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HomeMy WebLinkAbout900105BOOK 558L ,,-,L,: 0 900t05 RECEIVED LINCOLN COUNTY CLERK State of Wyoming Space Above This Line For Recording Data REAL ESTATE MORTGAGE (With Future Advance Clause) DATE AND PARTIES. The date of this Mortgage is 05-28-2004 are as follows: MORTGAGOR: LILLIAN E. HARROWEF, AS AN INDIVIDUAL 8603 POWDERHOHSE RD CHEYENNE, WY 8)00§ and the parties and their addresses 520-22-5832 [] Refer to the Addendum whi':h is attached and incorporated herein for additional Mortgagors. LENDER: PINNACLE BANK-'CHEYENNE ORGANIZED AND EXISTING UNDER THE LAWS OF THE STATE OF WYOMING 3518 DELL RANGE BLVD., 1501 S. GREELEY HWY. P.O. BOX 15720 CHEYENNE, WY 82009 83-0110575 2. MORTGAGE. For good and valuable clonsideration, the receipt and sufficiency of which is acknowledged, and to secure the Secured Debt (hereafter defined), Mortgagor grants, bargains, conveys, mortgages and warrants to Lender, with the power of sale, the following descrisee property: SEE ATTACHED EXHIBIT A The property is located in LINCOLN at {County) , Wyoming {Add,ass) )CilyJ (Zip Code) Together with all rights, easemeats 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 [uture mprovements, structures, 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 "Pr0pertv").: The term Property also includes, but is not limited to, any and all water wells, water, ditches, reservoirs, reservoi, sites and dams located on the real estate and all riparian and water rights associated with the Property, however established. WYOMING - AGRICULTURAL/COMMERCIAL REAL E ;TATE SECURITY INSTRUMENT (NOT/:OR FNMA, FHLMC. FHA OR VA USE. AND NOT FOR CONSUMER PURPOSE$I ~'~'~J~ © 1993, 2001 Bankers Systems, Inc , St,, C oud, MN Form AGCO-RESI WY 111612003 3. MAXIMUM OBLIGATION LIMIT. Th;e total principal amount of the Secured Debt (hereafter defined) secured by this Mortgage at any one time shall not exceed $ t99,745.00 This limitation of amount does nol include ~nteresl, loan charges, commitment fees, brokerage commissions, attorneys' fees and other charges validly made pursuant to this Mortgage and does.qot apply 'to advances (or interest accrued on such advances) made under the terms of this Mortgage to protect I'ender':; security and to perform any of the covenants contained in this Mortgage. Future advances are Contemplated and, ~dor',g with other future obligations, are secured by this Mortgage even though all or part may not yet be advanced. Noth ng'in this Mortgage, however, shall constitute a commitment to make additional or future loans or advances in any ar'~oL nt. Any such. commitment would need to be agreed to in a separate writing. 4. SECURED DEBT DEFINED. The te'm :"Secured Debt" includes, but is not limited to, the following: A. The promissory note(s), c.~nt"act(s), guaranty(les) or other evidence of debt described below and all extensions, renewals, modifications or sL~bstitutions. (When referencing the debts below it is suggested that you include items such as borrowers' names and addresses, note principal amounts, commercial revolving loan agreement's maximum amount, interesl ra.~es, variable rate terms, maturity dates, etc.) NOTE DATED 5~28~04 IN THE NAME OF LILLIAN E. HARROWER FOR TflE'AIV OUNT OF $199,745.00 AT 7.00% MATURING ON 12130108 B. All future advances from Lo?der to M°rtgagor or other future obligations of Mortgagor to Lender under any promissory note, contract, g'.Jaranty, or other evidence of debt existing now or executed after this Mortgage whether or not this Mortg~ ge .!s specifically referred to in the evidence of debt. C. All obligations Mortgagor owds 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 advanc'ed and expenses incurred by Lender for insuring, preserving or otherwise protecting the Property and its value and any other sums advanced and expenses incurred by Lender under the terms of this Mortgage, plus interest at i!he highest rate in effect, from time to time, as provided in the Evidence of Debt. E. Mortgagor's performance ~nder the terms of any instrument evidencing a debt by Mortgagor to Lender and any .Mortgage securing, guarantyir:g, or otherwise relating to the debt. If more than one person Signs tflis Mortgage as Mortgagor, each Mortgagor agrees that this Mortgage will secure all future advances and future oblig~tio~s described above that are given to or incurred by any one or more Mortgagor, or any one or more Mortgagor and others. This Mortgage will not secure any other debt if Lender fails, with respect to such other debt, to make any required,disblosure about this Mortgage or if Lender fails to give any required notice of the right of rescission. pAyMENTS. Mortgagor agrees tc m~ke all payments on the Secured Debt when.due and in accordance with the terms · of the Evidence of Debt or this Mortgage. CLAIMS AGAINST TITLE. Mortgagor will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents, utilities, and other chargeS relating to the Property when due. Lender may require Mortgagor to provide to Lender copies of all notices that such amourts are due and the receipts evidencing Mortgagor's payment. Mortgagor will defend title to the Property against any claims that would impair the lien of this Mortgage. Mortgagor agrees to assign to Lender, as requested by Lender, i~ny rights, claims or defenses which Mortgagor may have against parties who supply labor or materials to improve or m~intain the Property. PRIOR SECURITY INTERESTS. ¥.lith 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 d Jo and to perform or Comply with all covenants. B. To promptly deliver to Lender any notices that Mortgagor receives from the holder. C. Not to make or permit an~ 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. . DUE ON SALE OR I:NCUMBRANCE.' Lender may, at its option, declare the entire balance of the Secured Debt to be immediately due and payable upon the creation of any lien, encumbrance, transfer, or Sale, or contract for any of these on the PropertY. However, if the F~roperty includes Mortgagor'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 an~/ p~ar! of the Property. This covenant shall run with the Property and shall remain in effect until the Secured Debt is p~:id ih full and this Mortgage is released. 0 00105 640 9. TRANSFER OF AN INTEREST IN THE MORTGAGOR. If Mortgagor ds an entity other than a natural person (such as a corporation or other organization), Lender may demand imnqediate payment if (1) a beneficial interest in Mortgagor is sold or transferred; (2) there is a change in either the identity or number of members of a partnership or similar entity; or (3) there is a change in ownership of more than 25 percent of the voting stock of a corporation or similar entity. However, Lender may not demand payment .in the above situations if it is prohibited by law as of the date of this Mortgage. i 10. ENTITY WARRANTIES AND REFiRE~i;ENTATIONS. If Mortgagor is an entity other than a natural person (such as a corporation or other organization) M~rtgagor makes to Lender the following warranties and representer ohs which shall be continuing as long as the Secui ed Oebt remains outstanding: A. Mortgagor is an entity which Js duly organized and validly existing in the Mortgagor's state of incorporation (or organization). Mortgagor i.';.inl, good standing in all states in which Mortgagor transacts business. Mortgagor has the power and authority [o Own the Property and to carry .on its business as now being conducted and, as applicable, is qualified to d3 so in each state in which Mortgagor operates. B. The execution, delivery a~d performance of this Mortgage by Mortgagor and the obligation evidenced by the Evidence of Debt are within ,the power of Mortgagor, have been duly authorized, have received all necessary governmental approval, and w~ll not violate any provision of law, or order of court or governmental agency. C. Qther than disclosed in w*'itin'g~ Mortgagor has not changed its name within the last ten years and has not used any other trade or fictitioL s niame. Without Lender's prior written consent, Mortgagor does not and will not use any other name and will pre, serve its existing name, trade names and franchises until the Secured Debt is satisfied. 11. PROPERTY CONDITION, ALTERAq'IOI~S AND INSPECTION. Mortgagor will keep the Property in good condition and make all repairs that are reasonably necessary. Mortgagor will give Lender prompt notice of any loss or damage to the Property. Mortgagor will keep the Property free of noxious weeds and grasses. Mortgagor will not initiate, join in or consent to any change in any priwate 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 Lender of all demands, proceedings, claims, and actions against Mortgagor or any other owner made under law or regulation regarding use, ownership and occupancy of the Property. Mortgagor will comply with all legal requirements and re:;trictions, whether public or private, with respect to the use of the Property. Mortgagor also agrees that the nature of the occJpancy and use will not change without Lender's prior written consent. No portion 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 with other personal property at least equal in value to the replaced personal property, free'from any title retention device, security agreement or other encumbrance. Such replacement of personal property wil! be deemed subject to the security interest created by this Mortgage. Mortgagor · shall not partition or subdivide th~ P~'operty without Lender's prior written consent. Lender or Lender's agents may, at Lender's option, enter the Property a~.; any reasonable time for the purpose of inspecting the Property. Any inspection of the Property shall be entirely for L~nder's benefit and Mortgagor will in no way rely on Lender's inspection. 12. AUTHORITY TO PERFORM. If M~)rtgagor fails to perform any of Mortgagor'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; or cause them to be performed. Mortgagor appoints Lender as attorney in fact to sign Mortgagor's name or pay any am3un~ necessary for performance. If any construction on the Property is discontinued or . not carried on. in a reasonable ma.qnei, Lender may do whatever is necessary to protect Lender's security interest in the ~ Property. This may include compl~ tinf:~ the construction. Lender's righ~ to perform for Mortgag~r 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 Mortgage. Any amounts paid by Lender for insuring, preserv ng or otherwise protecting the Property and Lender's security interest will be due on demand and will bear interest from the cate'of, the payment until paid in full at the inte'rest rate in effect from time to time according to the terms of the Evi0enc;~ of Debt. 13. ASSIGNMENT OF LEASES AND REI~T$. Mortgagor assigns, grants, bargains, conveys, mortgages and warrants to Lender as additional security all the rkjht, title and interest in the following (Property). A. Existing or future leases, :;ubleases, licenses, guaranties and any other .written or verbal agreements for the use and occupancy of the Fropi;rty, including but not limited to, any extensions, renewals, modifications or replacements (Leases). B: Rents, issues and profits ini','luding but not limited to, security deposits, minimum rents, percentage rents, additional rents, common are~! maintenance charges, parking charges, real estate taxes, other applicable taxes, insurance premium contributio,'ns, liquidated damages following default, cancellation premiums, "loss of rents" insurance, guest receipts, revgnues, royalties, proceeds, bonuses, accounts, contract rights, general intangibles, and all rights and claims ~hich Mortgagor may have that in any way pertain to or are on account of the use or occupancy of the Whole or any,' part of the Property (Rents). In the event any item listed as Leases or Rents is determined to be personal property, this Assignment will also be regarded as a security agreement: (pag. a,_.~r y,,,..~_,..!3 of $), ©1993,200, aankersSy ...... , .... SI'Cloud, MN FormAGCORESI-WY 1/16/2003 OSOOi05 : "'"..,° Mortgagor will promptly provide Ler, der with copies of the Leases and will certify these Leases are true and correcl copies. The existing Leases will b'e p.~ovided on execution of the Assignment, and all of the future Leases and any other information with respect to these Le~ases will be provided immediately after they are executed. Mortgagor may collect, receive, enjoy and use the Rents ;o long as Mortgagor is not ~n default. Mortgagor will not collect in advance any Rents due in future lease periods, unlessi M0rtgagor first obtains Lender's written consent. Upon default, Mortgagor will receive any Rents in trust for Lender and Mortgagor will not commingle the Rents with any other funds. When Lender so directs, Mortgagor will endorse and deliver .any payments of Rents from the Property to Lender. Amounts collected will be applied at Lender's discretion to t,:qe Secured Debts, the costs of managing, protecting and preserving the Property, and other necessary expenses. Mortgagor agrees that this Security Instrument is immediately effective between Mortgagor and Lender. This Security Instrumer!t will remain effective during any statutory redemption period until the Secured Debts are satisfied. Unless otherwisre prohibited or prescribed by state law, Mortgagor agrees that Lender may take actual possession of the Property-without the necessity of commencing any legal action or proceeding. Mortgagor agrees that actual possession of the Proger,:y is deemed to occur when Lender notifies Mortgagor of Mortgagor's default and demands that Mortgagor and Mo~.tg[gor's tenants pay all Rents due or to become due directly to Lender. Immediately after Lender gives Mortgagor the nol~ice of default, Mortgagor agrees that either Lender or Mortgagor may immediately notify the tenants and demand th[ t afl future Rents be paid directly to Lender. As long as this Assignment is in ~ffect, Mortgagor warrants and represents that no default exists under the Leases, and the. parties subject to the Leases ha,ye not violated any applicable law on leases, licenses arm landlords and tenants. Mortgagor, at its sole cost and e~pegse, will keep, observe and perform, and require all other parties to the Leases to comply with the Leases and any ]pplicable law. If Mortgagor or any party to the Lease defaults or fails to observe any applicable law, Mortgagor will promptly notify Lender. If Mortgagor neglects or refuses to enforce compliance with the terms of the Leases, then Lender. rpa¥', at Lender's option, enforce compliance. Mortgagor will not sublet, mod fy.' ex.tend, cancel, or otherwise alter the Leases, or accept the surrender of the Property covered by the Leases (unless the, Le. ases so require) without Lender's consent. Mortgagor will not assign, compromise, subordinate or encumber the Le[~ses and Rents without Lender's prior written consent. Lender does not assume or become liable for the Property's :nai~tenance, depreciation, or other losses or damages when Lender acts to manage, protect or preserve the Property,,,exrept 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 exercisb, ac'y of its remedies against any party obligated under the Leases. 14. CONDOMINIUMS; PLANNED UNI';' D---VELOPMENTS. If the Property includes a unit in a condominium or a planned unit development, Mortgagor will perforrq all of Mortgagor's duties under the covenants, by-laws, or regulations of the condominium or planned unit development 15. DEFAULT. Mortgagor will be in defau't if any of the following occur: A. Any party obligated qn the Secured Debt fails to make payment when due; 13. A breach of any term or covenant in this Mortgage, any prior mortgage or any construction loan agreement, security agreement or any other document evidencing, guarantying, securing or otherwise relating to the Secured Debt; C. The making or furnishing o.f a'riy verbal or written representation, statement or warranty to Lender that is false or incorrect in any material re:~pect by Mortgagor or any person or entity obligated on the Secured Debt; D. The death, dissolution, or insclvency of, appointment of a receiver for, or application of any debtor relief law to, Mortgagor or any person or entity obligated on the Secured Debt; E. A good faith belief by Le.n~er at any time that Lender is insecure with respect to any person or entity bbligated on the Secured Debt or that tf,e prospect of any payment is impaired or the value of ihe Property is impaired; F. A material adverse change in Mortgagor's business including ownership, management, and financial conditions, which Lender in its opin 0n.be eves impairs the value of the Property or repayment of the Secured Debt; or G. Any loan proceeds are use~;I for a purpose that will contribute to excessive erosion of highly erodible land or to the conversion of wetlands to )roduce an agricultural commodity, as further explained in 7 C.F.R. Part 1940, Subpart G, Exhibit M. : 16. REMEDIES ON DEFAULT. In som~ instances, federal and state law will require Lender to provide Mortgagor with notice of the right to cure, mediation not'ice,,;, or other notices and may establish time schedules for foreclosure actions. Subject to these limitations, if any, Lender' m~y accelerate the Secured Debt and foreclose this Mortgage in a manner provided by law if this 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 shal; b~ entitled to all the remedies provided by law, the Evidence of Debt, other evidences of debt, this Mortgage and any rel~rted documents including without limitation, the power to sell the Property. All remedies are distinct, cumulative anc~ not exclusive, and the Lender is entitled to all remedies provided at law or equity, whether expressly set forth or no~' Tine acceptance by Lender of any sum in payment or partial payment on the Secured Debt after the balance is due or iff ad.,celerated or after foreclosure proceedings are filed shall not constitute a waiver of Lender's right to require full and ~aont~plete cure of any existing default. By not exercising any remedy on Mortgagor's default, Lender does not waive Lender's right to ater consider the event a default if it continues or happens again. ; o oo .o:5 6 4 4 17. EXPENSES; ADVANCES ON COVENANTS; ATTORNEYS' FEES; COLLECTION COSTS. Except when prohibited by law, Mortgagor agrees To pay all of Leqde~"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 Property or in any inventories, audits, inspectiors o~ other examination by Lender in respect to the Property. Mortgagor agrees to pay all costs and expenses incurred bi Lender'in enforcing or protecting Lender's rights and remedies under this Mortgage, including, but no[ limited to, attorneyS' fees, court costs, and other legal expenses. Once the Secured Debt is fully and final ~/ paid, Lender agrees to releas.~ this Mortgage and Mortgagor agrees to pay for any recordation costs All such amounts are due on demand and ~vill;'bear interest from the time of the advance at the highest rate in effect, from time to trine, as provided in the Evidence of, Debt and as permitted by law 18. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, (1) "Environmental Law" means, without limitation, the Comprehe'3sive Environmental Response, Compensation and Liability Act (CERCLA, 42 U.S.C. 9601 et seq.), all other federal, st:ate' 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 "Hazardous Substance" means ary toxic, radioactive or hazardous material, waste, pollutant or contaminant which has characmristics which render the .;ubq. tance dangerous or potentially dangerous to the public health, safety, welfare or environment. The term includes, with()ut limitation, any substances defined as "hazardous material," "toxic substances," "hazardous waste" or "hazardous substance" under any Environmental Law. Mortgagor represents, warrants and agrees that, except as previously disclosed arid acknowledged in writing: A. No Hazardous Substance Yas been, is, or will be located, transported, manufactured, treated, refined, or handled by any person on, under ot about the Property, except in the ordinary course of business and in strict compliance with all applicable Environn~ent,al Law. B. Mortgagor has no~ and wi l not cause, contribute to, or permit the release of any Hazardous Substance on the Property. C. Mortgagor will immediately noqfy Lender if (1) a release or threatened release of Hazardous Substance occurs on, under or about the Properz,~ or :migrates or threatens m migram 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 Environmental Law. D. Mortgagor has no knowlec'ge of or reason to believe there is any pending or threatened investigation, claim, or proceeding of any kind relating to (1) any Hazardous Substance Iocamd on, under or about the Property; or (2) any viola[ion by Mortgago~ or any tenant of any Environmental Law. Mortgagor will immediately notify Lender in writing as soon as Mortgagor ,~ms reason ~o believe there is any such pending or zhreamned investigation, claim, or proceeding. In such an e'VenL Lender has the right, but not the obligation, ~o participate in any such proceeding including the right ~o' receive copies of any documents relating to such proceedings. E. Mortgagor and every tenap'~ h~ve been, are and shall remain in full compliance with any applicable Environmental Law. F. There are no underground.sto~age ~anks, private dumps or open wells located on or under the Property and no such tank, dump or well will be added unless Lender first consents in writing. G. Mortgagor will regularly in,[peet the Property, monitor the activities and operations on the Property, and confirm that all permits, licenses dr approvals required by any applicable Environmental Law are obtained and complied H. Mortgagor will permit, or cause any tenant to permit, Lender or Lender's ag~t to enter and inspect ~he Property and review all records at any reasonable time ~o determine (1) the existence, Ioca[ion and nature of any Hazardous Substance on, t'~nd~r 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) whelher or not Mortgagor and any tenant are in compliance with applicable Environmental Law. I. Upon Lender's request ar,d al any dine, Mortgagor agrees, a~ Mor[gagor's expense, ~o engage a qualified environmental engineer ~o ?repare an environmental audit of the Property and [o submit the resuhs of such audit ~o Lender. The choice of th~ ervironmenml engineer who will perform such audit is subject [o Lender's approval. J. Lender has the right, but not the obligation, to perform any of Mortgagor's obligations under [his section at Mortgagor's expense. K. As a consequence of any lirea~h of any representation, warranty or promise made in this section, (1) Mortgagor will indemnify and hold Lender. and Lender's successors or assigns harmless from and against all losses, claims, demands, liabitilies, damagesj cleanup, response and remediation costs, penalties and expenses, including without limitation all costs ~f litigation and attorneys' fees, which Lender and Lender's successors or assigns may sustain; and (2) a~ Lender's d'scret on, Lender may release this Mortgage and in return Mortgagor will provide Lender with collateral of at lea:~t equal value to the Property secured by this Mortgage without prejudice ~o any of Lender's rights under this Mortgage. L. Notwithstanding' any of the la~l.guage contained in this Mortgage to the contrary, the terms of this section shall survive any foreclosure or sa ~sfaction ct this Mortgage regardless of any passage of title ~o Lender or any disposition by Lender of an,, or;all of [he Property. Any claims and de¢enses to the contrary are hereby waived. 19. CONDEMNATION. Mortgagor will give Lender prompt notice of any action, real or threatened, by privam 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[hei' agrees to notify Lender of any proceedings instituted for [he establishment of any sewer, wamr, conservation, ditch., dr&inage, or other district relating ~o or binding upon the Property o¢ any part of it. Mortgagor authorizes Lender ~o intervene in Morzgagor's name in any of the above described actions or claims and to collect and receive all sums resul[i.qg flora the action or claim. Mortgagor assigns to Lender the proceeds of any award or claim for damages connected with. a c,ondemnadon or other raking of all or any par[ of the Property. Such proceeds shall be considered payments and will be abplied as provided in this Mortgage. This assignment of proceeds is subject ~o terms of any prior mortgage, deed icl t;-ust, security agreement or other lien document. ~" ~ 19'3, 2001 Bankars Sy ,m., St. Cloud, MN Form AGCO-RESI-WY 1/16/2003 ...... 20. INSURANCE. Mortgagor agrees to i;nai~tain insurance as follows: A. Mortgagor shall keep the I?ro,perty insured against loss by fire, theft and other hazards and risks reasonably associated with the Prope¢.y due to its ~ype and location. Other hazards and risks may include, for example, coverage against loss due -:o ¢loods or flooding. This Insurance shall be maintained in the amounts and for the periods that Lender require.,.~. What Lender requires pursuant to the preceding two sentences can change during the term of the Secured Debt .The insurance carrier providing the Insurance shall be chosen by Mortgagor subjecl to Lender's approval, which shal 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 Mortgage. All insurance policies and r,!newals shall be acceptable to Lender and shall include a standard '"mortgage clause" and, where applicable, "len~ler. loss payee clause." Mortgagor shall immediately notify Lender of cancellalion or termination of the insuranca. _ender shall have the right to hold the policies and renewals. If Lender requires, Mortgagor shall immediate!y ,;live to Lender all receipts of paid premiums and renewal notices. Upon loss, Mortgagor shall give immediate notice to the insurance carrier and Lender. L~nder may make proof of loss if not made immediately by Mortg ,gcr. Unless Lender and Mortgagor otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property dam,.ged if the restoration or repair is economically feasible and Lender's security is not lessened If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds .shall 'be a~plied to the Secured Debt, whether or not then due, with any excess paid to Mortgagor. If Mortgagor ab~,ndi~ns the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offere'~ to settle a claim, then Lender may collect the insurance proceeds. Lender may use the p¢oceeds to repair or resto?e the Property or to pay the Secured Debt whether or not then due. The 30-day period will begin when the notice is given. Unless Lender and Mortgaggr dtherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date ~f ~ch~duled payments or change the amount of the payments. If the Property is acquired by Lender, Mortg?ger's right to any insurance policies and proceeds resulting from damage to the Property before the acquisi'i;ion shall pass to Lender to the extent of the Secured Debt immediately before the acquisition. B. Mortgagor agrees to maintain (:omprehensive general liability insurance naming Lender as an additional insured in an amount acceptable to L~n(!er, insuring against claims arising from any accident or occurrence in or on the Property. C. Mortgagor agrees to mainta n ~ental 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 INSURANCE. Unless otherwise provided in a separate agreement, Mortgagor will not be required to pay to Lender funds for taxes and insurance in escrow. 22. FINANCIAL REPORTS AND ADDI'flONAL DOCUMENTS. Mortgagor will provide to Lender upon request, any financial statement or information Lender m'~y ;:loom necessary. Mortgagor warrants that all financial statements and information Mortgagor provides to Lender are, ,)r Will be, accurate, correct, and complete. Mortgagor agrees to sign, deliver, and file as Lender may reasonably reques1 a0y additional documents or cerlifications that Lender may consider necessary to perfect, continue, and preserve Mc?tgi~gor's, . obligations under this Mortgage and Lender's lien status on the Property. If Mortgagor fails to do so, Lender may s~gn, deliver, and file such documents or certificates in Mortgagor's name and Mortgagor hereby irrevocably appointsi! Lender or Lender's agent as attorney in fact to do the things necessary lo comply with this section. 23. JOINT AND INDIVIDUAL LIABILITY; ¢,O-SIGNERS; SUCCESSORS AND ASSIGNS BOUND. All duties under this Mortgage are joint and individual. If Mortgagor signs this Mortgage but does not sign the 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 Secu'edlDebt. Mortgagor agrees that Lender and any party to this Mortgage may extend, modify or make any change in the (or'ns of this Mortgage or the Evidence of Debt without Mortgagor's consent. Such a change will not release Mortgagor [ro~ the terms of this Mortgage. The duties and benefits of this Mortgage shall bind and benefit the successors and assign¢ of Mortgagor and Lender. If this Mortgage secures a guaranty, bi;tween Lender and Mortgagor and does not directly secure the obligation which is guarantied, Mortgagor agrees to wa'ivle any rights that may prevent Lender from bringing any action or claim against Mortgagor or any party indebted under: the obligation including, but not limited to, anti-deficiency or one-action laws. ,.: 646 24. APPLICABLE LAW; SEVERABILIT~'; ~NTERPRETATION. This Mortgage is governed by the laws of the jurisdiction in which Lender is located, except Io the extent otherwise required by the laws of the jurisdiction where the Property is located. This Mortgage is complete i and fully integrated. This Mortgage may not be amended or modified by oral agreement. Any section or claus(~, in,this Mortgage, al~tachments, or any agreement related to the Secured Debt that conflicts with applicable law will rot l~e effective, unless that law expressly or impliedly permits the variations by written agreement. If any section Or clau:;e' ~f 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 !he singular. The captions and headings of the sections of this Mortgage are for convenience only and are not to bs used to interpret or define the terms of this Mortgage. Time is of the essence in this Mortgage. 25. NOTICE. Unless otherwise require.~l by law, any notice shall be given by delivering it or by mailing it by first class mail to the appropriate party's'address or page 1 of this Mortgage, or to any other address designated in writing. Notice to one mortgagor will be deemed to be nctic~ to all mortgagors. 26. WAIVERS. J~xcept to the extent prohibited by law, Mortgagor waives any right regarding the marshalling of liens and assets and all homestead exemption rights relating to the Property. 27. U.C.C. PROVISIONS. If checked, t~e following are applicable to, but do not limit, this Mortgage: [] Construction Loan. This Mortgage secures an obligation incurred for the construction of an improvement on the Property. . [] Fixture Filing. Mortgagor g~ran~is to' Lender a security interest in all goods that Mortgagor owns now or in the future and that are or will t:eco!~ne fixtures related to the Property. [] Crops; Timber; Minerals; F'.enta, IsSues and Profits. Mortgagor grants to Lender a security interest in all crops, . timber and minerals located oh the Property as Well as all rents, issues, and profits of them including, but not limited to, all Conservation Reserve Program (CRP) and Payment in Kind (PIK) payments and similar governmental programs (all of which shal also be included in the term "Property"). [] Personal Property. Mortgal;or l;:rants to Lender a security interest in all personal property located on or connected with the Property. This secGrity interest includes all farm products, inventory, equipment, accounts, documents, instruments, chattel paper, general intangibles, and all other items of personal property MortgagOr owns now or in the future and that are used orl useful in the construction, ownership, operation, management, or maintenance of the Property. The term "pi.~rsonal property" specifically excludes that property described as "household goods" secured in connection wilh a "consumer" loan as those terms are defined in applicable federal regulations governing unfair and decep !ive ~cred t practices~ [] Filing As Financing Statement. Mortgagor agrees and acknowledges that this Mortgage also suffices as a financing statement and as such, maY be filed of record as a financing statement for purposes of Article 9 of the Uniform Commercial Code. A carbon, photographic, image or ott~er reproduction of this Mortgage is sufficient as a ·financing statement. 28. OTHER TERMS. If checked, the fo:lowing are applicable to this Mortgage: [] Line of Credit. The Secured De'bt includes a revolving line of credit provision. Although the Secured Debt may be reduced to a zero balance, !his .Mortgage will remain in effect until released. [] Separate ASsignment. The Mo~:tgagor has executed or will execute a separate assignment of leases and rents. If the separate assignment Of lea~es and rents is properly executed and recorded, then the separate assignment will supersede this Security Instrument's "Assignment of Leases and Rents" section. [] Additional Terms. ~ ,© lgg3, 2OO1 Bankers Systems, Inc., St. ~l~Jd, MN Form AGCO-RESI-WY 1/1612003 (page.,..? o..f 8) ~ o,9001.o5 t., c 64 7 SIGNATURES: By signing below, Mt,rt{}agor agrees to the terms and covenanls contained in this Mortgage and in any attachments. Mortgagor also ackno~vl.=dges receipt of a copy of this Mortgage on the date stated above on Page 1. [] Actual authority was granted to the parties signing below by resolution signed and dated Entity Name: ~/"atu'etlLd~.N E. HARRO~'VER ~ ~,,, ,?,gna,ure~ (Date} (Signature} {Dalai }Signaturel (Dale} [] Refer to the Addendum which is attached and incorporated herein for additional Mortgagors, s~gnatures and acknowledgments. ACKNOWLEDGMENT: STATE OF WYOMING , COUNTY OF LARAMIE This instrument was acknowledged before me this 28TH (Individuall by LI//IAN E. HARROWER. AS AN INDIVIDLIAI My commission expires: ~,~. day of MAY, 2004 SS. STATE OF , , COUNTY OF This u~strument was acknota~ledged before me this by da y of SS. ITitleis}j Ackr~wledomenl} 0~: a My commission expires: (Name of Business or Entity) on behalf of the business or entity. (Nolary Public} ~ © 199:~. 2001 Bankers Systems. Irm., SI Cloud. MN Form AGCO-R~J:/r] 6/2OO3 __.(o. qge 8 of 81 .-648 Exhibit A T23N Rll6W of the t th :P.M., Lincoln County, Wyomi~!g Section 21: Section 22: NWgN/::g, Lot 3, E'ANW¼; W~ANWM. Towns'hip 23 North, Range ]:14 West of the 6th P' M. , Linc'oln County, Wyoming: section 5 :' NEySWy .~0F9ship "23 North, Copnty~ Wyoming:: S~ction 1 : Lot, 4 . SE.±.&~± 'Section Section 5' : Lot 39f' ' Range 115 West of the 6th P.M.,- Lincoln Section 6 :Sw'~w~,,Y~¥, Lct ]3t ~W~SEyh ", , Section 8 : Lot 40E. -~. .Section 17: w]w~, Lots 4I.A, 41.B, '4~.C, 4ID, 4qE SectiOn 20: W~NW¥, Lots 42A, [42B, 42C Township 24 North, Range ] ]3 West of the 6th Ix.M. , Lincoln County, Wyoming: Lots 38, 39 and 40 lying within Sections 3, 4 and 8 Lincoln Sectio.n 4 : Lots 5 and 6. less and except land conveyed at Book'229PR, page 509 Section 5 : Lots '] 5,~ ]~6, ]8, 19, SE¼ of Lot 9, S½SE of Lot ]4 Section 8 : Lots 2, 3, 5, 6 Township 24 North-~ F, ange ]]5 West of the 6th- P.M., County, Wyoming: Section 14: N~SW~ Section 25: swysw¥ section 26: s' Section 32: sw¼- Section 34: NW¥SE~ 1 Section 35: NiNEy'