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��-18-1999 DEED OF TRUST 9� i i 12 7 8 Page 3
<br /> " Loan�No 1044478 (Continued)
<br /> Property. Trustor shall name Lender as an additlonal obligee under any surety bond furnished in the contest proceedinys.
<br /> Evidence ot Payment. Trustor shall upon demand furnish to Lender satisfactory evidence of payment of the texes or assessmenls and shall
<br /> authori�e the appropriate governmentel officiel to deliver to Lender et any fime a written stetement of the taxes and assessmenls against the
<br /> Property.
<br /> Noiice of Construction. Trustor shall noHy Lender at teest fiffeen(15)days before any work is commenced,any servic�s are furnished,or any
<br /> materials are supplied to the Property, if any mechanic's lien, materielmen's lien, or other lien could be asserted on aocount of the work,
<br /> services,or materiais. Trustor will upon requ�t of Lender fumish to Lender advance assurances satisfactory to Lender that Trustor can and will
<br /> pay the cost of such improvemenls.
<br /> PROPERTY DAMAGE INSURANCE. The following provisions relating to insuriny the Property are a part of this Deed of Trust.
<br /> Maintenance of Insurance. Trustor shall procure and maintain polk�es of fire insurance with standard extended coverage endorsemenls on a
<br /> replacement basis for the full insurable value covering all Improvements on the Real Property in an amount sufficient to avdd applicatlon of any
<br /> coinsurance clause,and with a standard mortgagee clause in favor of Lender,together with such other hazard and liabillty insurance as Lender
<br /> may reasonably require. Policies shall be written in form, amounis, coverages and basis reasonably acceptabie to Lender and issued by a
<br /> company or companies reasonably axeptable to Lend�. Trustor,upon request of Lender,will deliv�to Lender from time to time the policies
<br /> or certificates of insurance in form satisfactory to Lender, including s6pulaHons that coverages will not be cancelied or diminished without at
<br /> least ten(10)days'prior written notice to Lender. Each insurance policy also shall include an endorsement providing that coverage in favor of
<br /> Lender will not be impaired in any way by any act,omission or default of Trustor or any other person. Should the Real Properiy at any time
<br /> become located in an area designated by the Director of the Federal Emergency Management Agency as a special flood hezard area,Trustor
<br /> agrees to obtain and maintain Federal Flood Insurance for the full unpaid principal balance�of the loan and any prior liens on the property
<br /> securing the loan, up to the ma�dmum poli�y limits set unde�the Natlonal Flood InsUrance Proqram,er as olherwise requked by Lender,and to
<br /> maintain such insurance for the term of the loan. '
<br /> Appllcatlon of Proceeds. Trustpr shall promptly notly Lender of any loss or damage to the Property. Lender mey make proof of loss if Trustor
<br /> fails to do so within fifteen(15)days of the casually. Whether or not Lender's security is impaired,Lender may,at iis election,receive and retain
<br /> the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness,payment of any lien affecting the Property,or the
<br /> restoration and repair of the Property. If Lender efects to apply the proceeds to restoraUon and repeir, Trustor shail repair or replace the
<br /> damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such expenditure, pay or
<br /> reimburse Trustor kom the proc�eds for the reasonable cost of repair or restoration if Trustor is not in defauft under this Deed of Trust. Any
<br /> proceeds which have not been disbursed within 180 days aiter their rec:eipt and which Lender has not committed to the repair w restoraUon of
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Trust,then to pay accrued interest,and the remainder,ff
<br /> any,shall be applied to the principal balar�e of the Indebtedness. If Lender holds any proceeds after payment in full of the Indebtedness,such
<br /> proceeds shall be paid to Trustor as Trustor's interesis may eppear.
<br /> Unexpircd Insurance at Sale. Any une�ired insurance shaN inure to the benefit of,and pass to,the purchaser of the Properly covered by this
<br /> Deed of Trust at any hustee's sale or other sale held under the provisions of this Deed of Trust,or at any foreclosure sale of such Property.
<br /> Compliance with E�dstin�Indebtedness. During the period in which any E�astlrq Indebtedness described below is in effect,compliance with
<br /> the insurance provisions contained in the instrument evidencing such F�dsting Indebtedness shall constitute compliance with the insurance
<br /> provisions under this Deed of Trust,to the extent compliance with the terms of this Deed of Trust would consUtute a dupiication of insurance
<br /> requirement. If any proceeds from the insurance become payable on loss,the provisions in this Deed of Trust for division of proceeds shall
<br /> apply only to that portion of the proceeds not payable to the holder of the F�dsting Indebtedness.
<br /> IXPENDITURES BY LENDER. If Trustor fails to comply with any provision of this Deed of Trust, including any obligetion to maintain Epstlng
<br /> Indebtedness in good standing as required below,or if any action or prooeeding is commenced that would materieUy affect Lender's interests in the
<br /> Properiy, Lender on Trustor's behalf may, but shall not be required to, take any actlon that Lender dsems eppropriate. Any amount that Lender
<br /> expends in so dofng will bear interest at the rate provided for in the Note irom the date incurred or paid by Lender to the date of repayment by
<br /> Trustor. All such expenses,at Lender's option;will (a)be payable on demand, (b)be added to the balar�ce of the Note and be apportioned among
<br /> and be payable with any instailment payments to become due during either (i)the term of any applicable insurance policy or (it)the remaining term
<br /> of the Note, or (c) be treated as a balloon payment which will be due and payable at the Note's maturity. This Deed of Trust also will secure
<br /> payment of these amounts. The►igtiis provicled far i�this parey�a�ih sha4t���rt ed:ii�cn io�:sy cth6�r riSh�or any re�medi�•to which Lender may be
<br /> entitled on account of the default. Any such actfon by Lender shaN not be construed as curing the default so as to bar Lender from any remedy that
<br /> 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 warranis that: (a)Trustor holds good and maricetable title of record to the Property in fee simple,hee and clear of all liens and
<br /> encumbrances other than those set forth in the Real Property description or in the Existing Indebtedrress section below or in any title insurance
<br /> policy,tide report,or final title opinion issued in favor of,and accepted by,Lender in connection with this Deed of Trust,and (b)Trustor hes the
<br /> full right,power,and authority to execute and deliver this Deed of Trust to Lender.
<br /> Defense of Title. Subject to the excepUon in the parapraph above,Trustor waRants and wiN forever defend the title to the Property against the
<br /> lawful claims of all persons. In the event any action or proceedirp is commenced that questlons Trustor's title or the interast 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,but
<br /> Lender shall be entitled to participate in the proceedinp and to be represeMed ln the proceeding by counsel of Lender's own choice, and
<br /> Trustw will deliver,or cause to be delivered,to Lender such instrumenis as Lender may request from time to time to permit such parikk:ipaHon.
<br /> Compliance With L.aMrs. Trustor warranls that the Property and Trustor's use of the Property complies with all e�dsting applicable laws,
<br /> ordinances,and regulations of governmental suthorities.
<br /> DCISTING INDEBTEDNESS. The following provisions concerning exisHng indebtedness (the"E�dstiny Indebtedness'�are a part of this Deed of
<br /> Trust.
<br /> Existin�Lkn. The lien of this Deed of Trust securing the Indebtedness may be secondary and inferior to an e�dsting lien. Trustor expressly
<br /> covenanls and agrees to pay,or see to the payment of,the E�dsting Indebtedness and to prevent any defauft on such indebtedness,any default
<br /> under the instruments evidencing such indebtedness,or any defauft under any security documents for such indebtedness.
<br /> DeMult. If the payment of any installment of principal or any interest on the F�dstlng Indebtedness is not made within the time required by the
<br /> note evidencing such indebtedness,or should a default occur under the instrument securing such indebtedness and not be cured during any
<br /> appl'icable grace period therein,then,at the option of Lender,the Indebtedness secured by this Deed of Trust shail become immediately due
<br /> and payable,and this Deed of Trust shaN be in default.
<br /> No ModifiCation Tfustor shall not enter into any agreement'with ft�e holder of any mtxigage,dsed vf truW.,or ah..�r securi�j egreement which
<br /> has priority over this Deed of Trust by which that agreement is modified,amended, extended,or renewed without the priw written consent of
<br /> Lender. Trustor shall neither request nor a�t any future adva�under any such security agreement without the prior written consent of
<br /> Lender.
<br /> CONDEMNATION. The following provisions relating to condemnaHon proceedirps are a part of this Deed of Trust.
<br /> Application of Net Proceeds. If all or any part ot the Properiy 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 Properiy. The net proceeds of the award shall mean the award after payment of all reasonable
<br /> costs,expenses,and attorneys'fees incurred by Tnistee w Lender in connection with the condemnaUon.
<br /> Proceedinys. If any proceeding in condemnation is flled,Trustor shall promptly notify Lender in writing,and Trustor shali promptly take such
<br /> steps as may be necessary to defend the action and obtain the award. Trustor may be the nominal party fn such proceeding,but Lender shall
<br /> be entided to participate in the proc�edfny and to be represented in the proceeding by counsei of its own choice,and Trustor will deliver or
<br /> cause to be deliv�ed to Lender such instruments as may be requested by it t�om Bme to dme to permit such participabon.
<br /> IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provislons relatlnq to governmental taxes,
<br /> fees and charges are a part of this Deed of Trust:
<br /> Current Taxes,Fees and Ch��ea. Upon request by Lender,Trusta shall execute such dxuments in addition to this Deed of Trust and take
<br /> whatever other actlon is requested by Lender to pertect and conHnue Lender's Ifen on the Real Property. Trustor shall reimburse Lender for all
<br /> texes, as described below, togeth� wfth all e�enses incurred in recording, perfectlng or conHnuing this Deed of Trust, including �rithout
<br /> limitation all taxes�fees,documentary stamps,and other cherges for recording or registertng this Deed of Trust.
<br /> Taxes. The following shall constitute taxes to which this secaon applies: (a)a specific tax upon this type of Deed of Trust or upon all or an� �
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