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200200800 Application 4 01208111.20
<br />14. DEFAULT. Truster will be in default if any party obligated on the Secured Debt fails to make payment when due. Trumor
<br />will be in default if a beach occurs under the terms of this Security Instrument or any other document executed for the
<br />purpose of creating, securing or guarantying the Secured Debt. A good faith belief by Beneficiary that Beneficiary at any little
<br />is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or the value
<br />of the Property is unpaired shall also constitute an event of default.
<br />15. REMEDIES ON DEFAULT. In some instances, federal and state law will require Beneficiary to provide Truster with notice
<br />of the right to cure or other notices and may establish tune schedules for foreclosure actions. Subject to these lirmtations, if
<br />any, Beneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a mummer provided by law if
<br />'I'ruxtor is in default.
<br />At die option of Beneficiary, all or any part of the agreed fees mid charges, accrued interest and principal shall become
<br />immediately due and payable, after gwing notice if required by law, upon the occurrence of a default or anytime thereafter. In
<br />addition, Beneficiary shall be entitled to all the remedies provided by law, the terms of the Secured Debt, this Security
<br />Instrument and any related documents, including without limitation, the power to sell the Property.
<br />If there is a default, Trustee shall, in addition to any other permitted remedy, at the request of the Beneficiary, advertise and
<br />sell the Property as a whole or or separate parcels at public auction to the highest bidder for cash and convey absolute title free
<br />and clear o all right, title and interest of Toaster at such time and place as Trustee designates, Trustee shall give notice of sale
<br />including the time, terms and place of sale and a description of the property to be sold as required by the applicable law in
<br />effect at the time of the proposed sale.
<br />Upon sale of the property and to the extent not prohibited by law, Trustee shall make and deliver a deed to the Property sold
<br />which conveys absolute title to the purchaser, and after first paying all Lea, charges and costs, shall pay to Beneficiary all
<br />moneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest thereon, and die
<br />principal and interest on the Secured Debt, paying the surplus, if any, to roster. Beneficiary may purchase the Property, The
<br />recitals in any deed of conveyance shall be prmia facie evidence of the facts set forth therein.
<br />All remedies are distinct, cumulative and rut exclusive, and the Beneficiary is entitled to all remedies provided at law or
<br />equity, whether or not expressly set forth. The acceptance by Beneficiary of any sum in payment or partial payment on the
<br />Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a waiver of
<br />Beneficiary's right to require complete cure of any existing default. By not exercising any remedy on Toaster's default,
<br />Beneficiary does not waive Beneficiary's right to later consider the event a default if it continues or happens again.
<br />16. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prohibited
<br />by law, Trastor agrees to pay all of Beneficiary's expenses if Truster breaches any covenant in this Security Instrument.
<br />'fluster will also pay on demand any amount incurred by Beneficiary for insuring, inspecting, preserving or otherwise
<br />protecting the Property and Beneficiary's security interest. These expenses will bear interest from the date of the payment until
<br />paid in full at die highest interest rate In effect as provided in me terms of the Secured Debt. Trustor agrees to pay all costs and
<br />expenses incurred by Beneficiary in collecting, enforcing or protecting Beneficiary's rights and remedies under this Security
<br />Instrument. This amount may include, but is not limited to, attorneys' fees, court costs, and other legal expenses. This Security
<br />Instrument shall remain in effect until released. Trustor agrees to pay for any recordation costs of such release.
<br />17. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law means,
<br />without limitation, tie Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 42 U.S.0 . 9601
<br />ct seq.), and all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or
<br />interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2) Hazardous
<br />Substance means any toxic, radioactive or hazardous material, waste, pollutant or co ruminant which has characteristics which
<br />render the substance dangerous or potentially dangerous to the public health, safety, welfare or environment, The term
<br />- includes, without limitation, any substances defined as "hazardous material," "toxic substances," "hazardous waste" or
<br />"hazardous substance" under azry Environmental Law.
<br />Trustor represents, warrants and agrees that
<br />A. Except as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br />located, stored or released on or in the Property. This restriction does not apply to small quantities of Hazardous
<br />Substances that are generally recognized in be appropriate for the normal use and imardenance of the Property.
<br />B. Except as previously disclosed and acknowledged in writing to Beneficiary, Truster and every tenant have been, are,
<br />and shall remain in full compliance with any applicable Environmental law.
<br />C. Truster shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substance occurs on,
<br />tinder or about the Property or there is a violation of any Environmental Law concerning the Property. In such an
<br />event, Trustor shall take all necessary remedial action in accordance with any Environmental Law.
<br />D. Trustor shall immediately notify Beneficiary in writing as soon as Truster It" reason to believe there is any pending or
<br />threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous Substance
<br />or the violation of any linvirn amental Law.
<br />IS. CONDEMNATION. 'Tmstor will give Beneficiary prompt notice of any pending or threatened action, by private or public
<br />entities to purchase or take any or all of the Property through condemnation, eminent domain, or any other means. Torstor
<br />authorizes Beneficiary to intervene in Trustor's name in any of the above described actions or claims. Trustor assigns to
<br />Beneficiary die proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part
<br />of the Property . Such proceeds shall be considered payments and will be applied as provided in this Security Instrument, This
<br />assignment of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreement or other lien document.
<br />19. INSURANCE. Trustor shall keep Property insured against loss by fire, flood, theft and other hazards and risks reasonably
<br />associated with the Property due in its type and location. This insurance shall he maintained in the amounts and for the eriods
<br />that Beneficiary requires. The insurance carrier providing the insurance shall be chosen by Truster subject to Benefciary's
<br />approval, which shall not be unreasonably withheld. If Truster fails to rnaintam the coverage described above, Beneficiary
<br />may, at Beneficiary's option, Ohtani coverage to protect Beneficiary's rights in the Property according to tie terms of this
<br />Security Instrument.
<br />All insurance policies and renewals shall be acceptable to Beneficiary and shall include a standard "mortgage clause" and,
<br />where applicable, "loss payee clause." Toaster shall immediately notify Beneficiary of cancellation or termination of the
<br />insurance. Beneficiary shall have the right ro hold the policies and renewals. If Beneficiary requires, Trustor shall immediately
<br />give in Beneficiary all receipts of paid premiums and renewal notices. Upon loss, Truster shall give immediate notice to the
<br />insurance carrier and Beneficiary. Beneficiary may make proof of loss if not made immediately by Trustor. yyy
<br />IL fpa $
<br />1990 emkers Slslems.lnc., SL GIOUG, MN (bBaeJ9 > -]A) Fora' flF -nRNE IOIP]IW
<br />©C165(NE) (9soe)
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