security agreement by DYT02z

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									                                  Security Agreement

1.    Names. This Security Agreement is between __________________________,
Borrower, and _________________________, Lender.

2.      Grant of Security Interest. Borrower grants to Lender a continuing security
interest in the following property (the "Secured Property"), which consists of:

[X]     The vehicle being sold to the Borrower and in possession of the Borrower is
identified as a:

Vehicle make: _____________________

Vehicle Year: ______________________

Vehicle Identification Number: ___________________________________,

as listed in attached Attachment 1 of this security agreement.

3.      Security for Promissory Note. Borrower is granting this security interest to
secure performance of a promissory note dated ______________________ that Borrower
executed in favor of Lender. The promissory note obligates Borrower to pay Lender
________________________________ with interest at the rate of _____% a year, on the
terms stated in the promissory note.

4.    Use and Care of the Secured Property. Until the promissory note is fully paid,
Borrower agrees to:

   A. Keep full coverage insurance on the Secured Property at all times, making Lender
   the payee and beneficiary of all interest in all claims and never driving the vehicle
   outside the boundaries of the United States of America.

    B. Deliver to Lender a copy of the insurance policy insuring the Secured Property
   and provide monthly proof to the Lender or the Lender’s assignee that Borrower has
   paid the premiums on the policy.

   C. Maintain the Secured Property in good repair.

   D. Not sell, transfer or release the Secured Property unless Lender consents and
   releases all claim to the security in question.

   E. Pay all related taxes and fees on the Secured Property as they become due.

   F. Allow Lender to inspect the Secured Property at any reasonable time.
5.      Borrower's Default. If Borrower is more than ___ days late in making any
payment required by the promissory note or if Borrower fails to correct any violations of
paragraph 5 of this Security Agreement within 24 hours of receiving written or verbal
notice from Lender, Borrower will be in default.

6.     Lender's Rights. If Borrower is in default, Lender may exercise the remedies
contained in the Uniform Commercial Code for the State of _____________________
and any other remedies legally available to Lender. Lender may, for example:

     A. Remove the Secured Property from the place where it is then located.

     B. Require Borrower to make the Secured Property available to Lender at a place
     designated by Lender that is reasonably convenient to Borrower and Lender.

     C. Sell, lease or otherwise dispose of the Secured Property.

7.      Notice to Borrower

Lender will give Borrower at least ten days notice of when and where the Secured
Property will be sold, leased or otherwise disposed of. Any notice required by this
paragraph or by statute will be deemed given to Borrower if sent by first-class mail to
Borrower at the following address:

     ________________________________________________________________

8.     Entire Agreement. This is the entire agreement between the parties. It replaces
and supersedes any and all oral agreements between the parties, as well as any prior
writings.

9.     Successors and Assignees. This agreement binds and benefits the heirs,
successors and assignees of the Lender. This agreement cannot be assigned by the
Borrower without the written permission of the Lender.

10.    Governing Law. This agreement will be governed by and construed in
accordance with the laws of the state of _____________________.

11. Counterparts. The parties may sign several identical counterparts of this agreement.
Any fully signed counterpart shall be treated as an original.

12.     Modification. This agreement may be modified only by a writing signed by the
party against whom such modification is sought to be enforced.

13.    Waiver. If one party waives any term or provision of this agreement at any time,
that waiver will only be effective for the specific instance and specific purpose for which
the waiver was given. If either party fails to exercise or delays exercising any of its rights
or remedies under this agreement, that party retains the right to enforce that term or
provision at a later time.

14.     Severability. If any court determines that any provision of this agreement is
invalid or unenforceable, any invalidity or unenforceability will affect only that provision
and will not make any other provision of this agreement invalid or unenforceable and
such provision shall be modified, amended or limited only to the extent necessary to
render it valid and enforceable.

Dated: ________________________

LENDER

Name: ___________________ , a (an) ___________________

By: __________________________

Printed Name: ___________________________________

Address: _________________________________________



BORROWER

Name(s) of Borrower(s): _______________________________________________

By: ________________________

Printed Name: ___________________

Address: _____________________________________________________

By: ________________________

Printed Name: _________________________

Address: ______________________________________________________

								
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