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<br />COVENANTS
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<br />200601607
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<br />1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any payments Lender receives from
<br />Borrower or for Borrower's benefit will be applied first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. If partial prepayment of the secured debt occurs for any reason, it will not reduce or eJlcuse any scheduled payment until the secured debt is paid in full.
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<br />2. Claims Against Title. Borrower will pay all taxes, assessments, and other charges attributable to the property when due and will dcfend title to thc propelty against
<br />any claims which would impair the lien of this deed of trust. Lender may requirc Borrower to assign any rights, claims or defenses which Bonuwer may have against
<br />parties who supply labor or materials to improve or maintain the property.
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<br />3. Insnrance. Borrower will keep the property insured under terms acceptable to Lender at Borrower's expense and tor Lender's benefit. 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 mortgage 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 property in good condition and make all repairs reasonably necessary.
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<br />5. Expenses. Borrower agrees to pay all Lender's expenses, including reasonable attorneys' fees, if Borrower breaks any covenants in this deed of trust or in any
<br />obligation secured by this deed of trust. BOlTOwer will pay these amounts to Lender as provided in Covenant 9 of this deed of trust.
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<br />6. Prior Security Interests. Unless Borrower first obtains Lender's written contest, Borrower will not make or permit any changes to any prior security interests.
<br />Borrower will perform all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including Borrower's covenants to make payments
<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 />Borrowcr 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 debt as
<br />provided in Covenant I.
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<br />8. Leaseholds; Condominiums; Planned Unit Developments. Borrower agrees to comply with the pl'Ovisions of any lease ifthis deed of trust is on leasehold. If this
<br />deed of trust is on a unit in a condominium or a planned unit development, Borrower will perform all of Borrower's duties under the covenants, by laws, or regulations of
<br />the condominium or plalmed 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 perform thc duties or
<br />cause them to be perlormed. Lender may sign Borrower's name or pay any amount if necessary for performance. If any construction on thc property 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 constnlction.
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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 oftmst.
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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 bc duc on demand and will bear interest from thc
<br />date ofthe payment until paid in full at the interest rate in e.flect on the secured debt.
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<br />10. Default and Acceleration. If Bonuwer fails to makc any payment when due or breaks any covenants under this deed oftmst or any obligation secured by this deed of
<br />tmst or any prior mortgage or deed of tmst, Lender may accelerate the maturity of the secured debt and demand immediate payment and may invoke the power of sale and
<br />any other remedies pennitted by applicablc 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 party hereto, at the address of each
<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 tirst record in the office of the register of deeds of each county wherein the tmst property or
<br />some palt or parcel thereof is situated a notice of default containing the infomlation required by law. The Trustee shall also mail copies of the notice of delimit to the
<br />Borrower, to each person who is a party hereto, and to other persons as prescribed by applicable law. Not less than one month after the Tmstee records the notice of default,
<br />or two months if the trust property is not in any incorporated city or village and is used in fanning operations carried on by the trustor, the Tmstee shall give public notice of
<br />sale to the pcrsons and in the manner prescribed by applicable law. Trustee, without demand on Borrower, shall sell the property at public auction to the highest bidder. If
<br />required by the Fanu Homestead Protection Act, Tmstee shall offer the property in two separate sales as required by applicable law. Tmstee may postpone sale of all or any
<br />parcel ofthe property by public almouncement at the time and place of any previously scheduled sale. Lender or its designee may purchase the property at any salc.
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<br />Upon receipt of payment of the pricc bid, Trustee shall deliver to the purchaser Trustee's deed conveying the propcrty. The recitials contained in Trustee's dced shall be
<br />prima facie evidience of the truth of the statements contained therein. Trustee shall apply the pl'Oceeds of the sale in the tollowing order: (a) to all expCllscs 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 oHrust, and (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 foreclosed in the mmmer provided by applicable law for toreclosure of mortgages on rcal pl'Operty.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice beforchand. The notice must state the reasonable cause for Lender's
<br />inspection.
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<br />15. Condemnation. Borrower assigns to Lender the proceeds of any award or claim tor damagcs connected with a condemnation or other taking of all or any part of the
<br />property. Such proceeds will be applied as provided in Covenant I. This assignment is subject to the tenus of any prior security agreement.
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<br />16. Waiver. By exercising any remedy available to Lender, Lender does not give up any rights to later use any other remedy. By not exercising any remedy upon
<br />Borrower'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-signers; Successors and Assigns Bound. All duties under this deed of tmst are joint and scveral. Any Borrower who co-signs this
<br />deed oftmst 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 deed of trust. In addition, such a Borrower agrees that the Lender and any other Borrower under this dced of trust may extend, modifY or make any other changes in
<br />the terms of this deed of trust or the secured debt without that Borrower's consent and without releasing that Borrower from the terms ofthis deed oftmst.
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<br />The duties and benefits of this deed of trust shall bind and benefit the successors and assigns of Lender and Borrower.
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<br />18. Notice. Unless otherwise required by law, any notice to Borrower shall be given by delivering it or by mailing it by certified mail addressed to Borrower at the
<br />pl'Operty address or any other address that Borrower has given to Lender. Borrower will givc any notice to Lender by certified mail to Lender's addres~ on pagc, I of this
<br />decd oftlust, or to any other addrcss, which Lender has designated. Any other notice to Lender shall be sent to Lender's address as stated on page I of tillS deed ot trust.
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<br />Any notice shall be deemed to have been given to Borrower or Lcnder when given in the manner stated 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 Lender's
<br />prior written consent, Lender may demand inunediate payment of the secured debt. Lender may also de~nand immedi~te p~ym~~ i~the B~~wer iS,not a natural person and
<br />a beneficial interest in the Borrowcr is sold or transferred. However, Lender may not demand payment 10 the above sltualtOtls If It IS prohIbIted by ted.erallaw as of thc date
<br />of this deed oftmsl.
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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 advance~ under the instruments or
<br />agreements secured by this deed of trust, the Trustee shall, upon written request by thc Lender, reconvey thc tmst property. The Lender sh~1I dehver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence of the 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 trustee by first, mailing a copy ofthc substitution oftrustce as required
<br />by applicable law, and then, by filing the substitution of tmstce for record in the office of the register of deeds of ~ach count~ in whi?h the hust property, or s~me part
<br />thereof, is situated. The succcssor trustec, without conveyancc of the property, shall succeed to all the power, duties, authonty and title of the Tmstee named III the deed of
<br />tmst and of any successor tmstee.
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