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<br />88-103ti'!,c
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<br />made shall be added to the principal sum owing on Ihe above
<br />nOle, shaU be secured hereby, and shall bear interest al Ihe rate set
<br />forlh in the said note, until paid.
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<br />7, That the Borrower hereby assigns, transfers and sets over to
<br />the Lender, to be applied toward the payment of the note and all
<br />sums secured hereby in case of a default in the performance of
<br />any of the terms and conditions of this instrument or the said
<br />note, all the rents, revenues and income 10 be derived from the
<br />said premises during such time as the indebtedness shall remain
<br />unpaid, and Ihe Lender shall have power to appoint any agenl or
<br />agents it may desire for the purpose of repairing said premises and
<br />of renting Ihe same and coUecting the rents, revenues and income,
<br />and it may payout of said incomes all expenses of repairing said
<br />premises and necessary commissions and expense~ incurred in rent-
<br />ing and managing the same and of coUecting rentals therefrom;
<br />the balance remaining, if any, to be applied toward the discharge
<br />oi said indebtedness,
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<br />8. That Ihe Borrower will keep the improvements now existing
<br />or hereafler erecled on Ihe propeny, insured as may be required
<br />from lime to time by the Lender against loss by fire and other
<br />hazards, casuallies and contingencies in such amounts and for such
<br />periods as may be required by the Lender and will pay promptly,
<br />when due, any premiums on such insurance provision for payment
<br />of which has nOI been made hereinbefore, All insurance shall be
<br />carried in companies approved by the Lender and the policies and
<br />renewals thereof shall be held by the Lender and have atlached
<br />thereto loss payable clauses in favor of and in form acceptable to
<br />the Lender. In evenl of loss Borrower will give immediale notice
<br />by mail 10 the Lender, who may make proof of loss if nOI made
<br />promptly by Borrower, and each insurance company concerned is
<br />hereby authorized and direcled to make paymenl for such loss
<br />directly to Ihe Lender instead of 10 the Borrower and the Lender
<br />jointly. and the insurance proceeds, or any pari thereof, may be
<br />applied by the Lender at ils oplion either to lhe reduction of 'I he
<br />indebtedness hereby secured or to Ihe restoralion or repair of the
<br />property damaged. In event of foreclosure of Ihis instrument or
<br />other transfer of title to Ihe morl.gaged propeny in extinguishment
<br />of the indebtedness secured hereby, all right, title and interest of
<br />the Borrower in and to any insurance policies then in force shall
<br />pass 10 the purchaser or grantee,
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<br />9. ThaI as additional and collateral security for Ihe payment of
<br />the note described, and all sums to become due under this instru-
<br />ment, the Borrower hereby assigns to the lender all profits,
<br />revenues, royallies, rights and benefits accruing to the Borrower
<br />under any and all oil and gas leases on said premises, with Ihe
<br />right to receive and receipl for the same and apply them to said
<br />indebtedness as well before as afler default in the conditions of
<br />this instrumenl, and the Lender may demand. sue for and recover
<br />any such payments when due and payable, bUl ~hall not be reo
<br />quired so to do. This assignment is 10 terminate and become null
<br />and void upon release of Ihis instrument.
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<br />10. ThaI the Borrower will keep the buildings upon said premises
<br />in good repair, and neither commit nor permil waste upon said
<br />land, nor suffer Ihe said plemi..es to be used for any unlawful
<br />purpose,
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<br />11. ThaI if Ihe premises, or any parI thereof, be condemned
<br />under the power of eminenl domain. or acquired for a public use,
<br />the damages awarded, Ihe proceeds fOI Ihe taking of, or the con.
<br />sideralion for such acquisition, 10 the extent of the full amount of
<br />indebledness upon this inslrumclIl and Ihe note which it i~ given fo
<br />secure remainina unpaid, are hereby assigned by Ihe Borrower to
<br />Ihe under, and shall be paid fonhwilh to said lender to be ap-
<br />plied by the laUer on lICcounl of the next maluring inSIll.llmenls of
<br />such indebtedness,
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<br />12. The Borrower further agrees that should this instrument and
<br />the note secured hereby not be eligible for insurance under Ihe Na-
<br />tional Housing Act within eight months from the date hereof
<br />(written statement of any officer of the Departmenl of Housing
<br />and Urban Development or authorized agent of the Secretary of
<br />Housing and Urban Development dated subsequenl to the eight
<br />months' time from the date of this instrument, declining to insure
<br />said note and this mortgage, being deemed conclusive proof of
<br />such ineligibility), the Lender or holder of the note may, at its op-
<br />tion, declare all sums secured hereby immediately due and payable.
<br />Notwithstanding the foregoing, Ihis option may not be exercised
<br />by the lender or the holder of the note when the ineligibility for
<br />insurance under the National Housing Act is due to the lender's
<br />failure to remit the mortgage insurance premium to the Depan-
<br />ment of Housing and Urban Deveopment.
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<br />]3. ThaI if the Borrower fails 10 make any payments of money
<br />when the same become due, or fails to conform to and comply
<br />with any of the conditions or agreements contained in this instru-
<br />ment, or the nOle which it secures, then the entire principal sum
<br />and accrued interest shall at once become due and payable. at the
<br />election of the Lender.
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<br />Lender shall give notice to Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in this
<br />instrument (but not prior to acceleration under paragraph 12
<br />unless applicable law provides otherwise). The notice shall specify:
<br />(a) the default; (b) the action required to cure the default; (c) a
<br />date, not less than 30 days from the date the notice is given 10
<br />Borrower, by which the default musl be cured; and (d) that failure
<br />to cure the default on or before the date specified in the notice
<br />may result in acceleration of the sums secured by this insuument
<br />and sale of the Properry, The notice shall funher inform Borrower
<br />of Ihe right to reinstate after acceleration and the right to bring a
<br />courl action 10 assen the non-cxislence of a default or an)' other
<br />defense of Borrower to acceleration and sale. If the default is not
<br />cured on or before the date specified in the notice, Lender at its
<br />option may require immediate payment in full of all sums secured
<br />by Ihis instrument without fun her demand and may invoke the
<br />power of sale and any other remedies permitted by applicable law.
<br />Lender shall be entitled to collect all expenses incurred in pursuing
<br />Ihe remedies provided in Ihis paragraph 13. including. but not
<br />limiled to, reasonable attorneys' fees and costs of title C\idence.
<br />
<br />If Ihe power of sale is invoked, Trustee shall rccord a notice of
<br />default in each county in which an~' pan of the Property is located
<br />and shall mail copie~ of such nOlice in the manner prescribed by
<br />applicable: law to Borrower and 10 the other persons prccribed by
<br />applicable law. After Ihe lime required by applicable law, Trustee
<br />shall give public nOlice of sale 10 Ihe persons and in the manner
<br />prescribed by applicable law, Truslee. without demand on Bor-
<br />rower, shall selllhc: Properl)' at public auction to the highest bid-
<br />der at the lime and place and under the terms designated in the
<br />notice of sale in one or more parcels and in any order Trustee
<br />determines, TrUSlee may postpone sale of all or any parcel of the
<br />Properl~' by public annO\ln~melll at the lime and place of an)'
<br />previously scheduled sale. Lender or ils designee may purchase: the
<br />Propen)' al any sale,
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<br />Upon rceeipl of Ilaymcnt of Ihe price bid. Trustee shall deli'"er
<br />to the purchaser Truslee's deed cOD\'eying the Property. The
<br />recilals In the Trustee's deed shall be prima facie e\'idence of the
<br />truth of till' statements made therein, 1'ruMee shall apply the pro.
<br />cceds of the sale in the f('lIowinlJ order: (I) 10 all expenses of the
<br />sale, including, bUI 1101 limill'd 10. TruMl'l.''\ fC('l. 3\ rermiltl'd by
<br />applicable law and rellsonahk nthlll1e~'\' fl'C\; thl to all sums
<br />~ecured by this Security In\II'Uml'Il1, and ld an~ I.'Xl"e\\ Il' ,he IX'r-
<br />son or pel'son\ legally et1litled h' il.
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