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DEED OF TRUST c~
<br />Loan No: 901234707 ~ (Continued) ~+ o i o o s s i o Page 3
<br />Trustor shall within fifteen 1151 days after the lien arises or, if a lien is filed, within fifteen (151 days after Trustor has notice pf the
<br />filing, secure the discharge of the lien, or if requested by Lender, deposit with Lender cash or a sufficient cprporata surety bond or
<br />other security satisfactory to Lander in an amount sufficient to discharge the lien plus any costs and attorneys' fees, or other charges
<br />that could accrue as a result of a foreclosure or sale under the lien. In any contest, Trustor shall defend itself and Lander and shall
<br />satisfy any adverse judgment before enforcement against the Property. Trustor shall name Lender as an additional obligee under any
<br />surety bond furnished in the contest proceedings.
<br />Evidence of Payment. Truster shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and
<br />shall authorize the appropriate governmental official to deliver to Lander at any time a written statement of the taxes and assessments
<br />against the Property.
<br />Notice of Construotion. Trustor shall notify Lender at least fifteen (15) days before any work is commenced, any services era
<br />furnished, or any materials are supplied to the Property, if any mechanic's lien, materialman's lien, pr other lien could be asserted on
<br />account of the work, services, or materials. Trustor will upon request of Lender furnish to Lender advance assurances satisfactory to
<br />Lender that Trustor can and will pay the cost of such improvements.
<br />PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Deed of Trust.
<br />Maintenance of Insurance. Trustor shall procure and maintain policies of fire insurance with standard extended coverage
<br />endorsements on a fair value basis far the full insurable value covering all Improvements on the Real Property in an ampunt sufficient
<br />to avoid application of any coinsurance clause, and with a standard mprtgagaa clause in favor of Lander, Trustor shall also procure
<br />and maintain comprehensive general liability insurance in such coverage amounts as Lender may request with Trustee and Lander
<br />being named as additional insureds in such liability insurance policies. Additionally, Trustor shall maintain such other insurance,
<br />including but not limited to hazard, business interruption, and boiler insurance, as Lender may reasonably require. Policies shall be
<br />written in form, amounts, coverages and basis reasonably acceptable to Lender and issued 6y a company or companies reasonably
<br />acceptable to Lender. Trustor, upon request of Lender, will deliver to Lender from time to time the policies or certificates of insurance
<br />in form satisfactory to Lender, including stipulations that coverages will not be cancelled or diminished without at least ten 1101 days
<br />prior written notice to Lender, Each insurance policy also shall include an endorsement providing that coverage in fever of Lender will
<br />not be impaired in any way by any act, omission or default of Trustor or any other person. Should the Real Property be located in an
<br />area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area, Trustor agrees to
<br />obtain and maintain Federal Flood Insurance, if available, within 45 days after notice is given by Lender that the Property is located in
<br />a special flood hazard area, for the full unpaid principal balance of the loan and any prior liens on the property securing the Ivan, up to
<br />the maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lender, and tp maintain such
<br />insurance for the term of the loan.
<br />Application of Proceeds. Trustor shall prpmptly notify Lander of any lass or damage to the Property. Lender may make proof of loss
<br />if Trustor fails to do so within fifteen (15) days of the casualty. Whether or not Lender's security is impaired, Lander may, at Lender's
<br />election, receive and retain the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness, payment of
<br />any lien affecting the Property, or the restoration and repair of the Property. If Lender elects to apply the proceeds to restoration and
<br />repair, Trustor shall repair or replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon
<br />satisfactory proof of such expenditure, pay or reimburse Trustor from the proceeds fpr the reasonable cost of repair or restoration if
<br />Trustor is not in default under this Deed of Trust. Any proceeds which have not been disbursed within 180 days after their receipt
<br />and which Lender has not committed to the repair or restoration of the Property shall be used first tp pay any amount owing to Lender
<br />under this Deed of Trust, then to pay accrued interest, and the remainder, if any, shall be applied tp the principal balance of the
<br />Indebtedness, If Lender holds any proceeds after payment in full of the Indebtedness, such proceeds shall bs paid to Trustor as
<br />Trustor's interests may appear,
<br />Trustvr's Report on Insurance. Upon request of Lender, however not more than once a year, Trustor shall furnish to Lender a report
<br />pn each existing policy of insurance showing: 111 the name pf the insurer; 121 the risks insured; 131 the ampunt of the policy; 141
<br />the property Insured, the then purrsnt replacement value of such property, and the manner of determining that value; and 151 the
<br />expiration date of the policy. Truster shall, upon request of Lender, have an independent appraiser satisfactory to Lender determine
<br />the cash value replacement cost of the Property.
<br />LENDER'S EXPENDITURES. If any action ar proceeding is commenced that would materially affect Lender's interest in the Property or if
<br />Trustor fails to comply with any provision pf this peed of Trust or any Related Documents, including but not limited to Trustor's failure to
<br />discharge or pay when due any amounts Trustor is required to discharge ar pay under this peed of Trust ar any Related Documents, Lender
<br />on Trustor's behalf may (but shall not be obligated tal 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 Property and
<br />paying all posts for insuring, maintaining and preserving the Property. All such expenditures incurred pr paid 6y Lander for such purposes
<br />will then bear interest at the rate charged under the Note from the date incurred or paid by Lender to the date of repayment by Trustor. All
<br />such expenses will become a part of the Indebtedness and, at Lender's optipn, will IA1 be payable on demand; (BI be added to the
<br />balance of the Note and be apportioned among and be payable with any installment payments to become due during either 111 the term of
<br />any applicable insurance policy; or (21 the remaining term of the Note; or IC) be treated as a ballpon payment which will be due and
<br />payable at the Note's maturity. The Desd of Trust also will secure payment of these amounts. Such right shall be in addition to all other
<br />rights and remedies to which Lender may be entitled upon pefault.
<br />WARRANTY; pEFENSE OF TITLE. The following provisions relating to ownership of the Property era a part of this Deed of Trust;
<br />Title. Trustor warrants that: lal Trustor holds good and marketable title of record to the Property in fee simple, free and clear of all
<br />liens and encumbrances other than those set forth in the Real Property description or in any title insurance policy, title report, or final
<br />title opinion issued in favor of, and accepted by, Lender in connection with this Deed of Trust, and Ib) Trustor has the full right,
<br />power, and authority to execute and deliver this Dead of Trust to Lender.
<br />Defense of Title. Subject to the exception in the paragraph above, Trustor warrants and will forever defend the title to the Property
<br />against the lawful claims of all persons. In the event any action or proceeding is commenced that questions Trustor's title or the
<br />interest of Trustee or Lender under this Deed of Trust, Trustor shall defend the action at Trustor's expense. Trustor may be the
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