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� ' �� '`' DEED OF TRUST 2 0110 3 6 5 4
<br />Loan No: 101241106 (Continued}
<br />Page 3
<br />satisfy any adverse judgment before enforcement against the Property. Trustor shall name Lender es an additionaf obiigee under any
<br />surety bond furnished in the contest proceed(ngs.
<br />Evidence of Payment. Trustor shall upon demand furnish to Lender satisfactory evldence of payment of the taxes or assessments and
<br />shall authorize the appropr(ate gover�mentel official to deliver to Lender at any time e written statement of the taxes and essessments
<br />against the Property.
<br />Motice of Constructlon. Trustor shalf notify Lender at least fifteert (15) days before any work is commenced, any services are
<br />furnished, or any materiels are supplled to the Property, if any mechanic's lien, materialmen's lien, or other lien could be asserted on
<br />account of the work, services, or matertals. Trustor will upon request of Lender furnish to Lender advance assurances satisfactory to
<br />Lender that T�ustor can and will pay the cost of such improvements.
<br />PROPERTY DAMAt3E INSURANCE. Tha follpwing provisfons relating to insur(ng the Property are a part of this Deed of Trust.
<br />Maintenance of I�surance. Trustor shell procure and maintain pollcles ot fire insurance with standard eutended coverage
<br />endorsements on a fiair value basis for the full )nsurable value covering all Improvements on the Real Property in an emount sufficient
<br />to avoid application of any coinsurance clause, and w(th a standerd mortgegee clause in favor of Lender. Trustor shall also procure
<br />and meintain comprehensive generel liability insurance in such coverege amounts as Lender may request with Trustee and Lendsr
<br />being named as additional ineureds in such liability Insurance policies. Additionally, Trustor shall maintein such other insurance,
<br />including but nat limited to hazard, business interruption, and boiler insurance, as Lender may reasonably require. Poiicies shall be
<br />wr(tten in form, amounts, coverages and basts reasonably acceptable to Lender end Issued by a company or companies reasonably
<br />ecceptable to Lender. Trustor, upon request of Lender, will dellver td Lender from time to time the policles or certificates of insurance
<br />in form setistactory to lender, including stipulations that coverages will not be cancelled or diminished without et least ten 110} days
<br />prior wrltten notice to Lender. Each insurance policy also shall include an endorsement providing that coverage in fevor of Lender will
<br />not be impaired in eny way by any act, omission or default of Trustor or any other person. Should the Real Property be located in an
<br />area deslgnated by the Director of the Federal Emergency Management Agency as a special flaod haxard a�ae, Trustor agrees to
<br />obtaln and maintain Federal Flood Insurance, If available, for the full unpaid principal balance of the loan end any prior liens on the
<br />p�operty securing the toan, up to the maximum policy limits sat under the National Flood Insurence Program, or as otherwise required
<br />by Lender, and to maintain such insurance for the term of the loan.
<br />Application of Proceeds. Trustor shall promptly notify Lender of any loss or damage to the Property. Lender may make proof of loss
<br />if Trustor fails to da so within fifteen (15) days of the casualty. Whether or not Lender's security Is impaired, Lender may, at Lender's
<br />electlon, receive end retain the proceeds of any insurance and apply the proceeds to the �eduction of the Indebtedness, payment of
<br />any lien affecting the Property, or tha restoretion and repair of the Property. If Lender elects to apply the proceeds to resto�ation end
<br />repair, Trustor shall repeir or repiece the dameged or destroyed lmprovements in a manner satlsfectory to Lender. Lender shail, upon
<br />satisfactory proof of such expenditure, pay or relmburse Trustor from the proceeds for the reasonable cost of repair or restoretion if
<br />Trustor is not in default under thls Deed of Trust. Any proceeds whtch have not been disbursed within 18� days after thei� receipt
<br />and which Lender has not committed to the repair or restoration of the Property shall be used tirst to pay any emount owing to Lender
<br />under this Deed of Trust; then to pay accrued interest, and the remainder, if any, shall be applled to the principal balance of the
<br />Indebtedness. If Lender holds any proceeds after payment in full of the Indebtedness, such proceeds shall be paid to Trustor as
<br />Trustor's interests may appear.
<br />Complianca with Facisting Indebtedness, During the period in which any Existing Indebtedness described below is in effect, compliance
<br />with the lnsurence provisions contained in the instrument evidencing such Exfsting Indebtedness shall constitute compliance with the
<br />insurance provisions under this Deed of Trust, to tha extent compliance with the terms of this Daed of Trust wouid constltute a
<br />duplicatian of insurance requirement. If any proceeds frpm the insurance become payable on loss, the provisions In this Deed of Trust
<br />for division of proceeds shall apply only to that portion of the proceeds not payable to the holder of the Existing Indebtedness.
<br />Trustor's Report on Insurance, Upon request of Lender, however not more than once a year, Trustor shell furnfsh to Lender a report
<br />on each extsting policy of insurance showing: (1) the name of the insurer; (2) the risks insured; (3l the amount of the policy; (4)
<br />the property insured, the then current replacement velue of such property, and the manner of determining that value; and (5) the
<br />expiretion date of the pollcy: Trustor shall, upon request of Lender, have en independent appraiser satisfactory to Lender determine
<br />the cash value replacement cost of the Property.
<br />LENDER'S EXPENDITURES. If any action or proceeding ls commenced that would materiatly affect Lender's interest in the Property or if
<br />Trustor fails to comply with any provision of thls Deed of Trust or any Related Documents, including but �ot limited to Trustor's failure to
<br />comply w(th any obligation to maintaln Existing Indabtedness in good .stand)ng as required below, or to discharge or pay when due any
<br />amounts Trustor is required to discha�ge or pay under this Deed of Trust or any Related Documents, Lender on Trustor's behalf may (but
<br />shall not be obligated tol teke any action that Lender deems eppropriate, including but not limited to dlscharging or peying all taxes, liens,
<br />security interests, encumbrances and other claims, at any ttme levied or piaced on the Property and peying ali costs for insuring,
<br />maintaining end preserving the Property, All such expenditures incurred or paid by Le�der for such purposes will then bear interest at the
<br />rate charged under the Note from tha date incurred or paid by Lender to the date of repayment by Trustor. All such expenses will become
<br />a part of the Indebtedness end, at Lender`s optton, will (A) be payable on demand; (B) be added to the balence of the Note and be
<br />apportio�ed emong and be peyable wlth any installment payments to become due during either (1) the term of any applicable insurance
<br />policy; or (2) the remalning term of the Note; or (Cl be treated as a balloon peyment which w111 be due and payable at the Note's
<br />maturity. The Deed of Trust also will secure payment of these amounts. Such right shall be In addit(on to all other rights and remedies to
<br />whlch Lende� may be entitled upon Default.
<br />WARRANTY: DEFENSE OF TITLE. The following provlstons releting to ownership of the Pcoperty are a part of this Deed of Trust:
<br />Title. Trustor werrenta that: (a) Trustor holds good and markstable title ot record to the Property in fee simple, free and clear of all
<br />lie�s and sncumbrances other than those set forth in the Real Property descrlptlon or fn the Existing indebtedness sectlon below or in
<br />any titie insurance policy, tltle report, or final title opinion issued in favor of, and accepted by, Lender in connection with this Deed of
<br />Trust, and (b! Trustor has the tull right, power, end authority to execute and deliver thls Deed of Trust to Lender.
<br />Defense of Title. SubjecC to the exceptfon ln the peragraph above, Trustor warrents and will forever defend the title to the Property
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