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<br />200808457
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<br />As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer,
<br />any other t:ntity, or any affiliate of any of the foregoing, may receive (directly Of indirectly) amounts that
<br />derive from (or might be characterized as) a portion of 13orrower' s payments for Mortgage insurance, in
<br />exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement
<br />provides that an atfiliate of I,ender 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 />Mort~a~e Insurance, or any other terms of the Loan. Such a~reements 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 Mort~a~e 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.
<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 repair of
<br />the Property, if the restoration or rt:pair is economically feasible and Lender's security is not lessened.
<br />During such repair and restoration period, I,cnder shall have the right to hold such Misccllanl.'Ous Proceeds
<br />until Lender has had an opportunity to inspect such Property to ensure the work has been completed to
<br />Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay for the
<br />repairs and restoration in a single disbursement or in a series of progress payments 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 rt:quired to pay Borrower any interest or earnings on such
<br />Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lcndcr' 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 due, with the excess, if any, paid to Borrower. SUl.:h Misl.:ellaneous Proceeds shall be
<br />applied in the order provided for in Section 2.
<br />[n the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous
<br />Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with
<br />the excess, if any, paid to Borrower.
<br />[n the event of a partial taking, destruction, or loss in value of the Propcrty in which the fair market
<br />value of the Property immediately before the partial taking, destrul.:tion, or loss in value is equal to or
<br />greater than the anlount of the sums secured by this Security Instrument immediately before the partial
<br />taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums
<br />scl.:ured by this Sel.:urity Instrument shall be reduced by the amount of the Misl.:ellaneous Procecds
<br />multiplied hy the following fraction: (a) the total amount of the sums sCl.:Urcd immediately before thc
<br />partial taking, destruction, or loss in value divided by (b) the fair market value of the Property
<br />immediately before the partial taking, dt:strudion, or loss in value. Any balance shall be paid 10 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 immediately before the partial taking, destruction, or loss in value is less than the
<br />amount of the sums secured immediately before the partial taking, dcstrudion, or loss in value, unless
<br />Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums
<br />secured by this Sel.:urity Instrument whether or not the sums are then due.
<br />if the Property IS ahandoned by l3orrower, 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 elaim 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 thc 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 />regard to Miscellaneous Proceeds.
<br />13orrower shall be in default if any action or proceeding, whether civil or I.:riminal, is begun that, in
<br />Lender's judgment, could result in forfeiture of the Property or other material impairment of Lender's
<br />interest in the 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, byeausi~e action or proceeding to be
<br />000657107865 ( DG
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