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<br />200511510
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<br />DOC to #t 00012145208910005
<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any
<br />other entity, or any affiliate of any of the foregoing, may receive (directly or indiredly) amounts that derive
<br />from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for
<br />sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an
<br />affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the
<br />insurer, the arrangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements will not affect tbe amounts that Borrower bal agreed to pay for Mortgage
<br />Insurance, or any other terml of the Loan. Sucb aveements will not Increase the amouBt Borrower will
<br />owe for Mortgage IOluraoce, and they will not entitle Borrower to any refuod.
<br />(b) Any sucb agreements will Dot affeet the rights Borrower bas - If any - wltb re.ped to the
<br />Mortgage Insurance under the Homeownen Protection Ad of 1998 or aDY otber law. These rlgbts may
<br />Include tbe rlgbt to receive certain disclosures, to request and obtain cancellation of the Mortaqe
<br />Inlurance, to have the Mortgage Insurance terminated automatic any, andlor to receive a refund of any
<br />Mortgage Insurance premiums that were unearned at the time of such cancellation or termination.
<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby
<br />assigned to and shall be paid to Lender.
<br />If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the
<br />Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such
<br />repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until
<br />Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's
<br />satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the repairs and
<br />restoration in a single disbursement or in a series of progress payments as the work is completed. Unless an
<br />agreement is made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds,
<br />Lender shaH not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the
<br />excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in
<br />Section 2.
<br />In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds
<br />shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if
<br />any, paid to Borrower.
<br />In the event of a partial taking, destruction, or loss In value of the Property in which the fair market value
<br />of the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than
<br />the amount ofthe sums secured by this Security Instrument immediately before the partial taking, destruction,
<br />or loss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security
<br />Instrument shall be reduced by the amount oflhe Miscellaneous Proceeds multiplied by the following fraction:
<br />(a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value
<br />divided by (b) the fair market value of the Property immediately before the partial taking, destruction, or loss
<br />in value. Any balance shall be paid to Borrower.
<br />In the event ofa partial taking, destruction, or loss in value of the Property in which the fair market value
<br />of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of
<br />the sums secured immediately before the partial taking, destruction, or loss in value, unless Borrower and
<br />Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this
<br />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 Opposing
<br />Party (as defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to
<br />respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply
<br />the Miscellaneous Proceeds either to restoration or repair of the Properly or to the sums secured by this
<br />Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower
<br />Miscellaneous Proceeds or the party against whom Borrower has a right of action in reiard to Miscellaneous
<br />Proceeds.
<br />Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in
<br />Lender's judgment, could result in forfeiture of the Property or other material impairment of Lender's interest
<br />in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration
<br />has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a
<br />ruling that, in Lender's judgment, precludes forfeiture of the Property or other material impairment of Lender's
<br />interest in the Property or ripts under this Security Instrument. The proceeds of any award or claim for
<br />damages that are attributable to the impairment of Lender's interest in the Property are hereby assigned and
<br />shall be paid to Lender.
<br />All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in
<br />the order provided for in Section 2.
<br />12. Borrower Not Released; Forltearaace By Leader Not a Waiver. Extension of the time for
<br />payment or modification of amortizlltion of the sums secured by this Security Instrument granted by Lender to
<br />Borrower or any Successor in Interest of Borrower shall not operate to release the liability of Borrower or any
<br />Successors in Interest of Borrower. Lender shall not be required to commence proceedings against any
<br />Successor in Interest of Borrower or to refuse to extend time for payment or otherwise modify amortization of
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<br /><lit -6A(NE)(0401) CHL (08104) P.ge 1 of 11 Form 3028 1101
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