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<br />200704325
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<br />l. Payments. BOlTowcr agrees to make all payments on the secured debt when due. Unless BOITower and Lender agree otherwise, any payments Lender receives from
<br />Borrower or for Borrowcr's hcnctit will be applicd first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />ptincipal. If partial prepayment of the secured debt occurs for any reason, it will not reduce or cxcusc any scheduled payment until the secured debt is paid in full.
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<br />COVENANTS
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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 tmst. Lender may require Borrowcr to assign any rights, claims or defenses which Borrower may have against
<br />parties who supply labor or materials to improve or maintain the propelty.
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<br />3. Insurance. Borrower will keep the property insured undcr tcrms acceptahle to Lender at Borrower's expcnsc and for Lender's benel1t. All Insurance policies shall
<br />include a standard mortgage clause in favor of Lender. Lender will be named as loss payee or as thc insured on any such insurancc policy. Any insurance proceeds may hc
<br />applied, within Lender's discretion, to either the restoration or repair of the damagcd pmperty or to the sccurcd dcht. If Lcndcr requircs mortgage insurance, B01T<Mer
<br />agrees to maintain such insurance for as long as Lender requires.
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<br />4. Property. Borrower will keep thc property in good condition and makc all repairs reasonably necessaty.
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<br />5. Expenses. Borrower agrees to pay all Lender's expenses, including reasonahle attorneys' fees, if Borrower hreaks any covenants in this dccd of trust or in any
<br />obligation secured by this deed of trust. BOlTower will pay these amounts to Lender as provided in Covenant 9 of this deed oftmst.
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<br />6. Prior Security Interests. Unless Borrower first obtains Lender's written contest, Horrower will not make or permit any changes to any prior security interests.
<br />Borrower will pcrtorm all of Borrowcr's obligations under any prior mortgagc, decd of trust or other security agreement, including Borrower's covenants to make payments
<br />whcn duc.
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<br />7. Assignment of Rents and Profits. Borrower assigns to Lender the rents and profits of the property. Unless Borrower and Lender have agreed otherwisc in writing,
<br />Borrower may collect and retain the rcnts as long as Horrowcr is not in default. If Borrower dcfaults, Lcnder, Lender's agcnt, or a court appointed recciver may take
<br />posscssion and manage 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' lees, commissions to rental agents, and any other necessary related expenses. 'rhe 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. B01T<)wer 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 planncd unit development, Borrower will perlbrm all of Borrowcr's dutics undcr thc 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, Lender may perform the duties or
<br />causc thcm to be performed. I.coder may sign Borrowcr's name or pay any amount if ncecssary for pcrformancc. If any constlUction on the propcrty is discontinucd or not
<br />carried on in a reasonable manner, Lender may do whatever is necessary to protect Lender's security interest in lhe property. This may include completing thc eonstruclion.
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<br />Lender's failure to perform will not preclude Lender from 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 bc due on demand and will bear interest from the
<br />dale 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 Borrower fails 10 make any payment when due or breaks any covenants under this deed oftrust or any obligation secured by this deed of
<br />trust or any prior mortgage or deed of trust, Lender may accelerate the maturily of the secured dehl and demand immcdiate payment and may invoke the power of sale and
<br />any other remedies pcrmitted by applicable law.
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<br />]]. Request for Notice of Default. It is hereby requested that copies ofthe notices of default and sale be sent 10 each person who is a palty hereto, at the address of each
<br />such person, as set forth hcrein.
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<br />12. Power of Sale. If the Lender invokes the power of salc, the Trustee shall first record in the otlke of the register of deeds of each county wherein the trust property or
<br />somc patt or parcel thcrcof is situated a notice of det~lUlt containing the infonnation required hy law. The Trustee shall also mail copies of the notice of default to the
<br />Bon'Ower, to each person who is a patty hereto, and to other persons as prescrihed hy applicahle law. Not less than one monlh aller thc Trustee records the notice of det~lUlt,
<br />or two months if the trust property is not in any incorporated city or village and is used inl~mning operations calTied on by the trustor, the Truslee shall give puhlic notice of
<br />sale to the persons and in the manner prescribed hy applicable law. Tmstee, without demand on BOll'ower, shall sell the propelty at public auclion to thc highcst bidder. If
<br />requircd hy thc Farm Homestead Protection Act, Truslee shall offcr thc propelty in two separate sales as required hy applicable law. TlUstee may poslpone sale of all or any
<br />parcel of the property hy puhlic announccment at the time and place of any previously scheduled sale. Lender or its designee may purchase the pl'Operty 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 properly. The reeitials 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 expenscs 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 lrusl, and (c) the balance, if
<br />any, 10 the persons legally entitled to receive it.
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<br />13. Foreclosnre. At Lender's option, this deed of trust may be forecloscd in the manner provided by applicable law for forcclosure of mortgages on real propcrty.
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<br />14. Inspection. Lender may entcr the property to inspect it if Lender gives Borrower notice beforehand. The notice musl statc the reasonable cause for Lendcr's
<br />inspection.
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<br />] 5. 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 1. This assignment is suhject to the tenus of any prior security agreement.
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<br />]6. Waiver. By exercising any remedy available to Lender, Lender docs not give up any rights to later use any other remedy. By not exercising any rcmedy upon
<br />Borrower's default, Lender does nol waive any right to later consider the event a default if it happens again.
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<br />] 7. Joint and Several Liability; Co-signers; Successors and Assigns Bound. All duties under this deed of tmst are joint and several. Any Borrower who co-signs this
<br />deed oftrust but does not co-sign the underlying debt instruments(s) does so only to granl and convey that Borrower's intcrcst in the property to thc Trustee under the tcrms
<br />of lhis deed of trust. In addition, such a Borl'Ower agrees that the Lender and any other Bon'Ower under this deed of trust may extend, modify or make any othcr changes in
<br />the terms of this deed of trust or the secured debt without that Borrower's consent and without releasing that Borrower from the terms of this dced oftrus!.
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<br />The dutics and henefits of this deed of trust shall bind and henefit the successors and assigns of Lender and Borrower.
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<br />18. Notice. Unlcss otberwise requircd by law, any notice to Borrower shall he givcn by delivering it or by mailing it by certilied mail addressed to BOll'Owcr at the
<br />propeliy address or any othcr address that Borrower has given to Lender. Borrower will give any notice to Lendcr by certified mail to Lender's address on page I of thIS
<br />dced oftrust, or to any other address, which Lendcr has designated. Any other notice 10 Lender shall be sent to Lender's address as stated on page I oftllls deed oftrust.
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<br />Any notice shall be deemed to have becn given to Btmower or Lender when given in the manner stated above.
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<br />]9. Transfer of the Property or a Beneficlallnterest 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 written consent, Lender may demand immediate payment of the secured debt. Lender may also de~nand inunedi~te p~ym~'I1~ ifthc B?r~'ower is.not a natural pe:son and
<br />a beneficial intcrest in the Bon'Ower is sold or transfcrred. However, Lender may not demand payment 1Il the above SituatIOns If It IS prohlhlted by lederal law as of the datc
<br />of this deed of trust.
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<br />20. Reconveyance. When the obligation secured by this deed of tmst bas been paid, and Lender has no furthcr obligation to make advances under the instlUments or
<br />agreements secured by this deed of trust, the Tmstec shall, upon wtitten request by the Lcnder, reconvey the trust propetty. The Lender shall dehver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence of the obligation so satisfied. Borrower shall pay any recordatIOn costs.
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<br />2!. Successor Trustee. Lender, at Lender's option, may remove Trustee and appoint a successor tmstce by first, mailing a copy of the substitution of trustee as required
<br />by applicahle law, and then, by filing the substitution oftruslee for record in the office ofthe registcr of deeds of each county in whichth~ tlllst,property, or s~me part
<br />thereof, is situated. The successor trustee, without conveyance of the property, shall succeed to all the power, duties, authonty and tltle 01 thc Ilustee named 111 the deed of
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<br />trust and of any successor tmstee.
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