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HomeMy WebLinkAbout941753 -)j 11' :..:{ '\, .....'...,....r -~....... RECEIVED 8/29/2008 at 12:36 PM RECEIVING # 941753 BOOK: 703 PAGE: 599 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY 6010817088 00&599 Sta~e of Wygming Space Above This Line For Recgrding Data REAL ESTATE MORTGAGE (With Future Advance Clause) 1. DATE AND PARTIES. The date of this Mortgage is 08-25-2008 ars a$ follows: and the parties and their addresses MORTGAGOR: MCKAYLAs lANDING l.L.C.. AUT AH LIMITED UABllITY COMPANY 3978 IRIS AVE MT GREEN. UT 8~050 o Reter to the Addendum which i$ attached and incorporated herÐin for additional Mortgagors. LENDeR: THE BANK OF STAR VAllEY ORGANIZED AND EXISTING UNDER THE LAWS Of THE STATE OF WYOMING 384 WASHINGTON STREET POBOX 8007 AFTON, WY 83110 2. MORTGAGE. For good and valuable consideration, the receipt and sufficiency of which i$ acknowledged, and to securø the Secured Debt (hereafter definedl, Mortgagor grants, bargains, conveys, mortgages and warrants to Lender, with the power of sale, the fOllowing described property: SEE EXHIBIT A ATTACHED HERETO AND MADE APART HEREOF (.\ ~ l 'c.,' ~ £1, \J ~ , I I The property is located in LINCOLN at MCKAYLAS LANE Ica\J"~) I AFTON , Wyoming 8:1110 l^dClre~fI) (Cltyl IZIP COdal Together with all rights, easements, appurtenance$. royalties. mineral rights, oil and gas rights, crops, timber. all diversion payments or third party payments made to crop producers, and all existing and future improvements. struotures, fixtures. and replacements that may now, or at any time in the futurs, be part of the real utata d8.t1crlbed abovE! (aH referred to 8S "Property"l. The term Propcny also im~ludes, but is not IImitEld to, any and all water wells, water, ditches, reservoirs. reservoir sites and dams located on the real estate and all riparian and water rights essociated with the Property, h"Owever established. WYOMING. AQIIICUL TUR4L/COMMiACIAL REAL EaTA TE seCURITY INSTRUMI;f,IT (NOT FOIl FNMA, FHLMC. FHA lJI YA use. AND NOT FOR CCNSUMER PURPOSES! (psge T of 81 ~ I ) 1993. 7,001 6el1ker, Sy,"omc. IMII., at. CloUd. IIo1N For", AGCO./lESI.WY 1/18/2003 ~~ COû600 3. MAXIMUM OBLIGATION LIMIT. The total principal amount of The Secured Debt rhereaf~er definedl secured by this Mortgage at anyone time shall not exceed $ Z45 DOD 00 , This limitation of amount does not include interest. loan charges, commitment fees, brokerage commissions, attorneys' fees and other chargQ$ validly mada pursuant to this Mortgage and does not apply to advanc~$ (or interest accrued on such advances! made undar 1he terms of this Mortgage to protect Lender's security and to perform liny of the covenants contained in this Mortgage. Future advances are contemplated and, along with other future obligations, are secured by this Mortgage eVen though all or part may not yet be advanced, Nothing in this Mortgage, however, $hall constitute a commitment to make additional or future loans or advances in any amount. Any such commitment would need to be agreed to in a separate writing, 4. SECURED DEBT DEFINED. The term "Secured Debt" Includes, but is not limited to. the following: A. The promissory note(sl, oontr3Ct(s), guaranwlies) or other evidence of debt described below and all Qxtensions, renewals, modifications or substitutions, (When referencing the debrs below ir is suggesred tha{ you include irems such as borrowers' names (lnd sddresses, note principalsmoIJnts, commercial fflvolving loan tlgreement's maximum amount, interest rar(!}S, vsriable rate rerms, maruri,y dates, ere,¡ ONE PROMISSDRY NOTE DATED AUGUST 25.2008 IN THE AMOUNT Or $ 245,000.00 S, All future advances from Lender to Mortgagor or other future obligations of Mortgagor to Lender under any promissory note, contract. guaranty, or other evidence of debt existing now or aICecuted aftsr this Mortgaga whather or not this Mortgage is specifically referred to in the evidence of debt, C. All obligations Mortgagor owes to Lender, which now exist or may later arise, to the extent not prohibiTÐd by law, including, but not limited to, liabilities for overdrafts relating to any deposit accOunt agrcsment betwesn Mortgagor and Lender, D. An additional sums advanced and expensÐs incllrred by Lender for insuring, prsserving or otherwise proU~cting the Property and its value and any other sums advanced and expenses Incurred by Lender under the terms of this Mortgage, plus interest at the highest rate in effect, from time to time, as provided in the Evidence of Deb~. E. Mortgagor's performance under the terms of any instrument evidencing a debt by Mortgagor to Lender and ¡my Mortgage securing, guarantying. or otherwise relating to thEil debt. If more than one person signs this Mortgage as Mortgagor, each Mortgagor agrees that this Mortgage will $ecure all future advances and future obligo1tions described above that <Ire given to or incurred by anyone or more Mortgagor, or anyone or more Mortgagor and others. This Mortgage will not secure any othør debt it Lender fails, with respect to $llCh other debt, to make any reql.lired disclosure about this Mortgage or if Lendsr fails to give any required notice of the right of rescission, 5. PAYMENTS. Mortgagor agrees to make all payments on the Secured Debt when due and in accordance with the terms of the Evidence of Debt or this Mortgage, 6. CLAIMS AGAINST TITLE. Mortgagor will pay all ta)(u, assessmants, lien!!, encumbrances, lease payments, ground rents, utilities, and othar charges relating to the Property when due, Lender may rsquire Mortgagor to provide to Lender copies of all notices that such amounts are due and The receipt5 evidencing Mortgagor's payment, Mortgagor will defend title to the Property agøinst any claims that would impair the lien of this Mortgage, Mortgagor agrees to assign to Lender, as requested by Lender, any rights, claims or defenses which MorTgagor may have agains~ parties who supply labor or materials to improve or maintain the PropertY, 7. PRIOR SECURITY INTERESTS. With regard to any other mortgage, dead of trust, security agreement or other lien documenT th6lt created a prior sscurity interest or encumbrance on the Property and that may have priority OV!!Ir this MorTgage, Mortgagor agrees: A, To make all payments when due and to perform or comply with all covenants, e, To promptly deliver to Lender atly 110tlces thst Mortgagor receives from ths holder. C. Not to make or permit any modification or extension of, and not TO requ!!Ist or accept any future advances under any note or agreement secured by, the ather mortgage, dead of trust or security agreament unless I.ender conssnts In writing. S. DUE ON SALE OR ENCUMBRANCE. Lender may, at its option. declare the entirs balønce of the Secured Df.!bt to be immediately due IiInd payoblø upon the cre.¡¡tion of any lien, encumbrance, transfer, or sole, or contract tor any of these on the Property. However, if the Property includes Mortgagor's residence. this section shall be subject to the restrictions imposed by federal law 112 C.F.A. 591J. as applicable. For the purpO$es of this section, the term "Property" also includes any interest to all or any part of the Property, This Covenant shall run with the Property and shall remain in effect until the Secllred Debt is paid in full Bl1d this Mortgage is released. ~.. IP 199:1. 2001 e.n~". 5'1".""" '''0" SI. Cla~d II/ N Farm AGCC·F\ESI·WY 1/18'2003 ~. Ipsg" 2 of 81 ÛOú601 9. TRANSFER OF AN INTEREST IN THE MORTGAGOR. If Mortgagor is an en~ity o~her than a natural person (such as a corporation or o'ther organization~, Lender may demand immedia1:!I payment if (1) a beneficial int~re$t i~ lI:"0rtga~or is sold or tra"$ferred; (21 there is êI change in either the idQntity or number of membørs of a partnershIp or similar entity: or (3) 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 Mortgage. 10. ENTITY WARRANTIES AND REPRESENTA1l0NS. 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 be oon~inuing as long as the Secured Debt remains outstanding: A. Mortgagor is an entity which is duly organized and validly existing in the Mortgagor's state of incorporation (or organization), Mortgagor is in good standing in all states in which Mortgagor transacts business. Mortgagor has the power and authority to own the Property and to carryon its business as now being conducted and, as applicable, is qualifir:d to do so in each state in which Mortgagor operates. B, The execution, delivery and performance of this Mortgage by Mortgagor and the obligation evidenced by the Evidsnca of Debt are within the pOWer of Mortgagor, have been duly authori:ted, have received all necessary governmental approval, and will net violate any provision of law, or order of court or governmental agency. C. Other than disclo$ed in writing Mortgegor has not changed its name within the last ten years and has not used any other trade or fictitious name. Without I.ender's prior written consent, Mortgagor does not and will not use any other name and will preserve its existing name, trade names and franchises until the Secured Deb¡ is satisfied. , 1. PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Mortgagor will keep ¡he Property in good condition and make all repairs that are reasonably necess:ary. Mortgagor will give Lender prompt nQtice of any loss or damage to the Property. Mortgagor will keep the Property free of noxious weeds and grasses. Mortgagor win not initiate, join in or consent to any change in any private restrictive covenant, loning ordinancB or other public or private restriction limiting or defining the Uses which may be made of the Property or any part of the Property, without Lender's prior wri'tten consent, Mortgagor will notify Lender of all demands, proceedings, claims, and aotions against Mortgagor or any other ownsr mç¡de under law or regulation regarding U$e, ownership and oocupancy of the Property, Mortgagor will comply with all legal requirements and restrictions, whether public or private, with respect to the use of the Property. Mortgagor also agrees 'that the nature of the OCcupancy and use will not change wi'thout Lender's prior written consent, No portion of the Property will be removed, demolished or materially altered without lender's prior wrinen oonsent exoept that Mortgagor has the right to ramove items of personal property comprising B part of the Property that become worn or obsolete, provided that such personal propørty is replaced with other personal property at least equal in value to the replaced personal property, tree from any title retention device, seourity agreement or other encumbranoe. Such replacement of personal property will be deemed subject to the securiw interest created by this Mortgage. Mortgagor shall not partition or subdivide the Property without Lender's prior written consent, Lender òr lender's agents may, at Lendi!r's option, enter the Property at any reasonable time for the purpose of inspecting the Property, Any inspection of the Property shall be en'tirely for Lender's benefit Bnd Mortgagor will in no way rely on Lender's inspflction. 12. AUTHORITY TO PERFORM. If Mortgagor fails to perform any of Mortgagor's duties under this Mortgage, or any other mortgage, deed of trust, security agreement or other lien document that has priority over this Mortgage, Lender may, without notice, PQrform the duties or caUse them to bø performed. Mortgagor appoints Lender as attorney in fact 'to sign Mortgagor's name or pay any amount necessary for performanca, If any construction on the Property is discontinued or not carried on in a reasonable manner, Lender may do whatever is necessary to protect Lender'$ security interes't in the Property. This may include completing the construction. Lender's right to perforrn for Mortgagor shall not create an obligation to perform, and Lender's failure to perform will not preclude Lender from eJ(sroising any of Lander's other rights under the law or this Mortgage. Any amounts paid by Lender for insuring, preserving or otherwise protecting the Property and Lender's security interest will be due on demand and will bear Interest from the date of the payment until paid in full at the interest rate in effect from time to time according to the terms of the Evidence of Debt, 13. ASSIGNMENT OF LEASES AND RENTS. Mortgagor assigns, grants, bargains, oonveys, mortgages and warrants to Lendor e$ additional security all the rig/'lt, title and interest in the following (Propertyl. A. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for the use and occupancy of the Property, including but not limited to, any eXtensions. renewals, modifications or røplacements (Leuesl. B. Rents, issues and profits, inoluding but not limited to, securitY deposits, minimum rents, percentage rents, additional rents, common area maintenance charges, parking charges, real estate taxes, other applicable taxes, in!lurance prc mium oontributions, liquidated damages following default, oancellation premiums, "loss of rent$" insurance, guest receipts, reVenues, royaltie" proceeds, bonuses, accoun~$, contract righ~s, 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 occupa"oy of the whole or any par't of the Property (Rentsl. In the event any item listed as Leases or Rents is determined to be personal property, this Assignment will also be regarded as a security agreement. ~, ~,., ~19!13, ~oo, e.nh.r. Syn.m.. Ino" $1. Cløud, MN Porm AGCO.RE$I-WY 1/1&/2003 (pøgf! 3 of 8) 000602 Mortgagor will promptly provide Lender with copies of the leases and will certify these leases are true and correct copies, The cudsting leases will be prQvided on execution o'f the Assignment, and all of the "'Jture leases and any other information with respect to these Leases will be provided immediately after they are executed. Mortgagor may collect, rli!ceive, enjoy and use the Rents so long as Mortgagor Is not in default. Mortgagor will not collect in advance any Rents d~le in future lease periods, unless Mortgagor first obtains Lender's written consent. Upon default. Mortgagor will receive any Rents in trust for Lender and Mortgagor will not commingle the Rents with any othQr fund.s, When lender so directs, Mortgagor will endorse and deliver any payments of Rents from the Property to lender. Amounts collected will be applied at lli!nder's discretion to the Secured Debts, the costs of m:.naging, protecting and preserving the Property, and other necessary expenses. Mortgagor agrees that this Security Instrument is immediately effQctive between Mortgagor and Lender, This Security Instrument will remain effective during any statutory redemption period until the Secured Debts are satisfied. Unless otherwise prohibited or prescribed by state law. Mortgagor agrees that lender may takG! actual possession of the Property without the necessity of commencing any legal ~ction or proceeding. Mortgagor agrees that actual possessio!') of the Property is deemed to occur when lender notifh;:s Mortgðgor of Mortgagor's default and demands that Mortgagor and Mortgagor's tenants pay all Rents due or to become due directly to Lander. Immediately after lender gives Mortgagor the notice of default. Mortgagor agrees that either Lender or Mortgagor may immœdiatQly notify the tenants and demand that all future Rents be paid directly to lender. As long as this Assignment is in effect, Mortgagor warrants and representS that no default exists under the leases. and the parties subject to the leases have not violated ë!!')y applicable law on leases. licenses and landlords and tenants. Mortgagor, at its sole cost and expense. will keep. observe Qnd perform. and require all other parties to the leuQs to comply with the Leases and any applicõlble law. If Mortgagor or any party to the Lease defaults or faifs to observe eny applicable law, Mortgagor will promp~fy notify Lender. If Mortgagor neglects or refu$es to enforce compliance with the terms of the leases. then Lsnder may, at Lender's option, enforce compliance, Mortgagor will not sublet, modify, extend. cancel, or otherwise oltQr the leases. or accœpt the surrender of the Property covered by the Leases (unless the Leases so rQquire) without Lender's oonsent. Mortgagor will not assign, compromise. subordinate or enoumber the Leases and Renta without lender's prior written consent. Lender does not assume or become liable for the Property's maintenance. depreciation. or other los$8$ or damages when Lender IiIc1s to manage, protect or preserve the Property, except far losses and damages d~le to Lender's gross negligence or intentional tor~6, Otherwise, Mortgagor will indemnify lendsr and hold lender harmless for all liability, los$ or damage that Lender may incur when lender opts to exercise any of its remedies again$~ any party obligated under the Leases. 14. CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. If the Property includes ð unit in a condominillm or a planned unit development, Mortgagor will' perform 911 of Mortgagor's dUties under the covenan't$, by-laws, or regulations of the condominium or planned unit development. 15. DEFAULT. Mortgagor will be ín default if any of the following occur: A. Any party obligated on the Sccured Debt fails to make payment when due; B. A breach of any term or COVli1nðnt in this Mortgage, (lny prior mortgage or any construction loan agreement, security agreement or any other document Qvidencing. guarantying, securing or otherwise relating to the Secured Debt; C. The making or furnishing of any verbal or written representation, statement or wQrranty to lender that is flllse or incorrect in any material respect by Mortgagor or any person or entity obligated on thE: Secured Debt; D. The death, dissolution. or ¡l1solvency of, appointment of :;J receiver for. or applic.;Ition of any debtor relief law to, Mortgagor or any per!'ion or entity obligated on thQ Seoured Debt; E. A good faith belief by Lender at any time that Lendsr is in~ecure 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. managemønt. and financial conditions. which lender in it$ opinion believes impairs the value of the PropørtY or repayment of the Secured Debt; or G, Any loan proceeds are lIsed for a purpose that will contribute to excri1ssive erosion of highlV 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. 16. REMEDIES ON DEFAULT. In some instances, federal and stata law will require Lønder to provide Mortgagor with notice of the right to cure. mediation notices or other notices and may establish time schedules for foreclosure actions. Subject ~o these limitations, if any, Lender may accelerate the Secured Debt and foreclose this Mortgage in a m-enner provided by law if this Mortgagor is in default, At the option of lender, all or any part of the agrssd fees and charges, ;¡¡ccrued interest and principal shall become immediatøly due and payable. after giving notice if req~lired by law, upon the occurrence of a default or anytime thereafter. In QdditiQn, lendsr shClII be entitled to all the remedies provided by law, the Evidence of Debt. other evidances ot debt, this Mortgage and any reltlted documents including wi~l1out limitation, the power to sell the Property, All remedies or. distinct, cumulative and not exclusive. and the Lønder is entitled to all remedies provided at I;¡W or equity, whether e)(presslv set forth or not. The acceptance by Lender of iiny sum in PQyment or partial payment on the Secured Dabt after the balanoe is due or is accelerated or after foreclosure prooeedings ars filed shall not consti~ute a waiver of lender's right to require full and complete c~ re of any existing defeult, 8y 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 or happens ¡¡gain. ~: ~ '99].2001 BonkDn :Sy.,_" I"c.. St. Claud, MN Form >\GCO "ESI.WY 1I,e1200J ~. (psgf1 4 of 8) --. --. ---- --.------- 000603 17. EXPENSES' ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prohibited by law, Mortgagor 'agrees to pay all of Lender's expenses if Mortgagor breaches Bny covenant in this Mortgage. Mortgagor w.iII also pay on demand all of Lender's expenses incurred in collecting, insuring. preserving or protecting the Property or In any inventories, audits, inspections or other examination by Lender in respect to the Property. Mortgagor agrees to pay all costs and expenses incurred by Lendar In enforcing or protecting Lander's rights and remedies under this, Mortgage, including. but not limited to, attorneys' fees. court costs, and other legal expenses. Once the Secur~d Debt IS fully and finally paid, lender agrees to release this Mongage· and Mortgagor agrees to pay for any recordation costs. All s~ch amounts are due on demand and will bear intereS1 from the time of the advance at the highest rate in effect, from time to tIme, as provided in the Evidence of Debt and as permitted by law. 18. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (11 "Environmental Law" means, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 4? .U.S.C. 9601 et seq.), all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or interpretive letters concElrning the public health, safety, wl!llfare, environment or a hezardous substance; and (2) "Haë:ardous Substance" means any toxic, radioactive or hazardous material. waste, pollutarrt or contaminant which has charaoterlstics which render the sub.stance dangerous or potentially dangerous to the public health, sOlfBty, welfare or environment. The term includes, without limitBtion. any substance!! defined as "hazardous matClrial, n "toxic substences," "hazardous waste" or "hazardous substance" under any Environmental Law. Mortgagor represents, warrants and agrees that. except as previously disclosed and acknowledged in writing: A. 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 oourse of business and in strict compliance with all applicable Environmental law. B. Mortgagor has not and will not cause, contribute to, or permit the release of any Hazardous Substance on the PropertY. C. Mortgagor will immediately notify Lender if (1) a rereau 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 Property. In such an event. Mortgagor will take all necessary remedial action in accordance with Environmental Law. D. Mortgagor hes 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 Subst;lnce located on, under or about the Property; or 12) any violation by Mortgagor or any tenant of any Environmental Law. Mortgegor will immediately notify Lsnder in writing as soon as Mortgagor has reason to believe there Î:¡¡ 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. Mortgagor and every tenant have been, are and shall remain in full compliance with any applicable Environmental law. F. There are no underground storage tanks, private dumps or open wells located an or under the Propêrw 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, lìcenses or approvals required by any applicable Environmental Law are obuined 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 reólsonable time to determine (11 the existence, loca~jon and nature of any Hazardous Substance on, under or abou'!; the Property; (2) the existence, location, nature. and magnitude of any Hazardous Substance that Ilas been released on, under or about the Property; or (3) whether or n01 Mortgagor and any tenant are in compliance with applicable Environmental Law. 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 Lander. 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 alllossEls, claims, demands, liabilities, damage!!, cleanup, response and remediation cost$, penalties and aXpCln$e$, including withou1 limitation all cos1s of litigation and attorneys' fees, which lender and Lender's SUCCessors or assigns may sustain; and (21 a1 lender's discretion, Lender may release this Mortgage and in return Mortgagor will provide lender with collateral of at least equal value to the Property secured by this Mortgage without prejudice to any of lender's rights under this Mortgage. L, Notwithstanding any of the language contained in this Mortgage to the contrary, the terms of this section shall survive any foreclosure or satisfaction of this Mortgage regardless of any passage of title to Lender or any disposition by Lender of any or all of the Property, Any claims and defense$ to the contrary ara hereby waived, 19. CONDEMNATION. Mortgagor will give lender prompt notice of any action, real or threatened, by private or public entities to þurchase or take any or all of the Property, including any easements, through condemnation, eminent domain, or any other means. Mortgagor further agrees to notify Lender of any proceedings institu~ed for the establisnmêl'lt of any ~ewer. water. conserva'tion, ditch, dreinaee, Dr other district ralating to or binding upon the Property or any part of It. Mortgagor authorizes Lander to intervene in Mortgagor's name in any of the above described actions or claims and to collect and receivE! all sums resulting from the action or claim, Mortgagor assigns to 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 Mortgage. This assignment of proceeds is subject to the terms of any prior mortgage, deed of trUst, ~ecurity agreement or other lien document. ~. (pBge 6 of 8J ~ ~ 1893,2001 Bantor. Sy."rn.... JI'IC" St. Claud. MN Fa,m AGCO·FlE$I·WY 'I'ß/2003 20. INSURANCE. MortgBgor agrees to maintain in$urance as follows: A. Mortgagor shall keep the Property insured against Iou by fire, theft and other hazards and risks reasonably associated with the Property due to it$ type and location. Other hazards and risks may include, for cxample, coverage against loss due to floods or flooding, This insurance shall be maintained in the amounts and for the periods that lender require$, What lendsr requires purSuôlnt to the preceding two sentences Can change during the term of the Secured Debt. The insurance carrier providing the insurance shall be chosen by Mortgagor subject to lender's approval, which shall not be unreasonably withheld. If Mortgagor fails to maintain the coverage described above, Lender may, at lendsr's option, obtain coverage to protect Lender's rights in the PropertY 8ccording to .the terms of this Mortgage. . OOG60~ All insurance pOlicies and renewal$ shall be acceptable to Lander and shall include a standard ~mortgage clause" and, where applioable, "lender 10$$ payee clause," Mortgagor shall immediately notify Lender of oancellation or termination of the insurance, Lender shall have the right to hold the polioies and renewals. If Lender requires, Mortgagor shall immediately give to lender alf receipts of paid premiums and renewal notioes. Upon loss, Mortgagor shall give immediatl3 notice to the insurance carrier and Lender. lender may make proof of loss if not made immediately by Mortgagor, Unless lendsr and Mongagor otherwise agree in writing, insurance proceeds $half be applied to restoration or repair of the Property damaged if the restoration or repair is economioally feasible and Lender's security i$ not lessened. If the restoration or repair is not economically feasible or Lender's security would be les$ened, the insurance proceeds shall be applied to the Secured Debt. whether or not then due, with any ÐXCUS paid to Mortgagor. If Mortgagor abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then lender may cellect the insurance proceeds. Lender may use the proceeds to repair or restors thE! Property or to pay the Secured Debt whether or not then due. The 300day period will begin when the notice is given. Unless lender and Mortgagor otherwise agree in writing, any application of procøeds to princip,al shall not extend or postpone the due date of scheduled payments or chlJlnge the amount of the paymenu. If the Property is acquired by Lender, Mortgagor's right to any insurance policies and proc0"ds resulting from damaga to the Property before the acquisition shall pass to lender to the extent of the Secured Dmbt immediately before the acquisition. B. Mortgagor agrees to maintain comp~ehensive general liability insurance naming l.ender as an additional insured in an amount acceptable to Lender, in$urlng against claims arising from any accident or occurrance in or on the Propeny. C. Mortgagor agrees to maintain rental loss or business interruption insuranca, EllS required by len'der, in an amount equal to at least coverage of one year's debt service, and roquired ÐScrow account deposits (ir agreed to sepllrately in writing). under II form of policy acceptable to Lønder. 21. NO ESCROW FOR TAXES AND INSURANCE. Unless otherwlsa prOvided in a separatl! agreement, Mortgagor will not be required to pay to lender funds for taxes end Insurance in escrow. 2.2. FINANCIAL REPORTs AND ADDITIONAL DOCUMENTS. Mortgagor will provide to Lender upon request, any financial statement or information lender may deem neoessary. Mortgagor warrants that all financial statements and information Mortgagor provides to Lender are, or will be, accurate, correct, end complete. Mortgagor agrees tc sign, deliver, and rile as lender roilY reasonably request any additional documents or certifications that Lender may consider necessary to perfect, continuo, and presorve Mortgagor's obligations under this Mortgage and Lmndet's lien status on the Property. If Mortgagor fails to do so, Lender may sign, delivér, and file $Uch documents or certificates in MortgagQr's name and Mortgagor hereby irrevocably appoints Lender or Lender's agent as attorney in fact to do the things necessary to comply with this section, 23. JOINT AND INDIVIDUAL LIABILITY; CO.SIGNERS; SUCCESSORS AND ASSIGNS BOUND. All duties under this Mortgage are joint and individual. If Mortgagor signs this Mortgage but does not sign the 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. Mortgagor agrees that Lendar and any party to this Mortgage mey extend, modify or make any change in the terms of this Mortgage or the Evidence of Debt without Mortgagor's oonsent. Such a change will not release Mortgagor from the terms of thi$ Mortgage. The duties and benefits of this Mortgage shall bind and benefit the successors and a$signs of Mortgagor and lender. If this Mortgage secures 8 guaranty between Lender and Mortgagor and does not diractly securQ the obligation which is guarantied. Mortgagor I¡Igrees to waive any rights that may prevent Lender from bringing any action or claim against Mortgagor or any party indebted under the obligation including, but not lil'l'1ited to, anti-deficioncy or one-action laws. ~ ø:¡ 111113,200' e.n_lIt. S,..".m., I""., S~. CIClUd, MN Farm AGCO·RE31.WY 1/11/2003 ~. (psge 6 of 81 00&605 24. APPLICABLE LAW; SEVERABILITY; INTERPRETATION. This Mortgage is governed by ~he laws of ~he jurisdlotion in which Lender Is located, except to the extent otherwise required by the laws of the jurisdiction where the Property Is located. This Mortgage is complete and fully integrated. This Mortgaga may not be amended or modified by oral agreement. Any section or clause in this Mortgage, attachments. or any agreement related to the Secured Debt that conflicts with applicable law will not be effective, unless that law exprassly or impliedly permits the variations by written agreement. If any section or clause of this Mortgage cannot be enforced according to its terms. that section or clause will be severed and will not affect the enforceability of the remainder of this Mortgage. Whenever used, the singular shall include the plural and the plural the singular. The captions and headings of the sections of this Mortgage are for convenience only and are not to be used to interpret or define the terms of ~his Mortgage. Time is of the essence in this Mortgage. 26. NOTICE. Unlu$ otherwise required by law, any notice shall be given by delivering it or by mailing it by first class mail to the approp'riate party'$ address on page 1 of this Mortgage, or to any other addre$s designated In writing. Notice to one mortgagor will be deemed to be notice ~o all mortgagors. 26. WAIVERS. Except to the extent prohibi~ed by law, Mortgagor waives any right regarding tl1e marshalling of liens and assets and all homestsi1ld exemption rights relating to the Properw. 27. U.C.C. PROVISIONS. If checked. the following are applicable to, but clo not limit. this Mortgage: (j Construction Loan. This Mortgage secures an obligation Incurred for the construction of an improvement on the Property. o Fixture Filing. Mortgagor grants to Lend"r a security Interest in all goods that Mortgagor owns now or in the future and that are or will beoome fixtures related to the Property. 1:1 Crops; Timber; Minerals; Rents, I$$ues and Profits. Mortgagor gran~s to Lender 8 seourlty Interest in all crops, timbor and minerals located on the Property as well as all rents, Issues, and profits of them Including, but not limited to. all Cons0rva~ion Reserve Program (CAP) and Payment in Kh'1d (PIK) paymenb and similar governmen~al programs (all of which shall also be included In the term "Property"). o Personal Property. Mortgagor grants to Lender a securitY interest in all personal property located on or connected with the Property. This security interest includes all farm products, inventory, equipment. accounts, documents, instruments, chaU., paper. general intangibles, and all o'ther items of personal property Mortgagor owns now or in the future and that are used or useful in the construction, ownership, apera~ion. management, or maintenance of the Property. The term "personal property" specifically excludes that property described as "household goods" secured in conneotìon with a "consumer" loan as those terms are defined in applicable federal regulations governing unfair and deceptive credit practices. o Filing As Financing Statement. Mortgagor agrees and acknowledges tha~ this Mortgage also suffices as a financing statement and as such. may be filed of rQcord as a financing statement for purposes of Article 9 of the Uniform Commercial Codl!l. A carbon, photographic, image or ather reproduction of this Mortgage Is sufficient as a financing statement. 28. OTHER TERMS. If checked, the following are applicable to this Mortgage: []I Line of Credit. The Secured Debt Includes a revolving line of credit provision. Although the! Secured Debt may be reduced to a zero balance. this Mortgage will remain in effect until rølÐassd. o Separate Assignment. The Mortgagor has executed or will e:1Cecute a separate assignment of leases and rents. If the separate assignment of leases and rents is properly exscuted and recorded, then the separate 89signment will supersede this Seourity Instrument's "Assignment of Leases and Rents" sec'tion. E:J Additional Terms. ~N 11:11983, 2001 8ank.~ Syltomo, Inc.. s~. t::IOud, MN F"rm ^GCO I'IESI.WV 1/111/:/003 ~. (psge 7 of 8J 000606 SIGNATURES; By signing below, Mortgagor agrœes to the terms and covenan1$ contained in 1his Mortgage and in any attachments. Mortgagor also acknowledges receipt of a copy of thi~ Mortgage an the date stated above on Page 1. o Actual authority was granted to tha parties signing below by resolution signed and dated ¡Signature IDatel (Slgnatufel (D~tal ISillnature, (01'_' o Refer to the Addendum which is attached and incorporated herein tor additional Mortgagors, signatures and acknowledgments. IInllvld'''O' ACKNOWLEDGMENT: STATE OF . COUNTY OF This instrumem Was acknowledged before me this by My commission expires: } S5. day of (Notary P\lblicl STATE OF~eMINB- ~ Á:tnj.'ì COUNTY OF f)avì 5 This inst~ument was acknowledged before me thl$.sw.. é4v'+£L""d8~ ~f AUGUST.7DDB by BLAIR GARDNER ~~&~na·~· MANIGIHI) MEMBER i\<~n.wt.dnm..1I of MCKAYLAS LANDING L.LC.. A UTAH LIMITED LIABILITY COMPANY a UTAH LIMIT~D LIABILITY COMPANY MV commission axpires: '6' (Lj-[O ) S5. ITltle(s 1 (Nlme al Bu~ln..e ar I!n111V1 on behalf of the bus;oess or en1ity. id4-o0ttPßl (J). e~ () t?itt1xJ (Notary PUblicI NOBALEE W RHOADES NOTARY PUBLIC· STATE OF UTAH 1518 N Woodland Park Dr LAYTON, UT 84041 COMM. EXP. 08.14.2010 ~ Ie) au. 2001 ".ntoo.. System.. Inc.. St. Cloud, JIlIN FDrm IIGCO.llrsl.wy tlt~/2003 (".9. 8 of 81 --. --. ---- -..... --.------- -. .. .. ~ -. - . . ... ~ . .--- . . . .-- -.. - . Exhibit A File 6010817088 Dcs~ription ûOû607 The land refen-ed to in this dOCUII1cnt is situated in the State of Wyoming, County of Lincoln, and is described as follows: P:u.·cel1: Lots 214, 215: 216, .219, 2:%0,1%1,222 and 223 of Mc.Kayla' 5 Landing, an Addition to the 1'o,\'n or AftoD, Lincoln County, Wyoming as described on the offici III plat f'Iled on December 19, Z006 as instrument No. 925448 of the rec.ords of the Lincoln County Gerk. ~,