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85- 002232
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<br />to Lender's interest in the Property.
<br />9. Cooderawallon. The proceeds of any award or claim for damages, direct or consequential, in connection with
<br />any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are
<br />hereby assigned and shall be paid to Lender, subject to the terms of any mortgage, deed of trust or other security
<br />agreement with a lien which has priority over this Mortgage.
<br />e 10. Borrower Not Released; Forbearance By lender Not a Waiver. Extension of the time for payment or
<br />modification of amortization of the sums secured by this Mortgage granted by Lender to any successor in interest of
<br />Borrower and all other parties who are or thereafter become secondarily liable shall not operate to release, in any
<br />s manner, the liability of the original Borrower and Borrower's successors in interest. Lender shall not be required to
<br />commence proceedings against such successor or refuse to extend time for payment or otherwise modify amortization of
<br />the sums secured by this Mortgage by reason of any demand made by the original Borrower and Borrower's successors in
<br />interest. Any forbearance by Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable
<br />law, shall not be a waiver of or preclude the exercise of any such right or remedy.
<br />11. Successors and Assigns Bound; Joint and Several Liability; Co- signers. The covenants and agreements herein
<br />contained shall bind, and the rights hereunder shall inure to, the respective successors and assigns of Lender and
<br />Borrower, subject to the provisions of paragraph 16 hereof. All covenants and agreements of Borrower shall be joint and
<br />several. Any Borrower who co -signs this Mortgage, but does not execute the Note, (a) is co- signing this Mortgage only to
<br />mortgage, grant and convey that Borrower's interest in the Property to Lender under the terms of this Mortgage, (b) is
<br />not personally liable on the Note or under this Mortgage, acrd (c) agrees that Lender and any other Borrower hereunder
<br />may agree to extend, modify, forbear, or make any other accommodations with regard to the terms of this Mortgage or
<br />the Nora without that Borrower's consent and without releasing that Borrower or modifying this Mortgage as to that
<br />Borrower's interest in the Property.
<br />12. Notice. Except for any notice required under applicable law to be given in another manner, (a) any notice to
<br />Borrower provided for in this Mortgage shall be given by delivering it or by mailing such notice by certified mail
<br />addressed to Borrower at the Property Address or at such other address as Borrower may designate by notice to Lender
<br />as provided herein, and (b) any notice to Lender shall be given by certified mail to Lender's address stated herein or to
<br />such other address as Lender may designate by notice to Borrower as provided herein. Any notice provided for in this
<br />Mortgage shall be deemed to have been given to Borrower or Lender when given in the manner designated herein.
<br />13. Governing Law; Severability. The stare and local laws of the jurisdiction in which the Property is located shall
<br />apply except where such laws conflict with Federal law; in winch case, Federal taw applies. In the event that any
<br />provision or clause of this Mortgage or the Note conflicts with applicable law, such Conflict shall not affect other
<br />provisions of this Mortgage dr the Note which can be given effect without the conflicting provision, and to this end the
<br />provisions of this Mortgage and the Note are declared to be severable. As used herein, "costs ", "expenses" and
<br />"attorneys' fees" include all sums ill the extent not prohibited by applicable law or limited herein.
<br />14. Borrower's Copy. Borrower shall be furnished a conformed copy of the Note and of this Mortgage, if requested
<br />at the time of execution or after recordation hereof.
<br />15. Rebabditalion Loan Agreement. Borrower shall fulfill all of Borrower's obligations under any home
<br />rehabilitation, improvement, repair or other loan agreement which Borrower enters into with Lender. Lender, at
<br />Lender's option, may require Borrower to execute and deliver to Lender, in a form acceptable to Lender, an assignment
<br />of any rights, claims or defenses which Borrower may have against parties who supply labor, materials or services in
<br />connection with improvements made to the Property.
<br />16. Transfer of the Property. If Borrower sells or transfers Al or any part of the Property or an interest therein,
<br />excluding (a) the creation of a lien or encumbrance subordinate to this Mortgage, (b) a transfer by devise, descent, or by
<br />operation of law upon the death of a joint tenant, (c) the grant of any leasehold interest of three years or less not
<br />containing an option it, purchase, (d) the creation of a purchase money security interest for household appliances, (e) a
<br />transfer to a relative resulting from the death of a Borrower, 01a transfer where the spouse or children of the Borrower
<br />tmome an owner of the property, (g) a transfer resulting from a decree of dissolution of marriage, legal separation
<br />agreement, or from an incidental property settlement agreement, by which the spouse of the Borrower becomes an owner
<br />of the property, (hl a transfer into an inter vivos trust in which the Borrower is and remains a beneficiary and which does
<br />not relate to a transfer of rights of occupancy in the property, or (i) any other transfer or disposition described in
<br />regulations prescribed by the Federal Horne Loan Bank Board, Borrower shall cause to he submitted information
<br />required by Lender to evaluate the transferee as if a new loan were being made to the transferee. Borrower will continue
<br />to '" obligated tinder the Note and this Mortgage unless Lender releases Borrower in writing.
<br />If Lender does not agree to such sale or transfer, Lender may declare all of the sums secured by this Mortgage to he
<br />immediately due and payable. If Lender exercises such option to accelerate, Lender shall mail Borrower notice of
<br />acceleration in accordance with paragraph 12 hereof. Such notice shall provide a period of not less than 30 days from the
<br />date the notice is mailed or delivered within which Borrower may pay the sums declared due. if Borrower fails lo pay
<br />such sums prior to the expiration of such period, Lender may, without further notice or demand on Borrower, invokc
<br />any remedies permitted by paragraph 17 hereof.
<br />NON- UNIFORM COVENANTS. Borrower and I.endcr further covenant and agree as follows;
<br />17. Acceferatiott; Remedies. Eseepl as provided In paragraph Ib hereof, or as otherwise required by law, upon
<br />Borrower's breach of any covenant or altreemeal of Borrower in this Mortgage, including Ike covenants to pay by the
<br />end of 10 calendar days after they are due, any turns secured by this Mortgage. Lender prior to acceleration -.hail Rive
<br />notice to Borrower as prescribed by applicable law tpeeifying: cal the breach: (2) the action required to care such breach;
<br />(3) a dew. not less than 20 days from Ike dale Ike notice is mailed In Borrower, by which such breach most be cured; and
<br />(4) that faNOre to core Bach breach on or before the date specified In the notice may result in acceleration of the sums
<br />ste7N A by this Morlaage, foreclosure by judicial proetedlnR, and Male of the Properly. Th , notice shall furtk0r inform
<br />Botrown of 11te right lu reinstate after aectleralion and the right to assert in the foreclosure prtrreedinR the nonexistence
<br />of a defmm of any ether defense of Borrower to seceleratlon mad foreclosure. If the breach is not cured on or before the
<br />date specified in tbt notce, Leader, sl Lender's option, may declare all of the tams secured by this Mortgage to be
<br />twrlll*"Wy due tteN payabk without further demand mod may foreclose this Mortgage by judicial proceeding. Lender
<br />sbalf be twwisied to refle0t in such proceeding all eepeeres Of foreclosure, including. bar "oil limited to, reasonable
<br />eriorrs° 0`0+40, sod costs of documentary evidence, abstracts and title reports.
<br />I/. Bofrowef't Right to Reinstate. N,riwithttanding Lender's accelerarion ,10` the sunls scoured by ihts , Mortgage (file
<br />to Birrro —cv'e hrcach, Porrower shall have the right ill have any ploc eedinira her.mi I's I ender to cnlolkv this k1ortaage
<br />440c rnimteed at any time prnt,(r to entry i?t a tudg,menr enfon•itir ibis 'vlotigagc^ it tai Ilorn,wer pal, I ender Al sums
<br />which l000id tee theta dun under ilea Mortgage and tike N,rie had nn d<ccierMW!,'a,ur + ed, ih) 11,11 n,wr, cures all bicaches
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