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HomeMy WebLinkAbout875254 RECORDATION REQUESTED BY: FIRST NATIONAL BANK;-WEST-AFTON BRANCH P.O. Box 182o .., ..,-_ IV'ED 314 WASHINGTON STREET AFTON, WY 83110 Lh, 3I CLERK WHEN RECORDED MAIL TO: 8 FIRST NATIONAL BANK-WEST-AFTON BRANCH P.O. Box J 314 WASHINGTON STREET AFTON, WY 83110 - SEND TAX NOTICES TO: DURK R. LOW a.d CARLA S. LOWE 6 1 0 3971 HIGHWAY 241 AFTON, WY 83110 SPACE ABOVE THIS LINE IS FOR RECORDER'S USE ONLY CONSTRUCTION MORTGAGE THIS MORTGAGE IS DATED AUGUST 10, 2001, between DURK R. LOWE and CARLA S. LOWE, husband and wife, as tenants by the entireties, whose address is 3971 HIGHWAY-241, AFTON, WY 83110 (referred to below as "Grantor"); and FIRST NATIONAL BANK-WEST-AFTON BRANCH, whose address is P.O. BOX 1620, 314 WASHINGTON STREET, AFTON, WY 83110 (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 t0 the following described real property, together with all existing or subsequently erected or affixed buildings, Improvemenls and fixtures; all 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 property, Including without limitation all minerals, oil, gas, geothermal and similar matters, located in LINCOLN County, State of Wyoming ithe "Real Property"): A Part of the SE1/4NE1/4 of Section 12, T31N, R119W, 6th P.M., Lincoln County, Wyoming, described as follows: Beginning at the Northeast Corner of the said SEI/4NEI/4 and running thence West 505 feet; thence South 193 feet; thence East 505 feet; thence North 193 feet, more or less to the point of beginning. The Real Property or its address is commonly known as 3971 HIGHWAY 241, AFTON, WY 83110. The Real Property tax Identification number Is 31 ~ 91210053900. Grantor presently assigns to Lender all of Grantor's right, title, and Interest in and to all leases of the Properly and all Rents from the Property. In addilion, Grantor granls to Lender a Uniform Commercial Code security interest In the Personal Property and Rants. DEFINITIONS. The following words shall have the following meanings when used in this Mortgage. Terms not otherwise defined In this Mortgage shall have the meanings attributed to such terms in the Uniform Commercial Code. All references to dollar amounts shall mean amounts in lawful money of the United States of America. Granlor. The word "Grantor" means DURK R. LOWE and CARLA S. LOWE. The Grantor is the mortgagor under this Mortgage. Guarantor, The word "Guarantor" means and includes without limitation each and all of the guarantors, sureties, and'accommodation parties in connection with the Indebtedness. Improvements. The word "improvements" means and includes without limitation all existing and future improvements, buildings, structures, mobile homes affixed on the Real Property, facilities, additions, replacements and other construction on the Real Property. Indebtedness. The word "indebtedness" means all principal and Interest payable under Ihe Note and any amounls expended or advanced by Lender Io discharge obligations of Grantor or expenses incurred by Lender to enforce '0bligalidns of Grantor under Ihis Mortgage, together with Interest on such amounls as provided in this Mortgage. ' Lender. The word "Lender" means FIRST NATIONAL BANK-WEST-AFTON BRANCR, Its successors and assigns. 'The Lender Is the mortgagee under this Mortgage. InterestM°rlgage'provisionsThe wordrelating"Mortgage"to Ihe Personalmeans thiSproperlyMOrlgageand Rents.between Grantor and Lender, and Includes without limitation all assignments and security Nolo. The word "Note" means the promissory note or credit agreement dated August 10, 2001, in the original principal amount of $93,900.00 from Grantor Io Lender, together with all renewals of, extensions of, modifications of, reflnancings of, consolidations of, and substitutions for the promisso?y note or agreement. Personal Properly. The words "Personal Property" mean all equipment, fixtures, and other articles of personal property now or hereafter owned by Grantor, and now or hereafter attached or affixed to the Real Property; 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 or 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 property, Interests and rights described above in the "Grant of Mortgage" section. Related Documents. The words. "Related Documents" mean and Include without limitation all promissory holes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, and all other Instrumenls, agreements and documents, whether now or hereafter existing, executed In connection with the Indebtedness. Rents. The word "Rents" means all present and future rents, revenues, income, Issues, royalties, profits, and other benefits derived from the Property. THIS MORTGAGE, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURITY INTEREST IN THE RENTS AND PERSONAL PROPERTY, IS GIVEN TO SECURE (1) PAYMENT OF THE INDEBTEDNESS AND (2) PERFORMANCE OF ALL OBLIGATIONS OF GRANTOR UNDER THIS MORTGAGE AND THE RELATED DOCUMENTS. THIS MORTGAGE IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS: PAYMENT AND PERFORMANCE. Except as otherwise provided in this Mortgage, Grantor shall pay lo Lender all amounts secured by this Mortgage as they become due, and shall strictly perform all of Grantor's obligations under this Mortgage. POSSESSION AND MAINTENANCE OF THE PROPERTY. Grantor agrees that Grantor's possession and use of the Property shall be governed by the following provisions: Possession and Use. Until jn default, Grantor may remain Jn possession and control of and operate and manage the Property and collect the Rents from the Property. ' Duly to Maintain. Grantor shall maintain the Properly in tenanlable condition and promptly perform all repairs, replacemenls, and maintenance necessary to preserve its value. Hazardous Subslances. The terms "hazardous waste," "hazardous substance," "disposal," "release," and "threatened release," as used In this Mortgage, shall have the same meanings as set forlh In lhe Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et seq. ("CERCLA"), lhe Superfund Amendments and Reauthorlzatlon Act of 1986, Pub. L. No. 99-499 ("SARA"), the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et seq., the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et seq., or other applicable state or Federal laws, rules, or regulations adopted pursuant 1o any of the foregoing. The terms "hazardous waste" and "hazardous substance" shall also Include, without limitation, petroleum and petroleum by-producls or any fraction lhereof and asbestos. Grantor represents and warrants to Lender that: (a) During the period of Grantor's ownership of the P~operty, Ihere has been no use, generation, manufacture, storage, treatment, disposal, release or threatened release of any hazardous waste or substance by any person on, under, about.or from lhe Property; (b) Grantor has no knowledge of, or reason to believe that there has bean, except as previously disclosed Io 08-1'0-2001 Loan No 64002438 O~G~-~G"~ MORTGAGE Page 2 (Continued) and acknowledged by Lender in writing, (i) any use, generation, manufacture, storage, treatment, disposal, release, or threatened release of any hazardous wasle or substance on, under, about or from Ihe Property by any prior owners or occupants of the Property or (ii) any actual or threatened litigation or claims of any kind by any person relating to such melters; and ~c) Except as previously disclosed to and acknowledged by Lender In writing, (i) 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 waste or substance on, under, about or from the Property and (il) any such activity shall be conducted In compliance with all applicable federal, state, and local laws, regulations and ordinances, Including without limitation those laws, regulations, and ordinances described above. Grantor authorizes Lender and its agents to enter upon the Property to make such Inspections and tests, at Grantor's expense, as Lender may deem appropriate to determine compliance of the Property with this section of the Mortgage. Any Inspecllons or tests made by Lender shall be for Lender's purposes only and shall not be conslrued to create any responsibility or liability on the part of Lender to Grantor or to any olher person. The representations and warranties contained herein are based on Granlor's due diligence In investigating the Properly for hazardous waste and hazardous substances. Grantor hereby (a) releases and waives any future claims against Lender for indemnity or contribution in lhe event Grantor becomes tiable for cleanup or other costs under any such laws, and (b) agrees 1o indemnify and hold harmless Lender against any and alt claims, losses, liabilities, damages, penalties, and expenses which Lender may directly or Indlreolly suslaln or suffer resulting from a breach of lhls section of lhe Mortgage or as a consequence of any use, generallon, manufaclure, storage, disposal, release or threatened release of a hazardous waste or subslance on lhe propedies. The provlslons 'of this section of the Modgage, including the obligation to indemnify, shall survive the payment of the Indebtedness and the sallsfacllon and reconveyance of the lien of this Mortgage and shall not be affected by Lender's acquisition of any Inlerest in the Property, whether by foreclosure or otherwise. Nuisance, Waste. Grantor shall not cause, conduct or permit any nuisance nor commit, permit, or suffer any stripping of or waste on or to the Property or any portion of lhe Property. Without limiting the generality of the foregoing, Grantor will not remove, or grant to any other party the right to remove, any timber, minerals (Including oil and gas), soil, gravel or rock products without the prior written consent cf Lender. Removal of Improvements. Grantor shall not demolish or remove any Improvements from the Real Properly without lhe prior written consent of Lender. As a condition to the removal of any Improvements, Lender may require Granlor to make arrar~gements satisfactory to Lender to replace such Improvements with Improvements of at least equal value. Lender's Right lo Enler. Lender and its agents and representatives may enter upon the Real Properly at all reasonable times Io attend to Lender's interests and to Inspect Ihe Property for purposes of Grantor's compliance with the terms and conditions of this Morlgage. Compliance with Governmental Requirements. Grantor shall promptly comply with ali laws, ordinances, and regulations, now or hereafter In effect, of ali governmental authorities applicable fo the use or occupancy of the Properly. Grantor may contest in good faith any such law, ordinance, or regulation and withhold compliance during any proceeding, including appropriate appeals, so long as Grantor has notified Lender in writing prior to doing so and so long as, Jn Lender's sole opinion, Lender's Interests in the Property are nol jeopardized. Lender may require Grantor to post adequale security or a surely bond, reasonably satisfactory to Lender, to protect Lender's Interest. Duty to Prolecl. Grantor agrees neither to abandon ncr leave unattended lhe Properly. Grantor shall do all other acts, In addition to those acts set forth above in this secllon, which from the character and use cf the Properly are reasonably necessary to protect and preserve the Properly. CONSTRUCTION LOAN. If some or all of the proceeds of the loan creating the Indebtedness are lo be used to construct or complele construction of any Improvements on the Property, the Improvements shall be compleled no later lhan 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 connection with Ihe work. Lender, at Its oplion, may disburse loan proceeds under such terms and conditions as Lender may deem necessary to insure that the interest created by this Mortgage shell have priority over all possible liens, including those of material suppliers and workmen. Lender may require, among other things, that disbursement requests be supported by receipted bills, expense affidavils, waivers of liens, construction progress reports, and such other documentation as Lender may reasonably request. DUE ON SALE - CONSENT BY LENDER. Lender may, at its option, declare immediately due and payable all sums secured by this Mortgage upon the sale or transfer, without the Lender's prior written cohsent, of all or.any part of the Real Property, or any interest in the Real Property. A "sale or transfer" means the.conveyan(~e of Real Property or any right, title or interest therein; whether legal, beneficial or equitable; whether voluntary or Involuntary; whether by outright sale, deed, installment sale conlract, land contract, contract for deed, leasehold Interest with a term greater than three (3) years, lease-option contract, or by sale, assignment, or transfer of any beneficial interest in or to any land trust holding title to the Real Property, or by any other method of conveyance of Real Property interest. If any Grantor is a corporation, partnership or limited liability company, transfer also includes any change in ownership of more than twenty-five percent (25%) of the voting stock, partnership inlerests er limited liability company interests, as the case may be, of Grantor. However, this option shall not be exercised by Lender tf such exercise Is prohiblled by federal law or by Wyoming law. TAXES AND LIENS. The following provisions relaling to the taxes and liens on the Property are a part of this Mortgage. Payment. Grantor shall pay When due (and In aJJ evenls prior to delinquency) all taxes, payroll taxes, special taxes, assessments, water charges and sewer service charges levied against or on' account of the Properly, and shall pay when due all claims for work done on or for services rendered or malarial furnished te the Properly. Grantor shall maintain the Property free of all liens having priority over or equal to the Interest of Lender under this Mortgage, except for the lien of luxes and assessments not due, and except as otherwise pJ'ovided in the following paragraph. Righl To Conlest. Grantor may withhold payment of any tax, assessment, or claim in' connection with a good fallh dispute over the obligation to so long as Lender's interesl in the Property is not Jeopardized. If a lien arises or Is filed as a result ~f nonpayment, Grantor shall within fifteen ~lasY)' days after the lien arises or, If a lien Is flied, within fifteen (15)days after Grantor has notice of the filing, secure th,, discharge of the lien, or If requested by Lender, deposit with Landor'cash or a sufficient corporate surety bond or other security satisfactory Io Lender In an amounl 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 enforcemenl against lhe Properly. Grantor shall name Lender as an additional obllgee 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 assessmenls and shall authorize the approprtale governmental official to deliver to Lender at any time a written slatement of the taxes and assessments against Ihe Property. Nollce of Construction. Grantor shall notify Lender at least fifteen (15) days before any work is commen~ed, any services are furnished, or any materials are supplied fo the Property, if any mechanic's lien, malerlalmen's llen, or other lien could be asserted on account of Ihe work, services, or materials. Grantor will upon request of Lender furnish to Lander advance assurances satisfactory to Lender that Grantor can and will pay the cost of such Improvements. PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Properly are a part of this Mortgage. Maintenance of Insurance. Granlor shall procure and maintain policies of fire Insurance with standard extended coverage endorsements on a replacemenl basis for the full Insurable value covering all Improvements on the Real Property in an amount sufficient to avoid appllcalion of any coinsurance clause, and with a standard mortgagee clause in favor of Lender. Policies shall be wrilten by such Insurance companies and In such form as may be reasonably acceptable to Lender. Grantor shall deliver to Lender certificates of coverage from each Insurer containing a stipulation that coverage will not be cancelled or diminished without a minimum of ten (10) days' prior written notice to Lender and not containing 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 Granlor or any other person. Should the Real Property at any time become 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 for the full~ unpaid principal balance of the loan, up to the maximum policy limits set under the National Flood insurance Program, or as otherwise required by Lender, and ~o maintain such Insurance for the term of the loan. Appllcallon of Proceeds. Grantor shall promptly notify Lender of any loss or damage to the Properly. Lender may make proof of loss if Grantor falls to do so within fifteen (15) days of the casually. Whether or not Lender's security is impaired, Lender may, at its election, apply the proceeds to lhe reduction of fha Indebtedness, payment of any lien affecting the Property, or the restoration and repair of lhe Property. If Lender elects lo apply the proceeds to resloratlbn 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 Granlor from the proceeds for the reasonable cost of repair or restoration if Grantor is not In default under this Modgage. Any proceeds which have not been disbursed within 180 days after their receipt and which Lender has not committed fo the repair or restoration of the Property shall be used first lo 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. Unexpired Insurance at Sale. Any unexpired insurance shall inure lo the benefit of, and pass to, the purchaser of the Property covered by this Mortgage at any trustee's sale or other sale held under the provisions of this Modgage, or at any foreclosure sale of such Properly. EXPENDITURES BY LENDER. If Grantor'falls to comply with any provision of this Mortgage, or if any action or proceeding is commenced that would materially affect Lender's interests In the Property, Lender on Grantor's behalf may, but shall not be required to, lake any action that Lender deems appropriate. Any amount that Lender expends in so doing will bear Interest at the rate provided for In the Note from lhe date incurred or paid by Lender to the date of repayment by Grantor. All such expenses, at Lender's option, will (a) be payable on demand, (b) be added to the balance of the Note and be. ap..podioned among and be payable with any Installment payments to become due during either (I) the term of env anollcable Insurance - ' ' ' '"~">r-- (Continued) 6 ]. ') Page 3 Loan N6i64002438 O~;J ',~'~C~'1..' policy or (11) the remaining term of the Note, or (c) be treated as e balloon payment Which will be due and payable at the Nora's'maturity. This Mortgage also will secure payment of these'amounts. The rights provlded for In this paragraph shall be In addition to any other rights or any remedies Io which Lender may be enlifled on accounl of the defaulL Any such action by Lender shall not be construed as curing It~e 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 the Property are a part of this Mortgage.. . Title. Granlor warrants that: (a) Grantor holds good and marketable title of record to Ihs Property In fee simple, free and clear of all liens and encumbrances other than .those set forth In the Real Property description or in any lille Insurance policy, title report, or final lille oplrilon issued in favor of, 'and accepted by, Lender in connection with this Mortgage, and (bi Grantor has the full right, power, and authority to execute and deliver lhls Mortgage to Lender. Defense of Tills. Subject Io the exception In the paragraph above, Grantor warrants and will forever defend the lille to the Property against Ihs lawful claims of all persons, in the event any action or proceeding is commenced tha~ questions Grantor's title or the {nlerest of Lender under Ibis Mortgage, Grantor shall defend the action al Grantor's expense. Grantor may be the nominal party'ln 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 wlJJ deliver, or cause to be delivered, to Lender such Instrumenls as Lender may request from lime to time to permit such participation. Compliance Wllh Laws. Grantor warrants that the Properly and Granlor's use of the Properly complies with all exJslJng applicable laws, ordinances, and regulalions of governmental authorities, CONDEMNATION. The following pEovlslons relating t0 condemnation of the Property are a part of Ihts Mortgage. Application of Net Proceeds, if Uti or any part of the Property is condemned by eminent domain proceedings or by any proceeding or purchase in lieu ot condemnation, Lender may at Its election require that all or any portion of the net proceeds of the award be applied to the Indebledness or the repair or restoration cf Ihs Property. The net proceeds of the award shall mean the award after payment of all reasonable costs, expenses., and attorneys' fees Incurred by Lender In connecllon with the condemnation. Proceedings. If any proceeding in condemnaUon Is flied, Grantor shall promptly notify Lender in writing, and Grantor shall promptly lake such steps as may be necessary to defend the action and obtain Ihs award. Grantor may ba Ihs nominal party in such proceeding, bul 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 be delivered to Lender such Instruments as may be requested by it from time to time to permit such participation. IMPOSITION OF TAXES, FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to governmental taxes, fees and charges are a part of lhis Mortgage: Current Taxes, Fees and Ch'argos. Upon request by Lender, Grantor' shall execute such docu'ments In addition to Ihls Morlgage and lake whatever giber action Is requested by Lender 10 perfect and continue Lender's lien on Ihs Real Properly. Grantor shall rel'mburse Lender for all taxes, as described below, together with all expenses incurred In recording, perfecting or continuing this Mortgage, including without IImllallon all taxes, fees, documentary stamps, and other charges for recording or registering this Mortgage. Taxes. The following shall constitute taxes to which thls section applies: (a) a specific tax upon this type of Mortgage or upon all or any part of Ihs Indebledness secured by this Mortgage; (bi a specific lax on Grantor which Grantor is aulhorlzed or required to daducl from payments on the indebtedness secured by this type of Morlgage; (c) a lax on Ibis type of Mortgage chargeable against the Lender or the holds[ of the Note; and (d) a specific tax on all or any p~rtlon of the indebtedness or on payments of principal and Interest made by Grantor. 'Subsequent Taxes. If any tax t0 which this section applies Is enacted subsequent to the date of this Mortgage, this event shall have Ihs same effect as an Event of Default (as defined below)', .~nd Lender may exercise any or all of Its available remedies for an Event of Default as provided below unless Grantor either (a) pays the tax'before il becomes delinquent, or (b) contests the tax as provided above in the Taxes and Liens section and deposits with Lender cash or a sufficient corporals surety bond or other security salisfactory lo Lender. SECURITY AGREEMENT; FINANCING STATEMENTS. The following provisions relating to this Mortgage as a security agreement are a part of this Morlgage. Security Agreement. This Instrument shall constltule a security agreement In the extent any of the Property constilutes fixtures or other personal properly, and Lender shall have all of the rights cf a secured party under the Uniform Commercial Code as amended from time Io time. Secudly Interest. Upon requesl by Lender, Grantor shall execute financing stalemenls and take whalever olher action Is requesled by Lender perfect and continue Lender's security Interest in the Rents and Personal Property. In addition to recording this Mortgage In the real property records, Lender may, at any lime and without fudher authorlzatlon from Grantor, file execuled counlerparts, copies or reproductions of Ihls Mortgage as a financing statement. Grantor shall reimburse Lender for all expenses incurred in perfecting or conlinulng Ihls security InleresL Upon default, Grantor shall assemble the Personal Property [na manner and at a place reasonably convenieht to Grantor and Lender and make available to Lender wlth!n three (3) days after receipt of written demand from Lender. ;' Addresses. The mailing addresses of Grantor (deblor) and Lender (secured party), from which Information concerning the security Inleresl granted by this Mortgage may be obtained (each as required by the Uniform Com~er~l~J Code), are as stated on tile first page of lhls Mortgage. FURTHER ASSURANCES; ATTORNEY-IN-FACT. The following provisions relating to iurther assurances and attorney-In-fact are a purl of this Mortgage. . Further Assurances. At any lime, and from time to llma, upon request of Lender, Grantor wlii make, execute and deliver, or will cause to be made, execuled or delivered, to Lender or Io Lender's designee, and when requested by Lender, cause to be filed, recorded, raffled, or rerecordad, as the case may be, al such times and in such offices and places as Lander may deem appropriate, any and ail such mortgages, deeds of lrust, security deeds, security agreements, financing statements, continuation statements, instruments of furlher assurance, certificates, and other documents as may, in the sole opinion of Lender, be necessary or desirable in order to effectuate, complete, perfect, continue, or preserve (a) the obligations qf Grantor under the Note, this Morlgage, and the Related Documents, end (bi 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 agreed to the contrary by Lender in writing, Grantor shall reimburse Lender for all costs and expenses incurred in connection with Ihs melters referred to in this paragraph, ' Allorney-ln-FacL If Grantor fails to do any o1: the things referred to in the preceding paragraph, Lender may do So for end In the name of Grantor and at Grantor's expense. For such purposes, Grantor hereby irrevocably appoints Lender as-Granlor's attorney-In-fact for the purpose of making, executing, delivering, filing, recording, and doing ali other lhings as may be necessary or desirable, in Lender's scle opinion, to accomplish the matters referred lo [n the preceding paragraph. FULL PERFORMANCE. It Grantor pays all Ihs Indebtedness when due, and otherwise performs ail the obligations imposed upon Granlor u'nder this Mortgage, Lender shall execule and deliver 1o Grantor a suitable satisfaction of this Mortgage and suitable statements of Ira;ruination of any financing statemenl on file evidencing Lender's security inleres! In the Ranis and the Personal Properly. Grantor will pay, Jf permllted by applicable law, any reasonable termination fee as determined by Lender from time to time. DEFAULT. Each of the following, at the option of Lender, shall constitute an evenl of default ("Event of Default") under this Mortgage: Default on Indebtedness. Failure of Grantor to make any payment when due on the Indebtedness. Default on Other Payments. Failure ct Grantor within the time required by this Mortgage to make any paymenl for loxes or Insurance or any other paymenl necessary to prevent fittng of or to effect discharge of any lien. Compltance Default. Failure of Grantor to comply with any other term, obligation, covenant or condillon contained In this Mortgage, the Note or In any of the Related Documents. False Stalements. Any warranty, represenlatJcn or slatement made or furnished to Lender by or on behalf of Grantor under this Mortgage, the Note or Ihs Related Documents is false or misleading in any material respect, eilhar now or at the tlme made or furnished. Defective Collaterallzalion. This Morlgage or any of Ihs Related Documenls ceases to be In full force and effect (including failure of any collateral documents to create a valid and perfected security interest or lien) at any time and for any reason. Death or Insolvency, The death of Grantor, Ihs Insolvency of Grantor, the appointment ofa receiver for any pad of Grantor's' property, any asslgnmenl for the benefit of creditors, any type Of credJlor workout, or the commencemenl cf any proceeding under any bankruptcy or Insolvency laws by or against Grantor. ForecloelJre, Forfelture~ etc. Commencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self-help, repossession or any other method, by any credJlor of Grantor or by any governmental agency against any of ihs Property. However, this subsection shall not apply In Ihs event of a good faith dispute by Grantor as 1o the validity or reasonableness of the claim which Is the basis of the foreclosure or forefelture proceeding, provided that Grantor gives Lender written notice of such claim and iurnlshes reserves or a surety bond for the claim satlsfaclory to Lender. ' - Breach of Olher Agreement. Any breach by Granlor under lhe terms ot any other agreement between Grantor and Lender thai is [lot remedied , MORTGAGE ." Loan No 64002438 ~ ~"~/'~: (Continued) ~o ]. ,5 Page 4 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. Evenls Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the indebtedness or any Guarantor dies or becomes incompetent, or revokes or disputes the validity of, or liability under, any Guaranty of the indebtedness. Lender, at its option, may, but shall not be required to, permit the Guarantor's estate lo assume unconditionally the obligations arising under the guaranty In a manner satisfactory to Lender, and, in doing so, cure the Event of Default. ineecurily. Lender In good faith deems itself insecure. Rlghl to Cure. If such a failure is curable and if Grantor has not been given a notice of a breach of the same provision of this Mortgage within the preceding Iwelve (12) months, it may be cured (and no Event of Default will have occurred) if Grantor, after Lender sends written notice demanding cure of such failure: ia) cures the failure within fifteen (15) days; or (bi if the cure requires more than fifteen (15) days, Immediately initiates slaps sufficient to cure the failure and thereafter continues and completes all reasonable and 'necessary steps sufficient to produce compliance as soon as reasonably practical. RIGHTS AND REMEDIES ON DEFAULT. Upon the occurrence of any Event of Default and at a~y time thereafter but subJecl to any limitation In the Note or any limitation in this Mortgage, Lender, at its option, may exercise any one or more of the following rights and remedies, in addition Io any other rights or remedies provided by law: Accelerate Indebtedness. Lender shall have the right at its option without notice to Grantor to declare the entire Indebtedness immediately due and payable, including any prepayment penalty Which Grantor would be required to pay. UCC Remedies. With respect to all or any part of the. Personal Property, Lender shall have ali the rights and remedies of a secured party under the Uniform Commercial Code. Collect Rents. Lender shall 'have the right, without notice to Grantor, 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 this ~rlght, 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 Granlor'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 shall satisfy the obligations for which the payments are made, whelher or not any proper grounds for the demand existed. Lender may exercise its rights under this subparagraph elther in person, by agent, or through a receiver. Appoint Receiver. Landor'shall have the right to have a receiver appointed to take possession of all.or any part of the Property, wilh the power to pro!ecl 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 serve without bond If permitted by law. Lender's right to the appointment of a receiver shall exist whether or not the apparent value of the Property exceeds lhe Indebledness by a substantial amount. Employment by Lender shall no/disqualify a person from serving as a receiver. Judicial Foreclosure. Lender may obtain a Judicial decree foreclosing Grantor's interest in all or any pad of the Property. Nonjudicial Sale. Lender may foreclose Grantor's interest in all or in any part of the Properly by nonjudicial 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 to Lender after application of all amounts.received from the exercise of the righls provided in this section. Tenancy at Sufferance. ff Grantor remains in possession of the Propedy after the Property is sold as provided above or Lender otherwise becomes shrilled to possession of the Property uhon default of Grantor, Grantor shall become a tenant at sufferance of Lender or the purchaser of the Properly and shall, at Lender's option, eilher ia) pay a reasonable rental for the use of Ihe Property, or (bi vacate the Property Immediately upon the demand of Lender. Other Remedies. Lender shall have all olher 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, Grantor hereby waives any and all right to have the property marshalled, in exercising its rlghls and remedies, Lender shall be free to sell ail 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 all or any podion Of the Properly. 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 Properly is to be'made. Reasonable notice shall mean notice given at least ten (10) days before lhe time of the sale or disposition. , Waiver; Election of Remedies. A waiver by any parly of a breach of a provision of this Morlgage shall not constitute a waiver of or prejudice the party's rights otherwise to demand strict compliance with that provision or any other provision. Election by Lender to pursue any remedy shall not exclude pursuit of any other remedy and an election to make expenditures or take action to perform an obligation of Grantor under this Modgage after failure of Grantor to perform shall not affect Lender's right to declare a default and exercise ils remedies under Ihls Morlgage. Altorneys' 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 reasonable as reasonable attorneys' fees at trial and on any appeal. Whether or not any court action Is Involved, ali reasonable expenses incurred by Lender that fn Lender's opinion are necessary et any time for the protection of its Interest or the enforcement of Its rights shall become a part of the Indebtedness payable on demand and shall bear Inlerest from the date of expendilure until repaid at the rate provided for in the Note. Expenses covered by this paragraph include, without limitation, however subject to any limits under applicable law, Lender's reasonable attorneys' fees and Lender's legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees for bankruptcy proceedings (including effods to modify or vacate any automatic stay or Injunction), appeals and any antlcipaled post-Judgment collection services, the cost of searching' records, obtaining title repods (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 TO GRANTOR AND OTHER PARTIES. Any notice under this Mortgage, including without limitation any notice of default and any notice of sale to Grantor, shall be in writing, may be sent by telefacsimile (unless otherwise required by law), and shall be effective when actually delivered, or when deposited wilh a nationally recognized overnight courier, or, If mailed, shall be deemed effective when deposited in the United States mall first class, certified or registered mail, postage prepaid, directed to the addresses shown near the beginning of'this Mortgage. Any party may change its address for notices under this Mortgage by giving fo"mai written notice to the other parties, specifying that the purpose of the notice is to change the party's address.. 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. For notice purposes, Grantor agrees to keep Lender informed at all times of Grantcr's current address. MISCELLANEOUS PROVISIONS. The foliowlng miscellaneous provisions are a part of this Mortgage: Amendments. This Morlgage. together with any Relaled Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Mortgage. No alteration of or amendment to this Mortgage shall be effective unless given in writing and signed by the party or pa'r~fies sought to be charged or bound by the alteration or amendment. Applicable Law. This Morlgage has been delivered to Lender and accepted by Lender In the State of Wyoming. This Mortgage shall be governed b~f and construed In accordance with the laws of Ihe State of Wyoming. Caption Headings. Caption headings In this Mortgage are for convenience purposes only and are 'not'lo be used to Interpret or define the provisions of this Mortgage. Merger. There shall be no merger of the interest or estate created ~y this Mortgage with any other inlerest or estate in the Property at any time held by or for the benefit of Lender In any capacity, wllhout the written consent of Lender. Multiple Parties. All obligations of Grantor under this Mortgage shall be joint and several, and ail references to Grenlor shall mean each and every Grantor. This means that each of the pers~:~ns signing below is responsible for all obligations in this Mortgage. Severabillly. If a court of competent jurisdiction finds any provision of this Mortgage to be Invalid or unenforceable as lo any person or circumstance, such finding shall not render thai provision invalid or unenforceable as to.any other persons or circumstances. If feasible, any such offending provision shall be deemed to be modified to be within the limits of enforceablJlly or vafidily; however, If the offending provision cannol be so modified, it shall be stricken and all other provisions of this Mortgage in all other respects shall remain valid and enforceable. ' Successors and ASsigns. Subject to the IlmitaLons stated In this Mortgage on transfer Of Grantor's interest, this Mortgage shall be binding upon and inure to the benefit of the parties, their successors and assigns. Il ownership of the Properly becomes vested in a person other Ihan Grantor, Lender, wllhou~ notice to Grantor, may deal with Grantor's s~;,.:;;~:~:ors with reference to this Mortgage and the Indebtedness.by way of Loan No 64002438 (Continued) 6 .[ ~, Page 5 forbearance or extension without releas ng Grantor from the obligations of this Mortgage or liability under the Indebtedness. Time Is of lhe Essence. Time Is of the essence In the performance of lhis M(3rtgage. Waiver of Homestead Exemption. Grantor hereby releases and waives all rights and benefits of the homestead exemption laws of the State of Wyoming as to all Indebtedness secured by this Mortgage. Waivers and Consents. Lender shall not be deemed to have waived any rights under this Mortgage *(or under the Related Documents) unless such waiver Is in writing and signed by Lender, No delay or omission on the part of Lender In exercising any right shall operate as a waiver of such right or any other right. A waiver by any party of a provision of this Mortgage shall not constitute a waiver of or prejudice the party's right otherwise to demand strict compJiance wlth that provIslon or any other provision. No prior waiver by Lender, nor any course of dealing between Lender and Grantor, shall constitute a waiver of any of Lender's rights or any of Gra.ntcr's obllgallons as to any future transactions. Whenever consent by Lender Is required in this Mortgage, the granting of such consent by Lender in any instance shall not constitute continuing consent subsequent instances where such consent is required. EACH GRANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS MORTGAGE, AND EACH GRANTOR AGREES TO ITS TERMS. GRANTOR: . CARLAS. LOWE ' - INDIVIDUAL ACKNOWLEDGMENT STATE OF ) COUNTY O~ j ) County of t~j~t,~ State of On this day before me, the undersigned Notary Public, personally appeared DURK R. LOWE and cARLA S. LOWE, to.me known to be the Individuals described In and who executed the.Mortgage, and acknowledged that they signed Ihe Morlgage as their free and voluntary act and deed, for the uses and purposes therein mentioned. GIv~rl~ my hand and official sea~ th~s ?E) day of /~Z/~,,~/,.=~" ,2o ~/' . B~~ ~~ ' . Residing ;~~~/~. ~~ LASER PRO, Reg. U,S. P~I. & T.M. Off., Vet, 3,27 (c) 2 CFi ProServlces, Inc. All rights reserved. [WY-G03 F3,28b P3.26b CLOWE,LN]