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� , ;� S ;1112�9 9 DEED OF TRUST Page 4 �
<br /> (Continued)
<br /> Complisnce wfth Existing Indebtedness. During the period in which any Existing Indebtedness described below is in effect,compliance with the
<br /> insurance provisions contained in the instrument evidencing such Existing Indebtedness shall constitute compliance with the insurance provisions
<br /> under this Deed of Trust,to the extent compliance with the terms 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 oi Trust for division of proceeds shall apply only to that
<br /> poAion of the proceeds not payable to the holder of the Existing Indebtedness.
<br /> 11. DCPENDITURES BY LENDER. If Grantor fails to comply with any provision of this Deed oi 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 m8terially affeCt Lenders interests in the
<br /> Properly, Lender on Grantor's behali 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 tMe rate charged under the Credit Agreement from the date incurred or paid by Lender to
<br /> the date of repayment 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 /> Iine. 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 detault. Any such action by Lender shall not be construed as curing the default so as
<br /> to bar Lender hom any remedy that it otherwise would have had.
<br /> 12. WARRANTIf;DEFENSE OF TITLE. The foilowing provisions relating to ownership of the Property are a pa�t of this Deed of Trust.
<br /> Title. Grantor warcants 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)Granior has the full right, power,and authority to execute and deliver this
<br /> Deed of Trust to Lender.
<br /> Defense of Tltle. Subject to the exception in the paragraph above, Grantor warrants and will forever defend the tide to the Property against the
<br /> lawful claims of all persons. In the event any action or proceeding is commenced that questions Grantor's title or the interest of Trustee or Lender
<br /> under this Deed of Trust,6renter�aN-�e4end 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 oi its own choice,and Granlor will deliver,or
<br /> cause to be delivered,to Lender such instruments as Lender may request hom time to time to permit such participation.
<br /> Compliance Wfth Lews. Grantor warrants that the Property and Grantor's use of the Property complies with all existing appliCable laws,
<br /> ordinances,and 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 /> Exlstiny Lien. The lien of this Deed of Trusi securing the Indebtedness may be secondary and inferior to an existing lien,if there is such a lien.
<br /> Grentor expressly covenants and agrees to pay, or see to the payment of, the Existing Indebtedness and to prevent any detauft on such
<br /> indebtedness, any defautt under the instruments evidencing such indebtedness, or any default under any security documents for such
<br /> indebtedness.
<br /> No ModlflCatfon. Grantor shall not enter into any agreement with the holder of any mortgage, deed of trust, or other seCUrity agreement whiCh
<br /> has priority over this Deed of Trust by which that agreement is modified, amended, extended, or renewed without the prior written consent of
<br /> Lender. Grantor shell neither request nor accept any future advances under any such security agreement without the prior written consent of
<br /> Lender.
<br /> 14. CONDEMNATtON. The following provisions relating to proceedings in condemnation are a part of this Deed of Trust.
<br /> Application 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 Plan,subject to the terms of any moRgage 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 atter payment of all reasonable
<br /> costs,expenses,and attorneys'fees necessarily paid or incurred by Grantor,Trustee or Lender in connection with the condemnafion.
<br /> Proceedinps. If any proceeding in condemnation is filed, Grantor shall promptly notify Lender in writing,and Grantor shall prompdy take such
<br /> steps as may be riecessary to defend the action and obtain the award. Grantor may be the nominal party 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 from time to time to permit such participa6on.
<br /> 15. IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The tollowing provisions relating to governmental taxes,
<br /> fees and charges are a part of this Deed of Trust:
<br /> Current Taxes, Fees and Charyes. Upon request by Lender, Grantor shall execute such documents in addition to this Deed oi Trust end take
<br /> whatever other action is requested by Lender to pertect and continue Lender's lien on the Real Property. Grantor shall reimburse Le�der for all
<br /> taxes,as described below,together with alI expenses incuRed in recording,perfecting or continuing this Deed of Trust,includinp without limifation
<br /> 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: (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 of Trust; (b)a specific tax on Grantor which Granior is authorized or required to deduct trom payments
<br /> on the Indebtedness secured by this type of Deed of Trust; (c)a tax on this type of Deed of Trust Chargeable against the Lender Or the holder of
<br /> the Gedit Agreement;and (d)a specific tax on all or any portion of the Indebtedness or on payments of principat and interest m8de by Grantor.
<br /> 16. FURTHER ASSURANCES. The following provisions relating to further assurances are a part oi this Deed oi Trust.
<br /> FuRher Assurances. Upon request of Lender,Carantor 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 mey be,at such fimes and
<br /> in such oifices and places as Lender may deem appropriate,any and all such mo�tgages, deeds of trust, security deeds, secuAty agreements,
<br /> financing statements,continuation statements, instruments of further assurance,certificates,and other documents as may,in the sole opinion of
<br /> Lender, be necessary or desirable in order to eftectuate,complete,pertect,continue, or preserve (a)the oblipations of Grantor under the Credit
<br /> Apreement,this Deed of Trust,end the Related Documents,and (b)the liens end security interests created by this Deed of Trust on the Properfy.
<br /> Unless prohibited by lew or agreed to the conhary by Lender in writing, Grantor shall reimburse Lender for all costs and expenses incurred in
<br /> connection with the matters referred to in this paraeraph.
<br /> 17. Fli.1 PERFORMANCE. If Grantor pays all the Indebtedness when due, terminates the credit line account, and otherwise pertorrt►s all the
<br /> obliga5ons imposed upon Grantor under this Deed of Trust,Lender shall execute and deliver to Trustee a request for full reconveyanCe.
<br /> t8. DEFAI�T. Each of the following, at the option of Lender,shall constitute an event of defautt("Event of Default") under this Deed of Trust: (a)
<br /> Grantor commits haud or makes a material misrepresentation at any time in connection with the credit line 8ccount. This can include, for ex8mple,s
<br /> false statement about Grantor's income, assets, liabilities, or any other aspects of Grantor's finenciat Condition. (b) Grantor does not meet the
<br /> repayment terms of the credit line account. (c}Grentors aCtion or inaction adversely affects the cdlateral for the credit line account or Lender's rights in
<br /> the cdlateral. This can include,for e�cample,failure to maintain required insurance,waste or destructive use of the dwelling,failure to pay taxes,death
<br /> oi all persons liable on the account, transfer of title or sale of the dwelling, creatfon of a lien on the dwelling without our permission,foreclosure by the
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