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<br />Financial Reports and Additianal Documents. Trustor will provide to Beneficiary request, any financial statement
<br />or information Beneficiary may deem reasonably necessary. Trustor agrees to srgn, deliver, and file any additional
<br />documents or certifications that Beneficiary rnay consider necessary to perfect, continue, and preserve Trustor's obligations
<br />under this Security Instrurnent and Beneficiary's lien status on the Praperty.
<br />6. WARRANTY OF TITLE. Trustor warrants that Trustor is or will be lawfully seized of the estate conveyed by this
<br />Security Instrument and has the right to irrevocably grant, convey, and sell the Property to Trustee, in trust, with power of
<br />sale. Trustor also warrants that the Property is unencumbered, except for encumbrances of record.
<br />7. DUE ON SALE. Beneficiary may, at its option, declare the entire balance of the Secured Debt to be immediately due and
<br />payable upon the creation of, or contract for the creation of, a transfer or sale of the I�roperty. This right is sub�ect to the
<br />restrictions imposed by federal law (12 C.F.R. 591), as applicable.
<br />8. llE�'AULT. Trustor will be in default if any of the following occur:
<br />Fraud. Any Consumer Borrower engages in fraud or material misrepresentatian in connection with the Secured Debt that
<br />is an open end home equity plan.
<br />Payments. Any Consumer Borrower on any Secured Debt that is an apen end home equity plan fails to make a payment
<br />when due.
<br />Property. Any action or inaction by the Borrower or Trustor occurs that adversely affects the Property or Beneficiary's
<br />rights in the Property. This includes, but is not limited to, the following: (a) Trustar fails to maintam required insurance
<br />on the Property; (b) Trustor transfers the Property; (c) Trustor commits waste or otherwise destructively uses or fails to
<br />maintain the Property such that the action or inaction adversely affects Bene�ciarx's security; (d) Trustar fa�ls ta pay taxes
<br />on the Property or otherwise fails to act and thereby cauSes a lien to be filed agamst the Property that is senior ta the lien
<br />of this Security Instrument; (e) a sole Trustor dies; (t) if more than one Trustor, any 'I`rustor dies and Beneficiary's
<br />security is adversely affected; (g) the Property is taken throu�h eminent domain; (h) a �udgment is filed against Trustor and
<br />subjects Trustor and the Property to action that adversely af scts Beneficiary's interest; or (i) a priar licnholder forecloses
<br />an the Praperty and as a result, Beneficiary's interest is adversely affected.
<br />Executive Of�cers. Any Borrower is an executive officer of Beneficiary or an affiliate and such Borrower becomes
<br />indebted to Beneficiary or another lender in an aggregate arnount greater than the arnount permitted under federal laws and
<br />regulations.
<br />9. REMEDIES ON DE�AULT. Tn addition to any other remedy available under the terms of this Security Instrurnent,
<br />Beneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a manner provided by law if Trustor
<br />is in default. In some instances, federal and state law will require Beneficiary to provide Trustor with notice of the right to
<br />cure, or other natices and may establish time schedules for foreclosure actions. Each Trustor requests a cnpy af any notice
<br />of default and any natice of sale thereunder be mailed to each Trustor at the address provided in Section 1 above.
<br />At the option of the $eneficiary, all or any part of the agreed fees and charges, accrued interest and principal shall become
<br />itnmediately due and payable, after g�vtng notice if required by law, upon the occurrence of a default ar anytime
<br />thereafter.
<br />If there is a default, Trustee shall, at the request of the Beneficiary, advertise and sell the Praperty as a whale or in
<br />separate parcels at public auction to the highest bidder for cash and convey absolute title free and clear of all right, title
<br />and mterest of Trustor at such time and place as Trustee designates. Trustee shall give natice of sale including the time,
<br />terms and place of sale and a description of the propsrty to be sold as required by the applicable law in effect at the tirne of
<br />the proposed sale.
<br />iJpon sale of the �'roperty and ta the extent not prohibitcd by law, Trustee shall make and deliver a deed to the Property
<br />sold which conveys absolute title to the purchaser, and after first paying all fees, charges and casts, shall �pay to
<br />Beneficiary all moneys advanced for repairs, taxes, }nsurance, liens, assessments and prior encumbrances and interest
<br />thereon, and the principal and interest on the S�cured. Debt, paying the surplus, if any, to Trustar. Beneficiary, may
<br />purchase the Property. The recitals in any deed of conveyacace shall be prima facie evidence of the facts set forth therem.
<br />The acceptance by $eneficiary of any surn in payment ar�partial payment on the Secured Debt after the balance is due ar is
<br />accelerated or after foreclosure proceedmgs are filed shall not constitute a waiver of Beneficiary 's right to require complete
<br />cure of any existing default. By not exercising any remedy on Trustar's default, Beneficiary docs not watve Beneficiary's
<br />right to later consider the event a default if it happens again.
<br />10. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. If Trustor breaches
<br />any covenant in this Security Instrurnent, Trustor agrees to pay all expenses Beneficiary incurs in performing such
<br />covenants ar protecting its security interest in the Property. Such expenses mclude, but are not limited to, fees incurred for
<br />inspecting, preserving, or otherwise protecting the Property and Beneficiary's security interest. These exp�nses are �ayable
<br />on demand and will bear interest from the date of payment until paid in full at the highest rate of interest in e fect as
<br />provided in the terms of the Secured Debt. Trustor agrees ta pay all costs and expenses incurred by Beneficiary in
<br />collecting, enforcing or protecting Beneficiary's rights and remedies under this Security Instrument. This amount may
<br />include, but is not lirnited to, Trustee's fees, court costs, and other legal expenses. To the extent permitted by the United
<br />States Bankruptcy Code, Trustor agrees to pay the reasonable attorneys' fees Bene�ciary incurs to collect the Secured Debt
<br />as awarded by any court exercising �urlsdiction under the Bankruptcy Code. This Security Instrument shall remain in effect
<br />until released Trustor agrees to pay far any recordation costs of such release.
<br />11. ENVIRONMENTAL LAWS AND HAZARDOUS SU�STANC�S. As used in this section, (1) Environmencal Law
<br />means, without limitation, the Comprehensive Environmental Response, Compensation and I.iability Act (C�RCI.,A, 42
<br />U.S.C. 9601 et seq.), and all other federal, state and local laws, regulations, ordinances, court orders, atcorney general
<br />opinions or interpretive letters concerning the public heaith, safety, welfare, environment 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 the public health, safety, welfare or
<br />environment. The term includes, without limitaiion, any substances detined as "hazardous material," "toxic substances,"
<br />"haxardous waste" or "hazardous substance" und�xany.Environmentall.aw_ .... -- -. - .- . .... -
<br />Trustor represents, warrants and agrees that: .
<br />A. Except as previously disclosed and acknow�edg��'i� writing to Beneficiary, 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 marntenance of the Property.
<br />B. Except as previously disclosed and acknowledged in writm� to Beneficiary, Trustor and every tenant have been, are,
<br />and shall remain in full compliance with any applicable �nvironmental I,aw.
<br />C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous Substancc occurs on,
<br />under or about the Praperty 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 />/� lpa e 3 v 4/
<br />�i� p 1994 Bankers Systems, Inc., SL Cloud, MN Form OCP-REDT-NE 1/31/2003 � �
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