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<br />COVENANTS
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<br />200703857
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<br />1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Bon1lwer and Lender agree otherwise, any payments Lender receives from
<br />Borrower or for BOITOwer's benefit will be applied first to any amounts Bormwer owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. If partial prepayment ofthe secured debt occurs for any reason, it will not reduce or 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 truse Lender may require Bormwer to assign any rights, claims or defenses which Bormwer may have against
<br />parties who supply labor or materials to improve or maintain the property.
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<br />3. Insurance. BOITower will keep the pmperty insured under terms acceptable to Lendcr at Bormwer's expense and for Lender's benefit. All Insurance policies shall
<br />includc a standard m0l1gage 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 />applicd, within Lender's discretion, to either the restoration or repair of the damaged property or to thc secured debt. If Lender requires mortgage insurance, Bormwer
<br />agrees to maintain such insurance for as long as Lender requires.
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<br />4. Property. Bormwer 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 Borrower 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 9 of this deed of trust.
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<br />6. Prior Security Interests. Unless Borrower first obtains Lender's written contest, BOITower will not make or permit any changes to any prior security interests.
<br />Bon1lwer will perfonn all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including Bormwer's covenants to make payments
<br />when due.
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<br />7. Assignment of Rents and Profits. Borrower assigns to Lender the rents and profits of the propel1y. Unless Bormwer and Lender have agreed otherwise in writing,
<br />BOlTower may collect and retain the rents as long as Borrower is not in default. If Bormwer defaults, Lender, Lender's agent, or a court appointed receiver may take
<br />possession and manage the property and collcct 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 Unit Developments. Borrower 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 development, Bormwer will perform all of BOlTOwer's duties under the covenants, by laws, or regulations of
<br />the condominium or plamled unit development.
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<br />9. Authority of Lender to Perform for Borrower. If Borrower fails to perform, any of Bormwer's duties under this deed of trust, Lender may perfonn the duties or
<br />cause them to be perfonned. Lender may sign Borrower's name or pay any amount if necessary for pcrfonnance. If any construction on the property is discontinued or not
<br />can'ied on in a reasonable manner, 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 perfonn will not preclude Lender from exercising any of its other rights under the law or this deed of trust.
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<br />Any amounts paid by Lcnder to protect Lender's security interest will be secured by this deed of trust. Such amounts will be due on Clemand and will bear interest from the
<br />date of the 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 Bon'ower fails to make any payment when due or breaks any covenants WIder this deed of trust or any obligation secured by this deed of
<br />trust or any prior mortgage or deed of trust, Lender may accelerate the maturity of the secured debt and demand immediate payment and may invoke the power of sale and
<br />any other remedies permitted by applicable 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 be 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 u,'1lder 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 information required by law. The Trustee shall also mail copies of the notice of default to the
<br />Bon'Ower, to each person who is a party hcrcto, 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 carried on by the trustor, the Trustee shall give public notice of
<br />sale to thc persons and in the mamIer prescribed by applicablc law. Trustee, without demand on BOlTower, shall sell the property at public auction to the highest bidder. If
<br />required by the Farm Homestead Protection Act, Trustee shall offer the property in two separate sales as required by applicable law. Trustee may postpone sale of all or any
<br />parcel of the propelty by public announcement at the time and place of any previously scheduled sale. Lendcr 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 recitials contained in Trustee's deed shall be
<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 of trust, 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 of trust may be foreclosed in the maImer 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 BOITOwer notice beforehand. The notice must state the reasonable cause tor Lender's
<br />inspection.
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<br />15. Condemnation. Bon'owcr assigns to Lender the proceeds of any award or claim for damages comlected with a condemnation or other taking of all or any part of the
<br />property. Such proceeds will bc applied as provided in Covenant I. This assignment is subject to the tenus of any prior security agreement.
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<br />16. Waiver. By exercising any remedy available to Lender, Lendcr does not give up any rights to later use any other remedy. By not exercising any remedy upon
<br />Borrowcr's default, Lender does not waive any right to later consider the event a default ifit happens again.
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<br />17. Joint and Several Liability; Co-signers; Successors and Assigns Bound. All duties under this deed oftmst are joint and several. Any BOlTOwer who co-signs this
<br />deed oftmst but docs not co-sign the underlying debt instruments(s) docs so only to grant and convey that Bormwer's interest in the property to the Trustee under the terms
<br />of this dced of trust. In addition, such a Borrower agrees that the Lender and any other Borrower under this deed of trust may extend, modify or make any other changes in
<br />the temlS of this deed of trust or thc sccured debt without that Bormwer's consent and without releasing that Bormwer from the terms of this deed of trust.
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<br />The duties and benefits of this deed of trust shall bind and benefit the successors and assigns of Lender and Bormwer.
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<br />18. Notice. Unless otherwise required by law, any notice to Borrower shall be given by delivering it or by mailing it by certified mail addressed to Bormwer at the
<br />propcl1y address or any other address that BOlTower has gi ven to Lender. Borrower will give any notice to Lender by certified mail to Lender's address on page I of this
<br />deed ofttust, 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 of this deed of trust.
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<br />Any notice shall be deemed to have been given to BOlTower ",- Lender when givcn in the manner stated above.
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<br />19. Transfer of the Property or a Beneficial Interest in the Borrower. If all or any part of the property or any interest in it is sold or transferred without the Lender's
<br />prior wlitten consent, Lender may demand immediate payment of the secured debt. Lender may also demand immediate payment ifthe BOlTOwer is not a natural person and
<br />a beneficial interest in the Borrower is sold or transferred. However, Lender may not demand payment in the above situations if it is prohibited by federal law as of the date
<br />of this deed oftrust.
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<br />20. Reconveyance. When the obligation secured by this dccd of trust has been paid, and Lender has no further obligation to make advances under the instruments or
<br />agreements secured by this deed of trust, the Trustee shall, upon written request by the Lender, reconvey the trust property. The Lender shall deliver to the Bormwer, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence of the obligation so satisfied. Bormwer shall pay any recordation costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may remove Tmstee and appoint a successor trustee by first, mailing a copy of the substitution of trustee as required
<br />by applicable law, and then, by filing the substitution of trustee for record in the office of the register of deeds of each county in which the trust property, or some part
<br />thereof, is situated. The successor tlustee, without conveyance of the property, shall succeed to all the power, duties, authority and title of the Trustee named in the deed of
<br />trust and of any successor trustee.
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