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<br />�0110�115
<br />14. DEFAULT. Trustor will be in default if any party obligated on the 5ecured Debt fails to make paymeat when due. Trustor
<br />will be in default if a breach occurs under the terms of this 5ecurity Instrument or any other docume� executed for the
<br />purpose of creating, securing or guarantying the Secured Debt. A good faith belief by Beneflciary that Beneficiary at any
<br />time is insecure wi[h respect to any person or entiry obligated on ihe Secured Debt or that the prospect of any payment or
<br />the value of the Property is impaired sha11 also constitute an event of default.
<br />15. REMEDIES ON DEFAULT. In some instances, federal and state law wlll require Bene�ciary to provide Trustar with
<br />notice of the right to cure or other notices and may establish time schedules for foreclosure actions. Subject to these
<br />limitations, if any, Beneficiary may accelerate the Secured Debt and foreclose this Security Instrument in a manner
<br />provided by law if Trustor is in default.
<br />At the option of Beneficiary, a11 or any part of the agreed fees and charges, accrued interest and principal sha11 become
<br />inumediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime
<br />thereafter. In addition, Beneficiary sha11 be entitled to all the remedies provided by law, the terms of the Secured Debt,
<br />ttus Securiry Instrument and any related documents, including withaut limitation, the power to sell the Property.
<br />If there is a default, Trustee shall, in addition to any other permitted remedy, at the request of the Bene�ciary, advertise
<br />and sell the Properly as a whole or in separate parcels at public auction to the highest bidder for cash and convey absolute
<br />title free and clear of a11 right, title and interest of Trustor at such time and place as Trustee designates. Trustee shall give
<br />notice of sale including the time, terms and place of sale and a description of the property to l� sold as required by the
<br />applicable law in effect at the time of the pcoposed sale.
<br />Upon sale af the Property and to the extent not prohibited by law, Trustee shall ma.ke and deliver a deed to the Properly
<br />sold which conveys absolute tifle to the purchaser, and after first paying a11 fees, charges and costs, shall pay to
<br />Beneflciary all moneys advanced for repairs, taxes, insurance, liens, assessments and prior encumbra.nces and interest
<br />thereon, and the principal and interest on the Se,cured Debt, paying the surplus, if any, to Trustor. Beneficiary may
<br />purchase the Properly. The recitals in any deed of conveyance sha11 be prima facie evidence of the facts set forth therein.
<br />All remedies are distinct, cumulative and not exclusive, and the Beneficiary is entitled to a11 remedies provided at law ot
<br />equiry, whether or not expressly set forth. The acceptance by Bene�ciary of any sum in payment or partial paymenC on the
<br />Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a
<br />waiver of Beneficiary's right to require complete cure of any existing default. By not exercising any remedy on Trrustor's
<br />default, Bene�ciary does not waive Beneficiary's right to later consider the event a default if it continues or ha.pp�as again.
<br />16. EXPENSES; ADVANCE5 ON COVENANT5; ATI'ORNEY5' FEES; COLLECTION COSTS. Except when
<br />prohibited by law, Trustor agrees to pay a11 of Beneficiary's expenses if Trustor breaches any covenant in this 5ecuriry
<br />Instrument. Trustor will also pay on demand any amount incurred by Beneflciary for insuring, inspecting, preserving or
<br />otherwise protecting the Property and Beneficiary's securiry interest. These exgenses will bear interest from the date of the
<br />payment until paid in full at the highest interest rate in effect as provided in We terms of the Secured Debt. Trustor agrees
<br />to pay a11 costs and expenses incurred by Beneficiary in collecting, enforcing or protecting Beneficiary's rights and
<br />remedies under this Security Instrument. This amount may include, but is not limited to, attorneys' fees, court costs, and
<br />other legal expenses. This Securiry Instrument sha11 remain in effect until released. Trustor agrees to pay for any
<br />recordation costs of such release.
<br />17. ENVIRONMENTAL LAWS AND HAZARDOUS SIJBSTANCE5. As used in this section, (1) Enviromnental Law
<br />means, without limitation, the Comprehensive Environmental Response, Compensation and Liabiliry Act (CERCLA, 42
<br />U.S.C. 9601 et seq.), and a11 other federal, state' and`local laws, regulations, otdinances, court orders, attomeq general
<br />opinions or interpretive letters conceraing the pnblic health, safety, welfaze, environmenC 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 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 Properry. This restriction does not apply to small quantiCies 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 aad every tenant have been, are,
<br />and shall rema.in in full compliance with any applicable Environmental Law.
<br />C. Trustor sha11 immediately notify Bene�ciary 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 />D. Tcustor shall immediately notify Beneficiary in writing as soon as Trustor has reason to believe there is any pending
<br />or threatened investigation, claim, vr proceeding relating to the release or threatened release of a� Hazardous
<br />5ubstance or the violadon of any Environmental Law.
<br />18. CONDEMNATION. Trustor will give Beneficiary prompt natice of any pending or threatened acCion, by privaxe or public
<br />emities to purchase or take any or a11 of the Properiy through condemaation, eminent domain, or any other means. Trustor
<br />authorizes Beneficiary to intervene in Trustor's naane in any of the above described actions or claims. Trustor assigns to
<br />Beneficiary the proceeds of any award or claim for damages cannected with a condemnation or other taking of a11 or any
<br />part of the Property. 5uch proceeds shall be considered payments and will be applied as provided in this Securiry
<br />Instrument. This assignment of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreement or
<br />other lien document.
<br />19. INSURANCE. Trustor sha11 keep Property insured against loss by fire, flood, theft and other hazards and risks reasonably
<br />associated with the Property due to its type and l�ation. This insurance shall be maintained in the amounts and for the
<br />periods that Bene�ciary requires. What Lendet 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 subject to Bene�ciary's approval, which
<br />shali not be unreasonably withheld. If Trustor fails to maintain the coverage described above, Beneficiary may, at
<br />Beneficiary's option, obtain coverage to protect Beneficiary's rights in the Property according to the terms of this Security
<br />Instrument.
<br />All insurance policies and renewals shall be acceptable to Bene�ciary and sha11 include a standard "morCgage clause" and,
<br />where applicable, "loss payee clause." Trustor shall immediately notify Beneficiary of cancellation or termination of the
<br />insurance. Beneficiary sha11 have the right to hold the policies and renewals. If Beneficia.ry requires, Ttustor shall
<br />immediately give to Beneficiary a11 receipts of paid premiums and renewal notices. Upon loss, Trustor shall give
<br />immediate notice to the insurance cattier and Beneficiary. Beneficiary ma.y make proof of loss if not made immediately by
<br />Trustor.
<br />(page 3 of 41
<br />� p 1994 Benkers Systeme, Inc., St. Cloud, MN Form RE-DT-NE 1/30(2002
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