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<br />88_---105911
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<br />lender. In evenl of 1055 Borrower wlll give immediate nollce by
<br />maUlo the lender. who may make proof of los5 if not made
<br />promptly by Borrower, nnd CD.cb Insurance company concerned
<br />is hereby authorized and directed to make payment for such loss
<br />directly 10 the Lender instead of to the Borrower nnd the
<br />Lender jointly. and the insurance proceeds, or Bny part thereof.
<br />may be applied by the Lender at its option either to Ihe
<br />reduction of the Indebtedness hereby secured or to Ihe
<br />restoration or repair of the property damaged. In event of
<br />foreclosure of this instrument or otlter transfer of title to the
<br />mortgaged property in extinguishment of the indebtedness
<br />secured hereby, all right. title and interest of the Borrower in
<br />and to any insurance policies then in force shall pass to the
<br />purchaser or grantee.
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<br />9. Tbat as additional and collateral security for the payment
<br />of the note described, and all sums to become due under this
<br />instrument, the Borrower hereby assigns to the Lender all
<br />profits, revenues, royalties, rights and benefits accruing to the
<br />Borrower under any and all oil and gas leases on said premises,
<br />with the right to receive and receipt for the same and apply
<br />them to said indebtedness as well before as after default in the
<br />condilions of this instrument, and the lender may demand. sue
<br />for and recover any such payments when due and payable. but
<br />shall not be required so to do. This assignmenl is 10 terminate
<br />and become null and void upon release of this instrument.
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<br />10. That the Borrower will keep the buildings upon said
<br />premises in good repair. and neither commit nor permit waste
<br />upon said land, nor suffer the said premises to be used for any
<br />unlawful purpose.
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<br />Jl. That if the premises, or any pan thereof, be condemned
<br />under the power of eminent domain, or acquired for a public
<br />use, the damages awarded, the proceeds for the taking of. or
<br />the consideration for such acquisition, to the extent of the full
<br />amount of indebtedness upon this instrument and the note
<br />which it is given to secure remaining unpaid, are hereby assigned
<br />by the Borrower to the Lender, and shall be paid fonhwith to
<br />said Lender to be: applied by the latter on account of the next
<br />maturing installments of such indebtedness.
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<br />12. The Borrower further agrees that should this instrument
<br />and the note secured hereby not be eligible for insurance under
<br />the National Housing Act wilhin eight months from the date
<br />hereof (writlen statement of any officer of the Depanment of
<br />Housing and Urban Development or authorized agent of the
<br />Secretary of Housing and Urban Development dated subsequent
<br />10 the eight months' time from the date of this instrument,
<br />declining to insure said note and this mortgage, being deemed
<br />conclusive proof of such ineligibility), the Lender or holder of
<br />the note may. at its option, declare all sums secured hereby
<br />immediately due and payable. Notwithstanding the foregoing,
<br />this option may not be exercised by the Lender or the holder of
<br />the note when the ineligibility for insurance under the National
<br />Housing Act is due to the Lender's failure to remit the
<br />mortgage insurance premium to the Department of Housing and
<br />Urban Development.
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<br />13. That if the Borrower fails to 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
<br />instrument, or the note which it secures, then the entire
<br />principal sum and accrued interest shall at once betome due and
<br />payable, at the election of the Lender.
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<br />Lender shall gi\'e notice 10 Borrower prior 10 acceleration
<br />following Dorrower's breach of any coven ani or agreement in
<br />this instrumenl (but nOI prior to acceleration under paragraph
<br />12 unless applicable law provides otherwise). The nollce shall
<br />specify: (a) the default; (b) the action required to cure the
<br />defaultj (c) a date, not less than 30 days from lhe date the
<br />notice is given to Borrower, by which the default must be cured;
<br />and (d) that failure to cure Ihe derault on or before the date
<br />spetified in the nolice may result in acceleration of the sums
<br />secured by this instrument and sale of the Property. The notice
<br />shall further inform Dorrower of the right to reinstate after
<br />acceleration and the righl to bring a court action to assert the
<br />non-existence of a default or any other defense of Borrower to
<br />acceleration and sale. If the default is not cured on or before
<br />the date specified in the notice, Lender at its option may require
<br />immediate payment in full of all sums secured by this
<br />instrument without further demand and may invoke the power
<br />of sale and any other remedies permitted by applicable law.
<br />Lender shall be entitled to collect all expenses incurred in
<br />pursuing the remedies provided in this paragraph 13, including,
<br />but not limited to, reasonable attorneys' fees and costs of title
<br />evidence.
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<br />If Ihe power of sale is invoked, Trustee shall record a notice of
<br />default in each county in which any part of the Property is
<br />located and shall mail copies of such notice in the manner
<br />prescribed by applicable law to Borrower and to the other
<br />persons prescribed by applicable law. After the time required by
<br />applicable law, Trustee shall give public notice of sale 10 the
<br />persons and in the manner prescribed by applicable law.
<br />Trustee, without demand on Borr('lwer I shall sell the Property at
<br />public auction to the highest bidder at the time Bod place and
<br />under the terms designated in the notice of sale in one or more
<br />parcels and in any order Trustee detennincs. Trustee may
<br />postpone sale of all or any parcel of the Property by public
<br />announcemenl at the time and place of any previously scheduled
<br />sale. Lender or its designee may purchase the Property at any
<br />sale.
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<br />Upon receipt of payment of the price bid. Trustee shall deliver
<br />to Ihe purchaser Trustee's deed conveying the Property. The
<br />recitals in Ihe Trustee's deed shall be prima facie evidence of the
<br />Iruth of Ihe statements made therein. Trustee shall apply the
<br />proceeds of the sale in the following order: (a) to all expenscs of
<br />Ihe sale, including, bul not limited to, Trustee's fees as
<br />pcrmilled by applicable law and reasonable attorneys' fees; (b)
<br />10 all sums secured by Ihis Security Instrument; and (c) any
<br />e~cess to lhe person or persons legally entitled to it.
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<br />14. Upon acceleration under paragraph 13 or abandonment of
<br />Ihe Property, Lender (in person, by agent or by judicially
<br />appoinled receil/cr) shall be entitled to enter upon, take
<br />possession of and manage the Property and to collect the rents
<br />of the ProperlY including those past due. Any rents collected by
<br />Lender or the receiver shall be applied first to payment of the
<br />costs of management of the Property and collection of rents,
<br />including, but not limited to, receiver's fees, premiums on
<br />receiver's bonds and reasonable atlorneys' fees, and then to the
<br />sums secured by this instrument.
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<br />HUD.92143DT-l
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