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If Lender required martgage insurancc as a condition of making the loan sccured by this Security Instrument,
Dorrower shall pay the premiums required to maintain the insurance in effiect until such time as the requirement for the
insurance terminates in accordance with Borrowet's attd Lender's written agreement or applicable law.
8. Inspection, Lender or its agent may make reasonable entrics upon and ins~sections of the Property. Lender
shall give Borrower notice xt the time of or prior to an insptction specifying reasonable cause for the inspection.
9. Condemnatton. The pro~eeds oPany award ar claim for damages, direct or consequential, in connection with
any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby
assigned and shall be paid to L~nder.
In the event of a total taking of the Prnpeny, the proceeds shall be apptied to the sums secured by this 5ecurity
InstrUment, whether or not then due, with any excess paid to Borrower. In the event oP a partial taking of th~ Property,
unless Borrower and Lender oiherwise agree in writing, tt~e sums secured by this Security Instrument shall be reduced by
the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately
tsefore the taking, divided by (b) the fair market value of the Proptrty immediately before the taking. Any baiance shali be
paid to Barrower. .
If the ~'roperty is abandoned by Borrower, or if, after notice by Lender to Borrower that the condemnor ofTers to
make an award or settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is
given, Lender is authorized to collect and apply the preceeds, at its option, either t~ restoration or repair of the Yroperty or
to the sums secured by this Se~urity Instrument, whether ar not then due.
Unless Lender and Sorrower othenvise agree in writing, any application of proceeds to principal shall not extend or
postpone the due date of the r~onthly payments referred to in paragraphs 1 and 2 or change the amount of such payments.
10. ~orrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or
mo~ification of amortization of the sums secured by this Security Instrum~nt granted by Lender to any successor in
interest of Borrower shall not operate to releaso the liability of the original Borrower or Borrower's successors in interest.
Lender shall not be required to commence proceedings against any successor in interest or refuse to exte~d time for
payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made
by the original Borrower or Bortower's successors in interest. Any forbearance by Lender in exercising any right or remedy
shal! not be a waiver of or preclude the exercise of any right or remedy. .
11. Successors und Assigns Bound; Jnint end Several Liability; Co-slgners. The covenants and agreements of
this Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower, subjeci to the provisions
of paragraph 17. Borrower's covenants and agreements shaU be joint and several. Any Borrower who co-signs this S~curity
Instrument but does not execute ttie Note: (a) is co-signing this Security Instrument only to mortgage, grant and convey
that Borrower's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay
the sums secured by this Security Instrument; and (c) agrees that I,ender and any other Borrower may agree to extend,
modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without
that Borrower's conssnt.
12. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan
charges, and that law is finally interpreted so that the interest Qr other loan charges collected or to be collected in
connectioii with the loan exceed ehe permitted limits, then: (a) any such loan charge shall be reduced by the amount
necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which exceeded
permitted limits will be refunded to Borrower. Lender may choose to make this rei'und by reducing the principal owed
under the Note or by making a direct.payment to Borrower. If a refund reduces principal, the reduction will be treated as a
partia! prepayment svithout any prepayment charge under the Note.
13. Legislation Affeeting Lender's. Rights. If enactment or expiration of applicable laws has the efTect of
rendering any provision of the Note or this Seeurity Instrument unenforceable according to its terms, Lender, at its option,
may require immediate payment in full of ail sums secured by this Security Instrument and may invoke any remedies
permitted by paragraph 19. If L,ender exercises this option, Lender shall take the steps specified in the second paragraph of
paragraph 17. ~ .
1Q. Notices. Any notice to Borrower provided for in this Security Instrument shail be given by delivering it or by
mailing it by first class mail unless applicable law requires use of another method. The notice shali be directed to the
Property Address or any other address Borrower designates by notice to i,ender. Any notice to Lender shall be given by
first class mail to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice
provideif for in this Security Instrument shall be deemed to have been given to Borrower or Lender when given as pro'vided
in this paragraph. .
15, Governing I,aw; Severab~lity. This Security Instrument shall be governed by federa! law and the taw of the
jurisdiction in which the Praperty is located. In the event that any provision or clause of this Security Instrumeni or the
Note conflicts wit6 applicabte law, such conflict shall not affect other provisions of ih~s Security Instrument or the Note
which can be given effeet without the conflicting provision. To this end the provisions of this Security Instrument and the
Note are declared to be severable.
16. Borrower's Copy. Borrower shall be given one canformed copy of the Note and of this Security Instrument.
17. Transfer of the Property or a Beneflcial Interest in Borrower. If ali or any part of the Property or any
interest in it is sold or transferred (or if a beneficiat interest in Borrower is sold or transferred and Borrower is not a natural
person) without Lender's prior written consent, L,ender may, at its option, require immediate payment in full of all sums
secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise is prohibited by
federal law as of the date of this Security Instrurnent.
If Lender exercises this option, I,ender shall give Borrower notice of acceleration. The notice shall provide a period
of not less than 30 days from the data the notice is delivered or maited within which Borrower must pay all sums secured by
this Security Instrument. If Borrower fails to pay these surns prior to the expiration of this period, Lender may invoke any -
remedies permitted by this Security lnstrument without further notice or demand on Borrov~er. .
18. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have
enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as
applicable lav?~ may sperify for reinstatement) before sale of the Property pursuant to any power of sale contain~d in this
Security Instrument; or (bj entry of a judgment enforcing this Szcurity Instrument. Those conditions are that Burrower:
(a) pays Lender all sums which thtn would be due under this Security Instrument and the Note had no acceleration =
occurred; (b) cures any default of any other covenants or agreements; (c) pays all ~xpenses incurred in enforcing this
Security Instrument, including, but not lirnited to, reasonable attorneys' fee.c; and (d) takes such action as Lender may
reasonai~ly require to assure that the lien of this Security Instrument, Lender's rights in the Property and Borrower's -
obfigation to pay the sums secured by this Security Instrument sha!! continu~ unchang~. Upon reinstatement by
Borr~wer~ this Security Instrument and the obligations seeured hereby shall remain fully effective as if no acceleration had
occurred. However, this right to reinstate shall not apply in the case ~f ~cceleration under paragraphs 13 or 17
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