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<br />COVENANTS
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<br />200801562
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<br />1. Payments. 130nuwer agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any payments Lender receives from
<br />Borrower or for Horrower's bcnel1t will be applied nrst 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 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 property when due and will defend title to the property against
<br />any claims which would impair the lien of this deed of tlUSt. 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 Horrower's expense and for Lender's benefit. All Insurance policies shall
<br />include a standard m01tgage clause in favor of Leoder. Lender will be named as loss payee or as the insured on any such insurance policy. Any insunmce 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 insurance, Borrower
<br />agrees to maintain such insurance for 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 necessaty.
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<br />5. Expenses. Borrower agrees to pay all Lender's expenses, including reasonable attorneys' fees, if Horrower breaks any covenants in this deed of trust or in any
<br />obligation securcd by this deed of tlUSt. Borrower will pay these amounts to Lender as provided in Covenant 9 ofthis deed of trust.
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<br />6. Prior Sccurity Interests. Unless Borrower nrst 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 under any prior mortgage, deed of trust or other security agreement, including Borrower's covenants to make payments
<br />when due.
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<br />7. Assignment of Rents and Profits. BO!Tower assigns to Lender the rents and profits of the pmpclty. Unlcss Borrower and Lendcr 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 pmpClty and collect the rents. Any rents Lender collects shall 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 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. Bonuwer 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 Pcrform for Borrowcr. If Borrower fails to perronn, 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 consltuction on the propelty 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 the law or this deed of trust.
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<br />Any amounts paid by Lender to protect Lender's security interest will be secured by this deed of trust. 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 elTeel on the secured debt.
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<br />10. Default and Acceleration. If BOlTower fails to make any payment when due or breaks any covenants under this deed oftnlst or any obligation securcd by this deed of
<br />trust or any prior mortgage or deed of tlust, Lender may accelerate the maturity of the secured debt and demand immediate payment and may invoke the power of sale and
<br />any other remedies permitted by applicable law.
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<br />11. Relluest for Notice of Default. It is hereby requested that copies of the notices of default and sale be scnt to each person who is a party hereto, at the address of each
<br />such person, as set f01th herein.
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<br />12. Power of Sale. If tbe Lender invokes the power of sale, the Trustee shall first record in the office of the register of deeds of each county whcrein the trust propelty 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 thc noticc of default to the
<br />Borrower, to each person who is a palty herdo, and to other persons as prescribed by applicable law. Not less than one month aIleI' the Trustee records the noticc of dcfault,
<br />or two months if the trust property is not in any inCOlporated city or village and is used in fanning 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. Trustec, without demand on BO!Tower, shall sell the propetty at public auction to the highest bidder. If
<br />required by the Fal1n Homestead Proteelion 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 announcement at the time and place of any previously scheduled sale. Lendcr 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 rccitials contained in Trustee's deed shall be
<br />prima facie evidience of the truth of the statements contained thcrein. Tmstee shall apply the proceeds of the sale in the following order: (a) to all expcnses 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, Ulis deed oftmst may be foreclosed in the manner provided by applicable law for foreclosure of mOltgages on re<1l property.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Horrower notice beforehand. The notice must state the reasonable cause for Lendcr'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 procceds will be applied us providcd in Covenant 1. This assignment is subject to the terms of any prior security agreement.
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<br />16. Waiver. By exereising any remedy available to Lender, Lender does not give up any rights to later use any other remedy. Hy not exercising any rcmedy upon
<br />Horrower's default, Lender does not waive any right to later consider the event a default if it happens ugain.
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<br />17. Joint and Several Liability; Co-signers; Successors and Assigns Bound. All duties under this decd of trust are joint and several. Any Bonuwcr who co-signs this
<br />deed of tmst but does not co-sign the underlying debt instruments(s) does so only to grant and convey that \3orrower's interest in the property to the Trustee under the terms
<br />of this deed of trust. In addition, such a BOll'ower agrees that the Lendcr and any other Borrower under this deed of trust may extend, modify or make any other changes in
<br />the teffilS ofthis deed of trust or the secured debt wiUlOut that Borrower's consent and without releasing that Borrower from the terms of this deed oftmst.
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<br />Thc duties and benelits of this dccd of trust shall bind and benefit the sucecssors and assigns of Lender and Borrower.
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<br />18. Notice. Unless othelwise required by law, any notice to Borrower shall be givcn by delivering it or by mailing it by eertitied mail addressed to BOI1'Ower a~ the
<br />property address or any other address (hat Horrower has given to Lender. Borrower will give any notice to Lender by certified mail to Lender's addres~ on page, I 01 thiS
<br />deed of trust, or to any other address, which Lemler has dcsignated. Any other notice to Lender shall be sent to Lender's address as stated on page I oftlus deed ot trust.
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<br />Any notice shall be deemed to have been given to Bon'ower or Lender when given in the manner stated above.
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<br />19. Transfer of the Property or a Benefieiallntcrest in the Borrower. If all or any part of the property.or any.interest in it ~s sold or transf~rred without the Lender's
<br />prior written consent, Lendcr may demand immediate payment of the secured debt. Lender may also de~nand nnmedl~te p~ym~nt I~the B~lITower IS not a natural person ~nd
<br />a benelicial interest in the Bonuwer is sold or transfclTed. However, Lender may not demand paymcnt 111 the above sltualtons 11'11 IS prolllblled 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 fin1her obligation to make advance~ under the instnnuents or
<br />agrecments secured by this deed of trust, the Trustee shall, upon written request by the Lender, reconvcy the trust p1'Opelty. The Lender shall dehver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence ofthe obligation so satislled. Borrower shall pay any recordahon costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may remove Trustee and appoint a successor trustee by first, mailing a copy of the substitution of trustee as required
<br />by applicable law, and then, by filing the substitutioll of trustee for record in the ofTIee of the register of deeds of ~ach count~ in which the tIust property, or s~me patt ,
<br />thereot; is situated. The sueecssor trustee, without conveyance of the propelty, shall succeed to all the power, duties, authol1ty and htle of the Tlustee named 111 thc deed 01
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<br />trust and of any successor trustee.
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