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<br />deliver to"tender, in a form acceptable to Lender, an assignment of any rights, claims or defenses which Borrower may have against parties
<br />,- who supply labor, materials or services in connection with improvements made to the Property.
<br />17. Waiver of Homestead Exemption. To the extent permitted by law, Borrower hereby waives the benefit of the homestead
<br />exemption as to all sums secured by this Security Instrument.
<br />18. Waiver of Statutes of Limitation. To the extent permitted by law, Borrower hereby waives statutes of limitation as a defense
<br />to any demand or obligation secured by this Security Instrument.
<br />19. Merger. There shall be no merger of the interest or estate created by this Security Instrument with any other interest or estate
<br />in the Property at any time held by or for the benefit of Lender in any capacity, without the written consent of Lender.
<br />20. Notice 01 Transler 01 the Property; Advances after Transler. Borrower shall give notice to Lender, as provided in paragraph
<br />12 hereof, prior to any sale or transfer of all or part of the Property or any rights in the Property. Any person to whom all or part of the
<br />Property or any right in the Property is sold or transferred also shall be obligated to give notice to Lender, as provided in paragraph 12
<br />hereof, promptly after such transfer.
<br />Even if Borrower transfers the Property, Borrower will continue to be obligated under the Credit Agreement and this Security
<br />Instrument unless Lender releases Borrower in writing. As a condition to Lender's consent to any proposed transfer or as a condition to
<br />the release of Borrower, Lender may require that the person to whom the Property is transferred sign an assumption agreement
<br />satisfactory to Lender and Lender may impose an assumption fee. The assumption agreement will not entitle the person signing it to
<br />receive advances under the Credit Agreement.
<br />21. Transfer 01 the Property. Subject to applicable law, Lender shall have the right to accelerate, that is, to demand immediate
<br />payment in full of all sums secured by this Mortgage or Deed of Trust, if Borrower, without the written consent of Lender, sells or transfers
<br />all or part of the Property or any rights in the Property.
<br />If Lender exercises the option to accelerate, Lender shall give Borrower notice of acceleration in accordance with paragraph
<br />12 hereof. The notice shall provide a period of not less than 30 days from the date of the notice within which Borrower may pay the sums
<br />declared due. If Borrower fails to pay those sums prior to the expiration of such period, Lender may, without further notice or demand
<br />on Borrower, invoke any remedies permitted by paragraph 22 hereof.
<br />22. Default; Termination and Acceleration; Remedies. Each of the following events shall constitute an event of delault ("event
<br />01 delault") under this Security Instrument: (1) Borrower commits Iraud or makes a material misrepresentation in connection with this
<br />Security Instrument or the Credit Agreement; (2) Borrower does not meet the repayment terms 01 the Credit Agreement; or (3)
<br />Borrower's action or Inaction adversely allects the Lender's rights in the Property secured by this Security Instrument. II an event 01
<br />default occurs, then prior to exercising any right or remedy provided for in this Security Instrument and prior to acceleration, Lender
<br />shall give notice as provided In paragraph 12 hereol and as required by applicable law. The notice shall specify: (a) the event 01
<br />delault; (b) the action required to cure the event 01 default; (c) a date not less than twenty days (or any longer period required by
<br />applicable law) Irom the date the notice Is given to Borrower by which the event 01 default must be cured; (d) that lailure to cure the
<br />event 01 delault on or belore the date specllled In the notice may result in acceleration 01 the sums secured by this Security Instrument
<br />and sale 01 the Property; and (e) any other information required by applicable law. The notice shall lurther inlorm Borrower 01 the
<br />right to reinstate after acceleration, if applicable, and the right to bring a court action to assert the nonexistence of an event 01 delault
<br />or any other defense 01 Borrower to acceleration and sale. II the event of default is not cured on or before the date specified In the
<br />notice, Lender, at Lender's option, without further notice or demand, may declare default, may declare all sums secured by this
<br />Security Instrument to be immediately due and payable, and may invoke the power 01 sale and any other remedies permitted by
<br />applicable law. Lender shall be entitled to collect all reasonable costs and expenses incurred in pursuing the remedies provided in
<br />this paragraph 22, Including, but not limited to, reasonable attorneys' fees.
<br />II the power 01 sale is invoked, Trustee shall record a notice 01 default in each county in which the Property or some part
<br />thereof Is located and shall mall copies of such notice In the manner prescribed by applicable law to Borrower and to the other persons
<br />prescribed by applicable law. After the lapse of such time as may be required by applicable law, Trustee shall give public notice of
<br />sale to the persons and in the manner prescribed by applicable taw. Trustee, without demand on Borrower, shall sell the Property at
<br />public auction to the highest bidder at the time and place and under the terms designated in the notice 01 sale in one or more parcels
<br />and In such order as Trustee may determine. Trustee may postpone sale 01 all or any parcel of the Property by public announcement
<br />at the time and place of any previously scheduled sale. Lender or Lender's designee may purchase the Property at any sale.
<br />Upon receipt of payment of the price bid, Trustee shall deliver to the purchaser Trustee's deed conveying the Property sold.
<br />The recitals in the Trustee's deed shall be prima facie evidence of the truth of the statements made therein. Trustee shall apply the
<br />proceeds of the sale in the following order: (a) to all reasonable costs and expenses of the sale, including, but not limited to,Trustee's
<br />lees actually incurred of not more than % of the gross sale price, reasonable attorneys' lees and costs of title evidence; (b)
<br />to all sums secured by this Security Instrument; and (c) the excess, if any, to the person or persons legally entitled thereto.
<br />23. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of
<br />this Security Instrument discontinued at any time prior to the earlier of (i) five days (or such other period as applicable law may specify
<br />for reinstatement) before sale of the Property pursuant to any power of sale contained in this Security Instrument or (ii) entry of a
<br />judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which would then be due
<br />under this Security Instrument and the Credit Agreement had no acceleration occurred; (b) cures all events of default under this Security
<br />Instrument and the Credit Agreement; (c) pays all reasonable expenses incurred in enforcing this Security Instrument, including, but not
<br />limited to, reasonable attorneys' fees; and (d) takes such action as Lender may reasonably require to assure that the lien of this Security
<br />Instrument, Lender's rights in the Property and Borrower's obligation to pay the sums secured by this Security Instrument shall continue
<br />unchanged. Upon reinstatement by Borrower, this Security Instrument and the obligations secured hereby shall remain fully effective as
<br />if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under paragraph 21.
<br />24. Reconveyance. This Security Instrument secures a revolving line of credit and advances may be made, repaid, and remade
<br />from time to time, under the terms of the Credit Agreement. When, according to the terms of the Credit Agreement, no more advances
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