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DEED OF TRUST 9 9 110 4 41 Page 3
<br /> (Continued)
<br /> insurance requirement. If any proceeds from the insurance become payable on loss, the provisions in this Deed of Trust for division of
<br /> proceeds shall apply only to that portion of the proceeds not payable to the holder of the Existing Indebtedness.
<br /> LENDER'S IXPENDITURES. If Trustor fails (A) to keep the Property free of all taxes,liens,security interests,encumbrances,and other claims,
<br /> (B) to provide any required insurance on the Property, (C) to make repairs to the Property or to comply with any obligation to maintain Existing
<br /> Indebtedness in good standing as required below,then Lender may do so. If any action or proceeding is commenced that would materially affect
<br /> Lender's interests in the Property, then Lender on Trustor's behalf may, but is not required to, take any action that Lender believes to be
<br /> appropriate to protect Lender's interests. All expenses incurred or paid by Lender for such purposes will then bear interest at the rate charged
<br /> under the Note from the date incurred or paid by Lender to the date of repayment by Trustor. All such expenses will become a part of the
<br /> Indebtedness and,at Lender's option,will (A) be payable on demand; (B) be added to the balance of the Note and be apportioned among and
<br /> be payable with any instaliment payments to become due during either (1) the term of any applicable insurance policy; or (2) the remaining
<br /> term of the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's maturity. The Property also will secure
<br /> payment of these amounts. The rights provided for in this paragraph shall be in addition to any other rights or any remedies to which Lender may
<br /> be entitled on account of any default. Any such action by Lender shall not be construed as curing the default so as to bar Lender from any
<br /> remedy that it otherwise would have had.
<br /> WARRANTY;DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a part of this Deed of Trust:
<br /> Title. Trustor warrants that: (a)Trustor holds good and marketable title of record to the Property in fee simple,free and clear ot all liens and
<br /> encumbrances other than those set forth in the Real Property description or in the Existing Indebtedness section below or in any title
<br /> insurance policy, title report,or final title opinion issued in favor of, and accepted by, Lender in connection with this Deed of Trust, and (b)
<br /> Trustor has the full right,power,and authority to execute and deliver this Deed of Trust to Lender.
<br /> Defense of Title. Subject to the exception in the paragraph above,Trustor warrants and will forever defend the title to the Property against
<br /> the lawful claims of all persons. In the event any action or proceeding is commenced that questions Trustor's title or the interest of Trustee or
<br /> Lender under this Deed of Trust,Trustor shall defend the action at Trustor's expense. Trustor may be the nominal party in such proceeding,
<br /> but Lender shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of Lender's own choice,and
<br /> Trustor will deliver, or cause to be delivered, to Lender such instruments as Lender may request from time to time to permit such
<br /> participation.
<br /> Compliance With Laws. Trustor warrants that the Property and Trustor's use of the Property complies with all existing applicable laws,
<br /> ordinances,and regulations of governmental authorities.
<br /> Survival of Promises. All promises, agreements, and statements Trustor has made in this Deed of Trust shall survive the execution and
<br /> delivery of this Deed of Trust,shall be continuing in nature and shall remain in full force and effect until such time as Trustor's lndebtedness
<br /> is paid in full.
<br /> EXISTING INDEBTEDNESS. The following provisions concerning Existing Indebtedness are a part of this Deed of Trust:
<br /> Existing Lien. The lien of this Deed of Trust securing the Indebtedness may be secondary and inferior to the lien securing payment of an
<br /> existing obligation with an account number of 22285 to First National Bank of Marquette described as: Deed of Trust dated July 19, 1999.
<br /> The existing obligation has a current principal balance of approximately$30,000.00 and is in the original principal amount of$30,000.00. The
<br /> obligation has the foltowing payment terms: $30,000.00 per One Time. Trustor expressly covenants and agrees to pay, or see to the
<br /> payment of,the Existing indebtedness and to prevent any default on such indebtedness,any default under the instruments evidencing such
<br /> indebtedness,or any default under any security documents for such indebtedness.
<br /> No Modification. Trustor shall not enter into any agreement with the holder of any mortgage, deed of trust, or other security agreement
<br /> which has priority over this Deed of Trust by which that agreement is modified, amended, extended, or renewed without the prior written
<br /> consent of Lender. Trustor shall neither request nor accept any future advances under any such security agreement without the prior written
<br /> consent of Lender.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Deed of Trust:
<br /> Proceedings. If any proceeding in condemnation is filed,Trustor shall promptly notify Lender in writing,and Trustor shall promptly take such
<br /> steps as may be necessary to defend the action and obtain the award. Trustor 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 Trustor will
<br /> deliver or cause to be delivered to Lender such instruments and documentation as may be requested by Lender from time to time to permit
<br /> such participation.
<br /> Application of Net Proceeds. If all or any part of the Property is condemned by eminent domain proceedings or by any proceeding or
<br /> purchase in lieu of condemnation,Lender may at its election require that all or any portion of the net proceeds of the award be applied to the
<br /> Indebtedness or the repair or restoration of the Property. The net proceeds of the award shall mean the award after payment of all
<br /> reasonable costs,expenses,and attorneys'fees incurred by Trustee or Lender in connection with the condemnation.
<br /> IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental taxes,
<br /> fees and charges are a part of this Deed of Trust:
<br /> Current Taxes,Fees and Charges. Upon request by Lender, Trustor shall execute such documents in addition to this Deed of Trust and
<br /> take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Trustor shall reimburse Lender
<br /> for all taxes, as described below, together with all expenses incurred in recording, perfecting or continuing this Deed of Trust, including
<br /> without limitation all taxes,fees,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: (1) a specific tax upon this type of Deed of Trust or upon all or any
<br /> part of the Indebtedness secured by this Deed of Trust; (2) a specific tax on Trustor which Trustor is authorized or required to deduct from
<br /> payments on the Indebtedness secured by this type of Deed of Trust; (3) a tax on this type of Deed of Trust chargeable against the Lender
<br /> or the holder of the Note;and (4) a specific tax on all or any portion of the Indebtedness or on payments of principal and interest made by
<br /> Trustor.
<br /> Subsequent Ta�ces. If any tax to which this section applies is enacted subsequent to the date of this Deed of Trust,this event shall have the
<br /> same effect as an Event of Default, and Lender may exercise any or all of its available remedies for an Event of Default as provided below
<br /> unless Trustor either (1) pays the tax before it becomes delinquent, or (2) contests the tax as provided above in the Taxes and Liens
<br /> section and deposits with Lender cash or a sufficient corporate surety bond or c,ther security satisfactory to Lender.
<br /> SECURITY AGREEMENT;FINANCING STATEMENTS. The following provisions relating to this Deed of Trust as a security agreement are a part
<br /> of this Deed of Trust:
<br /> Security Agreement. This instrument shall constitute a Security Agreement to the extent any of the Property constitutes fixtures or other
<br /> personal property,and Lender shall have all of the rights of a secured party under the Uniform Commercial Code as amended from time to
<br /> time.
<br /> Security Interest. Upon request by Lender, Trustor shall execute financing statements and take whatever other action is requested by
<br /> Lender to perfect and continue Lender's security interest in the Personal Property. In addition to recording this Deed of Trust in the real
<br /> property records,Lender may,at any time and without further authorization from Trustor,file executed counterparts,copies or reproductions
<br /> of this Deed of Trust as a financing statement. Trustor shall reimburse Lender for all expenses incurred in perfecting or continuing this
<br /> security interest. Upon defauit,Trustor shall assemble the Personal Property in a manner and at a place reasonably convenient to Trustor
<br /> and Lender and make it available to Lender within three(3)days after receipt of written demand from Lender.
<br /> Addresses. The mailing addresses of Trustor(debtor)and Lender(secured party) from which information concerning the security interest
<br /> granted by this Deed of Trust may be obtained (each as required by the Uniform Commercial Code)are as stated on the first page of this
<br /> Deed of Trust.
<br /> FURTHER ASSURANCES; ATTORNEY—IN—FACT. The following provisions relating to further assurances and attorney—in—fact are a part of this
<br /> Deed of Trust: , �
<br /> Further Assurances. At any time,and from time to time, upon request of Lender,Trustor will make,execute and deliver,or will cause to be
<br /> made, executed or delivered, to Lender or to Lender's designee, and when requested by Lender, cause to be filed, recorded, refiled, or
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