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<br />Lender. In event of loss Borrower will give Immediate notice by
<br />maUlo the lender. who may make proof of 1055 if not made
<br />prompdy by Borrower, and each insurance company concerned
<br />is hereby authorized and directed to meke peyment ror such loss
<br />dircdly to the Lender instead of to the Borrower and the
<br />Lender jointly, and the insurance proceeds, or any part thereof,
<br />may be applied by the Lender at its option either to the
<br />reduction of the indebtedness hereby secured or to the
<br />restoration or repair of the property damaged. In event of
<br />foreclosure of this instrument or other tranSfer of title to the
<br />mortgeged property in extinguishment or the indebtedness
<br />secured hereby, aU 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.
<br />9. That 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 />conditions 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 (0 do. This assignment is to terminate
<br />and become nun and void upon release of this instrument.
<br />10. Thetthe Borrower will keep the building, upon ,aid
<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.
<br />II. That ir the premises, or any part thereor, 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 indebtedncss 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 ,hall be paid forthwith to
<br />said Lender to be applied by the latter on account of the ncxt
<br />maturing installments of such indebtedness.
<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 within eight months from the date
<br />hereof (wrillen 'tatement or any officer or the Department of
<br />Housing and Urban Development or euthorized agent of the
<br />Secretarl' of Housing and Urban Development deted ,ubsequent
<br />to the eisJtt months' time from the date of this instrument,
<br />declining to insure said note and this mongage, being deemed
<br />conclusive proof of such ineligibility), the Lender or holder of
<br />the note msy, at its option. declare all sums secured hereby
<br />immediately due aod payeble. Notwithstanding the roregoir.;;,
<br />this optioo may not be exercised by Ihe Lender or the holder or
<br />the note when the ineligibility Cor insurance under the National
<br />Housing ACI: is due to [he Lender's failure to remit the
<br />mongqc insurance premium to [he Ocpanment of Howing and
<br />Urban Development.
<br />13. That if the Bonower fails to make any payments of money
<br />when the same become due. or fails to confono [0 and comply
<br />wilh any of the conditions or agreements contained in this
<br />instrUment, or the note which it secures. then Ihe entire
<br />principaJ sum and accrued interest sball at once become due and
<br />payable. at the dection or the Lender.
<br />
<br />88- 100191
<br />
<br />Lender shaJl give notice 10 Borrower prior to acceleration
<br />following Borrower's breach of any covenant or agreement in
<br />this instrument (but not prior to acceleration under paragraph
<br />] 2 unless applicable law provides olherwlse). The nolice ,hall
<br />,peciry: (e) the dereult; (h) the action required to cure the
<br />dereult; (e) a date, not less than 30 deys rrom the dete the
<br />nolice is given to Borrower, by which the default must be curedi
<br />and (d) that rellure to cure the dereult on or berore the date
<br />specified in the notice may result in acceleration of the sums
<br />secured by this instrument end sale or the Property. The nolice
<br />shall funher inCorm Borrower of the right to reinstate after
<br />acceleration and the right to bring a court action to assert the
<br />non-cx:istence of a default or any other defense of Borrower to
<br />acceleration and sale. If the licfault is not cured on or before
<br />the date specified in the notlce, Lender at its option may require
<br />immediate payment in full of aD sums secured by this
<br />instrument without further demand "and may invoke the power
<br />of sale and any olher remedies permitted by applicable law.
<br />Lender shall be entitled to collect all expenses incurred in
<br />pursuing the remedies provided in thi, paregraph B, including,
<br />but not limited to, reasonable attorneys' fees and costs of title
<br />evidence.
<br />If the 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 cOPlcs of such notice in the manner
<br />prescribed by applicable law to Borrower and to the otber
<br />persons prescribed by applicable Jaw. After the time requlrcd by
<br />applicable law, Trustee shall give public notice of sale to the
<br />persons and in the manner prescribed by applicable law.
<br />Trustee, without demand on Borrower, shaD sell the Property at
<br />public auction to the highcst bidder at the time and place and
<br />under the terms designated in the notice of sale in one or more
<br />parcels and in any order Trustee determincs. Trustee may
<br />postpone. sale of all or any parcel or the 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
<br />sale.
<br />Upon receipt of payment of the price bid, Trustee shall deliver
<br />to the purchaser Trustee's deed conveying the Property. The
<br />recitals in Lhe Truslee's deed shall be prima facie evidence of the
<br />truth of the statements made therein. Trustee shall apply the
<br />proceeds of the ssle in Ihe following order: (a) to all expenses of
<br />the sale, incJudins, but not limited to, Trustee's fees as
<br />permitted by epplicable lew and reasonable ettorneys' rees: (b)
<br />to all ,um, secured hy this Security Instroment; and (c) any
<br />excess to the person or persons legally entitled to it.
<br />14. Upon acceleration under paragraph 13 or abandonment of
<br />the Propeny, Lender (in person, by agent or by judicially
<br />appointed receiver) shall be entitled to enter upon, take
<br />possession of and manlllle the Property and to collect the rents
<br />or the Property including those past due. Any rents collected by
<br />Lender or the receiver ,hall be epplied first to payment of the
<br />costs of management of the Property and coJlection of rcots.
<br />including, but not limited to, receiver's fees, premiums on
<br />receiver's bonds and reasonable attorneys' fees, and then to [he
<br />sums secured by this instrument.
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