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<br />COVENANTS
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<br />200803413
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<br />1. Payments. Borrowcr agrees tu make all payments on the secured debt when duc. Unless Borrower and Lender agree otherwise, any paymcnts Lender receives from
<br />Borrower or for Borrowcr's benefit will be applied first to any amounts Burrower owcs 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 nut 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 trust. Lender may require Borrower to assign any rights, claims or defenses which Borrower may have against
<br />parties whu 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 Borrower's expense and for Lender's benefit. All Insurance policies shall
<br />include a standard mortgage clause in favor of Lender. Lender will be named as loss payee or as the insured on any such insurance policy. Any insumnce proceeds may be
<br />applied, within Lender's discretion, to either the restomtiun or repair of the damaged property or to the secured debt. If Lender requires mortgage insumncc, Borrower
<br />agrees to maintain such insumnce for as lung as Lender requires.
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<br />4. Property. Bonuwer will keep the property in good condition and make all repairs reasonably necessary.
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<br />5. Expenses. Borrower agrees to pay all Lender's expenses, including reasonable atturneys' tees, if Borruwer breaks any covenants in this deed of trust or in any
<br />obligation secured by this deed of trust. Borrower will pay these amounts to Lender as provided in Covenant 9 of this deed of trust.
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<br />6. Prior Security Interests. Unless Borrower first 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 murtgage, deed oftrust 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. Borrower assigns to Lender the rents and profits of the property. Unless Borrower and Lender have agreed otherwise in writing.
<br />Borrowcr 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 managc the property and collect the rents. Any rents Lender cullects shall be applied first to the costs of managing the property, including court costs and
<br />attorneys' tees, commissions to rental agents, and any other necessary related expenses. The remaining amount of rents will then apply to paymcnts on the secured debt as
<br />provided in Covenant I.
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<br />8. Leaseholds; Condominiums; Planned Unit Developments. Burrower agrees to comply with the provisions ufany lease if this deed of trust is on leasehold. If this
<br />deed oftrust is on a unit in a condominium or a planned unit development, Borrower will perform all of Borrower's dutics under the covenants, by laws, or regulations of
<br />the condominium or planncd unit development.
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<br />9. Authority of Lender to Perform for Borrower. If Borrower fails to perfornl, 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 construction on the property is discuntinued 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 cunstruction.
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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 Lcnder's security intcrest will be secured by this deed oftrus!. Such amounts will bc due on demmld mid will bear interest from the
<br />date of the payment until paid in full at the interest rate in eftect on the secured debt.
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<br />10. Default and Acceleration. If Burrower fails to make mly paymcnt when due or breaks any covenants under this deed of trust or any obligation secured by this deed of
<br />trust or any plior mortgage ur deed of trust, Lender may accclemte the maturity of the secured debt and demand immediate payment and may invoke the power of sale and
<br />any otherremedies pennitted by applicable law.
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<br />11. Request for Notice of Default. It is hereby requested that copies of the nutices of default and sale be sent to each person who is a party hereto, at the address of each
<br />such person, as sct forth herein.
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<br />12. Power of Sale. If the Lender invokes the power of sale, the Trustee shalll1rst record in the u1TIce of the register of deeds of each county wherein the trust property or
<br />some part or parcel thereof is situated a notice of default containing the informatiun required by law. The Trustee shall also mail copies uf the notice of default to the
<br />Bormwer, to each person who is a party hereto, and tu other persons as prescribed by applicable law. Not less than one month aller the Trustee records thc notice uf default,
<br />or twu months if the trust property is not in any incorporated city or village and is used in farming opemlions camed on by the trustur, the Trustee shall give public nutice of
<br />sale to the persons and in the manner prescribed by applicable law. Trustee, wilhout demand on Borrower, shall sell the property at public auction tu the highest bidder. If
<br />required by the Farm Homestead Prolection Act, Trustce shall otler the property in two sepamte sales as required by applicable law. Trustee may postpune salc of all ur any
<br />pareel of the property by public alillouncement at the time and place of any previously scheduled sale. Lender or its designee may purchase the property at any salc.
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<br />Upun receipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the property. The recitials contained in Trustee's dced shall be
<br />prima facie evidience of the truth of the statements contained therein. Trustee shall apply the proceeds of the sale in the following order: (a) to all expenses of the sale,
<br />including, but not limited to, reasonable Trustee's fees, reasonable attorney's fees and reinstatement tees; (b) tu 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, this deed of trust may be foreclosed in thc mamler provided by applicable law for foreclusure of mortgages on real propetty.
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<br />14. Inspection. Lender may enter the property to inspect it if Lender gives Borrower notice beforehand. The notice must state the reasonable cause fur Lender's
<br />inspection.
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<br />15. Condemnation. Burrower assigns to Lender the proceeds of any award or claim for dmnages cOllilected with a condemnatiun or other taking of all or any palt of the
<br />property. Such proceeds will be applied as provided in Covenant I. This assigmnent is subject to the tenns of any prior security agreement.
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<br />16. Waiver. By exercising any remedy available to Lender, Lender does not give up any rights to later use any other remedy. By not exercising any retnedy upon
<br />Borrower's default, Lender does not waive any right to later consider tlle event a default if it happens again.
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<br />17. Joint and Several Liability; Co-signers; Successors and Assigns Bound. All duties under this deed of trust are joint and several. Any Borrower who cu-signs this
<br />deed of trust but does not co-sign the underlying debt instruments(s) does so only to grant mld convey that Borrower's interest in the property to the Trustee under the terms
<br />uf this deed uf trust. In addition, such a Borrower agrees that the Lender and any other Borrower under this deed of trust may extend, modify or make any other changes in
<br />the terms of this deed of trust or the secured debt without that Borrower's consent and without releasing that Borrower from the terms of this deed of trust.
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<br />The duties and benefits of this deed of trust shall bind and benefit the successors and assigns of Lender and Borrower.
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<br />18. Notice. Unless otherwise required by law, any notice to Bonuwer shall be given by delivering it or by mailing it by cettified mail addressed to Borrower at t~e
<br />pl"Operty address or any other address that Borruwer ha~ given to Lender. Borrower will give any notice to Lender by certified mail to Lender's addres~ un page I uf thIS
<br />deed of trust, ur to any otller address, which Lender has designated. Any other notice to Lender shall be sent to Lender's address as stated on page I of thIs deed oftrusl.
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<br />Any notice shall be deemed to have been given tu Borrower or Lender whcn givetl in the manner stated above.
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<br />19. Transfer of the Property or a Beneficial Interest in tlte Borrower. If all or any part of the property or mlY interest in it is sold or transfcrred without the Lender's
<br />prior written consent, Lender may demand immediate payment of the secured debt. Lender may also demand immedi~te p~ym~n~ i~ the B?~wer is not a natuml persun and
<br />a beneficial interest in the Borrower is sold or tmnsferred. However, Lender may not demand payment in the above Sltuatluns If It IS prohIbIted by fedemllaw as of the date
<br />of this deed oftrust.
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<br />20. Reconveyance. When the obligatiun sccured by this deed of trust has been paid, and Lender has no further obligatiun to make advmlce~ under the instruments ur
<br />agreements secured by tllis dced oftrust, the Trustee shall, upon written request by thc Lender, reconvey the trust property. The Lender sh~1I dehver to the Borrower, or to
<br />Borrower's successor in interest, the trust deed and the note or other evidence of the obligation so satisfied. Borrower shall pay any recordatIOn costs.
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<br />21. Successor Trustee. Lender, at Lender's option, may remuve Trustee and appuint a successor trustee by fi~t, mailing a ~opy ?fthe substitution oftruslee as required
<br />by applicable law, and tllen, by tiling the substitution of trustee for record in the o1TIce uf the register of deeds ot ~ach cuunty III whl~h th~ trust pl"Operty, or S~lIIe part
<br />thereof, is situated. The successor trustee, without conveyance of the property, shall succeed to all the power, duties, authonty and title of the Trustee named 111 the deed of
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<br />trust and of any successor trustee.
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