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<br />200705840
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<br />As a result of these agreements, Lender, any pu'rchaser of the Note, anothtlr insurer, any reinsurer,
<br />any other enlity, or any affiliate of any of the foregoing, may recelVe (directly or inuirectly) amounts that.
<br />derive from (or might be cnaracterizecl as) a portion of BOr!ower's paym~nts for Mortgage Insurance, in
<br />ex.change for sharing or modifying the mortgage insurer's risk, or r~uclng losses. If such agreement
<br />provides that an affiliate of Lenuer takes a share of the insurer's risk in exchange for a share of the
<br />premiums paid to the insurer, the arrangemen~ is often termed "captive reinsuranCl;!." Futther:
<br />(0) Any such agreements will not afrect the amounts that Borrower h~ agreed to pay tor
<br />Mortgage lnsurance, or ,my' other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe for Mortgage Insurancc, and they will not cntitle Borrower to ony refllnd.
<br />(b) A.ny such agreements will not affect the rights BOrr6wer has . it" any. with respect to the
<br />Mortgage Insurance under the Homeowners Protection A.et of 1998 or any other law. These riabts
<br />may include the right to receive certain discl05"r~1 to request and obtain cancellation of the
<br />Mortgage Insurance, to have the Mortgage lnsurallce terminated automatically, and/or to retli!ive a
<br />rcfund of any Mortgage Insurance premiums that were unearned at the time of tiluch cancellation or
<br />termination.
<br />11. A2$jgnmcnt of Mi$Cellaneous Proceeds; Forfeiture. All Misctlllaneous Proceeds arC hereby
<br />assigned to and shall be paid to Lender-
<br />If the Property is damaged, such Miscellaneous Proceeas shall be applied lO restoration or repair of
<br />the Property, if the restoration or repair is economically feasible and lender'S security is not lessened.
<br />During such repair and restoration period, Lender shall ]lave the right to hold IlUch Miscellaneous Proceeds
<br />ll:ntil Lender has had an opportuni.ty to inspect such Property to t.'T\SlU'e the work has been 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 sins;le di::;bursement or in a series of progress payments as the work is
<br />completed. UnltlSs an agreement is made in writing or Applicable Law requires intere:it to be paid on such
<br />Miscellaneous Proceeds, Ltmder shall not be required to pay aorrower any interest or e.:1rnings on such
<br />Miscellaneous Proceeds. If the restoration or repair is not economically feasible Or Lender's security would
<br />be lessened, the Miscellaneous Procecas. ~hall be applie4 to the sums secllred by this Security Instrument,
<br />whether or not then d.ue, with the ex.cess, if any, paicl to Borrower. Such Miscellaneous Proceeds shall be
<br />applied in the order provided for in Section 2.
<br />In the event o:f a. total taking, destrUction, or loss in value of the Propeny, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this SecurilY Instrument, whether or not then aue, with
<br />the excesS, if any, paid to Borrower.
<br />In the event of a parlial taking, destruction, or loss in value of the Property in which the fai.r market
<br />value of the Property immodiately before the partial taking, 4est!UctioD, Or loss in value is equal to or
<br />greater than the amount of the sums secured by this security Instrument immediately betore the partial
<br />taking, destruction, Or loss in value. unless BOlTower and Lender otherwise agree in writing, the 5UmS
<br />secured by thi:> Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds
<br />multiplioo by the following fraction: (a) the total amount of the sums securOO illunediately before the
<br />partial taking, destruction, or loss in value divide~l by (b) the fair market value of the Property immediately
<br />before the partial taking, destruction, or loss in value. Any balance shall be paid to 'Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market
<br />value of the Property imme4iately before the partial taking, destruction, or loss in value is less than the
<br />amount of the sums secured immediately before the partial taking, destruction. or loss in value, unless
<br />Bon-ower and Lender otherwise agree in writing, the Miscellant:ous Proceeds shall be applied to the $'urns
<br />secured bY tbls Security Instrument whether or not the Sl1m~ ar:e then due.
<br />If the properlY is abandoned by Borrower, or if, after notice by Lender to llorrower that the
<br />Opposing Party (as defmed in (be next sentence) offers to make an award to settle a claim for damages,
<br />Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is auillori2ed
<br />to collect and apply the Miscellaneous 'Proceeds either to restoration or repair of the Property or to thlo'
<br />sum$ secured by this Security Instrument, whether or nol then due. "Opposing Pany" means the tWrd party
<br />that owes Borrower Miscellaneous Proceeds or the 'PartY against wl10m BOll'Ower nas a right of action in
<br />regard lO Miscellaneous Proceeds.
<br />Borrower shall be ill default if any action or proceeding, whether civil or criminal, is bef:Un that, in
<br />Lendt.'t"'$ judgment. could result in forfeiture of the property or other material impairment of Lender's
<br />interest in the Property or rights under this Security 1n.'l[rUment. Borrower can cure such a default and, if
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