WILL PAY THE TAX, WITH INTEREST AND
PENALTIES THEREON, IF ANY.
IF BENEFICIARY IS ADVISED BY COMPETENT COUNSEL
CHOSEN BY IT THAT THE PAYMENT OF TAX BY TRUSTOR WOULD BE UNLAWFUL OR TAXABLE TO
BENEFICIARY OR UNENFORCEABLE OR PROVIDE THE BASIS FOR A DEFENSE OF USURY THEN
BENEFICIARY SHALL HAVE THE OPTION BY WRITTEN NOTICE OF NOT LESS THAN 120 DAYS TO
DECLARE THE DEBT IMMEDIATELY DUE AND PAYABLE.
(B)
TRUSTOR WILL NOT CLAIM OR DEMAND OR BE ENTITLED TO ANY CREDIT OR
CREDITS ON ACCOUNT OF THE DEBT FOR ANY PART OF THE TAXES OR OTHER CHARGES
ASSESSED AGAINST THE PROPERTY, OR ANY PART THEREOF, AND NO DEDUCTION SHALL
OTHERWISE BE MADE OR CLAIMED FROM THE ASSESSED VALUE OF THE PROPERTY, OR ANY
PART THEREOF, FOR REAL ESTATE TAX PURPOSES BY REASON OF THIS SECURITY INSTRUMENT
OR THE DEBT.
IF SUCH CLAIM, CREDIT OR DEDUCTION SHALL BE REQUIRED BY LAW,
BENEFICIARY SHALL HAVE THE OPTION, BY WRITTEN NOTICE OF NOT LESS THAN 120 DAYS,
TO DECLARE THE DEBT IMMEDIATELY DUE AND PAYABLE.
(C)
IF AT ANY TIME THE UNITED STATES OF AMERICA, ANY STATE THEREOF OR
ANY SUBDIVISION OF ANY SUCH STATE SHALL REQUIRE REVENUE OR OTHER STAMPS TO BE
AFFIXED TO THE NOTE, THIS
12
SECURITY INSTRUMENT, OR ANY OF THE OTHER LOAN DOCUMENTS OR IMPOSE ANY OTHER TAX
OR CHARGE ON THE SAME, TRUSTOR WILL PAY FOR THE SAME, WITH INTEREST AND
PENALTIES THEREON, IF ANY.
SECTION 5.4.
SEVERING OF MORTGAGE.
THIS SECURITY INSTRUMENT AND THE
NOTE SHALL, AT ANY TIME UNTIL THE SAME SHALL BE FULLY PAID AND SATISFIED, AT THE
SOLE ELECTION OF BENEFICIARY, BE SEVERED, SPLIT OR DIVIDED INTO TWO OR MORE
NOTES AND TWO OR MORE SECURITY INSTRUMENTS IN SUCH DENOMINATIONS AS BENEFICIARY
SHALL DETERMINE IN ITS SOLE DISCRETION, EACH OF WHICH SHALL COVER ALL OR A
PORTION OF THE PROPERTY TO BE MORE PARTICULARLY DESCRIBED THEREIN.
TO THAT END,
TRUSTOR, UPON WRITTEN REQUEST OF BENEFICIARY, AT TRUSTOR'S COST AND EXPENSE,
SHALL EXECUTE, ACKNOWLEDGE AND DELIVER, OR CAUSE TO BE EXECUTED, ACKNOWLEDGED
AND DELIVERED BY THE THEN OWNER OF THE PROPERTY, TO BENEFICIARY AND/OR ITS
DESIGNEE OR DESIGNEES, SUBSTITUTE NOTES AND SECURITY INSTRUMENTS IN SUCH
PRINCIPAL AMOUNTS, AGGREGATING NOT MORE THAN THE THEN UNPAID PRINCIPAL AMOUNT OF
THIS SECURITY INSTRUMENT, (PROVIDED THAT THE SEVERANCE OF SUCH INSTRUMENTS SHALL
NOT MODIFY OR AMEND ANY MATERIAL ECONOMIC TERM OF THE LOAN) AND CONTAINING
TERMS, PROVISIONS AND CLAUSES SUBSTANTIALLY IDENTICAL TO THOSE CONTAINED HEREIN
AND IN THE NOTE, AND SUCH OTHER DOCUMENTS AND INSTRUMENTS AS MAY BE REQUIRED BY
BENEFICIARY.
ARTICLE VI.
DUE ON SALE/ENCUMBRANCE
SECTION 6.1.
BENEFICIARY RELIANCE.
TRUSTOR ACKNOWLEDGES THAT
BENEFICIARY HAS EXAMINED AND RELIED ON THE EXPERIENCE OF TRUSTOR AND ITS GENERAL
PARTNERS, MEMBERS, PRINCIPALS AND (IF TRUSTOR IS A TRUST) BENEFICIAL OWNERS IN
OWNING AND OPERATING PROPERTIES SUCH AS THE PROPERTY IN AGREEING TO MAKE THE
LOAN, AND WILL CONTINUE TO RELY ON TRUSTOR'S OWNERSHIP OF THE PROPERTY AS A
MEANS OF MAINTAINING THE VALUE OF THE PROPERTY AS SECURITY FOR