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HomeMy WebLinkAbout1230 events the Mortgagee may, at its option, declare the entire indebtedness hereby secured due and payable upo~ six months' notice. If such option is exercised and notice given, then upon the expiration of such six months' notice, the entire indebtedness hereby secured shall be due and payable and nonpayment thereof shall constitute a default under this mortgage, and the same may be collected by foreclosure or in any other manner provided by law. However, if the Mortgagor pays the said additional assess- ment in cash within said-six raonths' period, then the right of the Mortgagee to accelerate the debt secured hereby, for said specific nonpayment, shall terminate as to such default, without in any manner affecting the rights of the Mortqagee under any other existing or subsequent default under this r.~ortgage or the note secured hereby. 11. It is mutually understood and agreed that Mortgagee, in making the advance(s) for which this Mortgage and Security Agree- ment is security,~has investigated and is relying upon the quality of husbandry utilized upon the premises described herein, upon the agricultural and farming skills of Mortgagor, and upon information furnished by certain third parties whom Mortgagee has contacted regarding the financial condition and farming skills of Mortgagor. Accordingly, ~ortgaqor covenants and agrees that in the event of the sale or other disposition of the property described her~in, Mortgagee or any holder of the hote secured hereby shall have the right, at its option, to require that the principal amount of the indebtedness secured hereby be reduced to seventy-five percent (75$) of the principal amount disbursed, exclusive of any re- quired payments on principal for release of security, insurance losses or condemnation awards. In the event of the exercise of such option by Mortgagee and in the event Kortgagor or Mort- gagor's successors or assigns, shall fail or neglect promptly to make such payments as are necessary to so reduce said principal, Mortgagee shall have the right, at its option, immediately and without further notice, to declare the entire indebtedness secured or to be secured by this mortgage to be immediately due and payable and to foreclose or to exercise any other rights or ren~dies which Hortgagee shall have in the premises. Failure of the Mortgagee to exercise this option shall not be dee~ed a waiver of this option as to any subsequent sale or other dis- position of the property hereinabove described or referred to herein. 12. This mortgage shall secure not only existing indebted- ness, but also such future advances, whether such advances are obligatory or to be made at the option of the Mortgagee, or otherwise, as are made within twenty (20) years from the date hereof, to the same extent as if such future advances were made on the date of the execution of this Mortgage, but such secured indebtedness shall not exceed at any time the maximum principal amount of FIVE HUNDRED THOUSAI3D AND 00/100 DOLLARS ($500,000.00) plus interest and any disbursements made for the payment of taxes, levies or insurance_on the property covered by the lien of this mortgage, with interest on such disbursements. 13. When and if Mortgagor and Mortgagee shall respectively become the.Debtor and Secured Party in any Uniform Commercial Code Financing Statement affecting property either referred to or described herein, or in any way connected with the use. and en- joyment of these premises, this mortgage shall be deemed the Security Agreement as defined in said Uniform Commercial Code and the remedies for any violation of the covenants, terms and con- ditions of the agreements herein contained shall be (i) as pre- scribed herein, or (ii) by general law, or (iii) as to such part of the security which is also reflected in said Financing State- ment by the specific statutory consequences now or hereafter - 5 - ~3~5 p~1?.2?~