and all other requisite action for
such authorization has been taken, (b) have
Deed of Trust - Page 7
received any and all requisite prior approvals of Governmental Authorities in
order to be legally binding and enforceable in accordance with the terms
thereof, and (c) will not violate, be in conflict with, result in a breach of,
or constitute (with due notice or lapse of time, or both) a default under or
violation of any Legal Requirement or result in the creation or imposition of
any lien, charge, or encumbrance of any nature whatsoever upon any of Grantor's
property or assets, except as contemplated by the provisions of the Loan
Documents. The Loan Documents constitute the legal, valid, and binding
obligations of Grantor enforceable in accordance with their respective terms.
TITLE AND LIEN. GRANTOR HAS GOOD AND INDEFEASIBLE TITLE TO THE LAND, EXCEPT THE
PERMITTED EXCEPTIONS. THIS DEED OF TRUST CONSTITUTES A VALID, SUBSISTING FIRST
LIEN ON THE LAND; A VALID, SUBSISTING FIRST PRIORITY SECURITY INTEREST IN AND TO
THE CONTRACTS; ALL IN ACCORDANCE WITH THE TERMS HEREOF, AND ALL SUBJECT TO THE
PERMITTED EXCEPTIONS.
BUSINESS PURPOSES. THE LOAN EVIDENCED BY THE NOTE IS SOLELY FOR THE PURPOSE OF
CARRYING ON OR ACQUIRING A BUSINESS OF GRANTOR, AND IS NOT FOR PERSONAL, FAMILY,
HOUSEHOLD, OR AGRICULTURAL PURPOSES. THE MORTGAGED PROPERTY FORMS NO PART OF ANY
PROPERTY OWNED, USED OR CLAIMED BY GRANTOR AS A RESIDENCE OR BUSINESS HOMESTEAD
AND IS NOT EXEMPT FROM FORCED SALE UNDER THE LAWS OF THE STATE IN WHICH THE
MORTGAGED PROPERTY IS LOCATED. GRANTOR HEREBY DISCLAIMS AND RENOUNCES EACH AND
EVERY CLAIM TO ALL OR ANY PORTION OF THE MORTGAGED PROPERTY AS A HOMESTEAD.
TAXES. GRANTOR AND EACH CONSTITUENT PARTY HAVE FILED ALL FEDERAL, STATE, COUNTY,
MUNICIPAL, AND CITY INCOME AND OTHER TAX RETURNS REQUIRED TO HAVE BEEN FILED BY
THEM (INCLUDING, THOSE REQUIRED UNDER THE TAX CODE) AND HAVE PAID ALL TAXES AND
RELATED LIABILITIES WHICH HAVE BECOME DUE PURSUANT TO SUCH RETURNS OR PURSUANT
TO ANY ASSESSMENTS RECEIVED BY THEM. NEITHER GRANTOR NOR ANY CONSTITUENT PARTY
KNOWS OF ANY BASIS FOR ANY ADDITIONAL ASSESSMENT IN RESPECT OF ANY SUCH TAXES
AND RELATED LIABILITIES. GRANTOR AND EACH CONSTITUENT PARTY BELIEVE THAT THEIR
RESPECTIVE TAX RETURNS PROPERLY REFLECT THE INCOME AND TAXES OF GRANTOR AND EACH
CONSTITUENT PARTY FOR THE PERIODS COVERED THEREBY, SUBJECT ONLY TO REASONABLE
ADJUSTMENTS REQUIRED BY THE INTERNAL REVENUE SERVICE OR OTHER APPLICABLE TAX
AUTHORITY UPON AUDIT.
MAILING ADDRESS. GRANTOR'S MAILING ADDRESS, AS SET FORTH IN THE OPENING
PARAGRAPH HEREOF OR AS CHANGED PURSUANT TO THE PROVISIONS HEREOF, IS TRUE AND
CORRECT.
RELATIONSHIP OF GRANTOR AND BENEFICIARY. NOTWITHSTANDING ANY PRIOR BUSINESS OR
PERSONAL RELATIONSHIP BETWEEN GRANTOR AND BENEFICIARY, OR ANY OFFICER, DIRECTOR
OR EMPLOYEE OF BENEFICIARY, THE RELATIONSHIP BETWEEN GRANTOR AND BENEFICIARY IS
SOLELY THAT OF DEBTOR AND CREDITOR, BENEFICIARY HAS NO FIDUCIARY OR OTHER
SPECIAL RELATIONSHIP WITH GRANTOR, GRANTOR AND BENEFICIARY ARE NOT PARTNERS OR
JOINT VENTURERS, AND NO TERM OR CONDITION OF ANY OF THE LOAN DOCUMENTS SHALL