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<br />COVENANTS
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<br />200707581
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<br />I. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any payments Lender receives ti-om
<br />BOlmwer or for Borrower's beneHt will be applied first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. If paltial prepayment of the 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 propelty when due and will defend title to the property against
<br />any claims which would impair the lien of tltis deed of trust. Lender may require Borrowcr to assign any rights, claims or defenses which Borrower may have against
<br />palties 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 acceptable to Lender at Borrower's expense and for Lender's beneHt. All Insurance policies shall
<br />include a standard mortgage 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, witltin Lender'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 sueh 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. BOlTower agrees to pay all Lender's expenses, including reasonable attomeys' fees, if Borrower breaks any covenants in trus deed of trust or in any
<br />obligation secured by this deed oftlust. Borrower will pay these amounts to Lender as provided in Covenant 9 oftrus deed of trust.
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<br />6. Prior Security Intercsts. Unless Borrower first obtains Lender's written contest, Borrower will not make or permit any ehanges to any prior security interests.
<br />Bonuwer will perfonn all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including BOl1uwer'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 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 manage the propelty and collect the rents. Any rents Lender collects shall be applied first to tile costs of managing the property, including eOUlt costs and
<br />attomeys' 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 condonlinium or a planned unit development, Borrower will periorm all of Borrower's duties under the covenants, by laws, or regulations of
<br />the condominium or planned unit devclopment.
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<br />9. Authority of Lendcr to Pcrtorm for Borrower. If Borrower fails to perionn, any of Borrower'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 pelfonnance. If any construction on the property is discontinued or not
<br />carried on in a rcasonable 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 pcrform 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 Lender to protcct Lender's security interest will be secured by this deed oftrust. Such amounts will be due on demand and will bear interest from the
<br />date of the payment until paid in full at the interest rate in effect on tbe secured debt.
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<br />10. Default and Acceleration. If Borrower fails to make any payment when due or breaks any covenants undcr 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 paymcnt and may invokc the power of sale and
<br />any other remedies permitted by applicable law.
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<br />1 I. Request for Notice of Default. It is hereby requested that copies of the notices of default and sale bc 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 Trustcc 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 intormation required by law. The Trustee shall also mail copies of tI1e notice of default to the
<br />Borrower, 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 propcrty is not in any incorporated city or village and is used in farming opemtions carried on by the trustor, the Trustec shall give public notice of
<br />salc to the pcrsons and in the maImer prescribed by applicable law. Trustee, without demand on Borrower, shall sell the property at public auction to the highest bidder. If
<br />required by the Fann Homestead Protection Act, Trustee shall offcr thc 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 announcemcnt 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 propcrty. 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 cxpcnscs of thc salc,
<br />including, but not limited to, reasonable Trostce's fees, reasonable attorney's fees and reinstatement fees; (b) to all sums secured by this deed oftrust, and (c) the balance, if
<br />any, to the persons legally entitled to receivc it.
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<br />13. Foreclosure. At Lender's option, this deed of trust may be foreclosed in the 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 comlected 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 assignmcnt is subject to the terms of any prior security agreement.
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<br />16. Waiver. By cxcrcising any remedy available to Lender, Lender 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 tI1e 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 scveraL Any Borrower who co-signs this
<br />deed of trust but does not co-sign the underlying debt instruments(s) does so only to grant and convey that Borrower's interest in the property to the Trustee undcr the terms
<br />of this deed of trust. In addition, such a Borrower agrees that the Lender and any other Borrower under trus deed of trust may extend, modify or make any other changes in
<br />thc Icrms of this dced of trust 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 />Thc dutics and benellts of this dccd of trust shall bind and benefit tI1e successors and assigns of Lender and Borrower.
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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 Borrower at the
<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 address on page I of this
<br />deed of trust, or to any other address, which Lender has designated. Any other notice to Lender shall be sent to Lender's address as stated on pagc I of this dced of trust.
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<br />Any notice shall be dccmed to have been given to Borrower or Lender when given in the manner stated above.
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<br />19. Transfcr of the Property or a Beneflclallnterest in the Borrower. If all or any part of the propcrty 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 demand immediate payment if the Borrower is not a natural person and
<br />a beneficial interest in the Borrower is sold or trdnsferred. However, Lender may not demand payment in the above situations ifit is prohibited by federal law as of the date
<br />ofthis deed of trust.
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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 advances under tI1e instluments or
<br />agreements secured by this deed of trust, the Trustee shall, upon written request by the Lender, reconvey the tlust property. The Lender shall deliver to the Borrower, or to
<br />Bonuwer's successor in interest, the trust deed and the note or othcr evidence of the obligation so satisficd. Borrower shall pay any recordation costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may remove Trustee and appoint a successor trustee by tirst, mailing a copy of the substitution of trustee as required
<br />by applicable law, and thcn, by filing thc substitution of trustee for record in tI1e office of the register of deeds of each county in which tile trust property, or some pmt
<br />thereof, is situated. The successor trustce, without conveyance of the property, shall succeed to all the power, duties, autl10rity and title of the Trustee named in the deed of
<br />trust and of any successor trustee.
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