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DEED OF TRUST
<br />(Continued) 200207056 Page
<br />to pay, so long as Lender's interest In the Prop" Is not jeopardized It a lien arises or Is fled as a result of nonpayment, Truster shall within
<br />Them (15) days after rho Ilen arises or If a Ilan IS filed, within fifteen (IS) days after Truster has Leads Of the filing , secure Me discharge of the
<br />lien or X requested by Lentler, deposit with Lender rash or a suff o art corporate surety bond or other security satisfactory to Lender In an
<br />aunt sulllole it to discharge the Ilan plus any casts and allorneys lees, or other Charges that could accrue as a result of a loreeloaure of
<br />sale under Me lien. In any contest, Truster shall defend load and Lander ash shall satisfy any adverse judgment before enforcement against
<br />me Property. Trustw shall name Lander as an additional obligee under any surety bond furnished In the contest pmcoedings.
<br />Evidence of Payment. Proctor shell upon demand furnish to Lender satisfactory evidence of payment of Me taxes or assessments and shall
<br />auMwlZe the appropriate govemmenlal OOldel to deliver to Lender at any time a written statement of the taxes and assessments agates( to
<br />Propad .
<br />Notice of Construction. Truster doll potty Leader at least fifteen (15) days before any work is commenced, any services are drade rt or
<br />any materials are supplied to the PropaM, if any readable a Ilan, materlalmen's lion, or other Ilan could be Seethed on account of Me work,
<br />services, materiels. Truster will upon request of Lenaer furnish to Lender advance assurances satisfactory to Lender Mat Truster can and
<br />will pay r the of such improvements.
<br />PROPERTY DAMAGE INSURANCE. The following provisions relating to Insuring the Prop" are a part of cuts Doug of Trust.
<br />Maintenance of Insurance. Truster Shall procure ash maintain pdkies of fire Insurance with Standard extended coverage endorsements on
<br />replacement basis for the full insurable value covering all Improvements on the Real Property In an amount suffiJant to avoid application of
<br />any winsu2nce clause, and with a standard mortgages clause in fever of Lender, essence with such ether hazard and liability Insurance as
<br />Lender may reasonably require_ Pollees shall be written in form, amounts, coverages and basis reasonably acceptable to Lender and Issued
<br />by a numbers or companies repeatedly acceptable M Lender. Truster, upon request of Lender, v li deliver to Lender from time to time The
<br />pofdes or certificates of Insurance In farm satisfactory to Leader, including stipulations that Coverages will not be cancelled or diminished
<br />without at least tan (1e) days prior written notice to Lender. Each Insurance policy also shall include an endorsement providing that
<br />coverage In favor of Lender %ill not be Impaired In any way by any ad, omission or default of Truster or any ether person Should the Real
<br />Parody be located In an area designated by Me Director of Me Federal Emergency Management Agency as a special flood hazard area
<br />Poster agrees to obtain and reacted Federal Flood Insurance, of availabl9, within 45 days aff r notice Is given by Lander that Me Property Is
<br />located in a special IIOM hazard area for the WII unpaid principal balance of the loan and any pr0r Mans on the property sharing the loan,
<br />up to the maximum policy limits set under the National Floyd Insurance Program, or as otherwise required by Lender, and le maintain such
<br />insurance for the term of the loan.
<br />Application of Proceeds. Truster shell promptly notly Lander of any loss or damage to The Po porN- Lender may make proof of loss if
<br />Truster sls to do so within fifteen (Ii days W Me casualty whether or not Lender a security Is Impaired, Lender may at Lenders election,
<br />reserve and relent the proceeds of any insurance and apply the proceeds to the reduction of Indebtedness, payment of any Ilan effecting
<br />the Property, or the restoration and repair of the Property ' If Lander elects to apply the proceeds to restoration add repair Theater shall
<br />repair or replace to damaged or destroyed Improvements In a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such
<br />expenditure, pay or reimburse Theater from the preserve for the reasonable Cost of repair or restoration if Trusbr Is not in default under Me
<br />Deed of Trust Any proceeds wMCM1 have not been disbursed within 100 days after their receipt and which Lender has not committee to the
<br />repair or restoration of Me Property shall be used first to pay any amount owing to Lender under this Dead of Trust, Men of pay accrued
<br />Interest, and the remainder, it any, shell be applied to Me principal balance of the Indebtedness. If Lender holds any proceeds after payment
<br />In full of the Indebtedness, such proceeds shall he cold to Truster as Trusters Interests may appear.
<br />Compliance with Existing IndehtMness. During the period in wnih any Existing Indebtedness described below Is in afloat compliance
<br />with Me insurance provisions contended In Me Instrument evidencing such Existing Indebtedness shall constitute compliance with Me
<br />insurance provisions under trio Deed of Trost, m me extent compliance with the terms of this Deed of Trust would Contends a duplication of
<br />requirement, If any proceeds from Wo In a become payable on less, the provisions in mid Deed of Trust for better of
<br />proposes shall apply only W that Spread of the proceeds not payable to the bolder of Me Exleang Indebtedness.
<br />LENDER'S EXPENDITURES If Truster fells (A) to keep the Property free of all aryou Ilene, security Interests, encumbrances, and ether claims,
<br />(B) to provide any rear Insurance on the Prop". Sell M make repairs to the Property or t0 comply with any Obligation to maintain Existing
<br />Indebtedness in good standing as required below, Men Lender may do so. If any action or proceeding Is commenced that would materially affect
<br />Lender's Interests In the Property , then Lender on Treaters behalf may, but Is not required to, take any action that Lender believes to be
<br />appropriate 10 protect Lender Interests. All expenses incurred or Palo by Lender for such purposes will then bear interest at to rate charged
<br />under the Credit Agreement from IM1e date Incurred Or paid by LeMer to the date of repayment by Truster. All such expenses will bomme a part
<br />of the IndeMedness end, at Lenders option, will (A) be payable on derni de be added to the balance of the Credit Agreement and be
<br />apporhanned
<br />l eeamagm deb payalble with my Installmnt payments
<br />de thatetl as during either (1) Me term of any applicable Insurance policy;
<br />or ( g Agreement, or payment which w0 be due and payable at the Credit
<br />Agroement's maturity. The Deed of Trust also will secure Payment of these amounts. The rights provided for in this paragraph shall be In addition
<br />to any Other ilgh d or any remedies to which Lender may be entitled an account of any default, Any such action by Lander shall not be extracted
<br />as coding Me default so az to bar Lender from any remedy, that it otherwise would have had
<br />WARRANTY; DEFENSE OF TITLE. The following provision relating to ownership of the Property am a part of this Dead Of Thus1:
<br />Title. Truster warrants Mat: (a) Truster holds good and marketable title of record to the Property In lee simple, free eM clear of all liens and
<br />encumbrances other than those set dend In the Real Property description or In the Evening Indebtedness section below or in any tithe
<br />insurance poppy, title report, or final title opinion issued in favor of, and accepted by. Lender In oonneollon with this Dee] of Trust, and (b)
<br />Trster has Me full right, power, and authority to execute and deliver this Dead M Trust to Lentler.
<br />Defense of Tide Subject to the excelHan In the paragraph above, Truster wa dens and will forever defend Me title to Me Property against
<br />the lawful claims W all persons. In the event any action or expandng Is commercial that questions Trustore tied or the Interest of Trustee or
<br />Lander under this Deed of Trust, Truster shall defend the action at Trustors expense. Theater nay be the nominal path In such proseeding,
<br />but Lender shall be entitled to participate in Me proceeding and To be represented in the proceeding by counsel of Lender's own clIDice, and
<br />Theater will deliver, Or cause t0 be tlellvered, to Lander such Instruments as Lender may request from time to time to permit such
<br />participation.
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