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HomeMy WebLinkAbout900832RECORDATION REQUESTED BY: Thc Jackson State Bank & Trust West Office P.O. Box t788 50 Buffalo Way Jackson, WY 83001 WHEN RECORDED MAIL TO: The Jackson State Bank & Trust West Office P.O. Box 1788 50 Buffalo Way Jackson, WY 83001 SEND TAX NOTICES TO: The Jackson State Bank & Trust West O1fice P.O. Box 1788 50 Buff'ale Way Jackson, WY 83001 RECEIVED LINOO!.t.I COIINTY CI__ERK SPACE ABOVE THIS LINE IS FOR RECORDER'S USE ONLV CONSTRUCTION MORTGAGE MAXIMUM LIEN. The lien of this Mortgage shall not exceed at any one time $80,000.00. THIS MORTGAGE dated July 6, 2004, ,s made and executed between Rachel Warren, a sole owner, whose address is P.O. Box 6583, Jackson, WY 83002 (referred to below as "Grantor") and The Jackson State Bank & Trust, whose address is P.O. Box 1788, 50 Buffalo Way, Jackson, WY 83001 (referred to below as "Lender"). GRANT OF MORTGAGE. For valuable consideratiorl, Grantor mortgages and conveys to Lender all of Granlor's right, tflle, and interest in and lo the following described real property, together with all existing or subsequently erected or affixed buildings; improvements and fixtures; all easemenis. rights of way, and appurtenances; all water, wa[er'rights, watercourses and ditch rights (including stock in utilities with ditch or irrigation rigl~ts); and all otl~er rights, royalties and profits relating to the re. al property, including without limitation all minerals, oil, gas, geothermal and similar matters, (the "Real Property") located in Lincoln Uounty, State of Wyoming: Lot 30 in Star Valley Ranch Plat 15, Lincoln County, Wyoming as described on the official plat thereof The Real Property or its address is commonly known as 365 Alpenglow Drive, Thayne, WY 83127. Grantor presently assigns to Lender all of Grantor's righ:, title, and interest in and to all present and future leases of the Property and all Rents lrom the Property. In addition, Grantor grants to Lender a L'niforr9 Commercial Code secur ty idterest in lhe Personal Property and Reras. THIS MORTGAGE, INCLUDING THE ASSIGNMENT OF RENTS AND THE SECURITY INTEREST IN THE RENTS AND PERSONAL PROPERTY, IS GIVEN TO SECURE (A) PAYMENT OF THE INDEBTEDNESS AND (B) PERFORMANCE OF ANY AND ALL OBLIGATIONS UNDER THE NOTE, THE RELATED DOCUMENTS, AND THIS MCR'[GAGE, THIS MORTGAGE IS GIVEN AND ACCEPTED ON THE FOLLOWING TERMS: PAYMENT AND PERFORMANCE. Except as otherwise provide8 in this Mortgage, Grantor shall pay to Lender all amounts secured by this Mortgage as they become due and shall strictly perform all of Graf,tot's obligations under this Mortgage. CONSTRUCTION MORTGAGE. This Mortgag:.~ is d "construction mortgage" for the purposes el Sections 9-334 and 2A-309 of the Uniform Commercial Code, as those sections have been adopted, by the State of Wyoming: POSSESSION AND MAINTENANCE OF THE PF:OPEHTY. Grantor agrees that Grantor's possession and use of lhe Property shall be governed by the following provisions: Possession and Use. Until lhe occurrence of an Event o! Default, Grantor may (1) remain in possession and control of the Property; (2) use, operate or manage the Property; and (3) col ecl the Rents trorn the Property. Duty to Maintain. Grantor shall mainlain the Property in good coddifion and promptly perform all repairs, replacements, and maintenance necessary to preserve its value. Compliance With Environmental Laws. Grantor represents and warrants to Lender that: (1) During the period of Grantor's ownership of the Property, there has been no use, generation), manufacture, storage, treatment, disposal, release or threateeed release el any I-tazardous Substance by any person on, under, about or from the Property; (2) Grantor has no knowledge of, or reason to believe that lhere has been, except as previously disclosed to and acknowledged by Lender in writing, (a) any breach or violalion of any Environmenlal Laws, (b) any use, generation, manufacture, storage, treatment, disposal, release or threatened release el any Hazardous Substance on, under, about or from the 'Property by any prior owners or occupants of the Property, or (c) any actual or threatened liligalion or claims of any kind by any person relating to such matters; and (3) Except as previously disclosed to and acknowledged by Lender in writing, (a) neither Grantor nor any tenant, contractor, agent or other authorized user el the Property shall use, generate, manulacture, slore, treat, dispose of or release any Hazardous Substance on, under, about or from the Property; and (b) any such activity shall be conducted in compliance with all applicable federal, state, and local laws, regulations and ordinances, including wilhout limitation all Environmental Laws. Grantor authorizes Lender and its agents to enler upon the Property to make such inspections and tests, at Granlor's expense, as Lender may deem appropriate to determine compliance of the Property with this section of the Mortgage Any inspections or tests made by Lender shall be for Lender's purposes only and shall not be conslrued to create any responsibility or liability gq the part of Lender to Grantor or to any other person. The representations and warrant es contained herein are based on Grantor's due diligence in idvestigating the Property for Hazardous Substances. Grantor hereby (1) releases and waives any future claims against Lender for i¢~den-nity or contribution in the event Grantor becomes liable for cleanup or olher costs under any such laws; and (2) agrees to indemnify and hold harmless Lender against any and ali clahns, losses, liabilities, damages, penalties, and expenses which Lender may directly or indirectly sustain or suffer resulting from a breach of this section of lhe Mortgage or as a consequence of any use, generation, manufacture, storage, disposal, relea..e or threatened release occurring prior to Granlor's ownership or interest in the Property, whether or not the same was or should have been known to Grantor. The provisions of this section of the Mortgage, including lhe obligation to indemnify, shall survive Ihe payment of the Indebtedness and the satisfaction and reconveyance el the lien el Ibis Mortgage and shall not be affected by Lender's acquisition of any interest 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 the Property. Without Ii-hiring the generality of the foregoidg, Granlor will not remove, or grant to any olher pafly tt~e righl Io remove, any timber, minerals (including oil aqd gas), coal, clay, scoria, soil, gravel or rock products without Lender's prior written consenl. Removal of Improvements. Grantor shall not d3moiish or remove any Improvements from the Real Property without Lender's prior written consent. As a condition to the removal of an;/ Improvements, Lender may require Grantor lo make arrangements satisfactory to Lender to replace such Improvements with Improvements of at least equal value. Lender's Right to Enter. Lender and Leddr,r's agents and representatives may enter upon the Real Properly at all reasonable tim~s to attend to Lender's interests and to inspect the Real Property for purposes of Grantor's compliance with Ihe terms and conditions el this Morlgage. Compliance with Governmental Requirements. Grantor shatl promptly comply with all laws, ordinances, and regulations, now or hereafter in effect, of all governmental authorities applicable to the use or occupancy of the Property. 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, in ~_ender's sole opinion, Lender's interests in the Property are net jeopardized, lender may require Grantor to post adequate security or a surety bond, :reasonably satisfactory lo Lender, to i:,rolect Lender's interest. Duty to Protect. Grantor agrees neither to abandon or leave unattended lhe Property. Grantor shall do all other acts, in addition to those acts set forth above in this section, which from the character and use of the ProPerty are reasonably necessary to protect and preserve the Property. DONSTRUCTION LOAN. If some or all Of the proceedS, of the loan creating the Indebtedness are 1o be used to construct or complete construction of any Improvements on the Property, the Improvemedts shall be completed no later than the maturity date of the Note (or such earlier date as Lender Loan No: 33048562 MORTGagE (Continued) Page 2 may reasonably establish) and Grantor shall pay in full all costs and expenses in connection with the work. Lender will disburse loan proceeds under such terms and conditions as Lender may deem .reasonably necessary to insure that the interest created by this Mortgage shall have priority over all possible liens, including those of material suppliers and workmen. Lender may require, arnong olher ihings, lhat disbursement requests be supported by receipted bills, expeose affidavits, waivers of liens, construction progress reports, and such o~her documentation as Lender may reasonably request. DUE ON SALE - CONSENT BY LENDER. Lender may, at Lender's option, declare immediately due and payable all sums secured by this Mortgage upon the sale or transfer, without Lender's prior written consent, of all or any pad of the Real Property, or any interest in the Real Property. A "sale or transfer" means the conveyance of Real Propery or any right, title or interest in tile Real Property; whether legal, beneliciat or equitable; whether voluntary or involunlary; whether by outrighl sale, deed, installment sale contract, land contract, contract Jot deed, leasehold interest wilh alerm greater than three (3) years, lease-option contract, or by sale, assignment, or transfer of any benelicial inlerest in or to any land trust holding title to the Real Property, or by any other method of conveya ~ce of an interest ii'~ the Real Property. However, this option shall not be exercised by Lender if such exercise is prohibited by federal law or by Wyomi¢'g law. TAXES AND LIENS. The following provisions rel:~ting to lhe taxes and liens on the Properly are part of Ibis Modgage: Payment. Grantor shall pay when due (ancl in all events prior to delinquency) all luxes, payroll taxes, special taxes, assessments, water charges and sewer service charges levied against c,r on accouot of the Property, and shall pay when due all claims for work done on or for services rendered or material furnished to the Properly. Grantor shall maintain the Property tree of any liens having priority over or equal to the interest of Lender under this Mortgage, except for thos~ liens specifically agreed to in writing by Lender, and except for the lien of taxes and assessments not due as further spocilied in the Right to Conte-;t paragraph. Right to Contest. Grantor may w. thho d pay ~entlof, any tax, assessment, or claim in conneclion wilh a good faith dispute over the obligation to pay, so long as Lender's interest n the Prop ~rty is ~ot jeopardized. If a Ien ar ses or is filed as a result of nonpayment, Grantor shall within lifteen (15) days after the lien arises or, il a fen is filed, w'ithin Ii[teen (15) days alter Grantor has notice of the liling, secure the discharge of the lien, or if requested by Lender, deposit with Lender CaS t or e sufficient corporate surety bond or other securily satisfactory to Lender in an amount sufficient to discharge the'lien plus any costs and reasonab ~ attorneys' fees, or other charges that could accrue as a result of a loreclosure or sale under tile lien. In any contest, Grantor shall defend itsell and Lender and shall satisly any adverse judgment before enforcement against tile Properly. Grantor shall name Lender as an additionol obi gee under any surety bond furnished in the contest proceedings. Evidence of Payment. Grantor shall upon.dema'.~d furnish to Lender satisfactory evktence ct payment of the taxes or assessments and shal authorize the appropriate governmental official to ;::leliver to Lender at any time a wrille~l statemenl fl lhe luxes and assessments against tile Property. Notice of Construction. Grantor shall noilly Lender at least fifteen (15).days'before any work is commenced, any services are furnished, or any materials are supplied to the Property, if any mechanic's lien, materialmen's lien, or other lien could be asserted on account fl the work, services, or materials. Grantor will upon request of Lender furnish to Lender advance assurances satisfactory to Lender that Grantor can and will pay the cost of such improvements. PROPERTY DAMAGE INSURANCE. The following pro:~/isions relating to insuring the Property are a part fl this Modgage: Maintenance of Insurance. Grantor shall procure and mai~tain policies of tire insurance with standard extended coverage endorsements on a replacement basis for the foil insurable valu(~. covering all Improvements on the Real Property in an amount sufticienl to avoid application of any coinsurance clause, and with a standard rno~lgage'e clause in favor of Lender. Policies shall be written by such insurance companies and ~n SUCh forn~ as may be reasonably acceptable to. Lender. Grantor shall deliver to Lender certificates fl coverage from each insurer con[ainin9 a stipulation that coverage will not be cancelled or diminished without a minimum of ten (~iO) days' prior written nolice 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 endorsemen~ providing thai coverage in favor of Lender will not be impaired i.rl any way by any act, omission or delaull fl Grantor or any other person. Should the Real Properly be located in an area designated b,.' the £~irector of the Federal Emergency Managemenl Agency as a special flood hazara area. Grantor agrees to obtain and maintain Federal FIood. lnsur,~nce, il available, within 45 days alter notice is given by Lender that the Property is located in a special flood hazard area, for the full unpaid principal balance of the loan and any prior liens on the property securing the loan, up to tl~e maximum policy limits set under the Nation~'l Flood Insurance Program, or as olherwise required by Lender, and to maintain such insurance for the term fl the loan. Application of Proceeds. Grantor shall promptly qotify Lender of any loss or damage to tile Property. Lender may make proof fl loss if Grantor fails to do so within fifteen (15) days of lhe casualty. Whether or not Lender's securily is impaired, Lender may, at Lender's electo~ receive and relain the proceeds of any insurance and aF'ply the proceeds to the reduction fl the Indeb[edness, payment of any lien affectio9 the Property, or the restoration and repair of the Property. If Lender elects to apply tile proceeds to restoralion and repair, Grantor shall repair or replace the darr~aged or destroyed Improvements in a manner satisfactory to Lender. Lender st~all, upon satisfactory proof of such expenditure, pay or reimburse Grantor from the proceeds for the reasonable cost of repair or restoration if Gra~ltor is nfl in default under this Mortgage. Any proceecJs which have not been disbursed within 180 d~.ys after their receipt and which Lender has r~o[ commilled to the repai~ or restoration fl lhe Property shall be used first tO pay any amount owing to Lender under this Mortgage, then to pay accrued interest, and the rema rider, it any, sllall be applied to the principal balance of the Indebt~.~dness. If Lender holds any proceeds alter paymenl in full of the Indebtedness, such proceecls sl~all be paid to Grantor as Grantor's interests may appear. LENDER'S EXPENDITURES. II Grantor fails fA) to keep the Property free of all taxes, liens, security interests, encumbrances, and other claims. (B) to provide any required insurance on the Properly, or (C) to make repairs to the Property then Lender may do so. Il any action or proceed,~g is commenced that would materially affect Lender's interests in the Property, then Lender on Grantor's behalf may, but is not required to, take any ac~on that Lender believes to be appropriate to protect i_ender's interests. All expenses incurred or paid by Lender for such purposes will flied bear i~lterest at the rate charged under the Note from the date iqcurred or paid by Lender to the date of repayment by Grantor. All such expenses will become a pad of the Indebtedness and, at Lender's option, will fA) be payable on demand; (B) be added to Ihe balance of the Note and be apportioned among and be payable with any installment payments to become due during either (1) the term fl any applicable insurance policy; or (2) the remaining term of the Note; or (C) be treated as a balloon payment which will be due and payable at the Note's maturity. The Mortgage also will '~ecure payment of these amounts. The rights provided for in this p~ ragraph shall be in addition to any olher rights or any remedies Io which Lender may ce entilled on account of any default. Any such action by Lender shal,I nfl be construed as curing the default so as to bar Lender from any remedy lhat it otherwise would have had. WARRANTY; DEFENSE OF TITLE. The lollowing prov stoas relating to ownership fl the Property are a part fl this Mortgage: Title. Grantor warrants that: 'fa) Grantor holds gc~od and marketable title of record to the Property in fee simple, lree and clear of all liens anc~ encumbrances other than those set forth in the Real Property description or in any title insurance policy, title report, or final t~tle opinion issuecJ in favor fl', and accepted by, Lender in connection wit,~ this Mortgage, and (b) Grantor has Ihe full right, power, and authority to execute and deliver this Mortgage lo Lender. Defense of Title. Subject to tile exception in the paragraph above, Grantor warranis and will lorever defend the iitle to tile Property againsl the lawful claims of all persons. In the event an? actio0 or proceed ng is commenced Ihat questions Grantor's title or tile interest of Lender unaer this Mortgage, Grantor shall defend the action at Grantor's expense. Grantor may be the nominal party in such proceeding, bul Lender shall be entitled to participate in the proceeding and 'o be represented in the proceeding by counsel fl Lender's own choice, and Grantor will deliver or cause to be delivered, to Lender. such instruments as Lende~ may requesl from time to time to permit such participation. Compliance With Laws. Grantor warrants that.the Property and Grantor's use fl lhe Property complies with all existing applicable laws ordinances, and regulations of governmental authorities. Survival of Promises. All promises, agreements, and statements Grantor has made in this rvloriga~)e shall survive lhe execution and delivery ct this Mortgage, shall be continuing in nature and shall remain in ful~ force arid effect until s~ch time as Grantor's Indebtedness is paid in lull. CONDEMNATION. The following provisions relating to condemnation proceedings are a part fl Ihis Mortgage: Proceedings. If any proceeding in condem.~ation is filed, Grantor shall promplly notify Lender in writing, and Grantor shall promptly take such steps as may be necessary to defend the ac,ion an:i obtain Ihe award. Grantor may be the nominal party in such proceeding, but 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 to be delivered to Lender such instruments and documentation. : as may be requested by Ler~der Irom time to time to permil such participation. Application of Net Proceeds. Il all or any ,,)art of the Property is condemned by eminent domain proceedings or by any proceeding or purchase in lieu or condemnation, Lender may al its el'~.ction require that all or any portion fl tile net proceeds of lhe award be applied to the Indebtedness or tile repair or restoration of the Properly. The ne! proceeds of the award shall mean Ihe award after payment fl all reasonable costs, expenses, and attorneys' fees incurred by Lender in cor,neclion with the condemnation. IMPOSITION OF TAXES, FEES AND CHARGE~ BY GOVERNMENTAL AUTHORITIES. The following provisions relating Io governmental luxes, fees Loan No: 33048562 MORTGAGE ~._ 1 5 ~ (Continued) r ~ ~ Page 3 and charges are a part of this Mortgage: Current Taxes, Fees and Charges.. Upon requ;ast by Lender, Grantor shall execute such documents in addition to this Mortgage and take whatever other action is requested by Lender to plerfect and continue Lenders lien on the Real Property. Grantor shall' reimburse Lender for all taxes, as described below, together with all expenses incurred in recording, pedecting or continuing this Mortgage, including without limitation all taxes, fees, documentary stamps, and other charg~'~s for recording or registering this Mortgage. Taxes. The following shall Constitute taxes towhi~::h this section applies: (1) a specific tax upon this type gl Mortgage or upon all or any part the Indebtedness secured by this Mortgage; .(2) 'a specific tax on Grantor which Grantor is authorized or required to deduct from payments on the Indebtedness secured by this type of Mcr*gage; (3) a tax on this type of Mortgage chargeable against the Lender or the holder of the Note; and (4) a specific tax on all or a~y portion of ~he hiidebtedness or on payments of principal and interest made by Grantor. Subsequent Taxes. If any tax to which this section applies is enacted subsequent ~o the date of Ibis Mortgage, this event shall have the same effect as an Event of Default, and Lender may exercise any or all gl, its available remedies for an Event of Default as provided below unless Grantor either (1) pays the tax before it becomes deli~quent, or (2) contests tile tax as provided above in tl~e Taxes and Liens section and deposits with Lender cash or a sufficient corporate surety bc:nd or other security satisfactory to Lender. SECURITY AGREEMENT; FINANCING STATEM~:_NTS. The following provisions relating Io this Mortgage as a securily agreement are a part gl this Mortgage: ' ' Security Agreement. This instrument shall consli~ute a Security Agreement to the extent any of the Property constitutes fixtures, and Lender shall have all of the rights of, a secured party ender the Uniform Commercial Code as amended from lime Io lime. Security Interest. Upon request by Lender, Granior shall take whatever action is requested by Lender to perfect and continue Lender's security interest in the Personal Property. In addition ro recording this Mortgage in tile real properly records, Lender may, al any time and without further authorization from Grantor, file executed coun*erparts, copies or reproductions of this Mortgage as a financing statement. Grantor shall reimburse Lender for all expenses incurred in perfectin.c or continuing this security interest. Upon default, Grantor shall not remove, sever or detach the Personal Property from the Property. Upon default, Grantor shall assemble any Personal Property not affixed to the Property in a manner and at a place reasonably convenient to Grantor and Lender and make it available to Lende~ within lhree (3) days after receipt of, written demand from Lender to the extent permitted by applicable law. Addresses. The mailing addresses of Gra[~tor (debtor) and Lender (secured party) from which information concerning the security interest granted by this.Mortgage may be obtained tea,ch a.,I required by the Uniform Commercial Code) are as stated on lhe fi[st page of this Mortgage. FURTHER ASSURANCES; ATrORNEY-IN-FAC'r. The following provisions relatin9 to ludher assurances and attorney-in-fact are a part of this Modgage: Further Assurances. At any time, and from tim~i to time, upon request of, Lender, Grantor wilt make, execute and deliver, or will cause to be made, executed or delivered, to Lender or (o L~'..~nder's designee, and when requested by Lender, cause to be filed, recorded, refiled, or rerecorded, as the case may be, at such tim'~s acid, in such offices and places as Lender may deem appropriate, any and all such mortgages, deeds of, trust, security deeds, security agreements financing statements, continuation statements, instruments of further assurance, cedificates, and other documenls as may, in the sole opinion of Lender, be necessary or desirable in order to effectuate, complele, perfect, continue, or preserve (1) Grantor's obligations under thel Note, this Mortgage, and the Relate~l Documents, and (2) the liens and security interests creeled by this Mortgage as first and prior liens on the Property, whether now owned or hereal,ter acquired by Grantor. Unless prohibited by law or Lender agrees to the contrary in writing, Grantor shall rei¢.~burse Lender for all costs and expenses incurred in connection with the matters referred to in this paragraph. Attorney-in-Fact. If Grantor fails to do any of'the fhings referred to in the preceding paragraph, Lender may do so for and in Ihe name of, Grantor and at Grantor's expense. For such purposes, Grantor herebY irrevocably appoints Lender as Grantor's attorney-in-fact for the purpose of making, executing, delivering, filing, recording, and doing all other things as may be necessary or desirable, in Lender's sole opinion, to accomplish the matters referred to in the precedingiparagraph. FULL PERFORMANCE. If Grantor pays all the Indebtedness when due, and otherwise performs all' the obligations imposed upon Grantor under this Mortgage, Lender shall execute and deliver to Grantor !~ suitable satisfaction of this Mortgage and suitable statements of termination of any financing statement on file evidencing Lender's security interest 'in the Rents and tile Personal Property..Grantor will pay, if permitted by applicable law, any reasonable termination fee as determined by Lender froE~ time to time. EVENTS OF DEFAULT. At Lender's option, Granior wirl be in default under this Mortgage if any of the following happen: Payment Default. Grantor fails to make any payment when due under the Indebtedness. Default on Other Payments. Failure of Grantor :within the time required by this Mortgage to make any payment for taxes or insurance, or any other payment necessary to pr.event filing of or. to effect discharge of any lien. Break Other Promises. Grantor breaks any I~romlse made to Lender or fails to pedorm promptly at tile time and strictly in tile manner provided in this Mortgage or in any agreement related to tl'~is' Mortgage. Default in Favor of Third Parties. Should Grant¢ir default under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any other Creditor or person that may materially affect any of Grantor's property or Grantor's ability to repay the Indebtedness or Grantor's ability to perform G~,antor's obi gat o ~s under this Mortgage or any related document. False Statementsl Any representation or statement made or furnished to Lender by Grantor or on Grantor's behalf under this Mortgage or the Related Documents is lalse or misleading in any material respect,, either now or at the time made or furnished. Defective Collateralization. This Mortgage o- any of the Related. Documents ceases Io be in full force and elfect (including l,ailure of any collateral document to create a valid and perfected security interest or lien) at any time and for any reason. Death or Insolvency. The death of Grantor, th~ insolvency of Grantor, the appointment gl a receiver for any part of Grantor's property, any assignment for the benefit of creditors, any tyFe gl creditor workout, or Ibc'commencement of any proceeding under any bankruptcy or insolvency laws by or against Grantor. Taking of the Property. Any creditor or gov~'.rnm0ntal agency tries to take any of the Property or any other of Grantor's property in which Lender has a lien. This includes taking of, garnishing of or levying on Grantor's accounts with Lender. However, il Grantor disputes in good faith whether the claim on which the taking of the Property is based is valid or reasonable, and il' Grantor gives Lender written notice of the claim and furnishes Lender with monies or a surety bond satisfactory to, Lender to satisfy the claim, then this defaul~ provision will not apply. Breach of Other Agreement. Any breach by;Grantor under the terms of any Other- agreement between Grantor and Lender lhal is nol remedied within any grace period provided therein, inclu,'fing without limitation any agreement concerning any indebtedness or otl~er obligation gl Grantor lo Lender, whether existing now or later. . Events Affecting Guarantor. Any of the pre~ie'din9 events occurs with respect to any guarantor, endorser, surety, or accommodation party of any of the Indebtedness or any guarantor, endorser, surety, or accommodation party dies or becomes incompetent, or revokes or disputes Ihe validity of, or liability under, any Guaranty of the Inde[;tednass. In the event of a death, Lender, at its option, may, but shall not be required to, peimit the guarantor's estate to assume unconditionally the o~ligations arising under the guaranty in a manner satisfactor.v to Lender, and, in doing so, cure any Event of Default. Right lo Cure. If any default, other ihan a defaFIt in payment is curable and if Grantor has not been given a notice gl a breach of the same provision of this Modgage within the preceCing twelve (12) months, it may be cured il Grantor, al,let receiving written notice from Lender demanding cure of. such default: (1) cures the default wilbin fifteen (15) days; or (2) if Ihe cure requires more than fifteen (15) days, immediately initiates steps which Lender deems in Lender's S~,le discretion to be sufficient to cure Ihe default and therealter 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 an Event of Default and at any time thereafter, Lender, at Lender's option, may exercise anyone or more of the following dghts and remedies, in addition to any other rigbts o~ remedies provided by law: Accelerate Indebtedness. Lender shall hav~ the,right at its option without notice to Grantor to' declare the entire Indebtedness immediately due and payable, including any prepayment penalty wh ch Grantor would be required to pay. UCC Remedies. With respect to all or any pad 0~i the Personal Property, Lender shall have alt 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 lhe pendency of (,L, [I a)'"on"nue-' .... "" Loan No: 33048562 Page 4 foreclosure, whether judicial or non-judicial, and collect the Rents including amounts past due and unpaid, and apply the net proceeds, over and above Lerlder's cosls, against the Indebtedness. ;In furtherance of this right, Lender may require any tenant or other user ct the Properly to make payments of rent or use fees directly to Lender. If the Rents are collected by Lender, then Grantor irrevocably designates Lender as Grantor's attorney-in-fact to endorse instruments received in payment Ihereof in the name of Grantor and to negotiate the same and collect the proceeds. Paymenls by tenants or other users to Lender ir response to Lender's demand shall satisfy the obligations for which the payments are made, whether or not any proper grounds for the de;mand existed. Lender may exercise ils rights under this subparagraph either in person, by agent, or through a receiver. Appoint Receiver. Lender shall have the tiglit to have a receiver appointed to take possession ol all or any part of the Property, with the power to prolect and preserve the Property, to operate the Property preceding foreclosure or sale, and to collect Ibe Renls from the Property and apply the proceeds, over and above lhe cost of the receivership, against the Indebledness. The receiver may serve without bond if permitted by law. Lender's right lo the appointment of a recei~/er shall exist whether or not Ihe apparent value of the Property exceeds the Indebtedness by a substanlial amount. Employment by Lender ?hall not disqualify a person from serving as a receiver. Judicial Foreclosure. Lender may obtain a iudicial decree foreclosing Grantor's interesl in all or any part of the Property. Nonjudicial Sale. Lender may foreclose Grantor'.s interest in all or in any part of the Property by non-judicial sale, arid specifically by "power sale" or "advertisement and sale" foreclosure.as provided by statute. Deficiency Judgment. If permitted by appl';cabl8 law, Lender may obtain a judgmenl for any deficiency remaining in the Indebtedness due to Lender after application of all amounts receiv, id from the exercise of tile rights provided in this section. Tenancy at Sufferance. If Grantor remains in possession of the Property after the Property is sold as provided above or Lender otherwise becomes entitled to possession of the Propely upon default of Grantor, Grantor shall become a tenant at sufferance of Lender or tile purchaser of the Property and shall, at Lender's optic% either (1) pay a reasonable renlal for the use of the Property, or (2) vacate the Property immediately upon the demand of Lender. Other Remedies. Lender shall have all othe' righ;s and remedies provided in this Mortgage or the Note or available at law or in equity. Sale of lhe Property. To the extent permitted .b~y applicable law, Grantor hereby waives any and all right to have the Property marshalled. In exercising its rights and remedies, Lender shall be free to sell all or any part of the Properly together or separately, in one sale or by separale sales. Lender shall be entitled to bid at any i:'.ub csale on all or any porlion ol the Property. Notice of Sale, Lender will give Grantor red,son,hie notice of the time and place of any public sale of the Personal Property or of the time after which ally private sale or other intended dispositiC)n of the Personal Property 'is to be made. Reasonable notice shall mean notice given at least ten (10) days before the time of the sale or disposition. Any sale of the Personal Property may be made in conjunclion with any sale of the Real Property. Election of Remedies. All of Lender's rightr~ and remedies wilt be cumulative and may be exercised alone or together. An election by Lender to choose any one remedy will not bar Lender from using any other remedy. II Lender decides to spend money or to perform any of Grantor's obligations under this Mortgage, after Grantof's failure to do so, that decision by Lender will not affect Lender's right Io declare Granlor in delault and to exercise Lender's remedies. Attorneys' 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 attorneys' fees at trial and upon any appeal. Whether or not any court actioo is involved, and to the extent nol pro~ b ted by law, all reasonable expenses Lender incurs that in Lender's opinion are necessary at any time for the proteclion of its interest or the enforcement of its rights shall become a part ol the Indebledness payable on demand and shall bear interest at the Note tale from the date of the expenditure until repaid. 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 isa lawsuit, including reasonable attorneys' fees and expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post-judgment collection services, th~: cost of searching records, obtaining title reports (including foreclosure reports), surveyors' reports, and appraisal fees and title insurance, to the extent permitted by applicable law. Granlor also will pay any court costs, in addition to all other sums provided by law. NOTICES. Any notice required to be given under this Modgage, including without limitation any notice of default and any notice of sale shall be given in writing, and shall be effective when actually deliver~d, when actually received by telefacsimile (unless otherwise required by law), when deposiled with a nationally recognized overnight courier, or, if ma led, when deposited in Ihe United Stales mail, as first class, certilied or registered mail poslage prepaid, directed to the addresses shown near the be(jinning of this Mortgage. All copies ol ~lotices of foreclosure from tile holder of any lien which has priorily over this Mortgage shall be sent to Lender!s address, as shown near the beginning of this Mortgage. Any person may change his or her address for notices under this Mortgage by giving formal w~-itten notice to the other person or persons, specifying that the purpose ol the notice is to change the person's address. For notice purpose:'~, Grantor agrees to keep Lender informed al all times of Granlor's current address. Unless otherwise provided or required by law, if there is more than one Grantor, any notice given by Lender to any Grantor is deemed to be notice given to all Grantors. tt will be Grantor's responsibility to tell the others cf the notice from Lender. MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Mortgage: Amendments. What is written in this Mortgage and in lh'e Related Documents is Grantor's enlire agreement with Lender concerning the matters covered by this Mortgage. To be effec.tive, ~,ny change or amendment to this Mortgage must be in writing and must be signed by whoever will be bound or obligated by the change or amendn,ent. Caption Headings. Caption headings in t~is Modgage are for convenience purposes only and are not'to be used to interpret or define the provisions of this Mortgage. Governing Law..This Mortgage will be go'verned by and interpreted in accordance with federal law and the laws of the State of Wyoming. This Mortgage has been accepted by Lender in!'the State of Wyoming. Choice of Venue. If there is a lawsuit, Grantor agrees upon Lender's request to submit to the jurisdiclion of the courts of Teton County, State of Wyoming. ' No Waiver by Lender. Grantor understand'.', Lender will not give up any of Lender's rights under this Mortgage unless Lender does so in writing. The fact that Lender delays or omits to exercise any right will not mean that Lender bas given up that right. If Lender does agree in writing to give up one of Lender's rights, that does not r.qean!Granlor will not have to comply with the other provisions of this Mortgage. Grantor also understands that if Lender does consenl tO ¢. reqdest, that does not mean that Grantor will not have to get Lender's coose~lt again if Ihe siluation happens again. Grantor further understands'that just because Lender consents to one or more of Grantor's reqeests, that does nol mean Lender will be required to consent Io any of Grantor'.'! futu"e requests. Grantor waives presentment, demand for payment, protest, and notice of dishonor. Grantor waives all rights of exemption from 9xecdlion or similar law in the Property, and Grantor agrees that the rights ol Lender in the Property under this Mortgage are prior to Grantor's rights wliile this Mortgage remains in effect. Severability. If a court finds that any provision of'this Mortgage is not valid or should nol be enforced, that fact by itsell will not mean that lhe rest of this Modgage will not be valid or enforced Therefore, a court will enlorce the rest of tile provisions of this Mortgage even if a provision of this Mortgage may be found to be invalid or unenorce~':ble. Merger. There shall be no merger of the in'erest or estate created by Ihis Mortgage with any other interest or estate in the Property at any time held by or for the benefit of Lender in any caf/acity,, wilhout the written consent of Lender. Successors and Assigns. Subject to any limitations stated in Ibis Mortgage on transfer of Grantor's interest, this Mortgage shall be binding upon and inure to the benefit of the parties, their:sfJcceSsors and-assigns. If ownership oi the Property becomes vested in a person olher than Grantor, Lender, without notice Io Grantor, may deal with Grantor's successors with reference to this Mortgage and the Indebtedness by way of forbearance or extension without releasing G antoi: lrom the obligations of this Mortgage or liability under the Indebtedness. Time Is of the Essence. Time is of the essence ih the performance of this Mortgage. Waiver of Homestead Exemption. Granlo~' hereby releases and waives all rights and benefits of the homestead exemption laws ol the State of Wyoming as to all Indebtedness secured by this Mortgage. DEFINITIONS. The following words shall have the following meanings when used in this Mortgage: Borrower. The word "Borrower" means Rachel Warren and includes all co-signers and co-makers signing the Note. Environmental Laws. The words "Environmental' taws" mean any and all state, federal and local slatutes, regulations arid ordinances relating to the proteclion of human health or the environment including without limitation the Comprehensive Environmental Response, Compensation, and Loan No: 33048562 o Joosa~ MORTGAGE i~ ' ! {~ 0 (ContinUed) Page 5 Liability Act 01 1980, as amended, 42 U.S.C. Sect.ion 9601, et seq. ("CERCLA"), the Superlund Amendments and Reauthorization Act of 1986, Pub. L. No. 99-499 ("SARA"), the Hazardous Materials Transpodation 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 app!icable state or federal laws, rules, or regulations adopted pursuant thereto Event of Default. The words "Event of Delault" ~,nean any of the events of default set forth in this Mortgage in the events of defaull section of this Mortgage. : Grantor. The word "Grantor" means Rachel War'en. Guaranty. The word "Guaranty" means r,-~e guaranty from guarantor endorser, surety, or accommodation party to Lender, including without limitation a guaranty of all or part o{ the Note. ; Hazardous Substances. The words "Hazs, rdous, Substances" mean materials that, because of their quantity, concentration or physical, chemical or infectious characteristics, may cause or [:ose z present or potential hazard Io human health or the environment when improperly used, treated, stored, disposed of, generated, manufaclurgd, transported or otherwise handled. The words "Hazardous Sul)slances" are used in their very broadest sense and include without limitation any and all hazardous or toxic substances, materials or waste as defined by or listed under Ihe Environmental Laws. The term "Hazardou,.", .Substances" also includes, without limitation, petroleum and pelioleum by-products or any fraction thereof and asbestos; Improvements. The word "Improvements" means all existing and future improvements, buildings, struclures, mobile homes affixed on the Real Property, facilities, additions, replacements a. nd oti~er construction on the Real Property. Indebtedness. The word "Indebtedness" maans-all principal, interest, and other amou¢~ts, costs and expenses payable under tile Note or Related Documents, together with all renewals of, Eatensions of, rnodifications ol, consolidations of and substitutions Ior the Nole or Relaled Documents and any amounts expended or advanced by Lender to discharge Grantor's obligations or expenses incurred by Lender to enforce Grantor's obligations under this Mortgage, together with interest on such amounts as provided in this Morlgage. Lender. The word "Lender" means The Jackson' State Bank & Trust, its successors and assigns. The words "successors or assigns" mean any person or company that acquires any interest in the Note. Mortgage. The word "Mortgage" means this'. Mortgage between Grantor and Lender. Note. The word "Note" means the promissory ncte dated July 6, 2004, in the original principal amount of $80,000.00 from Grantor to Lender, together with alt renewals ct, extensioni of, modifications of, refinancings ol, consolidations ol, and substitutions for the promissory note or agreement. NOTICE TO GRANTOR: THE NOTE CONTAINS A VARIABLE INTEREST RATE. Personal Property. The words "Personal Propeity" mean all equipment, fixtures, and other articles' of personal property now or herealter owned by Grantor, and now or hereafter attached o. affixed to the Real Properly; together with alt accessions, parts, and a. dditions to, all replacements of, and all substitutions for, any of such property; and together with all proceeds (including without limilation all insurance proceeds and refunds of premiums) from any sale or other di.~positior ol the Property. Property. The word "Property" means collectively the Real Property and the Personal Property. Real Property. The words "Real Property" mean'the real property, inlerests and rights, as further described in this Mortgage. Related Documents. The words "Related Bocuments" mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, {nortgages, deeds of trust, security deeds, collateral mortgages, and all other instrumentS, agreements and documents, whether now or 'here ifter existing, executed in connection with the Indebtedness. Rents. The word "Rents" means all preseet arid future rents, revenues, income, issues, royalties, profits, and other benefits derived Irom the Property, GRANTOR ACKNOWLEDGES HAV ~G READ ALL --HE PROVISIONS OF THIS MORTGAGE, AND GRANTOR AGREES TO ITS TERMS. . . STATE OF COUNTY OF ~ INDIVIDUAL ACKNOWLEDGMENT 'ven und.,er my ha~d and .officiakseal this Notary Public in and ,o¥ the g'ta~e of ~-~l~i 0'~l~' J/'~ g~ ) ) ss ) On this day before me, the undersigned Notary Public personally appeared Rachel Warren, to me known to be the individual described in and who executed the Mortgage, and acknowledged that'he or she signed the Mortgage as his or her Iree and voluntary act and deed, for the uses and My commissio~pires C~e:~nO¢ ~ ,"~;tZi:,fg My Commission Expires May 14.2006