TO BENEFICIARY ALL OF TRUSTOR'S RIGHT, TITLE AND
INTEREST IN AND TO ALL CURRENT AND FUTURE LEASES AND RENTS; IT BEING INTENDED BY
TRUSTOR THAT THIS ASSIGNMENT CONSTITUTES A PRESENT, ABSOLUTE ASSIGNMENT AND NOT
AN ASSIGNMENT FOR ADDITIONAL SECURITY ONLY.
NEVERTHELESS, SUBJECT TO THE TERMS
OF THE ASSIGNMENT OF LEASES AND SECTION 7.1(H) OF THIS SECURITY INSTRUMENT,
BENEFICIARY GRANTS TO TRUSTOR A REVOCABLE LICENSE TO COLLECT, RECEIVE, USE AND
ENJOY THE RENTS, AND TRUSTOR SHALL HOLD THE RENTS, OR A PORTION THEREOF
SUFFICIENT TO DISCHARGE ALL CURRENT SUMS DUE ON THE DEBT, FOR USE IN THE PAYMENT
OF SUCH SUMS.
SECTION 1.3.
SECURITY AGREEMENT.
THIS SECURITY INSTRUMENT IS BOTH A
REAL PROPERTY MORTGAGE AND A "SECURITY AGREEMENT" WITHIN THE MEANING OF THE
UNIFORM COMMERCIAL CODE.
THE PROPERTY INCLUDES BOTH REAL AND PERSONAL PROPERTY
AND ALL OTHER RIGHTS AND INTERESTS, WHETHER TANGIBLE OR INTANGIBLE IN NATURE, OF
TRUSTOR IN THE PROPERTY.
TRUSTOR HEREBY EXPRESSLY GRANTS TO BENEFICIARY, AS
SECURITY FOR THE OBLIGATIONS (HEREINAFTER DEFINED), A SECURITY INTEREST IN THE
FIXTURES, THE EQUIPMENT, THE PERSONAL PROPERTY, THE ACCOUNTS AND ANY OTHER
PROPERTY (TO THE EXTENT SUCH OTHER PROPERTY IS NOT REAL PROPERTY) TO THE FULL
EXTENT THAT THE FIXTURES, THE EQUIPMENT, THE PERSONAL PROPERTY, THE ACCOUNTS AND
ANY OTHER PROPERTY (TO THE EXTENT SUCH OTHER PROPERTY IS NOT REAL PROPERTY) MAY
BE SUBJECT TO THE UNIFORM COMMERCIAL CODE (SAID PORTION OF THE PROPERTY SO
SUBJECT TO THE UNIFORM COMMERCIAL CODE AND NOT CONSTITUTING REAL PROPERTY BEING
CALLED THE "COLLATERAL").
IF AN EVENT OF DEFAULT SHALL OCCUR AND BE CONTINUING,
BENEFICIARY, IN ADDITION TO ANY OTHER RIGHTS AND REMEDIES WHICH IT MAY HAVE,
SHALL HAVE AND MAY EXERCISE IMMEDIATELY AND WITHOUT DEMAND, ANY AND ALL RIGHTS
AND REMEDIES GRANTED TO A SECURED PARTY UPON DEFAULT UNDER THE UNIFORM
COMMERCIAL CODE, INCLUDING, WITHOUT LIMITING THE GENERALITY OF THE FOREGOING,
THE RIGHT TO TAKE POSSESSION OF THE COLLATERAL OR ANY PART THEREOF, AND TO TAKE
SUCH OTHER MEASURES AS
5
BENEFICIARY MAY DEEM NECESSARY FOR THE CARE, PROTECTION AND PRESERVATION OF THE
COLLATERAL.
UPON REQUEST OR DEMAND OF BENEFICIARY AFTER THE OCCURRENCE AND
DURING THE CONTINUANCE OF AN EVENT OF DEFAULT, TRUSTOR SHALL, AT ITS EXPENSE,
ASSEMBLE THE COLLATERAL AND MAKE IT AVAILABLE TO BENEFICIARY AT A CONVENIENT
PLACE (AT THE LAND IF TANGIBLE PROPERTY) REASONABLY ACCEPTABLE TO BENEFICIARY.
TRUSTOR SHALL PAY TO BENEFICIARY ON DEMAND ANY AND ALL EXPENSES, INCLUDING
REASONABLE LEGAL EXPENSES AND ATTORNEYS' FEES, INCURRED OR PAID BY BENEFICIARY
IN PROTECTING ITS INTEREST IN THE COLLATERAL AND IN ENFORCING ITS RIGHTS
HEREUNDER WITH RESPECT TO THE COLLATERAL AFTER THE OCCURRENCE AND DURING THE
CONTINUANCE OF AN EVENT OF DEFAULT.
ANY NOTICE OF SALE, DISPOSITION OR OTHER
INTENDED ACTION BY BENEFICIARY WITH RESPECT TO THE COLLATERAL SENT TO TRUSTOR IN
ACCORDANCE WITH THE PROVISIONS HEREOF AT LEAST 10 BUSINESS DAYS PRIOR TO SUCH
ACTION, SHALL, EXCEPT AS OTHERWISE PROVIDED BY APPLICABLE LAW, CONSTITUTE
REASONABLE NOTICE TO TRUSTOR.
THE PROCEEDS OF ANY DISPOSITION OF THE
COLLATERAL, OR ANY PART THEREOF, MAY, EXCEPT AS