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work or construction on the Security for a continuous period of thirty (30) days or more, and to take <br />all other reasonable steps to forestall the assertion of claims of lien against the Security of any part <br />thereof. Trustor irrevocably appoints, designates and authorizes Beneficiary as its agent (said <br />agency being coupled with an interest) with the authority, but without any obligation, to file for <br />record any notices of completion or cessation of labor or any other notice that Beneficiary deems <br />necessary or desirable to protect its interest in and to the Security or the Loan Documents; provided, <br />however, that Beneficiary shall exercise its rights as agent of Trustor only in the event that Trustor <br />shall fail to take, or shall fail to diligently continue to take, those actions as hereinbefore provided. <br />Upon demand by Beneficiary, Trustor shall make or cause to be made such demands or <br />claims as Beneficiary shall specify upon laborers, materialmen, subcontractors or other persons who <br />have furnished or claim to have furnished labor, services or materials in connection with the <br />Security. Nothing herein contained shall require Trustor to pay any claims for labor, materials or <br />services which Trustor in good faith disputes and is diligently contesting provided that Trustor shall, <br />within thirty (30) days after the filing of any claim of lien, record in the Office of the Recorder of <br />Alameda County, a surety bond in an amount one and one half (1'/2) times the amount of such claim <br />item to protect against a claim of lien. <br />2.2 Granting of Easements. Trustor may not grant easements, licenses, rights-of-way or <br />other rights or privileges in the nature of easements with respect to any property or rights included in <br />the Security except those required or desirable for installation and maintenance of public utilities <br />including, without limitation, water, gas, electricity, sewer, cable, telephone and telegraph, an <br />easement for the paseo adjacent to the Property, or those required by law. As to these exceptions, <br />Beneficiary will grant and/or direct the Trustee to grant such easements. <br />2.3 Assignment of Rents. The provisions of this Section 2.3 shall be subject to the rights <br />of senior lenders, as part of the consideration for the indebtedness evidenced by the Note, Trustor <br />hereby absolutely and unconditionally assigns and transfers to Beneficiary all the rents and revenues <br />of the Property including those now due, past due, or to become due by virtue of any lease or other <br />agreement for the occupancy or use of all or any part of the Property, regardless of to whom the rents <br />and revenues of the Property are payable. Trustor hereby authorizes Beneficiary or Beneficiary's <br />agents to collect the aforesaid rents and revenues and hereby directs each tenant of the Property to <br />pay such rents to Beneficiary or Beneficiary's agents; provided, however, that prior to written notice <br />given by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in <br />the Loan Documents, Trustor shall collect and receive all rents and revenues of the Property as <br />trustee for the benefit of Beneficiary and Trustor to apply the rents and revenues so collected to the <br />sums secured by this Deed of Trust with the balance, so long as no such breach has occurred, to the <br />account of Trustor, it being intended by Trustor and Beneficiary that this assignment of rents <br />constitutes an absolute assignment and not an assignment for additional security only. Upon <br />delivery of written notice by Beneficiary to Trustor of the breach by Trustor of any covenant or <br />agreement of Trustor in the Loan Documents, and without the necessity of Beneficiary entering upon <br />and taking and maintaining full control of the Property in person, by agent or by a court-appointed <br />received, Beneficiary shall immediately be entitled to possession of all rents and revenues of the <br />Property as specified in this Section 2.3 as the same becomes due and payable, including but not <br />limited to rents then due and unpaid, and all such rents shall immediately upon delivery of such <br />notice be held by Trustor as trustee for the benefit of Beneficiary only; provided, however, that the <br />written notice by Beneficiary to Trustor of the breach by Trustor shall contain a statement that <br />2220130.1 Page 25 <br />