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201109439
<br /> DEED OF TRIJST'
<br /> Loan No: 973051721 (�onfiinued) Page 3
<br /> fumish to Le�der advance assurances satisfactory to Lendee that Trustor can and will pay the cost of such
<br /> improvements.
<br /> PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Deed of
<br /> Trust.
<br /> Maintenance of Insurance. Trustor shall procure and maintain policies of fire insurance with standard extended
<br /> coverage endorsements on a replacement basis for the full insura6le value covering all Improvements on 2he Real
<br /> Property in an amount sufficient to avoid application of any coinsurance clause, and with a standard mortgagee
<br /> clause in favor of Lender,together with such other hazard and liability insurance as Lende�may reasona6ly require.
<br /> 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�equest of Lender,wilf deliver to Lender
<br /> from time to time the polieies or certificates of insurance in form satisfactory to Lender,including stipulaYions that
<br /> coverages will not be cancelled or diminished without at least ten (10) days prior written notice to Lender. Each
<br /> insurance policy also shall include an endorsement providing that coverage in favor of Lender will not be impaired
<br /> in any way by any act,omission or default of Trustor or any other person. Should the Real Property be located i.n
<br /> an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area;
<br /> Trustor agrees to o6tain and maintain Federal Flood Msurance,if available,for the full unpaid principal balance of
<br /> the loan and any prior liens on the property seeuring the loan, up to the maximum policy limits set under the
<br /> National Flood Insurance Program,or as otherwise required by Lender,and to maintain such insurance for the term
<br /> of the loan.
<br /> Application of Proceeds. Trustor shall promptly notify Lender of any loss or damage to the Property. Lender may
<br /> make�proof of loss if Trusfor fails to do so within fifteen (15) days of the casualty. Whether or not Lender's��
<br /> security is impaired,Lender may,at Lender`s electi�on,receive and retain the proceeds of any insurance and apply
<br /> the proceeds to the reduction of the Indebtedness,payment of any lien affecYing the Properiy, or the restoration
<br /> and repair of the Property. If Lender elects to apply the proceeds to restoration and repair,TrusIOr shail repair or
<br /> replace the damaged or destroyed Improvements in. a manner satisfactory to Lender. Lender shall, upon
<br /> satisfactory proof of such expenditure, pay or reimburse Trustor from the proceeds for ihe reasonable cost of
<br /> repair or restoration if Trustor is not in default under this Deed of Trust. Any proceeds which have not been
<br /> disbursed within 180 days after their receipt and which Lender has not committed to the repair or restoration of
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Trust,then to pay accrued
<br /> interest,and the remainder,if any,shafl be applied to the principal balance of the Indebtedness. If Lender holds
<br /> a�y proceeds after payment in full of the Indebtedness, such proceeds shall be paid to TrusYOr as Trustor's
<br /> interests may appear.
<br /> LENDER'S IXPENDITURES. ff Trustor fails (A) to keep the Property free of all taxes, liens, security interests,
<br /> encumbrances,and other claims, (B) to provide any required insurance on the Property,or (C) to make repairs to the
<br /> Property then Lender may do so. If any action or proceeding is commenced that would materially affect Lender's
<br /> interests in the Property, then Lender on Trustor's behalf may, bui is not required to, take any action that Lender
<br /> believes to be appropriate to protect Lender's interests. All expenses incurred or paid by Lender for such purposes will
<br /> then bear interes[at the rate charged undet the Note firom the date incurzed or paid by Lender to the date of repayment
<br /> by Trustor. All such expenses will become a part of the Indebtedness and,at Lender s option,wiy (A) be payable on
<br /> demand; (B) be added to the balance of the Note and be apportioned among and be payable with any installment
<br /> payments to become due during either (1) the term of any applica6le insurance policy;or �2) the remaining term of �
<br /> the Note;or (C) be treated as a balloon payment which will be due and payable at the Note's maturity. The Deed of
<br /> Trust also will secure payment of these amouMS: The rights provided for in this paragraph shall be in addition to any
<br /> other rights or any remedies to which Lender may be entitled on account of any default. Any such action by Lender
<br /> � shall not be consUued as curing the default so as to har Lender from any remedy that it otherwise would have had.
<br /> WARRANTY;DEFENSE OF TITLE. The fiollowing provisions relating to ownership of the�Property are a part of this Deed.
<br /> of Trust:
<br /> Title. Trustor warrants that: (a)Trustor holds good and marketable title of record to the Proper2y in fee simple,
<br /> free and clear of all liens and encumbrances other than those set forth in the Real Property description or in any
<br /> title insurance policy,title report, or final iide opinion issued in favor of, and accepted by, Lender in connection
<br /> with this Deed of Trust.,and (b)Trustor has the full right,power,and authoriry to execute and deliver this Deed of
<br /> Trust to Lender.
<br /> Defense of Title. Subject to the exception in the paragraph above,.Trustor warrants and wil.l forever defend the
<br /> title to the Property against ihe lawful daims of all persens. In the event any action or proceeding is commenced
<br /> that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust,Trustor shall defend the
<br /> action at Trustor's expense. Trustor may be the nominal party in such proceeding, but Lender shall t�e entitled to
<br /> participate in the proceeding and to 6e represented in the proceeding by counsel of Lender's own choice, and
<br /> Trustor wili deliver,or cause to be delivered,to Lender such instruments as Lender may request from time to time
<br /> to permit such participation.
<br /> Compliance With Laws. Trustor warrants that the Property and Trustor's use of the Property complies with all
<br /> existing applicable laws,ordinances,and regulations of governmental authorities.
<br /> Survival of Promises. All promises, agreements, and statements Trustor has made in this Deed of Trust shall
<br /> survive the execution and delivery of this Deed of Trust,shall be continuing in nature and shall remain.in(ull force
<br /> and effect until such time as Trustor's Indebtedness is paid in full.
<br /> CONDEMNATION. The following provisions relating.to condemnation proceedings are a part of this Deed of Trusti
<br /> Proceedings. If any proceed[ng in condemnation is filed, Trustor shall promptly notify Lender in writing, and
<br /> Trustor shall promptly take such steps as may be necessary to defend the actio�n and obtain the award. Trustor
<br /> may be the nominal par[y in such proceeding,but Lender shall be entitled to participate in the proceeding and to be
<br /> represented in the proceediog 6y counsel of its own choice, and Trustor will deliver or cause co be delivered to
<br /> Lender such instruments and docume�ntation as may be requested by Lender from time to time to permit such
<br /> participation.
<br /> Appiication of Net Proceeds. If all or any part o#the Property is candemned by eminent domain proceetlings or by
<br /> any proceeding or purchase in lieu of condemoation,Lender may at its election require that all ar any portion of the
<br /> net proceeds of the award be applied to the Indebtedness or the repair or restoration or the Property. The net
<br /> proceeds of the award shall mean the award after payment of ail reasonable costs,expenses,and attorneys'fees
<br /> incurred 6y Trustee or Lender in connection with the condemnation.
<br /> IMPOSITION OF TAXES,FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating
<br /> to governmental taxes,fees and charges are a part of this Deed of Trust:
<br /> . Current Taxes,Fees and Charges. Upon requesi by Le�der,Trustor shall execute such documents in addition to
<br /> this Deed of Trast and take whatever other action is requested by Lender to perfect and continue lender's lien on
<br /> the Real Property. Trustor shall reimburse Lender for all taxes, as described below,together with all expenses
<br /> incurred in recording, perfecting or continuing this Deed of Trust, including withaut limitation all taxes, fees,
<br /> documentary stamps,and other charges for recording or registering this Deed of Trust.
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