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B. The execution, delivery and performance of this Deed of Trust by Grantor and the obligation evidenced
<br />by the Evidence of Debt are within the power of Grantor, have been duly authorized, have received ail
<br />necessazy governmental approval, and will not violate any provision of law, or order of court or
<br />governmental agency.
<br />C. Other than disclosed in writing Grantor has not changed its name within the last ten years and has not
<br />used any other trade or fictitious name. Without Lender's prior written consent, Grantor does not and
<br />will not use any other name and will preserve its existing name, trade names and franchises until the
<br />Secured Debt is satisfied.
<br />12. PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Grantor will keep the Property in good
<br />condition and make all repairs that are reasonably necessary. Grantor will give Lender prompt notice of any
<br />loss or damage to the Property. Grantor will keep the Property free of noxious weeds and grasses. Grantor
<br />will not initiate, join in or consent to any change in any private restrictive covenant, zoning ordinance or
<br />otk.er public or private restriction limiting or defining the uses which may be made of the Property or any
<br />part of the Property, without Lender's prior written consent. Grantor will notify Lender of all demands,
<br />proceedings, claims, and actions against Grantor or any other owner made under law or regulation regarding
<br />use:, ownership and occupancy of the Property. Grantor will comply with all legal requirements and
<br />restrictions, whether public or private, with respect to the use of the Property. Grantor also agrees that the
<br />nature of the occupancy and use will not change without Lender's prior wntten consent.
<br />No portion of the Property will be removed, demolished or materially altered without Lender's prior written
<br />consent except that Grantor has the right to remove items of personal property comprising a part of the
<br />Property that become worn or obsolete, provided that such personal property is replaced with other personal
<br />prcperty at least equal in value to the replaced personal property, free from any title retention device, security
<br />agreement or other encumbrance. Such replacement of personal property will be deemed subject to the
<br />security interest created by this Deed of Trust. Grantor shall not partition or subdivide the Property without
<br />Leader's prior written consent. Lender or Lender's agents may, at Lender's option, enter the Property at any
<br />reasonable time for the purpose of inspecting the Property. Any inspection of the Property shall be entirely
<br />for Lender's benefit and Grantor will in no way rely on Lender's inspection.
<br />13. AL THORITY TO PERFORM. If Grantor fails to perform any of Grantor's duties under this Deed of Trust,
<br />or any other mortgage, deed of trust, security agreement or other lien document that has priority over this
<br />De1;d of Trust, Lender may, without notice, perform the duties or cause them to be performed. Grantor
<br />appoints Lender as attorney in fact to sign Grantor's name or pay any amount necessary for performance. If
<br />any construction on the Property is discontinued or not carried on in a reasonable manner, Lender may do
<br />wh;rtever is necessary to protect Lender's security interest in the Property. This may include completing the
<br />construction.
<br />Lender's right to perform for Grantor shall not create an obligation to perform, and Lender's failure to
<br />perform will not preclude Lender from exercising any of Lender's other rights under the law or this Deed of
<br />Trust. Any amounts paid by Lender for insuring, preserving or otherwise protecting the Property and
<br />Lender's security interest will be due on demand and will bear interest from the date of the payment until
<br />paid in full at the interest rate in effect from time to time according to the terms of the Evidence of Debt.
<br />14. ASSIGNMENT OF LEASES AND RENTS. Grantor irrevocably grants, conveys and sells to Trustee, in
<br />trust for the benefit of the Lender, as additional security all the right, title and interest in and to any and all:
<br />,~. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for
<br />the use and occupancy of any portion of the Property, including any extensions, renewals,
<br />modifications or substitutions of such agreements (all referred to as "Leases").
<br />13. Rents, issues and profits (all referred to as "Rents"), including but not limited to security deposits,
<br />minimum rent, percentage rent, additional rent, common azea maintenance charges, parking charges,
<br />real estate taxes, other applicable taxes, insurance premium contributions, liquidated damages
<br />following default, cancellation premiums, "loss of rents" insurance, guest receipts, revenues, royalties,
<br />proceeds, bonuses, accounts, contract rights, general intangibles, and all rights and claims which
<br />Grantor may have that in any way pertain to or are on account of the use or occupancy of the whole or
<br />any part of the Property.
<br />Grantor will promptly provide Lender with true and correct copies of all existing and future Leases. Grantor
<br />may collect, receive, enjoy and use the Rents so long as Grantor is not in default. Except for one month's
<br />rent, Grantor will not collect in advance any Rents due in future lease periods, unless Grantor first obtains
<br />Lender's written consent. Upon default, Grantor will receive any Rents in trust for Lender and Grantor will
<br />not commingle the Rents with any other funds. Any amounts collected shall be applied at L.ender's discretion
<br />to payments on the Secured Debt as therein provided, to costs of managing the Property, including, but not
<br />limned to, all taxes, assessments, insurance premiums, repairs, and commissions to rental agents, and to any
<br />other necessary related expenses including Lender's attorneys' fees, and court costs.
<br />Grantor acknowledges that this assignmem is immediately effective between the parties to this assignment and
<br />effd;tive as to third parties on the recording of this Deed of Trust. Grantor agrees that Lender is entitled to
<br />notify Grantor or Grantor's tenants to make payments of Rents due or to become due directly to Lender after
<br />such recording, however Lender agrees not to notify Grantor's tenants until Grantor defaults and Lender
<br />noti-ties Grantor of the default and demands that Grantor and Grantor's tenants pay all Rents due or to become
<br />due or to become due directly to Lender. On receiving the notice of default, Grantor will endorse and deliver
<br />to Lender any payments of Rent in Grantor's possession.
<br />Grantor warrants that no default exists under the Leases or any applicable landlord law. Grantor also
<br />warrants and agrees to maintain, and to require the tenants to comply with, the Leases and any applicable
<br />law. Grantor will promptly notify Lender of any noncompliance. If Grantor neglects or refuses to enforce
<br />compliance with the terms of the Leases, then Lender may, at Lender's option, enforce compliance. Grantor
<br />will obtain Lender's written authorization before Grantor consents to sublet, modify, cancel, or otherwise
<br />alter the Leases, to accept the surrender of the Property covered by such Leases (unless the Leases so
<br />require), or to assign, compromise or encumber the Leases or any future Rents. Grantor will hold Lender
<br />harniless and indemnify Lender for any and all liability, loss or damage that Lender may incur as a
<br />consequence of the assignment under this section.
<br />I5. CONDOMINIUMS; PLANNED UNIT DEVELOPMENTS. If the Property includes a unit in a
<br />condominium or a planned unit development, Grantor will perform all of Grantor's duties under the
<br />covenants, by-laws, or regulations of the condominium or planned unit development.
<br />~~ O 1893 B+nker+ ByHem; Im:., BL Cloud, MN Fmm AO/CO-DT-NC 9/22/2001
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