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5. Promptly to notdy Secured Paity of any change in the location of the Collateral.
<br />6. To pay all t�ixes and assessments c�f every naCUne which may be levied or assessed against the Collateral.
<br />7. NoC to permiC or allow any adverse lien, security interest or encumbrance whatsoever upon the Collateral and not to
<br />permit the same to be attached or replevined.
<br />8. That the Collateral is in ga>d condition, and that he will, at his own expense, keep the same in good eonc�ition and
<br />fmm time to time, forthwith, replace and repair all such parts of the Collateral as may be bmken, worn out, or damaged without
<br />allowing any lien to be created upon the Collateral on account of such replacement or repairs, and that the Secured Pa�ty may
<br />examine and inspect the Collateral at any time, wherever loc:ated.
<br />9. lfiat he will not use the Collateral in violation of any applicable statutes, regulations or ordinances.
<br />10. The Debtor will keep the Collateral at all times insured against risks of loss or damage by fire (including so-
<br />called extended coverage), theft and such other casualties as the Secured Party may reasonably require, including collision
<br />in the case of any motor vehicle, ali in such amounts, under such forms of policies, upon such terms, for such periods, and
<br />written by such companies or underwriters as the Secured Party may approve, losses in all cases to be payable to the
<br />Secured Party and the Debtor as their interest may appear. All policies of insurance shall provide for at least ten days' prior
<br />written notice of cancellation to the Secured Party; and the Debtor shall furnish the Secured Party with certificates of such
<br />insurance or other evidence satisfactory to the Secured Party as to compliance with the provisions of this paragraph. The
<br />Secured Party may act as attorney for the Debtor in making, adjusting and settling claims under or cancelling such
<br />insurance and endorsing the Debtor's name on any drafts drawn by insurers of the Collateral.
<br />UNTIL DEFAULT Debtor may have possession of the Collateral and use it in any lawful manner, and upon default
<br />Secured Party shall have the immediate right to the possession of the Collateral.
<br />DEBTOR SHALL BE IN DEFAULT under this agreement upon the happening of any of the following events or
<br />conditions:
<br />(a) default in the payment or performance of any obligation, covenant or liability contained or referred to herein or in any
<br />note evidencing the same;
<br />(b) the making or furnishing of any warranty, representation or statement to Secured Patty by or on behaff of Debtor
<br />which proves to have been false in any material respect when made or furnished;
<br />(c) loss, theft, damage, destruction, sale or encumbrance to or of any of the Collateral, or the making of any levy seizure
<br />or attachment thereof or thereon;
<br />(d) death, dissolution, termination or existence, insolvency, business failure, appointment of a receiver of any part of the
<br />propeity of, assignment for the benefit of creditors by, or the commencement of any proceeding under any banki�ptcy or
<br />insolvency laws of, by or against Debtor or any guarantor or surety for Debtor.
<br />UPON SUCH DEFAULT and at any time thereafter, or � it deems itseff insecure, Secured Paity may decla� all
<br />Obligations secured hereby immediately due and payable and shall have the remedies of a secured party under A�ticle 9 of the
<br />Colorado Uniform Commercial Code. Secu�d Party may require Debtor to assemble the Collateral and deliver or make it
<br />available to Secured Party at a place to be designated by Secured Party which is reasonably convenient to both parties. Expenses of
<br />retaking, holding, preparing for sale, selling or the like shall include Secured Party's reasonable attorney's fees and legal
<br />expenses.
<br />No waiver by Secured Patty of any default shall operate as a waiver of any other default or of the same default on a future
<br />occasion. Tt�e taking of this securiry agreement shall not waive or impair any other securiry said Secured Party may have or
<br />hereafter acquire for the payment of the above indebtedness, nor shall the taking of any such additional security waive or impair
<br />this security agreement; but said Secured Patty may resoR to any security it may have in the order it may deem proper, and
<br />notwithstanding any collateral securiry, Secured P��uty shall retain its rights of set-off against Debtor.
<br />All rights of Secured Parry hereunder shall inure to the benefit of its successors and assigns; and all promises and duties of
<br />Debtor shall bind his heirs, executors or administrators or his or its successors or assigns. If thene be more than one Debtor, their
<br />liabilities hereunder shall be joint and severai.
<br />Date this 28
<br />Debtor: BEAV R PA�t�WATER,
<br />�
<br />BY : -. I �
<br />� FR GR , ;PR 5I
<br />, Atte�t, , <r
<br />' � 'If this Secunry .. emedf�ici0TelfdeTd ��tvrJ�a u flna
<br />day of Februar
<br />MII
<br />,1994 .
<br />Secw�ci �*
<br />��.�z: •`��.
<br />/
<br />s�ua�i party uc well ati the debtur musl +i�;n.
<br />
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