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<br /> �� � ������ DEED OF TRUST Page 4 ,
<br /> ' (Continued)
<br /> Compliance wfth Enistfng Indebtedness. During the period in which any Existing Indebtedness described below is in effect,compliance with the
<br /> insurence 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 ot Trust for division of proc:eeds shall apply only to that
<br /> poRion 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 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 affect Lender's interests in the
<br /> Property, Lender on Grantor's behalt mey, upon notice to Grantor, but shall not be required 10,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 daie 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 /> �ine. This Deed ot Trust also will secure payment of these amounts. The rights provided for in this paragraph shall be in addition to any other rights or
<br /> any remedies 10 which Lender may be entitled on account of the default. 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. WARRANTY;DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a part of this Deed of Trust.
<br /> TiUe. Grantor warrants that: (a)Grantor holds good and marketable title of record to the Property(including a leasehdd 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 /> Detenx of Tftle. Subject to the exception in the paragraph above,Grantor waRanis 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 commeneed that questions Grantor's title or the interest of Trustee or Lender
<br /> under this Deed of Trust,Grantor shall defend the action at Grantor's expense. Grantor may Ge the nominal party in such proceeding,bu!Lender
<br /> shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel oi its own choice,and Grantor 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 /> Complfance Wfth Laws. Grantor warrants that the Property and Grantor's use ot 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 �ndebtedness")8re e p8R of this Deed of
<br /> Trust.
<br /> Exlstiny Lfen. The lien of this Deed of Trust securing the Indebtedness may be secondary and infenor to an existing lien,if there is such a lien.
<br /> Grantor expressly covenants and agrees to pay, or see to the payment of, the Existing Indebtedness 8nd to prevent any default on such
<br /> indebtedness, any default under the instruments evidencing such indebtedness, or any default under any security documents for such
<br /> indebtedness.
<br /> No ModlflCation. Grantor shall not enter into any agreement with the holder of any mortgage, deed of hust, or other security agreement whiCh
<br /> has priority over this Deed of Trust by which that agreement is modi6ed, 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. CONDEMNATtON. The following provisions relating to proceedings in condemnation are a part of this Deed of Trust.
<br /> Applfcation of Net Proceeds. It all or any part of the Property is condemned,Lender may at its election require that ell or any portion of the net
<br /> proceeds of the award be app�ied to the Indebtedness under the LOANLINER�Home Equity Plan,subject io the terms oi 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 oi all reasonable
<br /> costs,expenses,and attorneys'fees necessarily paid or incurred by Grantor,Trustee or Lender in connection with the condemnation.
<br /> Proceedinys. If eny proceeding in condemnation is filed, Grantor shall promptly notify Lender in writing,and Grantor shall prompUy take such
<br /> steps as mey be necessary to defend the action and obtain the awerd. Grantor may be the nominal party in such p�oceeding,but Lender shall be
<br /> entitled to participate in the proceedinp and to be represented in the proceeding by counsel of its own chace,and Grantor will deliver or cause to
<br /> be delivered to Lender such instruments as may be requested by it hom time to time to permit such participation.
<br /> 15. IMPOSIT�ON OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental taxes,
<br /> feea and�harg�s are a part o(this Dced of Tr��t:
<br /> Current Taxes, Fees and Charfles. Upon request by Lender, Grantor shall execute such dxuments in addition to this Deed oi Trust and take
<br /> whatever other action is requested by Lender to perfect end continue Lender's lien on the Real Property. Grantor shall reimburse Lender for all
<br /> taxes,as described below,together with atl expenses incurced in recording,pertecting 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 tollowing 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 Grantor is authorized 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 oi Trust chargeable against the Lender or the holder of
<br /> the Credit Agreement;and (d)e specific tax on all or any portion of the Indebtedness or on payments of prinCipal flnd interest mede by Grantor.
<br /> lg, FURTHER ASSURANCES. The following provisions relating to fuRher assurances are a part of this Deed ot 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 Lenders 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 offices and plac�s as Lender may deem appropriate,any and all such moAgages, deeds of trust, security deeds, security agreements,
<br /> financing statements,continuation statements, instruments of further assurance,certificates, and other documents as may,in the sole opinion ot
<br /> Lender,be necessary or desirable in order to effectuate,complete,pertect,continue, or preserve (a)the oblipations of Grantor under the Credft
<br /> Ayreement,this Deed ot Trust,and the Related Documents,and (b)the liens and security interests created by this Deed of Trust on the PropeRy.
<br /> Unl�s prohibited by lew or agreed to the contrary by Lend�r in writing, Grantor shall reimburse Lender for all costs and expenses incurred in
<br /> connection with the matters referted to in this paragraph.
<br /> 17, FLLL PERFORMANCE. If Grantor pays all the Indebtedness when due, terminates the credit line axount, and otherwise pertorms all the
<br /> obligatioru imposed upon Grantor under this Deed of Trust,Lender shall execute and deliver to Trustee s request for full reconveyance.
<br /> 10. DEFAI�.T. Each of the following, at the option of Lender,shall constitute an event of defautt ("Event of Default") under this Deed ot Trust: (a)
<br /> GraMor commits traud or makes a material misrepresentatlon at any time in connection with the credit line axount. This can indude, tor example,a
<br /> false statement about Grantor's income, assets, �iabi�ities, or any other aspects of Grantor's financial condition. (b) Grantor does not meet the
<br /> repayment terms of the credit line account. (c)Grantors action or inaction adversely affects the cdlateral for the credit line account or Lender's 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 texes,death
<br /> oi all 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
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