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<br />200702312
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<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer,
<br />any other entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that
<br />derive from (or might be characterized as) a portion of Borrower's payments for Mortgast: Insurance, in
<br />exchange fOr sharing or modit)ring the mortsagt: insurer's risk, or reducing losses. If such agreement
<br />provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the
<br />premiUDl6 paid to the insurer, the arrangement is often tenned "captive reinsurance.'I Further:
<br />(a) Any such agreements win not atfect the amaUDt5 that Borrower bas agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. SUch agreements will not increase the amount
<br />Borrower will owe for Mortgage Insurance, and they will Dot entitle Borrower to any refund.
<br />(b) Any such agreementli will not affect the rights Borrower haS .. if any - with respect to the
<br />Mortgage Insurance under the Homeowners Protection Act ot' 1998 or any other Jaw. These rights
<br />may include the right to receiv~ certain disdosure$, to request and obtain cancellation of the
<br />Mortgage Insurance, to have the MortJ:age Insurance terminated automatically, and/or to receive a
<br />refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or
<br />termination.
<br />11. Assignment (If M:i:!lccllaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hert:by
<br />assigned to and shall be paid to Lender.
<br />If [be Property is damaged, such Miscellaneous Prrn:eeds shan be applied to restoration or repair of
<br />the Property, if the restoration or repair is economically feasible and Lender's security is not lessened.
<br />Durins such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds
<br />until Len4er has had an oppottUniry to inspect such Property to ensure the work has beed completed to
<br />Lender's satisfaction, provided that such inspection shall be undertaken promptly - Lender may pay for the
<br />repairs and restoration in a single disbursement or in a series of progress payments as the work is
<br />completed.. Unless an agreement is made in writing or Applicable Law requires interest to be paid on sucb
<br />Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such
<br />Miscellaneous Proceeds. If the restoration or repair 1s not economically feasible or Lender's ~urity would
<br />be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument.
<br />whether or not then due, with the t:llcess. if any. paid to Borrower. Such Miscellaneous Proceeds shall be
<br />applied in the order provided for in Section 2.
<br />In tht: event of a total taking, destruction, or loss in value of the Property, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Instnlment. whether or not then due, with
<br />the ex.cO$s, if any, paid to Borrower.
<br />.In tbe event of a partial takins, destruction, or loss in vallie of the Property in which the fair market
<br />value of the Property immediately before the partial taking, de&[tUction, or loss in value is equal to Or
<br />greater than the amount of the sums secured by th.is Security Instrument immediately before the partial
<br />taking, destrUction, or loss in value, unless BorrOWer and Lender otherwise agree in writing, the sums
<br />secured by this Security Instrum(,.'llt Mall be reduced by the amount of the Miscellaneous Procee4ts
<br />multiplied by lhe following fraction: (a) the total amount of the sums secured immediately before the
<br />partial taking, destruction, or loss in value divi(fe4 by (b) the fair market value of the Property immediately
<br />before the partial taking, destruction, or loss in value. Any balance shall be paic1 to Borrower.
<br />In the event of a partial taking. destruction, or 10s:5 in value of the Property in which the fair market
<br />value of the Property immediately before the partial taking, destruction. or loss in value is less than the
<br />amount of the sums secured innnediately before the partial I:aldng. destTUCtion. OT loss in value, unless
<br />Borrower and Lern:let otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the SU1'11S
<br />secured by this Security Instrument whether or not the sums are then due.
<br />If the Property is abandoned by Borrower. or if, after notice by Lent1er to Borrower that the
<br />OppOsing Party (as defined in the next sentence) offers to make an award to settle a claim for damages,
<br />BOrrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized
<br />to collect and apply the Miscellaneous Proceeds either to restoration or repair of the PrOperty or to the
<br />sums secured by this Security Instrument, whether or not then due. "Opposing Party" meanS tbe third party
<br />that owets Borrower Miscellaneous Proceeds or the party asainst wholn Borrower has a right of action in
<br />regard to Miscellaneous Proceeds.
<br />Borrower shall be in default if any action or proceeding. wl1ether civil or criminal, is begun that, in
<br />Lender's judgment, could re$uH in forfeiture of the Property or oth6r material impairment of Lender's
<br />interest in the Property or rights under this Security Instrument. llorrower can cure such a default and, if
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<br />1',(:-
<br />InilIAlo:L:1 ~ <S
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<br />~.6INE) (00061
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<br />P9g~ 9 at 15
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<br />FDrm 3028 1/01
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