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200304815 11, AUTHORITY TO PERFORM. If Trustor fails to perform any duty or any of the covenants contained in this Security Instrument, Beneficiary may, without notice, perform or cause them to be performed. Toaster appoints Beneficiary as attorney in fact to sign Toaster's name or pay any amount necessary for performance. Beneficiary's right to perform for Trustor shall not create an obligation to perform. and Beneficiary's failure to perform will not preclude Beneficiary from exercising any of Beneficiary's other rights under the law or this Security Instrument If any construction on the Property is discontinued or not carried on in a reasonable manner, Beneficiary may take all steps necessay to protect Beneficiary's security interest in the Property, including completion of die construction. 12. ASSIGNMENT OF LEASES AND RENTS. Truster irrevocably grants, bargains and sells to Trustee, in trust for the benefit of Beneficiary, as additional security all the right, title and interest in and to any and all existing or future leases, subleases, and any other writterl or verbal agreements for the use and occupancy of any portion of the Property, including any extensions, renewals, modifications or substitutions of such agreements (all referred to as "Leases ") and rents, issues and profits (all referred to as `Rents "). Trustor will promptly provide Beneficiary with true and correct copies of all existing and future Leases. Truster may collect, receive, enjoy and use the Rents so long as Toaster is oat in default under the terms of this Security Instrument. Truster acknowledges that this assignment is perfected upon the recording of this Deed of Trust and that Beneficiary is entitled to notify any of Trustor's tenants to make payment of Rents due or to become due to Beneficiary. However, Beneficiary agrees that only on default will Beneficiary notify Trustor and Toaster's tenants and make demand that all future Rents be paid directly to Beneficiary. On receiving notice of default, Truster will endorse and deliver to Beneficiary any payment of Rents in Toaster's possession and will receive any Rents in trust for Beneficiary and will not commingle the Rents with any other funds. Any amounts collected will be applied as provided in this Security Tnstrumenl_ Trustor warrants that no default exists under the Leases or any applicable landlord/tenant law. Toaster also agrees to maintain mid require any tenant to comply with the terns of the Leases and applicable law. 13. LEASEHOLDS; CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. Trustor agrees to comply with the provisions of any lease if this Security Instrument is on a leasehold. If the property is a unit in a Condominium Project or is pan of a Planned Unit Development ("PUD"), Truster agrees to the following: A. Obligations. Trustor shall perform all of Irustor's obligations under die Constituent Documents. The "Constituent Documents" are the: (i) Declaration or any other document which creates the Condominium Projects or PUD and any homeowners association or equivalent entity ( "Owners Association"); (ii) by -laws; (iii) code of regulations; and (iv) other equivalent documents. Trustor shall promptly pay, when due, all dues and assessments imposed pursuant to the Constituent Documents. B. Hazard Insurance. So long as the Owners Association maintains, with a generally accepted insurance carrier, a "roaster" or "blanket' policy on the Condominium Project or PUD which is satisfactory to Lender and which provides insurance coverage in the amounts for the periods, and against the hazazds Lender requires, including fire and hazards included within the term "extended coverage," then Trustor's obligation under Section 19 to maintain hazard insurance coverage on the Property is deemed satisfied to the extent that the required coverage is provided by the Owner's Association policy. Toaster shall give Lender prompt notice of any lapse in required hazard insurance coverage. In the even of a distribution of hazard insurance proceeds in lieu of restoration or repair following a loss to Property, whether to the unit or to common elements, any proceeds payable to Trustor are hereby assigned and shall be paid to Lender for application to the sums secured by this Security Instrument, with any excess paid to Toaster. C. Flood Insurance. Trustor agrees to maintain Flood insurance for the life of the Secured Debt which is acceptable, as to form, amount and extent of coverage to Lender. D. Public Liability Insurance. Trustor shall take such actions as may be reasonable to insure that the Owners Association maintains a public liability insurance policy acceptable in form, amount, and extent of coverage to Lender. E. Condemnation. The proceeds of any award or claim for damages, direct or consequential, payable to Trustor in connection with any condemnation or other taking of all or any pan of the Properly, whether of the unit or of the common elements, or for any conveyance in lieu of condemnation, are hereby assigned and shall he paid to Lender. Such proceeds shall be applied by Lender to the sums secured by the Security Instrument as provided in Section 18. F. Lender's Prior Consent. Toaster shall not, except after notice to Lender and with Lender's prior written consent, either parlition or subdivide the Property or consent m: (i) the abandonment or nomination of the Condominium Project or PUD, except for abandonment or termination required by law in the case of substantial destruction by fire or other casually or in the case of a taking by condemnation or eminent domain; (ii) any amendment to any provision of the Constituent Documents if the provision is for the express benefit of Lcndcr, (iii) termination of professional management and assumption of self- management by the Owners Association; or (iv) any action which would have the effect of rendering the public liability insurance coverage maintained by the Owners Association unacceptable to Lender. G. Remedies. If Trustor does not pay condominium or PUD dues and assessments when due, then Lender may pay them. Any amount disbursed by Lender under this section shall become additional debt of Toaster secured by this Security Instrument. Unless Trustor and Lendea agree to other terms of payment, these amounts shall bear interest from the date of NFRRAS" -DEED OF TRUST �`- EQ127C(06 n0e2) p