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<br />COVENANTS
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<br />200807492
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<br />1. Payments. Borrower agrees to make all payments on the secured debt when due. Unless Borrower and Lender agree otherwise, any payments Lender receivcs from
<br />Borrower or for Borrower's benefit will be applied first to any amounts Borrower owes on the secured debt exclusive of interest or principal, second to interest, and then to
<br />principal. If paltial prcpayment of the secured debt occurs for any reason, it will not reduce or excuse any scheduled payment until the securcd dcbt is paid in full.
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<br />2. Claims Against Title. Borrower will pay all taxes, asscssments, and other charges attributable to the property when due and will defend title to the propClty against
<br />any claims which would impair the lien of tlus deed of trust. Lender may require Borrower to assign any rights, claims or defenses which BOlluwer may have against
<br />parties who supply labor or materials to improve or maintain the property.
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<br />3. Insnrance. 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 mOltgage clause in favor of Lender. Lender will bc named as loss payee or as the insured on any such insurance policy. Any insuranec proceeds may be
<br />applied, within Lender's discretion, to either thc restoration or repair of the damaged property or to the secured debt. If Lender reqnires 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 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 attorneys' fees, if Borrower 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 pcrform 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 duc.
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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 />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 property and collect the rents. Any rents Lender collects shall be applied first to the costs of managing the property, including comt costs and
<br />attorneys' fees, commissions to rental agents, and any other necessary related expenses. TIle remaining amount of rents will then apply to payments on thc sccured debt as
<br />provided in Covenant!.
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<br />8. Leaseholds; Condominiums; Planned Unit Developments. Borrower 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 plalUled unit development.
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<br />9. Authority of Lender to Perform for Borrower. If Borrower tails to pertonn, 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 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 otlIer 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 ofuust. 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 effect on the secured debt.
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<br />10. Default and Acceleration. If Borrower tails to make any payment when due or breaks any covenants under this deed of trust or any obligation secured by this deed of
<br />trust or any prior mortgage or deed of trust, 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 pennitled by applicable law,
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<br />11. Request for Notice of Default. It is hereby requested that copies of the notices of dcfault and sale be sent to each person who is a party hereto, at the address of each
<br />such person, as set forth herein.
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<br />12. Power of Sale. If the Lender invokes thc power of sale, the Trustee shall first record in the otlice 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 inforntation required by law. Th.e Trustee shall also mail copies of the notice of default to-the
<br />Borrower, to each person who is a party hereto, and to other persons as prescribed by applicable law. Not less than one month after the Trustee records the notice of default,
<br />or two months if the trust property is not in any incorporated city or village and is used in farming operations carried on by the trustor, the Trustee shall give public noticc of
<br />sale to the persons and in the lOamIer prescribed by applicable Jaw. Trustee, without dCllland on Borrower, shall sell the property at public auction to the highest bidder. If
<br />required by the Farm Homestead Protection 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. Lender or its designee may purchase the property at any sale.
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<br />Upon rcccipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the property. The recitials contained in Trustee's deed 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 tees and reinstatement fees; (b) to all sums secured by this deed oflrust, 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 the manner provided by applicable law for foreclosure of mortgages on real propelty.
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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 for Lender's
<br />inspection.
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<br />15. Condemnation. Borrower assigns to Lender the proceeds of any award or claim for dalnages connected with a condellUlation or other taking of all or any part of the
<br />property. Such proceeds will be applied as provided in Covenant 1. This assignment 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 remedy upon
<br />Borrower's default, Lender does not waive any right to later consider the 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 co-signs this
<br />deed of trust but docs not co-sign the underlying debt instruments(s) does so only to grant and convey that Borrower's interest in the property to the Trustee under the terms
<br />of this deed of trust. In addition, such a Borrower agrees that the Lender and any other Borrower under this deed of trust lnay 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 ofthis deed of trust.
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<br />The duties and benefits ofthis 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 dclivcring it or by mailing it by certified mail addressed to Borrower at the
<br />property address or any other address that Borrower has given to Lender. Borrower will give any notice to Lender by certified mail to Lendcr's address on page 1 of this
<br />deed of trust, or to any other 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 of trust.
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<br />Any notice shall be decmed to have been given to Borrower or Lender when given in the manner stated above.
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<br />19. Transfer of the Property or a Beneficial Interest in the Borrower. If all or any part of the property or any interest in it is sold or transferred without the Lender's
<br />prior written consent, Lender may demand immediate payment of the secured debt. Lender may also d~and illunedi~te p~ym~n~ i~the B?~owcr is not a natural pe,rson and
<br />a bencficial interest in the Borrower is sold or transfelTed. However, Lender may not demand payment 111 the above SItuatIOns If It IS prolublted by fedcrallaw as 01 the date
<br />of this deed oftrust.
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<br />20. Reconveyance. When the obligation secured by this deed of trust has been paid, and Lender has no further obligation to make advance~ under the instruments or
<br />agreements secured by this deed of trust, the Trustee shall, upon written requcst by tlle Lender, reconvey the trust property. The Lender sh~1I dehver to the BOlTower, 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 remove Trustee and appoint a successor trustee by first, mailing a copy of the substitution oftrustce as required
<br />by applicable law, and then, by filing the substitution of trustee forrecord in the office ofthc register of deeds of ~ach county in whi~h the trust property, or S~11le part
<br />thereof, is situatcd. The successor tmstee, without conveyance of the property, shall succeed to all the power, duties, authonty and title of the Trustee named 111 the deed of
<br />trust and of any successor trustee.
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