|
� � �. . y _ 201108304
<br />Financial Reports and Additional Documents. T�rustor will provide to Beneficiary upon request, any financial statement
<br />or information Beneficiary may deem reasonably necessary. Trustor agrees to sign, delrver, and file any additional
<br />documents or certifications 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 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 Property. This right is sub�ect to the
<br />restrictions imposed by federai law (12 C.F.R. 591), as;applicable.
<br />8. DEFAULT. Trustar 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 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 maintam required insurance
<br />on the Property; (b) Trustor transfers the Property; (c) Trustar commits waste or otherwise desCructively uses or fails to
<br />maintain the Property such that the action or inaction adversely affects Beneficiary's security; (d) Trustor fails to 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 to the lien
<br />of this Security Instrument; (e) a sole Trustor dies; (� 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�udgment is filed against Trustor and
<br />subjects Trustor and the Property to action that adversely affects Beneficiary's mterest; or (i) a prior lienholder forecloses
<br />on the Property and as a result, Beneficiary's inter�t �s.adversely affected.
<br />Executive Officers. Any Barrower is an executive Ao�ficer 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 foredose 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 Tnzstor with notice of the right to
<br />cure, or other notices and may estabiish time schedules fozeclosure actions, Each Trustor requests a copy of any notice
<br />of default and any notice of sale thereunder.be mailed to each �'rustor 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 shall become
<br />immediately due and payable, after givmg 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 fhe �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 Trustar at such time and piace as Trustee designates. Trustee shali give notice of sale including 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, sha11 �ay to
<br />Beneficiary a11 moneys advanced for repairs, taxes, msurance, liens, assessments and prior encumbrances and mterest
<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 canveyance shall be prima facie evidence of the facts set forth therem.
<br />The acceptance by Beneficiary of any sum in payme�t or..partial payment on the Secured Debt after the balance is due or is
<br />accelerated or after foreclosure proceedings are filed shall, n� constitute a waiver of Beneficiary's right to require complete
<br />cure of any existing default. By not exercismg`ariy remedy�bn'Trustor's default, Beneficiary does not waive Beneficiary's
<br />right to later consider the event a default if it happens again. '
<br />10. EXPENSES; ADVANCES ON COVENANTS; ATTORNEY5' 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 security interest in the Praperty. 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 expenses are payable
<br />on demand and will bear interest from the date qf,payment until paid in full at the highest rate of interest in effect as
<br />provided in the terms of the Secured Debt. Tn�stqr; agrees , to pay all costs and expenses incurred by Beneficiary in
<br />collecting, enforcing or protecting Beneficia�y'�,right�,and z�emedies under this Security Instrument. This amount may
<br />include, but is not limited to, Trustee's fees, caurt costs and other legal expenses To the extent permitted by the United
<br />States Bankruptcy Code, Trustor agrees to pay the reasor�ab�e attorneys' fees Beneficiary incurs to collect the Secured Debt
<br />as awarded by any court exercising �urisdiction under fhe Bankruptcy Code. This Security Instrument shall remain in effect
<br />until released. Trustor agrees to pay for any recordation costs of such release.
<br />11. ENVIRONMEN'I'AL LAWS AND HAZARDOIJS 'SUBSTANCES. As used in this section, (1) 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, 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 acknowled
<br />located, stored or released on or in the Prope
<br />Substances that are generally recognized to l�e ;�
<br />B. Except as previously disciosed and acknowled�
<br />and shali remain in full compliance with:�n}�,��
<br />C. Trustor shall immediately notify Beneficiary i:
<br />under �r about the Property or there is' a vioI�
<br />event, Trustor shall take all necessary remedial
<br />�/��- OO 1994 Bankers Systems, Inc., St. Cloud, MN Form OCP-REDT-NE
<br />in writing to Beneficiary, no Hazardous Substance is or will be
<br />This restriction does not apply to small quantities of Hazardous
<br />�priate for the normal use and mamtenance of the Property.
<br />i writmg to Beneficiary, Trustor and every tenant have been, are,
<br />�bl� Environmental Law.
<br />�lease or threatened release of a Hazardous Substance occurs on,
<br />of any Environmental Law concerning the Property. In such an
<br />�n in accordance with any Environmental Law.
<br />� age 3 of 4J
<br />1/31/2003
<br />o-�
<br />
|