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11: LENDER'S RIGHT TO COMMENCE OR DEFEND LEGAL ACTIONS. Grantor shall irrxnediately provide lender with wririen notice of any actual or
<br /> threatened action,suit,or other proceeding affecting the Property. Grantor hereby appoinis Lender as its attorney-in-fact to corrgnence,irrtervene in,and
<br /> defend such actions,suits,or other legal proceedings and to comprorrdse or settle any claim or controversy pertaining thereto. Lender shall not be liable to
<br /> Grantor for any action,error,mistake,omission or delay pertaining to the actions described in this paragraph or any damages resufting therefrom. Nothing
<br /> corriained herein will prevent Lender from taking the actions described in this paragraph in its own name.
<br /> 12 INDEMNIFICATION. Lender shall not assume or be responsible for the pert7rmance of any of Gramor's obligations with respect to the Property under
<br /> any circumstances. Grantor shall immediately provide Lender with written notice of and inderrnify and hold Lender and its shareholders,directors,officers,
<br /> employees and agerris harmless from all daims, damages, liabilities(induding attomeys' fees and legai expenses), causes of action, actions, suits and
<br /> other legal proceedings(cumulatively"Claims")pertaining to the Property(induding,but not limited to,those involving Hazardous Materials). Grantor,upon
<br /> the requesi of Lender,shall hire legal counsel to defend Lender from such Claims,and pay the attomeys'fees,legal expenses and other costs incurred in
<br /> connection iherewith. In the aftemative, Lender shall be entitled to ernploy its own legal counsel to defend such Claims at Grantor's cost. Grantor's
<br /> obligation to indemnity Lender under this paragra�shall survive the termination,release or foreclosure of this Deed of Trust.
<br /> 13. TAXES AND ASSESSMENTS. Grarrtor shall pay all taxes and assessments relating to Property when due and irrmediately provide Lender evidence
<br /> of payment of same. Upon the request of Lender, Grantor shall deposit with Lender each month one-twelfth (1/12) of the estimated annual insurance
<br /> premium, taxes and assessments pertaining to ihe Properry. So long as there is no default, these amounts shall be applied to the payment of taxes�
<br /> assessments and insurance as required on the Properry. In the event of defauh,Lender shall have the right,at its sole option,to apply the funds so held t�
<br /> pay any taxes or against the Obligations. My funds applied may,at Lender's option,be applied in reverse order of the due date thereof. �
<br /> 14. INSPECTION OF PROPERTY, BOOKS, RECORDS AND REPORTS. Grantor shall allow Lender or its agents to examine and inspect the Property �
<br /> and examine,inspect and make copes of Grantor's books and records pertaining to the Property from time to time. Grantor shall provide any assistance �
<br /> required by Lender for these purposes. Ail of the signatures and infommtion contained in Grantor's books and records shall be genuine,true,accurate and �!+
<br /> complete in all respects. Grantor shall note the existence of Lender's beneficial interest in its books and records pertaining to the Property. Additionally, �'r
<br /> Grantor shall report,in a form satisfaclory to Lender,such infomration as Lender may request regarding Grantor's financial condition or the Property. The Vl
<br /> information shall be for such periods,shall reflect Grantor's records at such time,and shall be rendered with such frequency as Lender may designate. All w'
<br /> information fumished by Grantor to Lender shall be true,accurate and cort�lete in all respects,and signed by Grantor if Lender requests. �
<br /> 15. ESTOPPEL CERTIFICATES. Wrthin ten(10)days after any request by Lsnder,Grantor shall deliver to Lender,or any intended transferee of Lender's
<br /> rights with respect to the Obligations, a signed and acknowledged statement specifying(a)the outstanding balance on the Obligations;and(b)whether
<br /> Grantor possesses any daims,defenses,set-offs or couMerclaims with respect to the Obligations and,if so,the nature of such daims,defenses,set-offs or
<br /> counterclaims. Grantor will be condusively bound by any represerdation that Lender may make to the iMended transferee with respect to these matters in
<br /> the evern that GraMor fails to provide the requested statement in a timely manner.
<br /> 16. DEFAULT. Grantor shall be in defauft under this Deed of Trust and the Trustee's power shall become operative in the event that Grantor,Borrower or
<br /> any guarantor of the Obligations:
<br /> (a) faiis to pay any Obligation to Lender when due;
<br /> (b) fails to perform any Obligation or breaches any warranty or covenant to Lender contained in this Deed of Trust or any other present or future
<br /> agreemerrt;
<br /> (c) destroys,loses or damages the Property in any material respect or subjects ihe Property to seizure,�nfiscation,or conderr�ation;
<br /> (d) seeks to revoke,terminate or otherwise limit its liability under any guaranty to Lender;
<br /> (e) dies,becomes legally incorr�eterrt,is dissoNed or terminated,becomes insolvent,makes an assignment for the benefit of creditors,fails to pay
<br /> debts as they become due,files a petition under the federal bankruptcy Iaws,has an involuntary petition in banlwptcy filed in which Grantor,Borrower
<br /> or any guarantor is named,or has property taken under any writ or process of court; '
<br /> (� allows goods to be used,transported or stored on the Property,the possession,transportation,or use of which,is illegal;
<br /> (g) allows any party other than Grantor or BoROwer to assume or undertake any Obligation without the written consent of Lender;or
<br /> (h) causes Lsnder to deem itself insecure due to a significam dedine in the value of the Property;or if Lender,in good faith,for any reason,believes
<br /> that the prospect of payment or perfomrance is irr�aired.
<br /> 17. RIGHTS OF LENDER ON DEFAULT. If there is a default under this Deed of Trust, Lender shail be entitied to exercise one or more of the following
<br /> remedies without notice or demand(except as required by law):
<br /> (a) to dedare the Obligations irmiediately due and payabie in full;
<br /> (b) to collect the outstanding Obligations whh or without resorting to judiaal process;
<br /> (c) to require Grantor to deliver and make available to Lender any personal property or Chattels constituting the Property at a place reasonably
<br /> convenierrt to Gramor and Lender;
<br /> (d) to enter upon and take possession of the Property without applying for or obtaining the appoiMment of a receiver and, at Lender's option, to
<br /> appoint a receiver without bond, without first bringing suit on the Obligations and without otherwise meeting any statutory conditions regarding
<br /> receivers,it being intended that Lender shall have this contractual right to appoint a receiver;
<br /> (e) to employ a managing agertt of the Property and let the same,either in Trustee's own name,in the name of Lender or in the name of Grantor,and
<br /> receive the reMs,incomes,issues and profits of the Property and apply the same,after payment of all necessary charges and expenses,on account of
<br /> the Obligations;
<br /> (� to pay any sums in any form or manner deemed expedient by Lender to protect the security of this Deed of Trust or to cure any defauft other than
<br /> payment of imerest or principal on the Obligations;
<br /> (g) to foredose this Deed of Trust judicially or nonjudicially and to direct the sale of the property through exerase of the power of sale as referenced in
<br /> paragraph 20 hereof in aaxordance with applicable law;
<br /> (h) to set-off Grantor's Obligations against any amounts owed Grarnor by Lender including, but not lirr�ted to, monies, instruments, and deposit
<br /> accounts maintained with Lender or any cuRently existing or future affiliate of Lender;and
<br /> (i)to exerase all other rigMs available to Lender under any other written agreemenl or applicabie law.
<br /> Lender's rigMs are cumulative and may be exerased together, separately, and in any order. In the event that Lender institutes an action seeking the
<br /> recovery of any of the Property by way of a prejudgment remedy in an action against Grantor, Grantor waives the posting of any bond which might
<br /> otherwise be required. Lender or Lender's designee maypurchase the Property at any sale. Proceeds of any Trustee's sale hereunder shall be applied
<br /> first,to the costs and expenses of exercising the power of sale and of the sale,including the payment of the Trustee's fees actually incurred and not to
<br /> exoeed the amourn which may be provided for in this Deed of Trust,second,to payment of the Obiigations secured hereby,third,to the payment of junior
<br /> trust deeds,mortgages,or other lienholders,and the balance,if any,to the person or persons legally entitled thereto. The property or any part thereof may
<br /> be sold in one parcel,or in such parcels,manner or order as Lender in its sole discretion may elect,and one or more exerases of the power herein granted
<br /> shall not extinguish o�exhaust the power unless the errtire property is sold or the obligations are paid in full.
<br /> 18. TRUSTEE'S EXERCISE OF POWER OF SALE ON DEFAULT: If Lender elects to sell Grantor's interest in the Property by exercise of the power of
<br /> sale herein corriained,Lender shall notify Trustee in the manner then required by law.
<br /> Upon receipt of such notice of Lender and at the direction of Lender,Trustee shail cause to be recorded,published and delivered such notices of default
<br /> and notices of sale as may then be required by Iaw and by this Deed of Trust. Trustee shall,only at the direction of Lender and without demand on Grantor,
<br /> after such time as may then be required by law and after recordation of such notice of default and after notice of sale having been given as required by law,
<br /> sell the Property at the time and place of sale fixed by it in such notice of sale,either as whole or in separate lots or parcels or items as Lender shall deem
<br /> expedieM,and in such order as it may determine,at public auction to the highest bidder for cash in lawful money of the United States payable at the time of
<br /> sale, or as otherwise may then be required by law. Trustee shall deliver to such purchaser or purchasers thereof its good and sufficient deed or deeds
<br /> conveying the property so sold, but whhout any covenarn or warranty, express or implied. The recitals in such deed of any matters or facts shall be
<br /> condusive proof of the truthfulness thereof. My person,including,without limitation,GraMor,Trustee or Lender,may purchase at such sale. Trustee may
<br /> in the manner provided by law postpone sale of all or any portion of the Property.
<br /> 19. RE�UEST FOR NOTICES: Grantor requests that a copy of any notice of defauft and a copy of any notice of sale hereunder be mailed to each person
<br /> who fs a party hereto at the address of such person set forlh herein at the same time and in the same manner required as though a separate request thereof
<br /> had been flled by each such person.
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