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200205401
<br />1. Payment al indebtedness. Trusior shell promptly pay nr cause to be paid when due the Obligations and all other indebtedness. The
<br />Trustor shall also promptly and faithfully ob,,,,. all of its obligations ender any Other deed of trust encumbering all or part of the Trust
<br />Property and, if applcable, any promissory nuts, guaranty, or other term of contractual indebtedness secured by such usher deed of trust,
<br />whether junior Or seem, to the lien of this Dead Of Trust, and any ether Obligations secured by a /ten on (he Trust Property, whether arising
<br />consensually or by operation Of law.
<br />3. Construction of Improvements. Trader shall complete in goad and workmanlike mranner any buildings, improvements or repairs relating
<br />thereto which may be begun on the Trust Property or contemplated by the Obligations secured hereby, to pay when due all casts and
<br />liabilities incurred therefor, and not to permit any construcdan / /en against such Trust Property. In the even( construction of buildings,
<br />Improvement, Or repairs ere coriteonplated, Trusmr also agrees, anything in this Deed of Trust to the contrary notwithstanding; (a) to
<br />promptly cmrrn2nce any such work and to complete the preened improvements prompt /y. lb) to camp /ere the same in accordance with the
<br />plans and specifications as approved by Beneficiary, let to comply with all the terms of a building loan agreement, )f any, between Truster
<br />and Beneficiary, the terms of which are incorporated hereon by reference and made a part hereof. (it) to allow Beneficiary to inspect the Trust
<br />Property at all rimes during construction, and lei to replace any work or materials unsatisfactory to Beneficiary within fifteen (16) days after
<br />written notice fruit? Beneficiary of such fact.
<br />4. Funds for Payment of Charges. If requested at any rime at from time to time by the Beneficiary, Truster shall pay to Beneficiary on the
<br />first day of each month, or such other date each month as may be specified by Beneficiary, until the Obligations are paid in full, a sum
<br />(hereinafter the "Funds') equal to 1 /12th of the yearly taxes and assessments which may attain priority over this Deed Of Trust and ground
<br />ants on the Trust Property, if any, plus 1 /12th of the yearly premium installments far hazard insurance, plus 1 /121h of the yearly premium
<br />matailmerds for mortgage insurance, if any, all as reasonably estimated initially and fruit) lime to time by Beneficiary on the basis of
<br />assessments and bills and reasonable estimates thereof. The Funds shall be held in an institution, the deposits or accounts of which are
<br />insured or yuoan teed by a federal or state agency including Beneficiary. Beneficiary shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and ground rents. Beneficiary shall not be required to pay buster any interest or earnings on the Funds. Beneficiary shall
<br />give to Trustaq without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each
<br />debit to the Funds was made. The Funds are pledged as additional security far (he Obligations secured by this Deed of Trust. if the amount
<br />of the Ponds held by Beneficiary together with the future monthly installments of Ponds payable prior to the due dares of taxes,
<br />assessments, insurance premiums slid ground rents, .shall exceed the amount required to pay said taxes, assessments, insurance premiums
<br />and ground rents as they fall due, such excess shall be, at Tmstor',s option, either promptly repaid to Trustee or credited in Truster, against
<br />fail,,,. monthly installments Of Funds, if the amount of the Funds held by Beneficiary shall not be sufficient to pay taxes, assessments,
<br />insurance premiums and ground rents as they fall due, True tor shall pay to Beneficiary any amount necessary to make up the deficiency
<br />within thirty days from the date notice is mailed by Reneficiary to Truster requesting payment thereof, Upon payment in full of all
<br />Obligations, Beneficiary shall promptly refund to Trustor any Funds held by Beneficiary If the Trust Properly is sold under the power of sale
<br />or the Trust Property is otherwise acquired by Beneficiary, Beneficiary shall app /y, immediately prior to the sale of the Trust Property Or ifs
<br />acguisrtion by Beneficiary, airy Funds held by Beneficiary at the time of 2pphca tie' as a credit against the Obligations. if Beneficiary execures
<br />wril(en waiver of TocihIl s obligations under this Section, Trusmr covenants and agrees to pay, before the .same became delinquent, all
<br />taxes, assessments, insurance premiums, ground rents, and all other charges whatsoever levied upon or assessed placed or made against
<br />the Trust Piuperty. Tmstor further agrees, upon written request by Beneficiary to promptly deliver to Beneficup, all receipts for the payment
<br />of such charges. Truster likewise agrees to pay all (axes, assessments and other charges levied upon or assessed, placed or made against,
<br />or measured by, ,hs Decd of Trust or the recordation hereof,
<br />5. Application of Payments. All payments received by Beneficiary as to any debt, liability or obligation owed to Beneficiary by Truster may
<br />be, appled by Beneficiary to the payment of the Obligations in any order or )manner of app/icarlon which Beneficiary, in its absolute of ..edon,
<br />deems' apprapnate.
<br />6. Charges; Ideas. Trusior will keep the Trust Property free from all Dens and encumbrances, whether prior er.aabordieate to this Deed of
<br />Tms6 other Bran the hen of currant real estate taxes and installments of official assessments with respect to which no penalty is yet
<br />payable; provided, however, that Truster need not discharge any such lien so long as Truster shall agree, in writing, to pay the obligation
<br />secured by such lien in a manner acceptable in Beneficiary and shall in good faith contest such lien by appropriate /ego/proceedrag, effective
<br />to prevent the enlerrement Of the lien or the loss of any interest in ar part of the Trust Property, and shall also give such reasonable security
<br />to Beneficiary as may be demanded by Beneficiary to insure compliance therewith. The Beneficiary may in its sole discretion defend the lien
<br />of this Deed of Trust and all cos is and attorneys fees incurred by Beneficiary in said defense shall be reimbursed by Truster or added to the
<br />Obligations.
<br />]. Hazard Insurance. Tmstor shall keep (he buildings and other improvements now existing or hereafter erected on the Trust Property
<br />cured by insurance carriers satisfactory to Beneficiary against loss by fire, hazards included in the term 'extended coverage "and such
<br />other hazards, casualties and contingencies, including war damage insurance, as may be required by Beneficiary, in such amounts and for
<br />such periods as may be repaired by Beneficiary. The pnlic y of insurance shall be in form acceptable m Beneficiary and shall no( contain a
<br />defense based an coinsurance, and shall contain the standard provision that no act of the Beneficiary or of the Beneficiary's agents or
<br />represema(ives will tender sire policy void as to the Beneficiary or affect the Beneficiary's right in rernver in case of loss, and the policy or
<br />policies shall provide that the same may not be canceled Or modified without fifteen 115) days prior written notice to Beneficiary, and have
<br />I.. payable provisions in favor of and in farm acceptable to Beneficiary. All premiums on insurance policies shall be paid do the manner
<br />provided under the Section .,,filed "Funds for Payment of Charges " herein or, if not paid in such mariner, by Truster making payment at
<br />/east fifteen (ib) days prior to the due date, directly to the insurance carrier. Beneficiary oball have the right to hold the po0coes and renewing
<br />thereof and Tustor shall promptly f ndkoh to Beneficiary all renewal notices and all paid premium receipts received bye. In no event shall
<br />ee,ehcdary Of Trrstea be held responsible for failure to pay insurance premiums or for any loss or damage arising out of a defect in any
<br />policy or arising out of any failure of any insurance company to pay fur any loss or damage insured against or far failure by Truster to effort
<br />the insurance .iss"d hereunder. In rho event of Ins,, Trustor shall love prompt notice by mail to the insurance carrier and Beneficiary.
<br />Beneficiary may make proof of /all if not made promptly or in proper form by Tustor. All policies of insurance and any and all refunds of
<br />unearned premiums are hereby assigned to Beneficiary as' additional security for the payment Of the Obligations. In the event of Beneficiary's
<br />,sears, of the paws, of sale contained heroin, or in the even( of foreclosure, a0 right, title and interest of Truster in and to any insurance
<br />policy then in force shall pass to the purchaser at the trustee's sale or foreclosure sale. In case of any fuss, the insurance proceeds may, at
<br />the option of Beneficiary, he app lied by Beneficiary upon the Obligations, or any part thereof. and in such order and amount as Beneficiary
<br />ma y de remand; or said insurance proceeds, at the option of Beneficiary may either be used in replacing or restoring the Trust Property
<br />partially or totally des roared to a condition so lisfec Cory to Beneliclarg or said insurance proceeds, or any portion thereof, may be re /eased 1.
<br />Trustor Unless Beneficiary and lips for otherwise agree in writing, any such application of insurance proceeds sha / /no t extend or pis [pane
<br />the due date of any note of agreement evidencing the Obligations, or any ins ra firands called for thereub or change the amount of such
<br />bstallments if the Trust Property is acquired by Beneficiary pursuant to the exercise of the power of sale or other foreclosure, all right, title
<br />and interest of revs tot in and to an y insurance proceeds payable as a result of damage to the Trust Property prior to the sale or ar, mosition
<br />shall pass to Ron ,. flriary and shall be applied first to the costs and expenses, including 0Unmeys' fees, Incurred in collecting such proceeds,
<br />then in the manner and in the order provided hereon, Notwitl,lanr/(g anything contained in this Section to the contrary, if this Dead of Trust
<br />is on a condominium or a I. house and there is a master insurance policy in force covering the common crepe and facilities and ail
<br />condominiums and town houses located in that development, then, ufoes,, otherwise notified in writing by the Beneficiary, the Trotter shall
<br />have no obligation to maintain the insurance required hereunder, and will assign all benefits and proceeds received thereon to the Beneficiary
<br />and, in the Beneficiary's sole diiare(ion, name the Beneficiary as the named insured on said policy. Whenever such insurance is in force
<br />(regardless of who /her requested by the Beneficiary or nut) fie Tmstor her.hy authorizes the Beneficiary to cancel such insurance whenever
<br />the Reneficiary determines that such insurance does at adequately protect doe Beneficiary's inters).
<br />B. Preservation and Ma etarrance of best Property. Trustor will keep (he buildings and other improvements now or hereafter erected on the
<br />Trust Property in good repair and condition, ordinary depreciation excepted, and shalll,i ode all utility services necessafy for the operation
<br />and preservation of the bust Property. Trusmr will not commit crperrnit waste, will not alter the design or structural character constituting
<br />any building now or hereafter erected on and cchairman, the Trust Property without the prior written consent of Benebiciart, will not do any
<br />act a, thing which would undo /y impair or depreciate the voice of the T..t Proper, y and will oat abandon the Trust Property. Dugmr will net
<br />remove any fixtures constituting the Trust Properly unless the same are immediately rep /aced with like property subject to the lien and
<br />security inmoest of this Deed of Trust and of at /east equal value and utility, Truster will comply with all present and future ordinances,
<br />regulation, and requirements of any g rchanmeo(al body which are applicable ro the Trust Property and to the occupancy and use thereof. if
<br />this Deed of Trust is on a unit on a condominium or a planned unit development, Trustor shall perform all of Trustee's obligations under the
<br />declarations or covenants creating or governing the condomin mi or the planned unit development the bylaws and regulations of the
<br />condominium ar planned unit devengpmen6 and fire constituent documents.
<br />9, ho roo,fice Beneficiary delta agents ,ray at all reasonable rimes, enter upon the Trust Property for the purpose of inspection including,
<br />but not limited to erovomnmental testing. Beneficiary shall have no duty to make such inspection and shall not be liable to Truster or to any
<br />person do pnssecaion if it makes or fails to make any such inspection.
<br />10. Protecfio i of Security. If ))ogler fails to perform any of the covenants and agreements contained in this Deed of Trust, or if any action
<br />or proceeding d commenced which does or may adversely affect the Trust Property or the interest of Irustor or Beneficiary therein or the
<br />title of Truster rherem, then Beneficiary, at its option, may perform such covenants and agreements, make such appearences, defend against
<br />and /or investigate such action or proceeding and take such other action as Beneficiary deems necessary to protect its interest including, but
<br />not limited to, disbursement of reasonable .(lameys' fees and envy upon the Trust Property to make repairs. Any amounts disbursed or
<br />incurred by Beneficiary pursuant to this Section, including, but not limited to, reasonable attorneys' fee.., with interest thereon, sired
<br />constitute additional Obligations secured by this Deed of Dust Beneficiary is hereby given an irrevocable power of attorney (wNch power is
<br />coupled with an interest for purposes of O curdyl to enter upon the Trust Property as the Trusters agent and in the Trustee's name to
<br />perfmm any and all on venal is and agreements to be perfurn)ed by the Trustor as herein provided. Unless Trusmr and Beneficiary agree to
<br />Other terms of payment, such amounts shall be payahle upon notice from Beneficiary to Trustor requesting paymenr thereof, and shall bear
<br />interest hem the date of disbursement or the date incurred al the rate set forth in the Note or the rate provided in the most recent obligation
<br />covered by the Gid p, ry, unless payment Of interest at such rate would be contrary to applicable law, in which event such amounts shall
<br />bear interest at lbe highest rate parmhred by applicable le w. Nothing contained in this paragraph shall require Beneficiary to tricot an y
<br />expense .r its any action hereunder Beneficiary shall, at its option, be subrogated to any encumbrance, lien, claim of demand and to all
<br />rights and s'ee no[,,, for the payment thereof paid or discharged by Beneficiary under the provisions hereo{ and any such subrogation rights
<br />shall be additional and cumulative security for this Deed of Trust Page F of 5
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