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<br /> �11. LEI�lqER'S RIGHT TO COMMENCE OR DEFEND LEGAL ACTIONS. Grantor shall iim�ediate�y�vide Lender with written notice of any actual or
<br /> `lhreatene�action,suit,or other proceeding affecting the Property. Grantor hereby appoints Lender as its attomey-in-fact to corrmence,intervene in,and
<br /> defend such actions,suits,or other legal proceedings and to compromise or serile any dalm or corrtroversy pertaining thereto. Lender shall not be liable to
<br /> Grantor for any action,e!ror,mistake,omission or delay pertaining to the actions descnbed in this paragraph or any damages resufting therefrom. Nothing
<br /> contained 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 performance of any of Grarrtor's obligations with respect to the Property under
<br /> any arcumstances. Grantor shall immediately provide Lender with written notice of and indemnify and hold Lender and hs shareholders,directors,officers,
<br /> employees and agents harmless from all daims,damages, liabiliifes(including attomeys'fees and legal 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 request of Lender,shall hire legal caunsel to defend Lender from such Clair�,and pay the attomeys'fees,legal expenses and other costs incurred in
<br /> connection therewith. In the altemative, Lender shall be entitled to employ its own legal counsel to defend such Claims at Grantor's cost. Grantor's
<br /> obligation to indermify Lender under this paragraph shall survive the termination,release or foredosure of this Deed of Trust.
<br /> 13. TAXES AND ASSESSMENTS. Grantor shall pay all taxes and assessments relating to Property when due and irmiediately provide Lender evidence
<br /> of paymerrt of same. Upon the request of Lender, Grantor shall deposit with Lender each mornh one-twelfth (1/12) of the estimated annual insurance
<br /> premium, taxes and assessments pertaining to ihe Property. So long as there is no defauft,these amouMs shall be applied to the payment of taxes,
<br /> assessmerris and insurance as required on the Property. In the event of default,Lender shall have the rigM,at its sole option,to apply the funds so held to
<br /> pay any taxes or agsinst the Obligations. Any 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 agerrts to exaMne and inspect the Property
<br /> and examine,inspect and make copies of Grantor's books and records pertaining to the Property from time to time.`Grarrtor shall provide any assistance
<br /> required by Lender for these purposes. All of the signatures and information 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,
<br /> GraMor shall report,in a form satisfactory to Lender,such information as Lender may request regarding Grantor's financial condition or the Property. The
<br /> information shall be for such periods,shall reflect GraMor's records at such time,and shall be rendered with such frequency as Lender may designate. All
<br /> infom�ation fumished by Grantor to Lender shall be true,acxurate and complete in all respects,and signed by Grantor if Lender requests.
<br /> 15. ESTOPPEL CERTIFICATES. Within ten(10)days after any request by Lender,GraMor shall deliver to Lender,or any intended transferee of Lender's
<br /> rights with respect to the Obligations,a signed and adviowledged statement specifying(a)the outstanding balance on the Obligations;and(b)whether
<br /> Grantor possesses any claims,defenses,set-offs or counterdaims with respect to the Obligations and,if so,the nature of such claims,defenses,set-offs or
<br /> couMerdaims. GraMor will be condusively bound by any representation that Lender may make to the intended transferee with respect to these matters in
<br /> the everri that Grantor fails to provide the requested statemern in a timely manner.
<br /> 16. DEFAULT. GraMor shall be in default under this Deed of Trust and the Trustee's power shall become operative in the event that Grarnor,BoROwer or
<br /> any guaramor of the Obligailons:
<br /> (a) fails 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 preseM or future
<br /> agreemeM;
<br /> (c) destroys,loses or damages the Property in any material respect or subjects the Property to seizure,confiscation,or condermation;
<br /> (d) seeks to revoke,termfnate or otherwise limit its liability under any guaranty to Lender;
<br /> (e) dies,becomes legally incompetent,is dissolved or terminated,becomes insolvent,makes an assignmeM for the beneflt of creditors,fails to pay
<br /> debts as they become due,files a petition under the federal banlwptcy laws,has an involurrtary petition in banlwptcy filed in which Grantor,Borrower
<br /> or any guaraMor is named,or has property taken under any writ or process of court;
<br /> (fl 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 Grarnor or Borrower to assume or undertake any Obligation without the written consent of Lender;or
<br /> (h) causes Lender to deem itself insec:ure due to a significant decline in the value of the Property;or if Lender,in good faith,for any reason,believes
<br /> that the prospect of paymeM or perfomiance is impaired.
<br /> 17. RIGHTS OF LENDER ON DEFAULT. If there is a default under this Deed of Trust,Lender shall be entitled 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 irrvnediately due and payable in full;
<br /> (b) to collect the outstanding Obligations with or without resorting to judidal process;
<br /> (c) to require Grantor to delNer and make available to Lender any personal property or Chattels constituting the Property at a place reasonably
<br /> conveNent to GraMor and Lender,
<br /> (d) to erner upon and take possession of the Property without applying for or obtaining the appoiritment of a receiver and, at Lender's option, to
<br /> appoiM a receiver without bond, without first bringing suit on the Obligations and without othervvise meeting any statutory conditions regarding
<br /> receivers,it being irrtended that Lender shall have this corrtractual rigM to appoint a receiver;
<br /> (e) to employ a managing agern of the Property and let the same,either in Tnistee's own name,in the name of Lender or in the na�t�e of Grantor,and
<br /> receive the rerrts,incomes,issues and profits of the Property and apply the same,afte�payment of all necessary charges and expenses,on accourn of
<br /> the Obligations;
<br /> (fl 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 default other than
<br /> payment of interest or prindpal on the Obligations;
<br /> (g) to foredose this Deed of Trust judlaally 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 axcordance wfth applicable law;
<br /> (h) to set-off Grarnor's Obligations against any am�unts owed Grantor by Lender including, but not limited to, monies, instruments, and deposit
<br /> axounts mairnained with Lender or any currently existing or future affillate of Lender;and
<br /> (i)to exercise all other rlghts available to Lender under any other written agreement or applicable Iaw.
<br /> Lender's rigMs are cumulative and may be exercised 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 prejudgmerrt remedy in an action against Grantor, Grantor waNes the posting of any bond which might
<br /> othervvise 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 exerasing the power of sale and of the sale,including the payment of the Trustee's fees actually incurred and not to
<br /> exceed the amourn which may be provided for in this Deed of Trust,second,to paymerrt of the Obligations secured hereby,third,to the paymeM 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 exercises of the power herein granted
<br /> shall not extinguish or exhaust the power unless the entire 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 iMerest in the Property by exercise of the power of
<br /> sale herein corrtai�ed,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 shall cause to be recorded,published and delivered such notices of defauft
<br /> and notioes of sale as may then be required by law and by this Deed of Trust. Trustee shall,only at the direction of Le�der and whhout demand on Grantor,
<br /> after such time as may then be required by Iaw and after recordation of such notice of defauft and after notice of sale having been given as required by law,
<br /> sell the Propert�r at the time and place of sale fixed by it in such notice of sale,efther as whole or in separate lots or parcels or items as Lender shall deem
<br /> expediem,and in such order as it may detemrne,at pub8c suction to the highest bidder for cash in lawful money of the United States payable at the time of
<br /> safe, or as othervvise may then be required by law. Trustee shall deliver to such purchaser or purchasers thereof its good and suffiaertt deed or deeds
<br /> conveying the property so sold, but without any covenant or warranty, express or implied. The recitals in such deed of any matters or facts shall be
<br /> condusive proof of the tMhfulness thereof. My person,including,without limitation,Grantor,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 ihe Property.
<br /> 19. REQUEST FOR NOTICES: Grantor requests that a copy of any notice of default and a copy of any notice of sale hereunder be mailed to each person
<br /> who is a party hereto at the address of such person set forth herein si the same time and in the same manner required as though a separate request thereof
<br /> had been flled by each such person.
<br /> NEDOTC Rev.1287 Pape 3 d 8
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