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200207824 ADDITIONAL PROVISIONS
<br />DEBTOR EXPRESSLY COVENANTS, REPRESENTS AND WARRANTS THAT: (1) Except for the security interest granted hereby and
<br />any encumbrance described by Debtor in writing and delivered to Secured Party before the execution and delivery of this Security Agreement,
<br />Debtor is, or to the extent that Collateral is acquired after the date hereof, will be, the owner of the Collateral free from any adverse lien, security
<br />interest or encumbrance, and Debtor will defend the Collateral against all claims and demands of ail persons at any time Gaimtno the same or any
<br />interest therein. (2) No financing statement other than other financing statements given by Debtor to Secured Party, covering fhe Collateral or any
<br />proceeds thereof is on file to any public office and at the request of Secured Party, Debtor will execute and deliver to Secured Party one or more
<br />financing statements or other documents deemed by Secured Party to be necessary or desirable to the attachment, perfection or continuation of
<br />the security interest granted hereunder, all In form satisfactory to Secured Party, and will pay the cost of filing such financing statement, this Security
<br />Agreement, any continuation or termination statement or other documents, in all public offices wherever filing is deemed by Secured Party to be
<br />necessary or desirable. If the Collateral is attached to real estate prior to the perfection of the security interest granted hereby, or if the Collateral
<br />Includes crops or oil, gas or minerals, to be extracted or timber to be out, Debtor will, on demand of Secured Party, turnish Secured Party with a
<br />disclaimer or disclaimers or subordination agreement signed by all persons having an interest in the real estate, disclaiming or subordinating any
<br />interest in the Collateral which is prior to the interest of Secured Party. (3) Debtor will net sell father than sales of inventory to the ordinary course
<br />of business), transfer or dispose of the Collateral, nor take the same or attempt to take the same from the state where kopt without the plot written
<br />consent of Secured Party. (4) Debtor will pay prior to delinquency all taxes and assessments of every nature which may be levied or assessed
<br />against the Collateral. (5) Debtor will not permit or allow any adverse lien. security interest or encumbrance wh.atsoaver upon the Czhaierai, and
<br />will not permit the same to be attached or roplevined. (6) The Collateral is in good condition and Debtor wilt at Debtor's caxpen.se, keep the same
<br />in good condition and from time to time, forthwith, replace and repair all each parts of the Collateral as may be broken wort out or damaged without
<br />allowing any lien to be created upon the Collaterai rn account of such replacement or repairs. (7) Secured Party by or through any a! its ofticers,
<br />employees or agents may, at all reasonable times and from time to time, examine and inspect the Collateral wherever located. po Debtor will at
<br />Debtor's expense keep the tangible Collateral insured with an insurance company satisfactory to Secured Party against lose or damage, as
<br />appropriate, by fire, hazards included within the term `extended coverage. ", theft, collision and such other coverages as Secured Party clay require
<br />for the full insurable vague of said Collateral at all times there is any indebtedness secured hereby. Ali such policies shall name Secured Party as
<br />an cur lonal named insured with loss payable to Secured Party. Debtor will on demand deliver said policies of insuranca or furnish plant of such
<br />insurance to Secured Party- In case of loss, Secured Party may at its option retain from insurance proceeds an amount equal to the total balance
<br />of all indebtedness secured hereby, whether :according to the tenor and eftem of any promsaory ncfa(sf h:rdoncintf surh Irx!erte.fn s; the same is
<br />due or not- (9) At its option, but without any obligation to do so, Secured Party may procure infrurarce d oct,arge faxes. Ikons, sa r ar=t; ndemsts or
<br />other encumbrances at any time levied or placed on the Collateral and may pay for the repair of any damage or injury to or for the Inresaryalion and
<br />maintenance of the Collateral. Debtor agrees to reim-burse Secured Party on demand for any payment or ertterse u- ,cured by Secured Party
<br />pursuant to the foregoing auv enlonon Until such reimbursement, the amend of any such payment, wah ieharest ther,,Ton at th ,`e o' 16'w per
<br />annum or at the maximurn rate then permitted by taw, whichever is less, from date of payment until reim5 r,amcrtt II od dee:me t tr us +ndebt-
<br />edness secured by this Security Agreement. (t0) Dehtor will not use the Collateral in violation of any appircould ounwrs rdguooic , ardinormas.
<br />UNTIL DEFAULT Debtor may have possession of the Cciiaearal and use it in any lawiui manner turf if roatsiste v ., V : rd 7, yreecnent
<br />and nor inconsistent with any policy of Insurance thereon. Upon default Secured Party Shari have tor, = mmedmte . g , 7o the +,,.ar Sion of the
<br />Collateral and shall have the right but no othigaGCl, to use and operate any such Cry Weral if Spoofed Party deems v.,t= , r4 o ar,d opeation
<br />necessary or deshabfe to the cominueo operation or Debtor's business as a going Concern
<br />DEBTOR SHALL BE IN DEFAULT under this Security Agreement upon the happening of any the fcltnw wj,ns or rind,fiens. (t)
<br />dei.tuft in the payment or performance at any ool`gafoff , covecant or liability containers or re`e!re-d I& herPm ra q only note. q +aranty or other
<br />agreement evidencing or slating to the Indebtedness, (2) any warranty, reoresamatiorl or statement made or rurnis odl to :Secured Party by or on
<br />behalf of Borrower or Debtor is discovered to have been false in any ,Material respect when made or fi.;rnsr,ed, (3) any evert which results or could
<br />resuit in the acceleration, of the maturity of the indebtedness of Borrower or parlor to otf ens render ally , ir. P.Ae, agroement or umlurtakfhg: (4)
<br />loss, theft, damage, destruction, sale (except a9 permitted herein) or encumbance to or of any of the C ,te `�r or ilia making of any levy, sevme
<br />nr atUtc,mert, lisereof or thereon: (5j !e nth, dhs66urio ., Termination of eats ;t nce, insolvency, cusoes c_ ore, app, Litrrer:t o a ftolweral of any
<br />par, of the property of, as igornent tar the benefit of creditors by, or the commencement of any prix ecr ny, Lnder u r ;ankrumtry b ,e,SOve-ncy
<br />laws by or against Borrower, Debtor, or any guarantor or surety for Borrower or Debtor.
<br />UPON ON SUCH DEFAULT and at any time fhereaftec or if It deems itself 'insecure. Secured Party may der Tare all mdol t ci , s scarred
<br />hereby irnmadiately due and payable and shall have, in addition to all other rem dies, !he em dies iv a secured party under fhe Nor ,Sara -''r:ifrrrn
<br />Commercial Code. Secured Party may require Debtor to assemble the Co➢aterat and deliver or crake !i sva6able to Secured Party at s pace! to be
<br />designated by Secured Party which is reasonably convenient to bath parties. Unless fhe Collateral is perishable or threatone to de i rte speedily in
<br />value or is of a type customarily sold on a recognized market. Secured Party will give Defiler reasonable notice or the time and of any public
<br />sale thereof or of the time after which any private sale or any other intended disposition thereof is to be made. T'he requirements a rr a rnaU.e e,otice
<br />shall be met if such notice is mailed, postage prepaid. to the address of Debtor shown on the reverse side of this Security Agreement at leasl ten
<br />days before the time of the sale or disposition.
<br />MISCELLANEOUS:
<br />(11 Unless specifically prohibited ey law. Debtor shall pay to Secured Party on demand any and alt expenses, including ottornovs tees
<br />permtted by law or awarded under section 506(b) of the United States Bankruptcy Code which are incurred or expended by Scoured Party in
<br />recovering possession or disposing of the Collateral, collecting or attempting !o coifd the Coliatara, and ln prcte rrog and rv)t(,re n f the L i,yaT ens
<br />and other rights of the Secured Party hereunder, and the same shall be secured by The Sec runty Agreement.
<br />l.2) No waiver by Secured Party of any default shall operate as a waiver of any other default or of the same defardf on o fr hr c :ccaslen.
<br />The ;,king of :his Security Agreement hat; not waive or impair ar,y other security Secured Party may have or hereafter arc{uLe' , it, p<,ymert of
<br />the indebtedness, nor shall the taking of any such additional security waive c 'mrair ills Security Agreemanf and Fail, r s, „+ r,n any
<br />security it may `rave in th�, order it may d r proper. Note ithst trd`og any ro!4aferal security. Secured Party shnl, r r „ r,gG? )o arrainst
<br />Debtor.
<br />tot :NS Security Agreement and the sacunty interest granted hereunder is in addition to all th s , :'nt agodernonlu grcdo or scamty
<br />interests granted by Debtor or Borrower to Secured Party,
<br />(4) The terms °Debtor" and, Borrower' wherever used, shall include both singular and pia,al and When V)o' Dental and trio 5urnl pi are the
<br />sarne person, those terms as used In this Security Agreement shall be interchangeable.
<br />(5) If there is more than one Debtor, their liabilities hereunder shah be joint and ser rat. if the Incabied ^toss secured hen-b r ,s rdrhrr dness
<br />owed to Secured Parry by one other then the Debtor Debtor hereby (a) consents to any number of ex rastons, renewals or m cdr 6t ns of any
<br />such Indebtedness for any periods without notice, (b) waives notice of nonpayment of any Iodebtedces„ and (c) waa++ac nrd"i (, ' mod;BCetion of
<br />any agreements regarding other collateral, if any, for Loa Indebtedness, inaudinq the sale ex change, cancellation, release or surrender of any such
<br />collateral. The obligation of the Debtor is not condit;oned upon Secured Party taking or retaining ether or additional security for the Indebtedness.
<br />(6) All rights of Secured Party hereunder shall inure to the benefit of its successors and assigns and all promisee and duties of Debtor shall.
<br />bh,d Debtor's heirs, personal representatives, successors or assigns.
<br />(7) A carbon, photographic or other reproduction of the signed Security Agreement or Financing Statement may be, used as a I narr,,ng
<br />Statement.
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<br />(6) This Agreement shalt become effective wheys ii�i� }igAerYebtdr do the reverse side hereof.
<br />NBC 1077 Rev. Cd9& _ '
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