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HomeMy WebLinkAbout07-2080PHELAN HALLINAN &SCHMIEG, LLP LAWRENCE T. PHELAN, ESQ., Id. No. 32227 FRANCIS S. HALLINAN, ESQ., Id. No. 62695 DANIEL G. SCHMIEG, ESQ., Id. No. 62205 ONE PENN CENTER PLAZA, SUITE 1400 PHILADELPHIA, PA 19103 X215) 563-7000 ]szs92 COUNTRYWIDE HOME LOANS, INC. 7105 CORPORATE DRIVE PLANO, TX 75024 Plaintiff v. BARBARA J. MCVEY A/K/A BARBARA J. DILSNER 601 EAST KELLER STREET MECHANICSBURG, PA 17055 Defendant ATTORNEY FOR PLAINTIFF COURT OF COMMON PLEAS CIVIL DIVISION TERM NO. Q''J - 07(.~(J L~~.L`T~ CUMBERLAND COUNTY CIVIL ACTION -LAW COMPLAINT IN MORTGAGE FORECLOSURE File #: 152592 NOTICE You have been sued in court. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this complaint and notice are served, by entering a written appearance personally or by attorney and filing in writing with the court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the court without further notice for any money claimed in the complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW. THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE. Lawyer Referral Service Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 (800)990-9108 File #: 152592 IF THIS IS THE FIRST NOTICE THAT YOU HAVE RECEIVED FROM THIS OFFICE, BE ADVISED THAT: PURSUANT TO THE FAIR DEBT COLLECTION PRACTICES ACT, 15 U.S.C. § 1692 et seq. (1977), DEFENDANT(S) MAY DISPUTE THE VALIDITY OF THE DEBT OR ANY PORTION THEREOF. IF DEFENDANT(S) DO SO IN WRITING WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL OBTAIN AND PROVIDE DEFENDANT(S) WITH WRITTEN VERIFICATION THEREOF; OTHERWISE, THE DEBT WILL BE ASSUMED TO BE VALID. LIKEWISE, IF REQUESTED WITHIN THIRTY (30) DAYS OF RECEIPT OF THIS PLEADING, COUNSEL FOR PLAINTIFF WILL SEND DEFENDANT(S) THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR, IF DIFFERENT FROM ABOVE. THE LAW DOES NOT REQUIRE US TO WAIT UNTIL THE END OF THE THIRTY (30) DAY PERIOD FOLLOWING FIRST CONTACT WITH YOU BEFORE SUING YOU TO COLLECT THIS DEBT. EVEN THOUGH THE LAW PROVIDES THAT YOUR ANSWER TO THIS File #: 152592 COMPLAINT IS TO BE FILED IN THIS ACTION WITHIN TWENTY (20) DAYS, YOU MAY OBTAIN AN EXTENSION OF THAT TIME. FURTHERMORE, NO REQUEST WILL BE MADE TO THE COURT FOR A JUDGMENT UNTIL THE EXPIRATION OF THIRTY (30) DAYS AFTER YOU HAVE RECEIVED THIS COMPLAINT. HOWEVER, IF YOU REQUEST PROOF OF THE DEBT OR THE NAME AND ADDRESS OF THE ORIGINAL CREDITOR WITHIN THE THIRTY (30) DAY PERIOD THAT BEGINS UPON YOUR RECEIPT OF THIS COMPLAINT, THE LAW REQUIRES US TO CEASE OUR EFFORTS (THROUGH LITIGATION OR OTHERWISE) TO COLLECT THE DEBT UNTIL WE MAIL THE REQUESTED INFORMATION TO YOU. YOU SHOULD CONSULT AN ATTORNEY FOR ADVICE CONCERNING YOUR RIGHTS AND OBLIGATIONS IN THIS SUIT. IF YOU HAVE FILED BANKRUPTCY AND RECEIVED A DISCHARGE, THIS IS NOT AN ATTEMPT TO COLLECT A DEBT. IT IS AN ACTION TO ENFORCE A LIEN ON REAL ESTATE. File #: 152592 1. Plaintiff is COUNTRYWIDE HOME LOANS, INC. 7105 CORPORATE DRIVE PLANO, TX 75024 2. The name(s) and last known address(es) of the Defendant(s) are: BARBARA J. MCVEY A/K/A BARBARA J. DILSNER 601 EAST KELLER STREET MECHANICSBURG, PA 17055 who is/are the mortgagor(s) and/or real owner(s) of the property hereinafter described. 3. On 04/21/2005 mortgagor(s) made, executed, and delivered a mortgage upon the premises hereinafter described to MORTGAGE ELECTRONIC REGISTRATION SYSTEMS, INC., AS A NOMINEE FOR AMERICA'S WHOLESALE LENDER which mortgage is recorded in the Office of the Recorder of CUMBERLAND County, in Book: 1904, Page: 1776. PLAINTIFF is now the legal owner of the mortgage and is in the process of formalizing an assignment of same. The mortgage and assignment(s), if any, are matters of public record and are incorporated herein by reference in accordance with Pa.R.C.P. 1019(g); which Rule relieves the Plaintiff from its obligations to attach documents to pleadings if those documents are of public record. 4. The premises subject to said mortgage is described as attached. 5. The mortgage is in default because monthly payments of principal and interest upon said mortgage due 09/01/2006 and each month thereafter are due and unpaid, and by the terms of said mortgage, upon failure of mortgagor to make such payments after a date specified by written notice sent to Mortgagor, the entire principal balance and all interest due thereon are collectible forthwith. File #: 152592 6 The following amounts are due on the mortgage: Principal Balance $124,051.13 Interest $5,492.70 08/01/2006 through 04/12/2007 (Per Diem $21.54) Attorney's Fees $1,325.00 Cumulative Late Charges $271.32 04/21 /2005 to 04/ 12/2007 Cost of Suit and Title Search $750.00 Subtotal $131,890.15 Escrow Credit $0.00 Deficit $497.75 Subtotal $497.75 TOTAL $132,387.90 7. 8 If the mortgage is reinstated prior to a Sheriff s Sale, the attorney's fee set forth above may be less than the amount demanded based on work actually performed. The attorney's fees requested are in conformity with the mortgage and Pennsylvania law. Plaintiff reserves its right to collect attorney's fees up to 5% of the remaining principal balance in the event the property is sold to a third party purchaser at Sheriffs Sale, or if the complexity of the action requires additional fees in excess of the amount demanded in the Action. Plaintiff is not seeking a judgment of personal liability (or an in ~ersonam judgment) against the Defendant(s) in the Action; however, Plaintiff reserves its right to bring a separate Action to establish that right, if such right exists. If Defendant(s) has/have received a discharge of personal liability in a bankruptcy proceeding, this Action of Mortgage Foreclosure is in no way an attempt to reestablish such personal liability discharged in bankruptcy, but only to foreclose the mortgage and sell the mortgaged premises pursuant to Pennsylvania Law. File #: 152592 9. Notice of Intention to Foreclose as set forth in Act 6 of 1974, Notice of Homeowner's Emergency Assistance Program pursuant to Act 91 of 1983, as amended in 1998, and/or Notice of Default as required by the mortgage document, as applicable, have been sent to the Defendant(s) on the date(s) set forth thereon, and the temporary stay as provided by said notice has terminated because Defendant(s) has/have failed to meet with the Plaintiff or an authorized consumer credit counseling agency, or has/have been denied assistance by the Pennsylvania Housing Finance Agency. 10. This action does not come under Act 6 of 1974 because the original mortgage amount exceeds $50,000. WHEREFORE, PLAINTIFF demands an in rem Judgment against the Defendant(s) in the sum of $132,387.90, together with interest from 04/12/2007 at the rate of $21.54 per diem to the date of Judgment, and other costs and charges collectible under the mortgage and for the foreclosure and sale of the mortgaged property. PHELAN HALLINAN &SCHMIEG, LLP /~G?/I'Il~4 ~ ` By: /s/Francis S. Hallman LAWRENCE T. PHELAN, ESQUIRE DANIEL G. SCHMIEG, ESQUIRE FRANCIS S. HALLINAN, ESQUIRE Attorneys for Plaintiff File #: 152592 ~ s l~ .~` 3 ~ 1 .~ 1 ~~~ l~ s,e ~,,.~ ! ~, ~ iii 1210 NORTHBROOK DR.#300 TREVOSE PA 19053 Phone: (215)322-3700 After Recording Retum To: COUNTRYWIDE HOME LOANS, INC. MS SV-79 DOCUMENT PROCESSING P.O.Box 10423 Van Nuys, CA 91410-0423 Parcel Namber: ,~ [Space Above Tbis Line For Recording Data] 0009517988004005 [Doc ID #] MORTGAGE M11~T 1000].57-0001290664-6 PENNSYLVANIA -Single Family - Fannte MaelFreddie Mac UNIFORM INSTRUMENT WITH MFRS - Page 1 of 17 lnitlals• -6A(PA) (0407) CHL (08/04)(4) VMP Mortgage Soiutbns, Ina (800)521-7291 ofm 3039 i/01 ~I~ 8K190~PG1776 V:J..~:i L~LG~~ r-'. n~ ~•..~ '~Pt .,.t:. . .~ ~ ~ ~ ~• .. c~GS fl~~ 2z A~ s o~ DOG ID ~: 0009517988009005 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) "Security Instrument" means this document, which is dated APRIL 21, 2005 , together with ail Riders to this document. (B) "Borrower" is BARBARA J MCVEY Borrower is the mortgagor under this Security Instrument. (C) "MERS" is Mortgage Electronic Registration Systems, Inc. MFRS is a separate corporation that is acting solely as a nominee for Lender and Lendefs successors and assigns. MERS is the mortgagee under this Security Instrument. MFRS is organized and existing under the laws of Delaware, and has an address and telephone number of P,O. Box 2026, Flint, MI 48501-2026, tel. (888) 679-HERS. (D) "Lender" is AMERICA'S WHOLESALE LENDER Lender is a CORPORATION organized and existing under the laws of NEW YoRx Lendex's address is P.O. Box 660694, Da].J.as, TX 75266-0694 . (E) "Note" means the promissory note signed by Borrower and dated APRIL 21, 2005 The Note states that Borrower owes Lender ONE HUNDRED TWENTY FIVE THOUSAND NINE HUNDRED TEN and 00/100 Dollars (TJ,S. $ 125, 910.00 )plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not Latex than MAY 01, 2035 , ~ ''Property" means the property that is described below under the heading "Transfer of Rights in the Property." (G) "Load' means We 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. (Ii) "Riders" means all Riders to this Security Instrument that are executed by Borrower. The foltowing Riders are to be executed by Borrower [check box as applicable]: 0 Adjustable Rate Rider ~ Condominium Rider ^ Second Home Rider 0 Balloon Rider ~ Planned Unit Development Rider ~ 1-4 Family Rider 0 VA Rider ~ Biweekly Payment Rider X Other(s) [specify] LEGAL DESCRIPTION infdals: ®-6A(PA) (oA071 CHL (08104) pegs 2 of 17 dorm 9038 1101 BK190~~G(777 DOC ID I: 0009517488004005 (I) "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. (J) "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. (Ii7 "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, which is initiated through an electronic tenminal, 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. (L) "Escrow Items" means those items that are described in Section 3. (Nn "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemnation ar 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. (l~ "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. {O) "Periodic Payment" means the regularly scheduled amount due for r) principal and interest wtdex the Note, plus tit) any amounts under Section 3 of this Security Instrament. (P} "ltESPA" 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 Lime, 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 to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (Q) "Successor in Interest of Borrower" means any 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 ri) 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 1V18RS (solely as nominee for Lender and Lender's successors and assigns) and to the successors and assigns -6A(PA) (0407) CHL (08/04) Page 3 of 17 UdUa~S orm 3038 trot BK 19fl~PG 1778 DOC ID #: 0009517488009005 of MIItS, the following described property located in the COUNTY Of CUMBERLAND [Type of Recordng Jurisdidion] (Name of Recording jurisdiction] SEE EXHIBIT "A° ATTACHED HERETO AND MADE A PART HEREOF. which currently has the address of 601 E KELLER ST, MECHANICSBURG (Street/Cityl Pennsylvania 17055-3426 ("Property Address"): (Zip Code] 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 Security Instrument. All of the foregoing is referred to in this Security Instrument as the "Property." Borrower understands and agrees that MFRS holds only legal title to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or custom, MERS (as nominee for Lender and Lender's successors and assigns) has the right: to exercise any or aiI of those interests, including, but not limited to, the right to foreclose and sell the Property; and to take any action re,~uued of Lender including, bnt not limited to, releasing and canceling this Security Instrument. BORROWER COVENANTS that Borrower is lawfully seised 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 aI1 claims and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for nafional use and non-uniform covenants with limited variations by jurisdiction to constitute a uniform security instrument covering real ProP~y UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepaymeat 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 13scrow Items pursuant to Section 3. Payments due under the Note and this Security Instrument shall be made in U.S. currency. -6A(PA) (o4m) CHL (08/04) Page 4 of S7 lnitlais: orm 3039 1101 BK 190~P~ 1779 c DOC ID #: 0009517488009005 However, if any check or other instrument received by Lender as payment under the Note or this Security Instrument is returned 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) money 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 xeceived at the location designated in the Note or at such other location as maybe designated by Lender in accordance with the notice provisions in Section 1S. 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 payment 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 such 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 such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable period of tame, 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 malting payments due under the Note and this Security Instrument or performing the covenants and agreements secured by this Security Instnunent. 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 Note; (c) amounts due under Section 3. Such payments 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 Boxrower 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. ff more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each 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 Miscellaneous Proceeds to principal due under the Note shall not extend or postpone the due date, or change 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 earn (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 ar ground rents on the Property, if any; (c) premiums for any 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 "Bscrow Items." At origination or aE any time during the term of the Loaa, Lender may require that Community Association Dues, Fees, and ~~ -SA(PA) {0407) CHL (08104) Pie 5 of 17 Initlals• tn7 3039 1/01 BK 190~:PG 1780 DOC TD $: 0009517488004005 Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall bean Escrow Item. Borrower shall promptly furnish io 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 aII 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 due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall famish 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 alI 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 Bozrower 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 a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lendex may, at any time, collect and hold Funds in an amount (a) sufficient io permit Lender to apply the Funds at the time specified under ltESFA, and (b) not to exceed the maximum amount a lender can require under RESFA. Lender shall estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of fature 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 insured) or in arty Federal home Loan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under 1ZPSPA. Lender shall not charge Borrower for holding and applying 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, Lendex shall not be required io pay Borrower any interest or earnings on the Funds. Borrowea and Lender can agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Boncower, without charge, an annual accounting of the Funds as required by RESFA. If there is a surplus of Funds held in escrow, as defined under l2&SPA, Lender shall account to Borrower for the excess funds in accordance with 1tESPA. If there is a shortage of Funds held in escrow, as defined under I:tESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than I2 monthly payments. If there is a deficiency of Funds held in escrow, as defined under RFSPA, Lender shall notify Borrower as required by RP,SI?A, 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. ~. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can attain priority over this Security Instnument, 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. ~,ida~ -SA(PA) (oao~ CHL (08104) Page s or 17 rm 9039 1101 BK 190~g~ t 7 8 I DOC ID #: 0009517488004-005 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 Tien 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 ro Lender subordinating the lien to this Security Instrument. If .Lender determines that any part of the Froperty is subject ro a lien which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the 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 a one-time charge for a real estate tax verification and/or reporting service used by Lender in connection with this Loan. 5. 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 arty 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 ro the preceding sentences can change during the terra of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right ro disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either. (a) 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 subsequenE 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 liability 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 ro Borrower requesting payment. All insurance policies required by Lettder and renewals of such policies shall be subject ro Lender's right to disapprove such policies, shall include a standard nxirtgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the right ro hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give io Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage ro, or destruction ol7 the Property, such policy shall include a standard mortgage clause and shall name Lender as mortgageeand/or as an additional loss payee. ,~p~, InlBals: ~~ ~6A(PA) (0407} GHL (08104) Page 7 of S7 F 3039 1/01 BK 1004PG ~ 782 f J ~ R DOC ID #: 0009517488004005 In the event of loss, Borrower shall give prompt notice to the insurance 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. Unless 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 earnings on such proceeds. Pees 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 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 Properly, Lender may file, negotiate and settle any avar7able 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, and (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 coverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or to pay 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 that repair or restoration is not economically feasible, Borrower shall promptly repair 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 repaiur or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration. -6A(AAl (0407) CFrL (061041 mwa~~ Page 8 of 17 3039 1101 8K ~ gpt~FG 1783 bOC ID #: 0009517488004005 Lender or its agent may make reasonable 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 representations include, but are not limited to, representations concerning Borrower's occupancy of the Properly as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under t7ris Security Instrument. 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 Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Froperty, 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 Properly, and securing and/or repairing the Property. Lenders 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 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, entering 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 fumed on or off. Although Lender may take action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this Section 9. Any amounts disbursed by Lender under this Section 9 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. ff 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 a 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 previously 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 Mortgage 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 continue to pay to Lender the amount of the separately designated payments that were due when thernsurance coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-refumdable loss reserve in lieu of Mortgage Insurance. Such Ioss reserve shall benon-refundable, notwithstanding the fact that the Loan -5A(PA) (oao7) CHt. (OtfJ04) Page 9 of 17 1nl~als~~~ Pd rm 3039 1/01 g~`g04~Gt784 ~ ~ DOC T© #: 00095].7488004005 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 longer require loss reserve payments if Mortgage Insurance coverage (in the amount and for the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires separately designated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide anon-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such ternnation 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 may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may enter into agreements with other parties that share or modify their risk, or reduce Iosses. These agreements are on ternns and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements may require 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 agreements, Lender, arty purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliate of arty of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement 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 I~usarance, and they will not entitle Borrower to any refund. (b) Any such agreements wr'lI not affect the rights Borrower has • if any -with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 or any other Iaw. These rights may include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums that were unearned at the time of sncl- cancellation or termination. Il. Assignment oP ]Vlscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds 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 Miscellaneous 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 pay for the repairs and restoration in a single disbursement or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. ff the restoration or ,~. i~~: v1Y~-6A(PA) (040 CHI. (08/04] Pie 10 of 17 rm 3039 7/01 BK ~ 90~~G 1785 t DOC ID #: 0009517488004005 repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the partial taking, destruction, or Ioss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the 1VIiscellaneaus Proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the Opposing Party (as defrrred in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either m restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property or other material impairment of Lenders interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, in Lender's judgment, precludes forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that are attributable to the impairment of Lender's interest in the Property are hereby assigned and shall be paid to Lender. AI[ Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Bxtension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to Borrower or any Successor in Interest of Borrower shaII not operate to release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Borrower or to refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearance by Lender in exercising any right or remedy including, without limitation, Lender's acceptance of payments from third persons, entities or Succ rs in Interest of ~~iu~s: -SA(PA) (0407) CFEL (08104} Page 11 cf 17 3039 1101 ll~l~~~ri~~7(3~ r .o t . a DOC ID #: 0009517488004005 Borrower or in amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy. X3. Joint and Several Liabfiity; Co-signers; Successors and Assigns Bonnd. Borrower covenants and agrees that Borrower's obligations and Iability shall be joint and several. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Security Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument unless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services perfornaed in connection with Bornower's default, for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not limited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. If the Loan is subject to a ]aw which sets maximum Ioan charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the 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 Borrower which exceeded permitted Imits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge (whether or not a prepayment charge is provided for under the Note). Borrower's acceptance of any such refund made by direct payment to Borrower will constitute a waiver of any right of action Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security TnsUument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to have been given to Borrower when mailed by fast class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be We Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by mailing it by first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by ]nitials• -6A(PA) (0407} CH! (08!04) Page 12 of i7 F 3f139 1101 aK~~o~~~st~8~ C is ,~ , . DOC ID ~: 0009517488004005 this Security Inswment is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Inswment. Xti. Governing Law; Severability; Roles of Construction. This Security instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract In the event that any provision or clause of this Security Instrument or the Note conflicts with Applicable Law, such confect shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. As used in this Security Inswment: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument i& Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any Legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, conwet for deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or ttansferred (ox if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Leader's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Inswment However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. Tf 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 acxordance with Section 15 within 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 arty remedies pern-itted by this Security Inswment without further notice or demand on Borrower. 19. Borrower's Right to Reinstate After Acceleration. )f Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earliest o> (a) five days before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law might specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money 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 federal agency, Ini~a -6A(PAl (04W) CHL (08!04) Page 13 of 17 rot X99 1/01 ~k 190~:•F~ 1788 , ~> a ~ .a DOC ID ~: 0009517488004005 instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had occurred. however, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result in a change in the entity (]mown as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan servicing obligations under the Note, this Security Instrument,~and Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be given written notice of the change which will state the name and address of the new Loan Servicer, the address to which payments should be made and any other information RSSPA requires in connection with a notice of transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the mortgage Ioan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neither Borrower nor Lender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach and afforded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a time period which must elapse before certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Envunnmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environmental Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the value of the Property. The preceding two sentences shall not apply io the presence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous substances in consumer products). Inl6als• -6A(PA) (oao~ CHL (OSf04) Page 1a of 17 3039 1/01 BK 1 g4~~G t 789 F .c t i~. DOC TD #: 0009517488004005 Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency. or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any Hazardous Substance, and (c} any condition caused by the presence, use or xelease of a Hazardous Substance which adversely affects the value of the Property. If Borrower learns, or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration foAowing Borrower's breach of any rnvenant or agreement in this Security Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides otherwise). Lender shall notify Borrower of, among other things: (a) the default; (b) the action required to cure the default; (c) when the default must be cared; and (d) that failure to care the default as speci5ed may result in acceleration of the sums secured by this Security Instrument, foredosnre by judicial proceeding and sale of the Property. Lender shaII farther inform Borrower of the right to reinstate after acceleration and the right to assert in the foreclosure proceeding the non-eatistence of a default or any other defense of Borrower to acceleration and foreclosure. H the default is not cured as specified, Lender at its option may require immediate payment in fall of all sums secured by this Security Instrument without ihrther demand and may foreclose this Security Inlstrament by judicial proceeding. Lender shaIl be entitled to rnIlect aII eacpenses incurred in pursuing the remedies provided In this Section 22, includmg, but not limited to, attorneys' fees and costs of title evidence in the extent permitted by Applicable Law. 23. Release. Upon payment of till sums secured by this Security Instrument, this Security Instrument and the estate conveyed shall terminate and become void. After such occurrence, Lender shall discharge and satisfy this Security Instrument. Borrower shall pay any recordation costs. Lender may charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a third party for services rendered and the charging of the fee is permitted under Applicable Law. 24. Waivers. Borrower, to the extent pemaitted by Applicable Law, waives and releases any error or defects in procxedings to enforce this Security InstrumenC, and hereby waives the benefit of any present or future laws providing for stay of execution, extension of time, exemption from attachment, levy and sale, and homestead exemption. ?.5. Reinstatement Period. Borrower's time to reinstate provided in Section l9 shall extend to one hour prior to the commencement of bidding at a sheriffs sale or other sale putsuaat ro this Security Instrument. 26. Purchase Money Mortgage. IF any of the debt secured by this Security Instrument is lent to Borrower to acquire title to the Property, this Security Instrument shall be a purchase money mortgage. 27. Interest Rate After Judgment. Borrower agrees that the interest rate payable after a judgment is entered on the Note or in an action of mortgage foreclosure shall be the rate payable from time to time under the Note. -SA(PA) (0407) CHL (08104) Page 15 of 17 Initlals• Form 3039 1/Oi e~~9o~~~~7go - `,. ~ .r. ~„ .a Y DOC ID ~: 0009517988004005 BY SIGNIl~IG BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorded with it. Witnesses: (Seal) SARSARA J. tdCVEY -Borrower (S~) -Borrower (S~) -Borrower (S~) Eorrower -6A(PA) (0407) CHL. (08!04) Paga 16 of 17 Form 3039 1101 e~ct9o~r~~~~~i .~ Q .~ . s ,.. C YD # 0009517988004005 COMMONWEALTH OF PENNSYLVANIA,, C County ss: On this, day of ~~~~ ,before me, the undersigned officer, personally appeared known to me (or satisfactorily proven) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged that he/she/they executed the same for the purposes herein contained. IN WITNESS WIIEREOF, I hereunto set my hand and offic'al seal. My Commission fixpires: ~ 'ISile of Officer NOTARIAL SEAL VICKIE R. WfLKER, Nary Public Camp HiN Bore., Cumberland County My Cornni>sscon Expires March 4, 2007 Certilicate of Residence :;; ~`,s .~ i A, I~f.~~X-- !r --- - ~'-r ~-~"'~ , do hereby certify that the correct address of the within-Weaned Mortgagee is P.O. Box 2026, Flint, MI 48501-2026. Witness my hand this ~~~day of ~~~ <_x ~J~ S, ~Q;~~ Agent of Mortgagee ~ww~, inlifals• ~i11Y~-6A(AA) (oA07) CHI_ {08104) Page i7 of t7 Form 3039 1101 g~~90~~PGi792 . „Y a L~ ,.. ., First American Title Insurance Company Commitment Number: 05131 SCHEDULE C PROPERTY DESCRiPT1ON The land referred to in this Commitment is described as follows: ALL THAT CERTAIN piece or parcel of land situate in the Borough of Mechanicsburg, Cumberland County, Pennsylvania, mare particularly bounded and described as follows, to wit: BEGINNING at a point on the north side of Keller Street fifty (50) feet wide at the dividing line between Lots Nos. 40 and 41, Section "H", as shown on the hereinafter mentioned Pian of Lots; thence along said dividing line, north 12 degrees 18 minutes west, a distance of one hundred thirty-nine and eighty-five hundredths (139.85) feet to a point; thence south 65 degrees 18 minutes west, a distance of eighty-fire andforty-four hundredths (85.44) feet to the easterly line of Norway Street; thence south 20 degrees 38 minutes east, a distance of one hundred twenty-six and eight tenths (126.8) feet to the north side of Keller Street; thence along the north side of Keller Street, north 72 degrees 48 minutes east, a distance of twenty-eight and six tenths (28.6) feet to a point; thence still along Keller Street along a curve to the right, an arc distance of thirty-six and sixty-five hundredths (36.65) feet to Lot No. 41, Section "H", the place of BEGINNING. BEING Lot No. 40, Section "H" in the Plan of Blackburn Village as recorded in the Cumberland County Recorder's office In Plan Book 7, page 7. HAVING thereon erected a one story brick dwelling house known as No. 601 East Ke[fer Street, Mechanicsburg, P BEfiIG the same premises which Rhonda K. Bittinger, now by marriage, Rhonda K. Kacyon, and Samuel J. Kacyon, Jr., her husband, by Deed dated June 27, 2003 and recorded Juiy 16, 2003 in the Office of the Recorder of Deeds in and for Cumberland County, Pennsylvania, in Deed Book 258, page 721, granted and conveyed unto Samuel J. Kacyon, Jr. and Rhonda K. Kacyon, his wife, herein. I Certify this to be recorded In Cumberland County PA ~~~ ~~... .. ~u ~}' ~' r:! ~'y r'~ Recorder of Deeds ALTA Commitment Schedule C (05131/05131/20) U~~~~~~'s~U~~~J LEGAL DESCRIPTION ALL THAT CERTAIN piece or parcel of land situate in the Borough of Mechanicsburg, Cumberland County, Pennsylvania, more particularly bounded and described as follows, to wit: BEGINNING at a point on the north side of Keller Street fifty (50) feet wide at the dividing line between Lots Nos. 40 and 41, Section'H', as shown on the hereinafter mentioned Plan of Lots; thence along said dividing line, north 12 degrees 18 minutes west, a distance of one hundred thirty-nine and eighty-five hundredths (139.85) feet to a point; thence south 65 degrees 18 minutes west, a distance of eighty-five and forty-four hundredths (85.44) feet to the easterly line of Norway Street; thence south 20 degrees 38 minutes east, a distance of one hundred twenty-six and eight tenths (126.8) feet to the north side of Keller Street; thence along the north side of Keller Street, north 72 degrees 48 minutes east, a distance of twenty-eight and six tenths (28.6) feet to a point; thence still along Keller Street along a curve to the right, an arc distance of thirty- six and sixty-five hundredths (36.65) feet to Lot No. 41, Section'H', the place of BEGINNING. BEING Lot No. 40, Section'H' in the Plan of Blackburn Village as recorded in the Cumberland County Recorder's office in Plan Book 7, page 7. File #: 152592 HAVING thereon erected a one story brick dwelling house known as No. 601 East Keller Street, Mechanicsburg, P BEING the same premises which Rhonda K. Bittinger, now by marriage, Rhonda K. Kacyon, and Samuel J. Kacyon, Jr., her husband, by Deed dated June 27, 2003 and recorded July 16, 2003 in the Office of the Recorder of Deeds in and for Cumberland County, Pennsylvania, in Deed Book 258, page 721, granted and conveyed unto Samuel J. Kacyon, Jr. and Rhonda K. Kacyon, his wife, herein. PROPERTY BEING: 601 EAST KELLER STREET File #: 152592 FRANCIS S. HALLINAN, ESQUIRE hereby states that he is attorney for PLAINTIFF in this matter, that Plaintiff is outside the jurisdiction of the court and or the Verification could not be obtained within the time allowed for the filing on the pleading, that he is authorized to make this verification pursuant to Pa. R. C. P. 1024 (c) and that the statements made in the foregoing Civil Action in Mortgage Foreclosure are based upon information supplied by Plaintiff and are true and correct to the best of his knowledge, information and belief. The undersigned understands that this statement is made subject to the penalties of 18 Pa. C.S. Sec. 4904 relating to unsworn falsification to authorities. FRANCIS S. HALLINAN, ESQUIlZE Attorney for Plaintiff DATE: Z ~ ~' #~ ~~ d ~ ~ w ~ C~ r r-~ _ ..a :;. } ;.:..~ C..~ ~17 ~~ C+, f~ T'i ---! ._~ _.~_ - ", ; -~ f , :.17 -ti JORDAN D. CUNNINGHAM, ESQUIRE CUNNINGHAM& CHERNICOFF, P.C. 2320 NORTH SECOND STREET HARRISBURG, PA 17110 TELEPHONE: (717) 238-6570 FACSIMILE: (717) 238-4809 EMAIL: JCUNNINGHAM(C1~,CCLAWPC.COM COUNTRYWIDE HOME LOANS, INC. 7105 Corporate Drive . Plano, TX 75024 Plaintiff v. BARBARA J. McVEY a/Wa BARBARA J. DILSNER, 601 East Keller Street Mechanicsburg, PA 17055 Defendant TO: Countrywide Home Loans, Inc. c/o Lawrence T. Phelan, Esquire Francis S. Hallinan, Esquire Daniel G. Schmieg, Esquire Phelan, Hallinan & Schmieg, LLP One Penn Center Plaza Suite 1400 Philadelphia, PA 19103 YOU ARE HEREBY NOTIFIED TO PLEA TWENTY (20) DAYS FROM TH JUDGMENT Y BE IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION NO. 07-2080 CIVIL TERM ' ' E E SED NEW MATTER WITHIN ATE CE HEREOF OR A DEFAULT AGAINST YOU. Date: May, 2007 ~7ordan~' Cunningham, Esquire Supreme Court I.D. No. 23144 Cunningham & Chernicoff, P.C. 2320 North Second Street Harrisburg, PA 17110 Telephone: (717) 238-6570 JORDAN D. CUNNINGHAM, ESQUIRE CUNNINGHAM& CHERNICOFF, P.C. 2320 NORTH SECOND STREET HARRISBURG, PA 17110 TELEPHONE: (717) 238-6570 FACSIMILE: (717) 238-4809 EMAIL: JCUNNINGf-IAM~CCLAWPC.COM COUNTRYWIDE HOME LOANS, INC. 7105 Corporate Drive . Plano, TX 75024 . Plaintiff v. BARBARA J. McVEY a/k/a . BARBARA J. DILSNER, . 601 East Keller Street . Mechanicsburg, PA 17055 . Defendant IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION NO. 07-2080 CIVIL TERM DEFENDANT'S ANSWER AND NEW MATTER TO COMPLAINT IN MORTGAGE FORECLOSURE 1. The averments of Paragraph 1 are admitted. 2. The averments of Paragraph 2 are admitted. 3. The averments of Paragraph 3 are admitted. 4. The averments of Paragraph 4 are admitted. 5. The averments of Paragraph 5 represent a conclusion of law or fact to which a response is not required. If it is later judicially determined that a response should have been made, the averments are specifically denied. To the contrary, Defendant attempted to make alternative arrangements with the Plaintiff due to extreme medical expenses and conditions under which she was then suffering. 6. The averments of Paragraph 6 are partially admitted and partially denied. It is admitted that the principal balance due and owing is $124,051.13. It is denied, however, that the attorney fees are fair and reasonable. Furthermore, it is denied that the cost of suit and title search as set forth in the Paragraph is fair and reasonable. It is also alleged that the cumulative late fees are penalties and not related to the act of administrative costs attendant to the damages incurred as the result of late payments. 7. The averments of Paragraph 7 represent a conclusion of law or fact to which a response is not required. If it is later judicially determined that a response should have been filed, the averments are denied. Plaintiff may only recover the reasonable and customary fees charged for services such as that rendered by Plaintiff's counsel and strict proof thereof, if relevant, is demanded at the time of trial. 8. The averments of Paragraph 8 represent a conclusion of law or fact to which a response is not required. If it is later judicially determined that a response should have been filed, the averments are denied. 2 9. The averments of Paragraph 9 are denied. To the contrary, Defendant does not have a recollection nor did she ever receive the Notice of Intention to Foreclose as set forth in Act 6 of 1974. If such Notice was forwarded, Defendant demands strict proof thereof, if relevant, at the time of trial. 10. The averments of Paragraph 10 represent a conclusion of law or fact to which a response is not required. If it is later judicially determined that a response should have been filed, the averments are denied. WHEREFORE, Defendant demands judgment in favor of the Defendant and against the Plaintiff on its cause of action. NEW MATTER 11. The averments of Paragraphs 1 through 10 of the Answer are incorporated herein by reference as if more fully set forth herein. 12. The "late fees" being charges are a penalty and not collateral. 13. The attorney fees being proposed are not fair or reasonable. 14. The title search and costs of suit being proposed are not reasonable or fair. 15. Defendant reached an agreement to reinstate the mortgage with Plaintiff's counsel on May 17, 2007 and forwarded sufficient funds necessary to reinstate the mortgage to Plaintiff's counsel on May 17, 2007. 16. Plaintiff's counsel received the payment to reinstate the mortgage on May 18, 2007. 17. Plaintiff s action in mortgage foreclosure is barred by the principle of estoppel. 3 18. Plaintiff s action in mortgage foreclosure is barred by the principle of waiver. WHEREFORE, Defendant demands judgment in favor of the Defendant and against the Plaintiff on its cause of action. Respectfully submitted, CUNNINGHAM & CHERNICOFF, P.C. Dated: May ~, 2007 By: or .Cunningham, Esquire Sun me Court LD. No. 23144 2320 North Second Street Harrisburg, PA 17110 Telephone: (717) 238-6570 Attorneys for Defendant F:\Home\AHEWITT\DOCS\M-MMCVEI'\FORECLOSURE MATTER\ANSWER.wpd 4 VERIFICATIUAT I verify that the statements contained in the farcgoing are true and correct to the best n my lcnowledgc, iunfotmation and belief. Y understand that false statements herein are made subject to the penalties of 18 Pa. C.S.A. §4904, relating w unswat7n falsi~xcation to authorities. ~„13,~'1 u F3arbara J_ McVey CERTIFICATE OF SERVICE I do hereby state that on th~~ day of May, 2007, I served a true and correct copy of the foregoing in the captioned matter, by placing the same in the United States mail, first-class, postage prepaid, in Harrisburg, Pennsylvania, addressed to: Lawrence T. Phelan, Esquire Francis S. Hallinan, Esquire Daniel G. Schmieg, Esquire Phelan, Hallinan & Schmieg, LLP One Penn Center Plaza Suite 1400 Philadelphia, PA 19103 Angela L. ewitt Legal Secretary r` ~ ...:::.J ._~..i ~....,, -ter-. i _~y ~_~', .... ".-{ _~T T~.i .~ _Fi ~.W - - z.,.~ ~~ {,~ M ~~ ~ , _ ~~ ..:~ PHELAN HALLINAN & SCHMIEG, LLP BY: FRANCIS S. HALLINAN, ESQUIRE Identification No. 62695 One Penn Center at Suburban Station 1617 John F. Kennedy Boulevard, Suite 1400 Philadelphia, PA 19103-1814 (215) 563-7000 Countrywide Home Loans, Inc. Plaintiff vs. Barbara J. Mcvey, a/k/a Barbara J. Dilsner Defendant(s) PRAECIPE TO THE PROTHONOTARY: ATTORNEY FOR PLAINTIFF Court of Common Pleas Civil Division Cumberland County No. 07-2080 CIVIL TERM X Please mark the above referenced case Discontinued and Ended without prejudice. Please mark the above referenced case Settled, Discontinued and Ended. Please mark Judgments satisfied and the Action settled, discontinued and ended. Please Vacate the judgment entered and mark the action discontinued and ended without prejudice. Please withdraw the complaint and mark the action discontinued ended without prejudice. , Date: ~ C) Francis S. Hallinan, Esquire Attorney for Plaintiff PHS# 152592 ~~ c-~ _Z 1 - ' "~ -r T" ~~ __! - [~„ .. i i..'' .~ .. - f'- .r ~t~ - - :- ~ f:.,~ ~._ ~ t SHERIFF'S RETURN - REGULAR CASE NO: 2007-02080 P COMMONWEALTH OF PENNSYLVANIA: COUNTY OF CUMBERLAND COUNTRYWIDE HOME LOANS INC VS MCVEY BARBARA J AKA BARBARA J KENNETH GOSSERT Sheriff or Deputy Sheriff of Cumberland County,Pennsylvania, who being duly sworn according to law, says, the within COMPLAINT - MORT FORE was served upon MCVEY BARBARA J AKA BARBARA J DILSNER the DEFENDANT at 1718:00 HOURS, on the 23rd day of April 2007 at 601 EAST KELLER STREET MECHANICSBURG, PA 17055 r~-n T1TT T1T T TR/'~T TT"T TT by handing to a true and attested copy of COMPLAINT - MORT FORE together with and at the same time directing Her attention to the contents thereof. Sheriff's Costs: Docketing 18.00 Service 10.56 Affidavit . 00 Surcharge 10.00 .00 ~/a ~~b'I ~,,, ~/ 3 8 . 5 6 Sworn and Subscibed to So Answers: R. Thomas Kline 04/24/2007 PHELAN HALLINAN SCHMIEG By. before me this day of A.D. De uty S ri f