HomeMy WebLinkAbout0961 shall keep the Property in good repair and shall not commit
waste or permit impairment or deterioration of the Property.
6. PROTECTION OF LENDER'S SECURITY. If Borrower i
fails to perform the covenants and agreements contained I
in this Mortgage, or if any action or proceeding is commenced '
which materially affects Lender's interest in the Property,
including, but not limited to, eminent domain, insolvency,
code enforcement or arrangements or proceedings involving
a bank.rupt or decedent, then Lender at Lender's option;
upon notice to Barrower, may make such appearances, disburse
such sums and take such action as is necessary to protect
Lender's interest, including, but not limited to,
d•i~bursement of reasonable attorney's fees and entry upon
the Property to make repairs.
Any amounts disbursed by Lender pursuant to this
paragraph 6 with interest thereon, shall become additional
i;~debtedness of Borrower secured by this Mortgage. Unless
Borrower and Lender agree to other terms of payment, such
amounts shall be payable upon notice from Lender to Borrower
requesting payment thereof, and shall bear interest from
the date of disbursement at the rate payable from time
to time on outstanding principal under the Note unless
payment of interest at such rate would be contrary to
applicable law, in which interest at such rate would be
contrary to applicable law, in which event such amounts
shall bear interest at the highest rate permissible under
~ applicabl2 law. Nothing contained in this paragraph 6
- shall require Lender to incur any expense or take any action
hereunder.
7. INSPECTION. Lender may make or cause to be made
reasonable entries upon and inspections of the Property,
provided that Lender shall give Borrower notice prior to
any such inspection specifying reasonable cause therefor
related to Lender's interest in the Property.
8. CONDEMNATION. The proceeds of any award or claim
for damages, direct or consequential, in connection with
any condemnation or other taking of the Property, or part
t thereof, or for conveyance in lieu of condemnation, are
~ hereby assigned and shall be paid to Lender.
~ In the event of a total taking of the Property, the
proceeds shall be applied to the sums secured by this
Mortgage, with the excess, if any, paid to Borrower. In
the event of a partial taking of the Property, unless
Borrower and Lender otherwise agree in writing, tnere shall
be applied to the sums secured by this Mortgage such
proportion of the proceeds as is equal to that proportion
which the amount of the sums secured by this Mortgage
immediately prior to the date of taking bears to the fair
market value of the Property immediately prior to the date
of taking, with the balance of the proceeds paid to Barrower.
If the Property is abandoned by Borrower, or if , after
notice by Lender to Borrower that the condemnor offers
to make an award or settle a claim for damages, Borrower
fails to respond to Lender within 30 daxs after the date
such notice is mailed, Lender is authorized to collect
~ and apply the proceeds, at Lender's option, either to
restoration or repair of the Property or to the sums secured
by this Mortgage.
Unless Lender and Borrower otherwise agree in writing,
any such application of proceeds to principal shall not
extend or postpone the due date of the payments referred
to in paragraph 1 or change the amount of such payments.
9. BORROWER NOT RELEASED. Extension of the time
for payment or modification or amorti2ation of the sums
.
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