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<br />COVENANTS
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<br />200600507
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<br />I. Payments. Borrower agrees to make all payments on the secured debt when due. Unless BOITUwer and Lender agrcc othclwisc, any payments Lender receives from
<br />Borrower or for Borrowcr's benefit will be applied first to any amounts Horrower owes on thc sccured debt exclusive of interest or principal, second to intcrcst, and then to
<br />principal. If partial prepayment of the secured debt occurs for any reason, it will not reduce or excuse any scheduled payment until the secured debt is paid in full.
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<br />2. Claims Against Title. Borrower will pay all taxcs, asscssmcnts, and other charges attributable to the property when due and will dcfend titlc to the propelty against
<br />any claims which would impair thc licn of this dced of trust. Lender may require Borrower to assign any rights, claims or dcfenscs which BOITower may have against
<br />parties who supply labor or materials to improve or maintain thc propclty.
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<br />3. Insurance. Borrower will keep the property insured under terms acceptable to Lender at Borrower's expense and for Lender's bcnefit. All Insurance policies shall
<br />include a standard mortgage clause in favor of Lender. Lender will be named as loss payee or as the insured on any such insurance policy. Any insurance proceeds may be
<br />applied, within Lender's discretion, to either the restoration or repair of the damaged property or to the secured debt. If Lender requires mortgagc insurance, Borrower
<br />agrees to maintain such insurance for as long as Lender requires.
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<br />4. Property. Borrower will keep the propelty in good condition and make all repairs reasonably necessary.
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<br />5. Expenses. BOITower agrees to pay all Lender's expenses, including reasonable attorneys' fees, if BOITower breaks any covenants in this deed of trust or in any
<br />obligation secured hy this dced of trust. Bonuwer will pay these amounts to Lender as provided in Covenant 9 of this deed of trust.
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<br />6. Prior Security Intcrcsts. Unless Borrower first obtains Lender's written contest, Borrower will not make or permit any changes to any prior security interests.
<br />BOITower will perform all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including Borrower's covenants to make paymcnts
<br />when due.
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<br />7. Assignment of Rents and Profits. Borrower assigns to Lender the rents and profits of the property. Unless Borrower and Lender have agreed otherwise in writing,
<br />Borrower may collect and retain the rents as long as Borrower is not in default. If Borrower defaults, Lender, Lender's agent, or a court appointed receiver may take
<br />possession and manage the property and collect the rents. Any rents Lender collects shall be applied first to the costs of managing the property, including court costs and
<br />attorneys' fees, commissions to rental agents, and any other necessary related expenses. The remaining amount of rents will then apply to payments on the secured dcbt as
<br />provided in Covenant L
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<br />8. Leaseholds; Condominiums; Planned Unit Developments. BOITower agrees to comply with the provisions of any lease if this deed of trust is on leasehold. If this
<br />deed of trust is on a unit in a condominium or a planned unit development, BOITower will perform all of Borrower's duties under the covenants, by laws, or regulations of
<br />the condominium or planned unit development.
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<br />9. Authority of Lender to Perform for Borrower. If Borrower fails to perform, any of Borrower's duties under this deed of trust, Lender may perlorm the duties or
<br />eausc them to be pertormed. Lender may sign Borrower's name or pay any amount if necessary for performance. If any construction on the propelty is discontinued or not
<br />carried on in a reasonable manner, Lender may do whatever is necessary to protect Lender's security interest in the property. This may include completing the constmction.
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<br />Lender's failure to perform will not preclude Lender from exercising any of its other rights under the law or this deed of trust.
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<br />Any amounts paid by Lender to protect Lender's security interest will be secured by this deed of trust. Such amounts will be due on demand and will bear interest from the
<br />date of the payment until paid in full at the interest rate in cffect on the secured debt.
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<br />10. Default and Acceleration. If Bonuwer fails to make any payment when due or breaks any covenants under this deed of trust or any obligation secured by this deed of
<br />trust or any prior mortgage or deed of trust, Lender may accelerate the maturity of thc sccured debt and demand itmnediate payment and may invoke the powcr of sale and
<br />any other remedies permitted by applicable law.
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<br />II. Request for Notice of Default. It is hereby requested that copies of the notices of default and sale be sent to each person who is a palty hereto, at the address of cach
<br />such person, as set forth herein.
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<br />12. Power of Sale. If the Lender invokes the power of sale, the Trustee shall first record in the office of the register of deeds of each county wherein the trust property or
<br />some part or parcel thereof is situated a notice of default containing the infonnation required by law. The Trustee sh[\.!Lalso mail copies of the notice of default to the
<br />Borrower, to each person who is a party hereto, and to other persons as presclibed by applicable law. Not less than one month after the Trustee records the notice of default,
<br />or two months if the trust property is not in any incorporatcd city or village and is used in fanning operations canied on by the trustor, thc Trustee shall give public notice of
<br />sale to the persons and in the manner prescribed by applicable law. Trustee, without demand on Borrower, shall sell the property at public auction to the highest hidder. If
<br />required by the Fann Homestead Protection Act, Trustee shall oller the property in two sepamte sales as rcquired by applicablc law. Tmstee may postponc sale of all or any
<br />parcel ofthe property by public announcement at the time and place of any previously scheduled sale. Lendcr or its designee may purchase the pmperty at any sale.
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<br />Upon receipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the property. The recitials contained in Trustee's deed shall be
<br />prima facie evidienee of the truth of the statements contained therein. Tmstee shall apply the proceeds of the salc in the following order: (a) to all expenses of the sale,
<br />including, but not limited to, reasonable Trustee's fees, reasonable attorney's fees and reinstatement fees; (b) to all sums secured by this deed of trust, lmd (c) the balance, if
<br />any, to the persons legally entitled to receive it.
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<br />13. Foreclosure. At Lender's option, this deed oftmst may be loreclosed in the mamler providcd by applicable law for foreclosure of mortgages on real pmperty.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice beforehand. The notice must state the reasonable cause for Lender's
<br />inspection.
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<br />15. Condemnation. BOITower assigns to Lender the proceeds of any award or claim for damages cOlmected with a condemnation or other taking of all or any part of the
<br />propClty. Such proceeds will be applied as pmvided in Covenant I. This assignment is subject to the tenns of any prior security agrccment.
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<br />16. Waiver. By cxercising any remedy available to Lender, Lender does not give up any rights to latcr use any other remedy. By not exercising any remedy upon
<br />Bormwer's default, Lender does not waive any right to later consider the event a default if it happens again.
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<br />17. Joint and Several Liability; Co-siRncrs; Successors and Assigns Bound. All duties under this deed of trust are joint and several. Any BOITower who co-signs this
<br />deed of trust but does not co-sign the underlying debt instruments(s) does so only to grant and convey that Borrower's interest in the property to the Trustee undcr the terms
<br />of this dced of trust. In addition, such a Borrower agrees that the Lender and any other BOITower under this deed of trust may extend, modify or make any other changcs in
<br />the tenns ofthis deed oftrust or the secured debt without that Borrower's consent and without releasing that Borrower from the tenns of this deed oftrust.
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<br />The duties and benefits of tlus deed of trust shall bind and benefit the successors and assigns of Lender and Borrowcr.
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<br />18. Noticc. Unless otherwise required by law, any notice to Borrower shall be given by delivering it or by mailing it by certified mail addressed to Borrowcr at the
<br />propelty address or any other address that Borrower has given to Lender. Borrower will give any notice to Lender by certified mail to Lender's addres~ on page I of this
<br />deed of trust, or to any other address, which Lender has designated. Any other notice to Lender shall be sent to Lender's address as stated on page I of thIS deed oftrust.
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<br />Any notice shall bc deemed to have been givcn to Borrower or Lender when given in thc manner statcd above.
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<br />19. Transfer of the Property or a Beneficial Interest in the Borrower. If all or any part of the property or any interest in it is sold or transferred without the I ,ender's
<br />prior written consent, Lender may demand immediate payment of the secured debt. Lender may also demand immediate payment if thc Borrower is not a natural person and
<br />a bencficial interest in the BOITowcr is sold or transfeITed. However, Lender may not demand paymcnt in the above situations if it is pmhibited by fedcrallaw as ofthe date
<br />of this deed of trust.
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<br />20. Reconveyance. When the obligation secured by this deed of trust has been paid, and Lender has no further obligation to make advancc~ under the instruments or
<br />agreements secured by this deed of trust, the Trustce shall, upon written request by the Lcnder, reconvey the trust pmperty. The Lendcr sh~1I dehver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence ofthe obligation so satisfied. Borrower shall pay any recordation costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may remove Trustee and appoint a successor trustce by l1rst, mailing a copy of the substitution of trustee as required
<br />by applicable law, and then, by filing thc substitution oftrustec for record in the ollicc of the register of deeds of ~ach county in whi~h the trust pmperty, or some patt
<br />thcreof, is situatcd. The successor trustce, without conveyance of the propelty, shall succeed to all the power, dutIes, autllOnty and tItle of the Trustee named III the deed of
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<br />trust and of any successor trustee.
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