|
200308909
<br />writing, the sums secured by this Security Instrument shall be reduced by the amodnt of the
<br />Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured
<br />immediately before the partial taking, destruction, or loss in value divided by (b) the fair market
<br />value of the Property immediately before the partial taking, destruction, or loss in value. Any
<br />balance shall be paid to Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair
<br />market value of the Property immediately before the partial taking, destruction, or loss in value is
<br />less than the amount of the sums secured immediately before the partial taking, destruction, or loss
<br />in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be
<br />applied to the sums secured by this Security Instrument whether or not the sums are then due.
<br />If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the
<br />Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for
<br />damages, Borrower fails to respond to Lender. within 30 days after the date the notice is given,
<br />Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoration or repair of
<br />the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing
<br />Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom
<br />Borrower has a right of action in regard to Miscellaneous Proceeds.
<br />Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun
<br />that, in Lender's judgment, could result in forfeiture of the Property or other material impairment of
<br />Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a
<br />default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or
<br />proceeding to be dismissed with a ruling that, in Lender's judgment, precludes forfeiture of the
<br />Property or other material impairment of Lender's interest in the Property or rights under this
<br />Security Instrument. The proceeds of any award or claim for damages that are attributable to the
<br />impairment of Lender's interest in the Property are hereby assigned and shall be paid to Lender.
<br />All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall
<br />be applied in the order provided for in Section 1.
<br />12. Borrower Not Released, Forbearance By Lender Not a Waiver. Extension of the time for
<br />payment or modification of amortization of the sums secured by this Security Instrument granted by
<br />Lender to Borrower or any Successor in Interest of Borrower shall not operate to release the liability
<br />of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence
<br />proceedings against any Successor in Interest of Borrower or to refuse to extend time for payment or
<br />otherwise modify amortization of the sums secured by this Security Instrument by reason of any
<br />demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearance
<br />by Lender in exercising any right or remedy including, without limitation, Lender's acceptance of
<br />payments from third persons, entities or Successors in Interest of Borrower or in amounts less than
<br />the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy.
<br />13. Joint and Several Liability; Co- signers; Successors and Assigns Bound. Borrower
<br />covenants and agrees that Borrower's obligations and liability shall be joint and several. However,
<br />any Borrower who cc -signs this Security Instrument but does not execute the Note (a "co- signer').' (a)
<br />is co- signing this Security Instrument only to mortgage, grant and convey the co- signer's interest in
<br />the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the
<br />sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can
<br />agree to extend, modify, forbear or make any accommodations with regard to the terms of this
<br />Security Instrument or the Note without the co- signer's consent.
<br />Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes
<br />Borrower's obligations under this Security Instrument in writing, and is approved by Lender, shall
<br />obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be
<br />released from Borrower's obligations and liability under this Security Instrument unless Lender agrees
<br />to such release in writing. The covenants and agreements of this Security Instrument shall bind
<br />(except as provided in Section 20) and benefit the successors and assigns of Lender.
<br />14. Loan Charges. Lender may charge Borrower fees for services performed in connection
<br />with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights
<br />under this Security Instrument, including, but not limited to, attorneys' fees, property inspection and
<br />valuation fees. In regard to any other fees, the absence of express authority in this Security
<br />Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the
<br />charging of such fee. Lender may not charge fees that are expressly prohibited by this Security
<br />Instrument or by Applicable Law.
<br />If the Loan is subject to a law which sets maximum loan charges, and that law is finally
<br />interpreted so that the interest or other loan charges collected or to be collected in connection with
<br />the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount
<br />necessary to reduce the charge to the permitted limit; and (b) any sums already collected from
<br />Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make
<br />this refund by reducing the principal owed under the Note or by making a direct payment to
<br />Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without
<br />any prepayment charge (whether or not a prepayment charge is provided for under the Note).
<br />Borrower's acceptance of any such refund made by direct payment to Borrower will constitute a
<br />waiver of any right of action Borrower might have arising out of such overcharge.
<br />NEBRASKA .Single Family — Fannie Mne/F Odle Mae UN /FORM /NSTRUMF.NT MGRS ModffW Faun 302A 1 /01
<br />R03 -1212
<br />(page 7 of 10 pvga)
<br />
|