r
<br />event of loss Borrower will give immediate notice by mail to the
<br />I=der, who may make proof of loss if not made promptly low
<br />Borrower, and each insurance company concerned is hereby
<br />authorised and directed to make payment for such loss directly to
<br />the Lander instead of to the Borrower and the Lender jointly, and
<br />the insurance proceed% or any pan thereof, may be applied by the
<br />Le WU 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 />9. That as additional and collateral security for the payment of the
<br />note described, and all sums to become due 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 premism 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 time
<br />Lender may demand, sue for and recover any such payments when
<br />due and payable, but.shall not be required so to do. This assignment
<br />is to terminate and- become null and void upon release of this
<br />instrument.
<br />10. That the Bcsnu%iter will keep the buildings upon said premises
<br />in good repair, and norther commit nor permit waste upon said land,
<br />nor suffer the said premises to be used for any unlawful purpose.
<br />11. That if *.c premises, or any part 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, to the extent of the full amount of
<br />indebtedness upon this. instrument and the now which it is given to
<br />secure remaining unpeiaL, art barby assigned by the Borrower to the
<br />Lender, and shall be paid £ r*-a*h to said Lender to be applied by
<br />the latter on account of the nexi maturing installments of such
<br />ir4__Nn dar
<br />12. The Borrower further agrees that should this instrument and
<br />the note secured hereby not be eligible for insunnoe under the
<br />National Housing Act within eight months from: the date hecerraE
<br />(written statement of any officer of the UepartmASat of Housing: aad
<br />Urban Development or authorized agent of the Secretary of Kdusirg
<br />and Urban Development dated subsequent to the eight months' time
<br />from the date of this instrument, declining to insure said now 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 vote when the ineligibility for insurance under the
<br />W
<br />Nadd , Housing Act is due to the Lender's failure to remit the
<br />mortgsge insurance premium to the Department of Housing and
<br />Urban
<br />opntettt;
<br />13. That if the [iorrower fails to make any payments of money
<br />when the same become due, or fails to conform to and comply with
<br />r
<br />. 89-103782
<br />any of the condition., 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 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 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 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. bender shall be entitled to
<br />collect all expenses incurred ire pursuing.the remedies provided in
<br />this paragraph 13, including, but not UmltO. to. reasonable
<br />attorneys' fees and costs of title evidence.
<br />[f the power of sale is invoked. Trustee shall record a notice of
<br />dcfkWt in each county In which any part of the Property is located.
<br />and shall mail copies of sr2ch notice in the manner prescribed-by
<br />applicable law to. Borrower and to the oilresr persons prescribed by
<br />applicable law. After the time required by applicable law. Trustee
<br />sball give public notice of sulk to the persons and in the manner
<br />prescribed by applicable low_'17twee. without demand on Borrower.
<br />stall sell the Property at public auction to the highest bidder at the
<br />time � Warp *nd und" d,w �trr..,,,.e ...t :.. 0" _V —I-
<br />M ""m�,'i�".,,.......w u0SOCC aaw
<br />in one or mom 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 any previously scheduled
<br />sale. Lender or its designee may purchase the Property at may sale.
<br />Upon receipt of payment of the price bid, Trustee shall 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 />Mentents made therein. Ttu me shall apply the proceeds of the sale
<br />in the following order: (a) to all expenses of the sale, including, but
<br />not limited to. Trustees fees as Permitted.by applicable law and
<br />reasonable attomeys' fees; (b) to all sums secured by this Security
<br />Instrument; and (c:) any excess to the person or persons legally
<br />entitled to it.
<br />14. Upon a6cd=tion 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 craiiect 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, pr' rMiums on receiver's bonds gad reasonable
<br />attomeys fees; aitri then to the sums secured by this instrument.
<br />Page 3 o/ 5 ,
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