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200306686
<br />DEED OF TRUST
<br />Loan No: 29398 (Continued) Page 3
<br />steps as may be necessary to defend the action and obtain the award. Trustor may be the nominal party in such proceeding, but Lander
<br />shall be entitled to participate In the proceeding and to be represented in the proceeding by counsel of its own choice, and Trustor will
<br />deliver or cause to be delivered to Lender such instruments and documentation as may be requested by Lander from time to time to permit
<br />such participation.
<br />Application of Net Proceeds. If all or any pad of the Property 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 Property. The net proceeds of the award shall mean the award after payment of all
<br />reasonable costs, expenses, and attorneys' fees incurred by Trustee or Lender in connection with the condemnation.
<br />IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental taxes,
<br />fees and charges are a pad of this Deed of Trust:
<br />Current Taxes, Fees and Charges. Upon request by Lender, Trustor shall execute such documents in addition to this Dead of Trust and
<br />take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Trustor shall reimburse Lander
<br />for all taxes, as described below, together with all expenses incurred in recording, perfecting or continuing this Deed of Trust, including
<br />without limitation all taxes, bass, 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: (1) a specific tax upon this type of Dead of Trust or upon all or any
<br />part of the Indebtedness secured by this Dead of Trust; (2) a specific tax on Trustor which Trustor Is authorized or required to deduct from
<br />payments on the Indebtedness secured by this type of Deed of Trust; (3) a tax on this type of Dead of Trust chargeable against the Lender
<br />or the holder of the Note; and (4) a specific tax on all or any portion of the Indebtedness or on payments of principal and interest made by
<br />Trustor.
<br />Subsequent Taxes. If any tax to which this section applies is enacted subsequent to the date of this Dead of Trust, this event shall have the
<br />same effect as an Event of Default, and Lender may exercise any or all of Its available remedies for an Event of Default as provided below
<br />unless Trustor either (1) pays the tax before it becomes delinquent, or (2) contests the tax as provided above in the Texas and Liens
<br />section and deposits with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender.
<br />SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions relating to this Dead of Trust as a security agreement are a part
<br />of this Deed of Trust:
<br />Security Agreement. This instrument shall constitute a Security Agreement to the extent any of the Property constitutes fixtures, and Lender
<br />shall have all of the rights of a secured party under the Uniform Commercial Code es amended from time to time.
<br />Security Interest. Upon request by Lender, Trustor shall execute financing statements and take whatever other action is requested by
<br />Lender to perfect and continue Lender's security interest in the Personal Property. In addition to recording this Dead of Trust in the real
<br />property records, Lender may, at any lime and without further authorisation from Trustor, file executed counterparts, copies or reproductions
<br />of this Deed of Trust as a financing statement. Trustor shall relmbuse Lender for all expenses incurred in perfecting or continuing this
<br />security interest. Upon default, Trustor shall not remove, sever or detach the Personal Property from the Property. Upon default, Trustor
<br />shall assemble any Personal Property not affixed to the Property in a manner and at a place reasonably convenient to Trustor and Lender
<br />and make it available to Lander within three (3) days after receipt of written demand from Lender to the extent permitted by applicable law.
<br />Addresses. The mailing addresses of Trustor (debtor) and Lander (secured party) from which information concerning the security interest
<br />granted by this Dead of Trust may be obtained (each as required by the Uniform Commercial Code) are as stated on the first page of this
<br />Deed of Trust.
<br />FURTHER ASSURANCES; ATTORNEY -IN -FACT. The following provisions relating to further assurances and attorney -in -fact are a part of this
<br />Deed of Trust:
<br />Further Assurances. At any time, and from time to time, upon request of Lender, Trustor will make, execute and deliver, or will cause to be
<br />made, executed or delivered, to Lender or to Lenders designee, and when requested by Lender, cause to be filed, recorded, raffled, or
<br />rerecorded, as the case may be, at such times and in such offices and places as Lender may deem appropriate, any and all such mortgages,
<br />deeds of trust, security deeds, security agreements, financing statements, continuation statements, instruments of further assurance,
<br />certificates, and other documents as may, In the sole opinion of Lender, be necessary or desirable in order to effectuate, complete, perfect,
<br />continue, or preserve (1) Trustor's obligations under the Note, this Dead of Trust, and the Related Documents, and (2) the liens and
<br />security interests created by this Deed of Trust as first and prior liens on the Property, whether now owned or hereafter acquired by Trustor.
<br />Unless prohibited by law or Lander agrees to the contrary in writing, Trustor shall reimburse Lender for all costs and expenses incurred in
<br />connection with the matters referred to in this paragraph.
<br />AttorneyAn -FeCt. If Trustor fails to do any of the things referred to In the preceding paragraph, Lender may do so for and In the name of
<br />Trustor and at Trustor's expense. For such purposes, Trustor hereby irrevocably appoints Lender as Trustor's attorney -In -fact for the
<br />purpose of making, executing, delivering, filing, recording, and doing all other things as may be necessary or desirable, in Lender's sole
<br />opinion, to accomplish the matters referred to in the preceding paragraph.
<br />FULL PERFORMANCE. If Trustor pays all the Indebtedness when due, and otherwise performs all the obligations imposed upon Trustor under
<br />this Deed of Trust, Lander shall execute and deliver to Trustee a request for full moonveyance and shell execute and deliver to Trustor suitable
<br />statements of termination of any financing statement an file evidencing Lender's security interest in the Rents and the Personal Property. Any
<br />reconveyance fee required by law shall be paid by Trustor, if permitted by applicable law.
<br />EVENTS OF DEFAULT. At Lender's option, Trustor will be in default under this Deed of Trust If any of the following happen:
<br />Payment Default. Trustor falls to make any payment when due under the Indebtedness.
<br />Break Other Promises. Trustor breaks any promise made to Lender or fails to perform promptly at the time and strictly in the manner
<br />provided in this Deed of Trust or In any agreement related to this Deed of Trust.
<br />Compliance Default. Failure to comply with any other term, obligation, covenant or condition contained in this Deed of Trust, the Note or in
<br />any of the Related Documents. It such a failure is curable and if Trustor has not been given a notice of a breach of the same provision of this
<br />Deed of Trust within the preceding twelve (12) months, it may be cured (and no Event of Default will have occurred) if Trustor, attar Lander
<br />sends written notice demanding cure of such failure: (a) cures the failure within twenty (20) days; or (b) If the cure requires more than
<br />twenty (20) days, immediately initiates steps sufficient to cure the failure and thereafter continues and completes all reasonable and
<br />necessary steps sufficient to produce compliance as soon as reasonably practical.
<br />Default on Other Payments. Failure of Trustor within the time required by this Dead of Trust to make any payment for taxes or insurance, or
<br />any other payment necessary to prevent filing of or to effect discharge of any lien.
<br />False Statements. Any representation or statement made or furnished to Lender by Trustor or on Trustor's behalf under this Deed of Trust
<br />or the Related Documents is false or misleading in any material respect, either now or at the time made or furnished.
<br />Defective Collateralbntion. This Deed of Trust or any of the Related Documents ceases to be in full force and effect (including failure of any
<br />collateral document to Create a valid and perfected security Interest or lien) at any time and for any reason.
<br />Death or Insolvency. The death of Trustor, the insolvency of Trustor, the appointment of a receiver for any pad of Trustor's property, any
<br />assignment for the benefit of creditors, any type of creditor workout, or the commencement of any proceeding under any bankruptcy or
<br />insolvency laws by or against Trustor.
<br />Taking of the Property. Any creditor or governmental agency tries to take any of the Property or any other of Trustor's property in which
<br />Lander has a lien. This includes taking of, garnishing of or levying on Trustor's accounts with Lender. However, if Trustor disputes in good
<br />faith whether the claim on which the taking of the Property is based is valid or reasonable, and if Trustor gives Lander written notice of the
<br />claim and furnishes Lender with monies or a surety bond satisfactory to Lander to satisfy the claim, then this default provision will not apply.
<br />Breach of Other Agreement. Any breach by Trustor under the terms of any other agreement between Trustor and Lender that is not
<br />remedied within any grace period provided therein, including without limitation any agreement concerning any indebtedness or other
<br />obligation of Trustor to Lender, whether existing now or later.
<br />Events Affecting Guarantor. Any of the preceding events occurs with respect to any guarantor, endorser, surety, or accommodation party
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