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<br />200607511
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<br />As a result of these agreements, Lender, any purchaser of the Note, anQther insurer, any reinsurer,
<br />any Qther entity, Qr any affiliate of any Qf the fQregQing, may receive (directly Qr indirectly) amQunts that
<br />derive from (or might be characterized as) a portiQn Qf Borrower's payments fQr MQrtgage Insurance, in
<br />exchange for sharing Qr mQdifying the mQrtgage insurer's risk, Qr reducing lQsses. If such agreement
<br />provides that an affiliate of Lender takes a share Qf the insurer's risk in exchange fQr a share Qf the
<br />premiums paid to the insurer, the arrangement is Qften termed "captive reinsurance.' Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the nghts Borrower has - if any - with respect to the
<br />Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights
<br />may include the right to receive certain disclosures, to request and obtain cancellation of the
<br />Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a
<br />refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or
<br />termination.
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<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby
<br />assigned to and shall be paid to Lender.
<br />If the PrQperty is damaged, such MiscellaneQus PrQceeds shall be applied to. restQratiQn Qr repair Qf
<br />the PrQperty, if the restQratiQn Qr repair is econQmically feasible and Lender's security is nQt lessened.
<br />During such repair and restQratiQn period, Lender shall have the right to. hQld such Miscellaneous PrQceeds
<br />until Lender has had an oPPQrtunity to. inspect such Property to. ensure the wQrk has been completed to.
<br />Lender's satisfactiQn, provided that such inspection shall be undertaken promptly. Lender may pay fQr the
<br />repairs and restQratiQn in a single disbursement Qr in a series of progress payments as the WQrk is
<br />cQmpleted. Unless an agreement is made in writing Qr Applicable Law requires interest to. be paid Qn such
<br />MiscellaneQus Proceeds, Lender shall nQt be required to pay BQrrQwer any interest Qr earnings Qn such
<br />Miscellaneous PrQceeds. If the restQratiQn Qr repair is not ecQnQmically feasible Qr Lender's security WQuld
<br />be lessened, the MiscellaneQus Proceeds shall be applied to. the sums secured by this Security Instrument,
<br />whether Qr not then due, with the excess, if any, paid to. BQrrQwer. Such Miscellaneous Proceeds shall be
<br />applied in the Qrder provided for in SectiQn 2.
<br />In the event of a tQtal taking, destructiQn, Qr lQSS in value of the PrQperty, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Instrument, whether Qr not then due, with
<br />the excess, if any, paid to. BQrrQwer.
<br />In the event of a partial taking, destructiQn, Qr lQSS in value Qf the Property in which the fair market
<br />value Qf the Property immediately before the partial taking, destruction, Qr lQSS in value is equal to. or
<br />greater than the amount Qf the sums secured by this Security Instrument immediately befQre the partial
<br />taking, destructiQn, or loss in value, unless BQrrower and Lender Qtherwise agree in writing, the sums
<br />secured by this Security Instrument shall be reduced by the amount of the MiscellaneQus Proceeds
<br />multiplied by the fQllowing fractiQn: (a) the total amount of the sums secured immediately befQre the
<br />partial taking, destructiQn, or lQSS in value divided by (b) the fair market value Qf the PrQperty
<br />immediately befQre the partial taking, destructiQn, Qr loss in value. Any balance shall be paid to BorrQwer.
<br />In the event of a partial taking, destruction, Qr lQSS in value of the PrQperty in WhICh the fair market
<br />value of the Property immediately before the partial taking, destruction, or lQSS in value is less than the
<br />amQunt Qf the sums secured immediately before the partial taking, destructiQn, or loss in value, unless
<br />BQrrQwer and Lender otherwise agree in writing, the MiscellaneQus Proceeds shall be applied to. the sums
<br />secured by this Security Instrument whether or not the sums are then due.
<br />If the Property is abandQned by BQrrower, or if, after nQtice by Lender to Borrower that the
<br />OpPQsing Party (as defined in the next sentence) offers to. make an award to. settle a claim fQr damages,
<br />Borrower fails to. respond to. Lender within 30 days after the date the nQtice is given, Lender is authQrized
<br />to collect and apply the MiscellaneQus Proceeds either to restQratiQn Qr repair Qf the Property or to. the
<br />sums secured by this Security Instrument, whether Qr nQt then due. "Opposing Party" means the third party
<br />that owes BorrQwer Miscellaneous Proceeds or the party against whom Borrower has a right of action in
<br />regard to. Miscellaneous Proceeds.
<br />BQrrQwer 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
<br />interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if
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<br />Initials:
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<br />S-6INEII0407l.02
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<br />Page 9 of 1 5
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<br />Form 3028 1/0.1
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