OF
CONTENTS, HEADINGS AND CAPTIONS OF VARIOUS PARAGRAPHS OF THIS SECURITY
INSTRUMENT ARE FOR CONVENIENCE OF REFERENCE ONLY AND ARE NOT TO BE CONSTRUED AS
DEFINING OR LIMITING, IN ANY WAY, THE SCOPE OR INTENT OF THE PROVISIONS HEREOF.
BORROWER ACKNOWLEDGES THAT IT WAS REPRESENTED BY COMPETENT COUNSEL IN CONNECTION
WITH THE NEGOTIATION AND DRAFTING OF THIS SECURITY INSTRUMENT AND THE OTHER LOAN
DOCUMENTS AND THAT NEITHER THIS SECURITY INSTRUMENT NOR THE OTHER LOAN DOCUMENTS
SHALL BE SUBJECT TO THE PRINCIPLE OF CONSTRUING THE MEANING AGAINST THE PERSON
WHO DRAFTED SAME.
SECTION 18.10.
SOLE DISCRETION OF LENDER.
WHENEVER LENDER EXERCISES ANY RIGHT
GIVEN TO IT TO APPROVE OR DISAPPROVE, OR ANY ARRANGEMENT OR TERM IS TO BE
SATISFACTORY TO LENDER, THE DECISION OF LENDER TO APPROVE OR DISAPPROVE OR TO
DECIDE THAT ARRANGEMENTS OR TERMS ARE SATISFACTORY OR NOT SATISFACTORY SHALL BE
IN THE SOLE DISCRETION OF LENDER AND SHALL BE FINAL AND CONCLUSIVE, EXCEPT AS
MAY BE OTHERWISE SPECIFICALLY PROVIDED HEREIN.
SECTION 18.11.
WAIVER OF NOTICE.
BORROWER SHALL NOT BE ENTITLED TO ANY NOTICES
OF ANY NATURE WHATSOEVER FROM LENDER EXCEPT WITH RESPECT TO MATTERS FOR WHICH
THIS SECURITY INSTRUMENT SPECIFICALLY AND EXPRESSLY PROVIDES FOR THE GIVING OF
NOTICE BY LENDER TO BORROWER AND EXCEPT WITH RESPECT TO MATTERS FOR WHICH
BORROWER IS NOT, PURSUANT TO APPLICABLE LEGAL REQUIREMENTS, PERMITTED TO WAIVE
THE GIVING OF NOTICE.
SECTION 18.12.
COVENANTS RUN WITH THE LAND.
ALL OF THE GRANTS, COVENANTS,
TERMS, PROVISIONS AND CONDITIONS HEREIN SHALL RUN WITH THE PREMISES, SHALL BE
BINDING UPON BORROWER AND SHALL INURE TO THE BENEFIT OF LENDER, SUBSEQUENT
HOLDERS OF THIS SECURITY INSTRUMENT AND THEIR SUCCESSORS AND ASSIGNS.
WITHOUT
LIMITATION TO ANY PROVISION HEREOF, THE TERM "BORROWER" SHALL
101
INCLUDE AND REFER TO THE BORROWER NAMED HEREIN, ANY SUBSEQUENT OWNER OF THE
PROPERTY, AND ITS RESPECTIVE HEIRS, EXECUTORS, LEGAL REPRESENTATIVES, SUCCESSORS
AND ASSIGNS.
THE REPRESENTATIONS, WARRANTIES AND AGREEMENTS CONTAINED IN THIS
SECURITY INSTRUMENT AND THE OTHER LOAN DOCUMENTS ARE INTENDED SOLELY FOR THE
BENEFIT OF THE PARTIES HERETO, SHALL CONFER NO RIGHTS HEREUNDER, WHETHER LEGAL
OR EQUITABLE, IN ANY OTHER PERSON AND NO OTHER PERSON SHALL BE ENTITLED TO RELY
THEREON.
SECTION 18.13.
APPLICABLE LAW.
THIS SECURITY INSTRUMENT AND THE OBLIGATIONS
ARISING HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF CALIFORNIA APPLICABLE TO CONTRACTS MADE AND PERFORMED IN
SUCH STATE AND ANY APPLICABLE LAW OF THE UNITED STATES OF AMERICA.
SECTION 18.14.
SECURITY AGREEMENT.
(A) (I) THIS SECURITY INSTRUMENT IS BOTH A
REAL PROPERTY MORTGAGE, DEED TO SECURE DEBT OR DEED OF TRUST, AS APPLICABLE, AND
A "SECURITY AGREEMENT" WITHIN THE MEANING OF THE UCC.
THE PROPERTY INCLUDES
BOTH REAL AND PERSONAL PROPERTY AND ALL OTHER RIGHTS AND INTERESTS, WHETHER
TANGIBLE OR INTANGIBLE IN NATURE, OF BORROWER IN THE PROPERTY.
THIS SECURITY
INSTRUMENT IS FILED AS A FIXTURE FILING AND COVERS GOODS WHICH ARE OR ARE TO
BECOME FIXTURES ON THE PROPERTY.
BORROWER BY EXECUTING AND DELIVERING THIS
SECURITY INSTRUMENT HAS GRANTED TO LENDER, AS SECURITY