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<br />200707443
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<br />As a result oj' these agreements, Lender, any purchaser of' the Note, another insurer, any reinsurer,
<br />any olher entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts thaf
<br />derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in
<br />exchange for sharing or modifying the mortgage 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 />premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
<br />Mortgag~ Insurance, or any other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe lor Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the flghts Borrower has ~ if any - with respect to the
<br />Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These right3
<br />may inelude the right to receive certain disclosures, to request and obtain cancellation of the
<br />Mortgage Insurance, to have the Mortgage 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 />II. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are herdJY
<br />assigned io and shall be JMid to 1 ,end{~r. .
<br />[I' the Property is {amaged, sllch Miscellaneous Proceeds shall be applied to restoration or rep,lir of
<br />Ill(' Property, if the resforation or repair is economically feasibk and Lender's security is not leSSl'ned.
<br />During such repair and restoration period, Lemler shall have the right t.o hold such Miscclhllleous Procecds
<br />until Lemler has had an opportunity to inspect such Property to i~nSIll"e the work has beell 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 dishursement or in a series of progress payments as the worK is
<br />completed. Unless an agreement is made in writing or Applicable Law reqnires interest to be paid on such
<br />Miscellaneous Prnceeds, Lender shall nol be required to pay Borrower any inten'st or earnings on such
<br />MiscplLlIleons Proceeds. II' the resloration or repair is not economically feasible or Lemler's security would
<br />he le;seupd, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument,
<br />wlH'tlJcr or not then due, with the excess, if any, paid to Borrowe!'. Such MiscellanpOIlS Procpeds shall hc
<br />applied in the order provided for in Section 2.
<br />In the event of a total taking, destruction, or loss in valuc of the Property, the Miscellallcous
<br />Proceeds shall be applied to the SIlIns secured by this Security Instrument, whether or not [hen due, with
<br />the excess, if any, paid to Borrower,
<br />In Ill(' evelit of a partial taking, destruction, or Joss in value of the Property in wllich the fair market
<br />value or Illl; Property immPfliately before the partial taking, destruction, or loss in value is equal to or
<br />greater [han the amount of the sums secured by this Security Instrument immediately hefore tll(' partial
<br />lai<in:~, destruction, or loss in value, unless Borrowpr and Lender otherwise agree in writing, the sunls
<br />seun('d hy Ihis Security Instrument shall be reduced by the amollnt of the Miscellaneous Procl'eds
<br />multiplied by the following I'raction: (a) the total amount or the SUlllS secured imnH'diatdy before th,!
<br />partial laking, destruction, or loss in value divided by (b) (11(' fair market value of Ihe Property
<br />immediately before ~he par~ial ta~ing, destruc~ion, or loss !n value. f\ny balance sh~ll be paid to B~)rrower,
<br />In the event of a partial takll1g, destructIOn, or loss 1I1 value of the Property III whIch the fall' market
<br />valtll' of tlie Property immediately before the partial taking, destruction, or loss in vahw is less th,1I1 the
<br />amount of the SUlllS secllred immediately before the partial taking, destruction, or loss in value, unless
<br />Borrower and I,ender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the SIlIllS
<br />s('cllred by this Security Instrument whether or not the slims are then due.
<br />II' lile ProperlY is abandoned by Borrower, or if, after notice by Ll'nder to Borrower that the
<br />Opposing Party (as defined in the next sentence) olfers to make an award to settle a claim ror ("IIIlages,
<br />Borrower fails to respond to Lender within 30 days after the date the notice is given, Lemler 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 Instmment, whether or not then due. "Opposing Party" means 1Il(~ third p;lriy
<br />Ihat owes Borrower Miscellaneous Proceeds or the party ,Igainst whom Borrower has a right of action in
<br />regard to Miscellaneous Proceeds.
<br />Borrower shall be in defaull if any action or proceeding, whether civil or criminal, is begun that, ill
<br />I,l'lldcr'" judgmenl, could result in forfeiture of the Property or other material impairment of Lender's
<br />interest ill the Property or rights under this Security Instrunwnt. Borrower can cure such a default and, ir
<br />accelcratinn has occurred, reinsfate as provided in Section Hl, by causing the action or proceeding (0 be
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<br />002004634292
<br />. -6A(NE) (040'1)01
<br />(.)
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<br />f'Qge 9 of 1!J
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<br />'llillO,sC:>~:l
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<br />Form3028 1/01
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<br />CiliMortgage j,? 11.111 V'I
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