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If under 1aragraph 18 hereof the Property Ss sold or the Frop)ertr• is otharcvise acquired kap Lender, Lender
<br />shall apply, rro later tktan immediately prior t~o the sale of the Property oc its acquiaitit,)n by Larndc~~r, say F"unC}s
<br />held by La>rtder at the time of application as sr crec}it again.~t the sutras secured by this 1blortgage.
<br />3. Applination of Payments. Unless applieal)lc law luovides nthervisc?, all payrttenf,s received by Lender
<br />under the ~Tnte and 1)aragral~ihs I and ~ hereof. slradl he trplrlied by Lumder 6rs~t in payme~t~nt of aruoutrt~s pays}>le to
<br />Lender by Harrower under paragraph 2 }tereo~,f, t~heu to irtterest pa~„vt~~thlc on t~lte Vote and on Ftttura~, ~ml.dvanaes, if
<br />any, and then to the principal ot• the Vote and to the principal of Future Advances, it any.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments anti other charges, fines and impositions attri~-
<br />utable to the Property which may attain a priority over this \lortgage, and ground rents, if any; at Lender's
<br />option in the ma.:ner provided under paragraph 2 hereof or by Borrower making payment, when due, directly to
<br />the payee thereof. Borrower shall promptly furnish to Lender all notices of antonnts due rmder this paragraph,
<br />sod in the event. Borrower shall make payment directly, Borrower shall promptly furnish t.o bender receipts evi-
<br />dencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; pro-
<br />vided, that Borrower shall not he required to discharge any such lien so long as Borrower shall agree in writing to
<br />the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall ua good faith contest
<br />such lien by, or defend enforcement of such lien in, legal proceedings rahich operate. to present the enforcement of
<br />the lien ar forfeiture of the Property m~ nnp part thereof.
<br />5. Hazard Insur~ce. Borrower shall keep the improvements now existing or hereafter erected on the Prop-
<br />erty insured against. loss by fire, hazards included within the term "extended coverage", and such other hazards ss
<br />,. Lender may require and in such amounts eras} for such periods as Lender map require: provided. that Lender shall
<br />not require that the amount of such coverage exceed that amount of coverage required to pay the sums seeured'by
<br />h this rtartgage.
<br />The insurance carrier providing the insurance shall be rhosen by Borrower subject to approval by Lender;
<br />+]rovided, That such approval shall not be unreasonably withheld. All premiums on insurance policies shall l:e paid
<br />at Lender's option in the manner provided under paragraph 2 hereof or by Borrower making pavntent, when due,
<br />directly to the insurance carrier.
<br />In the event any policy is not renewed an or before ten days of its ezpiration, the Lender, to protect
<br />its interest, maY procure insurance on the improvements, pay the premiums and such sum shall become
<br />immediately due and payable with interest at the rate set forth in said note uniii paid and ~}tall be
<br />secured by this Mortgage. Failure by Borrower to comply may, at option of Leader, constitute a default
<br />under the terms of this Mortgage.
<br />All insurance policies and renews(s thereof shall he in tone acceptable to Lender and shall include a standar+I
<br />mortgage rlausa in fasor of and in tarot aceeptabie to Lender. Lender shall have the right to (told the policies sod
<br />reneR•als th+ roof, and Borrower shalt promptly furnish to Lender all renewal natives rand s11 receipts of paid pre-
<br />miums. In the event ut loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lender
<br />may make proof of loss if not tnade promptly by Borrower.
<br />I;nless lender and Borrower otherwise agree in writing, insurstree proceeds shall he applied to restoratton or
<br />'.repair of the Prvperty damaged, provided such restorariotr or repair is econon]iaally feasible sod the security of
<br />this !lortgage is not thereby impaired. If such restoration or repair is oat economically feasible or if the security
<br />of this Mortgage would be impaired, the insurance proceeds shall be applied to the sutras secured by this 14lortgage,
<br />with the excess, if any, psid to Borrower. Ti the Property is abandoned lip Borrower or if Borrower fails to respond
<br />to Lender within 30 days sfter notice by Lender to Borrower that the insurance carrier offers to settle a claim for
<br />insurance t)enefita, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to
<br />resWration or repair of the Property or to the Bunts secured bti• this \lortgage.
<br />Unies~ Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall
<br />not extend or postpone the due date of the: monthly installments referred to in paragraphs 1 and 2 hereof or change
<br />the amount of such installments.
<br />If under paragraph ILt nereof rite t roperty is ace{uircn} uy Lcuucr, .:li <ii;l+l., :;412. ar+4 ;,,~c; ` Be:^^-o::^
<br />and to army insttrauce pnlieie anti ir, and to the proceeds tiacrent tto the extant. of t}u sums secured~by this Alort-
<br />gage immediately prier t+i kueh salt ar scquisitianl resulting from damage to the Property prior to the. sale: or
<br />t:egttisition shall pa,-v to !.under.
<br />ti. Preser~ratian atsd Maintenance al Property; Leaseholds; Candamintuma Borrower she}I keep t:he Prop-
<br />ariy i.t good, re})air and shall not. permit. nr commit r+•aste, impsirmeut. er deteriorstior. of the Property and shall
<br />cornyly villa the prat°isians of arty lease; if this \Iartgage is orr a leasehttld. Ii this \lortgage is nr; ;e enndcminiunt
<br />writ, Borrownr tihall perform al} of Borrower'. obligations rmder tl c 1e~-!oration of cnnd+vuiniuxu or master deed,
<br />the by-laws an+.1 regulations of the candominiun; project and constituent docutnanis.
<br />7. Prolactiaa of Lender's Security. li Borrower iaila to lterfarm the covenants and agreements contained in
<br />this \lortgage, or if any action or proceeding is commenced which materially aflcots lender's interest in the Prop-
<br />erty, inclui}irtg, but not limited tu, eminezu tioniuin. iu;oiv4acy, ct>s3a~ enforcement, nr arraugemenia ar proee~i-
<br />ings ittvnlving a brtnkrupt or decedent, then Lender at Lender's option, upon entice to Borrower, may make such
<br />appearances, d:sbure such Burns eras! take such action as i~ necessary to protect. Lender's }nterest, including, but
<br />not limited tn, ciisburserneni of reasonable attort]cy's lees and entry upon the Property to make repairs, Any
<br />amounts disbursed b}° [.ender pursuant to this paragraph i. n•ith interest Lherec]n, shall bocorrme additional indebtr
<br />edness of Borrower secured by this \lortgage. Unless Borrnrver sod Lender agree to other kerms of payment, such
<br />amounts shsll he payable upon notice frrnn Ixnder to Borrower requesting payment thereof, rand shall bear inter-
<br />est from the date of disbursement at the rste statee} in the \ote unless psyment of interrst at such rate would 6e
<br />cotttxar~,; tit applicxblc law, in which event sae}; aruounts she}} hear interest at the highest rate permissible by
<br />upplicab}a inv. Voti~ing comaine+i in this {,+<ragrap}i ~ si]ail require Lander to incue any expense or ilo any act
<br />hereunder.
<br />B. Trtapectian. Lender may make oe cause to }+c msdc reasonahie entries upon and inspections of the Fmp-
<br />eriv, [frnvided that Lender :hall give Bnrrorwer notice f+ritar to any =urh inspection =peeifving reasonable cause
<br />therefor related to Lender's interest in the Praoertr•-
<br />9. Gandeuutstiaa. "Phe ptttheeds of =tn}~ award ar rinim for damages, direct or consequential, in connection
<br />with any condcumatiort ur other taking of the Property, or part thereof, nr for conseyanec in }ice rat eundemna-
<br />tion, aro hereby assigned and she}I be paid to Lender.
<br />In the event of a total taking of the Property, [he troceeds shall he appiieei to the sums secured by this '41ort-
<br />gagc, with the excess, if am•, paid to Borrower, In the event of a partial taking of the Property, unless Borrower
<br />and bender otherwise agree in writing, there ehslt be applied to the sums secured hp this \lortgage such propor-
<br />tion of tt:e proceeds as is equal to that proportion which the smount of the sutras secured by this Sortgage imme-
<br />diatetw prior to the date of taking bears to the fair msrket value of the Propem• immediate}p prier to the date of
<br />taking, with the balance of the proceeds paid to Borrower.
<br />If the Property is abandoned i,y Bormwer or if after notice by Lendet• to Borrower that the condemnor offers
<br />to make an award or settle a claim for damages, Borrower faits io respond to Lenuer within :30 days of the date
<br />of such entice, Lender is authorised to collect sod apply the proceeds at I.endcr's option either to restoration ur
<br />repair of the Property or to the awns secured by this \lortgage.
<br />Unless Lender and Borrower othervise agree in writing, any such application of proceeds to principal shall
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