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<br />88- 105991
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<br />event of loss Borrower will give immediate notice by mail to the
<br />Lender. who may make proof of 1055 if nol made promptly by
<br />Borrower. and each insurance company concerned is hereby
<br />aumorized and directed (0 make payment for such loss directly to
<br />the Lender instead of to the Borrower and the Lender jointly, and
<br />the insurance proceeds, or any part thereof, may be applied by the
<br />Lender at its option either to the reduction of the indebtedness
<br />hereby secured or to the restoration or repair of the property
<br />damaged. In event of foreclosure of this instrument or other transfcr
<br />of title 10 the mortgaged property in CJ(linguishment of the
<br />indebtedness secured hereby, all right. title and interest of the
<br />Borrower in and to any insurance policies then in force shall pass 10
<br />the purchaser or grantee,
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<br />9. ThaI as additional and collateral security for the payment of the
<br />nole described. and all sums to become due under this instrument,
<br />the Borrower hereby assigns to the Lender all profits. revenues,
<br />royalties. rights and bent:fits accruing to the Borrower under any and
<br />all oil and gas leases on said premises, with the right to receive and
<br />receipl for the same and apply them to said indebtedness as well
<br />before as after default in the conditions of this instrument, and the
<br />Lender may demand, sue for and recover any such payments when
<br />due and payable, but shan not be required so to do. This assignment
<br />is to terminate and become null and void upon release of this
<br />instrument.
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<br />10. That the Borrower will keep the buildings upon said premises
<br />in good repair. and neither commit nor permit wasle upon said land,
<br />nor suffer the said premises to be used for any unlawful purpose.
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<br />J I. That if the premises, or any part thereof, be condemned under
<br />the power of eminent domain, or acquired for a public use, the
<br />damages awarded, the proceeds for the laking of, or the
<br />consideration for such acquisition, to the extent of the full amount of
<br />indebtedness upon this instrument and the note which it is given 10
<br />secure remaining unpaid, are hereby assigned by the Borrower to the
<br />Lender, and shall be paid forthwith to said Lender to be applied by
<br />the laner on account of the next maturing installments of such
<br />indebtedness. ....
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<br />12. The Borrower further agrees that should Ihis instrument and
<br />Ihe nole secured hereby nol be eligible for insurance under the
<br />National Housing Act within eight months from the date hereof
<br />(wrinen stalement of any officer of the Department of Housing and
<br />Urban Development or aUlhorized agent of the Secretary of Housing
<br />and Urban Development dated subsequent to the eight months' time
<br />from the date of this instrument, declining 10 insure said nole and
<br />Ihis mortgage, being deemed conclusive proof of such ineligibility),
<br />the Lender or holder of the nole may, at its option, declare all sllms
<br />secured hereby immediately due and payable. Notwithstanding the
<br />(oresoins, this option may not be exercised by the Lender or the
<br />holder of the note when the ineligibility for insurance under the
<br />NatioD31 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 />l3. That if the Borrower fails to make any payments of money
<br />when the same become due, or fails to conform 10 and comply with
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<br />any of the conditions or agreements contained in this instrument, or
<br />Ihe note which it sccures, then the entire principal sum and accrued
<br />interesl shall at once become due and payable, at the election of che
<br />Lender.
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<br />Lender shall give notice 10 Borrower prior to acceleralion
<br />following Borrower's breach of any covenanl or agreement in this
<br />instrumenl (but not prior to acceleration under paragraph 12 unless
<br />applicable law provides otherwise). The notice shall specify: (a) Ihe
<br />defaull; (b) the action required to cure the default; (e) a date, not less
<br />than 30 days from the date 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 />of the sums secured by this instrument and sale of the Property. The
<br />notice shall furlher inform Borrower of the right 10 reinstate after
<br />acceleration and the right to bring a court action to assert the non-
<br />existence of a default or any other defense of Borrower to
<br />acceleration and sale. If the default is not cured on or before the date
<br />specified in the notice. Lender al its option may require immediate
<br />payment in full of all sums secured by this instrument without
<br />further demand and may invoke Ihe power of sale and any other
<br />remedies permitted by applicable law. Lender shall be entitled to
<br />collect all expenses incurred in pursuing the remedies provided in
<br />this paragraph 13, including, but not limited 10, reasonable
<br />attorneys' fees and costs of title evidence.
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<br />If the power of sale is invoked, Trustee shall record a notice of
<br />defauU in each county in which any part of Ihe Property is located
<br />and shall mail copies of such notice in the manner prescribed by
<br />applicable law to Borrower and to Ihe other persons prescribed by
<br />applicable law. After the time required by applicable Jaw, Trustee
<br />shall give public notice of sale to the persons and in the manner
<br />prescribed by applicable law. Trustee, without demand on Borrower.
<br />shall selllhe Property at public auction to the highest bidder allhc
<br />time and place and under the terms designated in the notice of sale
<br />in one or more parcels and in any order Trustee delermines. Trustee
<br />may postpone sale of all or any parcel of Ihe Property by public
<br />announcement at the time and place of any previously scheduled
<br />sale. Lender or its designee may purchase the Property at any sale.
<br />
<br />Upon receipl or payment of the price bid, Trustee shall deliver to
<br />the purchaser Trustee's deed conveying the Properly. The recitals in
<br />the Truslee's deed shall be prima facie evidence of the truth of the
<br />statements made therein. Trustee shall apply the proceeds of Ihe sale
<br />in the following order. (a) to all expenses of the sale, including, but
<br />not limited la, Trustee"s fees as permitted by applicable law and
<br />reasonable attorneys' fees; {b} to all sums secured by this Security
<br />Instrument; and (c) any excess 10 the person or persons legally
<br />entitled to it.
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<br />14. Upon Acceleration under parasraph 13 or abandonment of Ihe
<br />Property, Lender (in person, by agent or by judicially appointed
<br />receiver) shall be entitled to enter upon, take possession of and
<br />manage the Property and to collect the rents of the Property
<br />including those past due. Any rents collected by Lender or the
<br />receiver shall be applied first to payment or the costs or management
<br />of the ProperlY and coUection of rents, including, bUI nOllimited to,
<br />receiver's fees, premiums lIn receiver's bonds and reasonable
<br />auorney's recs, Bnd then to the sums secured by this instrument.
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<br />1 ! I ',Pail, ~'ol ~
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<br />HUO.921430T-1
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