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<br />14. DEFAULT. Trustor will be in default if any party obligated on the Secured Debt fails to make payment wben dUe. Trustor
<br />will be in default if a breacb occurs under tbe terms of this Security Instrument or any other docwllelll executed for the
<br />purpose of creating, securing or guarantying the Secured Debt. A good faith belief by Beneficiary that Beneficiary at any
<br />time is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or
<br />the value of the Property is impaired shall also constitute an event of default.
<br />15. REMEDIES ON DEFAULT. In some instances, federal and state law will require Beneficiary to provide Trustor with
<br />notice of the right to cure or other notices and may establish time schedules for foreclosure actions. Subject to these
<br />limitations, if any, Beneficiary may accelerate the Secured Debt and foreclose this Security Instrwnent in a manner
<br />providcd by law if Trustor is in dcfault.
<br />At the option of Bcncficiary, all or any part of tile agreed fees and cllarges, accrued interest and principal shall becomc
<br />immediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime
<br />thereafter. In addition, Beneficiary shall be entitled to all the remedies provided by law, the terms of tile Secured Debt,
<br />this Security Instrument and any related documents, including without limitation, the power to sell the Property.
<br />If therc is a dcfault, Trustce shall, in addition to any ollier permiued remedy, at the request of the Beneficiary, advertise
<br />and sell the Property as a whole or in separate parcels at public auction to the highest bidder for cash and convey absolute
<br />-title frccand clearoLaUdgbtrtitleandinterest of Trustor at such time and place as Trusteedesignate!L Trustee shall give
<br />notice of sale induding the time, terms and place of sale and a description of the propcrty to be sold as rcquircd by the
<br />applicable law in effect at the time of the proposcd salc.
<br />Upon salc of the Property and to thc cxtcnt not prohibited by law, Trustee shall make and deliver a deed to the Property
<br />sold which convcys absolutc titlc to thc purchaser, and after first paying all fees, charges and costs, shall pay to
<br />Bencficiary all moneys advanced for repairs, taxes, insurance, liens, assessmellts and prior encwllbrances and illterest
<br />thercon, and the principal and interest on the Secured Debt, paying the surplus, if any, to Trustor. Beneficiary may
<br />purchase the Property. The recitals in any deed of conveyance shall be prima facie evidence of the facts set forth therein.
<br />All remedies are distinct, cUlllulative and not exclusive, and the Beneficiary is entitled to all remedies provided at law or
<br />equity, whcthcr or not cxprcssly sct forth. Thc acceptance by Beneficiary of any swn in paymcnt or partial paymcnt on thc
<br />Sccured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a
<br />waivcr of Beneficiary's right to require complete cure of any existing default. By not exercising any remedy on Trustor's
<br />default, Beneficiary does not waive Beneficiary's right to latcr considcr the cvcnt a default if it continues or happens again.
<br />16. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when
<br />prohibitcd by law, Trustor agrccs to pay all of Bcneficiary's expenses if Trustor breaches any covcnant in this Sccurity
<br />Instrumcnt. Trustor will also pay on demand any amount incurred by Beneficiary for insuring, inspccting, prcscrving or
<br />othcrwise protccting tbe Property and J3eneficiary's security interest. These expenses will bear interest froUl the datc of the
<br />payment until paid in full at the highest interest rate in effect as provided in the terms of the Secured Debt. Trustor agrees
<br />to pay all costs and expenses incurred by Bcneficiary in collecting, enforcing or protecting Beneficiary's rights and
<br />remedies under this Security Instrwnent. This amount may include, but is not. limited to, attorneys' fees, court costs, and
<br />other legal expenses. This Security Instrument shall remain in effect until released. Trustor agrees to pay for any
<br />recordation costs of such release.
<br />17. ENVffi.ONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (I) Enviromnental Law
<br />lneans, without IimitatioJ!, th_e ComprellensiveRnvi!Q!l~u~ntal Rel!P<mse,CQln!le.!lsat]9J!)1IMJ_LiaMitY__A<;L ((;EW:LA, 42_
<br />---tf~S.C:966Tet scq.), and all oilier federal; state and local laws, regulations, orditlances, court orders, attorncy general
<br />opinions or interpretive letters conccrning tbe public health, safety, welfare, enviromnent or a hazardous substance; and (2)
<br />Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or contaminalll which has
<br />cbaracteristics which render the substance dangerous or potentially dangerous to the public heaHh, safety, welfare or
<br />enviromllenl. The term includes, without limitation, any substances defined as "hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Environmental Law.
<br />Trustor represents, warrants and agrees that:
<br />A. Except as previously disclosed and acknowledged in writing to Bencficiary, no Hazardous Substance is or will be
<br />located, stored or releascd on or in thc Property. This restriction does not apply to small quantities of Hazardous
<br />Substances that are generally recognized to be appropriate for the normal use and maintenance of the Property.
<br />B. Except as previously disclosed and acknowledged in writing to Beneficiary, Trustor and every tenant have becn, arc,
<br />and shall remain in full compliance with any applicable Enviromnental Law.
<br />C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substance occurs on,
<br />undcr or about the Property or tberc is a violation of any Enviromnental Law conccrning thc Property. In such an
<br />event, Trustor shall take allneccssary rcmedial action in accordance with any Environmental Law.
<br />D. Trustor shall immediatcly notify Bcneficiary in writing as soon as Trustor has reason to helievc thcre is any pcnding
<br />or threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous
<br />Substance or the violation of any Enviromnental Law.
<br />18. CONDEMNATION. Trustor will give Beneficiary prompt notice of any pending or threatened action, by private or public
<br />elltities to purchase or take any or all of the Property through condemnation, eminent domain, or any other means. Trustor
<br />authorizes Beneficiary to intervene in Trustor's name in any of the above described actions or claims. Trustor assigns to
<br />Beneficiary the proceeds of any award or claim for damagcs connected with a condemnation or other taking of all or any
<br />part of the Property. Such proceeds shall be considered paymcnts and will be applied as provided in this Security
<br />Instrument. This assigmnent of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreemelll or
<br />other lien docwuent.
<br />19. INSURANCE. Trustor shall kccp Property insurcd against loss by fire, flood, theft and other hazards and risks reasonably
<br />associated with the Property due to its typc and location. This insurance sball bc maintained in the amounts and for the
<br />periods that Beneficiary requires. What Lcnder rcquires pursuant to thc prceeding sentcnce can changc during the tenn of
<br />tbe loan. The insurancc carrier providing the insurance shall be choscn by Trustor subject to Bcneficiary's approval, which
<br />shall not be unreasonably withheld. If Trustor fails to maintain tbe coverage described above, Bcneficiary may, at
<br />Beneficiary's option, obtain coverage to protect Beneficiary's rights in the Property according to the tcnus of this Sccurity
<br />I nst rumcnt.
<br />All insurancc policies and renewals shall be acceptable to Beneficiary and shall include a standard "mortgage clause" and,
<br />where applicable, "loss payee clause." Trustor shall immediatcly notify Bcncficiary of cancellation or termination of the
<br />insurance. Bencficiary shall have thc right to hold the policies and renewals. If Beneficiary requires, Trustor shall
<br />immediately give to Beneficiary all receipts of paid premiums and renewal notices. Upon loss, Trustor shall give
<br />immediate notice to the insurance carrier and Beneficiary. Beneficiary may make proof of loss if not made illlmcdiately hy
<br />Trustor.
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<br />E5<['5E~ @1994 Bankers System.. Ino.. St. Cloud. MN Fo,m RE-DT-NE 1/30/2002
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