HomeMy WebLinkAbout024a-Deeds connecting Longshot to BCPC2855728
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ReturnTo:Ericsemerad-GallatinCounty,MT MTG
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P.O.Box 6550
Bozeman,MT 59771-6550
Accommodation Recording Only
sic#Gaon pd
DEED OF TRUST
This DEED OF TRUST ismade this25th day of July 2025,by and between Bozeman
ClassicPickleballClub,LLC,a Montana limitedliabilitycompany,with an addressof 2414
Arabian Avenue,Bozeman,Montana 59718 ("Grantor")and Dangerous Donkey Holdings,LLC,
and itssuccessorsand assigns,with a mailing addressof P.O.Box 10025,Bozeman,Montana
59719 ("Beneficiary");and SecurityTitleCompany of Montana,with an addressof 1160 S 29th
Ave.,Bozeman,Montana 59718 (referredtobelow as "Trustee")(hereinafterreferredto as the
"Deed ofTrust").
RECITALS
WHEREAS,the Grantor and the Beneficiaryhave enteredinto thatcertainBuy Sell
Agreement,executed May 14,2025,as amended,pursuantto which Beneficiaryhas agreed to
make a loan to Grantor in the principalamount of SEVEN HUNDRED THOUSAND AND
NO/100 DOLLARS ($700,000.00)("Loan"),forthepurpose of Grantorpurchasing certainreal
and personalpropertyfrom Beneficiary;
WHEREAS,theLoan isevidencedby thatcertainSecured Promissory Note,datedthe
same datehereof,and deliveredtotheBeneficiaryherewith("Note")and securedby thisDeed of
Trust.This Deed of Trustand the Note,and any otherdocuments and instrumentsexecuted in
connectionwith theLoan,arereferredtocollectivelyas the"Loan Documents";and
WHEREAS,itisa conditionto theobligationof theBeneficiarytomake the Loan tothe
GrantorthattheGrantorexecuteand deliverthisDeed of Trustand allotherLoan Documents.
NOW,THEREFORE,in considerationof the foregoingand othergood and valuable
consideration,the receiptand sufficiencyof which are hereby acknowledged,and in order to
securethedue and punctualpayment and performance ofalltheobligations,asand when thesame
become due and payable,thepartiesheretorepresent,warrant,covenant,and agree as follows:
AGREEMENT
1.PROPERTYINTRUST.
1.1.Real Property.Grantor,inconsiderationoftheindebtednesshereinrecitedand theDeed
ofTrusthereincreated,hereby grantsand conveys toTrusteeforthebenefitofBeneficiary,
allofGrantor'sright,title,and interestinand totherealpropertydescribedherein,together
with allexistingor subsequentlycreatedbuildings,improvements,and fixtures,now or
hereaftererectedon therealproperty;alleasements,rightsofway,and appurtenances;all
replacementsand additions;allwater and waterrights;and allotherrights,royalties,and
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1.2.rentsand profitsrelatingto therealproperty,includingwithoutlimitation,allminerals,
oils,gas,geothermal,and similarmattersof therealpropertymore particularlydescribed,
to-wit:
GALLATIN PARK SUB,S36,T01 S,R05 E,BLOCK 2,Lot 12,ACRES 2.01,
PLAT J-300 PLUS OPEN SPACE
referredto inthisDeed of Trustasthe"Real Property".
1.3.Trust Indenture.The Real Propertydoes not exceed forty(40)acres,and thisinstrument
is a Trust Indenture executed in conformity with the Small Tract Financing Act of
Montana.
1.4.Fixtures.This Deed of Trustalsoconstitutesasecurityagreement withinthemeaning of
theUniform Commercial Code,as adopted intheStateof Montana ("UCC").In addition
totheReal Propertydescribedinthe Deed of Trust,thefollowingitems now or hereafter
attachedto theReal Propertytotheextenttheyarefixturesareadded totheReal Property
description,and shallalsoconstitutethepropertycovered by the Deed of Trust:building
materials,appliancesand goods of every naturewhatsoever now or hereafterlocatedin,
on,or used,or intendedtobe used inconnectionwith theReal Property,may include,but
isnot limitedto,those for the purposes of supplying or distributingheating,cooling,
electricity,gas,water,airand light,firepreventionand extinguishingapparatus,a mobile
home,securityand access controlapparatus,plumbing,bath tubs,water heaters,water
closets,sinks,ranges,stoves,refrigerators,dishwashers,disposals,washers,dryers,
awnings,storm windows,storm doors,screens,blinds,shades,curtainsand curtainrods,
attachedmirrors,cabinets,paneling,attachedfloorcoverings,irrigationpipesand pumps,
livestockfencingand pens,windmills and relatedequipment and pumps,grainbins and
storagebins,and irrigationequipment on and/orutilizedinconjunctionwith theirrigation
of theReal Propertyused in and associatedwith the agriculturaland ranch operationson
the Real Property,allof which,includingreplacementsand additionsthereto,shallbe
deemed to be and remain a partof theReal Propertycovered by the Deed of Trust(the
"Fixtures").Allof theforegoing,togetherwiththeReal PropertydescribedinSection1.1
in thisDeed of Trust,are collectivelyreferredto in thisDeed of Trust as the "Real
Property".
1.5.Subordination.The BeneficiaryagreesthatthisDeed of Trustshallbe subordinateto
any futureloansor deeds of trustthatmay be executedby Grantor,provided thepurpose
of such loans are to finance Grantor's development of the Real Property (each,a
"Construction Loan"),which shallapply toallfutureConstructionLoans,regardlessof
theamount or terms of such agreements.Any futureConstructionLoans executedby the
Grantorshallhave priorityoverthisDeed of Trust.The priorityof such ConstructionLoan
shallnot be affectedby thedateof execution,recording,or any otherfactor,and shallbe
recognizedas superiorto thisDeed of Trust in allrespects.The Grantor shallprovide
writtennoticeto Beneficiaryof any futureConstructionLoans withinthirty(30)days of
execution.Such noticeshallincludetheprincipalamount,interestrate,and maturitydate
ofthefutureagreement,aswell asthename and addressof thelenderor beneficiary(the
"Lender").The Beneficiaryagreestoexecuteany and alldocuments necessarytomaintain
thesubordinationof thisDeed of Trustto futureConstructionLoans.This includes,but is
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not limitedto,executingsubordinationagreements or amendments to thisDeed of Trust
as may be requiredby futurelendersorbeneficiaries.
2.SECURITY AGREEMENT;FINANCING STATEMENTS.
2.1.Security Agreement.This Deed of Trust shallconstitutea securityagreement under
Article9 of the UCC with respectto Grantor'spresentand futureestate,right,title,and
interestinand totheReal Property.GrantorherebygrantstoBeneficiarya securityinterest
inand totheReal Property("SecurityInterest")and transfersand assignstoBeneficiary
allof Grantor'spresentestate,right,title,and interestinand totheReal Propertytosecure
thepunctualpayment and performance ofallobligationsunder theLoan Documents asand
when they become due and payable,whether at the statedmaturity,by acceleration,or
otherwise.
2.2.SecurityInterest.Upon theBeneficiary'srequest,Grantor shalltakewhatever actionis
requestedby theBeneficiarytoperfectand continuetheBeneficiary'sSecurityInterestin
theProperty.In additionto recordingthisDeed of Trust in the realpropertyrecordsof
GallatinCounty,Montana,the Beneficiary may,at any time and without further
authorizationfrom theGrantor,fileexecutedcounterparts,copies,or reproductionsofthis
Deed of Trust as a financingstatement.Grantor shallreimburse the Beneficiaryfor all
expenses incurredin perfectingor continuingthe SecurityInterest.Upon Default (as
definedin Section10.1),Grantorshallnot remove,sever,or detachtheFixturesfrom the
Real Property;but Grantor shall,upon Default,assemble any otherpersonalpropertynot
affixedtotheReal Propertyina manner and ata placereasonablyconvenienttotheGrantor
and the Beneficiaryand make itavailableto theBeneficiarywithin ten (10)days after
receiptofwrittendemand from theBeneficiarytotheextentpermittedby applicablelaw.
2.3.Addresses.The mailing addresses of the Grantor and the Beneficiaryfrom which
informationconcerningthe SecurityInterestgrantedby thisDeed of Trustare statedon
thefirstpage hereofand may be modified from time to time by thepartiesinwriting.
3.PAYMENT.
3.1.Secured Promissory Note.This Deed of Trustsecurestherepayment to theBeneficiary
of theindebtednessevidencedby theNote dated the same dateas thisinstrument,inthe
principalsum of seven hundred thousand and no/100 Dollars($700,000.00),togetherwith
allaccruedinterestintheamount ofsixpercent(6%)and allotheramounts due and payable
in accordance with the terms as set forthin the Note,payable at SecurWest Escrow
Services,1160 S.29thAve.,Bozeman,Montana 59718,or such otherplace as Trusteeor
Beneficiarymay designatedhereafter("Payment").
3.2.Grantor Obligations.The Grantor shallpay to the Beneficiaryallamounts securedby
thisDeed ofTrustas they become due and shallstrictly,ina timelymanner,perform allof
theGrantor'sobligationsunder theLoan Documents.AllPayments acceptedand applied
by theBeneficiaryshallbe appliedin the followingorderof priority:(a)delinquencyor
defaultchargesdue under Section5.1of theNote;thenthe(b)interestdue under theNote;
then the (c)principaldue under theNote.Such Payment shallbe appliedin the orderin
which itbecame due.
4.GRANTOR COVENANTS,REPRESENTATIONS,WARRANTIES.
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4.1.Grantorcovenants thatGrantorislawfullyseizedof theestatehereby conveyed and has
therighttograntand convey theReal Propertyand thattheReal Propertyisunencumbered,
exceptfor encumbrances of recordand specificallythosepermittedpriorencumbrances.
Grantorwarrantsand willdefend generallythetitleto theReal Propertyagainstallclaims
and demands,subjectto any encumbrances ofrecord.
4.2.All representations,warranties,and agreements made by Grantor in thisDeed of Trust
shallsurvivetheexecutionand deliveryofthisDeed of Trust,shallbe continuinginnature,
and shallremain infullforceand effectuntilsuch time as Grantor'sindebtednessshallbe
paidinfull.
5.TAXES AND LIENS.
5.1.Taxes and Other Obligations.
5.1.1.Grantorshallpay when due alltaxes,specialtaxes,assessments,charges(including
but notlimitedtothoseforutilities),fines,and impositionsleviedagainstoron account
of the Real Property and shallpay when due allclaims for work done,services
rendered,or materialfurnishedtotheReal Property.
5.1.2.Grantor shallmaintain the Real Propertyfreeof alllienshaving priorityover or
equaltotheinterestofBeneficiaryunder thisDeed of Trust,exceptforthelienoftaxes
and assessmentsnot due or as otherwiseprovidedin thisDeed of Trust.
5.1.3.Upon Beneficiary'srequest,Grantor shall(i)furnishsatisfactoryevidence of
payment of taxes and assessments,and (ii)authorizethe appropriategovernmental
officialto deliverto Beneficiarya writtenstatementof the taxes and assessments
againsttheReal Property.
5.2.Liens.
5.2.1.Ifa lienarisesor isfiledas a resultof nonpayment,Grantorshall,within sixty(60)
days afterthe lienarisesor,ifa lienisfiled,within sixty(60)days afterGrantorhas
noticeof the filing,securethe dischargeof the lien,or ifrequestedby Beneficiary,
depositwith Beneficiarycash or a sufficientcorporatesuretybond or othersecurity
satisfactoryto Beneficiaryinan amount sufficienttodischargethelienplus any costs
and attorneys'fees,or otherchargesthatcould accrue as a resultof a foreclosureor
saleunder the lie.In any contestof such,Grantorshalldefend itselfand Beneficiary
and shallsatisfyany adverse judgment before enforcement againstthe Property.
Grantor shallname Beneficiaryas an additionalobligee under any surety bond
furnishedinthecontestproceedings.
6.POSSESSION AND MAINTENANCE.
6.1.Possessionand Use.Unless and untilthe occurrenceof an Event of Defaultpursuantto
Section10.1,Grantor may,in accordancewith the terms and conditionsof thisDeed of
Trust,(1)remain inpossessionand controloftheReal Property;(2)use,operate,ormanage
theReal Property;and (3)collectany rentsfrom theReal Property.
6.2.Duty to Maintain.Grantor shallmaintain the Real Property in good conditionand
promptly perform allrepairs,replacements,and maintenance necessary to preserveits
value.Beneficiaryoritsagents,upon reasonablenoticeand atreasonabletimes,may make
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entriesupon and inspectionsof theReal Property.The Beneficiary,upon reasonablenotice
and atreasonabletimes,may alsoinspectthe interiorof any improvements on the Real
Property.
6.3.Nuisance;Waste.Grantor shallnot cause,conduct or permit any nuisancenor commit,
permit,or sufferany strippingof orwaste on or totheReal Propertyor any portionof the
Real Property.
6.4.Legal and Regulatory Compliance.
6.4.1.Grantor shallnot do,nor allow anyone elseto do,anything affectingthe Real
Property(i)thatisinviolationofany EnvironmentalLaws (definedherein),(ii)which
createsan Environmental Condition,definedas any responseaction,remedialaction,
or removal action,as defined in Environmental Laws,or (iii)which,due to the
presence,use,or releaseof a Hazardous Substance,createsa conditionthatadversely
affectsthevalueof the Real Property.The precedingtwo sentencesshallnot apply to
the presence,use,or storageon theReal Propertyof small quantitiesof Hazardous
Substancesthatare generallyrecognizedto be appropriateto normal residentialand
agriculturaluses and tomaintenance of the Real Property(including,but not limited
to,hazardous substancesinconsumer products).
(a)"Environmental Laws"shallmean any and allstate,federaland localstatutes,
regulationsand ordinancesrelatingto the protectionof human healthor the
environment,includingwithout limitationthe Comprehensive Environmental
Response,Compensation,and LiabilityAct of 1980,as amended,42 U.S.C.
Section 9601,et seq.("CERCLA"),the Superfund Amendments and
ReauthorizationAct of 1986,Pub.L.No.99-499 ("SARA"),the Hazardous
MaterialsTransportationAct,49 U.S.C.Section 1801,et seq.,the Resource
Conservation and Recovery Act,42 U.S.C.Section 6901,et seq.,or other
applicablestateor federallaws,rules,orregulationsadoptedpursuantthereto.
6.4.2.Grantor shallpromptly comply with alllaws,ordinances,and regulations,now or
hereafterin effect,of allgovernmental authoritiesapplicabletothe use or occupancy
of theReal Property.Grantor may contestin good faithany such law,ordinance,or
regulationand withhold compliance during any proceeding,includingappropriate
appeals,so long as Grantorhas notifiedBeneficiaryinwritingpriortodoing so and so
long as,inBeneficiary'ssoleopinion,Beneficiary'sinterestsintheReal Propertyare
notjeopardized.The Beneficiarymay requirethe Grantor topostadequatesecurityor
a suretybond,reasonablysatisfactoryto theBeneficiary,toprotecttheBeneficiary's
interest.
6.5.Hazardous Substances.GrantororGrantor'stenant,agents,orcontractorsshallnotcause
or permit the presence,use,disposal,storage,or releaseor threatento release,any
"Hazardous Substances",includingbut not limitedto,toxicor hazardous substances,
pollutants,or wastes by Environmental Laws and the following substances:gasoline,
kerosene,otherflammable or toxicpetroleum products,toxicpesticidesand herbicides,
volatilesolvents,materialscontainingasbestosorformaldehyde,and radioactivematerials.
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6.6.Duty to Protect.Grantorshalldo allotheracts,in additiontothoseactssetforthabove
in SectionError!Reference source not found.6.4,which are reasonablynecessaryto
protectand preservethe Real Property.
7.INSURANCE.
7.1.The Grantorwillobtainand maintaininsuranceupon and relatingtotheReal Propertyand
improvements,now existingor hereaftererectedon theReal Property,insuredagainst(i)
lossby fire,(ii)hazards includedwithinthe term "extended coverage,"and (iii)against
any otherhazard,includingbut not limitedto,earthquakesand floods.IfGrantor failsto
maintainany of theforegoingcoverages,then such failureshallconstitutea Defaultunder
theterms of theLoan Documents.Such insuranceshallbe carriedincompanies approved
by theBeneficiary,who shallbe listedas an additionalinsuredon thepolicies.
8.CONDEMNATION AND CASUALTY.
8.1.Miscellaneous Proceeds.Subjectto the terms hereinand except to the extentused or
reservedforuse by the Grantor torepair,restoreor otherwiseimprove the Real Property
(each,a "Permitted Use"),themiscellaneousproceedsresultingfrom a condemnation or
casualtyproceedingarehereby assignedand shallbe paidtotheBeneficiary,includingbut
not limitedto,compensation,settlement,award ofdamages,orproceeds paidby any third
party(otherthan insuranceproceedspaid under the coverages describedin Section7.1)
for:(i)damages to,or destructionof,theReal Property;(ii)condemnation or othertaking
of allor any partof the Real Property;(iii)conveyance in lieuof condemnation;or (iv)
misrepresentationof,or omissions as to,thevalue and/orconditionof the Real Property
(collectively"Miscellaneous Proceeds");providedhowever,inno eventshallGrantorbe
obligatedto assign any rightto or otherwise remit any Miscellaneous Proceeds to
Beneficiaryin excess of the amount then outstandingunder the Note at the time such
MiscellaneousProceeds arereceived.
8.2.Notice.Ifany condemnation or casualtyproceedingisfiled,the Grantor shallpromptly
notifytheBeneficiaryinwriting,and theGrantorshallpromptly takesuch stepsasmay be
necessarytodefend theactionand obtaintheaward.Grantor may be thenominal partyin
such proceeding,but Beneficiaryshallbe entitledto participatein the proceedingand to
be representedintheproceedingby counselof itsown choice,and Grantorwilldeliveror
cause to be deliveredto Beneficiarysuch instrumentsand documentation as may be
requestedby theBeneficiaryfrom time-to-timetopermit such participation.
8.3.Property Damage.
8.3.1.Ifthe Real Propertyisdamaged,such MiscellaneousProceeds shallbe appliedto
the restorationor repairof the Property,and Beneficiary'ssecurityshallnot be
lessened.During such repairand restorationperiod,Beneficiaryshallhave therightto
hold the MiscellaneousProceeds untilBeneficiaryhas had an opportunityto inspect
such Real Propertytoensurethework hasbeen completed toBeneficiary'ssatisfaction,
provided thatsuch inspectionshallbe undertakenpromptly.Beneficiarymay pay for
therepairsand restorationina singledisbursementor ina seriesofprogresspayments
as thework iscompleted.Unless an agreement ismade in writingor applicablelaw
requiresinterestto be paid on such MiscellaneousProceeds,Beneficiaryshallnot be
requiredtopay Grantorany interestorearningson suchMiscellaneousProceeds.Ifthe
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restorationor repairisnot economicallyfeasibleor theBeneficiary'ssecuritywould
be lessened,theMiscellaneousProceeds shallbe appliedtothesums securedby this
Deed of Trust,whether ornot thendue,with theexcess,ifany,paid toGrantor.Such
MiscellaneousProceeds shallbe appliedinthefollowingorder:
(a)Intheevent of a totaltaking,destruction,or lossinvalue of theReal Property,
theMiscellaneousProceeds shallbe appliedto thesums securedby thisDeed
ofTrust,whether or notthendue,with theexcess,ifany,paid toGrantor.
(b)Intheeventof a partialtaking,destruction,or lossinvalueoftheReal Property
in which the fairmarket value of the Real Property immediately before the
partialtaking,destruction,orlossinvalueisequaltoorgreaterthantheamount
ofthesums due under theNote,unlessGrantorand Beneficiaryotherwiseagree
inwriting,thesums due under theNote shallbe reduced by the amount of the
Miscellaneous Proceeds multipliedby the following fraction:(a)the total
amount of thesums securedimmediatelybeforethepartialtaking,destruction,
or loss in value dividedby (b)the fairmarket value of the Real Property
immediatelybeforethepartialtaking,destruction,or lossinvalue.Any excess,
ifany,shallbe paid toGrantor.
(c)In theeventof a partialtaking,destruction,or lossinvalueof theReal Property
in which the fairmarket value of the Real Property immediately before the
partialtaking,destruction,or lossinvalue islessthan theamount of the sums
due under theNote immediately beforethe partialtaking,destruction,or loss
in value,unless Grantor and Beneficiaryotherwise agree in writing,the
Miscellaneous Proceeds shallbe appliedto the sums due under the Note,
whether ornot thesums arethen due.
8.4.Abandonment.If the Real Propertyis abandoned by Grantor,or if,afternoticeby
Beneficiaryto Grantor thattheOpposing Party (definedherein)offerstomake an award
tosettlea claimfordamages,GrantorfailstorespondtoBeneficiarywithinthirty(30)days
afterthe date the notice is given,Beneficiaryis authorizedto collectand apply the
Miscellaneous Proceeds eitherto restorationor repairof the Property or to the sums
securedby thisDeed ofTrust,whether ornotthendue."Opposing Party"means thethird
partythatowes Grantor MiscellaneousProceeds orthe partyagainstwhom Grantorhas a
rightof actioninregardtoMiscellaneousProceeds.
9.WARRANTY.
9.1.Title.Grantor warrantsthat:(i)Grantorholds good and marketabletitleof recordto the
Real Propertyinfeesimple,freeand clearof allliensand encumbrances otherthan those
setforthin the Real Propertydescriptionor in any titleinsurancepolicy,titlereport,or
finaltitleopinionissuedinfavorof,and acceptedby,Beneficiaryinconnectionwith this
Deed of Trust,and (ii)Grantor has the fullright,power,and authorityto execute and
deliverthisDeed of TrusttotheTrusteeforthebenefitof theBeneficiary.
9.2.Defense of Title.SubjecttotheexceptioninSection9.1above,Grantorwarrantsand will
foreverdefend thetitletotheReal Propertyagainstthelawfulclaimsof allpersons.In the
eventany actionor proceedingiscommenced thatquestionsGrantor'stitleor theinterest
of Beneficiaryunder thisDeed of Trust,Grantor shalldefend the actionat Grantor's
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expense.Grantor may be the nominal partyin such proceeding,but Beneficiaryshallbe
entitledtoparticipateintheproceedingand tobe representedintheproceedingby counsel
of Beneficiary'sown choice,and Grantor will deliver,or cause to be delivered,to
Beneficiarysuch instrumentsas Beneficiarymay requestfrom time totime topermitsuch
participation.
10.DEFAULT.
10.1.Event ofDefault.At Beneficiary'soption,Grantorwillbe in defaultunder thisDeed of
Trustifany of thefollowingeventsoccur (eacha "Default"),provided thatGrantorhas
not cured such defaultwithinten (10)businessdays afterreceivingwrittennoticefrom
Beneficiaryof such default:
(a)ifGrantor failstomaintainany of the insurancecoveragesas requiredby this
Deed ofTrust;
(b)ifallor any partof or interestintheReal Propertyissoldortransferredwithout
the Beneficiary'spriorwrittenconsent,Beneficiarymay requireimmediate
payment infullof allsums securedby thisDeed ofTrust;
(c)ifGrantor failsto make any payment,includingbut not limitedto Payments
and payment of taxesor insurance,or any otherpayment necessarytoprevent
filingor effectdischargeof any lien,when due under thisDeed of Trustor the
Note;
(d)if Grantor failsto fulfillany covenant,condition,or obligationowed to
Beneficiaryor failstoperform promptly and strictlyinthemanner providedin
thisDeed of Trust,or any otheragreement relatedtotheLoan Documents;
(e)the deathor insolvencyof Grantor,theappointment of a receiverforany part
of Grantor'sproperty,any assignmentforthebenefitof Grantor'screditors,or
the commencement of any bankruptcy or insolvencyproceedingby or against
Grantor,or commence of foreclosureor forfeitureproceedings,whether by
judicialproceeding,self-help,repossessionor any other method,by any
creditorof Grantor or by any governmental agency againstany property
securingthe indebtedness;provided however,thisevent of Default shallnot
apply if there is a good faithdispute by Grantor as to the validityor
reasonablenessof the claim which isthe basis of the creditoror forfeiture
proceeding,withinten (10)days of itscommencement,and ifGrantor gives
Beneficiarywrittennoticeof thecreditoror forfeitureproceedingand deposits
with Beneficiarymonies or a surety bond for the creditoror forfeiture
proceeding,inan amount determined by Beneficiaryin itssolediscretion,as
being an adequatereserveor bond forthedispute;
(f)ifGrantor defaultsunder any loan,extensionof credit,securityagreement,
purchase or salesagreement,or any otheragreement,in favor of any other
creditoror person thatmay materiallyaffectany of Grantor'spropertyor
Grantor's abilityto repay the indebtedness or perform their respective
obligationsunder theLoan Documents;
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(g)ifany warranty,representationor statementmade or furnishedto Beneficiary
by Grantor or on Grantor'sbehalf under thisDeed of Trust or the Loan
Documents isfalseor misleadingin any materialrespect,eithernow or atthe
time made or furnishedor becomes falseor misleadingatany time thereafter.
Material representationsinclude,but are not limited to,representations
concerningGrantor'soccupancy oftheReal PropertyastheGrantor'sprincipal
residence,financialabilitytoperfonn under theterms of theLoan Documents;
(h)ifthisDeed of Trustceasestobe in fullforceand effect(includingfailureof
any collateraldocument tocreatea validand perfectedsecurityinterestor lien)
atany time and forany reason;or
(i)a material adverse change occurs in Grantor's financialcondition or
Beneficiaryreasonably believesGrantor's payment or performance of the
obligationsunder theLoan Documents isimpaired.
10.2.Remedies.Upon theoccurrenceofany Default,BeneficiaryorTrusteemay exerciseany
one or more ofthe followingrightsand remedies:
(a)to accelerateand declare,without notice to Grantor,the entire Note
immediatelydue and payable,includingany prepayment penaltywhich Grantor
would be requiredtopay;
(b)to forecloseby noticeand sale(asto theTrustee)or the rightto forecloseby
judicialforeclosure(asto the Beneficiary),in eithercase in accordance with
and tothefullextentprovidedby applicablelaw;
(c)totakepossessionofand manage,withoutnoticetoGrantor,theReal Property
and collectany rents,includingamounts pastdue and unpaid,and applythenet
proceeds,over and above Beneficiary'scosts,againsttheindebtedness;
(d)tohave a receiverappointed(withor withoutbond,ifpermittedby applicable
law)to takepossessionof allor any partof theReal Property,with thepower
to protectand preserve the Real Property,to operate the Real Property
precedingforeclosureor sale,and tocollectany rentsfrom theReal Property
and apply theproceeds,over and above thecostofthereceivership,againstthe
indebtedness;and
(e)Trustee or Beneficiaryshallhave any otherrightor remedy provided in this
Deed of Trustor the Secured PromissoryNote or availableatlaw or inequity,
and alltherightsof securedpartiesunder theUCC.
10.3.Remedies Cumulative.The rightsand remedies setforthin Section10.2above willbe
cumulative and may be exercisedalone or together.An electionof any one remedy will
not bar theuse of any otherremedy.IfBeneficiarydecidesto spend money or toperform
any ofGrantor'sobligationsunder thisDeed of Trust,afterGrantor'sfailuretodo so,that
decisionby Beneficiarywillnot affectBeneficiary'srightto declareGrantor in Default
and to exerciseBeneficiary'sremedies.
10.4.Tenancy at Sufferance.IfGrantorremains inpossessionoftheReal Propertyafterthe
Real Property is sold as provided above or Beneficiaryotherwisebecomes entitledto
possessionof theReal Propertyupon Defaultof Grantor,Grantorshallbecome a tenantat
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sufferanceof Beneficiaryor the purchaser of the Property and shall,at Beneficiary's
option,either(i)pay a reasonablerentalfortheuse of theReal Property,or (ii)vacatethe
Real Propertyimmediatelyupon thedemand of Beneficiary.
10.5.Sale of the Property.To theextentpermittedby applicablelaw,Grantorhereby waives
any and allrightsto have the Real Property marshaled.In exercisingitsrightsand
remedies,theTrusteeor Beneficiaryshallbe freetosellallorany partoftheRealProperty
togetheror separately,inone saleorby separatesales.The Beneficiaryshallbe entitledto
bid atany publicsaleon allor any portionof theReal Property.
10.6.Non-Waiver.Extension of thetime forpayment or modificationof amortizationof the
sums securedby thisDeed ofTrust,grantedby BeneficiarytoGrantor,orany successorin
interestof Grantor,shallnot operatetoreleasetheliabilityof Grantoror any successorsin
interestof Grantor.Beneficiaryshallnotbe requiredtocommence proceedingsagainstany
successorininterestofGrantorortorefusetoextendtimeforpayment orotherwisemodify
amortizationofthesums securedby thisDeed of Trustby reasonof any demand made by
the originalGrantor or any successorsin interestof Grantor.Any forbearanceby
Beneficiaryinexercisingany rightor remedy,including,withoutlimitation,Beneficiary's
acceptanceof payments from thirdpersons,entities,orsuccessorsininterestofGrantoror
inamounts lessthantheamount thendue,shallnotbe a waiver of orprecludetheexercise
of any rightor remedy.The enteringupon and takingpossessionof theReal Property,the
collectionof such rents,issues,and profits,or the proceeds of fireor other insurance
policies,or compensation or awards forany takingor damage of saidReal Property,and
theapplicationor releasethereof,shallnot cureor waive any defaultor noticeof default
hereunderor invalidateany actdone pursuanttosuch notice
10.7.Attorneys'Fees.Ifa partyinstitutesany suitor actiontoenforceany of theterms ofthis
Deed of Trust,theprevailingpartyshallbe entitledtorecoversuch sum as the courtmay
adjudge reasonableas attorneys'feesat trialand upon any appeal.Whether or not any
courtactionisinvolved,and to the extentnot prohibitedby law,allreasonableexpenses
BeneficiaryincursthatinBeneficiary'sopinionarenecessaryatany time fortheprotection
of itsinterestor the enforcement of itsrightsshallbecome a partof the Note payable on
demand and shallbearinterestattheNote ratefrom thedateoftheexpenditureuntilrepaid.
Expenses covered by thisparagraph include,withoutlimitationbut subjectto any limits
under applicablelaw,attorneys'feesand legalexpenses,any anticipatedpost-judgment
collectionservices,the cost of searching records,obtaining titlereports (including
foreclosurereports),surveyors'reports,and appraisalfees,titleinsurance,and feesforthe
Trustee,totheextentpermittedby applicablelaw.The losingpartyalsowillpay any court
costs,inadditionto allothersums providedby law.
11.RECONVEYANCE.
11.1.Upon payment of allindebtednesssecuredby thisDeed of Trust,theBeneficiaryshall
request,and the TrusteeshallreleasethisDeed of Trust.TrusteeshallreleasethisDeed of
Trustwithoutfurtherinquiryor liabilityas setforthintheRequest forFullReconveyance
attachedheretoas ExhibitA.
12.SUCCESSOR IN TRUST.
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12.1.Beneficiary,at itsoption,may from time to time remove the Trustee and appoint a
successortrusteetoany Trusteeappointedhereunder.Without theconveyance oftheReal
Property,the successortrusteeshallsucceed to allthe title,power,and dutiesconferred
upon theTrusteehereinand by applicablelaw.
13.MISCELLANEOUS.
13.1.Notice.Allnoticesrequiredorpermittedunder thisDeed ofTrustshallbe inwritingand
shallbe deemed duly given if(a)sentby overnightdeliveryusing a nationallyrecognized
overnightcourier,in which case noticeshallbe deemed deliveredone businessday after
depositwith such courier,(b)sent by personaldelivery,in which case noticeshallbe
deemed deliveredupon receipt,or(c)sentby email,inwhich casenoticeshallbe deemed
deliveredupon receiptofconfirmationof transmissionof such email notice.
13.2.Governing Law;Jurisdiction.
13.2.1.This Deed ofTrustand any claim,controversy,dispute,or causeofaction(whether
in contract,tort,or otherwise)based upon,arisingout of,or relatingto thisDeed of
Trust and the transactionscontemplatedhereby shallbe governed by the laws of the
Stateof Montana.
13.2.2.The partieshereby irrevocablyand unconditionally(i)agree thatany action,suit,
orproceedingarisingfrom orrelatingtothisDeed of Trustmay be broughtinthecourts
oftheStateof Montana sittinginGallatinCounty,and (ii)submit tothejurisdictionof
such courtsinany such action,suit,orproceeding.
13.3.Waiver and Amendment.ThisDeed ofTrustshallnotbe waived,modified,oramended
exceptby a writteninstrumentsignedby theBeneficiaryand theGrantor.Any waiver or
modificationof,or amendment to,the terms of thisDeed of Trustshallbe effectiveonly
inthespecificinstanceand forthespecificpurpose given.
13.4.Time isoftheEssence.Time isoftheessenceregardingtheobligationsunder thisNote.
13.5.Successors and Assigns.This Deed of Trust may be assignedor transferredby the
Beneficiaryupon writtennoticeto the Grantor.Grantor may not assignor transferthis
Deed of Trust,or any of itsrightshereunder,withoutpriorwrittenconsentofBeneficiary,
and Beneficiaryshallhave the rightsset out in Section 10.2 if Grantor makes any
assignmentor transferwithoutsuch consent.Notwithstandingtheforegoing,thisDeed of
Trustshallinureto the benefitof,and be binding upon,the partiesand theirpermitted
successorsand assigns.
13.6.Homestead Exemption.Grantorhereby releasesand waives allrightsand benefitsof
thehomestead exemption laws of theStateof Montana as to allindebtednesssecuredby
thisDeed of Trust.
13.7.Severability.If any term or provisionof thisDeed of Trust is invalid,illegal,or
unenforceablein any jurisdiction,such invalidity,illegality,or unenforceabilityshallnot
affectany other term or provision of this Deed of Trust,or invalidateor render
unenforceablesuch term or provisioninany otherjurisdiction.Upon such determination
thatany term or other provisionisinvalid,illegal,or unenforceable,the Partiesshall
negotiateingood faithtomodify thisDeed of Trustso astoaffecttheoriginalintentof the
partiesas closelyas possibleina mutuallyacceptablemanner inorderthatthetransactions
104966252.7
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contemplated hereby be consummated as originallycontemplated to the greatestextent
possible.
104966252.7
2855728 Page 13 of 15 07/25/2025 01:57:56 PM
IN WITNESS WHEREOF,the Grantoracknowledges having read theprovisionsof thisDeed
ofTrustand agreestotheterms herein.
GRANTOR:
BOZEMAN CLASSIC PICKLEBALL CLUB,
LLC,a Montana limitedliabilitycompany
By:
Name:Elli arcille
Title:2
STATE OF MONTANA )
COUNTY OF bri h A
On this day of ÙQ \,2025,beforeme,theundersigned,a Notary
PublicfortheStateof \h½M0 ,personallyappeared,ElliotMarcilleknown to me to
be thebmQ /of Bozeman ClassicPickleballClub,LLC,a Montana limitedliability
company and tlyep rson whose name issubscribd tothewit m strumentand acknowledged to
me thathe exec theinstrument.
(SEAL)Notary Publicforthe Stateof
My commission expires:
(PrintedName)
oum*+.KRIS DEASON
.pEA .taryPublic
oTAR/fortheStateofMontana
Residingat:*SEA *5 sozeman,Montana
My CommissionExpires:
August12,2026
104966252.7
2855728 Page 14 of 15 07/25/2025 01:57:56 PM
BENEFICIARY:
DANGEROUS DONKEY HOLDINGS,LLC a
Montana limitedliabilitycompany
Name:Dom \ò O \55ca
Title:W\
STATE OF MONTANA )
:ss
COUNTY OF GALLATIN )
On this day of u \ý ,2025,beforeme theundersigned,a Notary
PublicfortheState4fMontana,persoAallyappeared,T)omk)[')\½00known to me to be the
authorizedsignatoryof Dangerous Donkey Holdings,LLC and the person whose name is
subscribedto the within instrument and acknowledged to me that he executed the within
instrung for and on behalfof Dangerous Donkey Holdings¼LLC.
(SEAL)Notary Publicfor he Stateof
My commission expires:
a KRIS DEASON (PrintedName)
.··.'t5 r,taryPublic
oTAR/4/.fortheStateofMontana
-...Resiclingat:
opSEAL.r3ozernan,Montana
My ComrnissionExplres:
½o o 'August12,2026
104966252.7
2855728 Page 15 of 15 07/25/2025 01:57:56 PM
EXHIBIT A
REQUEST FOR FULL RECONVEYANCE
TO:
DATE:
The undersigned,Dangerous Donkey Holdings,LLC,isthelegalowner and holderof a noteand
allotherindebtednesssecuredby a deed of trustdatedJuly25,2025 and recordedon ,2025,
as Document No.in the officeof the County Clerk and Recorder of GallatinCounty,
Montana,wherein ElliotMarcillewas Grantor,SecurityTitleCompany of Montana,was Trustee
and Dangerous Donkey Holdings,LLC was Beneficiary.Said note togetherwith allother
indebtednesssecuredby saidtrustindenturehas been fullypaid and satisfiedand you are hereby
requestedand directedon payment toyou of any sums owing toyou under the terms of saidtrust
indenturetocancelsaidnoteabove mentioned and allotherevidencesof indebtednesssecuredby
saidtrustindenturedeliveredto you herewith,togetherwith saidtrustindentureand toreconvey
withoutwarrantyto the partiesdesignatedby the terms of said trustindenture,the following
describedrealproperty,to-wit:
GALLATIN PARK SUB,S36,T01 S,R05 E,BLOCK 2,Lot 12,ACRES 2.01,
PLAT J-300 PLUS OPEN SPACE
DANGEROUS DONKEY HOLDINGS,LLC a
Montana limitedliabilitycompany
Name:
Title:
STATE OF MONTANA )
:ss
COUNTY OF GALLATIN )
On this____day of ,2025,beforeme theundersigned,a Notary
Publicforthe Stateof Montana,personallyappeared,,known to me tobe the
authorizedsignatoryof Dangerous Donkey Holdings,LLC and the person whose name is
subscribedto the within instrument and acknowledged to me that he executed the within
instrumentforand on behalfofDangerous Donkey Holdings,LLC.
(SEAL)Notary PublicfortheStateof
My commission expires:
(PrintedName)
104966252.7
2802923
semÛa -G u o
||||||\1||||RIRI1||||||||||\ll\|||||1||||||||11HII1||111\1|M I
Afterrecordingpleasereturnto:
DonaldOlsson
PO Box1002S
Bozeman,MT 59719
QUITCLAIM DEED
FOR ADEQUATE CONSIDERATION,LONGSHOT EQUITY,LLC,asTransferor,doesherebyconvey,remise,releaseand
foreverquitclaimuritoDANGEROUS DONKEY HOLDINGS,LLCofPO Box10025,Bozeman,MT 59719,asTransferee,
thefollowingdescribedrealpropertylocatedinGallatinCounty,Montana to-wit:
GALLATINPARK SUB,S36,T01 S,R05E,BLOCK 2,Lot12,ACRES2.01,PLATJ-300PLUSOPEN SPACE
TOGETHER WITH allthetenements,hereditaments,and appurtenancestheretobelonging,and thereversionand
reversions,remainderand remainders,rents,issues,and profitsthereof;andpossession,claimanddemand
whatsoeveraswellinlawasinequityoftheTransferor.
TO HAVE AND TO HOLD,untothesaidTransfereeitssuccessorsandassignsforever.
DATED this dayofJune2023.
DonaldOlsson-Owner LongshotEquity,LLC Da -otEquity,LLC
STATEOF MONTANA )
:ss.
CountyofGallatin )
On this dayofJune2023,beforeme,a NotaryPublicinand forsaidState,personallyappearedDONALD
OLSSON,owner LongshotEquity,LLC,known tome tobe thepersonwhose name issubscribedtothewithin
instrumentand acknowledgedtome thatsheexecutedthesame.
.._C j Ab
HEATHERDEISS
NotaryPublicforthe PrintedName:T
Í,Notarial*StateofMontana
Seal ResidingatBELGRADE,MT NotaryPublicfortheStateofMontanaMyCommissionExpires
September11,2025 Residingat TM ,Montana
My commissionexpires:
STATEOF MONTANA )
:ss.
CountyofGallatin )
On this 7 dayofJune2023,beforeme,a NotaryPublicinandforsaidState,personallyappearedDANIEL
BARNES,owner LongshotEquity,LLC,known tome tobethepersonwhose name issubscribedtothewithin
instrumentandacknowledgedtome thatsheexecutedthesame.
NotaryPubicfo the PrintedName:
Í$fNotaria StateofMontana
\Seal ResidingatBELGRADE,MT NotaryPublicfortheStateofMontana
My CommissionExpires ,nseptember11,2025 Residingat CFYÚ ,Montana
My commissionexpires:/l')hòr-