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03-�0-1998 DEED OF TRUST 98` 1�3091. Page 3
<br /> Loan No 673673 (Continued)
<br /> • Evidence of Payment. Trustor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and shall
<br /> authorize the appropriate governmental o�cial to deliver to Lender at any time a written statement of tha taxes and assessments against the
<br /> Property.
<br /> Notice of Construction. Trustor shall notify Lender at least fifteen(15)days before any work is commenced,any services are furnished,or any
<br /> materials are supplied to the Prope�ty, if any mechanic's lien, materialmen's lien, or other lien could be asserted on account of the work,
<br /> services,or maferials. Trustor will upon request of Lender furnish to Lender advance assurances satisfactory 10 Lender that Trustor can and will
<br /> pay the cost of such improvements.
<br /> PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Deed of Trust.
<br /> Maintenance of Insurence. Trustor shall procure and maintain policies of fire insurance with standard extended coverage endorsements on a
<br /> replacement basis for the fuli insurable value covering all Improvements on the Real Property in an amount suiflcient to avoid application of any
<br /> coinsurance clause,and with a standard mortgagee clause in tavor of Lender,together with such other hazard and liability insurance as Lender
<br /> may reasonably require. Policies shall be written in form, amounts, coverages and basis reasonably acceptable to Lender and issued by a
<br /> company.or companies reasonably acceptable to Lender. Trustor, upon request of Lender,will deliver to Lender from time to time the policies
<br /> or certificates of insurance in form satisfactory to Lender, including stipulaHons that coverages will not be cancelled or diminished without at
<br /> least ten(10)days'prior written notice to Lender. Each insurance policy also shall include an endorsement providing that coverage in favor of
<br /> Lender will not be impaired in any way by any act, omission or default of Trustor or any other person. Sfiould the Real Property at any time
<br /> become located in an area designated by the Director of the Federal Emergency Management Agency as a special flood hezard area,Trustor
<br /> agrees to obtain and maintain Federal Flood Insurance for the full unpaid principal balance of the loan, up to the maximum policy Iimits set
<br /> under the National Flood Insurance Program,or as otherwise requ(red by Lender,and to maintain such insurance for the term of the loan.
<br /> Applicailon of Proceeds. Trustor shall promptly notify Lender of any loss or damage to 1he Property. Lender may make proof of loss H Trustor
<br /> fails to do so within 8fteen(15)days of the casualiy. Whether or not Lender's security is impafred,Lender may,at its election,receive and retain
<br /> the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness,payment of eny lien affecting the Property, or the
<br /> restoration and repair of the Property. If Lender elects to apply ihe proceeds to restoration and repair, Trustor shall repair or replaCe the
<br /> damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon saiisfactory proof of such expenditure, pay or
<br /> reimburse Trustor from the proceeds for the reasonable cost of repair or restorat(on it Trustor fs not in default under lhis Deed of Trust. Any
<br /> proceeds which have not been disbursed wiihin 180 days after their receipt and which Lender has not committed to the repair or restorallon of
<br /> the Property shall be used first to pay any amount owing to Lender under ihis Deed of Trust,then 10 pay accrued interest,and the remainder,if
<br /> any,shall be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment in full of the Indebtedness,such
<br /> proceeds shall be paid to Trustor as Trustor's interests may appear.
<br /> Unexpired Insurance at Sale. Any unexpired insurance shall inure io the benefit oi,and pass to,the purchaser of the Property covered by this
<br /> Deed of Trust at any trustee's sale or other sale held under the provisions o(this Deed of Trust,or at any foreclosure sale of such Property.
<br /> EXPENDITURES BY LENDER. If Trustor fails to comply with any provision of this Deed of Trust, or if any action or proceeding is commenced that
<br /> wouid materially affect Lender's interests in ihe Property, Lender on Trustor's behalf may, but shall not be required to, take any action that Lender
<br /> deems appropriate. Any amount lhat Lender expends in so doing wiil bear interest at the rate provided for in ihe Note from the date incurred or paid
<br /> by Lender to the date of repayment by Trustor. All such expenses,at Lender's option,will (a)be payable on demand, (b)be added to the balance
<br /> of the Note and be apportioned among and be payable with any installment payments to become due during either (i)the term of any applicable
<br /> insurance policy or (ii)the remaining term oi fhe Note,or (c)be treated as a balloon payment which will be due and payable at the Note's maturity.
<br /> This Deed of Trust also will secure payment of these amounts. The rights provided for in this paragraph shall be in addition to any other rights or any
<br /> remedies to which Lender may be entitled on account of the default. Any such action by Lender shall not be construed as curing the default so as to
<br /> bar Lender from any remedy that it otherwise would have had.
<br /> WARRANTY;DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a pa�t of this Deed of Trust.
<br /> Title. Trustor warrants that: (a)Trustor holds good and marketable title of record to the Property in fee simple, free and clear of all liens and
<br /> encumbrances other than those set fo�th in the Real Property description or in any title insurance policy,title report,or final title opinion issued in
<br /> favor of,and accepted by,Lender in connection with this Deed of Trust,and (b)Trustor has the full right,power,and authority to execute and
<br /> deliver this Deed of Trust to Lender.
<br /> Defense of Title. Subject to the exception in the paragraph above,Trustor warrants and will forever defend the title to the Property against the
<br /> lawful claims of all persons. In the event any action or proceeding is commenced that questions Trustor's title or the interest oi Trustee or
<br /> Lender under this Deed of Trust,Trustor shall defend the action at Trustor's expense. Trustor may be the nominal party in such proceeding,but
<br /> Lender shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of Lender's own choice, and
<br /> Trustor will deliver,or cause to be delivered,to Lender such instruments as Lender may request from time to time to permit such participation.
<br /> Compliance With Laws. Trustor warrants that the Property and Trustor's use of the Property complies with all existing applicable laws,
<br /> ordinances,and regulations of governmental suthorities.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Deed of Trust.
<br /> AppUcatfon of Net Proceeds. It all or any part of the Property is condemned by eminent domaln proceedings or by any proceeding or
<br /> purchase in lieu of condemnation,Lender may at its election require that all or any portion of the net proceeds of the award be applied to the
<br /> Indebtedness or the repair or restoration of the Prope�ty. The net proceeds of the award shall mean the award aHer payment of all reasonable
<br /> costs,expenses,and attorneys'fees incurred by Trustee or Lender in connection with the condemnation.
<br /> Proceedings. If any proceeding in condemnation is filed,Trustor shall promptly notify Lender in writing, and Trustor shall promptly take such
<br /> steps as may be necessary to defend the action and obtain the award. Trustor may be the nominal party in such proceeding,but Lender shall
<br /> be entiiled to participate in the proceeding and to be represented in the proceeding by counsel of its own choice, and Trustor will deliver or
<br /> cause to be delivered to Lender such instruments as may be requested by it from time to time to permit such participation.
<br /> IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental texes,
<br /> fees and charges are a part of this Deed of Trust:
<br /> Current Taxes,Fees and Charges. Upon request by Lender,Trustor shall execute such documents in addition to this Deed of Trust and take
<br /> whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Properfy. Trustor shall reimburse Lender(or all
<br /> taxes, as described below, together with all expenses incurred in recording, perfecting or continuing this Deed of Trust, including without
<br /> limitation all taxes,fees,documentary stamps,and other charges for recording or registering this Deed of Trust.
<br /> Taxes. The following shall constitute taxes to which this section applies: (a)a specific tax upon this type of Deed of Trust or upon all or any
<br /> part of the Indebtedness secured by this Deed of Trust; (b)a specific tex on Trustor which Trustor is authorized or requlred to deduct from
<br /> payments on the Indebtedness secured by this type o�Deed of Trust; (c)a tax on this type of Deed of Trust chargeable against the Lender or
<br /> the holder of the Note; and (d) a speci�ic tau on all or any portion of the Indebtedness or on payments of principal and interest made by
<br /> Trustor.
<br /> Subsequent Taxes. If any tax to which this section applies is enacted subsequent to the date of this Deed of Trust,this event shall have the
<br /> same effect as an Event of Default(as defined below), and Lender may exercise any or all of its available remedies for an Evenf of Default as
<br /> provided below unless Trustor either (a)pays the tax before it becomes delinquent,or (b)contests the tax as provided above in the Taxes and
<br /> Liens section and deposits with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender.
<br /> SECURITY AGREEMENT;FINANCING STATEMENTS. The following provisions relating to ihis Deed of Trust as a security agreement are a part of
<br /> ihis Deed of Trust.
<br /> Securlty Agreement. This instrument shall constitute a security agreement to the extent any ot the Property constitutes fixtures or other
<br /> personal property, and Lender shall have all of the rights of a secured party under the Uniform Commercial Code as amended irom time to
<br /> time.
<br /> Security Interest. Upon request by Lender,Trustor shall execute financing statements and take whatever other action is requested by Lender
<br /> to perfect and continue Lender's security interest in the Rents and Personal Property. In addition to recording this Deed of Trust in the real
<br /> property records,Lender may,at eny time end withoui fu�ther authorization from Trustor,file executed counterparts,copies or reproductions of
<br /> this Oeed of Trust as a financing statement. Trustor shall reimburse Lender for all e�cpenses incurred in perfecting or continuing fhis security
<br /> interest. Upon default,Trustor shall assemble the Perso�al Property in a manner and at a place reasonably convenient to Trustor and Lender
<br /> and make it available to Lender wiihin three(3)days afler receipt of written demand from Lender.
<br /> Addresses. The mailing addresses of Trustor (debtor) and Lender (secured party), f�om which information concerning the security interest
<br /> granled by lhis Deed oi Trust may be obtained(each as required by the Uniform Commercial Code),are as stated on the first page of this Deed
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