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<br />COVENANTS
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<br />200708554
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<br />I. Payments. Borrower agrees to make all payments on the secured debt whcn due. Unless Borrower and Lender agree otherwise, any payments Lcndcr receives from
<br />Borrower or for Borrower's benefit 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 partial prepayment of the secured debt occurs for any reasou, 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 properly when due and will defend title to the property against
<br />any claims which would impair thc lien of this deed of trust. Lender may require Borrower 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 benefit. All Insurance policics shall
<br />include a standard mortgage clause in favor of Lender. Lender will bc namcd as loss payee or as the insured on any such insumnce policy. Any insurance proceeds may be
<br />applied, within Lender's discretion, to either the restoration or repair of the damaged property or to the secured debt. If Lender requires mortgage insumnce, Borrower
<br />agrees to maintain such 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. Borrower agrees to pay all Lender's expenses, including reasonable attorncys' fccs, if Borrower breaks any covcnants in this deed of trust or in any
<br />obligation secured by this decd of l1ust. Borrower will pay these amounts to Lender as provided in Covenant 9 ofthis deed oftrust.
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<br />6. Prior Security Interests. Unless Borrower first obtains Lender's written contest, Borrower will not make or permit any changes to any prior security interests.
<br />Borrower will perform all of Borrower's obligations undcr any prior mortgagc, dccd of trust or other security agrcemcnt, including Borrower'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 properly. Unless Borrower and Lender have agrecd otherwise in writing,
<br />Borrowcr 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 managc the propelty and collect the rents. Any rents Lender collects sball be applied first to the costs of managing the propelty, including court costs and
<br />attorneys' fees, commissions to rental agents, and any other necessary related expenses. The remaining amount ofrents 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, Borrower will perform all of Borrower's duties under the 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 />canse them to bc pcrformcd. Lendcr may sign Borrowcr's namc or pay any amount if ncccssary for pcrformance. If any construction on the propelty is discontinucd or not
<br />carried on in a reasonable manner, Lender may do whatever is necessary to protect Lender's security interest in the propcrty. This may includc completing thc construction.
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<br />Lender's failure to perform will not prcclude Lendcr from exercising any of its other rights under the law or this deed oftrust.
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<br />Any amounts paid by Lcnder to protect Lender's security interest will be secured by this deed oftrust. Such amounts will be due on demand and will bear intcrcst/rom the
<br />date of the payment until paid in full at the interest mte in elTeet on the secured debt.
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<br />10. Default and Acceleration. If Borrower tails to make any payment when due or breaks any covenants under 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 matnrity of the secured debt and demand illnnediate payment and may invoke the power of sale and
<br />any other remedies pennitted by applicable law.
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<br />11. 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 hercto, 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 TlUstee shall first record in the omce 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 hereto, and to other persons as prescribed by applicable law. Not less than one month after the Tmstee 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 tmstor, the Trustee shall give public notice of
<br />sale to the persons and in the manner prescribed by applicable law. Trustee, without demand on Borrower, shall sell the properly at public auction to the highest bidder. If
<br />required by the Fann 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 property by public annonncement 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 property. 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 expenses of the sale,
<br />including, but not limited to, reasonable Trustee's fees, reasonable attorney's rees 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 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 mnst state the reasonable cause for Lender's
<br />inspection.
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<br />15. Condemnation. Bon'Ower assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other taking or all or any part of the
<br />property. Such proceeds will be applied as provided in Covenant 1. Tllis assignment is subject to the tenns of any prior security agreement.
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<br />16. Waiver. By exercising any remedy available to Lender, Lender does not give np any lights to later use any other remedy. By not exercising any remedy upon
<br />Borrower's defanlt, Lender does not waive any right to later consider the event a default if it happens again.
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<br />17. Joint aud Several Liability; Co-signers; Successors and Assigns .Bound. All duties under this deed oftrust are joint and several. Any Borrower who co-signs this
<br />deed of trust but docs 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 tIUSt. In addition, such a Borrower agrees that the Lender and any other Borrower under this deed of tmst may extend, modity or make any other changes in
<br />the terms ofthis deed of trust or the secured debt without that Borrower's consent and without releasing that Borrower 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 Borrower.
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<br />18. Notice. Unless othClwise required by law, any notice to Borrower shall he given by delivering it or by mailing it by certil1ed 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 page I of this deed oftrust
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<br />Any notice shall be deemed to have been given to Borrower or Lender when given in the manner stated above.
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<br />19. Trausfer of the Property or a .Beneficial Interest in the Borrower. If all or any part of the property.or any.intercst in it ~s sold or transf~rred without the Lender's
<br />prior written consent, Lender may demand immediate payment of the secured debt. Lender may also de~nand nnmedl?te p~lym~nt If the B?,:ower IS, not a natuml person and
<br />a beneficial interest in the Borrower is sold or transfen.ed. However, Lender may not demand payment 111 the above Sltual10ns If It IS prohibited by ledemllaw as of the date
<br />of this deed oftmst.
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<br />20. Reconveyance. When the obligation secured by this deed of bust has been paid, and Lender has no further obligation to make advances under the instlUments or
<br />agreements secured by this deed of trust, the Trustee shall, upon written request by the Lender, reconvey the trust pl'Operty. The Lender sh~1I deliver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed anllthe note or other evidence ofllte obligation so satisfied. Borrower shall pay any recordatIOn costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may rcmove Trustce and appoint a successor trustee by first, mailing a ~opy ~fthe substitution oftrustee as required
<br />by applicable law, and then, by filing the substitution oftlUstee for record in the office ofthe register of deeds of ~ach count~ In whl~h the tlUst propelty, or s(~me palt
<br />thereot; is situated. The successor tmstee, without conveyance of the pl'Operly, shall succeed to all the power, dulles, authonty and title ofthe Trustee named 111 the deed of
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<br />trust and of any successor trustee.
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