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HomeMy WebLinkAbout892825Recording requested by: Wells Fargo Bank, N.A. Wells Fargo B~nk, N.A. P. O. B~X 31557 BILLINGS, MT 59107 'BOOK ,~3ZPRPAGE 364 DOCUMENT MANAGEMENT REOEIVED LINOOLN COUNTY OL£RK m'! I0:26 S tale of Wyomh~g REFERENCE #: 20031807000235 MORTGAGE (With Future Advance Clause) DATE AND PARTIES. The date of this Mortgage ("Security Instrmuent") is O712212003 and the parties, their addresses and tax identification numbers, if required, are as follows: MORTGAGOR: JOHN DAULTON AND KATHLEEN A. DAULTON, HUSBAND ANO WIFE, TENANTS BY THE ENTIRETIES 'Space Above This Lh~e For Recordh~g Data ACCOUNT #: 0654-654-02285 '1 O- 1098 AS [] If checked, refer to the attached Addendum incorporated herein, for additional Mortgagors their signatures and acknowledgments. LENDER: Wells Fargo' Bank, N.A. P. O. BOX 3155-7 BILLINGS, MT 5910'7 CONVEYANCE. For good and valuable consideration, the receipt and sufficiency of which is acknowledged, and to secure the Secured Debt (defined below) and Mortgagor's performance under this Security Instrument, Mortgagor grants, bargains, conveys, mortgages and warrants to Lender, with power of sale, the following described property: LOT 50 OF STAR VALEEY RANCH PLAT 10, LINCOLN COUNTY, WYOMING AS DESCRIBED ON THE OFF C IAL PLAT THEREOF. The property is located in L I NCOLN at: 200 VISTA WEST THAYNE, WY and parcel number of 35183 q 20104 q 00 togeflzer with all rights, easements, appurtenances, royalties, mineral rights, oil and gas rights, all water and riparian rights, ditches, and water stock and all e~sting and ~mre improvements, structures, fixtures, and replacements that may now or at m~y time in the future be pan of fl~e real estate described above (all referred to as "Property"). M~UM OBLIGATION L~IT. The total principal amount secured by tMs SecufiW Inst~ment at any one time shall not exceed $ 25,000. O0 . This linfitation of amount does not include interest and other fees and charges validly made pursuant to this Security Instrument. ~so, tlfis limitation does not apply to advances made under the terms of this SecuriW Instrument to protect Lender's securiW and to perform any of the covenauts contained in this Security Instrument. SECU~D DEBT ~D FUTU~ ADVANCES. The term "Secured Debt" is defined as follows: A. Debt incurred under the terms of the promisso~ note, revolving line of credit, contract, ~mran~ or other evidence of debt dated 0? / 22 / 2003 together with all amendments, extensions, mod~cations and renewals, m~d having a matnrity date of O? 12212043 B. All fmure advances from Lender to Mortgagor under such evidence of debt. All ~ture advances me secured as ff made on the date of this SecufiW Instnunent. Nothing in tiffs Secnri~ Agreement shall constitute a comnfitment to m~e additional or fnture loans or advances which exceed the amount shown in Section 3. Any such commitment must be agreed to in a sep~mt~ writing. C. ~1 sums advanced and expenses incurred by Lender for insuring, prese~ing, or othenvise protecting the Prope~' and its value and any other sums advanced and expenses incurred by Lender under the terms of tNs Securi~ Instrument. 5. PAYMENTS. Mo~gagor agrees that all payments under the Secured Debt will be paid when due and in accordance with the terms of the Secured Debt and this Securi~ Instrument. 6. PRIOR SECURITY INTE~STS. With regard to any other moflgage, deed of trust, security agreement or other lien document that created a prior security interest or encumbrance on the Property, Mortgagor agrees: A. To make all payments when due and to perform or comply wifl~ all covenants. B. To promptly deliver to Lender any notices that Mo~gagor receives from the holder. C. Not to allow any modification or extension o[ nor to request ~y ~mre advances under ~y note or agreement secured by the lien document without Lender's prior written consent. 7. CLA~S AGAINST TITLE. Mortgagor will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents, utilities, and other charges relating to the Proper~ wheu due. Lender ~nay require Moflgagor to provide to Lender copies of all notices that such amounts are due and the receipts evidencing Mo~gagor's payment. Mortgagor will defend title to the Prope~ against any claims that would impair the lien of the Securi~ Instrument. Moagag0r agrees to assign to Lender, as requested by Lender, any rights, claims or defenses Mortgagor may have against pa~es who supply labor or materials to maintain or improve the Property. 8. DUE ON S~E OR ENCUMB~NCE. Upon sale, transfer, h)~othecation, assignment or encumbrance, whether volunta~, involunta~, or by operation of law, of all or any part of the Properff or any interest therein, then at its sole option, Lender may, by written notice to Mortgagor, declare all obligations secured hereby immediately due and payable, except to the extent that such acceleration for and in such pa~icular circumstances where exercise of such a fight by Lender is proNbited by law. 9. PROPERTY CONDITION, ALTE~TIONS AND INSPECTION. Moagagor will keep the Prope~ in good condition and m~e all repairs that are reasonably necessa~. Moagagor shall not commit or allow any waste, impairment, or deterioration of the Property. Moagagor will keep the Properff free of noxious weeds and grasses. Moagagor agrees that fl~e nature of the occupancy and use will not substantially change without Lender's prior written consent. Mortgagor will not pemit any change in any license, res~ictive covenant or easement without Lender's prior written consent. Moflgagor will notify Lender of all demands, proceedings, claims, and actions against Mortgagor, and of any loss or damage to the Properff. Lender or Lender's agents may, at Lender'.s option, enter the Prope~y at ~y reasonable time for fl~e pu~ose of inspecting the Prope~. Lender shall give Mortgagor notice at the time of or before an inspection specking a reasonable pu~ose for the inspection. Any inspection of ~e Proper~ shall be entirely for Lender's benefit and Mo~gagor will in no way rely on Lender's inspection. 10. AUTHORITY TO PE~O~. ff Moagagor fails to perform any duty or any of the coven~ts contained in fids Security Instrument, Lender may, without notice, perform or cause them to be performed. Mo~gagor appoints Lender as attorney in fact to sign Mortgagor's name or pay any amount necessa~ for performance. Lender's right to perform for Moagagor shall not create an obligation to perform, and Lender's failure to perform will not preclude Lender from exercising any of Lender's other rights under the law or this Securi~ Instrument: ff any construction on the Prope~, is discontinued or not carried on in a reasonable manner, Lender may t~e all steps necessau~ to protect Lender's securi~ interest in the Prope~, including completion of the construction. 11. ASSIGNMENT OF LEASES AND ~NTS. Mortgagor irrevocably grants, bargains, conveys, mortgages and warrants to Lender as additional securiff all the right, title and to auy and all existing or ~mre leases, subleases, and any other written or verbal agreements for the use and occupancy of any poaion of the Prope~, including any extensions, renewals, modffications or snbstitutions of such agreements (all referred to as "Leases") and rents, issues and profits (all referred to as "Rents"). Mo~gagor will promptly provide Lender with tree and correct copies of all existing and ~tUre Leases. Mo~gagor may collect, receive, enjoy and use the Rents so long as Mortgagor is not in default under the reruns of this Securiff Instrument. Moagagor agrees that this assigmnent is immediately effective beBveen the parties to this Security Instrument. Moagagor agrees that this assigmnent is effective as to third paaies when Lender t~es ~mative action prescribed by law, and that this assignment will remain in effect during any redemption period until the Secured Debt is satisfied. Moagagor agrees ~at Lender may t~e actnal possession of the properly without the necessi~ of commencing:legal action and that actual possession is deemed to occur when Lender, or its agent, notifies Mo~gagor of default and demands fl~at any tenant pay all hture Rents directly to Lender. On receiving notice of default, Moagagor will endorse ~d deliver to Lender any payment of Rents in Mo~gagor's possession and will receive any Rents in trust for Lender and will not.commingle the Rents with any other fimds. Any amounts collected will be applied as provided in this SecuriB, Instrument. Moagagor warrants flint no default exists under the Leases or any applicable landlorWtenant law. Moagagor also agrees to maintain and require any tenant to comply with ~e terms of the Leases and applicable law. 12. LEASEHOLDS; CONDOMIN~MS; PLANNED UNIT DEVELOPMENTS. Mortgagor agrees to comply with the provisions of any lease if this Security Instrument is on a leasehold. If the prope~ is a unit in a Condo~nium Project or is paa of a Planned Unit Development ("PUD"), Moagagor agrees to the following: A. Obligations. Mortgagor shall perform all of Mortgagor's obligations under the Constituent Documents. The "Constituent Documents" are the: (i) Declaration or any other document wlfich creates the Condomiifium Projects or PUD and any homeowners association or equivalent entity ("Owners Association"); (ii) by-laws; (iii) code of regulations; and (iv) other equivalent documents. Mortgagor shall promptly pay, when due, all dues and assessments imposed pursuant to the Constituent Documents. B.. Hazard Insurance. So long as the Owners Association maintains, with a generally accepted insurance carrier, a "master" or "blanket" policy on the Condominium Project or PUD which is satisfactory to Lender and which provides insurance coverage in the amounts, for the periods, and against the hazards Lender requires, including fire and hazards included within the term "extended coverage," then Mortgagor's obligation under Section 19 to maintain hazard insurance coverage on the Property is deemed satisfied to the extent that the required coverage is provided by the Owner's Association policy. Mortgagor shall give Lender prompt notice of any lapse in required hazard insurance coverage. In the event of a distribution of hazard insurance proceeds in lieu of restoration or repair following a loss to Property, whether to the unit or to common elements, any proceeds payable to Mortgagor are hereby assigned and shall be paid to Lender for application to the sums secured by this Security Instrument, with any excess paid to Mortgagor. C. Flood Insurance. Mortgagor agrees to maintain flood insurance for the life of the Secured Debt which is acceptable, as to form, amount and extent of coverage to Lender. D. Public Liability Insurance. Mortgagor shall take such actions as may be reasonable to insure that the Owners Association maintains a public liability insurance policy acceptable in form, amount, and extent of coverage to Lender. E. Condemnation. The proceeds of any award or clai~n for damages, direct or consequential, payable to Mortgagor in co~mection with m~y condemnation or other taking of all or any part of the Property, whether of the unit or of the common elements, or for an3, conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. Such proceeds shall be applied by Lender to the sums secured by the Security Instrument as provided in Section 18. F. Lender's Prior Consent. Mortgagor shall not, except after notice to Lender and with Lender's prior written consent, either partition or subdivide the Property or consent to: (i) the abandonment or ternunation of the Condominium Project or PUD, except for abandonment or termination required by law in the case of substantial destruction by fire or other casualty or in the case of a taking by condemnation or eminent domain; (ii) any amendment to any provision of the Constituent Docmnents if the provision is for the express benefit of Lender; (iii) ternhnation of professional management and assmnption of self- management by the Owners Association; or (iv) any action wlfich would have the effect of rendering the public liability insurance coverage maintained by the Owners Association unacceptable to Lender. G. Remedies. If Mortgagor does not pay condominium or PUD dues and assessments when due, then Lender may pay them. An5, amounts disbursed by Lender under tltis section shall become additional debt of Mortgagor secured by this Security Instrument. Unless Mortgagor and Lender agree to other terms of payment, these amounts shall bear interest from the date of disbursement at the Secured Debt rate and shall be payable, with interest, upon notice from Lender to Mortgagor requesting payment. 13. DEFAULT. Mortgagor will be in default if any party obligated on the Secured Debt fails to make payment when due. Mortgagor will be in default if a breach occurs under the terms of this Security Instrmnent or any other document executed for the purpose of creating, securing or guarantying the Secured Debt. A good faith belief by Lender that Lender at any time is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment or the value of the Property is impaired shall also constitute an event of default. 14. REMEDIES ON DEFAULT. In some instances, federal and state law will require Lender to provide Mortgagor with notice of the right to cure or other notices and may establish time schedules for foreclosure actions. Subject to these limitations, if any, Lender may accelerate the Secured Debt and foreclose tlris Security Instrument in a manner provided by law if Mortgagor is in default. At the option of Lender, all or any part of the agreed fees and charges, accrued interest and principal shall become immediately due and payable, after giving notice if required by law, upon the occurrence of a default or anytime thereafter. In addition, Lender shall be entitled to all the remedies provided by law, the terms of the Secured Debt, this Security instrument and any related documents, including without limitation, the power to sell the Property. All remedies are distinct, cmnulative and not exclusive, and the Lender is entitled to all remedies provided at law or equity, whether or not expressly set forth. The acceptance by Lender of any sum in payment or partial payment on the Secured Debt after the balance is due or is accelerated or after foreclosure proceedings are filed shall not constitute a waiver of Lender's right to require complete cure of any existing default. By not exercising any remedy on Mortgagor's default, Lender does not waive Lender's right to later consider the event a default if it continues or happens again. 15. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prolfibited by law, Mortgagor agrees to pay all of Lender's expenses if Mortgagor breaches any covenant in this Security Instrument. Mortgagor will also pay on demand any mnount incurred by Lender for insuring, inspecting, preserving or otherwise protecting the Property and Lender's security interest. These expenses will bear interest from the date of the payment until paid in full at the highest interest rate in effect as provided in the terms of the Secured Debt. Mortgagor agrees to pay all costs and expenses incurred by Lender in collecting, enforcing or protecting Lenders' rights and remedies under this Security Instrument. This EQI50C (06/2- ........... amount may include, but is not limited to, attorneys' fees, court costs, and other legal expensesl This amount does not include attorneys' :fees for a salaried employee of the Lender. Tltis Security Instrument shall remain in effect until released. Mortgagor agrees to pay for any recordation costs of such release. 16. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) Environmental Law means, without limitation, tile Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, 42 U.S.C. 9601 et seq.), and all other federal, state and local laws, regulations, ordinances, court orders, attoruey general opinions or interpretive letters concerning the pnblic health, sdety, welfare, environment or a hazardous substance; and (2) Hazardous Substance means any to,dc, radioactive or hazardous material, waste, pollutant or contaminant which has ch~acteristics which render the substance dangerous or potentially dangerous to tile public health, safety, welfare or environment. Tile term includes, without limitation, any substances defined as "hazardous material," "toxic substances," "hazardous waste" or "hazardous substance" under any Environmental Law. MOrtgagor represents, warrants and agrees that: A. Except as previously disclosed and acknowledged in writing to Lender, no Hazardous Substance is or will be located, stored or released on or in the Property. This restriction does not apply to small quantities of Hazardous Substances that are generally recognized to be appropriate for the normal use and maintenance of the Property. B. Except as previously disclosed and acknowledged m writing to Lender, Mortgagor and every tenant have been, are, and shall remain in full compliance with an), applicable Enviromnental Law. C. Mortgagor shall immediately notify Lender if a release or threatened release of a Hazardous Substance occurs on, under or about the Property or there is a violation of any Environmental Law concerning the Property. Iii such an event, Mortgagor shall take all necessar3' remedial action in accordance with any Environmental Law. D. Mortgagor shall immediately notify Lender in writing as soon as Mortgagor has reason to believe there is any pending or threatened investigation, claim, or proceeding relating to the release or threatened release of any Hazardous Substance Or the violation of any Environmental Law. 17, CONDEMNATION. Mortgagor will give Lender prompt notice of any pending or threatened action, 'by private or public entities to pnrchase or take any or all of the Property through condemnation, eminent domain, or any other means. Mortgagor authorizes Lender to intervene in Mortgagor' name in any of the above described actions or claims. Mortgagor assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the Property. Such proceeds shall be considered payments and will be applied as provided in this Security Instrument. This assigmnent of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreement or other lien document. 18. INSURANCE. Mortgagor shall keep Property insnred against loss by fire, flood, theft and oilier hazards and risks reasonably associated with the Property due to its type mid location. This insurance sball be maintained in the amounts and for the periods that Lender requires. The insurance carrier providing the insurance shall be chosen by Mortgagor subject to Lender's approval, wliich shall not be unreasonably withheld. If Mortgagor fails to maintain the coverage described above, Lender may, at Lender's option, obtain coverage to protect Lender's rights in the Property according to the terms of this Security Instrument. All insurance policies and renewals shall be acceptable to Lender and shall include a standard "mortgage clause" and, where applicable, "loss payee clanse." Mortgagor shall immediately notify Lender of cancellation or termination of the insurance. Lender shall have the right to hold the policies and renewals. If Lender requires, Mortgagor shall immediately give to Lender all receipts of paid premimns and renewal notices. Upon loss, Mortgagor shall give immediate notice to the insurance carrier and Lender. Lender may make proof of loss if not made immediately by Mortgagor. Unless otherwise agreed in writing, all insurance proceeds shall be applied to the restoration or repair of the Property or to the Secured Debt, whether or not then due, at Lender's option. Any application of proceeds to principal shall not extend or postpone the due date of the scheduled payment nor change the amount of any payment. Any excess will be paid to Mortgagor. If the Property is acquired by Lender, Mortgagor's right to an5, insurance policies and proceeds resulting from damage to the Property before the acquisition shall pass to Lender to the extent of the Secured Debt immediately before the acquisition. 19. ESCROW FOR TAXES AND INSURANCE. Unless otherwise provided in a separate agreement, Mortgagor will not be required to pay to Lender fnnds for taxes and insurance in escrow. 20. FINANCIAL REPORTS AND ADDITIONAL DOCUMENTS. Mortgagor will provide to Lender upon request, any financial statement or information Lender may deem reasonably necessary. Mortgagor agrees to sign, deliver, and file any additional documents or certifications that Lender may consider necessary to perfect, continue, and preserve Mortgagor's obligations under this Security Instrument and Lender's lien status on the Property. 21. JOINT AND INDIVIDUAL LIABILITY; CO-SIGNERS; SUCCESSORS AND ASSIGNS BOUND. All duties under Ilfis Security Instrument are joint and individual. If Mortgagor signs this Security Instrument but does not sign an evidence of debt, Mortgagor does so only to mortgage Mortgagor's interest in the Property to secure payment of the Secured Debt and Mortgagor does not agree to be personally liable on the Secured Debt. If this Security Instrument secures a guaranty between Lender and Mortgagor, Mortgagor agrees to waive any. rights that may prevent Lender from bringing any action or clai~n against Mortgagor or any party indebted under the obligation. These rights may include, but are not limited to, any anti-deficiency or one-action laws. Mortgagor agrees that Lender and any party to this Security Instrument may extend, modify or make any change in the terms of this Security Instrument or any evidence of debt without Mortgagor's consent. Such a change will not release EQISOD (06/ :~![~i Mortgagor from the terms of this Security Instrument. the successors and assigns of Mortgagor and Lender. 22. 368 The duties and benefits of this Security Instrument shall bind and benefit APPLICABLE LAW; SEVERABILITY; INTERPRETATION. This Security Instrument is governed by the laws of the jurisdiction in which the Properly is located, except to the extent otherwise required by the laws of the jurisdiction where the Property is located. This Security Instrmnent is complete and full), integrated. Tiffs Security Instrument may not be amended of modified by ora! agreement. Any section in this Security Instrument, attachments, or any agreement related to the Secured Debt that cmrflicts with applicable law will not be effective, unless that law expressly or impliedly permits the variations by written agreement. If any section of this Security Instrument catmot be e~fforced according to its terms, that section will be severed and will not 'affect the enforceability of the remainder of this Security Instrument. Whenever used, the singular shall include the plural and the plural the singular: The captions and headings of the sections of this Security Instrument are for convenience only and are not to be used to interpret or define the terms of this Security Instrument. Time is of the essence in tlffs Security InstrUment. In the event any Section of this Security Instrument directly conflicts with any section of a certain Home Equity Closing Handbook which contains the Account Agreement Terms and Conditions (as applicable), Fixed Rate Note Terms and Conditions (as applicable), the Arbitration Agreeinent, and the Agreement to Provide Flood/Property insurance, all of which I agree to by signing this Security Instrument, the terms of the Home Equity Closing Handbook shall control. 23, NOTICE. U~fless otherwise required by law, any notice shall be given by delivering it or by mailing it by first class mail to the appropriate party's address on page 1 of this Security Instrument, or as shown in Lender's records, or to any other address designated in writing. 24. WAIVERS. Except to the extent proltibited by law, Mortgagor waives any right regarding tim marshalling of liens and assets, and hereby releasing and waiving all rights under and by virtue of the homestead exemption laws of this state. 25. OTHER TERMS. If checked, the following are applicable to this Security Instrument: Fx-I Line of Credit. The Secured Debt includes a revoMng line of credit provision. Although the Secured Debt ma), be reduced to a zero balance, this Security Instrmnent will remain in effect until released. ~-7X3 Construction Loan. This Security Instrument secures an obligation incun'ed for the construction of an improvement on the Property. ~ Fixture Filing. Mortgagor grants to Lender a security interest in all goods that Mortgagor owns now or in the future and that are or will become fixtures relates to fl~e Proper .ry. Tiffs Security Instrument suffices as a financing statement and any carbon, photograplfic or other reproduction may be filed of record for purposes of Article 9 of the Uniform Commercial Code. [h'7~ Additional Terms. 26. RIDERS. If checked, the following are applicable to this Security Instrument. The covenants and agreements of each of the riders checked below are incorporated into ,'md supplement and amend the terms of this Security Instrument. ~ Third Party Rider ~ Leasehold Rider ~ Other SIGNATURES: By signing below, Mortgagor agrees to the terms and covenants contained in tlfis Security Instrument and in any attachments. Mortgagor also acknowledges receipt of a copy of this Security Instrument on the date stated on page 1. KATHLEE AULTON " Mortgagor Mortgagor / D4/ Mortgagor. Date Mortgagor Date. Mortgagor Date Mortgagor Date 369 ACIG~OWLEDGMENT: (Individual) //~ STATE OF (4 O Pl0 t' IAO COUNTY OF The foregoing instrument was acknowledged before me by this cC 4' day of'~o {~ Witness ~ny hand and official seal. ~igjlature of Officer) (Title of Officer) My Commission (Seal) ACKNOWLEDGMENT: (Individual) , COUNTy OF ~. ,'~4 E~/~,- The foregoin~g instrument was acknowledged before me by this ~/-/ day of -'~-& [~ Wimess my hand and official seal.' (Signature of Officer) My Commission Expires: (Seal) EQ150F (06/;