HomeMy WebLinkAbout875007RECORDATION REQUESTED BY;
First Bank of Idaho fab, dba First Bank Advisors ~"~ ~'~' L~ F'i~ '[:' F~
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1First70 E.BankBroadway°f Idaho fab, dba First Bank Advisors I,. I'!~ C,,, ,..~,I ~,,OUlt'.t']'y
P.O.Box 12860 0 7 5 r) 0 7
WHEN RECORDED MAIL TO: ~...~[ ~,,, ....
FlrstBankofldahofsb, dbaFtrstBankAdvlsors '~'~.'~/~/'",~ '~, ,.t?,,'.,/~t,~t-,,_~
FIr~tBankofldaho f~b, dbaFIretBankAdvi~or~ '"~:~ ~ ": '~' ~ l',J
170E. Broadway ..... % ~F~f.
P.O.Box 12860
Jackson, WY 83002
SEND TAX NOTICES TO: r}3OOK~D pR I'A(;~; 7 '~ 9
First Bank of Idaho fab, dba First Bank Advisors
First Bank of idaho fab, dba First Bank Advisors
170 E. Broadway
P.O.Box 12860
Jackson, WY 83002 SPACE ABOVE THIS LINE IS FOR RECORDER'S USE ONLY
CONSTRUCTION MORTGAGE
MAXIMUM LIEN. The lien of this Mortgage shall not exceed at any one time $121,500.00.
THIS MORTGAGE dated July 30, 2001, is made and executed between Tom J. Roby and Frosti D, Roby, husband
and wife (referred to below as "Grantor") and First Bank of Idaho fab, dba First Bank Advisors, whose address
is 170 E. Broadway, P.O.Box 12860, Jackson, WY 83002 (referred to below as "Lender").
GRANT OF MORTGAGE. For valuable consideration, Grantor mortgages and conveys to Lender ail of Grantor's right, title, and interest in and to
the followl~ described real prope~y, together wlth ~II existkqg or subsequently erected or affixed buildings, improvements and fixtures; all easements,
rights of w~y, and appudenances; all water, water rights, watercourses and ditch rights (Including stock in utilities with ditch or irrigation rights); and aft
other rights, royalties, and profits relating to the real propedy, i~c[udi~g wlthout limitation ~1] minerals, oil, ga~, geothermal and similar matters, (the
"Real Property") located in Lincoln County, State of Wyoming:
Lot 51, Star Valley Ranch Plat 9, as platted and recorded in the offical records of Lincoln County, WY
The Real Property or its address is commonly known as Green Canyon Road, Lot 51, Plat 9, Star Valley
Ranches, Etna, WY 83118. The Real Property tax identification number is 35183110100100.
Grantor presently assi~ns to Lender all of Grantor's right, title, and ff~terest ~n ~nd to ~il present a~d future leases of the PropeAy and ail Rents from the
Property. In addition, Grantor grants'to Lender a UNform Commercial Code secur~:ty interest in the Personal Pmpe~y and Rents.
THIS MORTGAGE, INCLUDING T~ ASSIGNMENT OF RENTS AND THE SECURITY INTEREST IN THE RENTS AND PERSONAL PROPERTY, IS
GIVEN TO SECURE (A) PAYMENT OF THE INDEBTEDNESS AND (Bi PERFORMANCE OF ANY AND ALL OBLIGATIONS UNDER THE NOTE,
THE RELATED DOCUMENTS, AND THIS MORTGAGE. THIS MORTGAGE, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURITY
INTEREST IN THE RENTS AND PERSONAL PROPERTY, IS ALSO GIVEN TO SECURE ANY AND ALL OF GRANTOR'S OBLIGATIONS UNDER
THAT CERTAIN CONSTRUCTION LOAN AGREEMENT BE~EEN GRANTOR AND LENDER OF EVEN DATE HEREWITH. ANY EVENT OF
DEFAULT UNDER THE CONSTRUCTION LOAN AGREEMENT, OR ANY OF THE RELATED DOCUMENTS REFERRED TO THEREIN, SHALL ALSO
BE AN EVENT OF DEFAULT UNDER THIS MORTGAGE. THIS MORTGAGE IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS:
PAYMENT AND PERFORMANCE. Except as othe~ise provided In this MoAgage, Gramor shah pay to Lender all amounts secured by this Mortgage
ns they become due and shall strictly perform all of Gmntor's obligations u~der this
POSSESSION AND MAINTENANCE OF THE PROPERTY. Grantor agrees that Grantor's possessio~ a~d use of lhe Property shall be governed by the
foTlowing provisions:
Possession and Use. Until the occurrence of an Event of Default, Grantor may (I) rem~ff} in possess~o~ and control of the Property; (2) use,
operate or manage the Property; and (3) collect the Rents from the Properly.
Duty to Maintain. Grantor shall maintain the Property in good condiflo~ and promptly perform a~[ repairs, replacements, and maintenance
necessaW 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 h~s been no use, generatibn, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous
Substance by any person on, Under, about or from the ProperW; (2) Grantor has no knowledge of, or reason to believe that there has been,
except as previously disclosed to and acknowledged by Lender in writlr~g, (a) any breach or violation of any Environmental Laws, (bi any use,
generation, manufacture, storage, treatment, disposal, release or threatened release of any Hazardous Substance on, trader, about or from the
Propedy by any prior owners or occupants of the Prop~dy, or (c) any actual or threatened Htigation or claims of a~y kind by a~y 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 Properly shall use, ~nemt~, manufacture, ~tom, treat, d~spose of or re,ease any Hazardous
Substance on, under, about or from the Property; and (bi any such Activity shah be conducted in comp?ance with ~II applicable federal, state,
and local laws, regulations and ordinances, inoludi~ without limitation ~ E~v}rom~e~t~] Laws. Grantor authorizes Lender and its agents to enter
upon the Property to m~ke such inspections and tests, a~ GrantoFs expense, as Lender m~y deem appropriate to determhm compliance of the
Property with this section of the Mortgage. Any inspections or tests made by Lender sh~i be for Lender's uurposes only and shail not be
construed to create any responsibility or liability on the paA of Lender to Grantor or to any other person. The representations a~d warranties
contained herein are based on Grantor's due diligence In lnvestigafln~ the Prope~y for Hazardous Substances. Grantor hereby (1) releases and
waives any future claims against Lender for i~demn~ty or contribution in the event Orantor becomes lisble for cleanup or other costs under any
such ~aws; and (2) agrees to indemnify and hold harmless Lender against any a~d.a~ claims, losses, liabilities, damages, penalties, m~d expenses
which Lender may directly or indirectly susta~ or suffer resulting from ~ breach of this sectk}n of the Modgage or as ~ consequence of any use,
generation, manufacture, storage, disposal, re~ease or threatened re~ease occurring prior to Grantor's ownership or interest in the Properly,
whether or not the same was or should have been known to Grantor. The provis cng of th~s section of tho Mo~lgage, ff~duding the obligation to
indemnify, shall su~ive the payment of the INdebtedness and the s~fisf~ction n~d reconveyanc~ of the lien of this Mort~ag9 ~nd shalt not be
a[fected by Lender's ~cquisition of ar~y interest k~ the Property, whether by forec~,osure or otherwise.
Nuisance, Waste. Grantor shall not cause, conduct or permit a~y nuisance nor commiL permit, or suffer any stripping of or w~ste on or ~o
Property or ~uy podion of the Properly. Without limiting tbs generality of the foreg0ff~g, Grantor will not remove, or grant to any othsr pa~y the
right to remo~e, any timber, minerals (including o~1 and gas), coal, clay, scoria, soil, gravel or rock products without Lender's prior written co,sent.
Removal of Improvements. Grantor sha~l not demolish or r~move any Improvements from the Real Property without Lender's prior written
consent. As a condition to the remov~i of any Improvemerts, t. ender may require Grantor to make arrangements s~tisfactory to Lender to replace
such Improvements with Improvements of st least equ~
Lender's Right to Enter. Lender m~d Lender's ~gents and representatives may enter upon the Real Property at all reasonable times to attend to
Lender's interests and to inspect the Real Property for purposes of Grantor's compliance with the terms and conditions of this Mortgage.
Compliance with Governmental Requirements. Grantor shall promptly comply with ali laws, ordinances, and regulations, now or hereafter
effect, of afl governmental authorities applicable to the use or occupancy of the Property. Grantor may contest ~ ~ood faith ~ny such
ordinance, or regulation and withhold compliance during ~ny proceeding, inc!udi~g ~ppropriate appeals, so lon~ as Grantor has notified Lender
writing prior to doing so and so [cng as, in Lender's so!e c~b}iom Lender's i~terests in the Property are not jeopardized. Lender may require
Grantor to post ~dequate security or a surety bond, reasonsb'.y satisfactory to Lender, to protect Lender's ioterest.
Duty to Protect. Grantor acmes neither to ~bandon nor ~eave umatt~d~d th~ Property. Grantor shall do ~11 other ~otg, in ~dition to those acts
set forth above in this section, which from the character and use of the Property are ressonab y necessary to protect and preserve the Property.
Loan No: 190019711 0~'~'~('~07 MORTGAGE
(Continued) ? ~ 0 Page 2
CONSTRUCTION LOAN, if some or all of ttie proceeds of the loan creating the [ndebtedr~ess are to be used to construct or complete construction of
any Improvements on the Property, the Improvements shall be completed no later than the maturity date of the Note (or such earlier date as Lender
may reasonably establish) and Grantor shall pay in full all costs and expenses in connect!on with the work. Lender wilt disburse loan proceeds under
such terms and conditions as Lender may deem reasonably necessary to insure that the interest created by this Modgage shall have priority over ail
possible liens, including those of material suppliers and workmen. Lender may require, among other things, that disbursement requests be supported
by receipted bills, expense affidavits, waivers of liens, construction progress reports, and such other documentation as Lender may reasonably request.
TAXES AND LIENS. Tile following provisions relating to the taxes and Iiens on the Property are part of this Mortgage;
Payment. Grantor shall pay when due (and In all 'events prior to delinquency) ail taxes, payroll taxes, special taxes, assessments, water charges
and sewer service charges levied against or on account of the Prooerty, and shall pay when due all claims for work done on or for services
rendered or material furnished to the Property. Grantor sha!l maintain the Property free of arly liens having priority over or equal,to the interest of
Lender under this Mortgage, except for those liens specifically agreed to hl writing by Lender, and except for the lien of taxes and assessments not
due as further specified In the Right to Contest paragraph.
Right to Contest, Grantor may withhold payment of-any tax, assessment, or cIafm fn con~ection with a good faith dispute over the obligation to
pay, so long as Lender's interest tn the Property is not Jeopardized. If a lien arises or is filed as a result of nonpayment, Grantor shall within fifteen
(15) days after tile lien arises or, if a lien ls filed, within fifteen (15) days after Grantor has !~otice of the filing, secure the discharge of the lien, or tf
requested by Lef~der, deposit with Lender 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
tile lien. fn any contest, Grantor shall defend itself and Lender and sha/f satisfy any adverse j~dgment before enforcement against the Property.
Grantor shatl name Lender as an additional obligee under any surety bond furnished in the contest proceedings.
Evidence of Payment, Grantor shalf upon demand furnish to Lender satisfactory evider~ce of payment of the taxes or assessments and shall
autt:~orize the appropriate governmental official to deliver to Lender at any time a written statement of the taxes and assessments against the
Propedy.
Notice of Construction. Grantor shali notify Lender at least fifteen (15) days before any work is commenced, any services are furnished, or any
materials are supplied to the Property, if any mechanic's lien, materialmen'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 sat sfactory to Lender that Grantor can and will pay the
cost of such Improvements.
PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Mortgage:
Maintenance of Insurance. Grantor shall procure and maintain policies of fire insurance with standard extended coverage endorsements on a
replacement basis for the full Insurable value covering all Improvements on the Real Property in an arr~ount sufficient to avoid application of any
coinsurance clause, and with a standard mortgagee clause in favor of Lender. Policies shall be written by such insurance companies and fn such
form as may be reasonably acceptable to Lender. Grantor shall deliver to Lender ceotlficates of coverage from each Insurer containing a
stipulation that coverage will not be cancelled or diminished without a minimum of fifteen (15) days' prior written notice fo Lender and not
containiflg any disclaimer of the Insurer's liability for failure to give such notice. Each insurance policy also shall include an endorsement providing
that coverage in favor of Lender will not be impaired in any way by any act, omission or default of Grantor or any other person. Should the Real
Property be located'in an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area, Grantor
agrees to obtain and maintain Federal Flood Insurance, if available, within 45 days after notice is given by Lender that the Property is located in a
special flood hazard area, for the futl unpaid principal balance of the loan and any prior liens on tile property securing the loan, up to the
maximum policy limits set under.the National Flood Insurance Program, or as otherwise required by Lender, and to maintain such Insurance for
tile term of the loan.
Application of Proceeds, Grantor shall promptly notify Lender of any Ioss or damage to the Prope~y. Lender may make proof of loss if Grantor
fails to do so within fifteen (15) days of the casualty. Whether or not Lender's security is impaired, Lender may, at Lender's election, receive and
retain the proceeds of any insurance and appty the proceeds to the reduction of tile indebtedness, payment of any lien affecting the Property, or
the restoration and repair of the Property. If Lender elects to apply the proceeds to resto~'ation and repair, Grantor shall repair or replace 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 the reasonable cost of repair or restoration if Grantors not in doault under this Mortgage. Any proceeds
which have not been disbursed within 180 days after their receipt and which Lender has not committed to tile 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, if any, shall be
applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment in full of the Indebtedness, such proceeds shall
be paid to Grantor as Grantor's interests may appear.
Unexpired Insurance at Sale. Any unexpired insurance shall inure to the benefit of, and pass to, the purchaser of the Property covered by this
Mortgage at any trustee's sale or other safe held under the provisions of this Mortgage, or at any foreclosure sale of such Property.
LENDER'S EXPENDITURES. If Grantor fails (A) to keep the Property free of ail taxes, liens, security interests, encumbrances, and other claims, (B)
to provide any required insurance on the Property, or (C) to make repairs to the Property then Lender may do so. If any action or proceeding is
commenced that would materially affect Lender's Interests in the Property, then Lender on Grantor's behalf may, but is not required to, take any action
that Lender believes to be appropriate to protect Lender's interests. All expenses incurred or paid by Lender for such purposes will then bear interest
at the rate charged under the Note from the date incurred or paid by Lender to the date of repayment by Grantor. All such expenses will become a part
of the Indebtedness and, at Lender's option, will (A) be payable on demand; (B) be added to the balance of the Note and be apportioned among
and be payable with any Installment payments to become due during either (1) the term of any applicable Insurance policy; or (2) the remaining term
of the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's maturity. The Mortgage also will secure payment of
these amounts. The rights provided for in this paragraph shall be In addition to any other rights or any remedies to which Lender may be entitled on
account of any default. Any such action by Lender shall not be construed as curing the default so as to bar Lender from any remedy that it otherwise
would have had.
WARRANTY; DEFENSE OF TITLE. The following provisions relating to ownership of tile Property are a part of thls Mortgage:
Title. Grantor warrants that: (a) Grantor holds good and marketable title of record to the Property in fee simple, free~ and clear of ail liens and
encumbrances other than those set forth in the Real Property description or in any title insurance policy, title report, or final title opinion issued in
favor of, and accepted by, Lender in connection with this Mortgage, and (b) Grantor has the full right, power, and authority to execute and deliver
this Mortgage to Lender.
Defense of Title. Subject to the exception in the paragraph above, Grantor warrants and wi! forever defend the title to tile Property against the
lawful claims of all persons. In the event any action or proceeding is commenced that questions Grar~tor's title or the interest of Lender under this
Mortgage, Grantor shall defend the action at Grantor's exper~se. Grar~tor may be the nominal party in such proceeding, bu( Lender sha!l be
entitled to participate in the proceeding and to be represented ir~ the proceeding by counsel of Lender's own choice, and Grantor will deliver, or
cat,se to be delivered, to Lender such instruments as Lender may request !rom time to time to permit such participati0f~.
Compliance With Laws. Grantor Warrants that the Property and Grarqtor's (~se of the Property complies with all existing applicable taws,
ordinances, and regulations of governmental authorities.
Survival of Promises. Ail promises, agreements, and statemerlts Grantor has made in this Mortgage shatt su~fve the execution and deiivery of
this Mortgage, shall be continuing In nature and shall remain in full force and effect until such time as Grarltor's Indebtedness is paid in full.
CONDEMNATION. The following provisions relating to condemnatior~ proceedings are a part of this Mortgage:
Proceedings. If any proceeding in condemnation is filed, Grantor shall promptty r~otify Lender in writing, and Grar~tor 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 tn the proceeding and to be represer~ted in tile proceedh, g by counseI 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 th'ne to time to permit such participation.
Application of Net Proceeds. if ali or any part of the Property is condemned by eminent domain proceeding.9 or by any proceeding or purchase
in lieu of condemnation, Lender may at its election require that all or any portion of the riot proceeds of the award be app!ied to the Indebtedness
er tile repair or restoration of lhe Property. Tile net proceeds of the award shaif mean the ~ward after payment of ali reasonable costs, expenses,
and attorneys' fees incurred by Lender in connection with the condemnation.
IMPOSITION OF TAXES, FEES AND CHARGEs BY GOVERNMENTAL AUTHORITIES. The folowing provisions relating to governmental taxes, fees
and charges are a part of this Mortgage:
Current Taxes, Fees and Charges. Upon request by Ler~der, Grar~tor shail execute such documents in addition to this Mortgage and take
-,~ ,~ , MORTGAGE '78], Page3
Loan No: 190019711 O~ 2500 ;~ (Continued)
whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Grantor shall reimburse Lender for all
taxes, as described below, together with all expenses incurred in recording, perfecting er ccnt!nuing this Mortgage, including without limitation all
taxes, fees, documentary stamps, and other charges for recording or registering this Mortgage.
Taxes. The following shall constitute taxes to whlcl~ this ~bCtlon applies: (1) a specific tax upon this type of Mortgage or upon ail or any part of
the Indebtedness secured by this Mortgage; (2) a specific tax on Grantor which Grantor is authorized or required to deduct from payments on
tile Indebtedness secured by this type of Mortgage; (3) a tax on this type of Mortgage chargeable against the Lender or the holder of the Note;
and (4) a specific tax on all er any portion of the Indebtedness or on payments of principal and interest made by Grantor.
Subsequent Taxes. If any tax to which this section applies Is enacted subsequent to the date of this Mortgage, this event shall have the same
effect as an Event of Default, and Lender may exercise any or all of its avaiIabie remedies for art Event of Default as provided below unless Grantor
either (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!atirtg to this Mortgage ~,s a security agreement~ar'e a part cf this
Mortgage:
Security Agreement. This instrument shall constitute a Security Agreement to the extent any of the Property constitutes fixtures, and Lender shali
have all of the rights of a secured party under the Uniform Commercial Code as amended from time to time.
Security Interest. Upon request by Lender, Grar~tor shall execute financing statements and take whatever other action is requested by Lender to..
perfect and continue Lender's security interest in the Personal Property. In addition to recording this 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. Grantor shall reimburse Lender for all expenses incurred in perfecting or corrtir~uing this security interest. Upon default, Grantor shall
not remove, sever or detach the Personal Property from the Property. Upon default, Grantor shall assemble any Personal Property not affixed to
the Property In a mahner and at a place reasonably convenient to Grantor and Lender and make it available to Lender within three (3) days after
receipt of written demand from Lender to the extent permitted by applicable law.
Addresses, The mailing addresses of Grantor (debtor) and Lender (secured party) from which information concerning the security interest
granted by this Mortgage may be 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:
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, rallied, or
rerecorded, as the case may be, at such times and in such offices and places as Lender may deem appropriate, any and all such mortgages,
deeds of trust, security deeds, security agreements, financing statements, continuation statemenls, Instruments of further assurance, certificates,
and other documents as may, in the sole opinion of Lender, be necessary or desirable i,~ order to effectuate, complete, perfect, continue, or
preserve (1) 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
this paragraph.
Attorney-ln-Fact, If Grantor fails to do any of the t~ings referred to in the.preceding paragraph, Lender may do so for and in the name of Grantor
and at Grantor's expense. For such purposes, Grantor hereby irrevocably aDpoints Len. der as Grar~tor's attorney-in-fact for the purpose of
making, executing, delivering,~fiilng, recording, and doing all other things as may be necessary or desirable, in Lender's sole opinion, to
accomplish the matters referred to In the preceding paragraph.
FULL PERFORMANCE. If Grantor pays all the Indebtedness when due, and otherwise performs ali the obtigations imposed upon Grantor under this
Mortgage, Lender shall execute and deliver to Grantor a suitable satisfaction of this Mortgage and suitable statements of termination of any financing
statement on file evidencing Lender's security interest in the Rents and the Personal Property. Grantor will pay, if permitted by applicable law, arty
reasonable termination fee as determined by Lender from time to time.
EVENTS OF DEFAULT; At Lender's option, Grantor wiil be in default under this Mortgage if any of the following happen:
Payment Default. Grantor fails to make any payment when due under the Indebtedness.
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 filing of or to effect discharge of any llen.
Break Other Promises. Grantor breaks any promise made to Lender or fails to perform promptly at the time and sb:ictly in the manner provided in
this Mortgage or in any agreement related to this Mortgage.
Default In Favor of Third Parties. Should Grantor default under any loan, extension of credit, security agreement, purchase or sales agreement,
or any other agreement, in favor of any other creditor or person that may materially affect any of Grantor's property or Grantor's ability to repay the
Indebtedness or Grantor's ability to perform Grantor's obligations under this Mortgage or any related docLlmelqt.
False Statements. Any representation or statement made or furnished to Lender by Grantor or on 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.
Defective Collaterailzatlon. Tills Mortgage or any qf the Related Documents ceases to be irt full force and effect (including fatlure of any collateral
document to create a valid and perfected security interest or lien) at arty time and for arty reason.
Death or Insolvency. Tile death of Grantor, the Insolvency of Grantor, the appointment of a receiver for any part of Grantor's property, any
assignment for the benefit of creditors, any type of creditor workout, or the commencement of any proceeding under any bankruptcy or Insolvency
laws by or against Grantor.
Taking of the Property. Any creditor or governmental agency tries to take any of the Property or any other of Grantor's property in whlch Lender
has a lien. This Includes taking of, garnishing of or levyl~g on Grantor's accounts with Lender. However, if Grantor disputes in good faith whether
the claim on which the taking of the Property is based is valid or reasonable, and if Grantor gives Lender writter] notice of the claim and furnishes
Lender with ~onies or a surety bond satisfactory to Lender to satisfy the claim, then this default provision will not apply.
Breach of Other Agreement. Any breach by Grantor under the terms of arty other agreement between 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 Grantor to
Lender, whether existing now or later. '
Events Affecting Guarantor. Any of the preceding events occurs with respect to arty guarantor, endorser, surety, or accommodation party of any
of tile Indebtedness or any guarantor, er~dorser, surety, or accommodation party dies or becomes incompetent, or revokes or disputes the va!idity
of, or liability under, any Guaranty of the indebtedness, irt the event of a death, Lender, at its option, may, but s!tall not be required to, permit the
guarantor's estate to assume unconditiona!ly the obi!gation, s arising under the guarar*ty irt a manner satisfactory to Lender, and, in doing so, cure
any Event of Default.
Insecurity. Lender in'good faith believes itself insecure.
Rlght to Cure. If such a failure is curable and if Grantor [las not been given a notice of a breach of the sar'ne provision of this Mortgage within the
preceding twelve (12) months, it may be cured (and no Event of Default will have occurred) if Grar~tor, after Lender sends written notice
demanding cure of such failure: (al cures the failure within fifteen (15) days; or lb) if the cure requires more than fifteen (I5) days, immediately
initiates steps sufficient to cure the failure and thereafter continues and corrtpletes all reasonable and necessary steps sufficient to produce
compliance as soon as reasonab¥ practical.
RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of an Event of Default and at a;ty th'ne thereafter, Lender, at Lender's option, may
exercise any one or more of the following rights and remedies, in addition to any other rights or remedies provided by law:
Accelerate Indebtedness. Lender sha'l have the right at it option without r~otice to Grantor to declare the entire indebtedness immediate'.y due
and payable, including any prepayment penalty which Grantor would be required to pay.
UCC Remedies. With respect to all or arty part of the Personal Property, Lender shat{ have e'i tile rights and remedies of a secured party under
the Uniform Commercial Code.
Collect Rents. Lender sha!l have the right, without rot(ce to Grantor, to take possessio~ of the Property, in, ctuding during the pendency of
forec{osure, whether judicial or non-judicial, and co:!ect the Re,~ts, inc udi~g amounts past due arid unpaid, and apply the pet proceeds, over arid
MORTGAGE
Loan No: 190019711 I,~"~7 (Continued) ? 8 2 Page 4
above Lender's costs, against the Indebtedness. In furtherance of this rigllt, Lender may require any tenant or other user of the Property to make
payments of rent or use fees directly to Lender. If the Rents are collected by Lender, then Grantor irrevocably designates Lender as Grantor's
attorney-in-fact to endorse Instruments received In payment thereof in the name 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 short satisfy the obligations for which the payments are made,
whether or not any proper grounds 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 ~t receiver appolnted to 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, ~nd 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 serve without bond if permitted by
Lender's right to the appointment of a receiver shall exist whether or not tile apparent value of the Property exceeds the Indebtedness by a
substantial amount. Employment by Lender shall not disqualify a person from servi,lg as a receiver ....
Judicial Foreclosure. Lender may obtain a judicial decree foreclosing Grantor's interest in ail or any part of the Property. ,
Nonjudicial Sale. Lender may foreclose Grantor's interest in all or in any part of the Property by non-iudicial sale, and specifically by "power of
sale" or "advertisement and sale" foreclosure as provided by statute.
Deficiency Judgment. if permitted by applicable law, Lender may obtain a judgment for any deficiency remaining in the Indebtedness due t0,
Lender after application of all amounts received from the exercise of the rights provided itl this section.
Tenancy at Sufferance, If Grantor remains In possession of the Property after the Property is sold as provided above or Lender otherwise '
becomes entitled to possession of the Property upon defauk of Grantor, Grantor shall become a tenant at sufferance of Lender or the purchaser
of the Property and shali, at Lender's option, either (1) pay a reasonable rental for tlm use of the Property, or (2) vacate the Property
immediately upon the demand of Lender.
Other Remedies. Lender shall have all other rights ahd remedies provided in this Mortgage or ttle Note or availabfe at law or In equity.
Sale of the Property, To the extent permitted by applicable law, Grantor hereby waives any and all right to have the Property marshalled. In
exercising its rights and remedies, Lender shall be free to sell all or any part of the Properly together or separately, In one sale or by separate
sales. Lender shall be entitled to bid at any public sale on all or any portion of the Property.
Notice of Sale, Lender will give Grantor reasonable notice of the time and place of any public sale of the Personal Property or of the tlme after
which any private sale or other intended disposition of the Personal Property is to be made. Reasonable notice shall mean notice given at least
ten (10) days before the time of the sale or disposition.
Election of Remedies, All of Lender's rights and remedies will be cumulative and may be exercised alone or together, An election by Lender to
choose any one remedy will not bar Lender from using any other remedy, ff Lender decides to spend money or to perform any of Grantor's
obligations under this Mortgage, after Grantor's failure to do so, that decision by Lender wi,l not affect Lender's right to declare Grantor In default
and to exercise Lender's remedies.
Attorneys' Fees; Expenses. If Lender institutes ahy 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 reasonable as attorneys' fees at trial and upon any appeal. Whether or not any court action is involved, and
to the extent not prohibited by law, all reasonable expenses Lender incurs that In Lender's opinion are necessary at any time for tile protection of
its Interest or the enforcement of its rights shall become a part of the Indebtedness payable on demand and shall bear interest at the Note rate
from the date of the expenditbre until repaid. Expenses covered by this paragraph include, wittlout limitation, however subject to any limits under
applicable law, Lender's reasonable attbrneys' fees and Lender's legal expenses whether or not there is a lawsuit, including reasonable attorneys'
fees and expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any
anticipated post~judgment collection services, the cost of searching records, obta!ning 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 by law.
NOTICES. Any notice required to be given under this ~ortgage, including without limitation any notice of default and any notice of sale shall be given
in writing, and shafl be effective when actually delivered, when actually received by telegacsimile (unless otherwise required by law}, when deposited
with a nationally recognized overnighl courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mall postage
prepaid, directed to the addresses shown near the beginning of this Mortgage. All copies of notices of foreclosure from the holder of any lien which
has priority over this Mortgage shall be sent to Lender's address, as shown near the beginning of this Mortgage. Any person may change his or her
address for notices under this Mortgage by giving formal written notice to the other person or persons, specifying that the purpose of the notice is to
change the persorl's address. For notice purposes, Grantor agrees to keep Lender informed at ail times of Grantor's current address. Unless otherwise
provided or required by law, if there Is more than one Grantor, any notice given by Lender to any Grantor is deemed to be notice given to all Grantors.
It will be Grantor's responsibility to tell the others of the notice from Lender.
CONSTRUCTIONS DRAWS AND INSPECTIONS. The borrower(s) herein acknowledge that any draws/advances on the line shall be made upon the
receipt and review of all bills and inspection of property prior; to any advances. Borrower(s) is aware that the lender or lender's agent may, at Iender's
option, inspect the subject property during the construction term and any cost for same shall be paid by borrower(s).
MISCELLANEOUS PROVISIONS. The fofrowlng miscellaneous provisions are a part of this Mortgage:
Amendments. What is written In this Mortgage and in the Related Documents is Grunter's entire agreement with Lender concerning the matters
covered by this Mortgage. To be effective, any change or amendment to this Mortgage must be in writing and must be signed by whoever will be
bound or obligated by the change or amendment.
Caption Headings, Caption headings in this Mortgage are for convenience purposes or~'y and are not to be used to interpret or define the
provisions of this Mortgage.
Governing Law. This Mortgage will be governed by and Interpreted in accordance with federal law and the laws of the State of Wyoming.
This Mortgage has been accepted by Lender In the State of Wyoming.
Joint and Several Llabtllty. Ail obligations of Grantor under this Mortgage shall be joint and several, and afl references to Grantor shall mean
each and e'~ery Grantor. This means that each Grantor signing below is responsible for all obligations in this Mortgage.
No Waiver by Lender. Grantor understands Lender will not give up any of Lender's rights under this Mortgage unless L~nder does so in writing.
The fact that Lender deiays or omits to exercise any dght wiJl not mean that Lender has give,~ up that right. If Lender does agree in writing to give
up one of Lender's rights, that does not mean Grar~tor will not have to compiy with tl;e other provisions of this Mortgage. Grantor also
understands that if Lender does consent to a request, that does not mean that Grantor wi!l not have to get Lender's consent again if the situation
happens again. Grantor further understands' that just because Lender consents to one or more of Grantor's requests, that does not mean Lender
will be required to consent to any of Grantor's future requests. Grantor waives presentment, demand for payment, protest, and notice of dishonor.
Grantor waives all rights of exemption from execution Or similar l~w in the Properly (inc!ud~ng without limitation, the homestead exemption), and
Grantor agrees that the rights of Lender in the Property under this Mortgage are prier to Grantor's rights while this Mortgage remains in effect.
Severability. If a court finds that any provisior~ of this Mortgage is not valid or should not be er:forced, that fact by itself will not mear~ tfiat the rest
of this Mortgage will not be valid or enforced. Therefore, a court will enforce the rest of the provisio~*s of this Mortgage even if a provision of this
Mortgage may be found to be invalid or unenforceable.
Merger. There shall be no merger of the interest or estate created by this Mortgage with ally 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 Mortga(je on trar~sfer of Grantor's interest, this Mortgage shall be bfndlng upon
and im~re to the benefit of the parties, their successors and assigns, ff ownership of the Property becomes vested In a person other than Grantor,
Lender, without notice to Grantor, may deal with Grantor's successors with reference to thrs Mortgage and the Indebtedness by way of
forbearance or extension without releasing Grantor from the obligat;ons of this Mortgage or !;abiiity under the Indebtedness.
Time Is of the Essence. Time is of tile essence in the performance of this Mortgage.
Waiver of Homestead Exemption. Grar~tor hereby releases and wolves all r:ghts and benefits of the homestead exemption laws of the State of
Wyoming as to all Indebtedness secured by this Mortgage.
DEFINITIONS, The following words shall have tile following meanings wt~er~ used in this Mortgage:
Borrower, The word "Borrower" means Tom J. Roby and Frosti D. Roby, and all other persons and e;tities signing the Note.
MORTGAGE
783
Loan No: 190019711 ~S'~,.~O(~.)"~ (Continued) Page 5
Environmental Laws, The words "Environmer~tal Laws" mean any a~d al~ state, fodora~ arid ~ocal statu~es, re~u~at~o~s and ord}nances rolatin~ to
the protection of human health or the environment, including without ;imit~t~or~ the Comprehensive Environme~ta~ Response, Compensation, ~nd
Liability Act of 1980; as a~ended, 42 U.S.C. Section 9601, et seq. ("CERC~"), the Supeffu~d Amendments and Reauthor',zation Act of I986. Pub.
L. No. 99-499 ("SARA"), the Hazardous Materials Transportation Act, 49 U.S.C. Sect!or~ !801, et seq., the Resource Cense~ation and Re~overy
Act, 42 U.S.O; Section 6901,. et seq., or other applicable state or federal laws, ru!es, or regulations adopted pursuant thereto.
Event of Default. The' ~ords "Event of Default" mean any of the events of default set forth In this Modgage in the events of default section o~ th~s
Grantor. The word "Grantee' means Tom J. Roby and Frosti D. Roby.
Guaranty. The word "Guarani" means the guaranty from guarantor, endorser, surety, or accommodation party to Lender, Including without
limitation a guaranty of at{ or pa~ of the Note.
Hazardous Substances, The words "Hazardous Substances" mean materials that, because of their quantity, concentration or.physical, chemfca~
or Infectious characteristics, may cause or pose a present or potential hazard to human health or the environment when improperly used, treated,
stored, disposed of, generated, manufactured, transpoded 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 by or listed under the
Environmental Laws. The term "Hazardous Substances" als0 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 Re~i
Properly, facilitieS, additions, replacements and other construction on the Real ProperS.
Indebtedness, The word "Indebtedness" means all principal, interest, and other amounts, costs and expenses payable under the Note or Related
Documents, together with afl renewals of, extensions of, modifications of, consoJidat~ons of and substitutions for the Note or Related Documents
and any amounts expended or advanced by Lender to discharge Grantor's obligations or expenses incurred by Lender to enforce Grantor's
obligations under this Mortgage, together with interest on such amounts as provided ~n th~s Me,gage.
Lender. The word "Lender" means First Bank of idaho fsb, dba' First Bank Adv~sors, its successors and assigns. The words "successors or
assigns" mean any person or company that acquires any interest in the Note.
Mortgage. The word "Me,gage" means this Me,gage be~een Grantor and Lender.
Note. The word "Note" means the promissow note dated July 30, 2001, i~ the original principal amount of $121,500.00 from
Grantor to Lender, together with all renewals of, extensions of, modifications of, refinar~cings of, consolidations o[, and substitutions for the
promissory note or agreement. The m~turity date of this Me,gage ts August I, 2002.
Personal Property. The words "Personal Properly" mean all equipment, fixtures, and other ~rtfcies of personal property now or hereafter owned
by Grantor, and now or herea~er attached or affixed to the Real Properly; together with all accessions, parts, and additions to, ali replacements of,
and all substitutions for, any of such properly; and together with ail proceeds (including without ~imitation all insurance proceeds and refunds of
premiums) from any sale or other disposition of the Property.
Property. The word "Properly" means collectively the Real Property and the Personal Property.
Real Property. The words "Real prope~y" mean the real prope~y, interests and dghts, as further described i~ this Me,gage.
Related Documents, The words "Related Documents" mean all promissory r~otes, credit agreements, loan agreements, environmental
agreements, guarar~ties, sed~ri~y agreements, modgages, deeds of trust, secudty deeds, collateral modgage9, and all other 'instruments,
agreements and documents, 'whether now or hereafter existing, executed in conpect~on with the Indebtedness.
Rent~. The word "Rents" means all present and futura rents, revenues, income, issues, roya{t~es, profi[s, and other benefit~ derived from the
Properly.
EACH GRANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS MORTGAGE, AND EACH GRANTOR AGREES TO ITS
TERMS.
GRANTOR:
INDIVIDUAL ACKNOWLEDGMENT
COUNTY OF ' ':~;' ~ )
On this day before me, the undersigne~ Nota~ Public, personally appeared Tom J. Roby, to me known to be the indMduaf described in and who
purposeseXecuted there!nthe Mortgage,mentioned.and acknowledged that he or she signed the Me,gage as his or her free and voluntary act and deed, for the uses and
Given under my hand and official seal this -~:'~..-
~_ day 0'f' :~: ';' ~::"
Notary Public In and for the State of ~,r~.~. ,:,, ....... .~:2~. My commission expires
Loan No: 190019711 {~7~(}~ MORTGAGE
(Continued) '~ ~ 4
Page 6
INDIVIDUAL ACKNOWLEDGMENT
COUNTY OF '~'--~? "~'~ ,'~ ) SS
On this day before me, t~e undersigned Notary Public, personally appeared Frostf D, Roby, to me known to be the ~div~uaf described in and who
executed the Mortgage, and acknowledged that he or she signed the Mortgage as bis or her free and vo~untaW act and deed, {~r the uses and
purposes therein mentioned.
Given under my hand and official seal this ,~.~2 ~'*' day of ~* ~ 20 ¢/
~- "~ '"/2'
Notary Public In and for the State of "'/~ .;:.~ ,~- '~
~ -'~ My commission explre~ /~,':- ~ - ~ ' '