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<br />200802749
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<br />As a r~su1t of these agreements, Lend~r, any purchaser of the Note, anoth~r insurer, any r~insllT~r,
<br />any other ~ntity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that
<br />deriv~ from (or might b~ eharaeteriz~d as) a portion of Borrower's payments for Mortgag~ Insuranc~, in
<br />~xdlUng~ for sharing or modifying the mortgag~ insurer's risk, or r~d\lcing losses. If such agr~ement
<br />provides that an atliliate of Lender takes a share of the insurer's risk in exchange for a share of the
<br />premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
<br />Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
<br />Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Borrower has ~ if any - with respect to the
<br />Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights
<br />may include the right to receive certain disclosures, to request and obtain cancellation of the
<br />Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a
<br />refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or
<br />termination.
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<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby
<br />assigned to and shall be paid to Lender.
<br />If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or r~pair of
<br />the Property, if the rcstoration or repair is economically fcasible and Lend~r's security is not lessened.
<br />During such repair and rcstoration period, Lender shall have the right to hold such Miscellaneous Proceeds
<br />until Lender has had an opportunity to inspect such Property to ensure the work has been completcd to
<br />Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the
<br />r~pairs and restoration in a single disbursement or in a series of progress paym~nts as the work is
<br />completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such
<br />Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such
<br />MiseellmlCous Proceeds. if the r~storation or r~pair is not ~eonomically feasible or Lender's security would
<br />be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument,
<br />whcther or not then du~, with th~ exc~ss, if any, paid to Borrower. Such Miscellaneous Proceeds shall b~
<br />appli~d in the ord~r provided for in Section 2.
<br />In th~ ~v~nt of a total taking, destruction, or loss in value of the Property, th~ Misc~llaneous
<br />Proee~ds shall be appli~d to the sums secured by this Security Instrument, whether or not then due, with
<br />the ~xe~ss, if any, paid to Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market
<br />value of the Property imm~diatdy befor~ th~ partial taking, destruction, or loss in valu~ is ~q\lal to or
<br />greater than th~ amount of the sums secured by this Security Instrument immediatdy before the partial
<br />taking, destruction, or loss in value, unless Borrower and Lender otherwise agr~~ in writing, the sums
<br />secur~d by this S~eurity Instrument shall be reduced by the amount of th~ Miscdlaneous Proceeds
<br />multiplied by the following fraction: (a) the total amount of the sums secured immediately before the
<br />partial taking, destruction, or loss in valu~ divid~d by (b) the fair market value of th~ Prop~rty
<br />immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower.
<br />In th~ ~v~nt of a partial taking, destruction, or loss in value of the Prop~rty in whIch the fair market
<br />value of the Property immediately before the partial taking, d~struction, or loss in value is less than the
<br />amount of the sums secured immediately before the partial taking, destruction, or loss in value, unless
<br />Borrower and Lend~r oth~rwis~ agree in writing, the Miscellaneous Proceeds shall b~ applied to the sums
<br />seeur~d by this S~curity Instrument whether or not the sums arc then due.
<br />If the Property is abandoned by Borrow~r, or if, after notice by Lender to Borrower that the
<br />Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for damages,
<br />Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized
<br />to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the
<br />sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party
<br />that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in
<br />rcgm'd to Miscellaneous Proceeds.
<br />Borrower shall be in default if any action or proceeding, whether civil or criminal,is begun that, in
<br />Lender's judgment, could r~S\l1t in forfeiture of the Property or other material impairment of Lender's
<br />inter cst in thc Property or rights under this Security instrument. Borrower can cure such a default and, if
<br />acceleration has occurred, reinstate as provided in Section 19,)?:.. e.~'m~ '" p,ococding to be
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<br />2002066148 flt/tlni,i.l" 2002066148
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