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<br />200903507
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<br />14. DEFAULT. Trustor will be in default if any party obligated on the Secured Debt fails to make payment when due. Trustor
<br />will be in default if a breach occurs under the terms of this Security Instrument or any other document executed for the
<br />~urp~se. of creatin~, securing or guarantying the ~ecure~ Debt. A good faith belief by Beneficiary that Beneficiary at any
<br />tIme IS msecure WIth respect to any person or entIty obhgated 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.
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<br />15. RE~DIES ~N DEFAULT. In some ~nstances, federal and state law will require Beneficiary to provide Trustor with
<br />~ot~ce .of th~ nght to cur~ or other notIces and may establish time schedules for foreclosure actions. Subject to these
<br />hrrntattons, If any, BenefiCIary may accelerate the Secured Debt and foreclose this Security Instrument in a manner provided
<br />by law if Trustor is in default.
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<br />At the. option of Beneficiary, all or .aI?-Y part.of ~he ag~eed fees and charges, accrued interest and principal shall become
<br />Immed.I~tely due an~ payable, after ~Ivmg notIce If reqUlr~d by la~, upon the occurrence of a default or anytime thereafter.
<br />In addItlOn, BenefiCIary shall be entttled to all the remedIes provIded by law, the terms of the Secured Debt, this Security
<br />Instrument and any related documents, including without limItation, the power to sell the Property.
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<br />If there is a default. Trustee shall, in addition to any other permitted remedy, at the request of the Beneficiary, advertise
<br /><l!ld sell the Property as a y.rhole.or in separate parcels at public auc~ion to the highest bidder for cash and convey absolute
<br />tttl~ free and c~ear o~ all ngh~, tItle and mterest of Trustor at such ttm~ <l!ld place as Trustee designates. Trustee shall give
<br />nottce of sale mcludmg the ttme, terms and place of sale and a descnptton of the property to be sold as required by the
<br />applicable law in effect at the time of the proposed sale.
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<br />Upon s~le of the property an~ to the extent not prohibited by law, Trustee shall make and deliver a deed to the Property
<br />sold WhICh conveys absolute tItle to the purchaser, and after first paymg all fees, charges and costs, shall pay to BenefIciary
<br />all moneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbrances and interest thereon and the
<br />principal and interest on the Secured Debt, paying the surplus, if any, to Trustor. Beneficiary may purchase the Property.
<br />The recitals in any deed of conveyance shall be prima facie evidence of the facts set forth therein.
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<br />All remedies are distinct, cumulative and not exclusive, and the Beneficiary is entitled to all remedies provided at law or
<br />equity, whether or not expressly set forth. The acceptance by Beneficiary of any sum in paxment or partial payment on the
<br />Secured Debt after the balance IS. due or is accelerated or after foreclosure proceedings are flied shall not constitute a waiver
<br />of Beneficiary's right to require complete cure of any existing default. By not exercising any remedy on Trustor's default,
<br />Beneficiary does not waive Beneficiary's right to later consider the event a default if it continues or happens again.
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<br />16. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when
<br />prohibited by law, Trustor agrees to pay all of Beneficiary's expenses if Trustor breaches any covenant in this Security
<br />Instrument. Trustor will also pay on demand any amount mcurred by Beneficiary for insuring, inspecting, preserving or
<br />otherwise protectin& the Property and Beneficiary's security interest. These expenses will bear interest from the date of the
<br />payment until paid m 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 Beneficiary in collecting, enforcing or protecting Beneficiary's rights and
<br />remedies under this Security Instrument. 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.
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<br />17. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (I) Environmental Law
<br />means, without limitation, the Comprehensive Enviromnental Response, Compensation and Liability Act (CERCLA, 42
<br />D.S.C. 9601 et seq.), and all other federal, state and local laws, regulations, ordinances, court orders, attorney general
<br />opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2)
<br />Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or contaminant which has
<br />characteristics which render the substance dangerous or potentially dangerous to the public health, safety, welfare or
<br />environment. The term includes, without limitation, any substances defined as "hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Environmental Law.
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<br />19.
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<br />Trustor represents, warrants and agrees that:
<br />A. Except as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br />located, stored or released on or in the 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 been,
<br />are, and shall remain in full compliance with any applicable Environmental Law.
<br />C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substance occurs on,
<br />under or about the Property or there is a VIolation of.any Environmental Law concerning the Property. In such an
<br />event Trustor shall take all necessary remedial action in accordance with any Environmental Law.
<br />D. Trust~r shall immediately notify Beneficiary in writing as soon as Trustor has reason to believe there is any pending
<br />or threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous
<br />Substance or the violation of any Environmental Law.
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<br />CONDEMNATION. Trustor will give Beneficiary prompt notice of any,Pendin& or threate!led action, by private or public
<br />entities to purchase or take any or all of the Property through condemnatlOn, eml.nent do,?am, or a~y other means. Trustor
<br />authorizes Beneficiary to intervene in Trusto(s name in any of the abov~ descnbed actI~ns or clmms. Trustor aSSIgns to
<br />Beneficiary the proceeds of any award or claIm for ~amages connected WIth ~ condemn~tlon or other takI!1g ot: all or a!1Y
<br />part of the Property. Such proceeds shall b~ conSidered payments a~d WIll be applIed as proVIded !n thiS Secunty
<br />Instrument. This assignment of proceeds is subject to the terms of any pnor mortgage, deed of trust, securIty agreement or
<br />other lien document.
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<br />INSURANCE. Trustor shall keep Property insured ag~inst los~ ~y fire, flood, theft an~ oqler h~ards and risks reasonably
<br />associated with the Property due to its type ~~d 10catlO.n. ThIS msurance shall be. mamtamed m the amounts. and for the
<br />periods that Beneficiary requires. What BenefICiary reqUIres pursuant to the precedmg sentence can ch~nge dunng the;: te~
<br />of the Secured Debt The insurance carrier prOVIding the insurance shall be chosen by Trustor ~ubJect to Beneficla~y s
<br />approval which shali not be unreasonably WIthheld. If Trustor fails to maintain the coverage descr~bed above, BenefiCla~y
<br />may, at Beneficiary's option, obtain coverage to protect Beneficiary's rights in the Property accordmg to the terms of thIS
<br />Security Instrument.
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<br />All insurance policies and renewals shall be acceptable to B~neficiary. and shall i!lclude a standar~ "mortgag~ cl~use" ang,
<br />where applicable, "loss payee clause." Trustor shall immediately notIfy BenefiCIary of cance~latlOn or .termmatlon of ~ II
<br />insurance. Beneficiary shall have the right to . hold t~e poliCIes and rene~als. If BenefiCIary reqUires, . Tfl!stor s. a
<br />immediately lI'ive to Beneficiary all receip~s of pmd pre!lllUmS and renewal notIces. ~pon loss, Trustor. shall bglvT ImmedIate
<br />notice to the fnsurance carrier and BeneficIary. BenefiCIary may make proof of loss If not made ImmedIately y rustor.
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<br />18.
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<br />(page 3 of 4)
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<br />01994 Wolters Kluwer Financial Ser\llce.. 8anker. SystemsTM Form RE-DT-NE 12/15/2008
<br />VM P @-C165(NE) \07081
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