|
�� ' ��9��� DEED OF TRUST Page a
<br /> (Continued)
<br /> Compliance wfth Existing Indebtedness. During the period in which any Existing Indebtedness described below is in effeCt,compliance with the
<br /> irtsurance provisions contained in the instrument evidencing such Existing Indebtedness shall ConsHtute ComplianCe with the i�ur8nce provisions
<br /> under this Deed of Trust,to the extent compliance with the ierms of this Deed of Trust would constitute a dupliCation of insuranCe requirement. If
<br /> any proceeds from the insurance become payable on loss, the provisions in this Deed of Trust for division of proceeds shall apply only to that
<br /> portion of the proceeds not payable to the holder of the Existing lndebtedness.
<br /> 11. DCPENDITURES BY LENDER. If Grantor fails to comply with any provision of this Deed of Trust, including any obligation to maintain Existing
<br /> Indebtedness in good standing as required below, or if any action or proceeding is commenced that would materially fltfect Lenders interests in the
<br /> Property, Lender on Grantor's behalf may, upon notice to Grantor, but shall not be required to,take any action that Lender deems appropriate. Any
<br /> amount that Lender expends in so doing will bear interest at the rate charged under the Credit Agreement hom the date incurred or paid by Lender to
<br /> the date of repeyment by Grantor. All such expenses,at Lender's option,will (a)be payable on demand,or (b)be added to the balance of the credit
<br /> line. This Deed of Trust also will secure payment of these amounts. The nghts provided for in this paragraph shall be in addition to any other rights or
<br /> any remedies to which Lender may be entitled on account of the default. Any such action by Lender shalf not be construed as curing the default so as
<br /> to bar Lender hom any remedy that it otherwise would have had.
<br /> 12. WARRANTIh DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a p8rt of this Deed of Trust.
<br /> TiUt. Grantor warrants that: (a)Grantor holds good and marketable title of record to the Property(including a leasehold interest,if any),free and
<br /> clear of all liens and encumbrances except those of record, and (b) Grantor has the full right, power, and authority to execute and deliver this
<br /> Deed of Trust to Lender.
<br /> Defenx ot Tltle. Subject to the exception in the paragraph above, Grantor waRants and will forever defend the title to the Property against the
<br /> lawful claims of all persons. In the event any action or proceeding is commenced that quesfions Granior's tide or the interest of Trustee or Lender
<br /> under this Deed oi Trust,Grantor shall defend the action at Grantor's expense. Grantor may be the nominal party in such proceeding,but Lender
<br /> shall be entitled to participate in the proceeding and to be represented in the proCeeding by counsel of its own choice,and Grantor will deliver,or
<br /> cause to be delivered,to Lender such instruments as Lender may request from time to time to permit such participation.
<br /> Complfance Wlth Laws. �rantor warrants that the Property and Grantor's use of the Property complies with all existing applicable laws,
<br /> ordinances,end regulations of governmental authorities.
<br /> 13. DCISTING INDEBTEDNESS. The following provisions concerning existing indebtedness (the"Existing Indebtedness")are a part of this Deed of
<br /> Trust.
<br /> Existiny Lien. The lien of this Deed of Trust securing the Indebtedness may be secondary and inferior to an existing lien, if there is such a lien.
<br /> Grantor expressly covenants and agrees to pey, or see to the payment of, the Existing Indebtedness and to prevent any default on such
<br /> indebtedness, eny default under the instruments evidencing such indebtedness, or any detault under any security documents for such
<br /> indebtedness.
<br /> No Modirication. Grantor shall not enter into any agreement with the holder of any mortgage, deed of trust, or other security agreement whiCh
<br /> has pnority over this Deed of Trust by which that agreement is modihed, amended, extended, or renewed without the prior written consent of
<br /> Lender. Grantor shall neither request nor accept any future advances under any such security agreement without the prior written consent of
<br /> Lender.
<br /> 14. CONDEMNATION. The following provisions relating to proceedings in condemnation are a part of this Deed of Trust.
<br /> Applfcation of Net ProCeeds. If all or any paR of the Property is condemned,Lender may at its election require that all or any portion of the net
<br /> proceeds of the award be applied to the Indebtedness under the LOANLINER�Home Equity?Ian,subject to the terms of any mortgage or deed of
<br /> trust with a lien which has priority over this Deed of Trust. The net proceeds of the award shall mean the award after payment of ell reasonable
<br /> costs,expenses,and attorneys'fees necessarily paid or incurced by Grantor,Trustee or Lender in connection with the condemnation.
<br /> Proceedfnss. If any proceeding in condemnation is filed, Grantor shall promptly notify Lender in writing,and Grantor shall promptly take such
<br /> steps as may be necessary to defend the action and obtain the award. Grantor may be the nominal parly in such proceeding,but Lender shall be
<br /> entitled to participate in the proceeding and to be represented in the proceeding by counsel of its own choice,and Grantor will deliver or cause to
<br /> be delivered to Lender such instruments as may be requested by it trom time to time to permit such participation.
<br /> 75. IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmenlal taxes,
<br /> fees and charges are a part of this Deed of Trust:
<br /> Current Taxes,Fees and Charges. Upon request by Lender, Grantor shall execute such documents in addition to this Deed of Trust and take
<br /> whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Grantor shall reimburse Lender for all
<br /> taxes,as described below,together with all expenses incurred in recording,perfecting or continuing this Deed of Trust,including without limitation
<br /> all taxes,tees,documentary stamps,and other charges for recording or registering this Deed of Trust.
<br /> Taxes. The following shall constitute taxes to which this section applies: (a)a specific tax upon this type of Deed of Trust or upon all or any part
<br /> of the Indebtedness secured by this Deed o(Trust; (b)a specific tax on Grantor which Grantor is authori�ed or required to deduct hom payments
<br /> on the Indebtedness secured by this type of Deed of Trust; (c)a tax on this type of Deed of Trust chergeable against the Lender or the holder of
<br /> the Credit Agreement;and (d)a specific tax on all or any portion of the Indebtedness or on payments of principal and interest made by Grantor.
<br /> 18. FURTHER ASSURANCES. The following provisions releting to further assurances are a part of this Deed of Trust.
<br /> FuRher Assurancea. Upon request of Lender,Grantor will make,execute and deliver,or will cause to be made,exeCUted or delivered,to Lender
<br /> or to Lender's designee,and when requested by Lender,cause to be filed,recorded,refiled,or rerecorded,as the case may be,at such times and
<br /> in such offices and places as Lender may deem appropriate,any and all such mortgages, deeds of trust, security deeds, security egreements,
<br /> financing statements,continuation statements, instruments of fu�ther assurance,ceRificates, and other doCUments es may, in the 5ole opinion of
<br /> Lender, be necessary or desirable in order to effectuate,complete, perfect,continue, or preserve (a)the oblpations of Grantor under the Credit .
<br /> Apreement,this Deed ot Trust,and the Related Documents,and (b)the liens and security interests created by this Deed of Trust on the Property.
<br /> Unless prohibited by law or agreed to the contrary by Lender in writing, Grantor shall reimburse Lender for all costs and expenses incurred in
<br /> connection with the matters referred to in this paragraph.
<br /> 17. FU1 PERFORMANCE. If Grantor pays all the Indebtedness when due, terminates the credit line account, and otherwise pertorms all the
<br /> obligabons imposed upon Grantor under this Deed of Trust,Lender shall execute and deliver to Trustee a request for full reconveyance.
<br /> 10. DEFAI�T. Each of the following, at the option of Lender,shall constitute an event of defautt ("Event oi Default") under this Deed of Trust: (a)
<br /> Grantor commits lraud or makes a material misrepresentation at any time in connection with the credit line account. This can include, for enample,a
<br /> ffitse statement about Grantor's income, assets, liabilities, or any other aspects of Grantor's financiel condition. (b) Grantor does not meet the
<br /> repayment terms of the credit line account. (c)Grantor's action or inaction adversely affects the cdlaterel for the credH line account or Lenders rights in
<br /> the cdlateral. This can include,for example,failure to maintain required insurance,waste or destructive use of the dwelling,failure to pay taxes,death
<br /> of atl persons liable on the account, transfer of title or sale of the dwelling, creation of a lien on the dwelling without our permission,foreclosure by the
<br />
|