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<br />20070928&
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<br />comply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold ,Uld the fee
<br />title shall not merge mlless Lender ab'Tees to the merger in writing.
<br />
<br />Protection of Lender's Rights in the Property. If Borrower fails to perform the covenants and agreements
<br />contained in this Security Instrument, or there is a legal proceeding that may significantly affect Lender's rights in
<br />the Property (such as a proceeding in bankmptcy, probate, for condemnation or forfeiture or to enforce laws or
<br />reb'1llations), then Lender may do and pay lor whatever is necessary to protect the value of the Property and
<br />Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien whieh has priority
<br />oV(''I" this Security Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to
<br />make repairs. Although Lender may take action under tillS section, Lender does not have to do so.
<br />
<br />Any amOlUlts disbursed by Lender WIder this section shall become additional debt of Borrower secured by this
<br />Security Instmment. Unless Borrow(,'I" and Lender agree to otht-'f terms of payment, these amounts shall bear
<br />interest from the date of disbursement at the Note rate and shall be payable, with ink 'fest, upon notice from L(,'Ilck'f
<br />to Borrower requesting payment.
<br />
<br />Mortgage Insurance. If Lender required mortgage insurance as a condition of making the loan secured by this
<br />Security Instmment, Borrower shall pay the premiums required to maintain the mortgage insurance in effect. Jf, for
<br />any reason, the mortgage inSUTiUlCe coverage required by Lender lapses or ceases to be in effect, Borrower shall
<br />pay the premiums required to obtain COVL'fage substantially equivalent to the mortgage insurance previously in
<br />effect, at a cost substantially equivalent to the cost to Borrower of the mortgage insurance previously in effect,
<br />from an alternate mortgage insurer approved by Lender. Ifsubst<Ultially equivalent mortgage insurance coverage is
<br />not available, Borrower shall pay to Lender each montil a sum equal to one-twelfth of the yearly mortgage
<br />insurance premium being paid by Borrow(,'I" Wh(,'ll the insurance cov(''I"age lapsed or ceased to be in elTect. Lender
<br />will accept, use and retain these payments as a loss reserve in lieu of mortgage insurance. Loss reserve payments
<br />may no longer be required, at tlle option of Lendt-'f, if mortgage insurance COVL'fage (in the amount and lor the
<br />period tilat Lender requires) provided by an insurer approved by Lenck'f again becomes available and is obtained.
<br />Borrower shall pay the premiums rcquired to maintain mortgage insurance in effect, or to provide a loss reserve,
<br />until the requirement for mortgage insurance ends in accordance with any written agreement between Borrower
<br />,Uld Lender or Applicable Law.
<br />
<br />Inspection. Lender or its agent may make reasonable entries upon and inspections of the Property. Lender shall
<br />give Borrower notice at the time of or prior to an inspection specifying reasonable cause for the inspection.
<br />
<br />Condemnation. The proceeds of any award or claim f()r damages, direct or consequ('11tial, in connection with any
<br />condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby
<br />assib'11ed and shall be paid to Lender.
<br />
<br />In the event of a total taking of tile Property, the proceeds shall be applied to the sums secured by this Security
<br />Instrument, whether or not then due, with any excess paid to Borrower. In the event of a partial taking of the
<br />Property in which the fair market value of the Property immediately before the taking is equal to or b'1'eater than
<br />the amount of the sums secured by this Security Instrument shall be reduced by the amount of the proceeds
<br />multiplied by the following fraction: (a) the total amount of the sums secured immediately belore the taking,
<br />divided by (b) the filir market value of the Property immediately before the taking. Any balance shall be paid to
<br />Borrower. In the event of a partial taking of the Property in which the nlir market value of the Property
<br />immediately belore the taking is less than the amount of the sums secured immediately before the taking, unless
<br />Borrowt-'I" and Lmder otherwise agree in writing or unless Applicable Law otherwise provides, the proceeds shall
<br />be applied to the sums secured by tillS Security Instrument whether or not tile sums are then due.
<br />
<br />Uthe Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the condemnor otTers to
<br />make an award or settle a claim for damages, Borrower !ilils to respond to Lender within the minimum number of
<br />days established by Applicable Law after the date the notice is given, Lender is authorized to collect and apply the
<br />proceeds, at its option, eitiler to restoration or repair of the Property or to the sums secured by this Security
<br />Instmment, whether or not then due.
<br />
<br />() 2004-2007 Copyright. COTIlpli::Ulc~ Systrn:ns,lnc. 8C9C-F92A. 2007.01.201
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