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<br />Financial Re�orts and Additional Documents. Trustor will provide to Beneficiary upon request, any financial
<br />statement or mformation Beneficiary may deem reasonably necessary. Trustor agrees to sign, delrver, and file at►y
<br />additional documents or certifications that Beneficiary may consider necessary to perfect, continue, and preserve
<br />Trustor's obligations under this Security Instrument and Beneficiary's lien status on the Property.
<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, wrth power
<br />of sa1e. Trustor also warrants that the Properiy 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
<br />and payable upon the creation of, or contract for the creation of, a transfer or sale of the Property. This right is sub�ect
<br />to the restrictions imposed by federal law (12 C.F.R. 591), as applicable.
<br />8. DEFAULT. Trustor will be in default if any of the following occur:
<br />Fraud. Any Consumer Borrower engages in fraud or material misrepresentation in connection with the Seeured Debt
<br />that is an open end home equity plan. '
<br />Payments. Any Consumer Borrower on any Secured Debt that is an open end h;ome eqaity 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 m the Property. This includes, but is not limited to, the following: (a) Trustor fails to maintain requued
<br />insurance on the Property; (b) Trustor transfers the Pro�erty; (c) Trustor commits waste or otherwise destructively uses
<br />or fails to maintain the Property such that the action or maction adversely affects Beneficiary' s security ;(d) Trustor fails
<br />to pay taxes on the Property or otherwise fails to act and thereby causes a lien to be filed against the Property that is
<br />semor to the lien of this Security Instrument; (e) a sole Trustor dies; (� if more than one Trustor, any Trustor dies and
<br />Beneficiary' s security is adversely affected; (g) the Property is taken through eminent domain; (h) a judgment is filed
<br />against Trustor and subjects Trustor and the Property to action that adversely affects Beneficiary's mterest; or (i) a prior
<br />lienholder forecloses on the Property and as a result, Beneficiary' s interest is adversely affected.
<br />Eaecutive Officers. Any Borrower is an executive of�'icer of Beneficiary or an affiliate and such Boaower becomes
<br />indebted to Beneficiary or another lender in an aggregate amount geater than the amount permitted under federal laws
<br />and regulations.
<br />9. REMEDIES ON DEFAULT. In addition to any other remedy available under the terms of this Security Instrument,
<br />Beneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a manner provided by law if
<br />Trustor is in default. In some instances, federal and state law will require Beneficiary to provide Trustor with notice of
<br />the right to cure, or other notices and may establish time schedules for foreclosure acttons. Each Trustor requ�ts a copy
<br />of any notice of default and any notice of sale thereunder be mailed to each Trustor at the address provided in Section 1
<br />above.
<br />At the o�tion of the Beneficiary, all or any part of the agreed fees and chazges, accrued interest and principal shall
<br />become immediately due and payable, after grvmg notice if required by law, upon the occurrence of a default or
<br />anytime thereafter.
<br />If there is a default, Trustee shall, at the request of the Beneficiary, advertise and sell the Property as a whole or in
<br />sepazate parcels at public auction to the highest bidder for cash and convey absolute title free and clear of all ri�t, title
<br />and mterest of Trustor at such time and place as Trustee designates. Trustee sha11 give notice of sale including e time,
<br />terms and place of sale and a desctiption of the property to be sold as required by the applicable law in effect at the time
<br />of the proposed sa1e.
<br />Upon sale of the Property and to the extent not prohibited by law, Trustee shalb make and deliver a deed to the Property
<br />sold which conveys absolute title to the purchaser, and after first paying all fees, chazges and costs, shall pay to
<br />Beneficiary all moneys advanced for repairs, taxes, insurance, liens, assessments and prior 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 of the facts set forth
<br />therein.
<br />The acceptance by Beneficiary of any sum in payment or partial payment on the Secured Debt after the balance is due or
<br />is accelerated or after foreclosure proceedings are filed shall not constitute a waiver of Beneficiac�'s right to require
<br />complete cure of any existing default. By not exercising any remedy on Trustor's default, Beneficiary does not waive
<br />Beneficiary' s right to later consider the event a default if it happens agau►.
<br />10. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. If Trustor breaches
<br />any covenant in this Security Instrument, Trustor agrees to pay a11 expenses Beneficiary incurs in performing such
<br />covenants or protecting its security interest in the Property. Such expenses mclude, but are not limited to, fees incurred
<br />for inspecting, preservmg, or otherwise protecting the Property and Beneficiary. s security interest. These ex�enses are
<br />pay able on dcmand and will bear interest from the date of payment until paid m full at the highest rate of interest in _
<br />effect as�rovided in the terms of the Secured Debt. Trustor agrees to pay a11 costs and expenses mcurred by Beneficiary
<br />in collectmg, enforcing or protecting Beneficiary's rights and remedies under this Security Instrument. This amount may
<br />include, but is not limited to, Trustee's fees, court costs, and other legal expenses. To the extent permitted by the
<br />United States Bankruptcy Code, Trustor agrees to pay the reasonable attomeys' fees Beneficiary incurs to collect the
<br />Secured Debt as awarded by any court exercismg jurisdiction under the Bankruptcy Code. This Security Instrument shall
<br />remain in effect until released. Trustor agrees to pay for any recordation costs of such release.
<br />11. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, 41) Environmental Law
<br />means, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 42
<br />U. S. C. 9601 et seq. ), and all other federal, state and local laws, regulations, ordinances, court orders, attomey general
<br />opinions or interpretive letters concerning the �ublic health, safety, welfare, environment or a hazardous substance; and
<br />(2) 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 limitation, any substances defined as "hazardous material," "toxic substances,"
<br />"hazardous waste" or "hazardous substance" under any Environmental Law.
<br />Trustor represents, warrants and agrees that:
<br />A. Except as previously disclosed and acknowledged in writing to Beneficiary, no Hazardous Substance is or will be
<br />located, stored or released on or in the Properiy. 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,
<br />are, and sha11 remain in full compliance with any applicable Environmental Law.
<br />C. Trustor shall immediately notify Beneficiary if a release or threatened release of a Hazardous 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 />894/cn/I�
<br />447654
<br />(paqe 3 of 4)
<br />�M �1994 8ankers Syatema, Inc., St. Cloud, MN Form OCP•REDT-NE 113 1 12 0 0 3
<br />�-C466(NE) �oao��
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