Common use of TRANSFER OF RIGHTS IN THE PROPERTY Clause in Contracts

TRANSFER OF RIGHTS IN THE PROPERTY. This Security Instrument secures to Lender: (a) the Secured Obligation; and (b) the performance of Borrower’s and Grantor’s covenants and agreements under the Agreement and this Security Instrument, respectively. For this purpose, Grantor does hereby mortgage, grant and convey to Lender, the following described property: Grantor’s right, title and interest in and to the unmined or unprocessed sand representing tonnage equivalent to the then outstanding amount of unmined or unprocessed sand owing by Borrower as the Secured Obligation (collectively, the “Secured Sand”) located at that certain real property situated in MONROE COUNTY, WISCONSIN and more particularly described on Exhibit A attached hereto (the “Land”); TOGETHER WITH all proceeds and products of the Secured Sand (collectively, the “Proceeds”). All replacements of and additions to such Proceeds shall also be covered by this Security Instrument. The Secured Sand and the Proceeds are sometimes hereinafter collectively referred to as the “Property”. As a point of clarity, this Security Instrument is not conveying to Lender, and the Property does not include, any of Grantor’s interests in the Land or any other real property rights other than the Secured Sand thereon or thereunder. GRANTOR COVENANTS that Grantor is lawfully seized of the Property hereby conveyed and has the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for encumbrances of record and encumbrances depicted on that certain survey of the Land by Vierbicher Surveyors, dated December 10, 2010 (collectively, the “Permitted Encumbrances”). Grantor warrants and will defend generally the title to the Property against all claims and demands, subject to Permitted Encumbrances. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by jurisdiction to constitute a uniform security instrument covering real property.