Schedule of Required Clauses

For Attachment to DUCA Flex Mortgages/Charges

______

SCHEDULE

Except as otherwise defined in this Schedule, all terms that are defined in the Standard Charge Terms referred to in the Provisions of the attached Charge of Land have the same meaning when used in this Schedule.

Loans

DUCA Financial Services Credit Union Ltd. has agreed to advance the Principal Amount by way of the following loans to you in an aggregate amount equal to the Principal Amount:

a) “First Loan” in the amount of $

b) “Second Loan” in the amount of $

c) “Third Loan” in the amount of $

d) “Fourth Loan” in the amount of $

Payment Provisions

First Loan

Interest is payable from the Interest Adjustment Date to the Maturity Date of , 20, on the

Outstanding balance of the First Loan at the rate of % per annum, calculated half-yearly, not in

advance.

The balance outstanding of the First Loan and accrued interest thereon will be payable in monthly

installments of $ on the day of each month commencing , 20 to the Maturity Date stated above, on which date, the balance of the First Loan and accrued interest thereon become due and payable.

Second Loan

Interest is payable from the Interest Adjustment Date to the Maturity Date of , 20, on the

Outstanding balance of the Second Loan at the rate of % per annum, calculated half-yearly, not in advance.

The balance outstanding of the Second Loan and accrued interest thereon will be payable in monthly

installments of $ on the day of each month commencing , 20 to the Maturity Date stated above, on which date, the balance of the Second Loan and accrued interest thereon become due and payable.

Third Loan

Interest is payable from the Interest Adjustment Date to the Maturity Date of , 20, on the

Outstanding balance of the Third Loan at the rate of % per annum, calculated half-yearly, not in advance.

The balance outstanding of the Third Loan and accrued interest thereon will be payable in monthly

installments of $ on the day of each month commencing , 20 to the Maturity Date stated above, on which date, the balance of the Third Loan and accrued interest thereon become due and payable.

Fourth Loan

Interest is payable from the Interest Adjustment Date, on the outstanding balance of the Fourth Loan at the rate of Bank of Nova Scotia Prime plus % per annum, calculated monthly, not in advance.

The balance outstanding of the Fourth Loan and accrued interest thereon will be payable in monthly

installments of $ on the 15th day of each month commencing , 20, Due on Demand, on which date, the balance of the Fourth Loan and accrued interest thereon become due and payable.

WHEREAS the Chargor/Mortgagor is a customer of the Chargee/Mortgagee. If more than one person is named on the Charge/Mortgage, the term Chargor/Mortgagor means all or any one or more of them and the liabilities of the Chargor/Mortgagor (as hereinafter defined) means the liabilities of all and any one or more of them including any Guarantors, to the Chargee/Mortgagee.

PROVIDED that the within Charge/Mortgage shall fall due and be payable upon the sale or transfer of the within lands together with interest as provided in the above recited prepayment privilege. Provided that this clause shall be inapplicable where the transferee or purchaser has been approved by the Chargee/Mortgagee to assume the Charge/Mortgage herein and has executed all necessary documentation in connection therewith, including credit information, application to assume, membership application, assumption agreement, and payment of administrative fee.

PROVIDED FURTHER that the terms of this Charge/Mortgage may be amended or extended from time to time by mutual agreement between the Chargor/Mortgagor and the Chargee/Mortgagee and the Chargor/Mortgagor hereby further covenants and agrees that notwithstanding that the Chargor/Mortgagor has disposed of his interest in the lands hereby secured, the Chargor/Mortgagor will remain liable as a principal debtor and not as a surety for the observance of all the terms and provisions hereof and will, in all matters pertaining to this Charge/Mortgage, well and truly do, observe, fulfill and keep all and singular the covenants, provisoes, conditions, agreements and stipulations in this Charge/Mortgage or any amendment of extension thereof, notwithstanding the giving of time for the payment of the Charge/Mortgage or the varying of the terms of the payment thereof or the rate of interest thereon or any indulgence by the Chargee/Mortgagee to the Chargor/Mortgagor and whether or not such extension or amending agreement shall be registered or not, the Chargor/Mortgagor, his successors and assigns or anyone claiming through or under him, shall be bound thereby.

THIS CHARGE/MORTGAGE is not being given with the intention to secure the financing of any alteration, addition or repair to any building on the property or for any construction, erection or installation on the property.

The Chargor/Mortgagor covenants and agrees that payment on account of the mortgage herein shall be payable and are to be received by the Chargee/Mortgagee on or before the hour of 2:00 o'clock p.m. on the due date, and any payment received after such time shall be credited only to the Charge/Mortgage account on the business date next following the due date.

PROVIDED ALSO that the Chargor/Mortgagor shall make arrangements with the Chargee/Mortgagee for the automatic deduction of the Charge/Mortgage payments.

The Chargor/Mortgagor agrees to pay to the Chargee/Mortgagee its administration and/or servicing fees for any missed or late payments and for processing each “NSF” cheque or other returned payment. Provided that if any cheque or other payment is returned, any replacement payment shall be by certified cheque or bank draft. The Chargor/Mortgagor further agrees to pay to the Chargee/Mortgagee its servicing fees for preparation of any information or discharge statement.

PROVIDED that the Chargor/Mortgagor is not in default under this Charge/Mortgage, the Chargor/Mortgagor may from time to time request the Chargee/Mortgagee to re-advance to the Chargor/Mortgagor all or a portion of the amount advanced to the Chargor/Mortgagor pursuant to this Charge/Mortgage and all previously advanced and repaid (each such re-advance being herein referred to as a "re-advance”). The Chargee/Mortgagee shall be entitled, at its option, but without any obligation, to make one or more re-advances and the Chargee/Mortgagee may at any time elect to discontinue making re-advances.

Following Provisions Do Not Apply on

Co-Ops or Co-Ownerships

The Chargor/Mortgagor and the Chargee/Mortgagee agree that this Charge/Mortgage shall be continuing security to the Chargee/Mortgagee for payment of all amounts stated to be secured hereby, including all re-advances, if any, notwithstanding any fluctuation or change in the amounts secured by this Charge/Mortgage or that there is no outstanding amounts at any particular time; and, the security created by this Charge/Mortgage shall continue, and shall not be redeemed or deemed to be redeemed or to cease to operate or to become void as a result of any such circumstances.

The Chargor/Mortgagor hereby charges/mortgages the Lands to the Chargee/Mortgagee as security for all amounts and obligations to be paid and performed pursuant to the terms of the Charge/Mortgage and as security for all re-advances and all interest thereon.

PROVIDED ALSO that the Chargor/Mortgagor shall have the privilege of increasing his payments up to an amount equal to twice the regular payment, on any payment date, without notice or bonus.

Following Provisions Apply Only on

One Year Closed Option

PROVIDED that should the Chargor/Mortgagor wish to prepay the principal sum secured by this Charge/Mortgage, he may do so on any payment date, upon payment of the greater of a bonus of two month's interest or the interest differential between the rate being charged and DUCA's current mortgage rate for a term equal to the remaining term on the Charge/Mortgage.

PROVIDED ALSO that the Chargor/Mortgagor shall have the privilege of prepaying an amount of principal not to exceed 20% of the principal sum hereby secured in any Charge/Mortgage year, on any payment date, without notice or bonus. This prepayment privilege is not applicable and not permitted if the entire principal outstanding, at any time, is being prepaid or transferred to another third party whether a recognized financial institution, an individual or otherwise.

Following Provisions Apply Only on

Two to Seven Year Closed Option

PROVIDED that should the Chargor/Mortgagor wish to prepay the principal sum secured by this Charge/Mortgage, he may do so on any payment date, upon payment of the greater of a bonus of three month's interest or the interest differential between the rate being charged and DUCA's current mortgage rate for a term equal to the remaining term on the Charge/Mortgage.

Following Provisions Apply Only on

Six Month Closed Option

Following Provisions Apply Only on

Line of Credit Option

PROVIDED that the Chargor/Mortgagor shall have the privilege of prepaying the whole of the principal sum hereby secured at any time, or any part of the principal sum hereby secured at any of the regular payment dates, without notice or bonus.

AND WHEREAS the Chargor/Mortgagor has at the request of the Chargee/Mortgagee agreed to give this Charge/Mortgage as a continuing collateral security for payment and satisfaction to the Chargee/Mortgagee of all obligations, debts and liabilities, present or future, direct or indirect, absolute or contingent, matured or not, extended or renewed at any time owing by the Chargor/Mortgagor to the Chargee/Mortgagee or remaining unpaid by the Chargor/Mortgagor to the Chargee/Mortgagee heretofore or hereafter incurred or arising and whether incurred by or arising from agreement or dealings between the Chargee/Mortgagee and the Chargor/Mortgagor or from any agreement or dealings with any third party by which the Chargee/Mortgagee may be or become in any manner whatsoever a creditor of the Chargor/Mortgagor or however otherwise incurred or arising anywhere within or outside Canada and whether the Chargor/Mortgagor be bound alone or with another or others and whether as principal or surety and any ultimate unpaid balance thereof and whether the same is from time to time reduced and thereafter increased or entirely extinguished and thereafter incurred again (such obligations, debts, and liabilities being hereinafter called the "liabilities"), but it being agreed that this Charge/Mortgage at any one time will secure only that portion of the aggregate principal component of the liabilities outstanding at such time which does not exceed the sum indicated on the Charge/Mortgage together with any interest or compound interest accrued on the principal at such time at the rate hereinafter set forth.

FOR THE PURPOSES hereof, the "Prime Rate" shall mean the annual rate of interest announced from time to time by the Bank of Nova Scotia (the "Bank") at its head office at Toronto as a reference rate then in effect for determining interest rates on Canadian dollar commercial loans in Canada (the "Prime Rate").

PROVIDED THIS CHARGE/MORTGAGE to be void upon the Chargor/Mortgagor, his heirs, executors, administrators, successors or assigns or any of them, paying on demand to the Chargee/Mortgagee, its successors or assigns, the ultimate balance of the liabilities and all promissory notes, bills of exchange and any other instruments whatsoever from time to time representing the liabilities or any part thereof, the principal component of such liabilities not exceeding the sum indicated on the Charge/Mortgage together with interest thereon at a rate equal to the Prime Rate per annum in effect from time to time plus the interest rate above prime per annum indicated on the Mortgage Loan Commitment and/or on the face of the Charge/Mortgage, calculated and payable monthly as well after as before maturity, default and judgement, with interest on overdue interest at the same rate as on the principal sum, and all other amounts payable by the Chargor/Mortgagor hereunder and paying any taxes, rates, levies, charges or assessments upon the said lands no matter by whom or what authority imposed and observing and performing all covenants, provisos and conditions herein contained. In the event that it may be necessary at any time for the Chargee/Mortgagee to prove the Prime Rate applicable as at any time, or times, it is agreed that the certificate in writing of the Manager of the Chargee/Mortgagee setting forth the said Prime Rate as at any time, or times, shall be conclusive evidence as to the said Prime Rate as in the said certificate set forth.

IT IS AGREED BY AND BETWEEN THE PARTIES HERETO as follows:

(a) That no part of any liabilities of the Chargor/Mortgagor to the Chargee/Mortgagee existing at the date of this Charge/Mortgage or incurred or arising thereafter, shall still be deemed to be unsecured by this Charge/Mortgage.

(b) That this Charge/Mortgage is and shall be a continuing collateral security to the Chargee/Mortgagee for the amount of such liabilities and interest as herein provided and shall be deemed to be taken as security for the ultimate balance of such liabilities; AND these presents shall not, nor shall anything herein contained operate so as to create any merger or discharge of any debt owing to the Chargee/Mortgagee or of any lien, bond, promissory note, bill of exchange or other security held by or which may hereafter be held by the Chargee/Mortgagee from the Chargor/Mortgagor or from any other person or persons and this Charge/Mortgage shall not in any way prejudicially affect any security held or which may hereafter be held by the Chargee/Mortgagee for the said liabilities or any part thereof, or the liability of any endorser or any other person or persons upon any such lien, bond, bill of exchange, promissory note or other security or contract or any renewal or renewals thereof held by the Chargee/Mortgagee for or on account of the said liabilities or any part or parts thereof, nor shall the remedies of the Chargee/Mortgagee in respect thereof be prejudiced or delayed in any manner whatsoever by the taking of this Charge/Mortgage.