DeedThis instrument prepared by and
after recording return to:
Jessica L. Burke
U• S., BANK N.A,
COLLATERAL DEPARTMENT
P. 0. BOX 5308
PORTLAND OR 97228-5308
,# 9 92h
5824118334
ADA COUNTY RECORDER Christopher D. Rich AMOUNT 37.00 10
BOISE IDAHO 09/07/2012 11:40 AM
DEPUTY Victoria Bailey
Simp6file Electronic Recording I I�IIII IIIII I�II� IIIIII IIIII� IIIII IIII IIIIII II�1I III �IIII IIII III RECORDED -REQUEST OF `
FIRST AMERICAN TITLE AND ESCRO 112091485
ELECTRONICALLY RECORDED - DO NOT
REMOVE THE COUNTY STAMPED FIRST
PAGE AS IT IS NOW INCORPORATED AS
PART OF THE ORIGINAL DOCUMENT.
IDAHO DEED OF TRUST, SECURITY AGREEMENT
AND ASSIGNMENT OF RENTS AND LEASES
(INCLUDING FIXTURE FILING UNDER UNIFORM COMMERCIAL -CODE)
This Idaho Deed of Trust, Security Agreement and Assignment of Rents and Leases (including Fixture
Filing Under Uniform Commercial Code) ("Deed of Trust ") is made and entered Into by the undersigned
borrower(s), guarantor(s) and/or other obligor(s)/pledgor(s) (collectively the "Grantor") in favor of u - s
BANK TRUST Ci7MPAM , N.A. having a mailing address at555 sw OAK, _ PQRT-LAM,
OR 4 (the "Trustee"), for the benefit of
U. S. BANK N.A. (the "Beneficiary"), as of the date set forth below.
ARTICLE I. CONVEYANCE/MORTGAGED PROPERTY
1.1 Grant of Deed of Trust/Security Interest. For valuable consideration, in hand paid by the
Trustee to the Grantor, and the financial accommodations from the Beneficiary to the Grantor as
described below, the Grantor has bargained, sold, conveyed and confirmed, and hereby bargains, sells,
conveys and confirms, unto Trustee, Its successors and assigns, for the benefit of the Beneficiary, the
Mortgaged Property (defined below) to secure all of the Grantor's Obligations (defined below) to the
Beneficiary. The intent of the parties hereto is that the Mortgaged Property secures all Obligations of the
Grantor to the_Bene€iciary, whether now or hereafter existing, between the Grantor and the Beneficiary or
in favor of the Beneficiary, including, without limitation, any note, any loan or security agreement, any
lease, any other mortgage, deed of trust or other pledge of an interest in real or personal property, any
guaranty, any letter of credit or reimbursement agreement or banker's acceptance, any agreement for any
other services or credit extended by the Beneficiary to the Grantor even though not specifically
enumerated herein and any other agreement with the Beneficiary (together and individually, the Loan
Documents"). The parties further intend that this Deed of Trust shall operate as a security agreement with
respect to those portions of the Mortgaged Property which are subject to Article 9 of the Uniform
Commercial Code.
1.2 "Mortgaged Property" means all of the following, whether now owned or existing or hereafter
acquired by the Grantor, wherever located: all the real estate described below or in Exhibit A attached
hereto (the "Land"), together with all buildings, structures, standing timber, timber to be out, fixtures,
equipment, inventory and furnishings used in connection with the land and improvements; all materials,
contracts, drawings and personal property relating to any construction on the land; and all other
improvements now or hereafter constructed, affixed or located thereon (the "Improvements") (the Land
and the Improvements collectively the "Premises"); TOGETHER with any and all easements, rights -of -way,
licenses, privileges, and appurtenances thereto, and any and all leases or other agreements for the use or
occupancy of the Premises, all the rents, issues, profits or any proceeds therefrom and all' security
deposits and any guaranty of a tenant's obligations thereunder (cotlective)y the "Rents"); all awards as a
result of condemnation, eminent domain or other decrease in value of the Premises and all insurance and
other proceeds of the Premises.
1714DID ous bancorp2001 B1 Page 1 of 9 3/10
�o
The Land is described as follows (or in Exhibit A hereto if the description does not appear below):
Property located at 2188 E. Commercial Street, Meridiari, ID 83642
LOT 1 IN BLOCK 3 OF LAYNE INDUSTRIAL PARK SUBDIVISION, ACCORDING TO THE
PLAT THEROF, FILED IN BOOR 69 OF PLATS AT PAGES 7113 AND 7114, RECORDS
OF ADA COUNTY,IDAHO, AND AMENDED BY AN AFFIDAVIT RECORDED AS INSTRUMENT
NO. 97046598.
Together with all and singular the passages, waters, water rights (whether tributary or non -tributary), water courses,
riparian rights, wells, well permits, water stock, other rights, liberties and privileges thereof or in any way now or here-
after appertaining to the Property.
1.3 "Obligations" means all loans by the Beneficiary to DmHR DevelppAent, LLP
including those loans evidenced by a note or notes dated 09/07/12
In the initial principal amount(s) of $ 1, 0 2 5, 000
and any extensions, renewals,
restatements and modifications thereof and all principal, interest, fees and expenses relating thereto (the "Note"); and
also means all the Grantor's debts, liabilities, obligations, covenants, warranties, and duties to the Beneficiary (plus Its
affiliates including any credit card debt, but specifically excluding any type of consumer credit), whether now or hereafter
existing or incurred, whether liquidated or unliquidated, whether absolute or contingent, whether arising out of the Loan
Documents or otherwise, and regardless of whether such Obligations arise out of existing or future credit granted by the
Beneficiary to any Grantor, to any Grantor and others, to others guaranteed, endorsed or otherwise secured by any
Grantor or to any debtor-in-possession/successor-in-interest of any Grantor, and principal, interest, fees, expenses and
charges relating to any of the foregoing, Including, without limitation, costs and expenses of collection and enforcement
of this Deed of Trust, attorneys' fees of both inside and outside counsel and environmentaf assessment or remediation
costs. The interest rate and maturity of such Obligations are as described in the documents creating the indebtedness
secured hereby.
1,4 Homestead. The Premises are not the homestead of the Grantor. If so, the Grantor releases and
(are)(are not)
waives all rights under and by virtue of the homestead exemption laws of the State of Idaho.
1.5 Future Advances. This Deed of Trust secures future advances made pursuant to Idaho Code Section 45-108
and shall secure the payment of all loan advances included within the term "Obligations", regardless of the time such
advances are made. This Deed of Trust, shall also secure unpaid balances of advances made with respect to the
Mortgaged Property for the payment of taxes, assessments, insurance premiums or costs incurred for the protection of
the Mortgaged Property and other costs which the Bank is authorized by this Deed of Trust to pay on Grantor's behalf,
plus interest thereon, regardless of the time when such advances are made.
ARTICLE Il. WARRANTIES AND COVENANTS -
In addition to all other warranties and covenants of the Grantor under the Loan Documents which are expressly
incorporated herein as part of this Deed of Trust, including the covenants to pay and perform all Obligations, and while
any part of the credit granted the Grantor under the Loan Documents Is available or any Obligations of the Grantor to the
Beneficiary are unpaid or outstanding, the Grantor continuously warrants to the Beneficiary and the Trustee and agrees
as follows:
2.1 Warranty of Title/Possession. The Grantor warrants that it has sole and exclusive title to and possession of the
Premises, excepting only the following "Permitted Encumbrances": restrictions and easements of record, and zoning
ordinances (the terms of which are and will be complied with, and in the case of easements, are and will be kept free of
encroachments), taxes and assessments not yet due and payable and those Permitted Encumbrances set forth on
Exhibit B attached hereto (except that if no Exhibit B is attached, there will be no additional Permitted Encumbrances).
The lien of this Deed of Trust, subject only to Permitted Encumbrances, is and will continue to be a valid first and only lien
upon all of the Mortgaged Property.
2.2 Maintenance; Waste; Alteration. The Grantor will maintain the Premises In good and tenantable condition and
will restore or replace damaged or destroyed improvements with items of at least equal utility and value. The Grantor will
not commit or permit waste to be committed on the Premises. The Grantor will.,not remove, demolish or materially alter
17140ID Page 2 of 9
any part of the Premises without the Beneficiary's prior written consent, except the Grantor may remove a fixture,
provided the fixture is promptly replaced with another fixture of at least equal utility. The replacement fixture will be
subject to the priority lien and security of this Deed of Trust.
2.3 Transfer and Liens. The Grantor will not, without the prior written consent of the Beneficiary, which may be
withheld in the Beneficiary's sole and absolute discretion, either voluntarily or involuntarily (a) sell, assign, lease or
transfer, or permit to be sold, assigned, leased or transferred, any part of the Premises, or any interest therein; or (b)
pledge or otherwise encumber, create or permit to exist any mortgage, pledge, lien or claim for lien or encumbrance
upon any part of the Premises or interest therein, except for the Permitted Encumbrances. Beneficiary has not
consented and will not consent to any contract or to any work or to the furnishing of any materials which might be
deemed to create a lien or liens superior to the lien of this Deed of Trust or otherwise.
2.4 Escrow. After written request from the Beneficiary, the Grantor will pay to the Beneficiary sufficient funds at such
time as the Beneficiary designates, to pay (a) the estimated annual real estate taxes and assessments on the Premises;
and (b) all property or hazard Insurance premiums when due. Interest will not be paid by the Beneficiary on any
escrowed funds. Escrowed funds may be commingled with other funds of the Beneficiary. All escrowed funds are
hereby pledged as additional security for the Obligations.
2.5 Taxes, Assessments and Charges. To the extent not paid to the Beneficiary under 2.4 above, the Grantor will
pay before they become delinquent all taxes, assessments and other charges now or hereafter levied or assessed against
the Premises, against the Beneficiary based upon this Deed of Trust or the Obligations secured by this Deed of Trust, or
upon the Beneficiary`s Interest in the Premises, and deliver to the Beneficiary receipts showing timely payment.
2.6 Insurance. The Grantor will continually insure the Premises against such perils or hazards as the Beneficiary
may require, in amounts, with acceptable co-insurance provisions, not less than the unpaid balance of the Obligations or
the full replacement value of the Improvements, whichever is less. The policies will contain an agreement by each insurer
that the policy will not be terminated or modified without at least thirty (30) days' prior written notice to the Beneficiary
and will contain a mortgage clause acceptable to the Beneficiary; and the Grantor will take such other action as the
Beneficiary rilay reasonably request to ensure that the Beneficiary will receive (subject to no other interests) the
Insurance proceeds from the Improvements. The Grantor hereby assigns all insurance proceeds to and irrevocably
directs, while any Obligations remain unpaid, any insurer to pay to the Beneficiary the proceeds of all such 'insurance and
any premium refund; and authorizes the Beneficiary to endorse the Grantor's name to effect the same, to make, adjust or
settle, in the Grantor's name, any claim on any insurance policy relating to the Premises, The proceeds and refunds will
be appiied in such manner as the Beneficiary, in its sole and absolute discretion, determines to rebuilding of the Premises
.or to payment of the Obligations, whether or not then due and payable.
2.7 Condemnation. Any compensation received for the taking of the Premises, or any part thereof, by a
condemnation proceeding (including payments in compromise of condemnation proceedings), and all compensation
received as damages for injury to the Premises, or any part thereof, shall be applied in such manner as the Beneficiary, in
its sole and absolute discretion, determines to rebuilding of the Premises or to payment of the Obligations, whether or not
then due and payable.
2.8 Environmental Matters. Except as specifically disclosed by Grantor to Beneficiary in writing prior to the
execution of this Deed of Trust, Grantor represents and warrants as follows. There exists no uncorrected violation by the
Grantor of any federal; state or local laws (including statutes, regulations, ordinances or other governmental restrictions
and requirements) relating to the discharge of air pollutants, water pollutants or process waste water or otherwise relating
to the environment or Hazardous Substances as hereinafter defined, whether such laws currently exist or are enacted in
the future (collectively "Environmental Laws"). The term "Hazardous Substances" will mean any hazardous or toxic
wastes, chemicals or other substances, the generation, possession or existence of which is prohibited or governed by
any Environmental Laws. The Grantor is not subject to any judgment, decree, order or citation, or a party to (or threat-
ened with) any litigation or administrative proceeding, which asserts that the Grantor (a). has violated any Environmental
Laws; (b) is required to clean up, remove or take remedial or other action with respect to any Hazardous Substances
(collectively "Remedial Action"); or (c) is required to pay all or a portion of the cost of any Remedial Action, as a poten-
tially responsible party. Except as disclosed on the Borrower's environmental questionnaire provided to the Beneficiary,
Mere are not now, nor to the Grantor's knowledge after reasonable investigation have there ever been, any Hazardous
Substances (or tanks or other facilities for the storage of Hazardous Substances) stared, deposited, recycled or disposed
of on, under or at any real estate owned or occupied by the Grantor during the periods that the Grantor owned or
occupied such real estate, which if present on the real estate or in soils or ground water, could require Remedial Action.
To the Grantor's knowledge, there are no proposed or pending changes in Environmental Laws which would adversely
affect the Grantor or its business, and there are no conditions existing currently or likely to exist while the Loan Docu-
ments are in effect which would subject the Grantor to Remedial Action or other liability, The Grantor currently complies
with and will continue to timely comply with all applicable Environmental Laws; and will provide the Beneficiary,
immediately upon receipt, copies of any correspondence, notice, complaint, order or other document from any source
asserting or alleging.any circumstance or condition which requires or may require a financial contribution by the Grantor
1714DID Page 3 of 9
or Remedial Action- or other response by or on the part of the Grantor under Environmental Laws, or which seeks
damages or civil, criminal or punitive penalties from the Grantor for an alleged violation of Environmental Laws. In the
event of any such circumstance or condition, the Grantor agrees, at its expense and at the request of the Beneficiary, to
permit an environmental audit solely for the benefit of the Beneficiary, to be conducted by the Beneficiary or an
independent agent selected by the Beneficiary and which may not be relied on by the Grantor for any purpose. This
provision shall not relieve the Grantor from conducting its own environmental audits or taking any other steps necessary
to comply with Environmental Laws.
2.9 Assignments. The Grantor will not assign, in whole or in part, without the Beneficiary's prior written consent, the
rents, issues or profits arising from the Premises.
2.10 Right of inspection. The Beneficiary may at all reasonable times enter and inspect the Premises.
2.11 Waivers by Grantor. To the greatest extent that,such rights may then be lawfully waived, the Grantor hereby
agrees for itself and any persons claiming under the Deed of Trust that it will waive and will not, at any time, insist upon or
plead or in any manner whatsoever claim or take any benefit or advantage of (a) any exemption, stay, extension or
moratorium law now or at any time hereafter in force; (b) any law now or hereafter In force providing for the valuation or
appralsement of the Premises or any part thereof prior to any sale or sales thereof to be made pursuant to any provision
herein contained or pursuant to the decree, judgment or order of any court of competent jurisdiction, (c) to the extent
permitted by law, any law now or at any time hereafter made or enacted granting a right to redeem from foreclosure or
any other rights of redemption in connection with foreclosure of, or exercise of any power of sale under, this Deed of
Trust; (d) any statute of limitations now or at any time hereafter In force; or (e) any right to require marshalling of assets
by the Beneficiary.
2.12 Assignment of Rents and Leases. The Grantor assigns and transfers to the Beneficiary, as additional security
for the Obligations, all right, title and interest of the Grantor in and to all leases which now exist or hereafter may be
executed by or on behalf of the Grantor covering the Premises and any extensions or renewals thereof, together with all
Rents, it being intended that this is an absolute and present assignment of the Rents. Notwithstanding that this
assignment constitutes a present assignment of leases and rents, the Grantor may collect the Rents and manage the
Premises, but only it and so long as a default has not occurred. If a default occurs, the right of Grantor to collect the
Rents and to manage the Premises shall thereupon automatically terminate and such right, together with other rights,
powers and authorizations contained herein, shall belong exclusively to the Beneficiary. This assignment confers upon
the Beneficiary a power coupled with an Interest and cannot be revoked by the Grantor. Upon the occurrence of a
default, the Beneficiary, at its option without notice and without seeking or obtaining the appointment of a receiver or
taking actual possession of the Premises may (a) give notice to any tenant(s) that the tenant(s) should begin making
payments under their lease agreement(s) directly to the Beneficiary or its designee; (b) commence a foreclosure action
and file a motion for appointment of a receiver; or (c) give notice to the Grantor that the Grantor should collect all Rents
arising from the Premises and remit them to the Beneficiary upon collection and that the Grantor should enforce the
terms of the lease(s) to ensure prompt payment by tenant(s) under the lease(s). All Rents received by the Grantor shall
be held in trust by the Grantor for the Beneficiary. All such payments received by the Beneficiary may be applied in any
manner as the Beneficiary determines to payments required under this Deed of Trust, the Loan Documents and the
Obligations. The Grantor agrees to hold each tenant harmless from actions relating to tenant's payment of Rents to the
Beneficiary.
2.13 Fixture Filing. From the date of its recording, this Deed of Trust shall be effective as a financing statement filed
as a fixture filing under the Uniform Commercial Code with respect to the Improvements and for this purpose the name
and address of the debtor is the name and address of the Grantor as set forth In this Deed of Trust and the name and
address of the secured party is the name and address of the Beneficiary as set forth in this Deed of Trust. The
Mortgaged Property includes goods which are or may become so affixed to real property as to become fixtures. If any of
the Mortgaged Property is of a nature such that a security interest therein can be perfected under the Uniform
Commercial Code, this Deed of Trust shall also constitute the grant of a security interest to the Beneficiary and serve as a
Security Agreement, and Grantor authorizes the filing of any financing statements and agrees to execute other instru-
ments that may be required for the further specification, perfection or renewal of such security interest.
ARTICLE III. RIGHTS AND DUTIES OF THE BENEFICIARY
In addition to all other rights (including setoff) and duties of the Beneficiary under the Loan Documents which are
expressly incorporated herein as a part of this Deed of Trust, the following provisions will also apply,
3,1 Beneficiary Authorized to Perform for Grantor. If the Grantor fails to perform any of the Grantor's duties or
covenants set forth in this Deed of Trust, the Beneficiary may perform the duties or cause them to be performed,
including, without limitation, signing the Grantor's name or paying any amount so required, and the cost, with interest at
the default rate set forth in the Loan Documents, will immediately be due from the Grantor to the Beneficiary from the
date of expenditure by the Beneficiary to date of payment by the Grantor, and will be one of the Obligations secured by
1714DID Page 4 of 9
this Deed of Trust. All acts by the Beneficiary are hereby ratified and approved, and the Beneficiary will not be liable for
any acts of commission or omission, nor for any errors of judgment or mistakes of fact or law.
ARTICLE IV. DEFAULTS AND REMEDIES
The Beneficiary may enforce its rights and remedies under this Deed of Trust upon default. A default will occur if the
Grantor fails to comply with the terms of any Loan Documents (including this Deed of Trust or any guaranty by the
Grantor) or a demand for payment is made under a demand loan, or the Grantor defaults on any other mortgage
affecting the Land, or if any other obligor fails to comply with the terms of any Loan Documents for which the Grantor has
given the Beneficiary a guaranty or pledge. Upon the occurrence of a default, the Beneficiary may declare the
Obligations to be immediately due and payable.
4.1 Remedies. In addition to the remedies for default set forth below and in the other Loan Documents, including
acceleration, the Beneficiary upon default will have4l other rights and remedies for default available by law or equity.
Upon a default, Beneficiary may exercise the following remedies:
(a) Enforcement of Assignment of Rents and Leases. Beneficiary may:
(i) terminate the license granted to Grantor to collect the Rents (regardless of whether Beneficiary or Trustee shall
have entered into possession of the Mortgaged Property), collect and sue for the Rents in Beneficiary's own name,
give receipts and releases therefor, and after deducting all expenses of collection, including reasonable attorneys'
fees, apply the net proceeds thereof to any Obligations as Beneficiary may elect;
(H) make, modify, enforce, cancel or accept surrender of any leases, evict tenants, adjust Rents, maintain, deco-
rate, refurbish, repair, clean, and make space ready for renting, and otherwise do anything Beneficiary reasonably
deems advisable in connection with the Mortgaged Property;
(III) apply the Rents so collected to the operation and management of the Mortgaged Property, including the
payment of reasonable management, brokerage and attorneys' fees, or to the Obligations.; and
(iv) require Grantor to transfer and deliver possession of all security deposits and records thereof to Beneficiary.
(h) Power of Sale. Beneficiary may require the Trustee, and the Trustee is hereby authorized and empowered, to
enter and take possession of the Premises and to sell all or part of the Mortgaged Property, at public auction, to the
highest bidder for cash, free from equity of redemption, and any statutory or common law right of redemption,
homestead, marital share, and all other exemptions, after giving notice of the time, place and terms of such sale and
of the Mortgaged Property to be sold, in accordance with applicable law. The Trustee shall execute a conveyance to
the purchaser in fee simple and deliver possession to the purchaser, which the Grantor warrants shall be given with-
out obstruction, hindrance or delay. The Trustee may sell all or any portion of the Mortgaged Property, together or in
lots or parcels, and may execute and deliver to the purchaser or -purchasers of such property a conveyance in fee
simple. The Trustee shall receive the proceeds thereof and shall apply the same as follows: (a) first, the payment of
the expenses of making, maintaining and executing this trust, protection of the Mortgaged Property, including the
expense of any litigation and reasonable attorneys' fees, and reasonable compensation to the Trustee; (b) second, to
any advancements made by the Trustee or the Beneficiary pursuant hereto, with interest thereon; (c) third, to the
payment of the Obligations herein secured or intended so to be, in such order as Beneficiary shall elect, and any
balance of said Obligations may be the subject of immediate suit; (d) and, fourth, should there by any surplus, Trustee
will pay It to the Grantor, or to such person as may be legally entitled thereto. The sale or sales by Trustee of less than
the whole of the Mortgaged Property shall not exhaust the power of sale herein granted, and the Trustee is specifically
empowered to make successive sale or sales under such power until the whole of the Mortgaged Property shall be
sold; and if the proceeds of such sale or sales of less than the whole of the Premises shall be less than the aggregate
of the Obligations and the expenses thereof, this Deed of Trust and the lien, security Interest and assignment hereof
shall remain in full force and effect as to the unsold portion of the Mortgaged Property; provided, however, that
Grantor shall never have any right to require the sale or sales of less than the whole of the Mortgaged Property, but
Beneficiary shah have the right at its sole election, to request the Trustee to sell less than the whole of the Mortgaged
Property. Beneficiary may bid and become the purchaser of all or any part of the Mortgaged Property at any such
sale, and the amount of Beneficiary's successful bid may be credited on the Obligations. In the event of a foreclosure
of this Deed Trust, whether pursuant to the power of sale granted herein or pursuant to court decree, the Grantor shall
remain liable for any deficiency.
(c) Judicial and Other Relief. Beneficiary or Trustee may proceed by a suit or suits in equity or at law, whether for
the specific performance of any covenant or agreement herein contained or in aid of the execution of any power
herein granted, or for any foreclosure hereunder or for the sale of the Mortgaged Property under the judgment or
decree of any court or courts of competent jurisdiction.
(d) Entry on Premises; Tenancy at Will.
(I) Beneficiary may enter into and upon and take possession of all or any part of the Mortgaged Property, and may
exclude Grantor, and all persons claiming under Grantor, and its agents or servants, wholly or partly therefrom; and,
i714DID Page 5 of 9
holding the same, Beneficiary may use, administer, manage, operate, and control the Mortgaged Property and may
exercise all rights and powers of Grantor in the name, place and stead of Grantor, or otherwise, as the Beneficiary
shall deem best; and In the exercise of any of the foregoing rights and powers Beneficiary shall not be liable to
Grantor for any loss or damage thereby sustained unless due solely to the willful misconduct or gross negligence of
Beneficiary.
(ii) In the event of a trustee's or other foreclosure sale hereunder and if at the time of such sale Grantor or any
other party (other than a tenant under a Lease as to which the Beneficiary shall have expressly subordinated the lien
of this Deed of Trust as hereinabove set out) occupies the portion of the Mortgaged Property so sold or any part
thereof, such occupant shall immediately become the tenant of the purchaser at such sale, which tenancy shall be a
tenancy from day to day, terminable at the will of such purchaser, at a reasonable rental per day based upon the
value of the portion of the Premises so occupied (but not less than any rental theretofore paid by such tenant, com-
puted on a daily basis). An action of forcible detainer shall lie if any such tenant holds over a demand in writing for
possession of such portion of the Premises.
(e) Receiver. Beneficiary may make application to a court of competent jurisdiction, as a matter of strict right and
without notice to Grantor or regard to the adequacy of the Mortgaged Property for the repayment of the Obligations,
for appointment of a receiver of the Mortgaged Property, and Grantor does hereby irrevocably consent to such
appointment. Any such receiver shall have all necessary and proper powers and duties of receivers in similar cases,
including the full power to rent, maintain and otherwise operate the Mortgaged Property upon such terms as may be
approved by the court.
(f1 Remedies Cumulative, Concurrent and Nonexclusive. If the Obligations are now or hereafter further secured
by chattel mortgages, other deeds of trust, security agreements, pledges, contracts of guaranty, assignments of
leases, or other security, Beneficiary may, at its option, exhaust its remedies under any one or more of said instru-
ments and this Deed of Trust, either concurrently or independently, and in such order as Beneficiary may determine.
Beneficiary shall have all rights, remedies and recourses granted in the Loan Documents and available to it at law or
equity (including, without limitation, those granted by the Uniform Commercial Code), and same (a) shall be cumula-
tive, concurrent, and nonexclusive, (b) may be pursued separately, successively or concurrently against Grantor or
others obligated for the Obligations, or any part thereof or against any one or more of them, or against the Mortgaged
Property, at the sole discretion of Beneficiary, and (c) may be exercised as often as occasion therefor shall arise, it
being agreed by Grantor that the exercise of or failure to exercise any of same shall in no event be construed as a
waiver or release thereof or of any other right, remedy or recourse.
(g) Waiver by the Beneficiary. The Beneficiary may permit the Grantor to attempt to remedy any default without
waiving its rights and remedies hereunder, and the Beneficiary may waive any default without waiving any other sub-
sequent or prior default by the Grantor. Furthermore, delay on the part of the Beneficiary in exercising any right,
power or privilege hereunder or at. law will not operate as a waiver thereof, nor will any single or partial exercise of
such right, power or privilege preclude other exercise thereof or the exercise of any other right, power or privilege. No
waiver or suspension will be deemed to have occurred unless the Beneficiary has expressly agreed in writing specify-
ing such waiver or suspension.
(h) Attorneys' Fees and Other Costs. Attorneys' fees and other costs incurred in connection with this Deed of Trust
may be recovered by the Beneficiary and included in any sale made hereunder or by judgment of foreclosure.
ARTICLE V. TRUSTEE
5.1 Action by Trustee. The Trustee named herein shall be clothed with full power to act when action hereunder shall
be required, and to execute any conveyance of the Mortgaged Property. In the event that the substitution of the Trustee
shall become necessary for any reason, the substitution of a trustee in the place of that named herein shall be sufficient.
The term 'Trustee" shall be construed to mean "Trustees" whenever the sense requires. The necessity of the Trustee
herein named, or any successor in trust, making oath or giving bond, is expressly waived.
5.2 Employment of Agents. The Trustee, or any one acting in it's stead, shall have, in it's discretion, authority to
employ all property agents and attorneys in the execution of this trust and/or in the conducting of any sale made
pursuant to the terms hereof, and to pay for such services rendered out of the proceeds of the sale of the Mortgaged
Property, should any be realized; and if no sale be made or if the proceeds of sale be insufficient to pay the same, then
Grantor hereby undertakes and agrees to pay the cost of such services rendered to said Trustee. Trustee may rely on
any document believed by it in good faith to be genuine. All money received by the Trustee shall, until used or applied as
herein provided, be held in trust, but need not be segregated (except to the extent required by law), and the Trustee shall
not be liable for interest thereon.
5.3 Indemnification of Trustee. If the Trustee shall be made a party to or shall intervene in any action or proceeding
affecting the Mortgaged Property or the title thereto, or the interest of the Trustee or Beneficiary under this Deed of Trust,
the Trustee and Beneficiary shall be reimbursed by Grantor, immediately and without demand, for all reasonable costs,
1714DID Page 6 of 9
charges and attorneys' fees incurred by them or either of them in any such case, and the same shall be secured hereby
as a further charge and lien upon the Mortgaged Property.
5.4 Successor Trustee. Beneficiary may at any time, including any time before, during or after the commencement
or completion of any foreclosure proceeding, remove Trustee (with or without cause) and appoint a successor Trustee by
an instrument executed, acknowledged and recorded in the real estate records, which recording may take place before,
during or after the commencement or completion of any foreclosure proceeding, and any such successor Trustee shall
thereupon succeed to Trustee as Trustee hereunder as if named herein. No defect in the removal of Trustee or in the
appointment of a successor or in the execution and recording of such appointment shall affect the validity thereof.
Additionally, whether the recording of the successor Trustee instrument takes place before, during or after the com-
mencement or completion of any foreclosure proceeding shall have no effect upon the validity of said proceeding.
Trustee shall not be disqualified by reason that Trustee is an officer, employee or stockholder .of Beneficiary, or has an
interest in the Obligations. All parties waive any objection to Trustee having any such interest. Trustee shall be liable
only for gross negligence or willful misconduct. No indemnity or remedy herein conferred Is exclusive of any other
remedy or indemnity, but each shall be in addition to every other hereunder and at law or in equity. No delay or omission
by Trustee or Beneficiary to exercise any right or power shall impair such right or power or be construed as a waiver of
any default or an acquiescence therein. if Trustee shall have proceeded to enforce any right by foreclosure, entry or
otherwise, and such proceedings are discontinued for any reason, or shall have been determined adversely, then Grantor
and Trustee shall severally and respectively be restored to their former positions and rights hereunder.
ARTICLE VI. MISCELLANEOUS
In addition to all other miscellaneous provisions under the Loan Documents which are expressly incorporated as a
part of this Deed of Trust, the following provisions will also apply:
6.1 Term of Deed of Trust. This Deed of Trust shall continue in full force and effect until this Deed of Trust is
released.
6.2 Time of the Essence. Time is of the essence with respect to payment of the Obligations, the performance of all
covenants of the Grantor and the payment of taxes, assessments, and similar charges and insurance premiums.
6.3 Subrogation. The Beneficiary will be subrogated to the lien of any mortgage or other lien discharged, in whole or
in part, by the proceeds of the Note or other advances by the Beneficiary, in which event any sums otherwise advanced
by the Beneficiary shall be immediately due and payable, with interest at the default rate set forth In the Loan Documents
from the date of advance by the Beneficiary to the date of payment by the Grantor, and will be one of the Obligations
secured by this Deed of Trust.
6.4 Choice of Law. This Deed of Trust will be governed by the laws of the state in which the Mortgaged Property is
located. For all other purposes, the choice of law specified in the Loan Documents will govern.
6.5 Severability. Invalidity or unenforceability of any provision of this Deed of Trust shall not affect the validity or
enforceability of any other provision.
6.6 Entire Agreement. This Deed of Trust is intended by the Grantor and the Benefi, iary as a final expression of this
Deed of Trust and as a complete and exclusive statement of its terms, there being no conditions to the full effectiveness
of this Deed of Trust. No parol evidence of any nature shall be used to supplement or modify any terms.
6.7 Joint Liability; Successors and Assigns. If there is more than one Grantor, the liability of the Grantors will be
joint and several, and the reference to "Grantor" shall be deemed to refer to each Grantor and to all Grantors. The rights,
options, powers and remedies granted in this Deed of Trust and the other Loan Documents shall extend to- the
Beneficiary and to its successors and assigns, shall be binding upon the Grantor and its successors and assigns, and
shall be applicable hereto and to all renewals, amendments and/or extensions hereof.
6.8 Indemnification. , Except for harm arising from the Beneficiary's or the Trustee's willful misconduct, the Grantor
hereby indemnifies and agrees to defend and hold the Beneficiary and the Trustee harmless from any and all losses,
costs, damages, claims and expenses (including, without limitation, attorneys' fees and expenses) of any kind suffered by
or asserted against the Beneficiary or the Trustee relating to claims by third parties arising out of the financing provided
under the Loan Documents or related to the Mortgaged Property (including, without limitation, the Beneficiary's failure to
perform its obligations relating to Environmental Matters described in Section 2.8 above) or the exercise by the Beneficia-
ry or the Trustee of any of their respective powers, rights and remedies under this Deed of Trust. This indemnification
and hold harmless provision will survive the termination of the Loan Documents and the satisfaction of this Deed of Trust
and Obligations due the Beneficiary.
6.8 Notices. Notice of any record shall be deemed delivered when the record has been (a) deposited in the United
States Mail, postage pre -paid, (b) received by overnight delivery service, (c) received by telex, (d) received by telecopy,
(e) received through the internet, or (f) when personally delivered.
6.10 Release of Rights of Homestead and Distributive Share. Each of the undersigned hereby relinquishes all
1714DID Page 7 of 9
rights of homestead and distributive share in and to the Mortgaged Property and waives all rights of exemption as to any
of the Mortgaged Property.
6.11 Copy. The Grantor hereby acknowledges the receipt of a copy of this Deed of Trust, together with a copy of
each promissory note secured hereby, and all other documents executed by the Grantor in connection herewith.,
S.12 Usury Savings Clause. Notwithstanding anything herein or in the Note to the contrary, no provision contained
herein or in the Note which purports to obligate the Grantor to pay any amount of interest or any fees, costs or expenses
which are in excess of the maximum permitted by applicable law, shall be effective to the extent that it calls for the
payment of. any interest or other sums in excess of such maximum. All agreements between the Grantor and the
Beneficiary, whether now existing or hereafter arising and whether written or oral, are hereby limited so that in no
contingency, whether by reason of demand for payment of or acceleration of the maturity of any of the indebtedness
secured hereby or otherwise, shall the interest contracted for, charged or received t,y the Beneficiary exceed the
maximum amount permissible under applicable law. If, from any circumstance whatsoever, interest would otherwise be
payable to the Beneficiary in excess of the maximum lawful amount, the interest payable to the Beneficiary shall be
reduced to the maximum amount permitted under applicable law; and if from any circumstance the Beneficiary shall ever
receive anything of value deemed interest by applicable law in excess of the maximum lawful amount, an amount equal
to any excessive interest shall at the Beneficiary's option, be refunded to the Grantor or be applied to the reduction of the
principal balance of the indebtedness secured hereby and not to the payment of Interest or, if such excessive interest
exceeds the unpaid balance of principal indebtedness secured hereby, such excess shall be refunded to the Grantor.
This paragraph shall control all agreements between the Grantor and the Beneficiary.
6.13 Riders. The rider(s) attached hereto and recorded together with this Feed of Trust are hereby ful!y incorporated
into this Deed of Trust. [Check applicable box(es)] ❑ Condominium Rider ❑Second Deed of Trust Rider LJConstruction
Loan Rider ❑ Other(s) (Specify) _
IN WITNESS WHEREOF, the undersigned has/have executed this Deed of Trust as of �SEpTMER 7 . 20 2 _ .
(individual Grantor)
Printed Name _ N/A
(Individual Grantor)
Printed Name _ N/A
DMHR Development, LLP
Grantor Name (Organization)
a,Idaholimited li i rtner hip
By SEE ATTACHED SIGNATURE ADDENDUM
Name and Title
By
SEE ATTACHED SIGNATURE ADDENDUM
Name and Title _
(Grantor Address)
2340 W. Pranklin Road
Meridian ID 83642
(Beneficiary Address)
PORTLAND OR 97204
[NOTARIZATION ON NEXT PAGE]
1714DID Page 8 of 9
SIGNATURE ADDENDUM
DMHR Development, LLP
Grantor Name (Organization)
By
Walter W. Morrow
Name and T>e Aartnar
Deed of Trust, and any Riders
[For or Addenda attached thereto, Dated SEPTEMBER 7 2012
as applicable 5824118334
a Idaho limit d ] ilit r r
By
Name and Title
By
Name and Title
By
Name and Title
STATE OF 0o
(Kd
COUNTY OF S5. On ';�-1.2Q/-L , before me personally appeared
Walter_ W. Morrow and Rodney A,
to me known to be the person(s) described in and who executed the foregoing instrument and known to me to be
Partner and Partner executing on behalf
(Type of authority or title, it any, e.g., officer, vice president, trustee; if an individuW, a married individual, a single individual)
of DERR 'Devela men LLP
- (Name of entity an whose behalf the document was executed; use N/A'd individual)
a and
(State of organization and type at organization, use NSA if individual)
acknowledged that he/she/they executed the same as the free act and of such indiAdual(s)/entity .
��e�a�eleu�rper ,. V
(SEAL)`.ER +M�l,+�''•.,
�.• �+ ''. Q� •.w N ub is
y _ e0�q� My term expires
• �tC
50
[SEE REVERSE SIDE FOR ADDITIONAL NOTARIZATION(S)]
35151D ®us bancorp 2001 page 1 of 2 8/01
STATE OF
ss.
COUNTY OF
On --before me personally appeared John G. Dillon
to me known to be the person(s) described in and who executed the foregoing instrument and known to me to be
Par ner executing on behalf
(Type of authority or title, if any, e.g., officer, vice president, trustee; if an individual, a married individual, a single individual)
of D R Develgprngnt, LL
Name of entity on whose behalf the document was executed; use N/A If individuatj
a Idaho limited liability artnershi and
(State of organization and type of organization, use N/A if individuai)
acknowledged that he/she/they execu��00#689My� as the free act and deed of such individuals)/entity .
A.
(SEAL) •r'• •••rti •�.'
XA° ''Rr : x ata �3Ic .� 1
�'Ug Li0 x My term expire �q - -
STATE OF
COUNTY -OF
On
••'••TF OF
ss.
before me personally appeared
to me known to be the person(s) described in and who executX the foregoing instrument and known to me to be
ype of authority or title, if any, e.g.,
of
a
president, trustee; if an in vidual, a married indivi
on whose beha t th document was executed; use
acknowledged that he/she/they executed the
(SEAL)
executing on behalf
, a singie incimauai)
) type of organization, use NIA it ina,viauail
as the free act and deed of such individuals)/entity.
Notary Public
My term expires
, and
35151D Page 2 of 2 6/01