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<br />evenl of loss Borrower will give immediate notice: by mail to Ihe
<br />Lender, who may make proof of loss if noC made prompcly by
<br />Borrower, and each insurance company concerned is hereby
<br />auchoriIed and directal co make paymenc for such Joss directly to
<br />lhe Lender instead of 10 me Borrower and the Lender jointly, and
<br />the insurance proc:eeds. or any pan thereof, may be applied by the
<br />Lender at its option either 10 lbe reduction of the indebtedness
<br />bereby secured or to lbe restoration or repair of lbe propeny
<br />dam.qed. In event of foreclosure of this instrument or other transfer
<br />of title to lbe monp.ged propeny in extinguishment of the
<br />indebtedness secured hereby, all right., title and interest of the
<br />Borrower in and 10 any insurance: policies then in force shall pass to
<br />the purchaser or grantee.
<br />
<br />9. That &5 additional and col1a[Cral security for the payment of the
<br />Dote described. and all sums to become due under lIIis iostrument,
<br />the Borrower bereby assips to the Lender all profilS., revenues.
<br />royalties, rights and benefits accruing to the Borrower under any and
<br />all oil and gas lcases on said premises, with tbe right to receive and
<br />receipt for the same and apply them to said indebtedness as well
<br />before as after default in the conditioos of this instrument., and the
<br />Lender may demand, sue for and recover any such payments when
<br />due and payable. bUI shall not be required 50 to do. This assignment
<br />is to lCnIlinate and become null and void upon release of this
<br />instrumenL
<br />
<br />10. That the Borrower will keep lbc buildinp upon S&1d premises
<br />in good repair, and neither commit nor permit waste upon said land,
<br />DOr suffer the said premises to be wed for any unlawful purpose.
<br />
<br />II. 'That if the premises. or any pan thereof, be condemned under
<br />Ihe power or eminent domain, or acquired for I public use, the
<br />damqes .warded, lbe proceeds for tbe lIkinS nf, or lbe
<br />consideration for sucb acquisition, 10 the extenl of Ihe full amounl or
<br />indeblcdncss upon this instrumenl and lhe nole which il is given to
<br />secure rcmaininl unpaid, an:: bereby liSSi&ncd by the Borrower 10 the
<br />Lcuder, Illd sboU be poid fonhwilb 10 Slid Lender to be .pplicd by
<br />the latter 00 aa:ounl of the next maturing insuJlmenlS of such
<br />iDdc:btedoess.
<br />
<br />12. The Borrower funher agrees that should this instrument and
<br />the note scc;ured bc~by nOl be eligible Cor insunoce under the
<br />National "OuRnl Act within cilhl monw from the dale hereof
<br />(wriUCD 51&lCJDtl1l of any offica of tbc Department of DOllSio! and
<br />Urban Development or .ulborizcd IICDt of the Secretory of Hominl
<br />and Urban Developmcut daLed subsequent to the eighl months' time
<br />from Lbe date of Ibis imlrument. decIinin& to insure said note ;,nd
<br />this 1DOr1pF. bcinS deemed condusive proof of ,uch incliJibilily),
<br />1.be Lender or holder of tbc note O1Iy, U its option, declare all sums
<br />5<CUrcd benoby immcdiotely due ond poyoble. NotwitbsundiDI lb.
<br />forqoinS. this option moy not be excn:iscd by the Lender or lbe
<br />bolder of the note when tbc ineligibility for insunDce under the
<br />National Housiog Act is due to Ihe Lender's failure to remit the
<br />mortpCe insu.rance premium 10 the Department of Housing and
<br />Urban DcveIopmenL
<br />
<br />13. lbal if the Borrower [ails to make any paymenlS of money
<br />wben Ihc same become due. or fails to conform to and comply with
<br />
<br />88- 105537
<br />
<br />any of the conditions or agrcemenlS contained in this instrument. or
<br />the notc which it secures, then the enlire principal sum and accrued
<br />intcresl shall al once: become due and payable, :11 the election of the
<br />Lender.
<br />
<br />Lender shall give notice: to Borrower prior to acceler:nion
<br />followinB Borrower's breach of any covenant or agreemenl in Ihis
<br />instrument (but not prior to acceleration under paragraph l2 unless
<br />applicable law provides otherwise). The notice shall specify: (a) the
<br />default; (b) the action required to cure the default.; (c) a date, nolless
<br />than 30 days from the dale the notice is given to Borrower, by which
<br />the default must be cured; and (d) that failure to cure the default on
<br />or before the date specified in the notice may result in acceleration
<br />or the sums seeUled by this instrumenl and sale or the Property. The
<br />notice shall funher inform Borrower of the right to reinstate after
<br />acceleration and the righl to bring a coun action to assert the non-
<br />existence of a default or any other defense of Borrower to
<br />acceleration and sale. If the defaull is not cured on or before the date
<br />specified in the notice, Lender at its option may require immediate
<br />payment in full of all sums secured by this instrument withoul
<br />further demand and may invoke the power of sale and any other
<br />remedies permiued by applicable law. Lender shall be entitled to
<br />collect all expenses incurred in pursuing the remedies provided in
<br />this paragraph 13, includina, but nOllimited la, reasonable
<br />auomeys' fees and coslS of title evidence.
<br />
<br />If the power of sale is invoked, Trustee shall record a notice of
<br />default in each counly in which any pan of the Property is located
<br />and shall mail copies of such notice in the manner prcstribed by
<br />applicable law to Borrower and to tbe other persons prescribed by
<br />applicable law. After the time required by applicable law, Trustee
<br />shall give public notice of sale to Ihe persons and in the manner
<br />prescribed by applicable law. Truslee, without demand on Borrower,
<br />shall sell the Propeny al public auction 10 the highest bidder al the
<br />time and pl.ace and under the terms designated in the notice of sale
<br />in one or more parcels and in any order Trustee determines. Trustee
<br />may postpone sale of all or any parcel or the Propeny by public
<br />announcement at lbe time and place: of any previously scheduled
<br />sale. Lender or its designee may purchase the Property al any sale.
<br />
<br />Upon rcceipl of payment of the price bId, Trustee shall deliver to
<br />the p:Jrchaser Trustee's deed conveying the Property, The recitals in
<br />the TJ1J5ICC's deed shall be prima facie evidence of the truth of Ihe
<br />51Itcmcnlll mode therein, Trustee ,ball apply lb. proceeds of lbe $lIe
<br />in the following order: (a) to all expenses of the sale, including, but
<br />nOllimilCd to, TrusleC's fees as permilted by applicable law and
<br />reasonable attorneys' fees; (b) to all sums secured by this Security
<br />Instrument; and (c) any excess to the person or persons legally
<br />entitled to it.
<br />
<br />14. Upon acceleration under paragraph 13 or abandonment of the
<br />Property, Lender (in person, by .gent or by judicially appointed
<br />receiver) shall be entitled (0 enler upon, take possession of and
<br />~ the Propcny and to collect the rents of the Propeny
<br />including those past due. Any rents collected by Lender or the
<br />receiver shall be applied fiBt to payment of the costs of managemenl
<br />or the Propeny and collection of rents, including, but not limited to,
<br />receiver's fees. premiums on receiver's bonds and reasonable
<br />altomey's fce5, and Ihen 10 the sums secured by this instrument
<br />
<br />P~.3015
<br />
<br />HUD-V2143DT .1
<br />
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