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<br />COVENANTS
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<br />200703348
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<br />1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any payments Lender receives from
<br />Borrower or for 13orrower's benefit will be applied first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and thcn to
<br />principal. If pattial prepayment of the secured debt occurs fbr any reason, it will not reduce 01' excuse any scheduled payment until the secured debt is paid in full.
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<br />2. Claims Against Title. Borrower will pay all taxes, assessments, and other charges attributable to the property when due and will defend title to the property against
<br />any claims which would impair the lien of this deed of trust. Lender may require Borrower to assign any rights, claims 01' defenses which Borrower may have against
<br />parties who supply labor or materials to improve or maintain the property.
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<br />3. Insurance. Borrower will keep the property insured under terms aeccptablc to I,ender at Borrower's expense and for Lender's benefit. All Insurance policies shall
<br />include a standard mOltgage clause in favor of Lender. Lender will be named as loss payee or as the insured on any such insurance policy. Any insurance proceeds may be
<br />applied, within I,endcr's discretion, to either the restoration or repair of the damaged property or to the secured debt. If Lender requires mortgage insurance, Borrower
<br />agrees to maintain such insurance for as long as Lender requires.
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<br />4. Property. Borrower will keep the property in good condition and make all repairs reasonably necessary.
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<br />5. Expenses. Borrower agrees to pay all Lender's expenses, including reasonable attorneys' fees, if 13orrower breaks any covenants in this deed of trust or in any
<br />obligation secured by this deed oftrust. Borrower will pay these amounts to Lender as provided in Covenant <} of this deed of trust.
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<br />6. Prior Security Interests. Unless 13orrower nrst obtains Lender's written contest, Borrower will not make or permit any changes to any prior security interests.
<br />Borrower will perform all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including Borrower's covenants to make payments
<br />when due.
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<br />7. Assignment of Rents and Protlts. Borrower assigns to Lender the rents and profits of the property. Unless Borrower and Lender have agreed otherwise in writing,
<br />Borrower may collect and retain the rents as long as Borrower is not in default. If Borrower defaults, Lender, Lender's agent, or a court appointed receiver may take
<br />possession and managc the propelty and collect the rents. Any rents Lender collects shall be applied first to the costs of managing the property, including court costs and
<br />attorneys' fees, commissions to rental agents, and any other necessary related expenses. The remaining amount of rents will then apply to payments on the secured debt as
<br />provided in Covenant I.
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<br />8. Leaseholds; Condominiums; Planned lJnit Developments. BOITOwer agrees to comply with the provisions of any lease if this deed of trust is on leasehold. If this
<br />deed of trust is on a unit in a condominium or a planned unit devclopment, Horrower will perform all of 13orrower's duties under the covenants, by laws, or regulations of
<br />the condominium or planned unit development.
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<br />9. Authority of Lender to Perform for Borrower. If Borrower fails to perform, any of Borrower's duties under this deed of trust, I,ender may perform the duties or
<br />cause them to be performed. Lender may sign Borrower's name or pay any amount if necessary for performance. If any construction on the property is discontinued or not
<br />carried on in a reasonable mmlller, Lender may do whatever is necessary to protect Lender's security interest in the property. This may include completing the construction.
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<br />Lender's failure to perform will not preclude Lender fimn exercising any of its other lights under the law or this deed oftrust.
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<br />Any amounts paid by Lender to protect Lender's security interest will be secured by this deed of trust. Such amounts will be due on demmld atld will bear interest from the
<br />date of tile payment until paid in full at the interest rate in effect on the secured debt.
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<br />10. Default and Acceleration. If Bonuwer fails to make any payment when due or breaks any covenants under this deed of trust or any obligation secured hy this deed of
<br />trust or any prior mortgage or deed of tmst, Lender may accelemte the maturity of the secured debt and demand immediate payment and may invoke the power of sale and
<br />any other remedies peonilted by applieahle law.
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<br />II. Request for Notice of Default. It is hereby requested that copies of the notices of default and sale he sent to each person who is a party hereto, at the address of each
<br />such person, as set forth herein.
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<br />12. Power of Sale. If the Lender invokes the power of sale, the Trustee shall first record in the office of the register of deeds of each county wherein the trust property or
<br />some part or parcel thereof is situated a notice of default containing the infoonation required by law. The Trustee shall also mail copies or the notice of default to the
<br />Boo'()wer, to each person who is a party hereto, and to other persons as prescribed by applicable law. Not less than one month after the Trustee records the notice of default,
<br />or two months if the trust property is not in any incorporated city or village and is used in fanning operations eanied on by the lIustor, the Trustee shall give public notice of
<br />sale to the persons and in the manner prescribed by applicable law. Tmstee, without demand on Borrower, shall sell the property at public auction to the highest bidder. If
<br />required hy the Farm Homestead Protection Act, Tmstee shall oiler the property in two separate sales as required by applicable law. Trustee may postpone sale of all or any
<br />parcel of the property by public announcement at the time and place of any previously scheduled sale. Lender or its designee may purchase the property at any sale.
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<br />Upon receipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the property. The reeitials contained in Trustee's deed shall he
<br />prima facie evidience of the truth of the statements contained therein. Trustee shall apply the proceeds of the sale in the following order: (a) to all expenses of the sale,
<br />including, but not limited to, reasonable Trustee's fees, reasonable attorney's fees and reinstatement fees; (b) to all sums secured by this deed oflrust, and (c) the balance, if
<br />any, to the persons legally entitled to receive it.
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<br />13. Foreclosure. At Lender's option, this deed oftrust may be foreclosed in tile manner provided by applicable law for foreclosure of mortgages on real property.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice beforehand. The notice must state the reasonable cause for Lender's
<br />inspection.
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<br />15. Condemnation. Borrower assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the
<br />property. Such proceeds will be applied as provided in Covenant I. This assignment is subject to the terms of any plioI' security agreernent.
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<br />16. Waiver. By exercising any remedy availahle to Lender, l..ender does not give up any rights to later use any other remedy. By not exercising any remedy upon
<br />Borrower's default, Lender does not waive any right to later consider the event a default if it happens again.
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<br />17. Joint and Several Liability; Co-signers; Successors and Assigns Bound. All duties under this deed of trust are joint and severn!. Any Borrower who eo-signs this
<br />deed of trust but does not eo-sign the underlying debt instruments(s) does so only to grant lmd convey that 13orrower's interest in the property to the Trustee under the terms
<br />of this deed of trust. In addition, such a Borrower agrees that the Lender and any other Bon'()wer under this deed of trust may extend, modify or make any other changes in
<br />the terms ofthis deed oftrust or the secured debt without that Borrower's consent and without releasing that Borrower from the terms of this deed oftrust.
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<br />The duties and benefits ofthis deed of trust shall bind and benetlt the successors and assigns of Lender and Bonower.
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<br />18. Notice. Unless otherwise required hy law, any notice to Bonower shall be given by deliveling it or by mailing it by certilled mail addressed to Borrower a~ t~e
<br />property address or any other address that Borrower has given to Lender. Borrower will give any notice to Lender by certified mail to Lender's addrcss on page I of thiS
<br />deed oftrust, or to any other address, which Lender has designated. Any other notice to Lender shall be sent to Lender's address as stated on page I ofthlS deed of trust.
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<br />Any notice shall be deemed to have been given to Borrower or Lender when given in the manner stated above.
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<br />19. Transfer of the Property or a Beneficial Interest in the Borrower. Ifall or any part of the property or any interest in it is sold or transferred without the Lender's
<br />prior written consent, Lender may demand ilrunediate payment of the secured debt. Lender may also demand immedi~te paym~n~ i!'the BOI~'ower is.not a natural pe,rson and
<br />a benefIcial interest in the Bon'()wer is sold or transferred. However, Lender may not demand payment in the above sltuatJOns rf It rs prohlhrted by fedemllaw as ollhe date
<br />of this deed ofllust.
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<br />20. Reconveyance. When the obligation secured by this deed of trust has been paid, and Lender has no further obligation to make advance~ under the instlUments or
<br />agreements securcd by this deed of trust, the TlUstee shall, upon wlitten request by the Lender, reconvey the tlUSt property. The Lender sh~1l dehver to the Bonower, 01' to
<br />Borrower's successor in interest, thc trust deed and the note or other evidcnce of the obligation so satisfIed. Borrower shall pay any recordation costs.
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<br />21. Successor Trustee. Lend~r, at Lender's option, may remove Trustee and appoint a successor tlUstee by first, mailing a ~opy of the substitution of trustee as required
<br />by applicable law, and therl, hy filing the substitution of tlUstee for record in the oflice of the register of deeds of ~ach count~ 111 Wbl~h the trust propelty, or s~me part
<br />thereof, is situated. The successor tlUstee, without conveyance of the property, shall succeed to all the power, dulles, authonty and tItle of the Trustee named 111 the deed of
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<br />trust and of any successor trustee.
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