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�0��0640G
<br />Financial Reports and Additional Documents. Trustor will provide to Bene�ciary upon request, any financial statement
<br />or information Beneficiary may deem reasonably necessary. Trustor agrees to sign, deliver, agd file any additional
<br />documents or certificatiomms that Beneficiary may consider necessary to perfect, continue, and preserve Trustor's obligations
<br />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�l estate conveyed by this
<br />Security Instrument and has the right to inevocably grant, convey, and sell the Property to Truste�, in trust, with power of
<br />sa1e. 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 Property. This right is sub�ect to the
<br />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 Secured Debt that
<br />is an open end home equity plan.
<br />Payments. Any Consumer Borrower on any Secured Debt that is an open end home equity plan fails to make a payment
<br />when due.
<br />Property. Any action or inaction by the Bonower or Trustor occurs that adversely affects the Fyroperty or Beneficiary's
<br />rights in the Property. This includes, but is not limited to, the following: (a) Trustor fails to maintam required insurance
<br />on the Property; (b) Trustor transfers the Property; (c) Trustor commits waste or otherwise destiructively uses or fails to
<br />maintain the Property such that the action or inaction adversely affects Beneficiary's security; (d) Trustor fails to pay ta�ces
<br />on the Property or otherwise fails to act and thereby causes a lien to be filed against the Property that is senior to the lien
<br />of this Secunty Instrument; (e) a sole Trustor dies; (fj if more than one Trustor, any Trustor dies and Beneficiary's
<br />security is adversely affected; (g) the Property is taken through eminent domain; (h) a judgment is filed against Trustor and
<br />subjects Trustor and the Prope to action that adversely affects Bene�ciary's interest; or (i) a pr�or lienholder forecloses
<br />on the Property and as a result,�ene�ciary's interest is adversely affected.
<br />Executive Of�icers. Any Bonower is an executive officer of Beneficiary or an affiliate and such Borrower becomes
<br />indebted to Beneficiary or another lender in an aggregate amount greater than the amount permitted under federal laws and
<br />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 1aw if Trustor
<br />is in default. In some instances, federal and state law will require Bene�ciary to provide Trustor with notice of the right to
<br />cure, or other notices and may establish time schedules for foreclosure actions. Each Trustor requests a copy of any notice
<br />of default and any notice of sale thereunder be mailed to each Trustor at the address provided in Section 1 above.
<br />At the option of the Beneficiary, all or any part of the agreed fees and charges, accrued interest and principal sha11 become
<br />immediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime
<br />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 />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 Trustur at such time and place as Trustee designates. Trustee sha11 give notice of sala inciuding the time,
<br />terms and place of sale and a description of the property to be sold as required by the applicable law in effect at the time of
<br />the proposed sale.
<br />Upon sale of the Property and to the extent not prohibited 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 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. Bene�ciary ma
<br />purchase the Property. The recitals in any deed of conveyance shall be prima facie evidence of the facts set forth therein. y
<br />The acceptance by Beneficiary of any sum in pa ment or partial payment on the Secured Debt after the balance is due or is
<br />accelerated or after foreclosure proceedings are �led shall not constitute a waiver of Beneficiary 's right to require complete
<br />cure of any existing default. By not exercising any remedy on Trustor's default, Bene�ciary does not wa�ve Beneficiary's
<br />right to later consider the event a default if it happens again.
<br />10. EXPENSES; ADVANCES ON COVENAN'I'S; ATTORNEYS' FEES; COLLECTION COSTS. If Trustor breaches
<br />any covenant in this Security Instrument, Trustor agrees to pay all expenses Beneficiary incurs in performing such
<br />covenants or protecting its secunty interest in the Property. Such expenses include, but are not limited to, fees incurred for
<br />inspecting, preserving, or otherwise protecting the Property and Bene�ciary's security interest. These expenses are payable
<br />on demand and will bear interest from the date of payment until paid in full at the highest rate of interest in effect as
<br />provided in the terms of the Secured Debt. Trustor agrees to pay all costs and expenses incuned by Beneficiary in
<br />collectmg , enforcittg or protecting Beneficiary's rights and remedies under this Secunty 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 United
<br />States Bankruptcy Code, Trustor agrees to pay the reasonable attorneys fees Beneficiary incurs to collect the Secured Debt
<br />as awarded by any court exercising �urisdiction under the Bankruptey Code. This Secunty Instrument shall remain in effect
<br />until released. Trustor agrees to pay for any recordation costs of such release.
<br />11. ENVIRONMENTAL LAW5 AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law
<br />means, without limitation, the Comprehensive �nvironmental 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, attorney general
<br />opinions or interpretive letters concerning the public health, 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 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 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 maintenance of the Property.
<br />B. Except as previously disclosed and acknowledged in writing to Beneficiary, Trustor and every.tenant have been, are,
<br />--•and shail=�e�aizt compliance with any applicable Environmental Law.
<br />; C.'Trustar.`sha11 i�unecliately notify Beneficiar,y if a release or threatened release of a Hazardous Substance occurs on,
<br />.,under��or about ihe �'roperty or there is a violation of any Environmental Law conceming tk�e Property. In such an
<br />� . event; �ausfor shall take all necessary remedial action in accordance with any Environmental 1,aw.
<br />� � (page 3 of 41
<br />� �O 1994 Benkers Systems, Inc., St. Cioud, MN Form OCP-REDT-NE 1/31/2003
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