UNITED STATES OF AMERICA, ACTING THROUGH THE RURAL HOUSING SERVICE OR SUCCESSOR AGENCY, UNITED STATES DEPARTMENT OF AGRICULTURE v. CAROL K. ARMSTRONG

IN THE DISTRICT COURT WITHIN AND FOR GRADY COUNTY STATE OF OKLAHOMA UNITED STATES OF AMERICA, ACTING THROUGH ) THE RURAL HOUSING SERVICE OR SUCCESSOR ) AGENCY, UNITED STATES DEPARTMENT OF ) AGRICULTURE, Plaintiff, vs. CAROL K. ARMSTRONG; UNKNOWN SPOUSE OF CAROL K. ARMSTRONG; DISCOVER BANK; MIDLAND FUNDING LLC; CAPITAL ONE BANK (USA), N.A.; OCCUPANTS OF THE PREMISES, IF ANY, Defendants. P E T I T I O N Comes now the Plaintiff and for its cause of action against the Defendant above named, alleges and states: 1. That the Plaintiff was at all times hereinafter mentioned, and now is, a Federal Agency, duly organized, existing and authorized to bring this action. That the Defendant, Carol K. Armstrong, was at the time him acquired an interest in and to the subject property a single person. That the Plaintiff does not know the current marital status of the Defendant, Carol K. Armstrong, and therefore joins a spouse, if any, in order to foreclose any possible homestead interest which he may have. That the defendant, Discover Bank, is claiming some right, title or interest in and to the subject property, but that any right, title, lien, estate, encumbrance, claim, assessment or interest, either in law or in equity which said defendant, may have or claim to have is subsequent, junior and inferior to the first mortgage lien of the Plaintiff. That the defendant, Midland Funding LLC, is claiming some right, title or interest in and to the subject property, but that any right, title, lien, estate, encumbrance, claim, assessment or interest, either in law or in equity which said defendant, may have or claim to have is subsequent, junior and inferior to the first mortgage lien of the Plaintiff. That the defendant, Capital One Bank (USA), N.A., is claiming some right, title or interest in and to the subject property, but that any right, title, lien, estate, encumbrance, claim, assessment or interest, either in law or in equity which said defendant, may have or claim to have is subsequent, junior and inferior to the first mortgage lien of the Plaintiff. That the Plaintiff does not know, and with due diligence is unable to ascertain, the true and correct name(s) of the individual(s) occupying the real property, and therefore sues said individual(s) by the name(s) of Occupant(s) of the premises, whose true and correct name(s) are unknown to Plaintiff. That said individual(s) are made party defendant(s) herein to foreclose any right, title, or interest which they may have or claim to have in and to the real estate and premises herein sued upon by reason of their occupancy. 2. That the original maker(s), for a good and valuable consideration, made, executed and delivered to the Payee, a certain written purchase money promissory note; a true authoritative copy of said note is hereto attached, marked Exhibit "A" and made a part hereof by reference. 3. That as a part of the same transaction, and to secure the payment of the note above described and the indebtedness represented thereby, the owner(s) of the real estate hereinafter described, made, executed and delivered to the Payee of said note, a certain purchase money real estate mortgage in writing, and therein and thereby mortgaged and conveyed to said mortgagee the following described real estate situated in Grady County, State of Oklahoma, to-wit: LOTS THREE (3) AND FOUR (4), IN BLOCK THIRTY-SIX (36), IN THE TOWN OF AMBER, GRADY COUNTY, OKLAHOMA, ACCORDING TO THE RECORDED PLAT THEREOF; with the buildings and improvements and the appurtenances, (including any modular, manufactured or mobile home located thereon) hereditaments and all other rights thereunto appertaining or belonging, and all fixtures then or thereafter attached or used in connection with said premises. That said mortgage was duly executed and acknowledged according to law, the mortgage tax duly paid thereon, and was filed in the office of the County Clerk of Grady County, Oklahoma, and therein recorded at September 11, 2009, in Book No. 4210, at Page 321, which mortgage and the record thereof is incorporated herein by reference as provided by law. Together with all Modification Agreements and subsidy agreements entered into subsequent to the execution and recording of the mortgage herein sued upon. 4. That thereafter, for a good and valuable consideration, said note and mortgage were assigned and endorsed to the Plaintiff. That Plaintiff has complied with all of the terms, conditions precedent and provisions of said note and mortgage, and is duly empowered to bring this suit. 5. Said mortgage provides that in addition to and together with the monthly payments of principal and interest as provided in said note, the mortgagor(s) will pay on the first day of each month, installments of taxes, assessments and insurance premiums, if any, relating to said property and said mortgage, agreed to be paid on said note and mortgage by said makers thereof. 6. That said note and mortgage provide that if default be made in the payment of any of the monthly installments, or on failure or neglect to keep or perform any of the other conditions and covenants of the mortgage, that the entire principal sum and accrued interest, together with all other sums secured by said mortgage, shall at once become due and payable, at the option of the holder thereof, and the holder shall be entitled to foreclose said mortgage and recover the unpaid principal thereon and all expenditures of the mortgagee made thereunder, with interest thereon, and to have said premises sold and the proceeds applied to the payment of the indebtedness secured thereby, together with all legal and necessary expense and all costs. 7. That default has been made upon said note and mortgage in that the installments due October 10, 2022, and thereafter have not been paid. 8. That preliminary to the bringing of this action, and as a necessary expense thereof, this Plaintiff caused the abstract of title to be extended and certified to date at a cost of a reasonable amount for title search and examination expenses of a reasonable amount with interest per annum thereon, until paid. 9. That said note and mortgage provide that in case of a foreclosure of said mortgage and as often as any proceedings shall be taken to foreclose the same, the makers will pay an attorney's fee as therein provided, and that the same shall be a further charge and lien on said premises. 10. That after allowing all just credits there is due to Plaintiff on said note and mortgage the sum of $48,672.84, with 5% interest per annum thereon from September 10, 2022, until paid in accordance with applicable federal law; said abstract expense of a reasonable amount with interest thereon, until paid; title search and examination expenses of a reasonable amount with interest per annum thereon, until paid; and a reasonable attorney's fee, and for all costs of this action; and for all charges due under the terms of the note and mortgage, and for such sums as may have been advanced since default on the indebtedness herein sued upon or may be hereafter advanced or incurred by Plaintiff through completion of this action, including taxes, recording fees, assessments, hazard insurance premiums, expenses reasonably necessary for the preservation of the subject property, or of the priority of Plaintiff's first mortgage lien, and further including costs, expenses and attorneys fees incurred in any bankruptcy instituted by any party defendant and all expenses, costs and attorneys fees of execution and sale, including poundage upon sale and that said amounts are secured by said mortgage and constitute a first, prior and superior lien upon the real estate and premises above described. 11. That said mortgage specifically provides that appraisement of said property is expressly waived or not waived at the option of the mortgagee. 12. Plaintiff further alleges as follows: (a) That there appears of record of the office of the County Clerk of Grady County, Oklahoma, a statement of judgment in case number CS-2016-288, entitled Discover Bank vs. Carol K. Armstrong, dated September 19, 2016, and filed October 3, 2016, in book 5108, page 113, in the amount of $1,830.82 and cost, all as per Journal Entry of Judgement. Notice of Renewal recorded July 19, 2021, in book 5903, page 218. (b) That there appears of record of the office of the County Clerk of Grady County, Oklahoma, a statement of judgment in case number CS-2017-2, entitled Midland Funding LLC vs. Carol Armstrong, dated June 26, 2017, and filed July 19, 2017, in book 5253, page 192, in the amount of $2,110.66 and cost, all as per Journal Entry of Judgement. Notice of Renewal recorded January 28, 2022, in book 5981, page 308. Notice of Renewal recorded January 23, 2026, in book 6578, page 551. (c) That there appears of record of the office of the County Clerk of Grady County, Oklahoma, a statement of judgment in case number CS-2016-451, entitled Midland Funding LLC vs. Carol Armstrong, dated June 26, 2017, and filed July 19, 2017, in book 5253, page 193, in the amount of $5,116.90 and cost, all as per Journal Entry of Judgement. Notice of Renewal recorded January 28, 2022, in book 5981, page 307. Notice of Renewal recorded January 23, 2026, in book 6578, page 553. (d) That there appears of record of the office of the County Clerk of Grady County, Oklahoma, a statement of judgment in case number CS-2017-575, entitled Midland Funding LLC vs. Carol Armstrong, dated January 29, 2018, and filed March 2, 2018, in book 5383, page 365, in the amount of $2,876.99 and cost, all as per Journal Entry of Judgement. Notice of Renewal recorded July 11, 2022, in book 6051, page 535. (e) That there appears of record of the office of the County Clerk of Grady County, Oklahoma, a statement of judgment in case number CS-2017-743, entitled Capital One Bank (USA), N.A. vs. Carol K. Armstrong, dated January 19, 2018, and filed January 11, 2019, in book 5534, page 220, in the amount of $3,711.16 and cost, all as per Journal Entry of Judgement. That the defendants, Carol K. Armstrong; Unknown Spouse of Carol K. Armstrong; Discover Bank; Midland Funding LLC; Capital One Bank (USA), N.A.; Occupants of the Premises, if any, may be claiming some right, title, lien, estate, encumbrance, claim, assessment or interest in or to the real estate and premises involved herein adverse to the Plaintiff, which constitutes a cloud upon the title of Plaintiff, but that any right, title, lien, estate, encumbrance, claim, assessment or interest, either in law or in equity which said defendants, or any or either of them may have or claim to have, is subsequent, junior and inferior to the first mortgage lien of the Plaintiff. That Carol Armstrong is one and the same person as Carol K. Armstrong, Defendant herein. That said interest or claims arising by reason of the foregoing facts and circumstances, as well as any other right, title or interest which the defendants named herein, or any or either of them have or claim to have, in or to said real estate and premises is subsequent, junior and inferior to the mortgage and lien of the Plaintiff. 13. In accordance with the Fair Debt Collection Practices Act, Title 15 U.S.C.A. Sec.1692(g), if applicable, unless the person or entity responsible for the payment of the above debt, within thirty days after receipt of this notice, disputes the validity of the debt, or any portion thereof, the debt will be assumed to be valid; and if said person or entity notifies the undersigned attorney for Plaintiff in writing within said thirty day period that the debt, or any portion thereof, is disputed, said attorney will obtain verification of the debt and a copy of such verification will be mailed to said person or entity by the undersigned attorney for Plaintiff; and upon written request by you within the thirty day period, the undersigned attorney for Plaintiff will provide the name and address of the original creditor, if different from the current creditor. WHEREFORE, Plaintiff prays judgment against Carol K. Armstrong, in the sum of $48,672.84, with 5% interest per annum thereon from September 10, 2022, until paid in accordance with applicable federal law; including any subsidy recovery until paid; abstract expense of a reasonable amount, with interest thereon, until paid; title search and examination expenses of a reasonable amount with interest per annum thereon, until paid; and a reasonable attorney's fee, and for all costs of this action; and for all charges due under the terms of the note and mortgage, and for such sums as may have been advanced since default on the indebtedness herein sued upon or may be hereafter advanced or incurred by Plaintiff through completion of this action, including taxes, recording fees, assessments, hazard insurance premiums, expenses reasonably necessary for the preservation of the subject property, or of the priority of Plaintiff's first mortgage lien, and further including costs, expenses and attorneys fees incurred in any bankruptcy instituted by any party defendant and all expenses, costs and attorneys fees of execution and sale, including poundage upon sale, on any judgment hereafter entered in this cause, including poundage upon sale, and for all costs of this action. And for a further judgment against all of the Defendants in and to this cause adjudging: That all of the Defendants herein be required to appear and set forth any right, title, claim or interest which they have, or may have, in and to said real estate and premises; and That said mortgage be foreclosed and that the same be declared a valid first, prior and superior lien upon the real estate hereinbefore described, for and in the amounts above set forth, and ordering said real estate and premises sold, for cash, with or without appraisement, as the Plaintiff may elect at the time judgment is entered as provided in said mortgage and by law, subject to unpaid taxes, advancements by Plaintiff for taxes, insurance premiums, or expenses necessary for the preservation of the subject property, if any, to satisfy said judgment, and that the proceeds arising therefrom be applied to the payment of the costs herein, and the payments and satisfaction of the judgment, mortgage and lien of this Plaintiff, and that the surplus, if any, be paid into Court to abide the further order of the Court. That should the proceeds of sale be insufficient to pay the Plaintiff's judgment and upon application of Plaintiff and hearing, a deficiency judgment be awarded to Plaintiff against such Defendants as may be personally liable therefor, all as provided by law. That all right, title and interest of said Defendants, and each of them, if any, in and to said real estate, be adjudged subject, junior and inferior to the mortgage lien and judgment of this Plaintiff, and that upon confirmation of such sale, the Defendants herein, and each of them, and all persons claiming by, through or under them since the commencement of this action, be forever barred, foreclosed and enjoined from asserting or claiming any right, title, interest, estate or equity of redemption in or to said premises, or any part thereof; That this Plaintiff have such other and further relief as may be just and equitable. Signed and dated this 24th, day of April, 2026. ATTORNEYS' LIEN CLAIMED. LAMUN MOCK CUNNYNGHAM & DAVIS, P.C. By: ____________________________ Kelly M. Parker #22673 Attorneys for Plaintiff 5621 N. Classen Blvd. Oklahoma City, OK 73118 (405) 840-5900 (Original Borrower: Carol K. Armstrong; Property Address: 107 Victor Amber, OK 73004) Form RD 1940-16 (Rev. 7-05) Form Approved OMB No. 0575-0172 UNITED STATES DEPARTMENT OF AGRICULTURE RURAL HOUSING SERVICE PROMISSORY NOTE Type of Loan SECTION 502 Loan No. Date: 09/10 2009 107 Victor Amber, Grady, OK BORROWER'S PROMISE TO PAY. In return for a loan that I have received, I promise to pay to the order of the United States of America, acting through the Rural Housing Service (and its successors) ("Government") $66,405.00 (this amount is called "principal"), plus interest. INTEREST. Interest will be charged on the unpaid principal until the full amount of the principal has been paid. I will pay interest at a yearly rate of 5%. The interest rate required by this section is the rate I will pay both before and after any default described below. PAYMENTS. I agree to pay principal and interest using one of two alternatives indicated below: I. Principal and interest payments shall be temporarily deferred. The interest accrued to ____________ shall be added to the principal. The new principal and later accrued interest shall be payable in 360 regular amortized installments on the date indicated in the box below. I authorize the Government to enter the amount of such new principal here: $___________, and the amount of such regular installments in the box below when such amounts have been determined. I agree to pay principal and interest in installments as indicated in the box below. II. Payments shall not be deferred. I agree to pay principal and interest in 360 installments as indicated in the box below. I will pay principal and interest by making a payment every month. I will make my monthly payment on the 10th day of each month beginning on October 10, 2009 and continuing for 359 months. I will make these payments every month until I have paid all of the principal and interest and any other charges described below that I may owe under this note. My monthly payments will be applied to interest before principal. If on September 10, 2039, I still owe amounts under this note, I will pay those amounts in full on that date, which is called the "maturity date." My monthly payment will be $167.22. I will make my monthly payment at the post office address noted on my billing statement or a different place if required by the Government. PRINCIPAL ADVANCES. If the entire principal amount of the loan is not advanced at the time of loan closing, the unadvanced balance of the loan will be advanced at my request provided the Government agrees to the advance. The Government must make the advance provided the advance is requested for an authorized purpose. Interest shall accrue on the amount of each advance beginning on the date of the advance as shown in the Record of Advances below. I authorize the Government to enter the amount and date of the advance as shown in the Record of Advances below. I authorize the Government to enter the amount and date of such advance on the Record of Advances. HOUSING ACT OF 1949. This promissory note is made pursuant to title V of the Housing Act of 1949. It is for the type of loan indicated in the "Type of Loan" block at the top of this note. This note shall be subject to the present regulations of the Government and to its future regulations not inconsistent with the express provisions of this note. SATISFIED This ______ day of _____, 20_____ United States of America By: ______________________________ Title: ______________________________ USDA, Rural Housing Services LATE CHARGES. If the Government has not received the full amount of any monthly payment by the end of ___15___ days after the date it is due, I will pay a late charge. The amount of the charge will be ___4___ percent of my overdue payment of principal and interest. I will pay this charge promptly, but only once for each late payment. BORROWER'S RIGHT TO PREPAY. I have the right to make payments of principal at any time before they are due. A payment of principal only is known as a "prepayment." When I make a prepayment, I will tell the Government in writing that I am making a prepayment. I may make a full prepayment or partial prepayment without paying any prepayment charge. The Government will use all of my prepayments to reduce the amount of principal that I owe under this Note. If I make a partial prepayment, there will be no changes in the due date or in the amount of my monthly payment unless the Government agrees in writing to those changes. Prepayments will be applied to my loan in accordance with the Government's regulations and accounting procedures in effect on the date of receipt of the payment. ASSIGNMENT OF NOTE. I understand and agree that the Government may at any time assign this note without my consent. If the Government assigns the note I will make my payments to the assignee of the note and in such case the term "Government" will mean the assignee. CREDIT ELSEWHERE CERTIFICATION. I certify to the Government that I am unable to obtain sufficient credit from other sources at reasonable rates and terms for the purposes for which the Government is giving me this loan. USE CERTIFICATION. I certify to the Government that the funds I am borrowing from the Government will only be used for purposes authorized by the Government. LEASE OR SALE OF PROPERTY. If the property constructed, improved, purchased, or refinanced with this loan is (1) leased or rented with an option to purchase, (2) leased or rented without option to purchase for 3 years or longer, or (3) is sold or title is otherwise conveyed, voluntarily or involuntarily, the Government may at its option declare the entire remaining unpaid balance of the loan immediately due and payable. If this happens, I will have to immediately pay off the entire loan. REQUIREMENT TO REFINANCE WITH PRIVATE CREDIT. I agree to periodically provide the Government with information the Government requests about my financial situation. If the Government determines that I can get a loan from a responsible cooperative or private credit source, such as a bank or a credit union, at reasonable rates and terms for similar purposes as this loan, at the Government's request, I will apply for and accept a loan in a sufficient amount to pay this note in full. This requirement does not apply to any cosigner who signed this note pursuant to section 502 of the Housing Act of 1949 to compensate for my lack of repayment ability. SUBSIDY REPAYMENT AGREEMENT. I agree to the repayment (recapture) of subsidy granted in the form of payment assistance under the Government's regulations. CREDIT SALE TO NONPROGRAM BORROWER. The provisions of the paragraphs entitled "Credit Elsewhere Certification" and "Requirement to Refinance with Private Credit" do not apply if this loan is classified as a nonprogram loan pursuant to section 502 of the Housing Act of 1949. DEFAULT. If I do not pay the full amount of each monthly payment on the date it is due, I will be in default. If I am in default the Government may send me a written notice telling me that if I do not pay the overdue amount by a certain date, the Government may require me to immediately pay the full amount of the unpaid principal, all the interest that I owe, and any late charges. Interest will continue to accrue on past due principal and interest. Even if, at a time when I am in default, the Government does not require me to pay immediately as described in the preceding sentence, the Government will still have the right to do so if I am in default at a later date. If the Government has required me to immediately pay in full as described above, the Government will have the right to be paid back by me for all of its costs and expenses in enforcing this promissory note to the extent not prohibited by applicable law. Those expenses include, for example, reasonable attorney's fees. NOTICES. Unless applicable law requires a different method, any notice that must be given to me under this note will be given by delivering it or by mailing it by first class mail to me at the property address listed above or at a different address if I give the Government a notice of my different address. Any notice that must be given to the Government will be given by mailing it by first class mail to the Government at USDA Rural Housing Service, c/o Customer Service Branch Post Office Box 66089, St. Louis, MO 63166, or at a different address if I am given a notice of that different address. OBLIGATIONS OF PERSONS UNDER THIS NOTE. If more than one person signs this note, each person is fully and personally obligated to keep all of the promises made in this note, including the promise to pay the full amount owed. Any person who is a guarantor, surety, or endorser of this note is also obligated to do these things. The Government may enforce its rights under this note against each person individually or against all of us together. This means that any one of us may be required to pay all of the amounts owed under this note. The term "Borrower" shall refer to each person signing this note. WAIVERS. I and any other person who has obligations under this note waive the rights of presentment and notice of dishonor. "Presentment" means the right to require the Government to demand payment of amounts due. "Notice of dishonor" means the right to require the Government to give notice to other persons that amounts due have not been paid. WARNING: Failure to fully disclose accurate and truthful financial information in connection with my loan application may result in the termination of program assistance currently being received, and the denial of future federal assistance under the Department of Agriculture's Debarment regulations, 7 C.F.R. part 3017. [Signature] Carol K Armstrong Seal Borrower Carol K. Armstrong Seal Borrower Seal Borrower Seal Borrower RECORD OF ADVANCES <table> <tr> <th>AMOUNT</th> <th>DATE</th> <th>AMOUNT</th> <th>DATE</th> <th>AMOUNT</th> <th>DATE</th> </tr> <tr> <td>(1) $ 68,405.00</td> <td>09-10-2009</td> <td>(8) $</td> <td></td> <td>(15) $</td> <td></td> </tr> <tr> <td>(2) $</td> <td></td> <td>(9) $</td> <td></td> <td>(16) $</td> <td></td> </tr> <tr> <td>(3) $</td> <td></td> <td>(10) $</td> <td></td> <td>(17) $</td> <td></td> </tr> <tr> <td>(4) $</td> <td></td> <td>(11) $</td> <td></td> <td>(18) $</td> <td></td> </tr> <tr> <td>(5) $</td> <td></td> <td>(12) $</td> <td></td> <td>(19) $</td> <td></td> </tr> <tr> <td>(6) $</td> <td></td> <td>(13) $</td> <td></td> <td>(20) $</td> <td></td> </tr> <tr> <td>(7) $</td> <td></td> <td>(14) $</td> <td></td> <td>(21) $</td> <td></td> </tr> <tr> <td colspan="6">TOTAL $ 68,405.00</td> </tr> </table>