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HomeMy WebLinkAbout959582RECORDATION REQUESTED BY: 1st Bank Alpine 79 Highway 89 P.O. Box 3110 Alpine, WY 83128 WHEN RECORDED MAIL TO: 1st Bank Alpine 79 Highway 89 P.O. Box 3110 Alpine, WY 83128 SEND TAX NOTICES TO: 1st Bank Alpine 79 Highway 89 P.O. Box 3110 Alpine, WY 83128 MORTGAGE THIS MORTGAGE dated June 6, 2011, is made and executed between ASPEN HILLS DEVELOPMENT (referred to below as "Grantor and 1st Bank, whose address is 79 Highway $9, P.O. Box 3110, Alpine, WY 83128 (referred to below as "Lender GRANT OF MORTGAGE. For valuable consideration, Grantor mortgages and.conveys to Lender all of Grantor's right, title, and interest in and to the following described real property, together with all existing or subsequently erected or affixed buildings, improvements and fixtures; ail easements, rights of way, and appurtenances; all water, water rights, watercourses and ditch rights (including stock in utilities with ditch or irrigation rights); and all other rights, royalties, and profits relating to the real >ropert including without limitation all minerals, oil, gas, geothermal and similar matters, (the "Real Property located in LINCOLN COUNTY County, State of Wyoming: Lot 24 Suter's Canyon. Phase. Two 2nd Filing Recorded December 22, 2008 at Document No. 944254, in the office of the Clerk, Lincoln County, Wyoming. The Real Property or its address is commonly known as LOT 24 SUTER CANYON SUBDIVISION, BEDFORD, WY. CROSS- COLLATERALIZATION. In addition to the Note, this Mortgage secures all o debts and liabilities, plus interest thereon, of either Grantor or Borrower to Lender, or any one or more of them, as well as all claims b Lender against Borrower and Grantor or any one or more of them; whether now existing or hereafter arising, whether related or unrelated, t9 the purpose of the Note, whether voluntary or otherwise, whether due or not due, direct or indirect, determined or undetermined, absolute or contingent, liquidated or unliquidated, whether Borrower or Grantor may be liable individually or Jointly with others, whether obligated as guaradtor, surety, accommodation party or otherwise, and whether recovery upon such amounts may be or hereafter may become barred by any stat of limitations, and whether the obligation to repay such unenforceable. amounts .may be or hereafter. may become otherwisenenforceable. Grantor presently assigns to Lender all of Grantor's right, title, and interest in and o all present and future leases of the Property and all Rents from the Property. In addition, Grantor grants to Lender a Uniform Commercial Codp security interest in the Personal Property and Rents. THIS MORTGAGE, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURIT' INTEREST IN THE RENTS AND PERSONAL PROPERTY,�IS GIVEN TO SECURE (A) PAYMENT OF THE INDEBTEDNESS AND (8) PERFORMANCE OF ANY AND ALL OBLIGATIONS UNDER THE NOTE; THE RELATED DOCUMENTS, AND THIS MORTGAGE. THIS MORTGAGE IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS: GRANTOR'S WAIVERS. Grantor waives all rights or defenses arising by reason o any one action" or "anti deficiency" law, or any other law which may prevent Lender from bringing any action against Grantor, including a cla m for deficiency to the extent Lender is otherwise entitled to a. claim for deficiency, before or after Lender's commencement or completion o any foreclosure action, either Judicially or by exercise of a power of sale. GRANTOR'S REPRESENTATIONS' AND WARRANTIES. Grantor warrants that: la this Mortgage is executed at Borrower's request and not a t the request of Lender; (b) Grantor has the full power, right, and authority to ente into this Mortgage and to hypothecate the Property; (c) the provisions of this Mortgage do not conflict with or result in a defaults under any ag eement or other instrument binding upon Grantor and do not result in a violation of any law, regulation, court decree or order applicable to Gran or; (d) Grantor has established adequate means of Obtaining from Borrower on a contihuing basis' information about Borrower's financial condikton; and (e) Lender has made no representation to Grantor about Borrower (including without limitation the. creditworthiness of Borrower). PAYMENT AND PERFORMANCE. Except as otherwise provided in this Mortgage Borrower and Grantor. shall pay to Lender all Indebtedness secured by this Mortgage: as it becomes due, and Borrower and Grantor shall strict y perform all Borrower's and Grantor's obligations under this Mortgage, POSSESSION AND MAINTENANCE OF THE PROPERTY. Borrower and Grantor agree that Borrower's end Grantor's possession and use of the Property shall be governed by the following provisions: Possession and Use. Until the occurrence of an Event of Default, Grantor m y (1) remain in possession and control of the Property; (2). use, operate or manage the. Property; and (3) collect the Rents from the Property. Duty to Maintain. Grantor shall maintain the Property in tenantable condition and promptly perform all repairs, replacements, and maintenance necessary to preserve Its value. Compliance With Environmental Laws. Grantor represents and warrants to Lender that: (1) During the period of Grantor's ownership of the Property, there has been no use, generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance by any person on, under, about or from the Property; (2) Gran or has no knowledge of, or reason to believe that there has been, except as previously disclosed to and acknowledged by Lender in writ ng, (a) any breach or violation of any. Environmental Laws, (b) any.use, generation; manufacture, storage, treatment,: disposal, release or threatened release of any Hazardous Substance on under,. about or from the Property by any prior owners or occupants of the Property, or (c) any actual or threatened litigation or claims of any kind by any person relating to such matters; and (3) Except as previously disclosed to and acknowledged by Lender in writing, (a) neither Grantor nor any tenant, contractor., agent or other authorized user of the Property shall use, generate, manufacture, store, treat, dispose of or release any Hazardous Substance on, under, about or from the Property; nd (b) any such activity shell be conducted in compliance' with all applicable federal, state, and local laws, regulations and ordinances, including without limitation all Environmental Laws. Grantor authorizes Lender and its agents to enter upon the Property to make such ins ections and tests, at Grantor's expense, as,Lender may deem appropriate to determine compliance of theProperty with this section of the engage. Any inspections or tests made by Lender shall be for Lender's purposes only and shall not be construed to create any responsib lity or liability on the part,of Lender to Grantor or to any other, person. The representations and warranties contained herein are based on Grantor's due diligence in investigating the Property for Hazardous Substances, Grantor hereby (1) releases and waives any Tutu a claims against Lender for indemnity or contribution In the event Grantor becomes liable for cleanup or other costs under any such la s; and (2) agrees to indemnify, defend, and hold harmless Lender against any and all claims, losses, liabilities, damages, penalties, an expenses which Lender may directly or indirectly sustain .or suffer resulting from a broach of this section of the Mortgage or as a consul ence of any use, generation, manufacture, storage, disposal; release or threatened release occurring prior to Grantor's ownership or into est in the Property, whether or not the same was or should have been known to Grantor. The provisions of this section of the Mortgage, including the obligation to indemnify and defend, shall survive the payment of the Indebtedness and the satisfaction and reconveyance of the lien of this Mortgage and shall notbe affected by Lender's acquisition of any interest In the Property, whether by foreclosure or otherwis, Nuisance, Waste. Grantor shall not cause, conduct or permit any nuisance n r commit, permit, or suffer any stripping of or waste on or to the Property or any portion of the Property, Without limiting: the generality o the foregoing, Grantor will not remove, or grant to any other RECEIVED 6/8/2011 at 3:18 PM RECEIVING 959582 BOOK: 767 PAGE: 749 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY 000949 SPACE ABOVE THIS LINE IS FOR RECORDER'S USE ONLY Loan No: 761002384 MORTGAGE (Continued) party the right to remove, any timber, minerals (including oil 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 (mprovgments from the Real Property without Lender's prior written consent. As a condition to the removal of any Improvements; Lender may require Grantor to make arrangements satisfactory to Lender to rep)ace.such improvements with Improvements of, at least equal value, Lender's'Right to Enter. Lender and Lender's agents' and representatives may to Lender's sinterestsand to inspect the Real Property for purposes of Grantor' Compliance with Governmental Requirements. Grantor shall promptly comply in effect, of all governmental authorities 'applioab)e'to the use or occupancy With Disabilities. Act. Grantor may contest in good faith any such law, or proceeding, including appropriate appeals, so long as Grantor has notified Lei sole opinion, Lender's interests in the Property are not jeopardized. Lender ma reasonably satisfactory to Lender, to protect Lender's interest. Duty to,Protect Grantor agrees neither to abandon or leave unattended the �P }t roperty. Grantor shall do all other acts, in addition to those acts set forth above in this section, which from the character and use of the Property are reasonably necessary to protect and preserve the Property, DUE ON SALE CONSENT BY 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 part of the Real Property, or any interest in the Real Property. A "sale or transfer" means the conveyance of Reat Property or any right, title or interest in the Real Property; whether legal, beneficial or equitable; whether voluntary or involuntary; whether by outright safe; deed, nstaliment sale contract, land contract, contract for deed, leasehold' interest with a term greater than three (3) years, lease-option contract, o by sale, assignment, or transfer of any beneficial interest in orto any land' trust holding title to the Real Property, or by any other method of conveyance of an interest in the Real Property. It any Grantor is a corporation, partnership or limited liability company, transfer also includes any ch nge'in,ownership of more than twenty-five percent (25 of the voting stock, partnership interests or limited liability. company interests, as the ase may be of such Grantor. However, this option shall not be exercised by Lender if such exercise is prohibited by federal law or by Wyoming aw. TAXES AND LIENS: The following provisions relating to the taxes and liens on the ropertyare part of this Mortgage: Payment Grantor' shall pay When due (and in all events prior to delinquency) all taxes, payroll taxes, special taxes, assessments, water charges and sewer service charges levied against or on account of the Prope and shall pay when due all claims for work done en or for services rendered or material furnished to the Property. Grantor shall maintain the Property free of any liens having priority over or equal to the interest of Lender under this Mortgage, except for those liens specifically a reed to in writing by Lender, and except for the lien of taxes and assessments not due as further specified in the Right to Contest paragrap Right to Contest. Grantor may withhold payment of any tax, assessment, or claim in connection with a good faith dispute over the obligation to pay so long as Lender's interest in the Property is not jeopar zed. If a lien arises or is filed as a result of nonpayment,. Grantor shall within fifteen (15) days after the lien arises or, if a lien is filed, )thin fifteen (15) days. after Grantor has notice of the filing, secure the discharge of the lien, or if requested by Lender, deposit with Lend cash or a sufficient corporate surety bond or other security, satisfactory to Lender in an amount sufficient to discharge the lien plus any costs and reasonable attorneys' fees, or other charges that could accrue as a result of a foreclosure or sale under the lien. In any contest, Grantor shall defend itself and Lender and shall satisfy any adverse judgment before enforcement against the Property. Grantor shall nbme Lender as an additional obligee under any surety. bond. furnished in the contest proceedings. Evidence of Payment. Grantor shall 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 time a written statement of the taxes and assessments against the Property. Notice of Construction. Grantor shall,notify Lender at least fifteen (15) days b any work is commenced, any services are furnished, or any materials are supplied to the Property, if any mechanic's lien, materialmsn'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 wit pay the cost of such improvements. PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring th Property are a part of this Mortgage: Maintenance of Insurance: Grantor shall procure and maintain policies of fire nsurance with standard extended coverage endorsements on a replacement basis for the full insurable value covering all Improvements on he Real Property in an amount: sufficient to avoid application of any coinsurance clause, and with a standard mortgagee clause in f or of Lender. Grantor shall also procure and maintain comprehensive general liability insurance in such coverage amounts as Lender may request with Lender being named as additional insureds in such lability insurance policies. Additionaily, Grantor shall maintain such ther insurance, including but not limited to hazard, business interruption and boiler insurance as Lender mayrequire. Policies shall be writ n by such insurance companies and in such form se may reasonably acceptable to Lender. Grantor shall deliver to Lender certificate of coverage from each insurer containing a stipulation that coverage will not be cancelled or diminished without a minimum of thirty )30 ,days' prior written notice to Lender and not containing any disclaimer of the insurer's- liability for failure to give such notice. Each )nsur nce policy also shall include an endorsement providing` that coverage in favor of Lender will not be impaired` in any way by any act, omissi n or default_ of Grantor or any other person. Should the Reef Property be located in an area designated by the Director of the Federal Em rgency Management Agency as a special flood hazard area, Grantor agrees to obtain and maintain Federal Flood Insurance, if available, r the full` unpaid principal balance of the loan and any prior liens on the property securing the loan, up to the' maximum policy limits set nder 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 notify. Lender of any loss r damage to the Property if the estimated cost of repair or; replacement.exceods S1,000.00. Lender may make proof of loss if Grantor Nils to do so within fifteen (15) days of the casualty. Whether, or not Lender's security is impaired; Lender may at Lender's election, rec ve and retain the proceeds of any insurance and apply the, proceeds to the reduction of the indebtedness, payment of any tier affecting he Propeny, or the restoration and repair of the Property „I1; Lender elects to the proceeds to restoration and repair, Grantor shall r pair orreplace the damaged or destroyed Improvements in'a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such expenditure, pay or reimburse. Grantor from the proceeds for tho reasonable cost of repair or restoration if Grantor is not in default under is Mortgage. Any proceeds which have not been disbursed' within 180 days after their receipt and which Lender has not committed to th repair or restoration of the Property shall be used first to pay any amount owing to Lender under this Mortgage, then to pay accrued Interest, and the remainder, it any, shag be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment In ft}ll of the Indebtedness, such proceeds shall be paid to Grantor as Grantor's interests may appear. Grantor's Report on insurance. Upon request of Lender, however not more han once a year, Grantor shall furnish to Lender a report on the risks insured; (3) the amount of the policy; (4) the property insured, the than current replacement value of such property, and t manner of determining that value; and (5) the expiration date of the policy. Grantor shall, upon request of Lender, have an independent appraiser satisfactory to Lender determine the cash value replacement cost of the Property. LENDER'S EXPENDITURES: If any action or proceeding is commenced that would materially affect Lender's interest in the Property or;if;Grantor Halls to comply with any provision of this Mortgage. or` any Related. Documents, ingluding but not limited to Grantor's failure to discharge or pay' when due any amounts Grantor is required to discharge or pay under this Mortgage or any Related Documents, Lender on Grantor's behalf may (but shall not be obligated to) take any action that Lender deems appropriate, including but not limited to discharging or paying all taxes, liens, security Interests, encumbrances and other claims, at any time levied or placed on the Property and paying all costs for insuring„ maintaining and preserving the Property. All such expenditures incurred or paid by Lender for such purposes will then bearinterest at the rate charged under the Note from the date incurred or paid by Lender to the date of repayment by Grant r. All such expenses wilt become a pert of the Indebtedness and at Lender's option; will (A) be'payable on demand; (Si be added to the b lance•of the Note and be apportioned among and be payable, with any Installment payments to become due during either (1) the term of any pplicable insurance policy; or (2) the remaining term of the Note; or (C) be treated es a balloon payment which will be due and payable at t 'Note'.s maturity. The Mortgage also will. secure payment of these amounts. Such right shall be in addition to all other rights and remedies to hich Lender may be entitled upon Default. WARRANTY; DEFENSE OF TITLE. The following provisions relating to ownership if the Property are a part of this Mortgage: Title. Grantor warrants that: (a) Grantor holds good and marketable title of record to the Property in fee simple, free and clear of all liens each existing policy of insurance showing: (1) the name of the insurer; Page 2 nter upon the Real Property at all reasonable times to attend compliance with the terms and conditions of this Mortgage. with all laws ordinances;. and regulations, now or hereafter f the Property, including Without )imitation, the Americans inance, or regulation and withhold compliance during any der in writing prior to doing so and so .long as, in lender's require Grantor to post adequate security or a surety bond, Loan No: 761002384 MOTs t uMua (Continued) and encumbrances other than those set forth in the Real Property description r in any title insurance policy, title report, or final title opinion issued in favor of, and accepted by, Lender in connection with this Mortgag and lb) Grantor has the full right, power, and authority to execute and deliver this Mortgage to Lender. .Page 3 Defense of Title. Subject. to the exception In paragraph above, Grantor wa and will forever defend the title. to the Property against the lawful.daims of all persons. In the .event any action or proceeding is com+tenced that questions Grantor's title or the interest of Lender under this Mortgage, Grantor shall defend the action at Grantor's expense. Grantor may be the nominal party in such proceeding, but Lender shall be entitled to participate 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 as Lender may request from time to time to permit such participation. Compliance With Laws, Grantor warrants that the Property and Grantor's use of the Property complies with all existing applicable laws, ordinances, and regulations of governmental authorities. Survival .of Representations and Warranties. All representations, warranties, and agreements made by Grantor in this Mortgage shall survive the execution and delivery ot this Mortgage, shelf be continuing in nature, and shall remain in full force and effect until such time as Borrower's Indebtedness shall be paid in full. CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Mortgage; Proceedings. If any proceeding in condemnation is filed, Grantor shall promgtiy notify Lender in writing, and. Grantor 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 shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of its own choice, and Grantor will deliver or cause to be delivered to Lender such instruments and documentation as may be requested by Lender from time to time to permit such participation. Application of Nat 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 zany portion of the net proceeds of the award be applied to the Indebtedness or the repair or restoration of the Property. The net proceds of the award shall mean the award after payment of all reasonable costs, expenses, and attorneys' fees incurred by Lender in connect on with the condemnation. IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIiS. The following provisions relating to governmental .taxes, fees and charges are a part of this Mortgage: Current Taxes, Fees and 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 •ail expenses incurred in record( g, perfecting or continuing this Mortgage, including without limitation all taxes, fees, documentary stamps, and other charges for recordin or registering this Mortgage. Taxes. The following shall constitute taxes to which'this..section applies: (1) a specific tax upon this type of Mortgage or upon all or any part of the Indebtedness secured by this Mortgage; (2) a specific tax on orrower which Borrower is authorized or required to deduct from payments on the Indebtedness secured by this type of Mortgage; (3) a fax on this typeof Mortgage chargeable against the Lender. the holder'; of the Note; and 141 a specific tax on ell or any portion of the Indebtedness or on payments' of principal and interest made by' Borrower. 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 of Default as provided below unless Grantor either (1 1 pays the tax before it becomes delinquent, or (2) contests the tax as provided above in the Taxes and Liens: section and deposits with Lender cash or a sufficient corporate surety bond or other security satisfactory to Lender. SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions re ating to this Mortgage as a security agreement are a part of this Mortgage: Security Agreement. This instrument shall constitute a Security Agreemen to the extent any of the Property constitutes fixtures, and Lender shall have all of the rights of a secured party under the Uniform. Comm rcial Code as amended from time to time. Security Interest. Upon request by Lender, Grantor shall take whatever act on is requested by Lender to perfect and continue Lender's security interest in the Rents and Personal Property. In addition to recording is Mortgage in the real property records, Lender may, at any time and without further authorization from Grantor, file executed counterparts, copies or reproductions of this Mortgage as a financing statement. 'Grentor.shall reimburse Lender for all expenses incurred in perfecting or continuing this security interest. Upon default, Grantor shall not remove, sever ordetachthe Personal Property from the Property. Upon default, Grantor shall assemble any Personal Property not affixed to the Property in e: manner and at a place reasonably convenient to Grantor and Lender and make it available to Lender within three l3fidays after receipt of written demand from Lender to the extent permttted tty applicable law. Addresses. The mailing addresses. of Grantor (debtor) and: Lender (secured party) from which information concerning the security interest granted by this Mortgage•maybe obtained (each as required by the Uniform Commercial Code) are as stated on the first page of this Mortgage. FURTHER ASSURANCES; ATTORNEY -IN -FACT. The following provisions .relating to further assurances and attorney-in -fact are a part of This Mortgage: J Further Assurances. At any time, and from time to time, upon request of.Lender, Grantor will make, execute and deliver, or will cause to be made, executed or delivered, to Lender or to Lender's designee, and when requested by Lender, cause to be filed, recorded, refiled, or rerecorded, as the case may be at such times and in such offices and places 'Ise Lender may deem appropriate; any and all. such mortgages;.. deeds of trust, security deeds, security agreements, financing statements, continuation statements, Instruments of further assurance, certificates, and other documents as may, in the sole opinion of Lender, be n cessary or desirable in orderto effectuate, complete, perfect, continue, or preserve (1) Borrower's and Grantor's obligations under the Note, this Mortgage, and the Related Documents, and (2) the liens and security interests created by this Mortgage as first and prior liens on the Property, whether now owned or hereafter acquired by Grantor. Unless prohibited by law or Lender agrees to the contrary in writing, Grantor shall reimburse Lender for all costs and expenses incurred in connection with the matters referred to in thls paragraph. Attorneyln•Faet. If Grantor fails to do any of the things referred to in the p seeding paragraph, Lender may do so for and in 'the 'name of Grantor and at Grantor's expense. For such purposes, Grantor hereby irrevocably .appoints Lender as Grantor's attorney- irnfact for the purpose of making, executing, delivering, filing, recording, and doing all othsrthings 88 may be necessary or desirable, in Lenders sold opinion, to accomplish the matters referred to' in the preceding paragraph. FULL PERFORMANCE. If Borrower and Grantor pay all the Indebtedness when du and Grantor otherwise performs all the obligations -imposed upon Grantor under this Mortgage, Lender shall execute and deliver to Grantor a unable satisfaction of this Mortgage and s.uitabie statements of termination of any financing statement on file evideneing'Lender's security inte est in the Rents and the Personal Property. Grantor will pay,, if permitted by applicsble•iaw, any reasonable termination fee as determined by Leader from time to time. EVENTS OF DEFAULT. Each of the following, at Lender's option, shall constitute I n Event of Default under this Mortgage: Payment:Defaelt. Borrower falls to make any payment when due under the I ebtedness. Default on Other Payments. Failure of Grantor within the time required by this Mortgage to make any payment for taxes or insurance, or any other payment necessary to prevent tiling of or to effect discharge of any lien. Other Defaults. Borrower or Grantor fails to comply with or to perform any other term, obligation, covenant or condition contained in this Mortgage or in any of the Related Documents or to comply with or to perform any term, obligation, covenant or condition contained in any other agreement between Lender and Borrower or Grantor. Default in Favor of Third Parties. Should Borrower or any Grantor default under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any other creditor dr person that may materially affect any of Borrower's or any Grantor's property or Borrower's ability to repay the Indebtedness or Borrowr's or Grantor's ability to perform their respective obligations, under this Mortgage or any of the Related Documents. False Statements. Any warranty, representation or statement made or furrjished to Lender by Borrower or Grantor or on Borrower's or Grantor's behalf under this Mortgage or the Related Documents is, false or Misleading in any material respect, either now or at the time made 'or furnished or becomes false or misleading at any time thereafter. 000751 MORTGAGE Loan No 761002384 (Continued) Page 4 Defective Collateralization. This Mortgage or any of the Related Documents eases 'to be in full force and effect (including failure of any collateral document to create a valid and perfected security interest or lien) at ny time and for any reason. Insolvency. The dissolution or' termination of Borrower's or 'Grantor's existen as a going business,.the Insolvency of Borrower or Grantor, the appointment of a receiver for any part of Borrowers or Grantor's props any assignment for the benefit. of creditors; any type'of creditor workout, or the commencement of any 'proceeding under any bankrup cy or insolvency laws by or against Borrower or Grantor. Creditor' or Forfeiture Proceedings. •Comrnencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self help', repossession or any other method, by any creditor of Borrower or Grantor or b any governmental agency against any property securing the Indebtedness. This includes a garnishment of any of Borrower's or Grantor's ccounts, including deposit accounts, with Lender. However, this Event of Default shall not apply if there is a'goocr faith dispute by Borrow ror Grantor as to the validity or reasonableness of the claim which is the basis of the creditor or forfeiture proceeding and if Borrower or antor gives Lender written notice of the creditor or forfeiture proceeding and deposits with Lender monies or a surety bond for the creditor forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an adequate reserve or bond for the dispute, Breach of Other Agreement. Any breach by Borrower or Grantor under.tho terns of any other agreement between Borrower or Grantor and Lender that is not remedied within any grace period provided therein, including without limitation any agreement concerning any indebtedness or other obligation of Borrower or Grantor to Lender, whether ex sting now or later. Events Affecting Guarantor. Any of the preceding events occurs with respeo to any guarantor, endorser, surety, or accommodation party of any of the Indebtedness or any guarantor, endorser, surety, or accom odatlon party dies or becomes incompetent, or revokes or disputes theyafidity of. or liability under, any Guaranty of the Indebtedness. Adverse Change. A material, adverse change occurs in Grantor's financia condition, or Lender believes the prospect of payment or performance of the Indebtedness is impaired. Insecurity. Lender in good faith believes itself insecure. RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of an Event of Defa It and at any time thereafter, Lender, at Lender's option, may exercise any one or more of the' following rights and remedies, in addition to any o er rights or remedies provided by law: Accelerate. Indebtedness. Lender shall have the right at its option without notice to Borrower or Grantor to declare the entire indebtedness immediately due and payable, including any prepayment penalty that Borrower would be required to pay. UCC Remedies. With respect to all or:eny part of the Persona( Property, Le der shall have all the rights and remedies of a secured party under the Uniform Commercial Code. Collect Rents. Lender shall have the right, without notice to Borrower or Grarttor, to take possession of the Property, including during the pendency of foreclosure, whether judicial or non- judicial, and collect the Rents, including amounts past due and, unpaid, and apply the net proceeds, over and above Lender's costs, against the Indebtedness. In furtHerance of right, Lender may require any tenant or other user of the Property to make payments of rent or usefees directly to Lender. If the Rents are collected by Lander, then. Grantor irrevocably designates Lender at Grantor's attorney -in- fact to endorse instruments' received in payment thereof inthename of Grantor and to negotiate the same and collect the proceeds. Payments by tenants or other users to Lender In response to Lender's demand shall satisfy the obligations for which the payments are made, whether or not any proper gro nds for the demand existed. Lender may exercise its rights under this subparagraph either in person, by agent; or through a receiver. Appoint Receiver, Lender shall have the right to have a receiver appointed t take possession of all or .any part of the Property, 'with the power to protect and .preserve the Property; to operate the Property preceding foreclosure or sale; and to collect the. Rents from the Property and :apply the: proceeds, over and above the cost of the receivership against the Indebtedness. The receiver may server without bond tf permitted bylaw. Lender's .right to the appointment of a receiver tail exist whether or not"the apparent value of the Property exceeds the Indebtedness by a substantial amount. Employment by Lender s II not disqualify it person from serving as a receiver. Judicial Foreclosure. Lender may obtain a judicial decree foreclosing Grantor tl interest in all or any part of the Property. Nonjudiciel Sale. Lender may foreclose Grantor's interest in all or in any part df the Property by non judicial sale, and specifically by "power of sale" or "advertisement and sale" foreclosure asprovided by statute. Deficiency Judgment. If permitted by applicable law, Lender may obtain aj gment for any deficiency remaining in the Indebtedness due to Lender after application of all amounts received from the exercise of the rig is provided' in. this section. Tenancy at Sufferance. If Grantor remalnsin possession of the Property aft r the Property is sold as provided above or Lender otherwise becomes entitled to possession of the Property upon default of Borrower or G enter,: Grantor Shall become a tenant at sufferance of Lender or the purchaser of the Property and shell, at Lender's option, either (1) pay reasonable rental for the. use 01 he Property, or 12) vacate the.P'roperty immediately upon the demand of Lender. Other Remedies. Lender shall have al other rights and remedies provided In this Mortgage or the Note or available at law or in equity: Sale of the Property. To the extent permitted by applicable law, Borrower artd Grantor hereby waive any and all right to have the Property marshalled. In exercising its rights and remedies, Lender shall be free to sel( or any part of the Property together or separately, in one sale or by separate sales. Lender shall be entitled to bid at any public sale on 11 or any portion of the Property. Notice of. Sale. Lender shall give Grantor reasonable notice of the time and place of any public sale of the Personal Property or of the time after which any private sale or other intended disposition of the Personal P operty is to be made. Reasonable notice shall mean notice given at least ten (10) days before the time of the sale or disposition. Any sale of the Personal Property may be made in conjunction with any sale of the Real Property. Election of Remedies. Election by Lender to pursue any remedy shall not exclude pursuit of any other remedy, and an election to make, expenditures: or to take action to perform an obligation of Grantor under thi I Mortgage, after Grantor's failure to. perform, shall not affect Lender's right to declare a default and exercise its, remedies. Nothing under is Mortgage or otherwise shall be construed so as to limit or restrict the rights and remedies available to.Lender following an Event of De ult, or in any way to limit or restrict the rights and ability of Lender to proceed directly against Grantor and/or Borrower and/or against ny other co- maker, guarantor, surety or endorser and/or to proceed against any other collateral directly or indirectly securing the Indebte neat. Attorneys' Fees: Expenses. If Lender institutes_ any suit or action to enforce any of the terms of this Mortgage, Lender shall be entitled ,to recover such sum as the court may adjudge resonable`as attorneys' fees at Vial and upon any appeal. Whether or not any court action is involved, and to the extent not prohibited by law, all reasonable expenses Le der incurs that in Lender's opinion ere necessary at any time for the protection of its Interest or the. enforcement of its: rights shall becom a part of the Indebtedness payable on demand and shall bear interest at the Note rate from the date of the expenditure until repaid. Ex enses covered by this paragraph include, without limitation, however subject to any limits under applicable law, Lender's reasonable attor eye' fees and Lender's legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees and expenses for bankrup proceedings {including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post- judgment co faction services, the cost of searching records, obtaining title reports (including foreclosure reports), surveyors' reports, and appraisal fees and title insurance, to the extent permitted by applicable law. Grantor also will pay any court costs, in addition to all other sums provided b' law. NOTICES. Any notice required to be given under this Mortgage,. including withou limitation any notice of default and any notice of sale shall be given In writing, and shall be effective when actually delivered, When actually reeved by telefacsimile (unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when d a posited in the United States mail, as first class, certified or registered mail postage prepaid, directed' to the addresses shown near the beginnr g of this Mortgage. All copies of notices of foreclosjrre from the holder of any lien which has priority, over this Mortgage shall be sent to Len er's address. as shown near the beginning of this Mortgage. Any party may change its 'address for notices under this Mortgage by giving f rural written notice to the otherparties, specifying that the purpose of the notice is to change the party's address.. For notice purposes, Grantor agrees to keep Lender informed et all times'of Grantor's current address. Unless otherwise provided or required by law,:if. there is more an one Grantor, any notice given by Lender to any Grantor is deemed to be notice given to all Grantors. MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Mortgage: Amendments This Mortgage, together with any Related Documents, constfiutes the entire understanding and agreement of the parties es to the matters set forth in this Mortgage. No alteration of or amendment tb' this Mortgage shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration! or amendment. Loan No: 761002384 MOR I takkuC (Continued) i Annual Reports. If the Property is used for purposes other than Grantor's residence, Grantor shall furnish to Lender, upon request, a 000753 ertif led 'statement of net operating income received from the Property during Grantor's previous fiscal year in such form end detail as Lender shall require. "Net operating income" shall mean all cash receipts from the Property less all cash expenditures made in connection with the operation of the. Property. Caption Headings. Caption headings in this Mortgage are for convenience purposes only and are not to be used to interpret or define the provisions of this Mortgage. Governing Law. This Mortgage will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws.of the State of Wyoming without regard to its conflicts of law provisions This Mortgage has been accepted by Lender in the State of Wyoming. Choice of Venue. If there is a lawsuit, Grantor agrees upon Lender's request to submit to the jurisdiction of the courts of Lincoln County, State of Wyoming. Joint and Several Liability. All obligations of Borrower and Grantor under this Mortgage shall be joint and several, and all references to Grantor shall mean each and every Grantor, and all references to Borrower hall mean each and every Borrower. This means that, eacfi, Grantor signing below is responsible for all obligations in this Mortgage. Whet'; anyone or more of the parties is a corporation, partnership, limited liability company or similar entity, it Is not necessary for Lender to ing into the powers of any of the officers, directors, partners, r mernbera,::or other agents acting or purporting to act on the entity's behal and any obligations made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Mortgage. No Waivar by Lender. Lender shall not be deemed to have waived any right under this Mortgage unless such waiver is given in writing and signed by Lender. No delay or omission on' the part of Lender in exorci ing'any right. shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Mortgage shall not p ejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that provision or any other provision of this Mc rtgage. No prior waiver by Lender, nor any course of dealing between Lender and Grantor, shall constitute a waiver of any of Lenders rights or of any of Grantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Mortgage, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where sucf? consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender. Sevorability. If a court of competent jurisdiction finds any provision of this Mortgage to be illegal, invalid, or unenforceable as to any circumstance, that finding shall not make the offending provision illegal, invalid, or unenforceable as to any other circumstance. If feasible, the offending provision shall be considered modified so that it becomes legal, l alid and enforceable. If the offending provision cannot be so modified, it shall be considered deleted from this Mortgage, Unless otherwis required by law, the illegality, invalidity, or unenforceability of any provision of this Mortgage shall not affect the legality, validity or enter eability of any other provision of this Mortgage. Merger. There.shall be no merger of the interest or estate created by this Mo gage with any other interest or estate in the Property at any time held by or for the benefit of Lender in any capacity, without the written consent of Lender. Successors and Assigns. Subject to any limitations stated in this Mortgage or transfer Grantor's interest, this Mortgage shall be binding upon and inure to the benefit of the parties, their successors and assigns. tfiiownership of the Property becomes vested in a persomother than Grantor, Lender, without notice' to Grantor; may deal with Grantor's successors with reference to this Mortgage and the Indebtedness by way of forbearance or extension without releasing Grantor from the obiigat ons of this Mortgage or liability under the Indebtedness. Time is of the Essence, Time is of the essence in the performance of this Mo Waiver of Homestead Exemption. Grantor hereby releases and waives all righ of Wyoming as to all Indebtedness secured by thia Mortgage. gage. 5 and benefits of the homestead exemption laws of the State DEFINITIONS: The following capitalized words and terms shall have the followin meanings when used in this Mortgage. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawf ul money of the United States of America. Words and.terms used in the singular shall Include the plural, and the .plural shall include the singular as the content may require. Words and terms not otherwise, defined in this Mortgage shall have the meanings attributed to such terms in the Ur?iform Commercial Code: Borrower. The word "Borrower" means ASPEN HILLS DEVELOPMENT, WILLIAM T SHARPE and LYNETTE SHARPE and includes all co- signers and co-makers signing the Note and all their successors and assigns. Default: The word "Default" means the Default set forth in this Mortgage in tie section titled "Default Environmemel Laws. The words "Environmental Laws" mean any and all state, federal and local statutes, regulations and ordinances relating. to the protection of human health. or the environment, including wi hout limitation the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended, 42 U.S.C. Section 601, et seq., "CERCLA the Superfund Amendments and Reauthorization Act 'of 1986, Pub. L. No. 99.499 "SARA "I, the Hazardous aterlals Trensportation Act, 49 U.S.C. Section 1801, et seq., the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, t seq., or other applicable state or federal Taws, 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 the events of default section of this Mortgage. Il Grantor. The'word "Grantor" means ASPEN HILLS DEVELOPMENT. 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 the Note. Hazardous Substances. The words "Hazardous 'Substances" mean materials that, because of their quantity, concentration or physical; chemical or infectious characteristics, may cause or pose a present or l hazard to human health or the environment when improperly used, treated, stored, .disposed of, generated, manufactured, transported or otherwise handled. The words "Hazardous Substances" are used in their very broadest sense and include without limitation any and all hazardous or toxic substances, materials or waste as defined byor listed under the Environmental Laws, The term "Haze dogs Substances" also Includes, without limitation,: petroleum and petroleum by. products or any fraction 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 th; Real Property. Indebtedness. The word "Indebtedness" means all principal, interest, and o amounts, costs and expenses payable under the Note, Or Related Documents, together with all renewals of, extensions of, modifications. of, consolidations of and substitutions for the Note ,or Related Documents and any amounts expended or advanced by Lender to disharge Grantor's obligations or expenses incurred by Lender to enforce Grantor's obligations. under this Mortgage, together with interest n such amounts as provided to this Mortgage. Specifically, without limitation; Indebtedness includes all amounts that may be indirectly secured by the Cross- Collateralization provision of this Mortgage. Lender. The word "Lender" means 1st Sank, its successors and assigns. Mortgage. The word "Mortgage" meensthis Mortgage. between Grantor and Lender. Note. The word. "Note" means the prornissory note dated June 6, 201 i the original principal amount.. of $70 ;000.00 from Borrower to Lender, together with all renewals of, extensions of, mbdificati ns of, refinancings of, consolidetions•of,.and substitutions for the promissory note or agreement. Personal Property, The words "Personal Property" mean all equipment, fix Tres, and other articles of personal property now or hereafter owned by Grantor, and now or hereafter attached or affixed to the Real Proerty; together with all accessions, parts, and additions to, all replacements of, and all substitutions for any of such property; and together with all proceeds (including without limitation all insurance proceeds and refunds of premiums) from any sale et other disposition of the Property. Property. The word "Property" means collectively the Real Property and the Personal Property. Real Property. The words "Real Property" mean the real property, interests /Ind rights, as further described in this Mortgage. Related Documents. The words "Related Documents" mean all promisso y notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, s curity deeds, collateral mortgages, and all other instruments,, agreements and documents, whether now or hereafter existing, executed In connection with the Indebtedness, Page 5 Loan No: 761002384 By: Rents. The word "Rents" means all present and future rents, revenues, income, issues, royalties, profits, and other benefits derived from the Property. GRANTOR: ASPEN HIL DEVELOPMENT DEV LOPMENT PE, President of ASP HILLS State of 'W No.N`..5 County of L L.;t,coLIA, This instrument was acknowledged before me on DEVELOPMENT. Dyanna Parker Notary Public State of of �'X County I, "r Lincoln Wyoming C;ommission Ws June 29, 2011 MORTGAGE (Continued) GRANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS MORtGAGE, AND. GRANTOR AGREES TO ITS TERMS CORPORATE ACKNOWLEDGMENT N\ (Notarial SI tura) My commission expires: a -DO t i LASER PRO Lending, Ver. 5.56.00.005 Copr, Harland Financial Solutions, Inc. 1,97, 2011. All Rights Reserved. WY L ;\CFIILPUG03.FC TR -15305 PR-3 date) by LYNETTE SHARPE, President of ASPEN HILLS Page 6