HomeMy WebLinkAboutCarr, Christian and Autumn; 2009-09-30; (3), „,i J Recording requested by
First American Title
NO FEE RECORDING REQUESTED PURSUANT
0 TO GOVERNMENT CODE SECTION 27383
When Recorded Mail To:2311
City of Carlsbad
2965 Roosevelt Street, Suite B
Carlsbad, CA 92009
Attention: Director, Housing and Redevelopment
DQC# 2009-0541301
SEP 30, 2009 8:00 AM
OFFICIAL RECORDS
SAN DIEGO COUNTY RECORDER'S OFFICE
DAVID L. BUTLER. COUNTY RECORDER
FEES: 0.00 WAYS: 2
DA: 1
PAGES: 12
NOTE TO BORROWER:
th
THIS DEED OF TRUST CONTAINS
PROVISIONS RESTRICTING ASSUMPTIONS
DEED OF TRUST AND SECURITY AGREEMENT
THIS DEED OF TRUST AND SECURITY AGREEMENT ("Deed of Trust") made this £i
'
10t day of September, 2009, among the trustor, Christian Carr and Autumn Carr, Husband
and Wife as Community Property with Right of Survivorship ("Borrowers"), San Diego
Neighborhood Housing Services ("Trustee"), and the City of Carlsbad (the "City") as
Beneficiary.
The Borrower, in consideration of the promises herein recited and the trust herein created,
irrevocably grants, transfers, conveys and assigns to Trustee, in trust, with power of sale, the
property located in the City of Carlsbad, State of California, described in the attached Exhibit A
and more commonly known as: 4030 Sand Cove Way, Carlsbad, CA 92008, California (the
"Property").
TOGETHER with all the improvements now or hereafter erected on the property, and all
easements, rights, appurtenances, and all fixtures now or hereafter attached to the property, all of
which, including replacements and additions thereto, shall be deemed to be and remain a part of
the property covered by this Deed of Trust; and
TOGETHER with all articles of personal properly or fixtures now or hereafter attached to
or used in and about the building or buildings now erected or hereafter to be erected on the
Property which are necessary to the complete and comfortable use and occupancy of such
building or buildings for the purposes for which they were or are to be erected, including all other
goods and chattels and personal property as are ever used or furnished in operating a building, or
the activities conducted therein, similar to the one herein described and referred to, and all
renewals or replacements thereof or articles in substitution therefore, whether or not the same
are, or shall be attached to said building or buildings in any manner; and all of the foregoing,
together with the Property, are herein referred to as the "Security."
Approved 3/31/09
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To have and to hold the Security together with the discharge of any debt or obligation to
the Trustee, its successors and assigns forever;
TO SECURE to the City the repayment of the sums ("Loan") evidenced by a promissory
note to the City executed by Borrower, dated of even date herewith in the amount of Twelve
Thousand Five Hundred Dollars and 00/cents ($12.500.00) ("Note"); and
TO SECURE the payment of all other sums, with interest thereon, advanced in
accordance herewith to protect the security of this Deed of Trust; and the performance of the
covenants and agreements of Borrower herein contained.
BORROWER AND CITY COVENANT AND AGREE AS FOLLOWS:
1. Borrower's Estate. That Borrower lawfully owns the Security hereby conveyed
and has the right to grant and convey the Security, that other than this Deed of Trust, the Security
is encumbered only by: that deed of trust executed by Borrower in connection with a loan made
to Borrower by a first lender, securing a promissory note executed by Borrower in favor of the
first lender, to assist in the purchase of the Property. Borrower agrees to warrant and defend
generally the title to the Security against all claims and demands, subject to any declarations,
easements or restrictions listed in a schedule of exceptions to coverage in any title insurance
policy insuring the City's interest in the Security.
2. Repayment of Loan. Borrower will promptly repay, when due, the principal and
interest required by the Note. The Note contains the following provisions prohibiting
assumption:
"No Assumption of Note by Subsequent Buyers. Borrower(s) acknowledge(s)
that this Note is given in connection with the City's HOME Funds Program or the
Affordable Housing Trust Funds Program. Pursuant to the City requirement
governing the use of HOME Funds and Affordable Housing Trust Funds, the loan
must be repaid by the Borrower and may not be assumed by a subsequent
transferee. Consequently, this Note is not assumable by transferees, but is due in
full upon Transfer."
3. Charges; Liens. Borrower will pay all taxes, assessments and other charges, fines
and impositions attributable to the Security which may attain a priority over this Deed of Trust,
by Borrower making any payment, when due, directly to the payee thereof. Upon request by the
City, Borrower will promptly furnish to the City all notices of amounts due under this paragraph.
In the event Borrower makes payment directly, Borrower will promptly discharge any lien which
has priority over this Deed of Trust; provided, that Borrower will not be required to discharge
any lien described in this paragraph so long as Borrower will agree in writing to the payment of
the obligation secured by such lien in a manner acceptable to the City, or will, in good faith,
contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to
prevent the enforcement of the lien or forfeiture of the Security or any part thereof.
Approved 3/31/09
2313
4. Hazard Insurance. Borrower will keep the Security insured by a standard all risk
property insurance policy equal to the replacement value of the Security (adjusted every five (5)
years by appraisal, if requested by the City). If the Security is located in a flood plain, Borrower
shall also obtain flood insurance.
The insurance carrier providing this insurance shall be licensed to do business in the State
of California and be chosen by Borrower subject to approval by the City.
All insurance policies and renewals thereof will be in a form acceptable to the City and
will include a standard mortgagee clause with standard lender's endorsement in favor of the City
in a form acceptable to the City. The City shall have the right to hold, or cause its designated
agent to hold, the policies and renewals thereof, and Borrower shall promptly furnish to the City,
or its designated agent, the original insurance policies or certificates of insurance, all renewal
notices and all receipts of paid premiums, hi the event of loss, Borrower will give prompt notice
to the insurance carrier and the City or its designated agent. The City, or its designated agent,
may make proof of loss if not made promptly by Borrower. The City shall receive thirty (30)
days advance notice of cancellation of any insurance policies required under this section.
Unless the City and Borrower otherwise agree in writing, insurance proceeds will be
applied to restoration or repair of the Security damaged, provided such restoration or repair is
economically feasible and the security of this Deed of Trust is not thereby impaired. If such
restoration or repair is not economically feasible or if the security of this Deed of Trust would be
impaired, the insurance proceeds will be used to repay the grant under this Deed of Trust, with
the excess, if any, paid to Borrower. If the Security is abandoned by Borrower, or if Borrower
fails to respond to the City, or its designated agent, within thirty (30) days from the date notice is
mailed by either of them to Borrower that the insurance carrier offers to settle a claim for
insurance benefits, the City, or its designated agent, is authorized to collect and apply the
insurance proceeds at the City's option either to restoration or repair of the Security or to repay
the loan.
If the Security is acquired by the City, all right, title and interest of Borrower in and to
any insurance policy and in and to the proceeds thereof resulting from damage to the Security
prior to the sale or acquisition will pass to the City to the extent of the sums secured by this Deed
of Trust immediately prior to such sale or acquisition.
5. Preservation and Maintenance of Security. Borrower will keep the Security in
good repair and in a neat, clean, and orderly condition and will not commit waste or permit
impairment or deterioration of the Security. If there arises a condition in contravention of this
Section 5, and if the Borrower has not cured such condition within thirty (30) days after receiving
a City notice of such a condition, then in addition to any other rights available to the City, the
City shall have the right (but not the obligation) to perform all acts necessary to cure such
condition, and to establish or enforce a lien or other encumbrance against the Security to recover
its cost of curing.
Approved 3/31/09
2314
6. Protection of the City's Security. If Borrower fails to perform the covenants and
agreements contained in this Deed of Trust or if any action or proceeding is commenced which
materially affects the City's interest in the Security, including, but not limited to, eminent
domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or
decedent, then the City, at the City's option, upon notice to Borrower, may make such
appearances, disburse such sums and take such action as it determines necessary to protect the
City's interest, including but not limited to, disbursement of reasonable attorney's fees and entry
upon the Security to make repairs.
Any amounts disbursed by the City pursuant to this paragraph, with interest thereon, will
become an indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and City
agree to other terms of payment, such amount will be payable upon notice from the City to
Borrower requesting payment thereof, and will bear interest from the date of disbursement at the
lesser of (a) ten percent (10%); or (b) the highest rate permissible under applicable law. Nothing
contained in this paragraph will require the City to incur any expense or take any action
hereunder.
7. Inspection. The City may make or cause to be made reasonable entries upon and
inspections of the Security; provided that the City will give Borrower reasonable notice of
inspection.
8. Forbearance by the City Not a Waiver. Any forbearance by the City in exercising
any right or remedy will not be a waiver of the exercise of any such right or remedy. The
procurement of insurance or the payment of taxes or other liens or charges by the City will not be
a waiver of the City's right to accelerate the maturity of the indebtedness secured by this Deed of
Trust.
9. Remedies Cumulative. All remedies provided in this Deed of Trust are distinct
and cumulative to any other right or remedy under this Deed of Trust or any other document, or
afforded by law or equity, and may be exercised concurrently, independently or successively.
10. Successors and Assigns Bound. The covenants and agreements herein contained
shall bind, and the rights hereunder shall inure to, the respective successors and assigns of the
City and Borrower subject to the provisions of this Deed of Trust.
11. Joint and Several Liability. All covenants and agreements of Borrower shall be
joint and several.
12. Notice. Except for any notice required under applicable law to be given in
another manner, (a) any notice to Borrower provided for in this Deed of Trust will be given by
certified mail, addressed to Borrower at the address shown in the first paragraph of this Deed of
Trust or such other address as Borrower may designate by notice to the City as provided herein,
and (b) any notice to the City will be given by express delivery, return receipt requested, to the
City at 2965 Roosevelt Street, Suite B, Carlsbad, CA 92009 , Attention: Director, Housing and
Redevelopment or to such other address as the City may designate by notice to Borrower as
Approved 3/31/09
2315
provided above. Notice shall be effective as of the date received by City as shown on the return
receipt.
13. Governing Law. This Deed of Trust shall be governed by the laws of the State of
.California with the venue, in the event of litigation, to be in North San Diego County Superior
Court.
14. Severability. In the event that any pro vision or clause of this Deed of Trust or the
Note conflicts with applicable law, such conflict will not affect other provisions of this Deed of
Trust or the Note which can be given effect without the conflicting provision, and to this end the
provisions of the Deed of Trust and the Note are declared to be severable.
15. Captions. The captions and headings in this Deed of Trust are for convenience
only and are not to be used to interpret or define the provisions hereof.
16. Nondiscrimination. The Borrower covenants by and for itself and its successors
and assigns that there shall be no discrimination against or segregation of a person or of a group
of persons on account of race, color, religion, creed, age, disability, sex, sexual orientation,
marital status, ancestry or national origin in the sale, transfer, use, occupancy, tenure or
enjoyment of the Property, nor shall the Borrower or any person claiming under or through the
Borrower establish or permit any such practice or practices of discrimination or segregation with
reference to the selection, location, number, use, occupancy, or transfer of the Property. The
foregoing covenant shall run with the land.
17. Nonliability for Negligence, Loss or Damage. Borrower acknowledges,
understands and agrees that the relationship between Borrower and the City is solely that of
borrower and lender, and that City neither undertakes nor assumes any responsibility for or duty
to Borrower to select, review, inspect, supervise, pass judgment on, or inform Borrower of the
quality adequacy or suitability of the Property or any other matter. City owes no duty of care to
protect Borrower against negligent, faulty, inadequate or defective building or construction or
any condition of the Property and Borrower agrees that neither Borrower, nor Borrower heirs,
successors or assigns shall ever claim, have or assert any right or action against City for any loss,
damage or other matter arising out of or resulting from any condition of the Security and will
hold City harmless from any liability, loss or damage for these things.
18. Indemnity. Borrower agrees to defend, indemnify, and hold City harmless from all
losses, damages, liabilities, claims, actions, judgments, costs, and reasonable attorneys fees that
City may incur as a direct or indirect consequence of:
(a) the making of the loan evidenced by the Note to Borrower;
(b) Borrower's failure to perform any obligations as and when required by the
Note and Deed of Trust; or
Approved 3/31/09
2316
(c) the failure at any time of any of Borrower's certifications, representations,
or warranties to be true and correct.
19. Acceleration; Remedies. The payment of the Loan principal and interest shall be
accelerated and shall become immediately, due and payable in full upon Borrower's breach of any
covenant or agreement of Borrower in this Deed of Trust or the Note, including, but not limited
to, the covenants to pay, when due, any sums secured by this Deed of Trust. The City, prior to
acceleration, will mail by express delivery, return receipt requested notice to Borrower
specifying: (a) the breach; (b) the action required to cure such breach; (c) a date, not less than
thirty (30) days from the date the notice is received by Borrower as shown on the return receipt,
by which such breach is to be cured; and (d) that failure to cure such breach on or before the date
specified in the notice may result in acceleration of the sums secured by this Deed of Trust and
sale of the Security. The notice will also inform Borrower of Borrower's right to reinstate after
acceleration and the right to bring a court action to assert the nonexistence of default or any other
defense of Borrower to acceleration and sale. If the breach is not cured on or before the date
specified in the notice, the City, at the City's option, may: (a) declare all of the sums secured by
this Deed of Trust to be immediately due and payable without further demand and may invoke
the power of sale and any other remedies permitted by California law; (b) either in person or by
agent, with or without bringing any action or proceeding, or by a receiver appointed by a court,
and without regard to the adequacy of its security, enter upon the Security and take possession
thereof (or any part thereof) in its own name or in the name of Trustee, and do any acts which it
deems necessary or desirable to preserve the value or marketability of the Property, or part
thereof or interest therein, increase the income therefrom or protect the security thereof. The
entering upon and taking possession of the Security shall not cure or waive any breach hereunder
or invalidate any act done in response to such breach and, notwithstanding the continuance in
possession of the Security, the City shall be entitled to exercise every right provided for in this
Deed of Trust, or by law upon occurrence of any uncured breach, including the right to exercise
the power of sale; (c) commence an action to foreclose this Deed of Trust as a mortgage, appoint
a receiver, or specifically enforce any of the covenants hereof; (d) deliver to Trustee a written
declaration of default and demand for sale, pursuant to the provisions for notice of sale found at
California Civil Code Sections 2924 et seq., as amended from time to time; (e) or, exercise all
other rights and remedies provided herein, in the instruments by which the Borrower acquires
title to any Security, or in any other document or agreement now or hereafter evidencing, creating
or securing all or any portion of the obligations secured hereby, or provided by law.
The City shall be entitled to collect all reasonable costs and expenses incurred in pursuing
the remedies provided in this paragraph, including, but not limited to, reasonable attorney's fees.
20. Borrower's Right to Reinstate. Notwithstanding the City's acceleration of the
sums secured by this Deed of Trust, Borrower will have the right to have any proceedings begun
by the City to enforce this Deed of Trust discontinued at any time prior to five (5) days before
sale of the Security pursuant to the power of sale contained in this Deed of Trust or at any time
prior to entry of a judgment enforcing this Deed of Trust if: (a) Borrower pays City all sums
which would be then due under this Deed of Trust and no acceleration under the Note has
occurred; (b) Borrower cures all breaches of any other covenants or agreements of Borrower
Approved 3/31/09
2317
contained in this Deed of Trust; (c) Borrower pays all reasonable expenses incurred by City and
Trustee in enforcing the covenants and agreements of Borrower contained in this Deed of Trust,
and in enforcing the City's and Trustee's remedies, including, but not limited to, reasonable
attorney's fees; and (d) Borrower takes such action as City may reasonably require to assure that
the lien of this Deed of Trust, City's interest in the Security and Borrower's obligation to pay the
sums secured by this Deed of Trust shall continue unimpaired. Upon such payment and cure by
Borrower, this Deed of Trust and the obligations secured hereby will remain in full force and
effect as if no acceleration had occurred.
21. Due on Transfer of the Property. Upon a Transfer (as defined in the Note) of the
Property or any interest in it, the City shall require immediate payment in full of all sums secured
by this Deed of Trust.
22. Reconveyance. Upon payment of all sums secured by this Deed of Trust, the City
will request Trustee to reconvey the Security and will surrender this Deed of Trust and the Note
to Trustee. Trustee will reconvey the Security without warranty and without charge to the person
or persons legally entitled thereto. Such person or persons will pay all costs of recordation, if any.
23. Substitute Trustee. The City, at the City's option, may from time to time remove
Trustee and appoint a successor trustee to any Trustee appointed hereunder. The successor trustee
will succeed to all the title, power and duties conferred upon the Trustee herein and by applicable
law.
24. Request for Notice. Borrower requests that copies of the notice of default and
notice of sale be sent to Borrower at the address set forth in Section 12 above.
Approved 3/31/09
2318
IN WITNESS WHEREOF, Borrower has executed this Deed of Trust as of the date first
written above.
Bom
(tbrfstian Carr
Approved 3/31/09
2319
STATE OF CALIFORNIA
COUNTY OF
, before me,
Public, personally appearedCl^^X»fcL<c^Cci^
Notary
UJoproved to me on the
basis of satisfactory evidence to be the person(s) whose name(s) is^Sre^ubscribed to the within
instrument and acknowledged to me that he/sheMeyjexecuted the same in his/hei^flieir)
authorized capacity(ies), and that by his/her/(tfiejr3iignature(s) on the instrument the person(s), or
the entity upon behalf of which the person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that
the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
rfiiiiimimiiiiiiiuiiiiuuiiMiiii.
- wftvv ELIZABETH HARRISON =
COMM. #1802347 n
NOTARY PUBLIC - CALIFORNIA 8
SAN CHEGO COUNTY -
- My Commission Expires July 14,2012 =iiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiiiir Notary Public^
STATE OF CALIFORNIA
COUNTY OF
On
Public, personally appeared
)
_, before me,, Notary
_, proved to me on the
basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signarure(s) on the instrument the person(s), or
the entity upon behalf of which the person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that
the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Notary Public
1010\01\612593.2
2320
EXHIBIT 'A'
Date: September 29, 2009 File No.: DIV-3363653 ( 16)
A CONDOMINIUM COMPOSED OF:
PARCEL 1:
THAT PORTION OF LOT 1, OF CARLSBAD TRACT NO. 02-18, IN THE CITY OF CARLSBAD, COUNTY OF
SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO LAP THEREOF NO. 15346, FILED IN THE
OFFICE OF THE COUNTY RECORDER OF SAN DIEGO, CALIFORNIA, MAY 19, 2006 AS DEFINED AS
UNIT NO. 505 OF MODULE 1 ON THAT CERTAIN CONDOMINIUM PLAN ("PLAN") RECORDED ON
FEBRUARY 27, 2007 AS INSTRUMENT NO. 07-133007, AND ANY AMENDMENTS THERETO, IN THE
OFFICIAL RECORDS OF SAID COUNTY.
PARCEL 2:
AN UNDIVIDED 1/27TH FEE SIMPLE INTEREST AS TENANT IN COMMON IN AND TO THE COMMON
AREA OF MODULE 1 OF LOT 1 OF CARLSBAD TRACT NO. 02-18 ACCORDING TO MAP NO. 15346, AS
MORE PARTICULARLY DESCRIBED AND DELINEATED ON THE CONDOMINIUM PLAN REFERRED TO
ABOVE.
EXCEPTING THEREFROM, UNITS 101 THROUGH 104, INCLUSIVE, 201 THROUGH 204, INCLUSIVE,
301 THROUGH 304, INCLUSIVE, INCLUSIVE, 401 THROUGH 405, INCLUSIVE, AND 501 THROUGH
510, INCLUSIVE, AS SHOWN AND DEFINED ON THE CONDOMINIUM PLAN RECORDED FEBRUARY
27, 2007 AS INSTRUMENT NO. 07-133007, ANY AMENDMENTS THERETO, OF OFFICIAL RECORDS.
RESERVING THEREFROM, EXCLUSIVE EASEMENTS FOR PATIOS, AND/OR PARKING SPACES OVER
AND ACROSS THOSE PORTIONS OF LOT 1 OF CARLSBAD TRACT NO. 02-18 ACCORDING TO MAP NO.
15346, SHOWN AND DEFINED AS "EXCLUSIVE USE COMMON AREA" ON THE CONDOMINIUM PLAN
REFERRED TO ABOVE.
PARCEL 3:
AN EXCLUSIVE EASEMENT, APPURTENANT TO PARCEL 1 ABOVE, FOR ALL USES AND PURPOSES OF
PATIOS, AND/OR PARKING SPACES ACROSS THAT PORTION OF THE COMMON AREA PROPERTY
WITHIN MODULE 1 OF LOT 1 OF CARLSBAD TRACT NO. 02-18 ACCORDING TO MAP NO. 15346,
BEARING THE SAME NUMBER DESIGNATION AS THE UNIT REFERRED TO IN PARCEL 1 ABOVE,
SHOWN AND DEFINED AS AN "EXCLUSIVE USE EASEMENT AREA" ON THE CONDOMINIUM PLAN
REFERRED TO ABOVE.
A.P.N. 206-120-42-22
Page 1 of 1
2321
CONDOMINIUM RIDER
THIS CONDOMINIUM RIDER is made this 10th day of September 2009, and is
incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security
Deed (the "Security Instrument") of the same date given by the undersigned Christian Carr and Autumn
Carr (the "Borrower") to secure Borrower's Note to:
THE CITY OF CARLSBAD
(the "Lender") of the same date and covering the property described in the Security Instrument and located
at:
4030 Sand Cove Way, Carlsbad, CA 92008
[Property Address]
The Property includes a unit in, together with an undivided interest in the common elements of, a
condominium project known as:
The Bluffs at Carlsbad
[Name of Condominium Project]
The Bluffs at Carlsbad. If the owners association or other entity which acts for the Condominium Project
(the "Owners Association") holds title to property for the benefit or use of its members or shareholders, the
Property also includes Borrower's interest in the Owners Association and the uses, proceeds and benefits of
Borrower's interest.
CONDOMINIUM COVENANTS. In addition to the covenant and agreements made in the Security
Instrument, Borrower and Lender further covenant and agree as follows:
A. Condominium Obligations. Borrower shall perform all of Borrower's obligations under the
Condominium Project's Constituent Documents. The "Constituent Documents" are the: (i)
Declaration or any other document which creates the Condominium Project; (ii) by-laws;
(iii) code of regulations; and (iv) other equivalent documents. Borrower shall promptly pay,
when due, all dues and assessments imposed pursuant to the Constituent Documents.
B. Hazard Insurance. So long as the Owners Association maintains, with a generally accepted
insurance carrier, a "master" or " blanket" policy on the Condominium Project which is
satisfactory to Lender and which provides insurance coverage in the amounts (including
deductible levels), for the periods, and against loss by fire, hazards included within the term
"extended coverage," and any other hazards, including, but not limited to, earthquakes and
floods, from which Lender requires insurance, then: (i) Lender waives the provision in
Uniform Covenant 2 for the monthly payment to Lender of the yearly premium installments
for hazard insurance on the Property; and (ii)_Borrower's obligation under Uniform Covenant
5 to maintain hazard insurance coverage on the Property is deemed satisfied to the extent that
the required coverage is provided by the Owners Association policy.
What Lender requires as a condition of this waiver can change during the term of the
loan. Borrower shall give Lender prompt notice of any lapse in required hazard insurance
coverage provided by the master or blanket policy.
In the event of a distribution of hazard insurance proceeds in lieu of restoration or repair
following a loss to the Property, whether to the unit or to common elements, any proceeds
payable to Borrower are hereby assigned and shall be paid to Lender for application to the
sums secured by the Security Instrument, whether or no then due, with the excess, if any, paid
to Borrower. f
Initials: Q*^~'
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C. Public Liability Insurance. Borrower shall take such actions as may be reasonable to insure
that the Owners Association maintains a public liability insurance policy acceptable in form,
amount, and extent of coverage to Lender.
D. Condemnation. The proceeds of any award or claim for damages, direct or consequential,
payable to Borrower in connection with any condemnation or other taking of all or any part of
the Property, whether of the unit or the common elements, or for any conveyance in lieu of
condemnation, are herby assigned and shall be paid to Lender. Such proceeds shall be applied
by Lender to the sums secured by the Security Instrument as provided in Uniform Covenant 9.
E. Lenders's Prior Consent. Borrower shall not, except after notice to Lender and with Lender's
prior written consent, either partition or subdivide the Property or consent to: (i) the
abandonment or termination of the Condominium Project, except for abandonment or
termination required by law in the case of substantial destruction by fire or other casualty or
in the case of a taking by condemnation or eminent domain; (ii) any amendment to any
provision of the Constituent Documents if the provision is for the express benefit of Lender;
(iii) termination of professional management and assumption of self-management of the
Owners Association; or (iv) any action which would have the effect of rendering the public
liability insurance coverage maintained by the Owners Association unacceptable to Lender.
F. Remedies. If Borrower does not pay condominium dues and assessments when due, then
Lender may pay them. Any amounts disbursed by Lender under this paragraph F shall
become additional debt of Borrower secured by the Security Instrument. Unless Borrower
and Lender agree to other terms of payment, these amounts shall bear interest from the date of
disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to
Borrower requesting payment.
BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in
this Qandommium Rider.
(Seal)
(Seal)
(utumn Carr
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