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Home My WebLink About0990 % rroiaetion oi Lentiar's Securiiy. ii 3orrQNar ia~is iu periurm ine covenanls and ayreerl~ents conia~neci m ~n~s Secunty insirumeni or ~n the other Credit Documents, or ~f any acLon or proceeding is commenced wh~ch materially affects Lender's ~nteresl in the Property, then Lender, at Lender's option, up~n notice to Borrower, may make such appearances, disburse such sums, ~ncluding reasonabte attorneys' fees, and take such act~on as is necessary to protect Lender's inlerest. If Lender required mortgage insurance as a condition of making the loan secured by this Security Instrument, Borrower shall pay ihe premiums required to maintain such insurance in et(ect until such a time as the requirement for such insurance terminates in accordance w~th Borrower's and Lender's written agreement or a~~licable law. Any amount disbursed by Lender pursuant to this paragraph 7, with interest thereon, at the Note rate, shal~ .,ecome additional indebtedness of Borrower secured by this Security Instrument Unless Borrowe~ and Lender agree to other terr*~- oi payment, such amounts shafl be payable upon notice from Lender to Borrower reguesting payment thereof Nothing contained in th~s paragraph ~ shall require Lender to ir.c~:r any axpenses or take any action hereunder. II Inspaction. Lender or its agent may make reasonable entries upon and inspect~on of the Property. Lender shall give Borrower notice prior to an inspection specify~ng reasonable cause for the inspection. 9 Condemnatfon. The proceeds of any award or claim for damages, direct or consequen!~al, ~n connection with any condemnation or other taking of the Property, or part thereof, or tor conveyance in I~eu of condemnat~on, are hereby assigned and shall be paid to Lender, suGject to the terms of any mortgage, deed of trust or other security agreement with a lian which has priority over this Security Instrument. ? 0. Borrower Not Releaaed; Forbearance By Lender Not a Walver. Extension of time for payment, acceptance by Lender of payments other than according to ihe terms of the Credit Documents, or modificat~on of amortization of the sums secured by this Security Instrument granted by Lender to any successor in interest of Borrower shall not operate to release the liability of the ong~nal Borrower or Borrower's successors in interest. Lender shail not be required to commence proceedings against such successor in interest or refuse to extend time for payment or otherwise modify amortizat~on of the sums secured by this Security Instrument by reason o! any demand made by the onginal Borrower or Borrower's successors In interest Any forbearance by Lender in exercising any nght or remedy shall not be a waiver ot or preclude the exercise of any right or remedy. lender shalt not be d2emed, by any act of omission or commission, to have waived any of its rights or remedies hereunder unless such waiver is in writing and signed by Lender. Any such waiver shall apply only to the extent specifically set forth in the writing. A waiver as to one event shall not be construed as continuing or as a waiver as to any other event. t Successon and As=igns 8ound; Joint and Several Llability; Co-Signer. The covenants and agreements of this Security Instrument shatl bind and benefit the successors and ass~gns of ! ender and Borrower, subject to the provisions of paragraph 17. Borrower's covenants and agreements sha!I be joini and several. Any Borrower who co-signs this Security Instrument but does not execute the Note: (a) is co-signing this Security Instrument only to mortgage, grant and con•rey 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 Lender and any other Borrower may agree to extend, modify, forebear or make any accomodations with regard to the terms of this Security Ins;rument or the Note without that Borrower's consent. ? 2 Loan Charges. If the loan secured by th~s Security Instrument is sub~ect to a law which sets maximum loan ~harges, and that law is finally interpreted so that the interest or other loan charges collected or to be cdlected in connection with the loan exceed the 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 collectedfrom Borrower which exceeded permitted limits witl be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reducss principal, the reduction will be - treated as a part~al prepayment without any prepayment charge under the Note. ; 3 Notices. Any noiice to Borrower provided for in this Security Instrument shall be given by delivering it or by mailing it by first class mail ! unless appl~cable law requires use of another method. The notice shall be directed to the Property address or any other address Borrower designates by notice to Lender. Any notice to Lender shalt be given by first cfass mail to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice provided for in th~s Security Instrument shall be deemed to have been given to Borrowsr or Lender when given as provided in this paragraph. ; '•a Governing Law; SeverabHity. This Security Instrument and ihe other Credit Documents shall be governed by federal law and the law of the ~ jurisdiction in which the Property is located. In the event that any provision or clause of this Security Instrument or the Credit Documents ~ conflicts with applicable law, such conflict shall not affect other prov~s~ons oi this Security Instrument or the Credit Documents which can t be given effect without the conflict~ng provision. To this end the prcvisions of this Security Instrument and the Credit Documents are E declared to be severable. ~ ' S BoROwers Copy. Borrower shall be given one conformed copy of this Security Instrument and the other Credit Documents. ? 5 Remedles Cumulative. Lender may exercise all of the rights and remedies provided in this Security Insirument and in the other Credit j Documents, or which may be available to Lender by law, and alf such rights and remedies shall be cumulative and concurrent, and may be pursued singly, successively or together, at Lender's sole discretion, and may be exercised as often as occasion therefor shall occur. ~ , Erents of Default. Set forth below is a list of events which, upon the fapse of the appliceble notice or grace period, if any, constitute "Events ~ of Oefault." The events are: (1 ~ Borrower faits to pay when due any amounts under this Security Instrument os the Credit Documents: (2) Lender receives actual knowledge that Borrower omitted material information in Borrower's credit applicaton, made any fatse or ~ misleading statements on Borrower's credit application, or at any time thereaf!er l~as engaged in fraud or material misrepresentation with ~ repect to Borrower'~ account prior to the repayment in tull of all sums secured by this Security Instrument; (3) all or any part of the Property , or any interest in it is sold or transferred: {4) Borrower does not comply witr~ any of the terms of this Security Instrument or the Credit ~ Documents and such noncompliance adversely attects the Property or Lender's security interest in the Property: 3orrower further ~ encumberstheProperty.orsuffersaiien,claimoflien,orencumbranceagainsttheProperty,exceptsuchliensorencumbranceswhichare ~ subordinate to this Security Instrument; (6) Borrower defaults or an action is filed alleging a defauit under any credit instrument or ` mortgage evidencing or securing an obligation of Borrower with proori2y in right of payment over the Note or whose lien has priority over ihe lien of this Security Instrument. ~ ? 8 Acceferation; Remedies; Canceflation of Right to Future Adrancea. Upon the existence of an Event oi Default, Lender may, af its sole option, terminate Borrower's revolving line of credit account, declare all sums secured by this Security Instrument immediately ~ due and payable without further demand, and invoke any remedies permitted by applicable law. Lender shall be entitled to collect all reasonable costs and expenses incurred in pursuirzg the remed~es provided ~n this paragraph 18, including, but not limited to. reasonable attorneys' fees. As additional specific protection, notwithstandmg any other ;erms of this Security Instrument, Lender, without declaring or asserting an Event of Default or invoking any of its remedies pertaining to Events of Default, may, immediately and without notice, cancel Borrower's nght to future advances upon the occurrence of any event enumerated ~r. paragraph 17. Lender may also temporarily suspend Borrower's nght to future advances and/or reduce Borrower's credit limit upon the occurrence of any event authorizing such action as provided for in the Agreement. Notice of cancellation of Borrower's right to future advances shall be g~ven in accordance with the provisions of paragraph 13. Any - such cancellation and/or reducUon in Borrower's credit limit shall not preciude Lender from sutsequently exercising any right or remedy Q ~ set forth herein or in the Credit Documents. d ~ ' 9 Lender in Possession. Upon acceleration under paragraoh t8 or abandonment oi the Propsrty, Lender (by ~udicially appointed receiver) ~ shall be entitled to enter upcn, take possess~on of and marage the Property and to collect the rents of the Property including those past due. ~ Any rents collected by Lender or the rece~ver shall be applied f~rst to payment of the cost oi management of the Property and collection of r rents, including, but not limited to, rece~ver's tees, prem~ums on rece~ver's bonds and reasonable attarneys~ fees, and then the sums secured f by this Secunty Instrument. Pa~e 3 oi ~ ORIGINAI AHD YEILOW - Fllr, PINK - Customtr gOOK V Z~ PASE V W GF iL50620-C 10-89 x - - - - ~ ~ z - v~°r, r~~ ~ = ~ ~ ~ ~