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20090047
<br />ASSIGNMENT OF RENTS
<br />Loan No: 809896 (Continued)
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<br />Lender may deem appropriate.
<br />Employ Agents. Lender may engage such agent or agents as Lender may deem appropriate, either in Lender's name or in Grantor's
<br />name, to rent and manage the Property, including the collection and application of Rents.
<br />Other Acts. Lender may do all ,such other things and acts with respect to the Property as Lender may deem appropriate and may act
<br />exclusively and solely in the place and stead of Grantor and to have all of the powers of Grantor far the purposes stated above.
<br />No Requirement to Act. Lender shall not ba required to dv any of the foregoing acts or things, and the fact that Lender shall have
<br />performed one yr more of the foregoing acts or things shall not require Lender to do any other specific act or thing.
<br />APPLICATION OF RENTS. All costs and expenses incurred by Lender in connection with the Property shall be for Grantor's account and
<br />Lender may pay such casts and expenses from the Rents. Lender, in its sole discretion, shall determine the application of any and all Rents
<br />received by it; however, any such Rents received by Lender which are not applied to such costs and expenses shall be applied to the
<br />Indebtedness. All expenditures made by Lender under this Assignment and not reimbursed from the Rents shall become a part of the
<br />Indebtedness secured by this Assignment, and shall be payable vn demand, with interest at the Note rate from date of expenditure until
<br />paid.
<br />FULL PERFORMANCE. If Grantor pays all of the Indebtedness when due and otherwise performs all the obligations imposed upon Grantor
<br />under this Assignment, the Note, and the Related Documents, Lender shall execute and deliver to Grantor a suitable satisfaction of this
<br />Assignment and suitable statements of termination of any financing statement on file evidencing Lender's security interest in the Rents and
<br />the Property. Any termination foe required by law shall be paid by Grantor, if permitted by applicable law.
<br />LENDER'S EXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in the Property or if
<br />Grantor fails to comply with any provision of this Assignment or any Related Documents, including but not limited to Grantor's failure tv
<br />discharge yr pay when due any amounts Grantor is required tv discharge or pay under this Assignment or any Related Documents, Lender
<br />on Grantor's behalf may (but shall not be obligated to) take any action that Lender deems appropriate, including but not limited to
<br />discharging or paying all taxes, liens, security interests, encumbrances and other claims, at any time levied or placed on the Rents yr the
<br />Property and paying all costs for insuring, maintaining and preserving the Property. All such expenditures incurred or paid by Lender for
<br />such purposes will then bear interest at the rata charged under the Note from the date incurred or paid by Lender to the date of repayment
<br />by Grantor. All such expenses will become a part of the Indebtedness and, at Lender's option, will IA- be payable on demand; IB) be
<br />added to the balance of the Note and be apportioned among and be payable with any installment payments to become due during either
<br />(1) the term of any applicable insurance policy; or 12) the remaining term of the Note; or IC- be treated as a balloon payment which will
<br />be due and payable at the Note's maturity. The Assignment also will secure payment of these amounts. Such right shall be in addition to
<br />all other rights and remedies to which Lender may be entitled upon Default.
<br />DEFAULT. Each of the following, at Lender's option, shall constitute an Event of Default under this Assignment:
<br />Payment Default. Borrower fails to make any payment when due under the Indebtedness.
<br />Other Defaults. Borrower yr Grantor fails tv comply with or to perform any other term, obligation, covenant or condition contained in
<br />this Assignment or in any of the Related Documents or to comply with or to perform any term, obligation, covenant or condition
<br />contained in any other agreement between Lender and Borrower yr Grantor.
<br />Default on Other Payments. Failure of Grantor within the time required by this Assignment to make any payment for taxes or
<br />insurance, yr any other payment necessary to prevent filing of or to effect discharge of any lien.
<br />Default in Favor of Third Parties. Borrower or Grantor defaults under any loan, extension of credit, security agreement, purchase yr
<br />sales agreement, or any other .agreement, in favor of any other creditor or person that may materially affect any of Borrower's or
<br />Grantor's property or ability to perform their respective obligations under this Assignment or any of the Related Documents.
<br />False Statements. Any warranty, representation yr statement made or furnished to Lender by Borrower or Grantor or on Borrower's
<br />or Grantor's behalf under this Assignment or the Related Documents is false ar misleading in any material respect, either now or at
<br />the time made or furnished yr becomes false ar misleading at any time thereafter.
<br />Defective Collataralizativn. This Assignment or any of the Related Documents ceases to be in full force and effect (including failure of
<br />any collateral document to create a valid and perfected security interest or lien) at any time and for any reason.
<br />Death or Insolvency. The death of Borrower or Grantor, the insolvency of Borrower yr Grantor, the appointment of a receiver for any
<br />part of Borrower's or Grantor's property, any assignment for the benefit of creditors, any type of creditor workout, or the
<br />commencement of any proceeding under any bankruptcy ar insolvency laws by yr against Borrower or Grantor.
<br />Creditor or Forfeiture Proceedings. Commencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self-help,
<br />repossession yr any other method, by any creditor of Borrower or Grantor or by any governmental agency against the Rents or any
<br />property securing the Indebtedness. This includes a garnishment of any of Borrower's or Grantor's accounts, including deposit
<br />accounts, with Lender. Hvweuer, this Event of Default shall not apply if there is a good faith dispute by Borrower ar Grantor as to the
<br />validity or reasonableness of the claim which is the basis of the creditor or forfeiture proceeding and if Borrower or Grantor gives
<br />Lender written notice of the creditor yr forfeiture proceeding and deposits with Lender monies or a surety bond for the creditor or
<br />forfeiture proceeding, in an amount determined by Lender; in its sole discretion, as being an adequate reserve yr bond for the dispute.
<br />Property Damage or Loss. The Property is lost, stolen, substantially damaged, sold, yr borrowed against.
<br />Events Affecting Guarantor. Any of the preceding events occurs with respect to any guarantor, endorser, surety, or accommodation
<br />party of any of the Indebtedhess or any guarantor, endorser, surety, or accommodation party dies or becomes incompetent, or
<br />revokes or disputes the validity of, or liability under, any Guaranty of the Indebtedness.
<br />Adverse Change. A material adverse change occurs in Grantor's financial condition, or Lender believes the prospect of payment or
<br />performance of the Indebtedness is impaired.
<br />Insecurity. Lender in good faith believes itself insecure.
<br />RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of any Event of Default and at any time thereafter, Lender may exercise any
<br />one or more of the following rights and remedies, in addition to any other rights or remedies provided by law:
<br />Accelerate Indebtedness. Lender shall have the right at its option to declare the entire Indebtedness immediately due and payable,
<br />including any prepayment penalty that Borrower would be required tv pay.
<br />Collect Rents. Lender shall have the right, without notice to Borrower or Grantor, to take possession of the Property and collect the
<br />Rents, including amounts past 'due and unpaid, and apply the net proceeds, over and above Lender's casts, against the Indebtedness.
<br />In furtherance of this right, Lender shall have all the rights provided for in the Lender's Right to Receive and Collect Rents Section,
<br />above. If the Rents are collected by Lender, then Grantor irrevocably designates Lender as Grantor's attorney-in-fact to endorse
<br />instruments received in payment thereof in the name of Grantor and to negotiate the same and collect the proceeds. Payments by
<br />tenants or other users to Lender in response to Lender's demand shall satisfy the obligations for which the payments are made,
<br />whether yr not any proper grounds for the demand existed. Lender may exercise its rights under this subparagraph either in person,
<br />by agent, or through a receiver.
<br />O#her Remedies. Lender shall have all other rights and remedies provided in this Assignment or the Note or by law.
<br />Election of Remedies. Election by Lender to pursue any remedy shall not exclude pursuit of any other remedy, and an election to make
<br />expenditures or to take action to perform an obligation of Grantor under this Assignment, after Grantor's failure to perform, shall not
<br />affect Lender's right to declare' a default and exercise its remedies.
<br />Attorneys' Fees; Expenses. If Lender institutes any suit or action to enforce any of the terms of this Assignment, Lender shall be
<br />entitled tv recover such sum as the court may adjudge reasonable as attorneys' fees at trial and upon any appeal. Whether or not any
<br />court action is involved, and to the extent not prohibited by law, all reasonable expenses Lender incurs that in Lender's opinion are
<br />necessary at any lima for the protection of its interest or the enforcement of its rights shall become a part of the Indebtedness payable
<br />on demand and shall bear interest at the Nvte rate from the date of the expenditure until repaid. Expenses covered by this paragraph
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