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~ COURT OF COMMON PLEAS
DY NOY 24 {1 \0: SRUTLER COUNTY, OHIO
US Bank National Association ND 5 Case Number CV 2011 11 3981
Bull Se
PlaintiffCLEis. Ge Ses! Judge Keith M. Spaeth
Vv.
Catherine E. Hoffman, et al. MOTION FOR LEAVE OF COURT TO FILE.
AMENDED COMPLAINT
Defendants
Now comes the Plaintiff, by and through counsel, and respectfully moves this Court for
leave to file its First Amended Complaint pursuant to Ohio Civ. R. 15. For cause, Plaintiff states
that the debt of the loan plus interest is presently due per annum from February 28, 2011 not
April 28, 2009. Additionally, this motion is not being made for the purpose of delay and no party
will be prejudiced by allowing Plaintiff to file its Amended Complaint. The Amended Complaint is
attached hereto as Exhibit "A."
WHEREFORE, Plaintiff respectfully requests leave of the Court to file its First Amended
Complaint.
Respectfully submitted,
Sarah A. Okrzynski (0076571)
Franco M. Barile (0080301)
D. Anthony Sottile (0075101)
Erin K. McConnell (0084657)
Susan B. Klineman (0074425)
Gerner & Kearns Co., LPA
Attorneys for Plaintiff
215 West Ninth Street
Cincinnati, OH 45202
Phone: 513-241-7722
Fax: 859-295-5300
judicialservices @ gernerlaw.com
09-00860/RBCERTIFICATE OF SERVICE
| hereby certify that a true and accurate photocopy of the foregoing was served upon all
parties and counsel of record via ordinary U.S. Mail this 17th day of November, 2011.
Robert H. Hoffman
2456 Wilbraham Rd.
Middletown, OH 45042
Catherine E. Hoffman
2456 Wilbraham Rd.
Middletown, OH 45042
GY A. WV (0076571)
Franco M. Barile (0080301)
D. Anthony Sottile (0075101)
Erin K. McConnell (0084657)
Susan B. Klineman (0074425)
US Bank Mortgage Assistance
Email Address: mortgageassistancepoint@ usbank.com
Toll Free # 1-855-MYUSMAP (Or 855-698-7627)
09-00860/RBEXHIBIT A
COURT OF COMMON PLEAS
BUTLER COUNTY, OHIO
US Bank National Association ND Case Number CV 2011 11 3981
205 W. 4th Street, Ste. 500
Cincinnati, OH 45202 Judge Keith M. Spaeth
Plaintiff
v.
AMENDED IN REM COMPLAINT FOR
Catherine E. Hoffman FORECLOSURE OF A
2456 Wilbraham Rd. MORTGAGE
Middletown, OH 45042
Permanent Parcel No.
Robert H. Hoffman Q6511 031 000 068
2456 Wilbraham Rd.
Middletown, OH 45042
Defendants
Now comes the Plaintiff US Bank National Association ND, by and through counsel, and
for its Amended Complaint against the Defendants, states as follows:
FIRST CAUSE OF ACTION
1. Plaintiff US Bank National Association ND is the holder of a Promissory Note executed
on or about August 24, 2006, by Defendant Catherine E. Hoffman in the principal sum of
$91,000.00, plus interest thereon as set forth in the Note, a true and accurate photocopy
of which is attached hereto and incorporated herein as Exhibit "A".
2. Defendant Catherine E. Hoffman defaulted under the terms of said Promissory Note and
there is truly due and owing the Plaintiff the principal sum of $87,224.13, together with
interest at the current rate of 8.30000% per annum from February 28, 2011, until the
loan is fully repaid, together with escrow advances, late charges, penalties, court costs
and other expenses as set forth under the terms of the Note.
09-00860/RBPlaintiff states that the Defendants Catherine E. Hoffman and Robert H. Hoffman filed a
Chapter 7 Bankruptcy Case in the United States Bankruptcy Court, Southern District of
Ohio on October 4, 2010 as Case No. 10-16843 and were discharged on March 25,
2011 and are immune from personal liability.
SECOND CAUSE OF ACTION ©
Plaintiff US Bank National Association ND incorporates into this Second Cause of Action
all of the allegations contained in the First Cause of Action as if fully written herein.
Defendants Catherine E. Hoffman and Robert H. Hoffman, in order to secure the
repayment of said Promissory Note, executed a Mortgage encumbering the real
property described therein, a true and accurate photocopy of which is attached hereto
and incorporated herein as Exhibit "B".
On or about October 5, 2006, the mortgage was filed of record with the Butler County,
Ohio Recorder as Book 7805, Page 2021, making it a valid and subsisting first and best
lien against the subject real property.
By reason of the default under the terms of said Promissory Note, the conditions of the
Mortgage have been broken; Plaintiff has complied with all conditions precedent and
Plaintiff is entitled to have the Mortgage foreclosed, the equity of redemption of all
Defendants forever cut off and barred, said premises sold and the sale proceeds applied
toward the payment of Plaintiff's claims.
Plaintiff states that Defendants Catherine E. Hoffman and Robert H. Hoffman, wife and
husband, may claim an interest in the subject real property by virtue of ownership and
being the record title holders.
09-00860/RBPRAYER FOR RELIEF
WHEREFORE, Plaintiff prays for In Rem judgment as follows:
As to its First Cause of Action, that Plaintiff be awarded a In Rem Judgment upon the
Note/Agreement in the principal sum of $87,224.13, together with interest at the current
rate of 8.30000% per annum from February 28, 2011, until the loan is fully repaid,
together with escrow advances, late charges, penalties court costs and expenses for the
preservation and maintenance of the real estate, prior to and subsequent to the filing of
this Complaint.
As to its Second Cause of Action, that Plaintiff's Mortgage be declared to be a valid and
subsisting first and best lien upon the real property described therein; that said
Mortgage be foreclosed; that the equity of redemption of all Defendants be forever cut
off and barred; that all Defendants be required to set forth any claim, lien or interest
which he, she or it may have or claim to have in or upon the subject real property or be
forever barred therefrom;
09-00860/RBThat the subject real property be sold free and clear of the claims and interests of any
and all Defendants herein in accordance with law and the Orders of this Court; that all
liens against the subject real property be marshaled and that, upon the sale of the
subject real property, the sale proceeds therefrom be applied toward payment of the
amount owed to Plaintiff and the interest due thereon, together with advances, late
charges, penalties, disbursements and costs expended herein; and for such further legal
and equitable relief to which it may be entitled.
Respectfully submitted,
é
Sarah A. Okrzynski (0076571)
Franco M. Barile (0080301)
D. Anthony Sottile (0075101)
Erin K. McConnell (0084657)
Susan B. Klineman (0074425)
Gerner & Kearns Co., LPA
Attorneys for Plaintiff
215 West Ninth Street
Cincinnati, OH 45202
Phone: 513-241-7722
Fax: 859-295-5300
judicialservices @gernerlaw.com
09-00860/RBNOTICE UNDER THE FAIR
DEBT COLLECTION PRACTICES ACT
(15 U.S.C. Section 1692 As Amended)
If your name appears in the first claim for relief in the Complaint to which this is attached,
Federal law requires the Gerner & Kearns Co., LPA to provide you with the following
information:
1. The amount of the debt is $96,623.85, including interest at an initial rate of 8.30000% per
annum from February 28, 2011, together with advances, late charges, penalties and costs
herein.
2. The name of the creditor to whom the debt is owed is US Bank National Association ND.
3. The debt described in the Complaint and evidenced by the copy of the Promissory Note
attached thereto will be assumed to be valid by the law firm of Gerner & Kearns Co., L.P.A.
unless, within 30 days after the receipt of this Notice, you dispute the validity of the debt or
some portion thereof.
4. If you notify the law firm of Gerner & Kearns Co., L.P.A. in writing within 30 days of the
receipt of this Notice that the debt or any portion thereof is disputed, the law firm of Gerner &
Kearns Co., L.P.A. will obtain a verification of the debt and a copy of verification will be mailed
to you by the law firm of Gerner & Kearns Co., L.P.A.
5. If the creditor named as Plaintiff in the Complaint is not the original creditor, and if you make
a written request to the law firm of Gerner & Kearns Co., L.P.A. within 30 days from the receipt
of this Notice, the name and address of the original creditor will be mailed to you by the law firm
of Gerner & Kearns Co., L.P.A.
6. Written notices and requests should be addressed to:
Gerner & Kearns Co., L.P.A.
Attorneys at Law
215 West Ninth Street
Cincinnati, Ohio 45202
(513) 241-7722
7. Please be advised that the law firm of Gerner & Kearns Co., L.P.A. is attempting to collect a
debt on behalf of the Plaintiff and any information obtained will be used for that purpose.
US Bank Mortgage Assistance
Email Address: mortgageassistancepoint @usbank.com
Toll Free # 1-855-MYUSMAP (Or 855-698-7627)
09-00860/RBRUT rina = vuvUeLsYS 11997
BS or:
August 24, 2006 ott" MIAMISBURG
[Dare} [City)
EXHIBIT A
2456 WILBRAHAM RD, MIDDLETOWN, OH, 45042
(Property Address}
1, BORROWER'S PROMISE TO PAY | .
Tn return for a loan that I have received, I promise to pay U.S. $ 91,000.00 (this amount is called "Principal"),
plus interest, to the order of the Lender. The Lender is U.S. BANK NATIONAL ASSOCIATION ND
I will make all payments under this Note in the form of cash, check of money order.
I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is
entitled to receive payments under this Note is called the "Note Holder."
2. INTEREST
Interest will be charged on unpaid principal until the full amount of Principal has becn paid. | will pay intercst at a yearly
rate of 8.300%
The interest rate required by this Section 2 is the rate I will pay both before and after any default described in Section 6(B)
of this Note.
3. PAYMENTS
(A) Time and Place of Payments
I will pay principal and interest by making a payment every month.
1 will make my monthly payment on the 28th day of cach month beginning on September 28, 2006 . I will
make these payments every month until I have paid all of the principal and interest and any other charges described below that
may owe under this Note. Each monthly payment will be applied as of its scheduled duc date and will be applied to interest
before Principal. If, onAugust 28, 2036 » I still owe amounts under this Note, I will pay those amounts in full on
that date, which is called the "Maturity Date.”
[ will make my monthly payments at4325 - 17TH AVENUE SW, FARGO, ND 58103
or at a different place if required by the Note Holder.
(B) Amount of Monthly Payments
My monthly payment will be in the amount of U.S. $ 686.85
4, BORROWER'S RIGHT TO PREPAY
I have the right to make payments of Principal at any time before they are due. A payment of Principal only is known as a
“Prepayment.” When I make a Prepayment, | will tell the Note Holder in writing that 1 am doing so. I may not designate a
Payment as a Prepayment if I have not made all the monthly payments duc under the Note.
I may make a full Prepayment or partial Prepayments without paying a Prepayment charge. The Note Holder will use my
Prepayments to reducc the amount of Principal that | owe under this Note. However, the Note Holder may apply my
Prepayment to the accrued and unpaid interest on the Prepayment amount, before applying my Prepayment to reduce the
Principal amount of the Note. If I make a partial Prepayment, there will be no changes in the due date or in the amount of my
monthly payment unless the Note Holder agrees in writing to those changes.
MULTISTATE FIXED RATE NOTESingle FamilyFannie MaeiFreddie Mac UNIFORM INSTRUMENT
oe 10005 .0z Fosm 3200 1/ 01
VIP MORTGAGE FORMS - (890/52 1-720)
ougeat wea5, LOAN CHARGES
If a law, which applies to this loan and which sets maximum loan charges, is finally interpreted so that the interest or other
loan charges collected or to be collected in connection with this loan exceed the permitted limits, then: (a) any such loan charge
shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from
me which exceeded permitted limits will be refunded to me. The Note Holder may choose to make this refund by reducing the
Principal 1 owe under this Note or by making a direct payment to me. If a refund reduces Principal, the reduction will be treated
as a partial Prepayment.
6. BORROWER'S FAILURE TO PAY AS REQUIRED
(A) Late Charge for Overdue Payments
If the Note Holder bas not received the full amount of any monthly payment by the end of 15 calendar days
after the date it is due, I will pay a late charge to the Note Holder. The amount of the charge will be 5.000% of
my overdue payment of principal and interest. I will pay this late charge promptly but only once on each late payment.
(B) Default
If1 do not pay the full amount of each monthly payment on the date it is duc, I will be in default.
(C) Notice of Default
If | am in default, the Note Holder may send me a written notice telling me that if J do not pay the overduc amount by a
certain date, the Note Holder may require me to pay immediately the full amount of Principal which has not been paid and all
the interest that I owe on that amount, That date must be at least 30 days after the date on which the notice is mailed to me or
delivered by other means.
(D) No Waiver By Note Holder
Even if, at a time when 3 am in default, the Note Holder docs not require me to pay immediately in full as described
above, the Note Holder will still have the right to do so if | am in default at a later time.
(E) Payment of Note Holder's Costs and Expenses
If the Note Holder has required me to pay immediately in full as described above, the Note Holder will have the right to
be paid back by me for all of its costs and expenses in enforcing this Note to the extent not probibited by applicable law. Those
expenses include, for example, reasonable attorneys’ fees.
7. GIVING OF NOTICES
Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by
delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if ] give the Note
Holder a notice of my different address.
Any notice that must be given to the Note Holder under this Note will be given by delivering it or by mailing it by first
class mail to the Note Holder at the address stated in Section 3(A) above or at a different address if I am given a notice of that
different address.
8 OBLIGATIONS OF PERSONS UNDER THIS NOTE
If more than one person signs this Note, cach person is fully and personally obligated to keep all of the promises made in
tbis Note, including the promise to pay the full amount owed. Any person who is a guarantor, surety or endorser of this Note is
also obligated to do these things. Any person who takes over these obligations, incuding the obligations of 2 guarantor, surety
or endorser of this Note, is also obligated to keep all of the promises made in this Note. The Note Holder may enforce its rights
under this Note against cach person individually or against all of us together. This means that any one of us may be required to
pay all of the amounts owed under this Note.
9. WAIVERS
] and any other person who has obligations under this Note waive the rights of Presentment and Notice of Dishonor.
“Presentment” means the right to require the Note Holder to demand payment of amounts due. “Notice of Dishonor” means the
Tight to require the Note Holder to give notice to other persons that amounts duc have not been paid.
Form 3200 1/ ot
o™ (0905.02 wan CEU10. UNIFORM SECURED NOTE
This Note is a uniform instrument with limited variations in some jurisdictions. In addition to the protections given to the
Note Holder under this Note, a Mortgage, Deed of Trust, or Security Deed (the "Security Instrument”), dated the same date as
this Note, protects the Note Holder from possible losses which might result if | do not keep the promises whicb I make in this
Note. That Security Instrument describes how and under what conditions ] may be required to make immediate payment in full
of all amounts I owe under this Note. Some of those conditions are described as follows:
If all or any part of the Property or any Intercst in the Property is sold or transferred (or if Borrower is
not a natural person and 2 beneficial interest in Borrower is sold or tansferrcd) without Lender's prior written
consent, Lender may require immediate payment in full of all sums secured by this Security Instrument.
However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law.
If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall
provide a period of not less than 30 days from the date the notice is given in accordance with Section 15
witbin which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these
sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security
Instrument without further notice or demand on Borrower.
WITNESS THE HAND(S) AND SEAL{S) OF THE UNDERSIGNED.
Ae
[Sign Original Only)Loan Number:
NOTE ADDENDUM
(Borrower's Right to Prepay)
THIS NOTE ADDENDUM is made this 24th dayof August, 2006 - and is
incorporated into and sbali be deemed to amend and supplement the Note, Fixed Rate Note, Adjustable Rate Note, or
Balloon Note made by the undersigned (the “Borrower”) in favor of
U.S. BANK NATIONAL ASSOCIATION ND
{tbe “Lender") and dated as of even date herewith (the "Note”). The interest rate stated on the Note is callod the "Note
Rate.” The date of the Note is called the "Note Date.”
I (tbe Borrower) understand the Lender may transfer the Note, the related Mongage, Deed of Trust or Deed to
Secure Debt (the "Security Instrument") and this Addendum. The Lender or anyone who takes the Note,
Instrument and this Addendum by transfer and who is entitled to reccive payments under the Note is called the “Note
Holder",
ADDITIONAL COVENANTS. In addition to the covenants and agreements in the Sccurity Instrument, any
Riders to the Security Instrument, or the Note, Borrower and Lender further covenant and agrce as follows (despite
anything to the contrary contained in the Security Instrument or the Note
BORROWER'S RIGHT TO PREPAY
I have the right to make payments of Principal at any time before they are due. A payment of Principal only is
known as a “Prepayment.” When I make a Prepayment, I will tell the Note Holder in writing that I am. doing so. If ] make
a Prepayment prior to the thirdanniversary date of this note, } will have to pay a Prepayment charge. The Prepayment
charge will be as follows: For a Prepayment of the loan between the date of exccution of the note and the third anniv
oft the execution of the Note, une percent (1.0%) of the amount of principal prepaid, or One Hundred Dollars ($100.00!
ichever is greater.
WI makea paral Prepayment, there will be no changes in the due date or in the amount of my monthi ayment
unless the Note Holder agrees in writing to these changes. 8 ny ve
BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Note Addendum.
CATHERINE E HOFFMA! -Bonower
Borrower
MULTISTATE. FIXED RATE NOTE Prepayment Rier 1%. Siotle Faatly
Foem USBPPREW Revs Bees er 1h Sioa Fs{Page 2 of 16)
EXHIBIT B
Retum To:
2pps900s4381
U.S, BANK Filed for Record in
1850 Osborn Ave. pany W crag Ne
Osh Kosh, WI 54902 10-05-2006 At 10239:: .
’ MORTGAGE éo
40,00
OR Book 7805 Pose 2021 ~ 2036
FINDA
BK: 7805 PG; 2021
ree reeersoes
MORTGAGE
DEFINITIONS
Words used in multiple sections of this document are defined below and other words are defined in
Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage of words used in this document are
also provided in Section 16.
(A) "Secarity Instrument" means this document, which is dated Auguat 24, 2006 ,
together with all Riders to this document,
(B) "Borrower" is ROBERT H HOFFMAN AND CATHERINE £ HOFFMAN, HUSBAND AND WIFE
(SER ATTCHMNT A)
Borrower is the mortgagor under this Security Instrument.
(C) "Lender" is U.S. BANK NATIONAL ASSOCIATION ND
Lender isa A MATIONAL ASSOCIATION
organized and existing under ths laws of THE UNITED STATES OF AMERICA :
OHIO-Single Family Fannie MesiFreddie Mec UNIFORM INSTRUMENT Form 3036 1/ 01
BD AOH) P0080
Page 1 of 15 rai E ly wk
MP MORTGAGE FORMS - (800)621-7231(Page 2 of 18)
AAO
BK: 7805 PG: 2022
Lender's address is 4325 - 17TH AVENUE SW, FARGO, ND 58103
Lender is the mortgagee under this Security Instrument,
(@) Note" means the promissory note signed by Borrower and datedAugust 24, 2006 .
‘The Note states that Borrower owes Lender NINETY ONE THOUSAND AND 00/100
Dollars
(U.S. $91,000.00 ) plus interest, Borrower has promised to pay this debt in regular Periodic
Payments and to pay the debt in full not later than August 28, 2036
#) “Property” means the property that is described below under the heading “Transfer of Rights in the
© “Laan” means the debt evidenced by the Note, plus interest, any prepayment charges and late charges
due under the Note, and all sums due under this Security Instrument, plus interest.
(G) "Riders" means all Riders to this Security Instrument thst are executed by Borrower. The following
Riders are to be executed by Borrower {check box as applicable):
Adjustable Rate Rider [—] Condominium Rider Second Home Rider
Balloon Rider Planned Unit Development Rider [_] 1-4 Family Rider
VA Rider Biweekly Payment Rider Other's) [specify]
(H) "Applicable Law” means all controlling applicable federal, state and local statutes, regulations,
ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final,
non-appealable judicial opinions.
@) "Community Association Dues, Fees, and Assessments” means all dues, fees, assessments and other
charges that are imposed on Borrower or the Property by a condominium association, homeowners
association or similar organization,
(J) "Electronic Funds Transfer” means any transfer of funds, other than a transaction originated by
check, draft, or similar paper instrument, which is imitiated through gm electronic terminal, telephonic
instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit
or credit an account, Such term includes, but is not limited to, point-of-sale transfers, automated teller
machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse
transfers.
(K) "Escrow Items" means those items that are described in Section 3.
(L) "Miscellaneous Proceeds” means any compensation, settlement, award of damages, or proceeds paid
by any third party (other than insurance proceeds paid under the covernges described in Section 5) for: (i)
damage to, or destruction of, the Property; (ii) condemnstion or other taking of all or any part of the
Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the
value and/or condition of the Property.
(M) “Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on,
the Loan.
(N) "Periodic Payment" means the regularly scheduled amount due for (i) principal and interest under the
Note, plus (ii) any amounts under Section 3 of this Security Instrument.
(O) "RESPA” means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its
implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended from time to
time, or any additional or successor legislation or regulation that governs the same subject matter. As used
in this Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed in regard
1 8 (federally relsied mortgage lox" even if the Loan does not qualify as 2 “federally related mortgage
loan” under RESPA.
a md peak
DY AOH) e005 01 Page? of 18 CO Form 3036 1/04{Pago 3 of 28)
ELE
BK: 7805 PG: 2023
@) "Snocessor in Interest of Borrower" means sny party that has taken title to the Property, whether or
not that party has assumed Borrower's obligations under the Note and/or this Security Instrument.
‘TRANSFER OF RIGHTS IN THE PROPERTY
This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals,
extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and
agreements under this Security Instrument and the Note. For this purpose, Borrower does hereby
mortgage, grant and convey to Lender the following described property located in the
COUNTY of BUTLER :
[ype of Reoording Jurisdiction} [Name of Recording Jurisdiction)
SEBE"ATTACHMENT A"
Parcel ID Number: Q6511-031-000-0 which currently has the address of
2456 WILBRAHAM RD (Street)
MIDDLETOWN [City], Ohio 45042 {Zip Code)
("Property Address"):
TOGETHER WITH all the improvements now or hereafter erected on the property, and all
easements, appurtenances, and fixtures now or hereafter a part of the property, All replacements and
additions shall also be covered by this Sccurity Instrument. All of the foregoing is referred to in this
Security Instrument as the "Property."
BORROWER COVENANTS that Borrower is lawfully scised of the estate hereby conveyed and has
the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for
encumbrances of record. Borrower warrants and will defend generally the title to the Property against all
claims and demands, subject to any encumbrances of record.
THIS SECURITY INSTRUMENT combines uniform covenants for national use end non-uniform
covenants with limited variations by jurisdiction to constitute a uniform security instrument covering real
UNIFORM COVENANTS, Borrower and Lender covenant and agree as follows:
1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges.
Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any
Prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items
pursuant to Section 3. Payments due under the Note and this Security Instrument shall be made in U.S.
carrency. However, if any check or other instrument received by Lender as payment under the Note or this
ZB;*00H) (0008101 Page 3 af 15 tk Form 098 $04HNO
BK: 7805 PG; 2024
Security Instrument is retumed to Lender unpaid, Lender may require that any or all subsequent payments
due under the Note and this Security Instrument be made in one or more of the following forms, as
selected by Lender: (a) cash; (b) monty order; (c) certified check, bank check, treasurer's check or
cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a
federal agency, instrumentality, or entity; or (d) Electronic Funds Transfer.
Payments are deemed received by Lender when received at the location designated in the Note or at
such other location as may be designated by Lender in accordance with the notice provisions in Section 15,
Lender may return any payment or partial payment if the payment or partial payments are insufficient to
bring the Loan current. Lender may accept any payment or partial psyment insufficient to bring the Loan
current, without waiver of any rights hereunder or prejudice to its rights to refuse such payment or partial
payments in the future, but Lender is not obligated to apply soch payments at the time such payments are
accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay
interest on unapplied funds, Lender may hold soch unapplied funds until Borrower makes payment to bring
the Loan current, If Borrower does not do so within a reasonable period of time, Lender shall either apply
such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding
principal balance under the Note immediately prior to foreclosure, No offset or claim which Borrower
might have now or in the future against Lender shall relieve Borrower from making payments due under
the Note and this Security Instrument or performing the covenants and agreements secured by this Security
Instrument.
2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, all
payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest
due under the Note; (b) principal due under the Noto; (c) amounts due under Section 3. Such psyments
shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts
shall be applied first to late charges, second to any other amounts due under this Security Instrument, and
then to reduce the principal balance of the Note.
If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a
sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and
the late charge. If more than one Periodic Payment is outstanding, Lender may apply eny payment received
from Borrower to the repsyment of the Periodic Payments if, and to the extent that, cach payment can be
paid in full. To the extent that any excess exists after the payment is applied to the full payment of one or
more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepayments shall
be applied first to any prepayment charges and then as described in the Note,
Any application of payments, insurance proceeds, or Miscellancous Proceeds to principal due under
the Note shall not extend or postpone the due date, or chenge the amount, of the Periodic Payments,
3. Funds for Escrow Items, Borrower shall pay to Lender on the day Periodic Payments are due
under the Note, until the Note is paid in full, a sum (the "Funds*) to provide for payment of amounts due
for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a
lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c)
premiums for eny and all insurance required by Lender under Section 5; and (d) Mortgage Insurance
premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage
Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow
Items.” At origination or at any time during the term of the Loan, Lender may require that Commmity
Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and
assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to
be paid under this Section. Borrower shall pay Lender the Funds for Escrow Items unless Lender waives
Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's
obligation to pay to Lender Funds for any or all Escrow Items at any time, Any such waiver may only be
in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts
‘initia
GB, 810%} oor» Pages of 16 Gir Form 3038 4104(Page 5 of 38)
HAE
BK: 7805 PG: 2025
due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires,
shell furnish to Lender receipts evidencing such payment within such time period as Lender may require.
Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to
be a covenant and agreement contained in this Security Instrument, as the phrase "covenant and agreement”
is used in Section 9, If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and
Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9
and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such
amount. Lender may revoke the waiver as to any or all Escrow Items at any time by # notice given in
sccordance with Section 1$ and, upon such revocation, Borrower shall pay to Lender all Funds, and in
such amounts, that are then required under this Section’3,
Lender may, at any time, collect and hold Funds in an amount (2) sufficient to permit Lender to apply
the Funds st the time specified under RESPA, and (b) not to exceed the maximurn amount a lender can
require under RESPA. Lender shall estimate the amount of Funds due on the basis of current data and
reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with Applicable
Law.
‘The Funds shall be held in an institution whose deposits are insured by a federal agency,
instrumentality, or entity (including Lender, if Lender is an institution whose deposits are so msured) or in
any Federal Home Losn Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time
specified under RBSPA. Lender shall not charge Borrower for holding and spplying the Funds, annually
analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the
Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing
or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower
any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest
shell be paid on the Funds, Lender shall give to Borrower, without charge, an annual accounting of the
Funds as required by RESPA.
If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to
Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow,
as defined under RESPA, Lender shall notify Borrower as required by RESPA, snd Bocrower shall pay to
Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than 12
monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall
notify Borrower 2s required by RESPA, and Borrower shall pay to Lender the amount necessary to make
up the deficiency in accordance with RESPA, but in no more than 12 monthly payments.
Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund
to Borrower any Funds held by Lender.
4. Charges; Liens, Borrower shall pay all taxes, assessments, charges, fines, and impositions
attributable to the Property which can attain priority over this Security Instrument, leasehold payments or
ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. To
the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3.
Borrower shall promptly discharge any lien which has priority over this Security Instrument unless
Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable
to Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith
by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to
prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings
are concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating
the lien to this Security Instrument, If Lender determines that any part of the Property is subject to 2 lien
which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the
a al EY
Qvor €0005}01 Page’ 16 we Form $036 9/01(Page 6 of 18)
TT
BK: 7805 PG: 2026
lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or
more of the actions set forth above in this Section 4.
Lender may require Borrower to pay 2 one-time charge for # real estate tax verification and/or
reporting service used by Lender in connection with this Loan.
S. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on
the Property insured against loss by fire, hazards included within the term "extended coverage,” and any
other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance,
‘This insurance shall be maintained in the amounts (including deductible levels) and for the periods that
Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of
the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's
right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may
require Borrower to pay, in connection with this Loan, cither: (2) a one-time charge for flood zone
determination, certification and tracking services; or (b) a one-time charge for flood zone determination
and certification services and subsequent charges each time remappings or similar changes occur which
reasonably might affect such determination or certification. Borrower shall also be responsible for the
payment of any fees imposed by the Federal Emergency Management Agency in connection with the
review of any flood zone determination resulting from an objection by Borrower.
If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance
coverage, at Lender’s option and Borrower's expense. Lender is under no obligation to purchase any
particular type or amount of coverage, Therefore, such coverage shall cover Lender, but might or might
not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk,
hazard or lability and might provide greater or lesser coverage than was previously in effect, Borrower
acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of
insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall
become additional debt of Borrower secured by this Security Instrument, These amounts shall bear interest
at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from
Lender to Borrower requesting payment.
All insorance policies required by Lender and renewals of such policies shall be subject to Lender's
right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as
mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal
certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and
Tenewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender,
for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and
shall name Lender as mortgagee and/or as an additional loss payee.
In the cvent of loss, Borrower shall give prompt notice to the imsurance carrier and Lender. Lender
may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree
in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall
be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and
Lender's security is not lessened, During such repair and restoration period, Lender shall have the right to
hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the
work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken
promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series
of progress payments as the work is completed. Uniess an agreement is made in writing or Applicable Law
requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any
interest or carnings on such proceeds, Fees for public adjusters, or other third parties, retained by
Borrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If
the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance
proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with
EY. *10% proosy01 Pred of 15 “Er Form 3038 1/04(Page 7 of 18)
CANAAN
BK: 7805 PG: 2027
the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in
Section 2,
If Borrower abandons the Property, Lendes may file, negotiate and settle any available insurance
claim and related matters, If Borrower does not respond within 30 days to a notice from Lender that the
insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day
period will begin when the notice is given. In either event, or if Lender acquires the Property under
Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance
proceeds in an amount not to exceed the amounts unpaid under the Note or this Security Instrument, end
(b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by
Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the
caverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or
to psy amounts unpaid under the Note or this Security Instrument, whether or not then due.
6 Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal
residence within 60 days after the execution of this Security Instrument and shall continue to occupy the
Property as Borrower's principal residence for at least one year after the date of occupancy, unless Lender
otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating
circumstances exist which are beyond Borrower's control.
7. Preservation, Maintenance and Protection of the Property; Inspections, Borrower shall not
destroy, damage or impair the Property, allow the Property to deteriorate or commit waste on the
Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in
order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is
determined pursuant to Section 5 tbat repair or restoration is not economically feasible, Borrower shall
promptly repsir the Property if damaged to avoid further deterioration or damage. If insurance or
condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower
shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such
purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of
progress payments as the work is completed. If the insurance or condemnation proceeds are not sufficient
to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of
such repair or restoration.
Lender or its agent may make reasoneble entries upon and inspections of the Property. If it has
reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give
Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause.
8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application
process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's
knowledge or consent gave materially false, misleading, or inaccurate information or statements to Lender
(or failed to provide Lender with material information) in connection with the Loan. Material
Tepresentations inchide, but are not limited to, representations concerning Borrower's occupancy of the
Property as Borrower's principal residence.
9. Protection of Lender's Interest in the Property and Rights Under this Security Instroment. If
(a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there
is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under
this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for
enforcement of a lien which may attain priority over this Socurity Instrument or to enforce laws or
regulations), or (c) Borrower bas abandoned the Property, then Lender may do and pay for whatever is
reasonable or appropriate to protect Lender's interest in the Property and rights under this Security
Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing
the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien
which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable
Initial
4104) (0008).01 Pape 7 of 16 6 i Fom 3036 1/04{Page 6 of 28)
ENR
BK: 7806 PG: 2028
attorneys’ fees to protect its interest in the Property and/or rights under this Security Instrument, including
its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to,
catering the Property to make repairs, change locks, replace or board up doors and windows, drain water
from pipes, eliminate building or other code violations or dangerous conditions, and have utilities turned
on of off, Although Lender may take sction under this Section 9, Lender docs not have to do so and is not
under any duty or obligation to do so. Tt is agreed that Lender incurs no liability for not taking any or all
secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of
disbursement and shall be payable, with such interest, upon notice from Lender to Borrower
If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the
lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge unless
Lender agrees to the merger in writing,
10. Mortgage Insurance. If Lender required Mortgage Insurance as & condition of making the Loan,
Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason,
the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that
ly provided such insurance and Borrower was required to make separately designated payments
toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain
coverage substantially equivalent to the M Insurance previously in effect, at a cost substantially
equivalent to the cost to Borrower of the Mortgage Insurance previously in effect, from an alternate
mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not
available, Borrower shall contine to psy to Lender the amount of the separately designated payments that
payments as a non-refundable loss reserve in lieu of Mortgage Insurance, Such loss reserve shall be
non-refundable, notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be
required to pay Borrower any interest or earnings on such loss reserve. Lender can no | reqi
reserve if Mortgage Insurance coverage (in the amount and for the period that Lender requi
provided by an insurer selected by Lender again becomes available, is obtained, and Lender
separately designated payments toward the preminms for Mortgage Insurance. If Lender required Mortgage
Insurance as a condition of making the Loan and Borrower was required to make separately desi,
toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to
maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's
requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and
Lender providing for such termination or until termination is required by Applicable Law. Nothing in this
Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note.
Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it
these agreements. These agreements may the mortgage insurer to make payments using any source
of funds that the mortgage insurer may have available (which may include funds obtained from Mortgage
Insurance premiums).
As a result of these Lender, any purchaser of the Note, another insurer, any reinsurer,
any other entity, or any affili Of any of the foregoing, may receive (directly or indirectly) amounts thet
derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in
for sharing or modifying the mortgage insurer's risk, or reducing losses. If such
provides that an affiliate of Lender takes a share of the insurer’s risk in exchange for a share of the
premiums paid to the insurer, the arrangement is often termed “captive reinsurance.” Further:
(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refond.
lotta
BD, z10m (0006).01 Page 8 of 18, f Form 3036 1401(Page 9 of 28)
COENEN
BK: 7805 PG; 2029
(b) Any such agreements will not affect the rights Borrower has - if any - with respect to the
Mortgage Insurance under the Homeowners Prote
Preview
~ COURT OF COMMON PLEAS DY NOY 24 {1 \0: SRUTLER COUNTY, OHIO US Bank National Association ND 5 Case Number CV 2011 11 3981 Bull Se PlaintiffCLEis. Ge Ses! Judge Keith M. Spaeth Vv. Catherine E. Hoffman, et al. MOTION FOR LEAVE OF COURT TO FILE. AMENDED COMPLAINT Defendants Now comes the Plaintiff, by and through counsel, and respectfully moves this Court for leave to file its First Amended Complaint pursuant to Ohio Civ. R. 15. For cause, Plaintiff states that the debt of the loan plus interest is presently due per annum from February 28, 2011 not April 28, 2009. Additionally, this motion is not being made for the purpose of delay and no party will be prejudiced by allowing Plaintiff to file its Amended Complaint. The Amended Complaint is attached hereto as Exhibit "A." WHEREFORE, Plaintiff respectfully requests leave of the Court to file its First Amended Complaint. Respectfully submitted, Sarah A. Okrzynski (0076571) Franco M. Barile (0080301) D. Anthony Sottile (0075101) Erin K. McConnell (0084657) Susan B. Klineman (0074425) Gerner & Kearns Co., LPA Attorneys for Plaintiff 215 West Ninth Street Cincinnati, OH 45202 Phone: 513-241-7722 Fax: 859-295-5300 judicialservices @ gernerlaw.com 09-00860/RBCERTIFICATE OF SERVICE | hereby certify that a true and accurate photocopy of the foregoing was served upon all parties and counsel of record via ordinary U.S. Mail this 17th day of November, 2011. Robert H. Hoffman 2456 Wilbraham Rd. Middletown, OH 45042 Catherine E. Hoffman 2456 Wilbraham Rd. Middletown, OH 45042 GY A. WV (0076571) Franco M. Barile (0080301) D. Anthony Sottile (0075101) Erin K. McConnell (0084657) Susan B. Klineman (0074425) US Bank Mortgage Assistance Email Address: mortgageassistancepoint@ usbank.com Toll Free # 1-855-MYUSMAP (Or 855-698-7627) 09-00860/RBEXHIBIT A COURT OF COMMON PLEAS BUTLER COUNTY, OHIO US Bank National Association ND Case Number CV 2011 11 3981 205 W. 4th Street, Ste. 500 Cincinnati, OH 45202 Judge Keith M. Spaeth Plaintiff v. AMENDED IN REM COMPLAINT FOR Catherine E. Hoffman FORECLOSURE OF A 2456 Wilbraham Rd. MORTGAGE Middletown, OH 45042 Permanent Parcel No. Robert H. Hoffman Q6511 031 000 068 2456 Wilbraham Rd. Middletown, OH 45042 Defendants Now comes the Plaintiff US Bank National Association ND, by and through counsel, and for its Amended Complaint against the Defendants, states as follows: FIRST CAUSE OF ACTION 1. Plaintiff US Bank National Association ND is the holder of a Promissory Note executed on or about August 24, 2006, by Defendant Catherine E. Hoffman in the principal sum of $91,000.00, plus interest thereon as set forth in the Note, a true and accurate photocopy of which is attached hereto and incorporated herein as Exhibit "A". 2. Defendant Catherine E. Hoffman defaulted under the terms of said Promissory Note and there is truly due and owing the Plaintiff the principal sum of $87,224.13, together with interest at the current rate of 8.30000% per annum from February 28, 2011, until the loan is fully repaid, together with escrow advances, late charges, penalties, court costs and other expenses as set forth under the terms of the Note. 09-00860/RBPlaintiff states that the Defendants Catherine E. Hoffman and Robert H. Hoffman filed a Chapter 7 Bankruptcy Case in the United States Bankruptcy Court, Southern District of Ohio on October 4, 2010 as Case No. 10-16843 and were discharged on March 25, 2011 and are immune from personal liability. SECOND CAUSE OF ACTION © Plaintiff US Bank National Association ND incorporates into this Second Cause of Action all of the allegations contained in the First Cause of Action as if fully written herein. Defendants Catherine E. Hoffman and Robert H. Hoffman, in order to secure the repayment of said Promissory Note, executed a Mortgage encumbering the real property described therein, a true and accurate photocopy of which is attached hereto and incorporated herein as Exhibit "B". On or about October 5, 2006, the mortgage was filed of record with the Butler County, Ohio Recorder as Book 7805, Page 2021, making it a valid and subsisting first and best lien against the subject real property. By reason of the default under the terms of said Promissory Note, the conditions of the Mortgage have been broken; Plaintiff has complied with all conditions precedent and Plaintiff is entitled to have the Mortgage foreclosed, the equity of redemption of all Defendants forever cut off and barred, said premises sold and the sale proceeds applied toward the payment of Plaintiff's claims. Plaintiff states that Defendants Catherine E. Hoffman and Robert H. Hoffman, wife and husband, may claim an interest in the subject real property by virtue of ownership and being the record title holders. 09-00860/RBPRAYER FOR RELIEF WHEREFORE, Plaintiff prays for In Rem judgment as follows: As to its First Cause of Action, that Plaintiff be awarded a In Rem Judgment upon the Note/Agreement in the principal sum of $87,224.13, together with interest at the current rate of 8.30000% per annum from February 28, 2011, until the loan is fully repaid, together with escrow advances, late charges, penalties court costs and expenses for the preservation and maintenance of the real estate, prior to and subsequent to the filing of this Complaint. As to its Second Cause of Action, that Plaintiff's Mortgage be declared to be a valid and subsisting first and best lien upon the real property described therein; that said Mortgage be foreclosed; that the equity of redemption of all Defendants be forever cut off and barred; that all Defendants be required to set forth any claim, lien or interest which he, she or it may have or claim to have in or upon the subject real property or be forever barred therefrom; 09-00860/RBThat the subject real property be sold free and clear of the claims and interests of any and all Defendants herein in accordance with law and the Orders of this Court; that all liens against the subject real property be marshaled and that, upon the sale of the subject real property, the sale proceeds therefrom be applied toward payment of the amount owed to Plaintiff and the interest due thereon, together with advances, late charges, penalties, disbursements and costs expended herein; and for such further legal and equitable relief to which it may be entitled. Respectfully submitted, é Sarah A. Okrzynski (0076571) Franco M. Barile (0080301) D. Anthony Sottile (0075101) Erin K. McConnell (0084657) Susan B. Klineman (0074425) Gerner & Kearns Co., LPA Attorneys for Plaintiff 215 West Ninth Street Cincinnati, OH 45202 Phone: 513-241-7722 Fax: 859-295-5300 judicialservices @gernerlaw.com 09-00860/RBNOTICE UNDER THE FAIR DEBT COLLECTION PRACTICES ACT (15 U.S.C. Section 1692 As Amended) If your name appears in the first claim for relief in the Complaint to which this is attached, Federal law requires the Gerner & Kearns Co., LPA to provide you with the following information: 1. The amount of the debt is $96,623.85, including interest at an initial rate of 8.30000% per annum from February 28, 2011, together with advances, late charges, penalties and costs herein. 2. The name of the creditor to whom the debt is owed is US Bank National Association ND. 3. The debt described in the Complaint and evidenced by the copy of the Promissory Note attached thereto will be assumed to be valid by the law firm of Gerner & Kearns Co., L.P.A. unless, within 30 days after the receipt of this Notice, you dispute the validity of the debt or some portion thereof. 4. If you notify the law firm of Gerner & Kearns Co., L.P.A. in writing within 30 days of the receipt of this Notice that the debt or any portion thereof is disputed, the law firm of Gerner & Kearns Co., L.P.A. will obtain a verification of the debt and a copy of verification will be mailed to you by the law firm of Gerner & Kearns Co., L.P.A. 5. If the creditor named as Plaintiff in the Complaint is not the original creditor, and if you make a written request to the law firm of Gerner & Kearns Co., L.P.A. within 30 days from the receipt of this Notice, the name and address of the original creditor will be mailed to you by the law firm of Gerner & Kearns Co., L.P.A. 6. Written notices and requests should be addressed to: Gerner & Kearns Co., L.P.A. Attorneys at Law 215 West Ninth Street Cincinnati, Ohio 45202 (513) 241-7722 7. Please be advised that the law firm of Gerner & Kearns Co., L.P.A. is attempting to collect a debt on behalf of the Plaintiff and any information obtained will be used for that purpose. US Bank Mortgage Assistance Email Address: mortgageassistancepoint @usbank.com Toll Free # 1-855-MYUSMAP (Or 855-698-7627) 09-00860/RBRUT rina = vuvUeLsYS 11997 BS or: August 24, 2006 ott" MIAMISBURG [Dare} [City) EXHIBIT A 2456 WILBRAHAM RD, MIDDLETOWN, OH, 45042 (Property Address} 1, BORROWER'S PROMISE TO PAY | . Tn return for a loan that I have received, I promise to pay U.S. $ 91,000.00 (this amount is called "Principal"), plus interest, to the order of the Lender. The Lender is U.S. BANK NATIONAL ASSOCIATION ND I will make all payments under this Note in the form of cash, check of money order. I understand that the Lender may transfer this Note. The Lender or anyone who takes this Note by transfer and who is entitled to receive payments under this Note is called the "Note Holder." 2. INTEREST Interest will be charged on unpaid principal until the full amount of Principal has becn paid. | will pay intercst at a yearly rate of 8.300% The interest rate required by this Section 2 is the rate I will pay both before and after any default described in Section 6(B) of this Note. 3. PAYMENTS (A) Time and Place of Payments I will pay principal and interest by making a payment every month. 1 will make my monthly payment on the 28th day of cach month beginning on September 28, 2006 . I will make these payments every month until I have paid all of the principal and interest and any other charges described below that may owe under this Note. Each monthly payment will be applied as of its scheduled duc date and will be applied to interest before Principal. If, onAugust 28, 2036 » I still owe amounts under this Note, I will pay those amounts in full on that date, which is called the "Maturity Date.” [ will make my monthly payments at4325 - 17TH AVENUE SW, FARGO, ND 58103 or at a different place if required by the Note Holder. (B) Amount of Monthly Payments My monthly payment will be in the amount of U.S. $ 686.85 4, BORROWER'S RIGHT TO PREPAY I have the right to make payments of Principal at any time before they are due. A payment of Principal only is known as a “Prepayment.” When I make a Prepayment, | will tell the Note Holder in writing that 1 am doing so. I may not designate a Payment as a Prepayment if I have not made all the monthly payments duc under the Note. I may make a full Prepayment or partial Prepayments without paying a Prepayment charge. The Note Holder will use my Prepayments to reducc the amount of Principal that | owe under this Note. However, the Note Holder may apply my Prepayment to the accrued and unpaid interest on the Prepayment amount, before applying my Prepayment to reduce the Principal amount of the Note. If I make a partial Prepayment, there will be no changes in the due date or in the amount of my monthly payment unless the Note Holder agrees in writing to those changes. MULTISTATE FIXED RATE NOTESingle FamilyFannie MaeiFreddie Mac UNIFORM INSTRUMENT oe 10005 .0z Fosm 3200 1/ 01 VIP MORTGAGE FORMS - (890/52 1-720) ougeat wea5, LOAN CHARGES If a law, which applies to this loan and which sets maximum loan charges, is finally interpreted so that the interest or other loan charges collected or to be collected in connection with this loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from me which exceeded permitted limits will be refunded to me. The Note Holder may choose to make this refund by reducing the Principal 1 owe under this Note or by making a direct payment to me. If a refund reduces Principal, the reduction will be treated as a partial Prepayment. 6. BORROWER'S FAILURE TO PAY AS REQUIRED (A) Late Charge for Overdue Payments If the Note Holder bas not received the full amount of any monthly payment by the end of 15 calendar days after the date it is due, I will pay a late charge to the Note Holder. The amount of the charge will be 5.000% of my overdue payment of principal and interest. I will pay this late charge promptly but only once on each late payment. (B) Default If1 do not pay the full amount of each monthly payment on the date it is duc, I will be in default. (C) Notice of Default If | am in default, the Note Holder may send me a written notice telling me that if J do not pay the overduc amount by a certain date, the Note Holder may require me to pay immediately the full amount of Principal which has not been paid and all the interest that I owe on that amount, That date must be at least 30 days after the date on which the notice is mailed to me or delivered by other means. (D) No Waiver By Note Holder Even if, at a time when 3 am in default, the Note Holder docs not require me to pay immediately in full as described above, the Note Holder will still have the right to do so if | am in default at a later time. (E) Payment of Note Holder's Costs and Expenses If the Note Holder has required me to pay immediately in full as described above, the Note Holder will have the right to be paid back by me for all of its costs and expenses in enforcing this Note to the extent not probibited by applicable law. Those expenses include, for example, reasonable attorneys’ fees. 7. GIVING OF NOTICES Unless applicable law requires a different method, any notice that must be given to me under this Note will be given by delivering it or by mailing it by first class mail to me at the Property Address above or at a different address if ] give the Note Holder a notice of my different address. Any notice that must be given to the Note Holder under this Note will be given by delivering it or by mailing it by first class mail to the Note Holder at the address stated in Section 3(A) above or at a different address if I am given a notice of that different address. 8 OBLIGATIONS OF PERSONS UNDER THIS NOTE If more than one person signs this Note, cach person is fully and personally obligated to keep all of the promises made in tbis Note, including the promise to pay the full amount owed. Any person who is a guarantor, surety or endorser of this Note is also obligated to do these things. Any person who takes over these obligations, incuding the obligations of 2 guarantor, surety or endorser of this Note, is also obligated to keep all of the promises made in this Note. The Note Holder may enforce its rights under this Note against cach person individually or against all of us together. This means that any one of us may be required to pay all of the amounts owed under this Note. 9. WAIVERS ] and any other person who has obligations under this Note waive the rights of Presentment and Notice of Dishonor. “Presentment” means the right to require the Note Holder to demand payment of amounts due. “Notice of Dishonor” means the Tight to require the Note Holder to give notice to other persons that amounts duc have not been paid. Form 3200 1/ ot o™ (0905.02 wan CEU10. UNIFORM SECURED NOTE This Note is a uniform instrument with limited variations in some jurisdictions. In addition to the protections given to the Note Holder under this Note, a Mortgage, Deed of Trust, or Security Deed (the "Security Instrument”), dated the same date as this Note, protects the Note Holder from possible losses which might result if | do not keep the promises whicb I make in this Note. That Security Instrument describes how and under what conditions ] may be required to make immediate payment in full of all amounts I owe under this Note. Some of those conditions are described as follows: If all or any part of the Property or any Intercst in the Property is sold or transferred (or if Borrower is not a natural person and 2 beneficial interest in Borrower is sold or tansferrcd) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice is given in accordance with Section 15 witbin which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. WITNESS THE HAND(S) AND SEAL{S) OF THE UNDERSIGNED. Ae [Sign Original Only)Loan Number: NOTE ADDENDUM (Borrower's Right to Prepay) THIS NOTE ADDENDUM is made this 24th dayof August, 2006 - and is incorporated into and sbali be deemed to amend and supplement the Note, Fixed Rate Note, Adjustable Rate Note, or Balloon Note made by the undersigned (the “Borrower”) in favor of U.S. BANK NATIONAL ASSOCIATION ND {tbe “Lender") and dated as of even date herewith (the "Note”). The interest rate stated on the Note is callod the "Note Rate.” The date of the Note is called the "Note Date.” I (tbe Borrower) understand the Lender may transfer the Note, the related Mongage, Deed of Trust or Deed to Secure Debt (the "Security Instrument") and this Addendum. The Lender or anyone who takes the Note, Instrument and this Addendum by transfer and who is entitled to reccive payments under the Note is called the “Note Holder", ADDITIONAL COVENANTS. In addition to the covenants and agreements in the Sccurity Instrument, any Riders to the Security Instrument, or the Note, Borrower and Lender further covenant and agrce as follows (despite anything to the contrary contained in the Security Instrument or the Note BORROWER'S RIGHT TO PREPAY I have the right to make payments of Principal at any time before they are due. A payment of Principal only is known as a “Prepayment.” When I make a Prepayment, I will tell the Note Holder in writing that I am. doing so. If ] make a Prepayment prior to the thirdanniversary date of this note, } will have to pay a Prepayment charge. The Prepayment charge will be as follows: For a Prepayment of the loan between the date of exccution of the note and the third anniv oft the execution of the Note, une percent (1.0%) of the amount of principal prepaid, or One Hundred Dollars ($100.00! ichever is greater. WI makea paral Prepayment, there will be no changes in the due date or in the amount of my monthi ayment unless the Note Holder agrees in writing to these changes. 8 ny ve BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Note Addendum. CATHERINE E HOFFMA! -Bonower Borrower MULTISTATE. FIXED RATE NOTE Prepayment Rier 1%. Siotle Faatly Foem USBPPREW Revs Bees er 1h Sioa Fs{Page 2 of 16) EXHIBIT B Retum To: 2pps900s4381 U.S, BANK Filed for Record in 1850 Osborn Ave. pany W crag Ne Osh Kosh, WI 54902 10-05-2006 At 10239:: . ’ MORTGAGE éo 40,00 OR Book 7805 Pose 2021 ~ 2036 FINDA BK: 7805 PG; 2021 ree reeersoes MORTGAGE DEFINITIONS Words used in multiple sections of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage of words used in this document are also provided in Section 16. (A) "Secarity Instrument" means this document, which is dated Auguat 24, 2006 , together with all Riders to this document, (B) "Borrower" is ROBERT H HOFFMAN AND CATHERINE £ HOFFMAN, HUSBAND AND WIFE (SER ATTCHMNT A) Borrower is the mortgagor under this Security Instrument. (C) "Lender" is U.S. BANK NATIONAL ASSOCIATION ND Lender isa A MATIONAL ASSOCIATION organized and existing under ths laws of THE UNITED STATES OF AMERICA : OHIO-Single Family Fannie MesiFreddie Mec UNIFORM INSTRUMENT Form 3036 1/ 01 BD AOH) P0080 Page 1 of 15 rai E ly wk MP MORTGAGE FORMS - (800)621-7231(Page 2 of 18) AAO BK: 7805 PG: 2022 Lender's address is 4325 - 17TH AVENUE SW, FARGO, ND 58103 Lender is the mortgagee under this Security Instrument, (@) Note" means the promissory note signed by Borrower and datedAugust 24, 2006 . ‘The Note states that Borrower owes Lender NINETY ONE THOUSAND AND 00/100 Dollars (U.S. $91,000.00 ) plus interest, Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later than August 28, 2036 #) “Property” means the property that is described below under the heading “Transfer of Rights in the © “Laan” means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security Instrument, plus interest. (G) "Riders" means all Riders to this Security Instrument thst are executed by Borrower. The following Riders are to be executed by Borrower {check box as applicable): Adjustable Rate Rider [—] Condominium Rider Second Home Rider Balloon Rider Planned Unit Development Rider [_] 1-4 Family Rider VA Rider Biweekly Payment Rider Other's) [specify] (H) "Applicable Law” means all controlling applicable federal, state and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions. @) "Community Association Dues, Fees, and Assessments” means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominium association, homeowners association or similar organization, (J) "Electronic Funds Transfer” means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, which is imitiated through gm electronic terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or credit an account, Such term includes, but is not limited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (K) "Escrow Items" means those items that are described in Section 3. (L) "Miscellaneous Proceeds” means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the covernges described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemnstion or other taking of all or any part of the Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the value and/or condition of the Property. (M) “Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment" means the regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. (O) "RESPA” means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended from time to time, or any additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed in regard 1 8 (federally relsied mortgage lox" even if the Loan does not qualify as 2 “federally related mortgage loan” under RESPA. a md peak DY AOH) e005 01 Page? of 18 CO Form 3036 1/04{Pago 3 of 28) ELE BK: 7805 PG: 2023 @) "Snocessor in Interest of Borrower" means sny party that has taken title to the Property, whether or not that party has assumed Borrower's obligations under the Note and/or this Security Instrument. ‘TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under this Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender the following described property located in the COUNTY of BUTLER : [ype of Reoording Jurisdiction} [Name of Recording Jurisdiction) SEBE"ATTACHMENT A" Parcel ID Number: Q6511-031-000-0 which currently has the address of 2456 WILBRAHAM RD (Street) MIDDLETOWN [City], Ohio 45042 {Zip Code) ("Property Address"): TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of the property, All replacements and additions shall also be covered by this Sccurity Instrument. All of the foregoing is referred to in this Security Instrument as the "Property." BORROWER COVENANTS that Borrower is lawfully scised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use end non-uniform covenants with limited variations by jurisdiction to constitute a uniform security instrument covering real UNIFORM COVENANTS, Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any Prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note and this Security Instrument shall be made in U.S. carrency. However, if any check or other instrument received by Lender as payment under the Note or this ZB;*00H) (0008101 Page 3 af 15 tk Form 098 $04HNO BK: 7805 PG; 2024 Security Instrument is retumed to Lender unpaid, Lender may require that any or all subsequent payments due under the Note and this Security Instrument be made in one or more of the following forms, as selected by Lender: (a) cash; (b) monty order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Transfer. Payments are deemed received by Lender when received at the location designated in the Note or at such other location as may be designated by Lender in accordance with the notice provisions in Section 15, Lender may return any payment or partial payment if the payment or partial payments are insufficient to bring the Loan current. Lender may accept any payment or partial psyment insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to its rights to refuse such payment or partial payments in the future, but Lender is not obligated to apply soch payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds, Lender may hold soch unapplied funds until Borrower makes payment to bring the Loan current, If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note immediately prior to foreclosure, No offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instrument or performing the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest due under the Note; (b) principal due under the Noto; (c) amounts due under Section 3. Such psyments shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts shall be applied first to late charges, second to any other amounts due under this Security Instrument, and then to reduce the principal balance of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply eny payment received from Borrower to the repsyment of the Periodic Payments if, and to the extent that, cach payment can be paid in full. To the extent that any excess exists after the payment is applied to the full payment of one or more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in the Note, Any application of payments, insurance proceeds, or Miscellancous Proceeds to principal due under the Note shall not extend or postpone the due date, or chenge the amount, of the Periodic Payments, 3. Funds for Escrow Items, Borrower shall pay to Lender on the day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds*) to provide for payment of amounts due for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for eny and all insurance required by Lender under Section 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow Items.” At origination or at any time during the term of the Loan, Lender may require that Commmity Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this Section. Borrower shall pay Lender the Funds for Escrow Items unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time, Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts ‘initia GB, 810%} oor» Pages of 16 Gir Form 3038 4104(Page 5 of 38) HAE BK: 7805 PG: 2025 due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shell furnish to Lender receipts evidencing such payment within such time period as Lender may require. Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as the phrase "covenant and agreement” is used in Section 9, If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrow Items at any time by # notice given in sccordance with Section 1$ and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required under this Section’3, Lender may, at any time, collect and hold Funds in an amount (2) sufficient to permit Lender to apply the Funds st the time specified under RESPA, and (b) not to exceed the maximurn amount a lender can require under RESPA. Lender shall estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with Applicable Law. ‘The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality, or entity (including Lender, if Lender is an institution whose deposits are so msured) or in any Federal Home Losn Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RBSPA. Lender shall not charge Borrower for holding and spplying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest shell be paid on the Funds, Lender shall give to Borrower, without charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, snd Bocrower shall pay to Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower 2s required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens, Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument, If Lender determines that any part of the Property is subject to 2 lien which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the a al EY Qvor €0005}01 Page’ 16 we Form $036 9/01(Page 6 of 18) TT BK: 7805 PG: 2026 lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender may require Borrower to pay 2 one-time charge for # real estate tax verification and/or reporting service used by Lender in connection with this Loan. S. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage,” and any other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance, ‘This insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, cither: (2) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges each time remappings or similar changes occur which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting from an objection by Borrower. If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender’s option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage, Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard or lability and might provide greater or lesser coverage than was previously in effect, Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrument, These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. All insorance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and Tenewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee. In the cvent of loss, Borrower shall give prompt notice to the imsurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened, During such repair and restoration period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. Uniess an agreement is made in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest or carnings on such proceeds, Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with EY. *10% proosy01 Pred of 15 “Er Form 3038 1/04(Page 7 of 18) CANAAN BK: 7805 PG: 2027 the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2, If Borrower abandons the Property, Lendes may file, negotiate and settle any available insurance claim and related matters, If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security Instrument, end (b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the caverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or to psy amounts unpaid under the Note or this Security Instrument, whether or not then due. 6 Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protection of the Property; Inspections, Borrower shall not destroy, damage or impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 tbat repair or restoration is not economically feasible, Borrower shall promptly repsir the Property if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. If the insurance or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration. Lender or its agent may make reasoneble entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender with material information) in connection with the Loan. Material Tepresentations inchide, but are not limited to, representations concerning Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instroment. If (a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may attain priority over this Socurity Instrument or to enforce laws or regulations), or (c) Borrower bas abandoned the Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable Initial 4104) (0008).01 Pape 7 of 16 6 i Fom 3036 1/04{Page 6 of 28) ENR BK: 7806 PG: 2028 attorneys’ fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to, catering the Property to make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities turned on of off, Although Lender may take sction under this Section 9, Lender docs not have to do so and is not under any duty or obligation to do so. Tt is agreed that Lender incurs no liability for not taking any or all secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing, 10. Mortgage Insurance. If Lender required Mortgage Insurance as & condition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that ly provided such insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the M Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in effect, from an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall contine to psy to Lender the amount of the separately designated payments that payments as a non-refundable loss reserve in lieu of Mortgage Insurance, Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no | reqi reserve if Mortgage Insurance coverage (in the amount and for the period that Lender requi provided by an insurer selected by Lender again becomes available, is obtained, and Lender separately designated payments toward the preminms for Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately desi, toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such termination or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it these agreements. These agreements may the mortgage insurer to make payments using any source of funds that the mortgage insurer may have available (which may include funds obtained from Mortgage Insurance premiums). As a result of these Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affili Of any of the foregoing, may receive (directly or indirectly) amounts thet derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in for sharing or modifying the mortgage insurer's risk, or reducing losses. If such provides that an affiliate of Lender takes a share of the insurer’s risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed “captive reinsurance.” Further: (a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refond. lotta BD, z10m (0006).01 Page 8 of 18, f Form 3036 1401(Page 9 of 28) COENEN BK: 7805 PG; 2029 (b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Prote