Loading...
HomeMy WebLinkAbout911979 RECEIVED 9/19/2005 at 12:43 PM RECEIVING # 9'11979 BOOK: 598 PAGE: 207 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY This document was prepared by ................... · .%.3..3...s....r,~...z~...A.v..E. ................................... (name, address, phone number) SIOUX FALLS, SD 57104 (605) 988-0298 State of South Dakota Space Above This Line For Recording Data -- MORTGAGE ONE HUNDRED EIGHTY DAY REDEMPTION DATE AND PARTIES. The date of this Mortgage (Security Instrument) is .S..E.p.T,E..MD.E..R.. 2.9 ..... 2 oo5 and the parties, their addresses and tax identification numbers, if required, are as follows: MORTGAGOR: TERRY J MARTIN 196 EAST SIXTH ST SUITE SIOUX FALLS SD 57104 100 [] If checked, refer to the attached Addendum incorporated herein, for additional Mortgagors,their signatures and acknowledgments. LENDER: FIRST AMERICAN BANK & TRUST, NA ORGANIZED AND EXISTING UNDER THE LAWS OF THE STATE OF SOUTH DAKOTA 133 S MAIN AVE SIOUX FALLS, SD 57104 TAXPAYER IoD. #: 46-0393349 MORTGAGE. For good and valuable consideration, the receipt and sufficiency of which is acknowledged, and to secure the Secured Debt (defined below) and Mortgagor's per~rmance under this Security Instrument, Mortgagor grants, bargains, conveys, mortgages and sells to Lender, with power of sale, the ~llowing describedpropert~ PARCEL 1:N*i/2NW1/4NW1/4 OF SECTION 11, T33N, ~l18W OF THE 6TH P.M., LINCOLN COUNTY, WYOMING. PARCEL 2: THE RIGHT TO ACCESS AS PROVIDED FOR IN INSTRUMENT RECORDED MAY 8, 2001 IN BOOK 464PR ON PAGE 10 OF THE RECORDS OF THE LINCOLN COUNTY CLERK. THE RIGHT TO ACCESS AS PROVIDED FOR INSTRUMENT RECORDED JUNE 8, 2000 IN BOOK 446PR ON PAGE 377 OF THE RECORDS OF THE LINCOLN COUNTY CLERK The property is located in. b.~.~..c.9~.t!. ..................................... at 3.6.4. ~lnb. l.e. I,mxe ........ (County) ...B..e..d.f..o.y.d..,...lq. y.9..m_~.'..rig..' .8..3..1.1. .2, ....................................... South Dakota .................... (Address) (City) (ZIP Code) SOUTH DAKOTA - AGRICULTURAL/COMMERCIAL MORTGAGE (NOT FOR FNMA, FHLMC, FHA OR VA USE, AND NOT FOR CONSUMER PURPOSES) ~," © 1993 Bankers Systems, Inc., st~rvlN Form AGCOMTGCS-SD 7/1512002 fpage I of 1 1) Together with all rights, easements, appurtenances, royalties, mineral rights, oil and gas rights, crops, timber, all diversion payments cr third party payments made to crop producers, all water and riparian rights, wells, ditches, reservoirs, and water stock and all existing and future improvements, structures, fixtures, and replacements that may now, or at any time in the future, be'part of the real estate described above (all referred to as "Property"). MAXIMUM OBLIGATION LIMIT. The total principal amount secured by this Security Instrument at any one time shall not exceed $ .8. .5. , .5. ¢.4. ... .8.~. ............................. This limitation of amount does not include interest and other fees and charges validly made pursuant to this Security Instrument. Also, this limitation does not apply to advances made under the terms of this Security Instrument to protect Lender's security and to perform any of the covenants contained in this Security Instrument. SECURED DEBT. The term "Secured Debt" is defined as follows: A. Debt incurred under the terms of all promissory note(s), contract(s), guaranty(ies) or other evidence of debt described below and all their extensions, renewals, modifications or substitutions. (When referencing the debts below it is suggested that you include items such as bor/owers' names, note amounts, interest rates, maturity dates, etc.) The "Secured Debt" Promissory Note ~ in the Name(s) of includes but not limited to: 11758 dated SEPTEMBER 09, ARTISAN HOUSE GALLERIES, LLC 2005 B. All present and future debts from Mortgagor to Lender, even if this Security Instrument is not specifically referenced or if the future debt is unrelated to or of a different type than this debt. If more than one person signs this Security Instrument, each agrees that it will secure debts incurred either individually or with others who may not sign this Security Instrument. Nothing in this Security InstrUment constitutes a dommitment to make additional or future loans or advances. Any such commitment must be in writing. C. Ail additional sums advanced and expenses incurred by Lender for insuring, preserving or otherwise protecting the Property and its value and any other sums advanced and expenses incurred by Lender under the terms of this Security Instrument. This Security Instrument will not secure any debt for which Lender fails to give any required notice of the right of rescission. 5. PAYMENTS. Mortgagor agrees that all payments under the Secured Debt will be paid when due and in accordance with the terms of the Secured Debt and this Security Instrument. 6. WARRANTY OF TITLE. Mortgagor warrants that Mortgagor is or will be lawfully seized of the estate conveyed by this Security Instrument and has the right to grant, bargain, convey, sell, and mortgage the Property. Mortgagor also warrants that the Property is unencumbered, except for encumbrances of record. -'- 7. PRIOR SECURITY INTERESTS. With regard to any other mortgage, deed of trust, security agreement or other lien document that created a prior security interest or encumbrance on the Property, Mortgagor agrees: A. To make all payments when due and to perform or comply with all covenants. B. To promptly deliver to Lender any notices that Mortgagor receives from the holder. C. Not to allow any modification or extension of, nor to request any future advances under any note or agreement secured by the lien document without Lender's prior written consent. 8. CLAIMS AGAINST TITLE. Mortgagor will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents,~ utilities, and other charges relating to the" Property when due. Lender may require Mortgagor to provide to Lender copies of all notices, that such amounts .are due and the receipts evidencing Mortgagor's Payment." Mortgagor Will defend' title 'to the 993 Bankers. Systems, Inc'~ St;-~N Form AGCOMTGCS-SD 7/15/2002 (page 2 of 1 1) Property against any claims that would impair the lien of this Security Instrument. Mortgagor agrees to assign to Lender, as requested by Lender, any rights, claims or defenses Mortgagor may have against parties who' supply labor or materials to maintain or improve the Property. 9. DUE ON SALE OR ENCUMBRANCE. Lender may, 'fit its option and after legally required notices of default, .acceleration,-. a right to cure or other notices, declare the .entire balanc, e of .... the Secured Debt to.be immediately due and payable upon the creation of, or contract for the Creation of, any lien, encumbrance, transfer or sale of the Property or any portion of the Property, without the priOr consent of Lender. This right is subject to the restrictions imposed by federal law (12 C.F.R. 591), as applicable. This cOvenant shall run with the Property and shall remain in effect until the Secured Debt is paid in full and this Security Instrument is released. 10. TRANSFER OF AN INTEREST IN TIlE MORTGAGOR. If Mortgagor is an entity other than a natural person (such as a corporation or other organization), Lender may demand immediate payment if: A. A beneficial interest in Mortgagor is sold or transferred. B. There is a change in either the identity or number of members of a partnership or similar entity. ' ' C. There is a change in ownership of more than 25 percent of the voting stock of a corporation or similar entity. However, Lender may not demand payment in the above situations if it is prohibited by law as of the date of this Security Instrument. 11. ENTITY WARRANTIES AND REPRESENTATIONS. If Mortgagor is an entity other than a natural person (such as a corporation or other organization), Mortgagor makes to Lender the following warranties and representations which shall continue as long as the Secured Debt remains outstanding: A. Mortgagor is duly organized and validly existing in Mortgagor's ' state of incorporation or organization. Mortgag°r is in good standing in all states in which Mortgagor transacts business. Mortgagor' has the power and authority to own the Property and to '" cai~ry'on its business aS..now-being cOnducted and, as apPlicable,'.is qualified to do so in "eaCh 'state ' in wlfiCh M0rt~agor operates. B. The execution; delivery and performance of this Security Instrument by Mortgagor and the obligations evidenced by the Secured Debt are within the power of Mortgagor, have been duly authorized, have received all necessary governmental approval, and will not violate any provision of law, or order of court' or governmental agency. C. Other than previously disclosed in writing to Lender, Mortgagor has not changed its name within the last ten years and has not used any other trade or fictitious name. Without Lender's prior written consent, Mortgagor does not and will not use any other name and will preserve its existing name, trade names and franchises until the Secured Debt is satisfied. 12. PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Mortgagor will keep the Property in good condition and make all repairs that are reasonably necessary. Mortgagor shall not commit or allow any waste, impairment, or deteriorati0n' of 'the 'Pf0pei:tYl' Mortgagor will keep the Property free of noxious weeds and grasses. Mortgagor agrees that the nature of the occupancy and use will not substantially change without Lender's prior written consent. Mortgagor will not permit any change in any license, restrictive covenant or easement without Lender's prior written consent. Mortgagor will notify Lender of all demands, proceedings, claims, and actions against Mortgagor, and of any loss or damage to the Property. No portion of the Property will' be removed, demolished or materially altered without Lender's prior written consent except that Mortgagor haS the right to remove items of personal property comprising a part of the Property that become worn or obsolete, provided that such personal ·proper. ty :'is replaced with' other personal property at leaSt equal in value to the replaced ~,pers~0nal property,, free frOm any title retention device, 'security: agre6ment or other .eticu~branCei' SuCh.'rePlacement 0f Personal' property Willlbe deemed subject to the gecurity 1993 Bankers SySt'ernS~ Inc., St. Cloud, MN Form AG COMTGCS-SD 17/15/2002" ~ ____ (page 3 of 11) 13. 14. interest created by this Security Instrument. Mortgagor shall not partition or subdivide the Property without Lender's prior written consent. Lender or Lender's agents may, at Lender's option, enter the Property at any reasonable time for the purpose of inspecting the Property. Lender shall give Mortgagor notice at the time of or before an inspection sPecifying a reasonable purpose for the inspection. Any.inspection of the Property shall be entirely for Lender's benefit and Mortgagor will in no way rely on Lender's inspection. AUTHORITY TO PERFORM. If Mortgagor fails to perform any duty or any of the covenants contained in this Security Instrument, Lender may, without notice, perform or cause them to be performed. Mortgagor appoints Lender as attorney in fact to sign Mortgagor's name or pay any amount necessary for performance. Lender's right to perform for Mortgagor shall not create an obligation to perform, and Lendeffs failure to perform will not preclude Lender from exercising any of Lender's other rights under the law or this Security Instrument. If any construction on the Property is discontinued or not carried on in a reasonable manner, Lender may take all steps necessary to protect Lender's security interest in the Property, including completion of the construction. ASSIGNMENT OF LEASES AND RENTS. Mortgagor gl'ants, '6argairfs, conveys~ and 'sells tO~ Lender, with power of sale, as additional security all the right, title and interest in and to any and all: A. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for the use and occupancy of any portion of the Property, including any extensions, renewals, modifications or substitutions of such agreements (all referred to as "Leases"). B. Rents, issues and profits (all referred to as "Rents"), including but not limited to security deposits, minimum rent, percentage rent, additional rent, common area maintenance charges, parking charges, real estate taxes, other applicable taxes, insurance premium contributions, liquidated damages following default, cancellation .premiums, "loss of · ,rents" insurance, guest receipts, revenues, royalties, proceeds, bonuses, accounts, contract rights, general intangibles, and all rights and claims which Mortgagor may have that in any way pertain to or are on account of the use or occupancy of the whole or any part of the Property. In the event any item listed as Leases or Rents is determined to be personal property, this Security Instrument will also be regarded as a security agreement. Mortgagor will promptly provide Lender with true and correct copies of all existing and future Leases. Mortgagor may collect, receive, enjoy and use the Rents so long as Mortgagor is not in default. Except for one lease period's rent, Mortgagor will not collect in advance any future Rents without Lender's prior written consent. Upon default, Mortgagor will receive Rents in trust for Lender and Mortgagor will not commingle the Rents with any other funds. Amounts collected shall be applied at Lender's discretion to payments on the Secured Debt as therein provided, to costs of managing, protecting and preserving the Property and to any other necessary related expenses including Lender's court costs. . Mortgagor 'agrees that'this //ssignment is irmnediately effective between the p~i)t-ies-to this Security Instrument and effective as to third parties on Mortgagor's default when Lender takes an affirmative action as prescribed by the law' of the state where the Property is located. This assignment will remain effective in the event of foreclosure and during any period of redemption by the Mortgagor until the Secured Debt is satisfied. Thereafter, either Lender or Mortgagor may notify the tenants and demand that all future Rents be paid directly to Lender. On receiving the notice of default, Mortgagor will endorse and deliver to Lender any payments of Rents. Mortgagor warrants that no default exists under the Leases or any applicable landlord law. Mortgagor also agrees to maintain, and to require the tenants to comply with, the Leases and any applicable law. Mortgagor will promptly notify Lender of any noncompliance. If Mortgagor negtects or refuses to enforce compliance with the terms of the Leases, then Lender 1993 Bankers Systems,,'lnc., St.,~MN Farm AGCOMTGCS-SD 7/15/2002 (page 4 of 1 1) O0.11 may, at Lender's option, enforce compliance. Mortgagor will obtain Lender's written authorization before Mortgagor consents to sublet, modify, cancel, or otherwise alter the Leases;' tO accept the sUrrender of the Property covered by such Leases (unless the Le~ses so reqUi~e); or'to assign, compronfi, se or encuml6er the L~ases or any future Rents. tf Lende( acts to manage~ protec_t and preserve'the Property, Lender does not assume.or become liable' for its maintenance, depreciation, or other losses or damages, except those due to Lender's gross negligence or intentional torts. Otherwise, Mortgagor will hold Lender harmless and indemnify Lender for any and all liability, loss or damage that Lender may incur as a consequence of the assignment under this section. 15. LEASEHOLDS; TIME-SHARE ESTATES; CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. Mortgagor agrees to comply with the provisions of any lease if this Security Instrument is on a leasehold. If the Property includes a unit in a condominium, time-share estate or a planned unit development, Mortgagor will perform all of Mortgagor's duties under the covenants, by-laws, or regulations of the condominium, time-share estate or planned unit development. 16, DEFAULT. Mortgagor will be in. default if any of.the follow{ng occur: .... A. Any party obligated on the Secured Debt fails to make payment when due;' B. A breach of any term or covenant in this Security Instrument or any other document executed for the purpose of creating, securing or guarantying the Secured Debt; C. The making or furnishing of any verbal or written representation, statement or warranty to Lender that is false or incorrect in any material respect by Mortgagor or any person or entity obligated on the Secured Debt; D. The death, dissolution, or insolvency of, appointment of a receiver for, or application of any debtor relief law to, Mortgagor or any other person or entity obligated on the Secured Debt; E. A good faith belief by Lender at any time that Lender is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment is impaired 'or the value of the Property is impaired;. F. A material adVerSe change in Mortgagor's business including ownership, management, and financial conditions, which Lender in its opinion believes impairs the value of the Property or repayment of the Secured Debt; or G. Any loan proceeds are used for a purpose that will contribute to excessive erosion of highly erodible land or to the conversion of wetlands to produce an agricultural commodity, as further explained in 7 C.F.R. Part 1940, Subpart G, Exhibit M. 17. REMEDIES ON DEFAULT. In some instances, federal and state law will require Lender to provide Mortgagor with notice of the right to cure or other notices and may establish time schedules for foreclosure actions. Subject to these limitations, if any, Lender may accelerate the Secured Debt and foreclose this Security Instrument in a manner provided by law if Mortgagor is in default. At the option of Lender, all ox' any part of the agreed fees and charges,' a. ccrued int~eresLand principal shall become immediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime thereafter. In addition, Lender shall be entitled to all the remedies provided by law, the terms of the Secured Debt, this Security Instrument and any related documents. All remedies are distinct, cumulative and not exclusive, and the Lender is entitled to all remedies provided at law or equity, whether or not expressly set forth. The acceptance by Lender of any sum in payment or partial payment on the Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a waiver of Lender's right to require complete cure of any existing default. By not exercising any remedy on Mortgagor's default, Lender does not waive Lender's right to later consider the event a ~default if it continues qr happens again. ~,~--'~" © 1993 Bankers Systems, Inc.; St.,,..~d,~MN Form AGCOMYGCS-SD .711512002 ' A/,,'~/ (page 5 of 1 1) 00,.1.2 18. REDEMPTION. THE PARTIES AGREE THAT THE PROVISIONS OF THE ONE HUNDRED EIGHTY DAY REDEMPTION MORTGAGE ACT GOVERN THIS MORTGAGE. The period of redemption from the recording' of the certificate of sale shall be one hundred eighty days. Any agreement to extend the redemption .period must be-in writing. 19. COLLECTION EXPENSES AND ATTORNEYS' FEES. On or after Default including in the case of foreclosure, to the extent permitted by law, Mortgagor agrees to pay all expenses of collection, enforcement or protection of Lender's rights and remedies under this Security Instrument. Mortgagor agrees to pay expenses for Lender to inspect and preserve the Property and for any recordation costs of releasing the Property from this Security Instrument. Expenses include, but are not limited to, reasonable attorneys' fees when you are a "regulated lender" under S.D.C.L. § 54-3-14, as amended, court costs and other legal expenses and actual disbursements necessarily incurred. These expenses are due and payable immediately. If not paid immediately, these expenses will bear interest from the date of payment until paid in full at the highest interest rate in effect as provided for in the terms of the Secured Debts. To the extent permitted by the United States Bankruptcy Code, Mortgagor agrees to pay the reasonable attorneys' fees Lender incurs to collect the-Secured Debts a~ awarded by any court exercising jurisdiction under the Bankruptcy Code. 20. RECEIVERSHIP. In the case of foreclosure, at any time after the commencement of an action of foreclosure or at any time after the commencement of foreclosure by advertisement, or during any period of redemption, Lender is authorized to appoint a receiver to take possession of the Property if the Property has been abandoned, or to have a receiver appointed by the court. The receiver shall take immediate possession of the above described Property, and of all the rents or profits that accrue from it and to rent or cultivate the same as the receiver may deem best for the interest of all parties concerned. 21. DEFICIENCY. In the case of foreclosure, if the net proceeds of a foreclosure sale are less than the total debt remain, ing to be paid, Mortgagor agrees to pay to the holder of the mortgage any deficiency ..... . .... 22. REDUCTION OF REDEMPTION PERIOD. In case of a foreclosure by. action, the'holder of the. certificate_ .of .sale may aPply to .the court for reduction Of the redemption period, if the Property. has been abandoned by .Mortgagor(s). If,' after notice to the party(ies) as 'the court directs, the court finds the Property has been abandoned, the redemption period may be reduced. The redemption period may not be reduced to less than 60 days from the date of the recording of the certificate of sale. 23. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law means, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 42 U.S.C. 9601 et seq.), all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2) Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or'contaminant which has characteristics which render .the substance dangerous or potentially dangerous to the public health, safety, welfare or environment. The term includes, without limitation, any substances defined as "hazardous material," "toxic substances," "hazardous waste" or "hazardous substance" under any Environmental Law. Mortgagor represents, warrants and agrees that: A. Except as previously disclosed and acknowledged in writing to Lender, no Hazardous Substance has been, is, or will be located, transported, manufactured, treated, refined, or handled by any person on, under or about the Property, except in the ordinary course of business and in strict compliance with all applicable Environmental Law. B. Except as previously disclosed and acknowledged in writing to Lender, Mortgagor has not and will not cause, contribute to, or permit the release of any Hazardous Substance on the Property. ©1993 Bankers Systm~, Inc:, St. Cloy, d, MN Form AGC OMTGCS-SD 7/1512002 (page 6 of 1 1) O0 '; 3 C. Mortgagor will immediately notify Lender if (1) a release or threatened release of Hazardous Substance occurs on, under or about the Property or migrates or threatens to migrate from nearby property; 'or (2) there is a violation Of any Environmental Law "concerning the Property7 In such an event, Mortgagor will take all neCessarY remedial :action in accordance with Environmental Law. . .D. Except as previously disclosed and acknowledged in writing t0 Lender, MOrtgagor has no knowledge of or reason to believe there is any pending or 'threatened investigation, claim, or proceeding of any kind relating to (1) any Hazardous Substance located on, under or about the Property; or (2) any violation by Mortgagor or any tenant of any Environmental Law. Mortgagor will immediately notify Lender in writing as soon as Mortgagor has reason to believe there is any such pending or threatened investigation, claim, or proceeding. In such an event, Lender has the right, but not the obligation, to participate in any such proceeding including the right to receive copies of any documents relating to such proceedings. E. Except as previously, disclosed and acknowledged in writing to Lender, Mortgagor and .every~ tenant have _been, are. and shall remain in fu_~:;~_c0mpliance ,with.any_..a~ppticable Environmental Lfiw. F. Except as previously disclosed and acknowledged in writing to Lender, there are no underground storage tanks, private dumps or open wells located on or under the Property and no such tank, dump or well will be added unless Lender first consents in writing. G. Mortgagor will regularly inspect the Property, monitor the activities and operations on the Property, and confirm that all permits, licenses or approvals required by any applicable Environmental Law are obtained and complied with. H. Mortgagor will permit, or cause any tenant to permit, Lender or Lender's agent to enter and inspect the Property and review all records at any reasonable time to determine (1) the existence, location and nature of any Hazardous Substance on, under 'or about the Property; (2) the eXistence, location, nature, and magnitude of any HaZardous Substance that has been released on, under or about the Property; or (3) whether' or 'not Mortgagor and any tenant are in' compliance with applicable Environmental ldaw. ' - I. 'Upon Lender's request and at any time, Mortgagor agrees, at Mortgagor's expense, to engage a qualified environmental engineer to prepare an environmental audit of the Property and to submit the results of such audit to Lender. The choice of the environmental engineer who will perform such audit is subject to Lender's approval. J. Lender has the right, but not the obligation, to perform any of Mortgagor's obligations under this section at Mortgagor's expense. K. As a consequence of any breach of any representation, warranty or promise made in this section, (1) Mortgagor will indemnify and hold Lender and Lender's successors or assigns harmless from and against all losses, claims, demands, liabilities, damages, cleanup, response and remediation costs, penalties and expenses, including without limitation all costs of litigation, which Lender and Lender's successors or assigns may .... _ susmirl;_and (2)'at-.Lender's .discretion, Lender may release this Seeurity Instrument and ~n return. Mortgagor will provide Lender with collateral of at least equal value to the Property secured by this Security Instrument without prejudice to any of Lender's rights under this Security Instrument. L. Notwithstanding any of the language contained in this Security Instrument to the contrary, the terms of this section shall survive any foreclosure or satisfaction of this Security Instrument regardless of any passage of title to Lender or any disposition by Lender of any or all of the Property. Any claims and defenses to the contrary are hereby waived. 24. CONDEMNATION. Mortgagor will give Lender prompt notice of any pending or threatened action, by private or public entities to purchase or take any or all of the Property through 'condemnation, eminent domain, or any other means. Mortgagor authorizes Lender to intervene in Mortgagor's name in any of the above described actions or claims. Mortgagor assigns to 993 Bankers Sys'tems, Inc., St. Cloud, MN Form AGCOMTGCS-SD 7L15t2002 :. ~- (page 7 of 1 1) 26. 27. 28. Lender the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the Property. Such proceeds shall be considered payments and will be applied as provided in this SecuritY Instrument. This assignment of proceeds is subject to the t~rms of any prior mortgage, deed of trust, securit3/agreement or Other lien document. 25. INSURANCE. Mortgagor agrees to maintain insurance as follows: .A. Mortgagor shall keep the Property insured against loss by fire, flood, theft and other hazards and risks reasonably associated with the Property due to its type and location. This insurance shall be maintained in the mounts and for the periods that Lender requires. What Lender requires pursuant to the preceding two sentences can change during the term of the Secured Debt. The insurance carrier providing the insurance shall be chosen by Mortgagor subject to Lender's approval, which shall not be unreasonably withheld. If Mortgagor fails to maintain the coverage described above, Lender may, at Lender's option, obtain coverage to protect Lender's rights in the Property according to the terms of this Security Instrument. All insurance policies and renewals Shall be acceptable to Lender and shall include a ..... ;;atandard ~:'mo~tgage clause.."., and, where applicable~ ".loss payee clause." Mor[gagor shall immediately notify Lender of cancellation or termination of the iiisurance. Lender Shall have the right to hold the policies and renewals. If Lender requires, Mortgagor shall immediately give to Lender all receipts of paid premiums and renewal notices. Upon loss, Mortgagor shall give immediate notice to the insurance carrier and Lender. Lender may make proof of loss if not made immediately by Mortgagor. Unless otherwise agreed in writing, all insurance proceeds shall be applied to restoration or repair of the Property or to the Secured Debt, whether or not then due, at Lender's option. Any application of proceeds to principal shall not extend or postpone the due date of scheduled payment nor change the amount of any Payment. Any excess will be paid to the Mortgagor. If the Property is acquired by Lender, Mortgagor's right to any insurance pOli6ies~and proceeds resulting from damage to the PrOperty before .the acquisition shall pass to Lender to the extent of the Secured Debt immediatelWb'efore the _ acquisition.. B. Mortgagor agrees t° mainiain comprehensive general liability insurance naming Lender as an additional insured in an amount acceptable to Lender, insUring against claims arising from any accident or occurrence in or on the Property. C. Mortgagor agrees to maintain rental loss or business interruption insurance, as required by Lender, in an amount equal to at least coverage of one year's debt service, and required escrow account deposits (if agreed to separately in writing), under a form of policy acceptable to Lender. ESCROW FOR TAXES AND INSURANCE. Unless otherwise provided in a separate agreement, Mortgagor will not be required to pay to Lender funds for taxes and insurance in escrow. FINANCIAL REPORTS AND ADDITIONAL DOCUMENTS. Mortgagor will provide to Lender upOn 'request, any finhnCiaI ·Statement or information Lender "may deem reasonably necessary. Mortgagor agrees to sign, deliver, and file any additional documents or certifications that Lender may consider necessary to perfect, Continue, and preserve Mortgagor's obligations under this Security Instrument and Lender's lien status on the Property. JOINT AND INDIVIDUAL LIABILITY; CO-SIGNERS; SUCCESSORS AND ASSIGNS BOUND. All duties under this Security Instrument are joint and individual. If Mortgagor signs this Security Instrument but does not sign an evidence of debt, Mortgagor does so only to mortgage Mortgagor's interest in the Property to secure payment of the Secured Debt and Mortgagor does not agree to be personally liable on the Secured Debt. If this Security Instrument secures a guaranty between Lender and Mortgagor, Mortgagor agrees to ,waive any 1993 Bankers Systems,-Inc ,, St. ~, td~MN Form AGCOMIGCS-SD 7!]5/200.2 (page 8 of 1 1) rights that may prevent Lender from bringing any action or claim against Mortgagor or any party indebted under the obligation. These rights may include, but are not limited to, any anti-deficiency or bne-action laws. Mortgagor agrees that Lender and any party to this Security Ins'trUment 'may extend, iii0dify' 0r make any change in the/~rms of this Securi!y 'Ins~i'ument or any evidence of debt with6ut Mortgagor's consent. Such a change will not release Mortgagor from the terms of this Security 'Instrument..The duties and benefits of this Security Instrument shall bind and benefit the successors and assigns of Mortgagor and Lender. 29. APPLICABLE LAW; SEVERABILITY; INTERPRETATION. This Security Instrument is governed by the laws of the jurisdiction in which Lender is located, except to the extent otherwise required by the laws of the jurisdiction where the Property is located. This Security Instrument is complete and fully integrated. This Security Instrument may not be amended or modified by oral agreement. Any section in this Security Instrument, attachments, or any agreement related to the Secured Debt that conflicts with applicable law will not be effective, unless that law expressly or impliedly permits the variations by written agreement. If any section of this Security Instrument cannot be enforced according to its terms, that section will · be severed and will~ not. affect the enforceability of the. remginder .of th;.s 'Security. Instrument. Whenever used, the singtiia-r shall include the plural and the plural the singular. The captions and headings of the sections of this Security Instrument are for convenience only and are not to be used to interpret or define the terms of this Security Instrument. Time is of the essence in this Security Instrument. 30. NOTICE. Unless otherwise required by law, any notice shall be given by delivering it or by mailing it by registered or certified mail, return receipt requested, to the appropriate party's address on page 1 of this Security Instrument, or to any other address designated in writing. Notice to one mortgagor will be deemed to be notice to all mortgagors. 31. WAIVERS. Except to the extent prohibited by law, Mortgagor waives all appraisement and homestead exemption rights relating to the Property. 32. U.C.C. PROVISIONS. If-checked, the following are applicable to, but do not limit, this Security Instrument: [] Construction Loan. This Security Instrument secures an obligation incurred for the construction of an improvement on the Property. [] Fixture Filing. Mortgagor grants to Lender a security interest in all goods that Mortgagor owns now or in the future and that are or will become fixtures related to the Property. [] Crops; Timber; Minerals; Rents, Issues, and Profits. Mortgagor grants to Lender a security interest in all crops, timber and minerals located on the Property as well as all rents, issues, and profits of them including, but not limited to, all Conservation Reserve Program (CRP) and Payment in Kind (PIK) payments and similar governmental programs (all of which shall also be included in the term "Property"). [] Personal Property. Mo[~gagor grants to Lender a security interest, in all personal property located on or connected with the Property, including all farm products, inventory, equipment, accounts, documents, instruments, chattel paper, general intangibles, and all other items of personal property Mortgagor owns now or in the future and that are used or useful in the construction, ownership, operation, management, or maintenance of the Property (all of which shall also be included in the term "Property"). The term "personal property" specifically excludes that property described as "household goods" secured in connection with a "consumer" loan as those terms are defined in applicable federal regulations governing unfair and deceptive credit practices. [] Filing As Financing Statement. Grantor agrees and acknowledges that this Security Instrument also Suffices as a financing statement and any carbon, photographic' or other reproduction may be filed of record for purposes of Article 9 of the Uniform Commercial Code. 1993 Bankers Systems, Inc., St. C,~N Form AGCOMTGCS-SD 7/15/2002 (page 9 of 1 1) 33. OTHER TERMS. If checked, the following are applicable to this Security Instrument: [] Agricultural Property. Mortgagor covenants and warrants that the Property will be used principally for agricultural or farming purposes and that Mortgagor is an individual or entity allowed to own agricultural land as specified by law. [] Additional Terms. SIGNATURES: By signing below, Mortgagor agrees to the terms and covenants contained in this Security instrument and in any attachments. Mortgagor also acknowledges receipt of a coPy of this Security Instrument on the date stated on page 1. Entity Name:?.g. gBX..4....?~...T.~B .................... ........ (Signature) TE~R¥ o M~TIN, ~l~te) (Signature) (Date) Entity Name: .......................................... (Signature) (Date) (Signature) (Date) 1993 Bankers Systems, Inc,, St. Cloud, MN Form AGCOMTGCS-SD 7115/2002 (page 10 of 1 1) O0''~ 7 ACKNOWLEDGMENT: ,'0t ......... STATE OF ..... .~..~B..~.~COUNtY OF .Hl~~..~... ' ~ ss (Individ- officer, personally appeared ...... ~.~.~';.~.... ~'.....~.~....~ 1,3 .... ...................... :; ............ ual) known to me (or satisfactorily proven) to be the person(s) whose name(s) .. J.~. .......... ............................................ execute,,~the shme for the purposes herein contained. IN WITNESS WHEREOF, I hereunto set ~ny h~nd and official seal. ,/ (Seal) ..~.....~...._.~ ~ Danielle M. den Hoed ~[ (Notary Public) ~/~ NOTARY PUGUC ~ .~ ~.k~Wll SOUTH DAKOTA ~:~i//,~,, t. ~~~rg, H [ 7t '2.0, l l STATE OF ..................................COUNTY OF ................................... } ss. On this ............ day of ............................................ before me, the undersigned (Business officer, personally appeared .......................................................................... or Entity who acknowledged himself or herself to be the .................................................... Acknowl- . .............................................. (Title(s)) of ................................................ edgment) .......................................................................... (Name of Business or Entity) a .................................................................................................... and as such being authorized so to do, executed the foregoing instrument in the capacity herein stated and for the purposes herein comained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. (Seal) (Notary Public) My commission expires: 1993 Bankers Systems, Inc., St. Cloud, MN Form AGCOMTGCS-SD 7/15/2002 (page 11 of 11)