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 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.
SECTION 5.5.
REPLACEMENT DOCUMENTS.
UPON RECEIPT OF AN AFFIDAVIT OF
AN OFFICER OF BENEFICIARY AS TO THE LOSS, THEFT, DESTRUCTION OR MUTILATION OF
THE NOTE OR ANY OTHER LOAN DOCUMENT WHICH IS NOT OF PUBLIC RECORD, AND, IN THE
CASE OF ANY SUCH MUTILATION, UPON SURRENDER AND CANCELLATION OF SUCH NOTE OR
OTHER LOAN DOCUMENT, TRUSTOR WILL ISSUE, IN LIEU THEREOF, A REPLACEMENT NOTE OR
OTHER LOAN DOCUMENT, DATED THE DATE OF SUCH LOST, STOLEN, DESTROYED OR MUTILATED
NOTE OR OTHER LOAN DOCUMENT IN THE SAME PRINCIPAL AMOUNT THEREOF AND OTHERWISE
OF LIKE TENOR.
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
14
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 repayment of the Debt and the performance of the Other
Obligations.
Trustor acknowledges that Beneficiary has a valid interest in
maintaining the value of the Property so as to ensure that, should Trustor
default in the repayment of the Debt or the performance of the Other
Obligations, Beneficiary can recover the Debt by a sale of the Property.
SECTION 6.2.
NO SALE/ENCUMBRANCE.
NEITHER TRUSTOR NOR ANY RESTRICTED
PARTY SHALL CAUSE, PERMIT OR SUFFER ANY TRANSFER TO OCCUR