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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 othet document executed for the
<br />purpose of creating, securing or guarantying the Secured llebt. A good faith belief hy Beneficiary that Beneficiary at any
<br />time is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or
<br />the value of the Property is impaired shall alsp constitute an event of default.
<br />15. REMEDIES ON DEFAULT. Tn some instanc:es, federal and state law will r�yuire Beneficiary to provide Trustot with
<br />notice of the right to cure or other notices and may establish tittte schedules for foreclosure actinns. Subject to these
<br />limitations, if any, Beneficiary may accelerate the 5ecured Debt and foreclose this 5ecurity Instrutnent in a manner
<br />provided by law if Trustor is in default.
<br />At the option of Beneficiary, all or any part of thc: agreed fees and charges, ace;rued interest and principal shall become
<br />unmediately du� and payable, after giving notice if required by law, upon the occurrcnce of a default or anytime
<br />thereafter. In addition, $eneficiary shall be entitled to all the remedies provided by law, the terms of the 5ecured Debt,
<br />this Security Instrument and any related docutnents, including without limitation, the �wer to sell the Property.
<br />If there is a default, 'I'rustee shall, in addition t�� any other permitted remedy, at the reyu�st of the Beneficiary, advertise
<br />and sell the Property as a whole or in separate parcels at public auction to the highest bidd�r for cash and convey absolute
<br />title free and clear of all right, title and intere�t of Trustor at such time and place as Trustee d�:signates. Trustee shall give
<br />notice of sale including the tim�, terms and place of sale and a description of the property to be sold as required by the
<br />applicable law in effect at the titne of the proposed sale.
<br />Upon sale of the Property and to the extent not prohibited by law, T;rustee shall make and deliver a deed to the Property
<br />sold which conveys absolute title to the purchaser, and after fir5t paying all fces, charges and costs, shall pay to
<br />Beneficiary all moneys advanced far repairs, taxes, insurance, liens, assesamenta and ptior encumbrances and interest
<br />thereon, and the principal and interest on the Secured Debt, paying the surplus, if any, to Trustor. Beneficiary may
<br />purchase the Property. The recitals in any deed of conveyance shall be prima facie evidence pf thc facts set forth therein.
<br />All rernedies are distinet, cumulative and not exclusive, and the Beneficiary xs entitled to all remedies provided at law or
<br />equity, whether or not expressly set forth. The acceptance by Bencficiary of any sum in payment or partial payment on the:
<br />Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not canstitute a
<br />waiver of Beneficiary's right to require complete cure of any exisCing dcfault. By not exercising any remedy on Trustor's
<br />default, Beneficiary does not waive $eneficiary's right to later consider th� event a default if it continues or happens again.
<br />16. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when
<br />prohibited by law, Trustox agrees to pay all of Beneficiary's expenses if Trust�>r bteaches any covenant in this Security
<br />Instrument. Trustoar will also pay on demand any amount incurred by B�;neficiary for insuring, inspecting, preserving or
<br />otherwise protecting the Prnperty and $eneficiary's security interest. These expenses will bear interest from the date of the
<br />payment until paid in full at the highest interest rate in effect as provided in the terms of the Secured Debt. Ttustor a�rees
<br />to pay all costs and expenses incurred by Beneficiary in collecting, enforcing or protecting F3eneficiaty's rights and
<br />remedies under this Security Instrument. This amoimt znay include, but is not limited to, attorneys' fees, court costs, and
<br />other legal expenses. This Security Instrument shall r�main in effect until released. Trustor agrees to pay for any
<br />recordation costs of such release.
<br />17. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this s�ction, (1) Environmental Law
<br />means, without limitation, the Comprehensive Environmental Response, Compensation and Liabiliry Act (CBRCLA, 42
<br />U.S.C. 9601 et seq.), and all �er federa}, state anci local laws, regulations, ordinances, court orders�--attcxt�ey general
<br />opuuons or interpretive letters concerning the public health, safety, welfare, environtnent 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 [h� public health, safety, welfare or
<br />environment. The tetm includes, without limitation, any substances defined as "hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Envirnnmental Law.
<br />Trustor represents, warrants and agrees that:
<br />A. Exc�pt as previously disclosed and acknowledged in writing to Bencficiary, 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, are,
<br />and shall remain in full compliance with any applicable Environmental Law.
<br />C. Trustor shall irnrnediately notify $eneficiary if a release or threatened release of a F-Iazardous Substance occurs on,
<br />under or about the Property or there is a violation of any Environmental Law concerning the Property. In such an
<br />event, Trustor shall take all necessary remedial action in accordance with any Environmental Law.
<br />D. Trustor shall unmediately notify Beneficiary in wziting as sc�nn as Trustor has reason to believe there is any pending
<br />or threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous
<br />Substance or the violation of any Environmental Law.
<br />1$. CONDEMNATION. Trustor will give $eneficiary prompt notice of any pending or threatened action, by private or public
<br />entities to purchase or take any ar all of the Property through condemnation, eminent domain, or any other means. 'I'rustor
<br />authorizes Beneficiary to intervene in Trustor's name in any of the above described actions or claims. 'I'rustor assigns to
<br />Beneficiary the proceeds of any award ot claim fot damages connected with a condemnation or other taking of all or any
<br />part of the Property. Such proceeds shall bc: considered payments and will tx� applied as provided in this Securit __ ___
<br />-- � --- ��nstrum�nt� , o e s s su �ec o e errns o any prior mortgage, ee o trust, security agreement or
<br />other lien document.
<br />19. INSURANCE. Trustor shall keep Property insured against loss by fire, tlood, theft and other hazards and risks reasonably
<br />associated with the Property due to its type and location. This insurance shall be maintained in the amounts and for the
<br />periods that Beneficiary requires. What Lender requires pursuant to the preceding sentence can change during the term of
<br />the loan. The insurance carrier providing the insurance shall be chosen by Trustor suhject to �3eneficiary's approval, which
<br />shall not be unreasonably withheld. If Trustor fails to maintain the coverage d�scribed� atx�ve, F3eneficiary may, at
<br />$eneficiary's option, obtain coverage to protect $eneficiary's rights in the Property according to the terms of this Security
<br />Instrument.
<br />All insurance policies and renewals shall be acceptabl� to Beneficiary and shall include a standard "mortgage clause" and,
<br />whete applicable, "loss payee clause." Ttustor shall immediately notify Beneficiary of cancellation or termination of the
<br />insurance. $eneficiary shall have the right to hold the policies and renEwals. if Beneficiary requires, Trustor shall
<br />immediately give to $eneficiary all receipts of paid premiums and renewal notices. Upon loss, Tn�stor shall give
<br />unmediate notice to the insurance carrier and Beneficiary. $eneficiary rnay rnake proof of loss if not made immediately by
<br />Trustor.
<br />(page 3 of 4/
<br />�jE/`� b 1994 Bankers Systems, Inc., St. Cloud, MN Form RE-DT-NE 1l30/2002
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