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<br />COVENANTS
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<br />200708606
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<br />1. Payments. Borrower agrees to make all payments on the secured debt when due_ Unless Borrower and Lendcr agrcc othcrwisc, any paymcnts Lcndcr reccivcs from
<br />Borrower or for Borrower's benefll will be applied first to any amounts Borrowcr owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. If partial prepayment of the sccured 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 A~ainst Title. BOlmwer will pay all taxes, assessments, and other charges attributable to the property when due and will defend title to the propelty against
<br />any claims which would impair the lien of this deed of trust. Lender may require Borrower to assign any rights, claims or defenses which Borrower may have against
<br />parties 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 bene tit. All Insurance policies shall
<br />include a standard mOltgage 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, within Lender's discretion, to either the restoration or repair of the damaged propelty or to the secured debt. If Lender requires mortgage insurance, BOlTOwer
<br />agrees to maintain such insurance fbr as long as Lender requires.
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<br />4. Property. Borrower will keep the propelty 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 attorneys' fees, if Borrower breaks any covenants in this dced of trust or in any
<br />obligation secured by this deed of trust. Borrower will pay these amounts to Lender as provided in Covenant 9 of this deed of trust.
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<br />6. Prior Security luterests. Unless Borrower first obtains Lender's written contest, Borrower will not make or permit any changes to any prior security intercsts,
<br />Borrower will perform all of Borrower's obligations under any prior mortgage, deed of trust or other security agreement, including Borrower's covenants to makc paymcnts
<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, Lendcr's agent, or a court appointed receiver may take
<br />possession and manage the property and collect the rents. Any rents Lendcr collects shall be applied tlrst to the costs of managing the propelty, including COUlt costs and
<br />attorneys' fees, commissions to rental agents, and any other necessary related expenses. The remaining amount ofrents will thcn 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 pcrform, any of Borrower's duties under this deed of trust, Lender may perform the duties or
<br />cause them to be performed_ Lender may sign Borrower's name or pay any amount if necessary for performance. If any constmction on the propClty is discontinued or not
<br />carried on in a reasonable 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 perform will not preclude Lender from exercising any of its other rights under t1le law or this deed oftmst.
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<br />Any amounts paid by Lender to protect 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 nlte in effect on the secured debt.
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<br />10. Default and Acceleration. If Borrower fails to make any payment when due or breaks any covenants under this deed of trust or any obligation secured by this deed of
<br />tmst or any prior mortgage or deed of trust, Lender may accelentte the maturity of the secured debt and demand immediate 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 delimit and sale be 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 Trustee shall first record in the oHke of the register of deeds of each county wherein the tmst property or
<br />some part or parcel thereof is situated a notice of defhuIt containing the inlonnation required by law. The Trustee shall also mail copies of the 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 t1le Trustee records the notice of default,
<br />or two months if the tmst property is not in any incorporated city or village and is used in farming operations carried on by the trustor, the Trustee shall give public notice of
<br />sale to the persons and in the manner prescribed by applicable law_ Tmstee, without demand on Borrower, shall sell the property at public auction to the highest bidder. If
<br />required by the Farm Homestead Protection Act, Tlustee shallo/fer the property in two separate sales as required by applicable law. Tmstee may postpone sale of all or any
<br />parcel of the property by public alillouncement 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 recitials contained in Trustee's deed shall be
<br />prima facie evidience of the tmth 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 fees 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 oftmst may be foreclosed in the manner provided by applicable law for foreclosure of mortgages on real propelty.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice betorehand_ The notice must state the reasonable cause tor Lender's
<br />inspection.
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<br />15. 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 "pplied as provided in Covenant I. This assignment is subject to the terms of any prior security agreement.
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<br />16. Waiver. By exercising any remedy availahle to Lender, Lender does not give up any rights to later use any other remedy, By not eXCl-cising any remedy upon
<br />Borrower's default, Lender does not waive any right to later consider the event a delimit 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 several. 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 under the terms
<br />of this deed oftmst. In addition, such a Bonuwer agrees that the Lender and any other Borrower under this deed oftmst may extend, modify or make any other 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 deed oftmst.
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<br />The duties and benefits of this deed of trust shall bind and benetlt the successors and assigns of Lender and Borl'Ower.
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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 BOlTower 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 Borl'Ower or Lender when given in the manner stated above.
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<br />19. Transfer of the Property or a Beneficial Interest 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 wlitten 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 trans felTed. However, Lender may not demand payment in the above situations if it is prohibited by federal law as of the date
<br />of this 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 advance~ under the instruments or
<br />agreements secured by this deed of trust, the Tmstee shall, upon written request by the Lender, reconvey the trust property_ The Lender sball dehver to the BOl1\)wer, 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 eosts_
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<br />21. Successor Trustee. Lender, at Lender's option, may remove Trustee and appoint a successor tmstee by first, mailing a copy of the substitution of trustee as required
<br />by applicable law, and then, by f1ling the substitution of trustee for record in the office of the register of deeds of ~ach count~ in whi~h the trust propel1y, or s~me part
<br />thereof, is situated_ The successor trustee, without conveyance ofthe property, shall succeed to all the power, dutms, authonty and tItle ofthe Trustee named 111 the deed of
<br />trust and of any successor tmstee.
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