|
COVENANTS 200304598
<br />1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and lender, agree otherwise, any payments Lender receives tram
<br />Borrower or for Boanwn's benefit will be applied first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. Ifpurlial prepayment ofthe zxurd debt occurs for any, reason, it will act unlace or excuse any scheduled payment until the secured debt is paid in full.
<br />2. Claims Against Title. Bortower will pay all tmw, assessments, and other charges attributable to the property when due tad will defend title to the property, against
<br />any claims which would impair the lien of this decd of trust. Lender may quire Borrower to assign any rights, claims or defenses which Bmrowm may have against
<br />parties who supply labor or materials to improve or running the property.
<br />J. Insurance. Borrower will keep the property insured under terms acceptable to Lender at Borrower's expense and for lender's benefit All Insurance policies shall
<br />include a standard mortgage clause m favor of Lender. Leader will be named as loss payee or as the insured on any such insurance policy. Any insurance proceeds may be
<br />applied, within Lender x discretion, to either the rosto nfiom or repair of the dumagd property or to the secured debt If leader requires mortgage in nonce, Borrower
<br />agrees to maintain such insurance for as long us Leader requires.
<br />4. Property. Borrower will keep the propery in geed condition and make all repairs rcaonably nwesmry.
<br />5. Expenses. Borrower agrees to pay all lender's expenses, including reasonable atlomeya' fees, if Borrower besides any covenants in this did of test or in any
<br />obligation securdbythisdedoftrust. Borrower will pay lheseeamountsto lerderas provided in Covenant 9ofrhis did afmnsl.
<br />6. Prior Security Interests. Unless Burrower first obtains Ieudar.x written contest, Borrower will not make or permit any changes to any prior security interests.
<br />Burrower will Perform all of Bormwer's obligations under any prior mortgage, deed oftmst or other security agreement, including Borrower's covenants to make payments
<br />when due.
<br />1. Assignment of Rent end Profits. Burrower assigns W Leader the units and profits ofthe property, UNess Brower and Lender have agreed otherwise in writing,
<br />Bnrmwer may collect and retain the is us long as Borrower is urn in dePeult. If Borrower defaults, Leader, Lender's agent, or a court appobnad receiver may take
<br />possession and manage the , to r ny and collect the rents. Any rents finder collets shell he earrini first to the costs of managing 0c propertye including court costs and
<br />anomeys' fees, commissirms to rental agents, and any other necessary rcla[d cxprnsw. The remaining an Door of rents will then apply to payments on the secured debt a9
<br />provided in Customer 1.
<br />9. Leaseholds; Condominiums; Planned Unit Developments. Borrower agrees to comply with the provisions of any lease if this deed oftmst is on leasehold. If this
<br />deed oftmst is nn a unit in a condominium me planned it development Bmmwer will perform all of Borrower's duties under the covenants, by laws, or regulations of
<br />the condominium or planned unit development.
<br />9. Authority of Lender to Perform for Borrower. If Bormwu fails to perform, any of Borrower's duties under this deed against, Lender may perform the duties or
<br />use them to be parformd. Lender may sign Borrower's name or pay any amount if necessary for performance. Unity construction on the property is discontinued or not
<br />carried on in a reasonable manner, Leader may do whatever is necessary to porter lender's security interest in the property. This may include completing the eoaswctiun.
<br />Lender's failure to perform will not preclude Lender from exercising nay of its other rigla -s under the law or this decd of most.
<br />Any amounts paid by Lender to poorest lender's security interest will be secured by this deed oftmst. Such amounb will be due on demand and will bear interest from the
<br />dote of the payment until paid In PoII at the interest rate in effect on the sward debt.
<br />10. Default and Acceleration. If Borrower fails to make any payment when due or breaks any covenants underthis deed oftmst or any obligation secured by this deed of
<br />Must or any prior mortgage or deed oftmst, Lender may accciaum the maturity of We secured debt and demand immediate payment and may invoke the power of sale and
<br />any other remedies paMmittd by applicable law.
<br />11. Bequest for Notice of Default. It is hereby r quested that topics ofthe notices of default and sale be studio each person who is a party hereto, at the address of each
<br />such persoq as ad forth herein.
<br />12. Power of Sale. If the Lender invokes the Power a sale, the Trustee shall first record in the office ofthe register of dads of each county wherein the Must property or
<br />some part or parcel thereof is simated a notice of default containing die information gdred by law. The Trustee shall also mail copies of the active of default W We
<br />Borrower, Mo emoh peon who is a party hereto, and to other persons as prescribed by applicuble Iuw. Not less than one month after the Trustee records the notice of default,
<br />or two months iffi a trust property is not in any incorporated city or village and is used in tanning opera ion wend on by the lrmWq the Trustee shall give public make of
<br />sole m the persons and in the manner prescribed by applicable law. Trustee, without del and on Borrower, shall sell the property at public auction to the highest bidder. if
<br />quired by [hc farm Homwtwd Prolwlion Act, Testa shall nt£ the property in two scpautc sales m quiml by applicable law. Testa may postpone sale of all m any
<br />parcel of the property by public announcement at the time land place of any previously scheduled sale. Lender or its designee may purchase the property rut any sale.
<br />Upon receipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the property. The initials containd in Tmdee's deed shall he
<br />pnow facie evidience of the moth of he statements contained therein. Tustin shall apply the proceeds of the sale in the following order: (a) to all expenses of the sale,
<br />including, but not limited W, orearable Trustee's fees, reasonable atromey's fees and reinstatement fees; (b) to all sums sxnrd by this dad of trust, and (c) the balance, if
<br />any, to the persons legally entitled to receive it.
<br />13. Foreclosure, At Lender's option, this deed of cost maybe foreclosed in the manner providd by applicable law for forechwure of mortgages on real property.
<br />14. Inspection. lender nay enter the pmpry m inspw it if Lender gives Borrower notice berorebund. The notice must state the reasonable cause for Lender s
<br />nspwdon
<br />15. Condemnation. Burrower msigm to lender the proceeds of any award or claim for damages counwtd with a condemnation or other taking of all or any pan of the
<br />property. Such proceed will be applied as provided in Covenant L This assigrmand is subject to the terns of any prior security agreement.
<br />16. Waiver. By exercising any reedy available to Lender Lender does net give up any rights to later use any other remedy. By not exercising ally remedy upon
<br />Bormweds default, fender does not waive any right to Iota wosider the event it default if it happens again.
<br />17. Joint and Several Liability; Co-signers; Successors and Assigns Bored. All duties under this dad oftmst arm oint and several. Any Burrower who cosigns this
<br />deed of mat but does not co -sign the underlying debt instrumentals) does so only to grant and convey that Borrower's interest in the paryserty to the Trustee under the Mttms
<br />of this deed oftmst. In addition, such u Bormwar agrees that the Ix nder and any other Borrower under Nis deed induction may extend, modify or make any other charges in
<br />the terms cf thin deed nfm,, or the secured debt without that Burrower's caused and without releasing that Borrower from the terms of this deed aided.
<br />The duties and benefits of Ibis deed of most shall bind mad benefit the successors and assigns of Lender and Borrower
<br />18. Nonce. Unless otherwise required bylaw, any notice to Rnrmwer shall be given by delivering it or by mailing it by card d mail addressed to Borrower at the
<br />property address or any other address that Borrower has given to Lender, Banower will give any notice m Lender by canified mail to Lender's address on page 1 of this
<br />deed of lust, ur to any other address, which Leader has designatd. Any other notice to Leader shall be seat to lender's address as stated on page I of this deed aimed.
<br />Any notice shall he deemed to have been given to Borrower or lender when given in the manner stated above.
<br />19. Transfer of the Property or a Beneficial Inlecest in the Borrower. If all or any pan of the property or any interest in it is sold or hamfemrl without the Lender's
<br />prior written consent, lender may demand immediate payment of the seemed debt Lunchroom, also denand innndiate payment ifthe Bortower is not a natural person and
<br />a bcncficial interest in the Borrower is sold or tmnsferaid However, Lender may not demand payment in the above situations if it is prohibited by fdeml law as ofthe date
<br />of this deed nfuust.
<br />20. Reconveyance. When the obligation secured by this ded of trust has been paid, and Lender has no ILMCr obligation to make advances under the instruments or
<br />agrennenls smared by this dead of cud, the Trusty shall, upon written quest by the Leader, reeoavey the trust property. The Lender shall deliver to the Borrower, or to
<br />Borrower's successor in intercsL (be most deed and the time ar rnher evidence ofthe obligation so satisfied. Borrower shall pay any reoonlnlum costs.
<br />21. Sue sor Trmtre. Lender at lender's either, mayremove Trustcc and appoint a successor luster, by first mailing a copy ofthe substlmtlnn oftner,c as quired
<br />by applicable law, and then, by filing the substitution of trustee for rectal in the office offl a register of dceds of Much county in which be rust property, or same part
<br />therwf is sbuatal The successorrustee, without conveyance of the property, skull succeed to all the power, dollars, authority and title of the Tudee named in the deed of
<br />lust and of any arneessor triona .
<br />
|