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HomeMy WebLinkAbout900039 RECEIVED LINOOL. N COUNTY CLERK hOOK State of Wyomin§ Space Above This Line For Recording Data REAL ESTATE MORTGAGE (With Future Advance Clause) DATE AND PARTIES. The date of this Mortgage is 06.09-2004 are as follows: and the parties and their addresses MORTGAGOR: STEVEN CHICRINS~.Y AND CAROLYN CHICHINSKY. HUSBAND AND WIFE, AS TEN~iNTS BY THE ENTIRETIES P.O. BOX 9827 JACKSON, WY 89091 [] Refer to the Addendum whch is attached and incorporated herein for additional Mortgagors. LENDER: BANK OF JACKSON tlOLE ORGANIZED AND E'.(ISTING UNDER THE LAWS OF THE STATE OF WYOMING 990 W. BROADWAY P.O. BOX 7000 JACKSON, WY 83002 MORTGAGE. For good and valuable consideration, the receipt and sufficiency of wl~ich is acknowledged, and to secure the Secured Debt (hereafter defin',.".d), Mortgago~ grants, bargains, conveys, mortgages and warrants ro Lender, with the power of sale, the following descr'bed property: LOT 63 RIVER VIEW MEADOWS SECOND ADDITION TO THE TOWN OF ALPINE, LINCOLN COUNTY, WYOMING WITHIN THE SEll4 OF SECTION 3/, T37N, RllSW, ACCORDING TO THAT PLAT FILED FEBRUARY ~ ~, 1994, PLAT NO. 264-D, INSTRUMENT NO. 778568. The property is located in LINCOLN at LOT 63 RIVER VIEW MEADOWS 2ND ADDITION (County) , ALPINE , Wyoming 83128 (Address) (City) (Zip Co(lei Together with all rigl~ts, easements, appurtenances, royalties, mineral rights, oil and gas rights, crops, timber, all diversion payments or third party payments made to crop producers, and all existing and future improvements, struotures, fixtures, and replacements that may now, or at any time in the future, be part of the real estate described above (all referred to as "P~-operly"). The term Property also includes, but is not limited to, any ~nd all water wells, water, ditches, reservoirs, reservoir sites and dams located on the real estate and all riparian and water rights associated with the Property, however estabFshed. WYOMING - AGRICULTURAL/COMMERCIAL REAL ESTATE SECURITY INSTRUMENT {NOT FORFNMA, r~AUSE, AN~NOT FOR~..CGNSUMERPURPOSES) ~,%-~:~ ©1993, 2001 Banker~ Sy~tem~, In:., St. Cloud, MN Form AGCO RESI-WY 1/16/2OO3 ~ (page I of 8) o9ooo ..... 375 'i MAXIMUM OBLIGATION LIMIT. 'TI% total principal amount of the Secured Debt (hereafter defin'ed)secured by this Mortgage at any one tJrr~e shall J n~t exceed ~ 99.000.00 · This limitation of amount does not include interest, loan charges, coni~mitment fees, brokerage commissions, attorneys' fees and other charges validly made pursuant to this Mortgage and does not apply to advances (or interest accrued on such advances) made under the terms of this Mortgage to protect Lend~':r'.,i security and to perform any of the covenants contained in this Mortgage. Future advances are contemplated and, aJon'g with other future obligations, are secured by this Mortgage even though all or part may not yet be advanced. Nothi~g'in this Mortgage, however, shall constitute a commitment to make additional or future loans or advances in any arr:ount. Any such commitment would need to be agreed'to in a separate writing. SECURED DEBT DEFINED. The ter~ "Secured Debt" includes, but is not limited to, tile following: A. The promissory note(s), co~tlact(s) guaranty(les) or other evidence of debt described below and all extensions, renewals, modifications or.' s~bstitutions. [When referencing the debts below it is suggested that you include items such as borrowers' /~a/?~es and addresses, note pr/nc/pa/amounts, commercial revolving loan agreement's maximum amo~nt, interest ~'at~s, variable rate terms, maturity dates, etc.) 13. All future advances from Ler'~der to Mortgagor or other future obligations of Mortgagor to Lender tinder any promissory note, contract, guaranty, or other evidence of debt existing now or executed after this Mortgage whether or not this Mortgag~ is specifically referred to in the evidence of debt· C. All obligations Mortgagor owes to Lender, which now exist or may later arise, to the extent not prohibited by law, including, but not limited 'to, liabilities for overdrafts relating to any deposit account agreement between Mortgagor and Lender. D. All additional sums advanced and expenses incurred by Lender for insuring, preserving or otherwise protecting /he Property and its value and ~nv other sums advanced and expenses incurred by Lender under the terms of this Mortgage, plus interest at the highest rate in effect, from rime to time, as provided in the Evidence of Debt. E. Mortgager's performance under the terms of any instrument evidencing a debt by Mortgagor to Lender and any Mortgage securing, guaranty,inc~ or otherwise relating to the debt. If more than one person signs this Mortgage as Mortgagor, each Mortgagor agrees that' this Mortgage will secure all future advances and future obligations described above that are given to or incurred by any one or more Mortgagor, or any one or more Mortgagor and oth~rs This Mortgage will not secure any other debt if Lender fails, with respect to such other debt, to make any required disclosure about this Mortgage or if Lender fails to give any required notice of the right of rescission. 5. PAYMENTS. Mortgagor agrees to make all payments on the Secured Debt when due and in accordance with the terms of the Evidence of Debt or this Mort ijage. 6. CLAIMS AGAINST TITLE. Mortgagor :will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents, utilities, and other charges re,ating to the Property when due. Lender may require Mortgagor to provide to Lender copies of all notices that such amou,qts are due and the receipts evidencing Mortgager's payment. Mortgagor will defend title to the Property against any C!aims that would impair the lien of this Mortgage. Mortgagor agrees to assign to Lender, as requested by Lender, an'., rights, claims or defenses which Mortgagor may have against parties who supply labor or materials to improve or maintain the Property. 7. PRIOR SECURITY INTERESTS. Witl~ regard to any other mortgage, deed of trust, security agreement or other lien document that created a prior security interest or encumbrance on the Property and that may have priority over this Mortgage, Mortgagor agrees; A. To make all payments when c'fie and to perform or comply with ail covenants· 13. To promptly deliver to Lender any notices that Mortgagor receives from the holder. C. Not to make or permit any modification or extension of, and not to request or accept any future advances under any note or agreement secured by, the other mortgage, deed of trust or security agreement unless Lender consents in writing. 8. DUE'ON SALE OR ENCUMBRANCE.' Lender may, at its option, declare the entire balance of the Secured Debt to be immediately due and payable upon t.:]e creation of any lien, encLmbrance transfer, or sale, or contract for any of these on the Property· HoWever, if the Pro()erty includes Mortgager's residence, this section shall be subject to the restrictions imposed by federal law (12 C.F.R. 591), as applicable. For the purposes of this section, the term "Property" also includes any interest to all or any part of the Property. This covenant sl~all run with the Property and shall remain in effect until the Secured Debt is paid iii f~dl and tt/is Mortgage is releas · i .... TRANSFER OF AN INTEREST IN THE [MORTGAGOR. If Mortgagor is an entity other than a natural person (such as a corporation or other organization}, Lender may demand immediate payment if I1} a beneficial interest in Mortgagor is sold or transferred; 12} there is a char~§e:in either the identity or number of members of a partnership or similar entity; or {3} there is a change in ownership o~ more than 25 percent of the voting s!oek of a corporation or similar entity. However, Lender may not demand payment in ~he above situations if it is prohibited by law as of the date o~ this Mortgage. ENTITY WARRANTIES AND REPRESENTATIONS. If Mortgagor is an entity other than a natural person Isuch as a corporation or other organ zat on., Mortgagor makes to Lender lha following warranties and representations which shall be continuing as long as the Sectared, Debt remains oulstanding: A. Mortga§or is an entity whic~i is duly organized and validly existing in the Mortgacdor's state of incorporation organization}. Mortga§or is i~ good standing in ail states io which Mortgagor transacts business. Mortgagor has the power and authority.to .own the Property and to cany on its business as now being conducted and, as applicable, is qualified to ¢~o so in each state in which Mortgagor operates. 13. The execution, delivery ~,nd:performance of this Mortgage by Mortgagor and the obligation evidenced by Evidence of Debt are within, the power of Mortgagor, have bee~ duly authorized, have received all necessary governmental approval, a~,d Will not violate any provision of law, or order of court or governmental agency. C. Other than disclosed in writil)g Mortgagor has not changed its name within 1l~e last ten years and ties not used any other trade or fictitimm name. Without Lender's prior written consent, Mortgagor does not and will not use any other name and will preserve its existing name, trade names and franchises until the Secured Debt is satisfied. ,. 11. PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Mortgagor will keep the Property in good condition and make all repairs that are reasonably necessary. Mortgagor will give Lender promp~ notice of any loss or damage to the Property. Mortgagor will keep tt:e Property free of noxious weeds and grasses. Mortgagor will not initiate, join in or consent to any change in any privat~ restrictive covenant, zoning ordinance or other public or private restriction limiting or defining the uses which may be made of the Property or any part of the Property, without Lender's prior written consent. Mortgagor will notify L~nder of ail demands, proceedings, claims, and actions against Mortgagor or any other owner made under law or regul~tioa regarding use, ownership and occupancy of the Property. Mortgagor will comply with all legal requirements and restrictions, whether public or private, with respect to the use of the Property. Mortgagor also agrees that the nature of the occupancy and use will not change without Lender's prior written consent. No por~ion of the Property will be removed, demolished or materially altered without Lender's prior written consent except that Mortgagor has the right to remove items of personal property comprising a part of the Property that become worn or obsolete, provided that such personal property is replaced witl~ other personal property at least equal in value to the replaced personal property, 'roe from any title retention device, security agreement or other encumbrance. Such replacement of personal property w;ll be deemed subject to the security interest created by this Mortgage. Mortgagor shall not partition or subdivide tl~e Property without Lender's prior writmn consent. Lender or Lender's agents may, at Lender's option, enter the Property at any reasonable time for the purpose of inspecting the Property. Any inspection of the Property shall be entirely for l.ender's benefit and Mortgagor will in no way rely on Lender's inspection. 12. AUTHORITY TO PERFORM. If Mortgagor fails to perform any of Mortgager's duties under this Mortgage, or any other mortgage, deed of trust, security., agreement or other lien document that has priority over this Mortgage, Lender may, without notice, perform the duties o,~ cause them to be performed. Moitgagor appoints Lender as attorney in fact to sign Mortgager's name or pay any art ount necessary for performance. If any construction on the Property is discontinued or not carried on in a reasonable m~nner, Lender may do whatever is necessary to protect Lender's security interest in the Property. This may include completing the construction. Lender's right to perform for Mortgagor shall not create an obligation to perform, and Lender's failure to perform will not preclude Lender from exercising ~ny of Lender's other rights under the law or this Mortgage. Any amounts paid by Lender for insuring, preserving or otherwise protecting the Property and Lender's security interest will be due on demand and will bear interest from the dar& of the payment until paid in full at the interest rate in effect from time to time according to the terms of the Evidence of Debt. 13. ASSIGNMENT OF LEASES AND RENTS. Mortgagor assigns, grants, bargains, conveys, mortgages and warrants to Lender as additional security all tl!e right, title and interest in the following (Property). A. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for the use ' and occupancy of the I;~roperty, including but not iimited to, any extensions, renewals, modifications or replacements (Leases). B. Rents, issues and profits, including but not limited to, security deposits, minimum rents, percemage ren~s, additional rents, common area maintenance charges, parking charges, real estate rexes, other applicable taxes, insurance premium contributions, liquidated damages following default, cancellation premiums, "loss of ren~s" insurance, guest receipts, revenues, royalties, proceeds, bonuses, accounts, comrac[ righis, general intangibles, and all rights and claims 'Nhich Mortgagor may have ttm[ in any way pertain to or are on account of ~he use or occupancy of the whole o~' ar;y part of the Property (Rents). In the event any item listed as Lee(scs or Rents is demrmined to be pe~property, ~his Assignment will also be 3of 8) ~¢ ~1993, 2001Banker, Sy,tenl,,l ..... Si. Cloud, MN FormAGCO-RESI*WY 1/16/2003~~ ~' 14. 15. 16. 3?7 Mortgagor will promptly provide! _tender with copies of the Leases and will certify these Leases are true and correct copies. The existing Leases will i~e provided on execution of the Assignment, and all of the future Leases and any other information with respect to thes~e Leases will be provided immediately after they are executed. Mortgagor may collect, receive, enjoy and use tile Rents. so long as Mortgagor is not in default. Mortgagor will not collect in advance any Rents due in future lease periods, unless Mortgagor first obtains Lender's written consent. Upon default, Mortgagor will receive any Rents in trust for Lender and Mortgagor will not conqmingle the Rents with any other funds. When Lender so directs, Mortgagor will endorse and delia, vet any payments of Rents from the Property to Lender. Amounts collected will be applied at Lender's discretion to tfle Secured Debts, the costs of managing, protecting and preserving the Property, and other necessary expenses. Mort~ja~jor a§rees that this Security Instrument is immediately effective between Mortgagor and Lender. This Security Instrument will remain effective during any statutory redemption period until the Secured Debts are satisfied. Unless otherwise prohibited or prescribed by state law, Mortgagor agrees that Lender may take actual possession of the Properw Without the necessity of commencing any legal action or proceeding. Mortgagor agrees that actual possession of the I~r~perty is deemed ~o occu~ when Lender notifies Mortgagor of Mortgagor's default and demands that Mortgagor and Mortgagor's tenants pay all Rents due or to become due directly to Lender. Immediately after Lender gives Mortgagor·th~;; notice of default, Mortgagor agrees that either Lender or Mortgagor may imrnediately notify the tenants and demand flat. all future Rents be paid directly to Lender. As long as this Assignment is in:effect, Mortgagor warrants and represents that no default exists under the Leases, and the parties subject to the Leases have not violated any applicable law on leases, licenses and landlords and tenants. Mortgagor, at its sole cost and ~x0ense, will keep, observe and perform,· and require all other parties to the Leases to comply with the Leases and any: a~oplicable law. If Mortgagor or any party to the Lease~defaults or fails to observe any applicable law, Mortgagor will p!omptly notify Lender. If Mortgagor neglects or refuses to e'nforce compliance with the terms of the Leases, then Lender rr',ay~ at Lender's option, enforce compliance. Mortgagor will not sublet, modify, extend, cancel, or otherwise alter the Leases, o~ accept the surrender of tl~e Property covered by the Leases (unless tfe Leases so require) without Lender's consent. Mortgagor will not assign, compromise, subordinate or encumber the Leases and Rents without Lender's prior written consent. Lender does not assume or become liable for the Property's maintenance, depreciation, or other losses or damages when Lender acts to manage, protect or preserve tile Property, except for losses and damages due to Lender's gross negligence or intentional torts. Otherwise, Mortgagor will indemnify Lender and hold Lender harmless for all liability, loss or damage that Lender may incur when Lender opts to exerci;;e any of its remedies against any party obligated under the Leases. CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. If the Property includes a unit in a condominium or a planned unit development, Mortgagor will perfbrm all of Mortgagor's duties under the covenants, by-laws, or regulations of the condominium or planned unit development. DEFAULT. Mortgagor will be in c~efault if any of the following occur: A. Any party obligated on the Secured Debt fails to make payment when due; B. A breach of any term o~ covenant in this Mortgage, any prior mortgage or any construction loan agreement, security agreement or am, other document evidencing, guarantying, securing or otherwise relating to the Secured Debt; C. The making or furnishing of any verbal or written representation, statement or warranty to Lender that is false or incorrect in any material r ~spect by Mortgagor or any person or entity obligated on the Secured Debt; D. The death, dissolution, or insolvency of, appointment of a receiver for, or application of any debtor relief law to, Mortgagor or any person 0r entity obligated on the Secured Debt; E. A good faith belief by Lerder at any time that Lender is insecure with respect to any person or entity obligated on the Secured Debt or that the prospect of any payment is impaired or the value of the Property is impaired; F. A material adverse chan0e in Mortgagor's business including ownership, management, and financial conditions, which Lender in its opinioq believes impairs the value of the Property or repayment of the Secured Debt; or G. Any loan proceeds are used for'a purpose that will contribute to excessive erosion of highly erodible land or to the conversion of wetlands t0 produce an agricultural commodity, as further explained in 7 C.F.R. Pa~t 1940, Subpart G, Exhibit M. REMEDIES ON DEFAULT. In some'instances, federal and state law will require Lender to provide Mortgagor with notice of the right to cure, mediation nr?tices or other notices and may establish time schedules for foreclosure actions. Subject to these limitations, if any, Lend~,~r may accelerate the Secured Debt and foreclose this Mortgage in a manner provided by law if this Mortgagor is in defaull At the option of Lend·er, all or :~ny part of the agreed fees and charges, accrued interest and principal shall become immediately due and payable, ,;alter giving notice if required by law, upon the occurrence of a default or anytime thereafter. In addition, Lender sh~ll be entitled to all the remedies provided by law, the Evidence of Debt, other evidences of debt, this Mortgage and any [elated documents including without limitation, tile power to sell the Property. All remedies are distinct, cumulatiw~ and not exclusive, and the Lender is entitled to all remedies provided at law or equity, whether expressly set forth or n)t. 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 full ant! complete cure of any existing default. By not exercising any remedy on'Mortgagor's default, Lender does not waive L~n.:ler's right to later consider the eve~%f it continues or happens again. ~.~' ©;993. 200, Bank.r$Sy,t' ....... St. CI*d. MN FormAGCO-RESI-WY 1,16,2003~~) C' C , '1~''' 40'~' 17. EXPENSES; ADVANCES ON C(:)V[:."NANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prohibited by law, Mortgagor agrees to pay all of _erider's expenses if Mortgagor breaches any covenant in this Mortgage. Mortgagor will also pay on demand all of Lender'S expenses incurred in collecting, insuring, preserving or protecting the P~operty or in any inventories, audits, inspect'on~ or other examination by Lender in respect to the Properw. Mortgagor agrees to pay all costs and expenses incurred' b,j~ Lender in enforcing or protectir~g Lender's rights and remedies under this Mortgage, including, but not limited to, at':orneys' fees, court costs, and other legal expenses. Once the Secured Debt is fully and finally paid, Lender agrees to rgle~se this Mortgage and Mortgagor agrees to pay for any recordation costs. All such amounts are due on demand and (,~¢i bear interest from the time of the advance a! the highest rate in effect, from time to time, as provided in the Evide, nc? of Debt and as permitted by law. 18. ENVIRONMENTAL LAWS AND H~,ZARDOUS SUBSTANCES. As used in this section, (1) "Environmental Law" means, without limitation, the Compremr!sive Environmental Response, Compensation and Liability Act (CERCLA, 42 U.S.C. 9601 et seq.), all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance; and (2) "Hazardous Substance" means any toxic, radioactive or hazardous material, waste, pollutant or contaminant which has characteristics which render th~ substance dangerous or potentially dangerous to the public health, safety, welfare or environment. The term includes' without limitation, any substances defined as "hazardous mamrial," "toxic substances," "hazardous waste" or "hazardo~ls substance" unde~ any Environmental Law. Mortgagor represents, warrants and agrees that, except as previously disclosed and acknowledged in writing: A. No Hazardous Substance, has been, is, or will be located, transported, manufactured, treated, refined, or handled by any person on, under.or,about the Property, except in the ordinary coulse of business and in strict compliance with all applicable Enviro~m!enml Law. B. Mortgagor has not and Nill not cause, contribute to, or pern~i~ the release of any Hazardous Substance on the Property. C. Mortgagor will immediatl,qy'notify Lender if (1) a release or threatened release o1: Hazardous Substance occurs on, under or about the Property or migrates ot threatens to migrate from nearby property; or (2) there is a violation of any Environmental Law concerning the Property. In such an event, Mortgagor will take all necessary remedial action in accordance with Eavironmental Law. D. Mortgagor has no know edge of or reason to believe there is any pending or threatened investigation, claim, or proceeding of any kind lelating to (~) any Hazardous Substance located on, under or about the Property; or (2) any violation by Mortgac.'or or any tenant of any Environrnental Law. Mortgagor will immediately notify Lender in writing as soon as Mortgagor has reason to believe there is any such pending or threatened investigation, claim, or proceeding. In such an event, Lender has the right, but not the obligation, to participate in any such proceeding including the right to receive copies of any documents relating to such proceedings. E, Mortgagor and every renan; have been, are and shall reniain in full compliance with any applicable Environmental Law. F. There are no underground storage tanks, private dumps or open wells located on or under the Property and no such tank, dump or well wil'J be added unless Lender first consents in writing. G. Mortgagor will regularly inspect the Property, monitor the activities and operations on the Property, and confirm that all permits, license.~ or approvals required by any applicable Environmental Law are obtained and complied with. Ft. Mortgagor will permit, o: cause any tenant to permit, Lender or Lender's agent to enter and inspect the Property and review all records'at any reasonable time to determine (1) the existence, location and nature of any Hazardous Substance or,, under or about the Property; (2) the existence, location, nature, and magnitude of any Hazardous Substance that has been released on, under or about the Property; or (3) whether or not Mortgagor and any tenant are in co~npliance with applicable Environmental Law. I, Upon Lender's request and at any time, Mortgagor agrees, at Mortgagor's expense, to engage a qualified environmental engineer to prepare an environmental audit of the Property and to submit the results of such audit to Lender. The choice of the environmental engineer who will perform such audit is subject to Lender's approval. J. Lender has the right, bot not the obligation, to perform any of Mertgagor's obligations under ti~is section at Mortgagor's expense. K. As a consequence of an./ breach of any representation, warranty or promise made in this section, (1) Mortgagor will indemnify and hold Le~ider and Lender's successors or assigns harmless from and against all losses, claims, demands, liabilities, da~nages, cleanup, response and rernediation costs, penalties and expenses, including without limitation all costs bf litigation and attorneys' fees, which Lender and Lender's successors or assigns may sustain; and (2) at Lender's discretion, Lender may release this Mortgage arid in return Mortgagor will provide Lender with collateral of at least equal value to the Property secured by this Mortgage without prejudice to any of Lender's rights under thi.'; IViortgage. L. Notwithstanding any of dm language contained in this Mortgage to the contrary, the terms of this section shall survive any foreclosure' or; satisfaction of this Mortgage regardless of any passage of title to Lender or any disposition by Lender of any or all of tl~e Property. Any claims and defenses to the contrary are hereby waived. 19. CONDEMNATION. Mortgagor will give Lender prompt notice of any action, ' real or threatened, by private or public entities to purchase or take any or all of the Property, including any easements, through condemnation, eminent domain, or any other means. Mortgagor 'fur.ther agrees to notify Lender of any proceedings instituted for the establishment of any sewer, water, conservation, ditch, drainage, or other district relating to or binding upon the Property or any part of it. Mortgagor authorizes Lender to in:tervene in Mortgagor's name in any of the above described actions or claims and to collect and reseive all sums rest~lting from the action or claim. Mortgagor assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the Property. Such proceeds shall be considered payments and will ble applied as provided in this Mortgage. This assignment of proceeds is subject to the terms of any prior mortgage, de,,~d of trust, security agreement or other lien document.~ C C ( ~:::~/ (pageSofS) ~___.~'~'~ © 1993, 2001 Bankers S¥1xems Ir~,, St. Cloud, MN Form AGCO-RESI WY 1/1§/2003 ~ ': 20. INSURANCE. Mortgagor a§rees to;.maintain insurance as follows: A. Mortgagor shall keep the property insured against loss by fire, theft and other hazards and risks reasonably associated with the Property due to its type and location. Other hazards and risks may include, for example, coverage against loss dueto floods or flooding. This insurance shall be maintained in the amounts and for the periods that Lender requires, What Lender requires pursuant to the preceding two sentences can change during the term of the Secured D~:bt. The insurance carrier providing the insurance shall be chosen by Mortgagor subject to Lender's approval, whi::h shall not be unreasonably withheld. If Mortgagor fails to maintain tim coverage described above, Lender ~nay, at Lender's option, obtain coverage to protect Lender's rights in lhe Property according to the terms of t::]i;s Mortgage. All insurance policies and ~enewals shall be acceptable to Lender and shall include a standard "mortgage clause" and, where applicable, lei der loss payee clause." Mortgagor shall immediately notify Lender of cancellation or termination of the insuran:e. Lender shall have the right to hold the policies and renewals. If Lender requires, Mortgagor shall immediately give to Lender all receipts of paid premiums and renewal notices. Upon loss, Mortgagor shall give imme':liate notice to the insurance carrier and Lender. Lender may make proof of loss if not made immediately by Mortgagor Unless Lender and Mo'rtga;g,)r otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged if the restoration or repair is economically feasible arid Lender's security is not lessened. If the restoration el repair is not 'economically feasible or Lender's security would be lessened, the insurance proceeds shall he applied to the Secured Debt, whether or not then due, with any excess paid to Mortgagor. If Mortgagor al:aqdons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may collect lhe insurance proceeds. Lender may use the proceeds to repair or rsstore the Property or to pay the Secured Debt whethe~ or not then due. The 30-day period will begin when the qotice is given. Unless Lender and Mortga{ior otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date ~,f scheduled payments or change the amount 0f the payments. If the Property is acquired by Lender, Mort!tagor's right to any insurance policies and proceeds resulting from damage to the Property before the acquisiton shall pass to Lender to the extent of the Secured Debt immediately before the acquisition. Mortgagor agrees to maint'~in comprehensive general liability insurance naming Lender as an additional insured in an amount acceptable to _t:nder, insuring against claims arising from any accident or occurrence in or on the Property. Mortgagor agrees to maintmn rental loss or business interruption insurance, as required by Lender, in an amount equal to at least coverag=. of one year's debt service, and required escrow account deposits (if agreed to separately in writing), under a form of policy acceptable to Lender. 21. NO ESCROW FOR TAXES AND II~SURANCE. Unless otherwise provided in a separate agreement, Mortgagor will not be required to pay to Lender funds fo, taxes and ~nsurance in escrow. 22. FINANCIAL REPORTS AND ADDI.UONAL DOCUMENTS. Mortgagor will provide to Lender upon request, any financial statement or information Lender ~ay deem necessary. Mortgagor warrants that att financial statements and information Mortgagor provides to Lender are, or will be, accurate, correct, and complete. Mortgagor agrees to sign, deliver, and file as Lender may reasonably request any additional documents or certifications that Lender may consider necessary to perfect, continue, and preserve Mortgager's obligations under this Mortgage and Lender's lien status on the Property. If Mortgagor fails to do so, Lender ma~, sign, deliver, and file such documents or certificates in Mortgager's name and Mortgagor hereby irrevocably apprm~ts Lender or Lender's agent as attorney in fact to do the things necessary re comply with this section. 23. JOINT AND INDIVIDUAL LIABIDTY; CO-SIGNERS; SUCCESSORS AND ASSIGNS BOUND. All duties under this Mortgage are joint and individual If Mortgagor signs this Mortgage but does not s~gn the Evidence of Debt, Mortgagor does so only to mortgage Mortgager's interest ir the Property to secure payment of the Secured Debt and Mortgago~ does not agree to be personally liable on the Sec.~red Debt. Mortgagor agrees that Lender and any party to this Mortgage may extend, modify or make any change in the terms of this Mortgage or the Evidence of Debt without Mortgager's consent. Such a change will not release Mortgagor from the terms of this Mortgage. The duties and benefits of this Mortgage shall bind and benefit the successors and as~figns of Mortgagor and Lender. If this Mortgage secures a guaran:y between Lender and Mortgagor and does not directly secure the obligation which is guarantied, Mortgagor a~rees to .Naive any rights that may prevem Lender from bringing any action or claim against Mortgagor or any party indebted uqder the obligation including, but not limited to, anti-deficiency or one-action laws. ~..p--'-~M © 1993, 2001 Banker* Sy~lemf, Ind., St. Cloud. MN Form AGCO-RE$1-Wy 1/16/2003 [page 6 of 8) 24. APPLICABLE LAW; SEVERABILITY; INTERPRETATION. This Mortgage is governed by the la'w~' j irisdictionL in which Lender is located, except to the extent otherwise required by the laws of the jurisdiction where the Property is located. This Mortgage is complete and fully integrated. This Mortgage may not be amended or modified by oral agreement. Any section or clause in this Mortgage, attachments, or any agreement related to the Secured Debt that conflicts with applicable law wiil not be effective, unless that law expressly or impliedly permits the variations by written agreement. If any section or ch~use of this Mortgage cannot be enforced according to its terms, that section or clause will be severed and will not affect the enforceability of the remainder of this Mortgage. Whenever used, the singular shall include the plural and the plural, the singular. The captions and headings of the sections of this Mortgage are for convenience only and are not to: [!e used to interpret or define the terms of this Mortgage. Time is of the essence in this Mortgage. ~ 25. NOTICE. Unless otherwise requir~'~'d by law, any notice shall be given by delivering it or by mailing it by first class mail to the appropriate party's address o~k page 1 of this Mortgage, or to any other address designated in writing. Notice to one mortgagor will be deemed to be notice to all mortgagors. 26. WAIVERS. Except to the extent prohibited by law, Mortgagor waives any right regarding the marshalling of liens and assets and all homestead exemFti0n rights relating to the Property. 27. U.C.C. PROVISIONS. If checked, *,fie following are applicable to, but do not limit, this Mortgage: ~1 Construction Loan. This Mortgage secures an obligation inculred for the construction of an improvement on the Property. : [] Fixture Filing, Mortgago- grants to Lender a security interest in all goods that Mortgagor owns now or in the future and that are or wi.I be.come fixtures related to the Property. [] Crops; Timber; Minerals Rents, Issues and Profits. Mortgagor grants to Lender a security interest in all crops, timber and minerals located on the Property as well as all rents, issues, and profits of them including, but not limited to, all Conservati,]r, Reserve Program (CIRP) and Payment in Kind JPIK) payments and similar governmental programs (all of which sl:,a!l also be included in the term "Property"). [] Personal Property. Morteagor grants to Lender a security illrerest in all personal property located on or connected with the Property. This .;ecurity interest includes all farm products, inventory, equipment, accounts, documents, instruments, chattel pap~r~ general intangibles, and all other items of personal property Mortgagor owns now or in the future and that are Lsed or useful in the construction, ownership, operation, management, or maintenance of the Property. Th'e term :"Personal property" specifically excludes that property described as "household goods" secured in connection wi:th a "consumer" loan as those terms are defined in applicable federal regulations governing unfair and dec~F!'tive credit practices. [] Filing As Financing Statement. Mortgagor agrees and acknowledges that this Mortgage also suffices as a financing statement and a:.; SLich, may be filed of record as a financing statement for purposes of Article 9 of the Uniform Commercial Code. A carbon, photographic, image or other reproduction of this Mortgage is sufficient as a financing staternent. 28. OTHER TERMS. If checked, the following are applicable to this Mortgage: [] Line of Credit. The Secu-ed Debt includes a revolving line of credit provision. Although the Secured Debt may be reduced to a zero balance, this Mortgage will remain in effect undl released. [] Separate Assignment. The Mortgagor has executed or will execute a separate assignment of leases and rents. If the separate assignment of leases and rents is properly executed and recorded, then the separate assignment will supersede this Security I:~strument's "Assignment of Leases and Rents" section. [] Additional Terms. ©1993, 2001 B~nkar[ Systems Inc., St. Cloud, MN Form AGCO RESI-WY 1/16/2003 (page 7 of B) SIGNATURES: By signing below, Mor.tgagor agrees to the terms and covenants contained in this Mort§age and in any attachments. Mortgagor also acknowled§es receipt of a copy of [l~is Mo[tcjage on the date stated above on Page 1. [] Actual authority was granted lo the parties si~n.~g below by resolution signed and dated Entity Name: ~atureiSTEVEN CHIC'~SKY (Dalel |SignatuteJ (Dalel (Signulu[e) IDalel [] Refer to the Addendum wh:ch is attached and incorporated herein for additional Mortgagors, signatures and acknow edgrnents. ACKNOWLEDGMENT: STATE OF WYOMING o COUNTY OF This inslrument was ackncw:iedged before me this 9TH day of JUNE, 2004 by STEVEN CHICHIN,SKy; CAROLYN CHICHINSKY, HUSBAND AND WIF[, As TENANTS By THE [NTIRETIES My commission expires: 'K.M. LeVasseur NOTARY PUBUC 11~'TON COUN'Pt', WYOMIN(~ ~CMMISSION EXPIRES JUNE 27, 20O4 ss, (Notu[¥ Publicl STATE OF , COUNTY OF This instrument was acknowledged before me this by day of ss. My commission expires: {Name of Business or EnliW] on behalf of the business or entity. INolary Public) 1993, 2001 Bankers S¥~[ems, I,~"-.. St. Cloud. MN Form AGCO RESI WY 1116/2OO3 fpage 8 of 8)