use, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance on, under, about or
<br />from the Property by any prior owners or occupants of the Property, or (c) any actual or threatened litigation or claims of any kind by any
<br />person relating to such matters; and (3) Except as previously disclosed to and acknowledged by Lender in writing, (a) neither Trustor nor
<br />any tenant, contractor, agent or other authorized user of the Property shall use, generate, manufacture, store, treat, dispose of or release any
<br />Hazardous Substance on, under, about or from the Property; and (b) any such activity shall be conducted in compliance with all applicable
<br />federal, stale, and local laws, regulations and ordinances, Including without Imitation all Environmental Laws. Trustor authorizes Lender and
<br />Its agents to enter upon the Property to make such inspections and tests, at Trustor's expense, as Lender may deem appropriate to
<br />determine compliance of the Property with this section of the Deed of Trust. Any inspections or tests made by Lender shall be for Lender's
<br />purposes orgy and shall not be construed to create any responsibility or liability on the part of Lender to Trustor or to any other person. The
<br />representations and warranties contained herein are based on Trustor's due diligence In Investigating the Property for Hazardous
<br />Substances. Trustor hereby (1) releases and waives any future claims against Lender for Indemnity or contribution in the event Trustor
<br />becomes table for cleanup or other casts under any such laws; and (2) agrees to indemnity 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 Dead 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 indemnity, shall survive the payment of the Indebtedness and
<br />the satisfaction and reconveyarce of the ten of this Deed of Trust and shat not be affected by Lender's acquisition of any interest In the
<br />Property, whether by foreclosure or otherwise.
<br />Nuisance, Wash. 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 Mmiting the gerwiMy of the foregoing, Trustor will not remove, or grant to any other
<br />party the right to remove, any timber, minerals (including oil and gas), coal, day, scoria, soli, gravel or rock products without Lender's prior
<br />written consent.
<br />Removal of Improvements. Trustor shall not demolish or 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 value.
<br />Lender's Right to Enter. Lender and Lender's agents and representatives may enter upon the 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 Requirements. Trustor shall promptly comply with all laws, ordinances, and regulations, now or hereafter
<br />In effect, of all governmental authorities applicable to the use or occupancy of the Property, including without Imitation, the Americans With
<br />Disabilities Act. Trustor may contest in good faith any such law, ordinance, or regulation and withhold compliance during any proceeding,
<br />Including appropriate appeals, so long as Trustor has notified Lender in writing prior to doing so and so long as, M Lender's sole opinion,
<br />Lender's Interests In the Property are not jeopardized. Lender may require Trustor to post adequate security or a surety bond, reasonably
<br />satisfactory to Lender, to protect Lender's interest.
<br />Duty to Protect. Truster agrees neither to abandon nor leave unattended the Property. Trustor shall do all otter 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 />Construction Loan. If some or all of the proceeds of the loan creating the Indebtedness are to be used to construct or complete
<br />construction of any Improvements on the Property, the Improvements shah be completed no later than the maturity date of the Note (or such
<br />earlier date as Lender may reasonably establish) and Trustor shall pay In full at costs and expenses in connection with the work. Lender will
<br />disburse loan proceeds under such terns and conditions as Lender may deem reasonably necessary to insure that the interest created by
<br />this Deed of Trust shall have priority over all possible Hers, Including those of material suppliers and workmen. Lender may require, among
<br />other things, that disbursement requests be supported by reoeipted bills, expense affidavits, waivers of tiers, construction progress reports,
<br />and such other documentation as Lender may reasonably request.
<br />TAXES AND LIENS. The following provisions relating to the taxes and tens on the Property are part of this Deed of Trust:
<br />Payment. Trustor shall pay when due (and In all events prior to delinquency) all taxes, special taxes, assessments, charges (including water
<br />and sewer), Ones and impositions levied against or on account of the Property, and shall pay when due all claims for work done on or for
<br />services rendered or materiel furnished to the Property. Trustor shall maintain the Property free of all Nens having priority over or equal to the
<br />Interest of Lender under this Deed of Trust, except for the ten of taxes and assessments not due and except as otherwise provided In this
<br />Deed of Trust.
<br />Right 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 the Property is not jeopardized. If alien arises or is filed as a result of nonpayment, Trustor shall within
<br />Moen (15) days after the Ilan arises or, If a Non is filed, within fif teen (15) days after Trustor has notice of the filing, secure the discharge of the
<br />Non, or if requested by Lender, deposit with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender In an
<br />amount sufficient to discharge the Non plus any costs and attorneys' fees, or other charges that could accrue as a result of a foreclosure or
<br />sale under the Non. In any contest, Trustor shall defend Itself and Lender and shall satisfy any adverse judgment before enforcement against
<br />the Property. Trustor shall name Lender as an additional obligee under any surety bond furnished in the contest proceedings.
<br />Evidence of Payment. Trustor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and shall
<br />authorize the appropriate governmental ofOdal to deliver to Lender at any time a written statement of the taxes and assessments against the
<br />Property.
<br />Notice of ConehucHon. Trustor shall notify Lender at least fifteen (15) days before any work Is commenced, any services are tarnished, or
<br />any materials are supplied to the Property, tl any mechanic's Men, materialmen's Non, or other Men could be asserted on account of the work,
<br />services, or materials. Trustor will upon request of Lender hxnhsh to Lender advance assurances 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 the Property are a part of this Deed of Trust.
<br />Mekdonance of Insurance. Trustor shag procure and maintain policies of Ore 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 mortgages clause in favor of Lender. Trustor shall also procure and maintain comprehensive
<br />general liability insurance In such coverage amounts as Lender may request with trustee and Lender being named as additional insureds in
<br />such liability insurance policies. Additionally, Trustor shall maintain such other Insurance, including but not limited to hazard, business
<br />Interruption, and bolter insurance, as Lender may reasonably require. Policies shalt be written in form, amounts, coverages and basis
<br />reasonably acceptable to Lender and Issued by a company or companies reasonably acceptable to Lender. Trustor, upon request of
<br />Lender, will deliver to Lender from time to time the policies or certificates of Insurance in form satisfactory to Lender, Including sthpuladors
<br />that coverages will not be cancelled or diminished without at least thirty (30) days prior written notice to Lender. Each insurance policy also
<br />shag Include an endorsement providing that coverage in favor of Lender will not be Impaired M any way by any act, omission or default of
<br />Trudor or any other person. Should the Real Property be located in .an area designated by the Director of the Federal Emergency
<br />Management Agency as a special flood hazard area, Truster agrees to obtain and maintain Federal Flood Insurance, It available, within 45
<br />days after notice Is given by Lender that the Property Is located in a special flood hazard area, for the fug unpaid principal balance of the loan
<br />and any prior Bens on the property securing the loan, up to the maximum policy, limits set under the National Flood Insurance Program, or as
<br />otherwise required by Lender, and to maintain such insurance for the term of the loan.
<br />Application of Proceeds. Trustor shag promptly notify Lender of airy loss or4amage to the Property. Lender may make proof of lass If
<br />Trustor fatis to do so within tlfiaen (16) days of the casualty. Whethet 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 any Non affecting
<br />the Property, or the restoration and repair of the Property. If Lander elects tb apply the proceeds to restoration and repair, Truster shall
<br />repair or replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such
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