|
20040029'7
<br />expense, will keep, observe and perform, and require all other parties to the Leases to comply with the Leases
<br />and any applicable law. If Grantor or any party to the Lease defaults or fails to observe any applicable law,
<br />Grantor will promptly notify Lender. If Grantor neglects or refuses to enforce compliance with the terms of the
<br />Leases, then Lender may, at Lender's option, enforce compliance. Grantor will not sublet, modify, extend,
<br />cancel, or otherwise alter the Leases, or accept the surrender of the Property covered by the Leases (unless the
<br />Leases so required) without Lender's consent. Grantor will not assign, compromise, subordinate or encumber
<br />the Leases and Rents without Lender's prior written consent. Lender does not assume or become liable for the
<br />Property's maintenance, depreciation, or other losses or damages when Lender acts to manage, protect or
<br />preserve the Property, except for losses and damages due to Lender's gross negligence or intentional torts.
<br />Otherwise, Grantor will indemnify Lender and hold Lender harmless for all liability, loss or damage that Lender
<br />may incur when Lender opts to exercise any of its remedies against any party obligated under the Leases.
<br />13. DEFAULT. Grantor will be in default if any of the following occur:
<br />A. Payments. Grantor fails or Guarantor fails to make a payment in full when due.
<br />B. Insolvency. Grantor makes an assignment for the benefit of creditors or becomes insolvent, either
<br />because Grantor's liabilities exceed Grantor's assets or Grantor is unable to pay Grantor's debts as they
<br />become due.
<br />C. Death or Incompetency. Grantor dies or is declared legally incompetent.
<br />D. Failure to Perform. Grantor fails to perform any condition or to keep any promise or covenant of this
<br />Security Instrument.
<br />E. Other Documents. A default occurs under the terms of any other transaction document.
<br />F. Other Agreements. Grantor is in default on any other debt or agreement Grantor has with Lender.
<br />G. Misrepresentation. Grantor makes any verbal or written statement or provides any financial information
<br />that is untrue, inaccurate, or conceals a material fact at the time it is made or provided.
<br />H. Judgment. Grantor fails to satisfy or appeal any judgment against Grantor.
<br />I. Forfeiture. The Property is used in a manner or for a purpose that threatens confiscation by a legal
<br />authority.
<br />J. Name Change. Grantor changes Grantor's name or assumes an additional name without notifying Lender
<br />before making such a change.
<br />K. Property Transfer. Grantor transfers all or a substantial part of Grantor's money or property. This
<br />condition of default, as it relates to the transfer of the Property, is subject to the restrictions contained in the
<br />DUE ON SALE section.
<br />L. Property Value. The value of the Property declines or is impaired.
<br />M. Erosion. Any loan proceeds are used for a purpose that will contribute to excessive erosion of highly
<br />erodible land or to the conversion of wetlands to produce an agricultural commodity, as further explained by
<br />federal law.
<br />N. Insecurity. Lender reasonably believes that Lender is insecure.
<br />14. REMEDIES. Lender may use any and all remedies Lender has under state or federal law or in any instrument
<br />evidencing or pertaining to the Secured Debts, including, without limitation, the power to sell the Property. Any
<br />amounts advanced on Grantor's behalf will be immediately due and may be added to the balance owing under
<br />the Secured Debts. Lender may make a claim for any and all insurance benefits or refunds that may be
<br />available on Grantor's default.
<br />Subject to any right to cure, required time schedules or any other notice rights Grantor may have under federal
<br />and state law, Lender may make all or any part of the amount owing by the terms of the Secured Debts
<br />immediately due and foreclose this Security Instrument in a manner provided by law upon the occurrence of a
<br />default or anytime thereafter.
<br />If there is a default, Trustee will, in addition to any other permitted remedy, at the request of the Lender,
<br />advertise and sell the Property as a whole or in separate parcels at public auction to the highest bidder for cash.
<br />Trustee will give notice of sale including the time, terms and place of sale and a description of the Property to
<br />be sold as required by the applicable law in effect at the time of the proposed sale.
<br />To the extent not prohibited by law, Trustee will apply the proceeds of the Property's sale in the following
<br />order: to all fees, charges, costs and expenses of exercising the power of sale and the sale; to Lender for all
<br />advances made for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest thereon;
<br />to the Secured Debts' principal and interest; and paying any surplus as required by law. Lender or its designee
<br />may purchase the Property.
<br />Upon any sale of the Property, Trustee will make and deliver a special or limited warranty deed that conveys the
<br />property sold to the purchaser or purchasers. Under this special or limited warranty deed, Trustee will covenant
<br />that Trustee has not caused or allowed a lien or an encumbrance to burden the Property and that Trustee will
<br />specially warrant and defend the Property's title of the purchaser or purchasers at the sale against all lawful
<br />claims and demand of all persons claiming by, through or under Trustee. The recitals in any deed of
<br />conveyance will be prima facie evidence of the facts set forth therein.
<br />All remedies are distinct, cumulative and not exclusive, and the Lender is entitled to all remedies provided at law
<br />or equity, whether or not expressly set forth. The acceptance by Lender of any sum in payment or partial
<br />payment on the Secured Debts after the balance is due or is accelerated or after foreclosure proceedings are
<br />filed will not constitute a waiver of Lender's right to require full and complete cure of any existing default. By
<br />not exercising any remedy, Lender does not waive Lender's right to later consider the event a default if it
<br />continues or happens again.
<br />15. COLLECTION EXPENSES AND ATTORNEYS' FEES. On or after Default, to the extent permitted by law,
<br />Grantor agrees to pay all expenses of collection, enforcement or protection of Lender's rights and remedies
<br />under this Security Instrument. Grantor agrees to pay expenses for Lender to inspect and preserve the Property
<br />and for any recordation costs of releasing the Property from this Security Instrument. Expenses include, but are
<br />not limited to, attorneys' fees, court costs and other legal expenses. These expenses are due and payable
<br />immediately. If not paid immediately, these expenses will bear interest from the date of payment until paid in
<br />full at the highest interest rate in effect as provided for in the terms of the Secured Debts. To the extent
<br />permitted by the United States Bankruptcy Code, Grantor agrees to pay the reasonable attorneys' fees Lender
<br />incurs to collect the Secured Debts as awarded by any court exercising jurisdiction under the Bankruptcy Code.
<br />Marvin Stoltenberg
<br />Nebraska Deed Of Trust Initials
<br />NE/ 4XX28333000704400004160015010704Y °1996 Bankers Systems, Inc., St. Cloud, MN Ep Page 3
<br />
|