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D��D OF TRUST 2 O 1 U 0 9 S 9 4
<br />Loan No: 109237338 (Cvntinued) Page 4
<br />Trustor's Report on Insurance. Upon request of Lender, however not more than once a year, 7rustvr shall furnish to Lender a report
<br />on each existing policy of insurance showing: (1) the name of the insurer, (2) the risks insured; (3) the amount of the policy; (4)
<br />the property insured, the then current replacement value of such property, and the manner of determining ihat value; and (5) the
<br />expiration date of the policy. Trustor 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 or proceeding is commenced that would materially affect Lender's interest in the Property or if
<br />Trustor fails to comply with any provision of this Deed of Trust or any Related Documants, including 6ut not limited to Trustnr's failure to
<br />discharge or pay when due any amounts Trustor is required to discharge or pay under this Deed of Trust or any Related Documents, Lender
<br />on 7rustor's behalf may (but shall nat �e obligated to) take any action that Lender deems appropriate, including but not limited to
<br />discharging or paying all taxes, liens, security interests, encum6rances and other claims, at any time levied or placed on the Property and
<br />paying all costs for insuring, maintaining and preserving the Property. All such expenditures incurred or paid by Lender 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 nf repayment by Trustnr. All
<br />such expenses will become a part of the Indebtedness and, at Lender's option, will (A) be payable on demand; (B) 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 (1) the term of
<br />any applicable insurance policy; or (2) the remaining tarm of the Note; or (C► be treated as a balloon payment which will be due and
<br />payable at the Note's maturity. The Deed of Trust elso 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 Detault.
<br />WARRANTY: DEFENSE OF 71TLE. The following provisions relating to ownership of the Property are a part of this Deed of Trust:
<br />Title. Trustor warrants that; (a) 7rustor holds good and marketabls titls af record to the Property in fee simple, free and clear of all
<br />liens and ancumbrances 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 af, end eccepted by, Lender in connection with this Deed of Trust, and (b) Trustor has the full right,
<br />power, and authority to execute and deliver this �eed of Trust to Lender.
<br />Dafense of Title. Subject to the sxception in the peragraph 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 ihat 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
<br />nominal party in such proceeding, but Lender shall be entitled to participate in the proceeding and to be representad in the prviceeding
<br />by counsel of Lender's own choice, and Trustor will deliver, or cause ta be delivered, #o Lender such instruments as Lender may
<br />request from time to time to permit such participation.
<br />Cvmpliance With Laws. Trustpr w�rrants that the Property and Trustor's use of the Property complies with all existing applicable
<br />laws, ordinances, and regulations pf governmental authorities.
<br />Survival of Representations and Warranties. All representatinns, warranties, and agreements made by Trustor in this Deed of 7rust
<br />shall survive the execution and delivery of this Deed of Trust, shall be continuing in nature, and shall remain in full force and effect
<br />until such time as Horrower's Indebtedness shall be paid in full.
<br />CONDEMNA710N. 7he following provisions relating ta condemnation proceedings are a part of this Deed of Trust:
<br />Proceedings. If any proceeding in condemnation is filed, Trustor shall promptly notify Lender in writing, and Trustor shall promp[ly
<br />take such steps as may be necessary ta defend the action and o6tain the award. Trustor may be the nominal party in such
<br />proceeding, but Lender shall be entitled to participate in the proceeding and to be represen[ed in the proceeding by counsel of its own
<br />choice, and Trustor will deliver or cause to be delivered [o Lender such instruments and documentation as may be requested by
<br />Lender from time to time to permit such participation.
<br />Application of Net Proceeds. If all ar eny part of the Property is condemned by eminent domain proceedings or by any proceeding or
<br />purchase in lieu of condemnation, Lender may at its election require that all or any portion ot the net proceeds of the award be applied
<br />to the Inde6tedness or the repair or restoration of the Property. The net proceeds of the award shall mean the award after payment af
<br />all reasnnable costs, expenses; and attorneys' fees incurred by Trustee or Lender in connection with the condemnation.
<br />IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHbRITIES. 7he following provisions relating to governmental
<br />taxes, fees and charges are a part of this Deed of Trust:
<br />Current Taxes, Fees and Charges. Upon request by Lender, Trustor shall execute such documents in addition to this Deed of 7rust
<br />and take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Prnperty. Trustor shall
<br />reimburse Lender for all taxes, as described below, together with all expenses incurred in recording, perfecting or continuing this Deed
<br />of 7rust, including without limitation all taxes, fees, documentary stamps, and other charges for recording or registering this Deed of
<br />Trust.
<br />Taxas. 7he following shall constitute taxes tn which this section applies: (1) a specific tax upon this type of Deed of Trust or upon
<br />all or any part of the Indebtedness secured by this Deed of Trust; (2) a specific tax on Borrower which Borrower is authorized or
<br />required to deduct from payments on the Indebtedness secured by this type of Deed of 7rust; (3) a tax on this type of �ead of Trust
<br />chargeable against the Lender or the holder of the Note; and (4) a specific tax an all or any portion of the Indebtedness or on
<br />payments of principal and interest made by Barrowar.
<br />Subsequent Taxes. If any tax to which this section applies is enacted subsequent to the date of this Deed of Trust, this event shall
<br />have the same effect as an Event of Default, and Lender may exercise any or all of its aveilable remedies for an Event of Default as
<br />provided balow unless 7rustar either (1► pays the tax before it becomes delinquent, or (2) contests the tax as provided above in the
<br />Taxes and Liens section and deposits with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender.
<br />SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions relating to this Deed of Trus[ as a security agreement are a
<br />part of this �eed of Trust:
<br />Security Agraement. This instrumen# shall constitute a Security Agreement to the extent any of the Property constitutes fixtures, and
<br />Lender shall have all of the rights of a secured party under the Uniform Commercial Code as amended from time to time.
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