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HomeMy WebLinkAbout909471JUN-13-~O06 NON 1~:31 PFi 002!_9 RECORDATION REQUESTED BY: Wellr, Fargo Bank, National Association Alton 485 Waahlngton MAC #C7B~6-011 Alton, WY 83110 WHEN RECORDED MAIL TO: Wells Fargo Bank, National Association CIO Real Estate Reaource Copter 520t Amelia E~rhart Drive, MAC #U1252-02F Salt Lake City, UT 84116-2857 SEND TAX NOTICES TO: Brandon Burnham Janalee Burnham 1570 County Rd 119 Thayrta~ WY B3127 RECEIVED 6/23/2005 at 4:17 PM RECEIVING # 909471 BOOK: 589 PAGE: 219 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, 'NY SFACE ABgVE THIS kINE iS FOP- RECO~PJER'S USE ONLY 200000000000000490 CONSTRUCTION MORTGAGE THIS MORTGAGE dated June 13, 2005, is made and execute4bet~eerl Brar~dort JBurnham, whose address is t570 County Rd 119, Thayne, WY 83127 and Janalee I~urnham,n~v~c~en~Jd~s~-~5TM County Rd 119, Th~yne, WY 83127 (referred to below as "Grantor") and Wells Fargo Bank', National ,~ssoclatlon, whose address is 485 Washington, MAC #C7826-011, Affon, WY 1~3110 (referred to below, as "Lender"), GRANT OF MORTGAGE. For valuable cmlsldaratlon, Grantor mortgages and conve;.,/e to Lender all of Grantor's rlBht, title, end Interest In and to [he [ollowing described real property, together with all existing or subsequently erected or affixed buildings, Improvements and fixtureS; ali easements, rights of way, and appurtenances; all wamr, water rights, watercourses and ditch rJght~, (including stock in utilities with ditch or Irrlgmion rights); and all ether rights, royalties, and profits relating to the real property, Including without limitation all minerals, o11, gas, geothermal and similar matters, (the "Real Property") located in Lincoln County, State of Wyoming: Lot 155 of Star Valley Ranch Plat 5, Lincoln County, Wyoming as described on the official plat thereof, The Real Property or Its address is commonly known as 108 Sage Way, Thayne, WY 83127, Grantor presently assigns to Lender all of Grantor's right, title, and interest In and to all I~resent and future leases of the Properly, and all Rents from the Property. In addltbn, Grantor grants to Lender a Uniform Commercial Code security interest in the Personal Property and Rents, THIS MORTGAGE, INCLUDING THE AsSIGNMENT OF REN1'8 AND THE SECURITY 'IHTERI~ST IN THE RENTS AND PERSONAl- PROPI~RTY, IS GIVEN TO SECURE [A) PAYMENT OF THE INDEBTEDNESS AND (B) PERFORMANCE OF ANY AND ALL OBLIGATIONS UNDER THE NOTE, THE RELATED DOCUMENTS, AND THIS MORTGAGE. THiS MORTGAGE, INCLUDING THE ASSIGNMENT OF RENTS AND THE $~(;URITY INTEREST IN THE RENTS AND pERSONAL PROPERTY, I$ ALSO GIVEN TO SECURE ANY AND ALL OF GRANTOR'S OBLIGATIONS UNDER THAT CERTAIN CONSTRUC31ON LOAN AGREEMENT BETWEEN GRANTOR AND LENDER OF EVEN DATE HEREWITH. ANY EVEhq- OF DEFAULT UNDER THE CONSTRUCTION LOAN AGREEMENT, OR ANY OF THE RELATED DOCUMENTS REFERRED TO THEREIN, SifALL ~.LSO BE AN EVENt' OF DEFAULT UNDER THIS MORTGAGE. THIS MORTGAGE IS GIVENiAND ACCEPTED ON THE FOLLOWING TERMS,: PAYMENT AND PERFORMANCE. Except es otherwise provided in this Mortgage, Graptor shall pay to Lander all amounts secured by this Modgage as they become due and shall strictly perform all of Grantor'~ obligations under thi3 Mort,g~e, CONSTRLICTION MORTGAGE. This Mortgage is a "c~nstructlon mortgage" for the purposes of Section~ 9-334 and 2A-30g ef the Uniform Commercial Code, as those sections have been adopted by the Sta~e of Wyoming..' POSSESSION AND MAINTENANCE OF THE PROPERTY. Grantor agrees that Grantor'S possession and use of the Property shall be governed by the following provisions: Posaesslon and Use. Until the occurrence of an Event of Default, Grantor may il) remain In possession and control of the Property: (2) use, operate or manage the Property; and (3) collect the Renm from the Property, DuLy to Maintain. Grantor shall maintain the Property in good condition and 'promptly perform all repairs, replacement~, and maintenanc~ necessary to preserve Its value. Compliance With Environmental Laws. Oran[hr repre-..snt$ and warrants to Lel~der t~at: (1) During the penod of Grantor's ownership of the Property, there ha~ been no u~o, generation, manufacture, ~oraga, [reatrnarit, disposal, release or threatened release of any Hazardous Sub~tance by any parson an, under, about er from the Property; (2) Granter has no knowledge of, or reason te believe that there has bean, except a6 previously alit. closed to and ackc. owledgad by Lender in writing, (a) an~/breach or vlnlatien of any Environmental Laws, (b) any usa, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance on. under, about or from the property by any pdor owners or occupants of tl~e Proper[y, ar (c) any actual or threatened litl§atlon or claims of any kind by any per~en relating to such ma[tars; and (3) Except as previously disclosed to and acknowledged by Lender In writin9, (a) neither Grantor nor ~ny ret,ant, contractor, agent or other authorized user of the Property shall ~4se, generate, manufacture, store, treat, dispose of or release any Hazardous Substance on, under, about or from the Property; and (b) any such activily sh;~l be conducted in compliance with all applicable federal, state, and local laws, regulations and ordinances, including without limitation a Env ronmental Laws. Grantor authorizes Lander arid its agentt; to artter 0..,~094~ MORTGAGE i 00 ? ~:: 0 (Continued) Page 2 upon the Property to make such inspections and tests, at Greeter's expense, as Lender may deem appropriate to detect'mine compliance of the Property with this section of the Mortgage. A~y Inspections or tests made by Lender shall be for Lender's purposes only and shall not be construed to create any responsibility or liability on the part of Lender to Grantor or to any other per~on. The mpre~entallons and warranties contained herein are based on Greeter's due diligence in Investigating the Property for Hazardous Substances. Grantor hereby (1) releases and waives any future claims against Lender for Indemnity or contribution In the event Grantor becomes liable for cleanup or other costs under any such laws; and (2) agrees to Indemnl~y and hold harmless Lander against any and ell claims, losses, liabilities, damages, penalties, end expenses which Lender may directly or indirectly sustain or suffer resulting from a breach of this section of the Mortgage or as a consequence of any use, generation, manufacture, storage, disposal, release or threatened release occurring prior to Greeter's ownership or interest in the Property, whetller or not the same was or should have been known to Grantor. The provisions of this secllon of the Mortgage, Including the obligation to Indemnify, shall survive the payment of the ]ndebtednes~ and the satisfaction end reconveyance of the lion of thio Modgage and shall not be effected by Lander's acquisition of any Interest in the Property, whether by foreclosure or otherwise. Nuisance, Waste. Granlor shell not cause, conduct or permit any nuisance nor commit, permit, or surfer any stripping of or waste on or to the Property or any portion of the Property. Wilhout limiting the generality of the foregoing, Grantor will not remove, or grant to any other party the right to remove, any timber, minerals (Including otl and gas), coal, clay, scoria, soil, gravel or rock products without Lender's prior written consent. Removal of Improvements. Grantor shall not demolish or remove any Impmvemenls from the Real Property without Lender's pdcr written consent, As a condition to the removal of any Improvements, Lender may require Grantor to make arrangements satisfactory to Lender to replace such Improvements with Improvements of at least equal value. Lender's Right to Enter. Lender and Lender's agents and representatives may enter upon the Real Property at all reasonable times to attend to Lender's interests and to inspect the Real Property for purposes of Greeter's compliance with the terms and conditions of this Mortgage, Compliance with Governmental Requirements. Grantor shall promplly comply with all laws, ordinances, and regulations, now or hereafter In effect, of all governmental authorities applicable to the use or occupancy of the Properly. Grantor may contest in good faith any such law, ordinance, or regulation and withhold compliance during any proceeding, Including appropriate appeals, so long as Granter has notified Lender In writing prior to doing so and so long as, in Lender's sole opinion, Lender's interests In the Property are not Jeopardized, Lander may require Grantor to post adequate security or a surely bond, reasonably satisfactory to Lender, to protect Lender's interest. Duty to Protect. Grantor agrees neither to abandon or leave unattended the Proper~y. Grantor shall do all other eels, In addition to these acts set forth above in this section, which from the character and use of the Property' ars reasonably necessary to protect and preserve the Property. CONSTRUCTION LOAN. If some or all of the proceeds of tile loan creating the Indebtedness ere to be used to constnJct or complete construction of any Improvements on the Property, the Improvements shall be completed no later than Ihs maturity date of the Note (or such earlier date es Lender may reasonably establish) and Grantor shell pay In full all co~ts and expenses In connection with the work. Lender will disburse loan proceeds under such terms and conditions as Lender may de~.~m reasonably necessary to Insure tibet the Interest created by tills Modgage shsll have pdority over all possible liens, including tlmse of material suppliers and workmen, Lender may require, among other th]rigs, that disbursement requests be suppoded by receipted bills, expense affidavits, waivers of liens, construction progress repeals, and such other documentation es Lender may reasonably request, DUE ON SALE - CONSENT lily LENDER, Lender may, at Lender's option, declare immediately due and payable all sums secured by this Mortgage upon the sale or transfer, without Lender's prior written consent, of all or any pad of the Real Property, or any interest in the Real Property, A "sale or transfer" means the conveyance of Real Property or any dght, title or Interest In the Real Property; whether legal, beneficial or equitable; whether voluntary or Involuntary; whether by outrl9ht sale, deed, Installment sale contract, land contract, contract for deed, leasehold Interest with a term greater than three (3) years, lease.option contract, or by sale, assignment, or transfer of any beneficial interest In or to any land trust holding title to the Real Property, or by any other method of conveyance of an interest In the Real Properly. However, this option shall not be exercised by Lender If such exercise Is prohibited by federal law or by Wyoming law, TAXES AND LIENS, The following provisions relating to the taxes and liens on the Property are pert of this Mortgage; Payment, Grantor sl~all pay when due (and In all event~ prior to delinquency) all taxes, payroll taxes, special taxes, assessments, water charga~ and sewer service charges levied against or en account of tho Property, and shall pay when duo all claims for work done on or for services rendered or motodal furnished to the Property, Grantor shall maintain the Properly free of any liens having priority over or equal to the interest Lender under this Mortgage, except for those liens specifically agreed to In writing by Lender, and except for the lien of taxes and a~sessment~ not due as further specified In the Right to Contest paragraph. Right to Contest. Grantor may withhold payment al any lax, assessment, or claim In connection with a good faith dispute over the obllgafien pay, so long as Lender's interest In the Property Is not Jeopardized, If a lien arises or is filed as a result of nonpayment, Gran~or shall wi=Mn fit[eon (15) days oiler the lien arises or, if a lien I~ filed, within fifteen (15) days after Grantor has notice of the filing, secure the discharge of the lien, or if requested by Lender, deposit with Lander cash or a sufflcian! corporate surety bond or other security satisfactory to Lender in an amount sufficient to discharge the lien plus any costs and reasonable attorneys' fe~, or ether charges that could accrue as a result of a foreclosure or 5a19 under the lien, In any contest, Grantor shall defend itself and Lender and shatl eatis~ any adverse judgment before enforcement against the Property, Grantor shall name Lender es an additional obliges under any surety bond furnished In the ~ntest proceedings. Evidence of Payment. Grantor sha[I upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and shall authorize the appropriate governmental official to deliver to Lender at any Ume a written statement of the taxes and aosessments against the Property. Notice of Construction. Grantor shall notify Lender at least fifteen (15) days before any work Is commenced, any services era furnished, or any materials are supplied to the Property, If any mechanic's lien, materiafmen's lien, or other lien could be asserted on account of the work, services. or materials. Grantor will upon request of Lender furnish to Lender advance assurances satisfactory to Lender that Grantor can and will pay the cost of such improvements. PROPERTY DAMAGE INSURANCE. The following provl~ions relating to insuring the Property are a part of this Mortgage: Maintenance of Insurance. Grantor shall procure and maintain polities of tiro insurance with standard extended coverage endorsements on a replacement basis for the full insurable value covering all Improvements on the Real Property In an amount sufficient to avoid application of any coinsurance clause, and with a standard mortgagee clause In favor of Lender. Policies shall be written by such insurance companies and in such form as may be reasonably acceptable to Lender. Grantor shall deliver to Lender certificates of coverage from each insurer containing a stipulation that coverage will not be cancelled or diminished without a mlnlmum of thirty (30) days' prior written notice to Lander and not any disclaimer of the Ineurer"s liability for failure to give such noti~e. Each insurance policy also shall Include an endorsement providing that coverage In favor of Lender will not be Impaired in any way by any act, omission or default of Grantor or any other perSon. Should the Real dU~/-tO-,"UUD IIUI1 Id,Od r'l'l -) 0S471 MORTGAGE (Continued) FlU, Page 3 Property be located In an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area, Grantor agrees to obtain and maintain Federal Flood insurance, If available, within 45 days after notice Is given by L~nder that the property is located In a special ~lood hazard area, for the full unpaid principal balance'of the loan and any prior liens on the property securing Ihe loan, up to the maximum policy limits sat under the National Flood Insurance Program, or as otherwise required by Lender, and to maintain such Insurance for the term of the loan. Application of Proceeds. Grantor shall promptly notl~ Lender of any loss or damage to the Property. Lender may make proof of loss If Granlor fails to do so within fifteen (1.5) days of the casualty. Whether or not Lender's security Is impaired, Lender may, et Lender's election, receive and retain the proceeds of any Ineurance and apply the proceeds to [ho reduction of the Indebtedness, payment of any lien affecting the Property, or the restoration end repair of the Property, If Lender elects to apply the prooeeds to restoration and repair, Grantor shall repair or replace the damaged or destroyed lmprovemonls In a manner satlsfaclory to Lender, Lender shall, upon satisfactory proof of such expenditure, pay or reimburse Grantor from the proceeds for the reasonable cost of repair or restoration Il* Grantor Is not in default under this Mortgage. Any proceeds which have not been disbursed within 180 days after their receipt and whlcl~ Lender has not committed to the repair or reetoration of the Properly shall be used first to pay any amounl owing to Lender under this Mortgage, then to pay accrued interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment in lull of the Indebtedness, such proceeds shall bo paid to Grantor as Grantor's interests may appear, LENDER'S EXPENDITURES, If Grantor falls (Al to keep the Property free of all taxes, liens, security interests, encumbrances, and other claims, lB) to provide any required Insurance on the Property, or lC) to make repairs to the Property then Lender may do so. If any action or proceeding is commenced that would materially affect Lender's interests in tl3e Property, then Lerlder on Greeter's behalf may, but is not requlred to, take any action that Lender believes to be appropriate te protect Lender's interests. ,NI expenses Incurred or paid by Lender for such purposes will then bear interest at the rate charged under the Note from the date Incurred or paid by Lender to the date of repayment by Gran~or. All such e×penses will become a part of tile Indebtedness and, at Lender's option, will (Al be payable on demand; lB) bo added to the balance of the Note and be apportioned among and be payable with any Instarlment payments to become due during either (1) the term of any applicable insurance policy; or (2) the remaining term of the Note; or lC) be treated as a balloon payment which will be due and payable at the Nora's maturity, The Modgage also will secure payment of these amounts, The rights provided for in thio paragraph shall bo In addition to any other dghts or any remedies to which Lender may be entitled on account of any default, Any suoh action by Lender shall nat be construed as curing the default so as to bar Lender from any remedy that It otherwise would have had. WARRANTY; DEFENSE OF TITLE. The following provisions rolellng to ownership of tho Property am a part of this Modgago: Title, Grantor warrants that; (al Grantor holds good and marketable title of record to tho Property in fee simple, free end clear of all liens and encumbrances other than those set forth In the Real Property description or In any title Insurance policy, title report, or final title opinion issued in favor of, and accepted by, Lender In connection with this Mortgage, and {b) Grantor has the full right, power, and authority to execute and deliver this Mortgage to Lender, Defense of Title, SubJec; to the exception In the paragraph above, Grantor warrants and will forever defend the title to the property against the lawful claims of all persons, In the event any action or proceeding Is commenced that questions Grantor's title or the Interest of Lender under this Mortgage, Grantor shall defend the action at Greeter's expense. Grantor may be the nominal party In such proceeding, but Lender shall be entitled to padicipate in the proceeding and to be represented In the proceeding by counsel of Lender's own choice, and Grantor will deliver, or cause to be delivered, to Lender such instruments ae Lender may request from time to time to permit such partMpatlon, Compliance With laws. Gran~r warrants that the Property and Greeter's use of the Property complies with all existing applicable laws, ordinances, and regulations of governmental aulhoritles. Survival of Promises. All promises, agreements, and statements Grantor has made in this Modgage shall survive the execution and delivery of this Mortgage, shall be COrltlnuirig In nature and shall remain In full force and effect unlil such time as Greeter's Indebtedness is paid in full, CONDEMNATION, The following provisions relating to condemnation proceedings are a part of thio Mortgage: Proceedings. ff any proceeding in condemnation is filed, Grantor shall promptly notify Lender In writing, and Granter shall promptly take such steps as may be necessary to defend the action and obtain the award, Grantor may be the nominal party in such proceeding, but Lender sl~arl be entitled to participate in the proceeding and to be represented In the plOt. ending by counsel of Its own choice, and Grantor will deliver or c~use to be delivered to Lender such Instruments and documentation a5 may be requested by Lender from time to time to permit such participation. Application of Net Proceeds. If all or any part of the Property Is condemned by eminent domain proceedings or by any proceeding or purchase in lieu of condemnation, Lender may at its election require that all or any portion of the net proceeds of the award be applied to the Indebtedness or the repair or restoration of the Property, Tho net proceeds et the award ehall mean the award after payment of all reasonable c~sts, expenses, and attorneys' fees Incurred by Lender In connection with the condemnation. iMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES, The following provisions relating ~ governmental taxes, fees and charges ara a part of this Mortgage; Current Taxes, Fees end Charges. Upon request by Lender, Grantor shall execute such documents in addition to this Mortgage and take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property, Grantor shall reimburse Lender for all taxes, as described below, together with all expenses Incurred In recording, peflectlng or continuing this Mortgage, including without limitation all taxes, fees, documentary stamps, end other ~harges for recording or registering tills Mortgage, Taxes, The following shall constitute taxes to whtch this section applies: (1) a specific tax upon Ihls type of Mortgage or upon all or any part of the Indebtedness secured by this Mortgafjo; (2) a spectflc tax on Granter which Grantor Is authorized or required to deduct from payments On the Indebtedness secured by this type of Mortgage; (3) a tax on this type of Mortgage chargeable against the Lender or the holder of the Note; end (4) a specific tax on all or any portion of ~he Indebtedness or on payments of principal and Inlerest made by Grantor, Subsequent Taxes. If any tax to which this section applies Is enacted subsequent to the date of this Mortgage, this event shall have the same effect as an Event of Default, and Lender may exercise any or all of Its available remedies for an Event ef Default as provided below unles~ Grahter either (1) pays the tax before it becomes del{nquent, or (2) contests the tax as provided above In the Taxes and Liens so.ion and deposits with Lander cash or a sufficient corporate surety bond or ether security satisfactory to Lender. SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions relating to this Mortgage as a seeudty agreement are a part af this Mortgage: Security Agreement, This instrument shall constitute a Security Agreement to the extent any of the Property constitutes nxturas, and Lender shall MORTGAGE ~ {~U~.Ln ~, ~') ~ (Continued) ~ Page 4 have all of the rlghte of a secured pa~ un,er ~he Uniform Cammerdal Code a~ amended ~rom time to [~me. SecuH~ IntemsL Upa~ request by Lender, Gra~tgr shall rake whatever a~lon ~s requesled by Lender ~o pedect and continue Lenders socuri~ In{ereat in the Parsona~ Prope~y, In addition to re~rdlng this Mo~g~ge In the reaJ prope~ re~rds, Lender may, at any time and without fu~her authorization ~rom Grantor, file executed ~unterpads, ~opias or repradud[ans of this Mortgage an ~ financing statement. Gmnlor shall reimburse Lender for all expenses incu~ad In pedectlng or ~ntinuing this security ~meres~, Upon default, Grantor sha~l not remove, sever or delaoh the Personal Pmpe~ from the Property, Upon default, Grantor shall assemble any Psrsonal Prape~ nat a~xed ~ the Prope~y In a manner and at a pla~ reasonably convenient {o Grantor and Lender and make It aval~abl~ to Lender within three (3) days after r.celp[ of wriffcn demand from Lender to the ex~ent pertained by appll~ble law. Addresses. ~e mailing addresses of Grantor (debtor) and Lender (secured pa~) from ~ich info. etlon ~ncernlng me secu~ In.rest granted by ~hls Mortgage may be obtained (e~ch as required by the Unlfa~ Commercial Code) are as stated on the first page of this Mortgage, FURTHER ~SU~NCES; A~ORNEY-IN-FACT. ~ following providons ro~atlng ta further assurances and a[t~ney4n.fa~ are a pa~ of thl~ Me.gage; Fu~her ~suranc.s. At any time, and f~m time ta time, upon request ~ Lender, Gran~or will make, execute and deliver, or will ~use to be made, executed or delivered, m Lender or to L~nder's designee, and when requested by Lender, ~6e lo be filed, recorded, re,led, or ror~corded, as the ~se may be, at such ~lmes and In such o~s and places as Lender may deem appropriate, any and all such de.ds nf trust, security deeds, secur[~ agreements, financing statements, ~ntlnuetlon statement, instruments af fu~her assurance, and other documents as may, In the sole opinion af Lender, bo noc.s=a~ ~r destrabt, in o~er to effe~uate, ~mplete, pealed, continua, or presage (1) GranloFs obligations under tho Nets, this Mortgage, and ~ha Related Dncumen[s, and (2) ~he liens and securi~ interests created by this Mortgage as flint and prier liens on the Prope~y, whether now owned or hereaher acquired by Gra~tor. Unless prohibited by law or Lender agrees to the contra~ [n writing, Grantor shall reimburse Lander for all ~sts and expenae~ incurred in connection with ~he maffcm referred to ~hls paragraph. A~omey-ln~FacL If Grantor fails ta do any o~ the things refeFed ~o In the preceding paragraph, Lender may da so for and In the name el Grantor and at Granted6 expense. For such purpose~, Grantor hereby Irrevo~bly appoi~[~ Lender as Gmn~fs attomey-ln-f~ for the pu~ase a~ making, execut~n~, delivering, ~lng, recording, and doln~ ~11 other things as may be nece~sa~ or desirable, I~ Le~dar's sole opinion, to a~omplish the ma~em mfe~ed to in the pre--ding paragraph, FULL PERFOR~NCE. If Grantor pays all lbs IndebtedneSS when due, and othe~ise pe~orms all ~he obligations imposed upon Grantor under this ~o~gage, Lender shall execute and deliver ~o Gran~nr a ~ultab~e satisfaction of th~s Madgage and suitable ~tatements o~ termination of any s~t~ment on ~le evidencing Lender's security Interest in the Rents and ~he P~rsonal Pmpo~, Grantor will pay, If permitted by appli~ble law, reasonable termination ~ee as determined by Lender from time to E~NT~ OF DEFAULT. At LendeFs option, Grantor will be In default under INs Mortgage if any of the roll.lng happen; Payment Default. Grantor fails to make any payment ~e~ due under the indebtedness. Default on Othcr Payments. Failure oF Grantor ~thln the lime required by this M~gaga to make any payment for taxes or insurance, or any other pa~ent necessa~ t~ preven~ filing of or to erect discharge o~ any lien. Break Other Promises. Granter breaks any promise made to Lander oF falls to pedorm promptly at the time and s~rl~ly In tho manner pravldad In this Mortgage ar in any agreement related to lh~s Mortgage. Default In Favor of Third PaKles. Should Grantor default under a~y laan, e~enslon el ~edl~, securi~ agreement, purchase or sales agreement, or any ether agreement, in favor of any ~[her creditor ar pemon that may matorialry affc~ any of GranUle pmpe~y or Greeter's ab[li~ to repay I~debtedness or Greeter's ability to peEorm Greeter's obligations under ~his M~gage or any related document. False Statements. Any representation ~r statement made ar furnished 1o L.nder by Gran~r or on Granto~s behal~ under this Mortgage or the Reiated Dacumen[s is false or mldeadlng in any mat~ria~ respect, e[[her now or al the time made or ~urnlshed. Dare.lye Col[ate~llzatlen, ~Is Modg~ge ar any d lhe Related Documents ceases ta be In full force and effect (i~dudlng failure of any collateral document to create a valid and pod¢ded security Interest or lien) al any ~lme and for any reason. Death or Insolwn~y. ~e death of Grantor, tho insolvency o~ Granter, ~he app~l~t~ent of a reviver for any pa~ or Gran~or's prope~, any assignment for the bene~t el creditors, any typs of creditor workout, ar the ~mmen~ment o~ any proceeding under any benkrup{~ or insolvency law. by or agalns~ Grantor. Taking Of the Pm~y. Any creditor or governmental agency tries to take any of the Prape~ or any other of GrantoFs prope~ In which Lender has a lien. ~is Includes tak;ng of, garnishing of or lowing on Grantafs ac~un~s wl[h Lender. Howewr, ~ Grantor disputes In 9aod faith whethnr the claim an ~31ch the taking of the Prope~y Is based Is valid ar reasonable, and If Granter gives Lender wH~en notice ~f the claim and furn~she~ Lender with meals5 or a sure~ bond sa{Isfa~o~ to Lender t~ satls~ the claim, then this default provision will not apply. ~reach o~ O~her Agreement. Any breach by Gran~or under tho t~rms ~f any olher agreement baleen Grantor and Lender that ~3 not remedied within any gra~ period provided therein, Including ~4thout Ilml~tlon any agreement ~ncarnlng any Indebtedness or other obllga~on o~ Grantor to Lender, whether existing now or later. Events Affecting Guarantor, Any of the preceding events occurs with respe~ to any guarantor, endorser, surety, or ac~mmodatlon pa~ of any o~ ~he Indebtedness or any guarantor, endorser, surety, or ac~m~dallnn pa~y dl~s or becomes incompetent, o~ revokes or disputes ~he validity a~, or liabili~ under, any Guaran~ of the indebtndne~s. InsecuH~. Le~der In good faith behaves I[sel~ insecure. RIG.S AND REMEDIES ON DEFAULT. Upon the ack.once af an Event o~ Default and at any time therea~er, Lender, at Landers opt~on, may exercise any one ~r ~ore or the fol~a~ng rights and remedies, in addklon ~o any ether rights or remedies provided by law: Accelerate Indebtedness. Lander shall have the right at Its option ~thout notice t~ Grant~r [o declare the entire Indeb(edness immediately due and payable, including any proponent penal~ which Gran~ar ~uld be required m pay. UCC Remedies. With respe~ to all or any pa~ of (he P.r~na[ Prop~, Lender shall have all the rights and remedies o~ a seared pa~y under ~he Uniform ~mmerclal Code. Cnllect Ren~s. Lender shall have the right, without notice ~ Grantor, to take possession o~ the Prope~, Incrudlng during the pendency of ~u r_uuu liui~ l,',Or' rll FHA IxlU, i-', (Continued) Page 5 k~rcclosura, whether ludlclnl or non-judicial, and collect the Noels, including amounle pest due and unpaid, and apply the net proceed=, over and above Lender's costs, against (1se Indebtedness, In fu~herance o~ this rlghL Lender may require any ~nant or other user of the Prope~ to mak~ payments W rent nr use ~ees d~rectly to Lender. If ~ho Rent5 am ~rled~d by Lender, then Grantor I~mvo~bry designates Lendo~ as ~ran~or'5 a~omey-inJa~t ~o endorse Inot~m=nts received In payment the~o[ Jn the name o[ Grantor and to negotiate the sa~s and ~llect ~he Payments by Wnant5 or other users ~o Lender in response to Lender's de.nd shall salls~ ~he obligations for which the ~a~¢n~ ar= made, whether or not any proper grounds for the demand existed. Lender may ~xerc[se its rights under this subparagraph either in pe~on, by ~gant, or through a re~lwr. Ap~lnt Receiver, Lander shall have the fl~ht to 13ave a reviver appdnWd W take peas=asian of all er any pa~ of the Prope~, with the pow~ pmte~ and presets tho Prope~y, to operate the Property preceding f~mdosuro or sale, and to collect the R~nts from ~he P~pe~y and apply premeds, over and above lh= ~st of the racarversh~p, a~alnst tho IndeWodness, ~e receiver may se~a without bond If permi~ed by law. Lender's right ~o tho appointment of a receiver shall exist whether or no~ the apparent value of the Prope~y exceeds tho Indobtedn¢ss by a ~ubstantial amount. E~ploymen~ by Lender shall not d~squaii~ a person Eom seeing as a reviver. Judicial Foreclosure. Lender may obtain a Judicial decree ~oreclosl~g Gran~or's tn(erect In all or any pa~ of tho Propers. Nonjudicial Sols. L=nd=r may fersclose Grantor'~ Intare~ In a~l or In any pek of the Prope~ by non-Judlda~ sa~e, an~ ~peci~cally by "power of sale" or "adw~semont and sale~ foreclosure as provided by statute, Deficiency JudgmanL If peri,ed by appli~ble ~aw, Lender may obtain a Judgment for any defiden~ r~marnlng ~n ~he Indebtedness du= to Lender offer appli~tlon ~ a~l amounts re~jved from the exercise W the rights prod~od in this section, T=nan~ at Sufferance. tf Granter remains In possession of tho Pmpe~y a~er th~ Proper~ ~s sold as provided abov~ or Lende¢ he~mes entitled {o possession o[ the Prope~y upon d~ault of Gruner, Gran~or =h~ll become a t=nant at sufferance of Lender ~r the purchaser of the Pmpe~ and shall, at Lenders option, either (1) pay a reasonable rental [o~ the ~se o~ the Priory, o~ (2) va~ta the Prope~y Immediately upon the d~mand of Lender. o~her Remedies. Lender shall have all o~hor rights and remedies provided In ~h[s ~o~gag~ or the N~ts or available a~ law or in Sale ~ the Pmpa~y. To the e~ent peroxided by applicable law, Grantor he~=by waives any =nd all righ~ to have the Prope~y marshalled, In exemi5lno its r~gh~s and remedies, Lender shall bs free to sell all er any pa~ of the Proper~y to,ether or separately, I~ one sale or by ~eparate sales. Lender shall bo =ntitlsd to bid at any pubfic sale on all or any po~ion of the Prope~, Notice of Sale, Lender will g~ve Gran~r reasonable no~i~ W the time and pla~ of any public s~le of the ~ersnnai Prope~ or o~ ~he tlmo after which any private sara or ~ther ~ntonded disposition or ~ha Personal Prope~y I~ to be ma~o, Reasonable no{i~ shall moan nol~co given a~ tan (10) days ~efore the t~ms of the sa~ or disposition. ~y sale o~ ~he Per=on~l Prope~ may be made In con,un.Ion w~th any sale of tho Real Prope~y. Elation of Remedies, Ail o~ Lender's rights and remedies ~l~ be cumula~ive and may bo cxcrdsed alone ~r together. An eledion by Lender [o choose any one remedy will not bar Lender from using any o[her remedy. ~f Lender decides ~o spend money or to pedocm any of GranwF~ obligations under ~]s Mo~gag~, after Granters failure ~o do so, that dacSsio~ by Lende~ ~ll not affe~ Landers r~ght io declare Gr~ntor in default and to ~xerclse Lender's remedies. A~omoys' Fees; Ex~nsen. I[ Lender instituWs a~y SUlI Or action to enforce any o[ the te~s o~ INs Me, gage, Lender shall be entitled ~o ro~vcr such 3urn as tbs mu~ may adjudge reasonable as a~[omeys' fee~ a~ tri~l and upon any appeal, Whether or not any cou~ adlon ~ Involved, and to the e~ent not prohibited by law, all re~sonabls expenses Lender Incurs [ha[ ~n L.ndc~ opinion am nacessa~ at any lime for lhe pratndian of its Interest or the enforcement of Its rights cheil become a pa~ of Ihe Indebtedness payable on demand and shall bear interest at tl~e Note rate from the date of tho expenditure until mpald. ~penses covered by this paragraph l~cludo, without limitation, h~wever subject to any limit5 under appll~bJe law, Lenders reasonable a~ar~eys' fees and Lenders legal expanses whether or not there Is a lawsuit, ~ncludlng reasonable a~orn~ys' fe.s and expenses for ba~krupt~ proceedings (including e~O~S to modi~ or va~to any automatic slay ~ Jnjundion), appeals, and any anticipated past-judgment ~llectlon se~lcee, the cost W searching recess, obtaining WIs repo~s (Including foreclosure repo~¢), 6u~eyors' r~po~s, and appraisa~ fees end title insulant, to the extent perilled by appll~blo law, Grant~r also will pay a~y ~u~ cos[s, In addition to all other sums provided by law, NOTICES. Any no{l~ required to bo given under thio Mortgage, Includ~ng wl~hout limitation any notice ~ default and any notice of sale shall be given In writing, end shall bc effective when actually delivered, ~en actually received by tala~amlml~e (unless othe~ise required by law), when with a natlon~l!y recognized overnight ~urior, or, ir mailed, ~en deposited in the Ual[ed Slates mall, ~ firs[ class, certified ar registered malt prepaid, directed m the addresses shown near the beginnin~ af this Ma~gage. ~1 cop~ of notices of foreclosure from the holder of any lien which has priorJty over [h~s Mo~gage shall be sent to Lendofs address, as shown nasr the beginning of this Me,gage, Any per,on may change his or her address for notices under this Mo~gag. by giving formal written noti~ to the o[her person or persons, specimenO tha~ the purpose of the no[ice is to change the p~rson's address. For noli~ pu~ases, Gran~or agrees to keep Lender Informed a[ all times of Grantor's current address. Unless provided ar required by law, if there is more than one Grantor, any notice given by Lender to any Grantor Is deemed to be noti~ ~ve~ [o all It will be Granmds responslbil[~ to tell the others of the notl~ from Lender. FURTHER ASSU~NCES. ~e parties hereto agree to do nil things d~emed necassa~ by L.nder in a~er m fully documen[ the loan evidenced by this Note and any related agreements, and ~ll fully cooperate concerning the execution and delive~ of ~ocurlty agreements, stock powers, Instru~!on~ and/or other documont5 peda~nlng to any r~llatera[ intended {o secure the Indebtedness. ~e undersigned agree to assist I~ [he cure of any defects In the execution, deliw~ or substance of the Note and related agreements, and in the creation a~ pedection of any liens, sc~uri~ inWrests ar o[her collaWral rights securing the Note. CONSENT TO SELL LOAN. ~e paHles horo~ agree: (a) Lender ~ay sell or transfer all or pn~ of this loan to an~ or more purchasers, whether misted or Unrelated to Lender; (b) Lender may provide to any purchaser, er potential purchaser, any Information ar kn~edge Lender may have about the padies ar nbou[ any o~her maker relating [o this loan obligation, and ~ho pa~io5 waive any rights to privacy it may have with respe~ to ~u~h makers; (c) the purchaser a~ a loan will be cons[dared its abooluW owner and will have all We righ~ granted under the loan documenm ar agreements governing the sale a~ the loan; and (d) the purchaser of a loan may enforce its interests [rrespac[Ive of any claims or de[enses ~ha[ the pa~ies may have against Lender. FACSIMILE AND COUN~RPART. ~13 document may be signed in any number W separate copies, .ac~ o~ which shall be e~edive as an original, but a~J of which taken to,ether shall ~n~jtH[n a single document. An oleo[tonic transmission or other facsimile of this document or any related document Shall bo doomed an original and shall be admissible as evidence W the da~men[ and the slgne~s .xecutlon. ARBIT~TION AGREEMENT. Arbitration · Binding A~lt~tlo~, Lo,der and each Davy ~ this agreement hereby a~ree, upon domand by any pa~y, MORTGAGE [~ ~ `'~ '~ (Continued) Page 6 to submit any Dispute to binding arbitration Ir~ accordance with the terms of th{s ~bitratlen Program, A "Dispute" shall include any dispute, ~lalm or var an kind whether In contra~ or in tort Legal er e~ul[eble now exlsdng or hereafter arising r~la~lng In any way to thi~ Agreement or any con'ro ~y of y ' ........ ' ...... ~ ~.-. ......... * ...... ~ or futu're loans [ranse~lons, ~nt~s, agreements, re ated agreement ncorporating [ns ~bltra[on Program (iRe ~ocumem~ I, ur dHy p~m~, relationships, incidents or injuries of any ki¢ whatsoever relating to or involving Business Banking, Regional Banklpg, or a~y suc~ssor group or depadment of Lender, DISPU~S $UBMI~ED TO ARBIT~TION ARE NOT RESOLVED IN COURT BY A JUOGE OR JURY. Governing Rules. ~y arbitration proceeding will (ii be governed by the Federal Arbitration ~t (~tle gaf the United Stales Cede), notwithstanding any conflic[In~ choice of law pro~slon In any of the documents he,yeah the paflles; and (ii) be candu~d by the ~ (Ameri~n ~suclatlon}, or such o~her administrator as the pa~les shall mutually agree upon, in ac~rde~ce with the ~'s ~mmerclal dispute resolution procedures, unless the clai~ or ~unterdaim Is at least $1,000,000.00 exclusive of clat~ed interest, arbitratto~ fees and costs in which ~se the arbitration shall be ~nducted in a~rdan~ with the ~'S optional pm~dum6 for targa, ~plex ~mmerdal disputes (the commemial dispute re5ol~[len procedures or the options pro~dures for argo, ~mp ex ommerclal disputes to be referred to, as app ~blo, as the "Rules"). If ~ere is ~ny In~nsistency baleen the ~rms hereof and the Rules, the te~s and pro~dures set for h herein shall ~ntrol, ~bltratlon pro~edlngs hereuRder snail be conducted at a I~tlon mutually agreeable to ~e padies, or If they ~nnot agree, then at a lo~fion sale.ed by the ~ I~ the state of the appil~ble substantive law primarily governing the Credit. Any pa~ who f~lls or rofgses to sub.it ~ arbitration foll~ng a demand by any other pa~y shall bear all costa and expenses incurred by such other pa~y In ~mpelllng arbitration of any Dispute, ~bltration may be demanded at any time, and may be compelled by summaw proceedings in Coud. ~e institution and maln~enance of an action for judicial relief or pursuit of a provisional or anclllaw remedy 5hell not ~nstitute a waiver of the right of any pa¢~, including the plaintiff, to submit the ~ntmversy or claim to a~1tratlon If any other pa~ contests such a~tlon for judicial relief. ~e arbltrater shall award ail ~=ts and expenae~ ef the arbitration proceeding, Nothing contained herein shall be deemed to be a waiver by any pady that lsa Bank of the protections afforded to It under lz U,S.C, 91 or any similar appll~ble s~te law. No Waiver of Provisional Remedies, ~elf. Help and Foreclosure, ~e arbitration requirement does not limit the right of any pa~y ~ (0 foreclose against real or personal prope~y ~llateral; (ii)exercise self-help re~edtes relating to ~llateral or pro.ods of ~llateral such as setoff or repossession; or (iii) obtain provisional or anciltaw remedies such as replevin, injunctive relief, attachment or the appothtment of a receiver, before during or 2flor the pendency of any arbitration proceeding. ~ls exclusion does not ~nstltute a waiver Qf the right or obligation of any paoy to submit any Dispute ta arbitration or reference hereunder, including those arising from [he exercise of the a~lons de{ailed In sadiuns (I), (Ii) and (11t) of this paragraph. A~l/rator Qualifications and Powem. Any a~ltratlon pro. sUing In which the amount In ~ntroversy Is $5,009,000.00 or less ~11 be derided by a single arbitrator selected ac~rdtng to the Rules, end who shall not render an a~rd of greater ~an $5,000,800,00, A~y Dispute In ~lch the amount in ~ntroversy exceeds $5,000,000,~0 shall be derided by majority vote of a panel of three a~krators; provided however, that ~tl three arbitrators must acdvely pa¢icipate In all hearings a~d deliberations. EveW arbitrator must be a practicing after,ay or a retired member of the state or federal JudMaW, In either case with a minimum of te~ years experience in the sube~tlve law appli~ble to the subject matter of ~e Dispute. ~e arbttra~r d~termlne whether or not an Issue i= arbttratab~e and will give eff¢~ to tt~e 5ts[utes of limitation In dete~l~lng any claim. In any arbitra~lo~ p~ceeding tl~e arbitrator will decide (by documents only or with a heafin~ at the erbkr8tor'~ discre[lan) any pro-hearing motions which are similar to motions to dismiss for failure to s~[e a clal~ er motions for summa~ ad]~dt~tion, ~o arbitrator ~hall resolve all Disputes In a~ordance ~th the appll~ble substantive law and may gra~ any remedy or relief that a 6ou~ of such state ~uld ~rder or grant within the scope hereof and such ancll~aW relief es Is neoessaw to make effedive any award. ~e arbitrator sh~[1 also have the power to award recoveW of all ~sts and fees, to Impose sanctions and to lake ~uch otl~er action as the arbitrator deem~ ~ecessaw to the same e~ent a Judge could pursuant to the Federal Rules of CMl pro.dura, the applt~bte Sta~ Rdles of Civil Pro~dure, or other applicable law, Judgment upon tiaa award rende~d by the arbitrator ~ay be entered In any court having Judsdlc~ion. Dlscovew. ~n any arbitration proceeding dlscovew will be permitted [n ac~rden~ with the Rules. NI discove~ shall be expressly limited to ma~ters directly relevant to the Dispute being arbitrated and must be ~mpleted no later than 20 days before the hearing date and w~thln 180 days of the filing of tho Dispute with the ~, ~y requests for ~ extension of the dtscOve~ periods, er any dlscovew dispums, will be 3ubJed to final deracination by ~he arbitrator upo~ a shewlng that the request for dlG~ve~ Is es=enlist for tl~e pa~'s presen~tlon and that no alternative means for ebtatnln~ information Is available. Miscellaneous. To the maxl~u~ extent pra~i~ble, the ~, the a~ltrator5 a~d the posies shall [a~ ~11 a~ion required ~ conclude ~Y preceding within 180 days of the filing of the Dispute with the ~ ~e resolution of any Dispute shall be deter~ned by a separate arbitration proceeding and such Dispute 5h~ll ~ot be consolidated with ~ther disputes or included In a~y class preceding. No arbitrator or other party to an existence conmnt or resu t5 thereof except for disclosures of initiation by a pa~ required in ~e ordlnaw arbitration pro~eding m~y dlscl~se. ~h~ ---' ............. ~-n ~e a~reement for arbkration by or baleen the padles potentially applies to a course of its b~s[oes5 or Dy appit~ble law or regul~ttQH, H .~u~ ~.~ ~H 01~pute the arbitration provision most directly related to the documents be~en the parties or the subject metier of the Dispute ~hatl control, arbitration pro~alon shall su~ive termination, amendment or expiratlo~ of a~y of the documents or a~y relatfon=hip be~ee~ the padies. State-Specific Provl~lO~S. If California law governs ~he Dispute, the felto~ng provision Is Included; Real Properly Collateral; Judicial Reference. No[Wl[hstandlng anything herein to the ~n~raw, ne Dispute shall be subml~ed to arbitration if the Dispute ~ncems Indebtedness secured dlredly er Indirectly, in whole or In pall, by any real prope~ unless tho holder of the modgage, lien or securi~ Interest specifi~lly ~lects in ~ltlng to proceed Mth the arbitration, I~ any such DIsput~ i~ not submlEed tO a¢itration, the Dispute shall, at the elation o~ any pa~y, be referred to a referee In acordance with California Code of OMI Procedure Section 638 et ~eq., and this general reference agreement is intended to be specifi~lly enforceable In accordance with said So.ion 638, A referee with the quallfi~tlons required heroin for arbitrators shell be sete~ed pursuant to the ~'s selection procedures, Judgment upon the decislo~ rendered by a referee shall be entered in the court In wh[¢~ such pro~edin9 was ~m~e~ced I~ ac~rda~ ~th California Code of Civil pm~dum Se~ns 644 a~d 645, If Idaho law governs the Dispute, the foll~lng provision Is Included; Real Propa~ Collate~l; Judicial Reference, No~th=tanding an~hing herein to the contraw, ~o dispute shall be subml~ed to arbitration If the dispute concerns Indebtedness secured dlredly ~r Indire~ly, In whole or tn pad, by any real properly unless (ii the holder of the me,gage, lien or se~ri~ interest speclfi~[ly sleds in writing to proceed with the arbltra~{oR, or (Ii) all padies to the arbitration ~ive any rights or benefits that ~[gh~ acc~e to them by vldue of the single action ~le statute of Idaho, thereby agreeing that all indebtedness a~d obligations of the pa~ies, and modgages, liens and securiW Inlerests securing such indebtedness and obligations, shall remain fully valid and If Montana law governs the Dispute, [he follo~ng provision Is included: Real Pmpe~ Collateral; Judicial Reference. Ne~ithstand[ng anything herein to the ~ntraw, ~ dispute shall be submltled to a~ltration If UUJ1 ~.d '"UUd lltJll MORTGAGE (Continued) Pa_qe 7 dispute concerns Indebtedne~8 secured directly or Indirectly, in whol~ or in part, by any real properly unless (I) the holder of the mortgage, lien or security interest specifically elects In wrltlng to proceed with the arbitration, or (ii) all parties to the arbitration waive any rlgllts or benefits that might accrue lo them by virtue of the single action rule statute of Montana, thereby agreeing that all Indebtedness end obligations of the parties, and all mortgago~, liens and security Interests secudng I;uch indebtedness and oblige[Ions, shall remain fully valid and enforceable. If Nevada law governs the Dispute, the following provision Is included: Real Property Collateral; Judicial Reference. Notwithstanding an~4hlng herein to the contrary, no dispute shall bo submftted to arbitration if the dispute concern'~ indebtedness secured directly or Indirectly, in whole or in part. by any real property unless (I) the holder of tile modgage, lien or security Interest specifl~lly elects in writing to proceed with the arbitration, or (ii) all parties to the arbitration waive any rights or bcnefit'~ that mlgl~t accrue to them by virtue of the single a~ion rule statute of Nevada, thereby agreeing that all indebtedness and obligations of the padis% and mortgages, liens and security interests securing such Indebtedness end obligations, shall remain fully valid and enforceable. If Utah law governs the Dispute, the following provision Is Included: Real Property Collateral; Judicial Reference. Notwithstanding anything herein to the contrary, no Dispute shall be submitted to arbitration If Ihs Dispute concerns Indebtedness secured directly ar Indirectly, in whole er In part, by any real property unless the holder of the modgage, lien or security interest specifically elects In writir~g lo proceed with the arbitration. If any such Dispute Is not submitted to erbltratk~n, the Dispute shall, at the election of any party, be referred to a master in acuordance with Utah Rule of Civil Procedure 53, and this general reference agreement Is Intended to be specifically enforceable. A master with the qualifications required herein for arbitrators shall be selected pursuant to the AAA's selection procedures. Judgment upon the decision rendered by a master abel{ be entered in the court in which such proceeding was commenced In accordance with Utah Rule of Civil Procedure 53(e), MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Mortgage: Amendmenls. What Is written in this Mortgage and In the Related Documents is Grantar's entire agreement with Lerlder concerning the matters covered by this Mortgage. To be effedive~ any change or amendment to this Mortgage must be in writing and must be signed by whoever will be bound or obligated by the change or amendment. Caption Headings. Caption headings In this Modgege are for convenience purposes only and are not to be used to interpret or define the provisions of this Mortgage. Governing Law. This Mortgage wlll be governed by federal law applicable to I..~nder and, to the extent not preempted by federal law, the laws of the State of VVyomlng wlthc~ut regard to Its conflicts of law provisions. This Mortgage has been accepted by Lander In the State of Wyoming, Joint and Several Liability, Ail obligations or Grantor under this Mortgage shall be Joint and several, and all references to Grantor shall mean each and every Grantor, This means that each Grantor signing below Is respopsible for all obligations In this Mortgage. Ng Waiver by Lender. Grantor understands Lender will not give up any of Lender's dghts under this Mortgage un]ese Lender doe~ sO In writing, The fact that Lender delays or omits to exercise any right will not mean that Lender has given up that right, if Lender does agree in wrldng to give up one of Lender's rights, thai does not mean Granter will not have to comply with the other provisions of this Mortgage, Grantor also understands that If Lender does consent to a request, that does not mean that Grantor will not have to get Lender's consent again tf the situation happens again. Grantor further understands that just because Lender consen~ to one or more of Grantor's requests, that does not mean Lender will be required to consent to any of Grantor's future requests. Grantor WOlves presentment, demand for payment, protest, and notice of dishonor. Grantor waives all rights of exemptlon from execution or similar law in the Properb/, and Grantor agrees that the rights of Lender In the Property under this Mortgage are prior to Granter"s rights while this Mortgage remains In effect. Severablllty. if e court finds that any provision of this Mortgage Is not valid or should not be enforced, that fact by itself will not mean that the rest of this Mortgage will not be valid or enforced. Therefore, a court will enforce tile rest of the provisions of this Modgage even if a provision of this Modgage may be found to be invalid or unenforceable. Merger. There shall be no merger of the Interest or estate created by this Mortgage with any other Interest er estate In the Property at any time held by or for the benefit of Lender in any capacity, without the wdtten consent ef Lender. 8ucce~sor~ and A~algns. Subject to any limitations stated in this Mortgage on transfer of Grantor's interest, this Modga~e shall be binding upon and Inur~ to the benefit of the petites, their succes5ors and assigns. If ownership of the Property becomes vested In a person other than Grantor, Lender, without notice to Grantor, may deal with Grantor's successors with reference to thio Mortgage and the Indebtedness by way of forbearance or exlension without releasing Grantor from the obligations of this Mortgage or liability under the lndebtedne3s. Time Is of tl~e Essence, Time is of the essence in the performance of this Modgaga. Waiver of Homa~tead Exemption. Grantor hereby release~ and waives all rights and benefits of the homestead exemption lav~ of the State of Wyoming as to ell Indebtedness secured by thi~ Mortgage. DEFINITIONS, The following words shall have the following meanings when used In this Mortgage: Borrower. The word "Borrower" means Brandon Buml~am and JanaJee Burnham and Includes ail co-signer~ and co-makers sign]nO the Note. Envlronmontal LAWS. The WOrds "Environmental Laws" mean any and ell state, federal and local atatutes, regulations and ordinances relating to the protection of human health or the environment, including without limitation the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as emended, 42 U.S.C, Section 9601, et ~eq. ("GERCLA"), the Superfund Amendments and Reauthorizatlon Act of 198§, Pub, L. No, 99-499 ("SARA"), the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et seq., the Resource Conberyatlon and Re,very Act, 42 USC. Section 690% et seq., or other applicable state or federal law~, rules, or regulations adopted pursuant thereto. Event of Default. The words "Event of Default" mean any of the events of default set forth in this Mortgage In tho events of default so,Ion of this Mortgage. Grantor. The word "Grantor" means Brandon Burnham and Janalee Burnham. Guaranty. The word "Guaranty" means the guaranty from guarantor, endorser, surety, or accommodation party to Lender, including without limitation a guaranty of all or part of tho Note. Hazardous Substances. The words "Hazardous Substances" mean materials that, because of their quantity, concentration or physical, chemical or infectious characterJst}cs, may cause or pose e present or potential hazard to human health or the environment when Improperly used, treated, dUI/-IO-C_.UU3 IIUIt 1¢_,0~ F, ,¢U MORTGAGE ~ O ~.> (Continued) Page 8 stored, disposed of, generated, manufactured, transported or ethan,dso handled. The words "Hazardous Substances" are used In their very broadest sense and include without Ilmlta(lon any and all hazardous or toxic substances, materials or waste as defined by or listed under the Environmental Laws. The term "Hazardous Substances" also includes, without limitation, petroleum and petroleum by-products or any fradion thereof and asbestos, Improvements, The word "Improvements" means all existing and future Improvements, buildings, strUctures, mobile homes affixed on the Real Property, facilities, additions, replacements and other construction on the Real Property. Indebtedness, The word "Indebtedness" means afl principal, interest, and other amounts, costs and expenses payable under the Note or Related Documents, together w~th all renewals of, extensions of, mc~difications of, consolidations of end substitutions for the Note or Related Documents and any amounts expended or advanced by Lender to dl=mharge Greeter's obilgatbns or expenses Incurred by Lender to enforce Grantor's obllgallons under this Mortgage, to,ether wltl~ Interest on such amounts ss provided in this Mortgage. Lander. The word "Lander" means Wells Fargo Bank, Nations] Association, Its successors and assigns, The words "successors or assigns" mean any person or company that acquires any interest In the Note. Mortgage. The word "Mortgage" means INs Mortgage between Grantor and Lender. No~a. The word "No[e" means the promissory note dated June 13, 2005, in the original principal amount of $142,025.00 from Grantor to Lender, together with all renewals of, extensions o[, modti3cations of, reflnancings of, consolidations of, and substitutions for the promissory note or agreement. The maturity date cf this Mortgage Is June 13, 2006, NOTICE TO GRANTOR: THE NOTE CONTAINS A VARIABLE INTEREST RATE, Personal Property. The words "Personal Property" meaq all equipment, fixtures, and other articles of personal property now or hereafter owned by Granlor. and now or hereafter a~tachad or affixed to the P, eal Property; together with all accessions, parts, and additions to, all replacements of, and all substitutions for, any of such property; and togelher with all proceeds (Including without limitation all Insuranc~ proceeds and refunds of premiums) from any sale er other disposition of the Property, Property. The word "Property" means collectively the Real Property and the Personal Proper~y, Real Property. Tho words "Real Property" mean the real property, Interests and rl0hts, as further described In this Mortgage. Related Documents. The words "Related Documents" mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, secudty deeds, collateral modgages, and all other Instruments, agreements and documents, whether now or hereafter existing, executed in connec[Ioi'l with the Indebtedness. Rents. The word "Rents" means all pre,eat and future r~nts, revenues, Income, Issues, royalties, profits, and other benefits derived from tile Property. EACH GRANTOR ACKNOWL.EDGES HAVING REAl3 ALL THE PRQVISIQNS OF THIS MORTGAGE, AND EACH GRANTOR AGREES TO IT~ TERMS. GRANTOR: Bi-ar/don BUrnham ~. r~~- - ACKNOWLEDGME-N- ~)6~N~ ~(~-T~ ¢ ~O~,~R~,-~,t~,C-- ~ INDIVIDUAL T COUN~ OF ) * MY COMMISSION EX ~ PIRES SE~ 20 2007 On this day before me, the undersigned Nota~ Public, personally appeared Broaden ~urnham and Janalee Burnham, ~5 to be the Individuals described in and who executed the Mortgage, and acknowledged th~l Ihey signed the Modgage as their free and voluntary ac[ and deed, fo, the uses ¢,, urpe,es nt,oned. / 2 6N~n u~¢ my ~and an~ o~lal ~l~lf /8 day of __~!~ ..... 20 ~ . - U