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HomeMy WebLinkAboutTitle Insurance COMMITMENT FOR TITLE INSURANCE Issued by Commonwealth Land Title Insurance Company LandAmerica Commonwealth Land Title Insurance Company is a member of the LandAmerica family of title insurance underwriters. Commonwealth THE FOLLOWING COMMITMENT FOR TITLE INSURANCE IS NOT VALID UNLESS YOUR NAME AND THE POLICY AMOUNT ARE SHOWN IN SCHEDULE A, AND OUR AU IHORIZED REPRESENTATIVE HAS COUNTERSIGNED BELOW. We Commonwealth Land Title Insurance Company will issue our title insurance policy or policies (the Policy) to You (the proposed insured) upon payment of the premium and other charges due, and compliance with the requirements in Schedule B and Schedule C. Our Policy will be in the form approved by the Texas Department of Insurance at the date of issuance, and will insure your interest in the land described in Schedule A. The estimated premium for our Policy and applicable endorsements is shown on Schedule D. There may be additional charges such as recording fees, and expedited delivery expenses. This Commitment ends ninety (90) days from the effective date, unless the Policy is issued sooner, or failure to issue the Policy is our fault. Our liability and obligations to you are under the express terms of this Commitment and end when this Commitment expires. IN WITNESS WHEREOF, COMMONWEALTH LAND TITLE INSURANCE COMPANY has caused its corporate name and seal to be hereunto affixed by its duly authorized officers, the Commitment to become valid when countersigned by an authorized officer or agent of the Company. COMMONWEALTH LAND TITLE INSURANCE COMPANY .01 Ry / e /4 Countersigned: rrRsir{rnt W �l B• e. e NTY ABSTRACT MP Attest: FANNr a ece— 03 s Authorized Officer or Agent Secretary Commitment for Title Insurance—T-7(Rev.04/04/02) Form 1177-1A ORIGINAL COMMONWEALTH LAND TITLE INSURANCE COMPANY SCHEDULE A Effective Date: May 9 -2007 at 8:00 AM File No.: 144956 Commitment issued May 17, 2007 1. POLICY OR POLICIES TO BE ISSUED ARE: (a) OWNER POLICY OF TITLE INSURANCE (Form T-1) (Not applicable for improved one-to-four family residential real estate) POLICY AMOUNT: $88,996.00 PROPOSED INSURED: CITY OF COLLEGE STATION, TEXAS (b) TEXAS RESIDENTIAL OWNER POLICY OF TITLE INSURANCE -- ONE-TO-FOUR FAMILY RESIDENCES (Form T-1 R) POLICY AMOUNT: PROPOSED INSURED: (c) MORTGAGEE POLICY OF TITLE INSURANCE (Form T-2) POLICY AMOUNT: PROPOSED INSURED: PROPOSED BORROWER: (d) TEXAS SHORT FORM RESIDENTIAL MORTGAGEE POLICY OF TITLE INSURANCE (Fnrm T-2R) POLICY AMOUNT: PROPOSED INSURED: PROPOSED BORROWER: (e) MORTGAGEE TITLE POLICY BINDER ON INTERIM CONSTRUCTION LOAN (Form T-13) POLICY AMOUNT: PROPOSED INSURED: PROPOSED BORROWER: (f) OTHER POLICY AMOUNT: PROPOSED INSURED: 2. THE INTEREST IN THE LAND COVERED BY THIS COMMITMENT IS: FEE SIMPLE 3. RECORD TITLE TO THE LAND ON THE EFFECTIVE DATE APPEARS TO BE VESTED IN: BOARD OF TRUSTEES OF THE A&M UNITED METHODIST CHURCH as to Tracts One, Two, Three, Four, Six and Seven; and METHODIST EPISCOPAL CHURCH SOUTH, as to Tract Five. BRAZOS COUNTY ABSTRACT COMPANY ll ))j "thorized Signature COMMONWEALTH LAND TITLE INSURANCE COMPANY SCHEDULE A File No. 144956 4. LEGAL DESCRIPTION OF THE LAND: TRACT ONE: All that certain tract or parcel of land being a Public Access, Public Utility and Landscape Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lots One (1) and Sixteen (16), Block Three (3), BOYETT'S SUBDIVISION, according to the plat recorded in Volume 38, page 614 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "A" attached hereto. TRACT TWO: All that certain tract or parcel of land being a Temporary Construction Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lots One (1) and Sixteen (16), Block Three (3), BOYETT'S SUBDIVISION, according to the plat recorded in Volume 38, page 614 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "B" attached hereto. TRACT THREE: All that certain tract or parcel of land being a Public Access, Public Utility and Landscape Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lot One (1), Block One (1), TAUBER ADDITION, according to the plat recorded in Volume 133, page 182 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "C" attached hereto. TRACT FOUR: All that certain tract or parcel of land being a Temporary Construction Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lot One (1), Block One (1), TAUBER ADDITION, according to the plat recorded in Volume 133, page 182 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "D" attached hereto. TRACT FIVE: All that certain tract or parcel of land being a Public Access, Public Utility and Landscape Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lot Eleven (11), Block Two (2), BOYETT'S SUBDIVISION, according to the plat recorded in Volume 38, page 614 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "E" attached hereto. TRACT SIX: All that certain tract or parcel of land being a Public Access, Public Utility and Landscape Easement lying and being situated in College Station, Brazos County, Texas_ Said Easement being a portion of Lot Twelve (12), Block Two (2) BOYETT'S SUBDIVISION, according to the plat recorded in Volume COMMONWEALTH LAND TITLE INSURANCE COMPANY SCHEDULE A File No. 144956 (Continued) 38, page 614 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "F" attached hereto. TRACT SEVEN: All that certain tract or parcel of land being a Public Access, Public Utility and Landscape Easement lying and being situated in College Station, Brazos County, Texas. Said Easement being a portion of Lot Twelve (12), Block Two (2), BOYETT'S SUBDIVISION, according to the plat recorded in Volume 38, page 614 of the Deed Records of Brazos County, Texas, and being more particularly described on Exhibit "G" attached hereto. COMMONWEALTH LAND TITLE INSURANCE COMPANY SCHEDULE B File No. 144956 EXCEPTIONS FROM COVERAGE IN ADDITION TO THE EXCLUSIONS AND CONDITIONS AND STIPULATIONS, YOUR POLICY WILL NOT COVER LOSS, COSTS, ATTORNEY'S FEES, AND EXPENSES RESULTING FROM: 1. THE FOLLOWING RESTRICTIVE COVENANTS OF RECORD ITEMIZED BELOW (WE MUST EITHER INSERT SPECIFIC RECORDING DATA OR DELETE THIS EXCEPTION): Item No. 1 is hereby deleted in its entirety. 2. ANY DISCREPANCIES, CONFLICTS, OR SHORTAGES IN AREA OR BOUNDARY LINES, OR ANY ENCROACHMENTS OR PROTRUSIONS, OR ANY OVERLAPPING OF IMPROVEMENTS. 3. HOMESTEAD OR COMMUNITY PROPERTY OR SURVIVORSHIP RIGHTS, IF ANY, OF ANY SPOUSE OF ANY INSURED. (APPLIES TO THE OWNER POLICY ONLY.) 4. ANY TITLES OR RIGHTS ASSERTED BY ANYONE, INCLUDING, BUT NOT LIMITED TO, PERSONS, THE PUBLIC, CORPORATIONS, GOVERNMENTS OR OTHER ENTITIES. A. TO TIDELANDS, OR LANDS COMPRISING THE SHORES OR BEDS OF NAVIGABLE OR PERENNIAL RIVERS AND STREAMS, LAKES, BAYS, GULFS OR OCEANS, OR B. TO LANDS BEYOND THE LINE OF THE HARBOR OR BULKHEAD LINES AS ESTABLISHED OR CHANGED BY ANY GOVERNMENT, OR C. TO FILLED-IN LANDS, OR ARTIFICIAL ISLANDS, OR D. TO STATUTORY WATER RIGHTS, INCLUDING RIPARIAN RIGHTS, OR E. TO THE AREA EXTENDING FROM THE LINE OF MEAN LOW TIDE TO THE LINE OF VEGETATION, OR THE RIGHTS OF ACCESS TO THAT AREA OR EASEMENT ALONG AND ACROSS THAT AREA. (APPLIES TO THE OWNER POLICY ONLY.) 5. STANDBY FEES, TAXES AND ASSESSMENTS BY ANY TAXING AUTHORITY FOR THE YEAR 2007, AND SUBSEQUENT YEARS; AND SUBSEQUENT TAXES AND ASSESSMENTS BY ANY TAXING AUTHORITY FOR PRIOR YEARS DUE TO CHANGE IN LAND USAGE OR OWNERSHIP, BUT NOT THOSE TAXES OR ASSESSMENTS FOR PRIOR YEARS BECAUSE OF AN EXEMPTION GRANTED TO A PREVIOUS OWNER OF THE PROPERTY UNDER SECTION 11.13, TEXAS TAX CODE, OR BECAUSE OF IMPROVEMENTS NOT ASSESSED FOR A PREVIOUS TAX YEAR. (IF TEXAS SHORT FORM RESIDENTIAL MORTGAGEE POLICY OF TITLE INSURANCE (T-2R) IS ISSUED, THAT POLICY WILL SUBSTITUTE "WHICH BECOME DUE AND PAYABLE SUBSEQUENT TO DATE OF POLICY" IN LIEU OF "FOR THE YEAR 2007 AND SUBSEQUENT YEARS.") 6. THE TERMS AND CONDITIONS OF THE DOCUMENTS CREATING YOUR INTEREST IN THE LAND. 7. MATERIALS FURNISHED OR LABOR PERFORMED IN CONNECTION WITH PLANNED CONSTRUCTION BEFORE SIGNING AND DELIVERING THE LIEN DOCUMENT DESCRIBED IN SCHEDULE A, IF THE LAND IS PART OF THE HOMESTEAD OF THE OWNER. (APPLIES TO THE MORTGAGEE TITLE POLICY BINDER ON INTERIM CONSTRUCTION LOAN ONLY, AND MAY BE DELETED IF SATISFACTORY EVIDENCE IS PROVIDED TO US BEFORE A BINDER IS ISSUED.) 8. LIENS AND LEASES THAT AFFECT THE TITLE TO THE LAND, BUT THAT ARE SUBORDINATE TO THE LIEN OF THE INSURED MORTGAGE. (APPLIES TO MORTGAGEE POLICY (T-2) ONLY.) COMM(,..,iVEALTH LAND TITLE INSURANCE " JMPANY SCHEDULE B File No. 144956 (Continued) 9. THE EXCEPTIONS FROM COVERAGE AND EXPRESS INSURANCE IN SCHEDULE B OF THE TEXAS SHORT FORM RESIDENTIAL MORTGAGEE POLICY OF TITLE INSURANCE (T-2R). (APPLIES TO TEXAS SHORT FORM RESIDENTIAL MORTGAGEE POLICY OF TITLE INSURANCE (T-2R) ONLY. SEPARATE EXCEPTIONS 1 THROUGI 18 OF TI IIS SCI IEDULE B DO NOT APPLY TO THE TEXAS SHORT FORM RESIDEN I IAL MOR I GAGEE POLICY OF TITLE INSURANCE (T-2R). 10. THE FOLLOWING MATTERS AND ALL TERMS OF THE DOCUMENT CREATING OR OFFERING EVIDENCE UI- I HE MATTERS (WE MUST INSERT MATTERS UR DELE I E I HIS EXCEPTION.): a. Rights of Parties in Possession. (Owner Policy Only) b. Easements, or claims of easements, which are not recorded in the public records. (Owner Policy Only) c. Right-of-Way Easement from John Tauber, et ux to Lone Star Gas Company, dated January 19, 1928, recorded in Volume 71, page 486, Deed Records of Brazos County, Texas.(Tracts Three & Four) d. Right-of-Way Easement from Church of Christ to Community Natural Gas Company, dated September 9, 1935, recorded in Volume 89, page 613, Deed Records of Brazos County, Texas. (Lot One of Tracts One & Two) e. Easement for sewer line from Leon J. Tauber, et al to City of College Station, Texas, dated March 23, 1950, recorded in Volume 145, page 333, Deed Records of Brazos County, Texas. (Tracts Three and Four) f. Easement from A&M United Methodist Church to City of College Station, Texas, dated September 21, 1993, recorded in Volume 1923, page 270, Official Records of Brazos County, Texas. (Lot One of Tracts One & Two; Tracts Six & Seven) g. Sidewalk Easement from A&M United Methodist Church to City of College Station, Texas, dated September 21, 1993, recorded in Volume 1923, page 272, Official Records of Brazos County, Texas. (Tracts Six & Seven) h. Subject to terms and provisions of trust(s) created in the following: (a) Assumption Deed from Boyd G. Hall to Board of Trustees of the A&M United Methodist Church, dated March 15, 1979, recorded in Volume 420, page 42, Deed Records of Brazos County, Texas (Lot 16 of Tracts One and Two); (b) Warranty Deed from First Baptist Church of College Station, Texas, et al to Board of Trustees of the A&M United Methodist Church, et al, dated August 30, 1983, recorded in Volume 601, page 11, Official Records of Brazos County, Texas. (Lot One of Tracts One and Two, Tracts Three, Four, Six & Seven) i. Estate created by Oil and Gas Lease from First Baptist Church of College Station to Thomas A. Miller, dated November 23, 1982, recorded in Volume 76, page 375, O&GL Records of Brazos County, Texas. Title to this lease has not been traced subsequent to the date of the ahove-r.ited instrument. (Affects Lot One of Tracts One & Two, Tracts Three, Four, Six & Seven) j. Estate created by Memorandum of Mineral Lease (Oil and Gas) dated November 29, 1982, by and between A&M United Methodist Church and Thomas A. Miller; a Memorandum of which is dated February 20, 1983 and recorded in Volume 564, page 102, Deed Records of Brazos County, Texas. (Affects Lot 16 of Tracts One & Two; Tract Five) COMM(.1 , 'VEALTH LAND TITLE INSURANCE wMPANY SCHEDULE B File No. 144956 (Continued) k. All oil, gas and other minerals in and under the herein described property, together with any rights of ingress and egress, mining or drilling privileges heretofore reserved or conveyed by predecessors in title. There is expressly excluded from coverage hereunder, and this Company does not insure, title to oil, gas and other minerals of every kind and character, in, on and under the property herein described. I. The Tax Certificate furnished by the taxing authorities is issued on real estate only. It does not include minerals and/or personal property, therefore, no liability is assumed herein for the payment of said mineral and/or personal property tax. COMMONWEALTH LAND TITLE INSURANCE COMPANY SCHEDULE C File No. 144956 YOUR POLICY WILL NOT COVER LOSS, COSTS, ATTORNEY'S FEES, AND EXPENSES RESULTING FROM THE FOLLOWING REQUIREMENTS THAT WILL APPEAR AS EXCEPTIONS IN SCHEDULE B OF THE POLICY, UNLESS YOU DISPOSE OF THESE MATTERS TO OUR SATISFACTION, BEFORE THE DATE THE POLICY IS ISSUED: 1. DOCUMENTS CREATING YOUR TITLE OR INTEREST MUST BE APPROVED BY US AND MUST BE SIGNED, NOTARIZED AND FILED FOR RECORD. 2. SATISFACTORY EVIDENCE MUST BE PROVIDED THAT: —NO PERSON OCCUPYING THE LAND CLAIMS ANY INTEREST IN THAT LAND AGAINST THE PERSONS NAMED IN PARAGRAPH 3 OF SCHEDULE A, —ALL STANDBY FEES, TAXES, ASSESSMENTS AND CHARGES AGAINST THE PROPERTY HAVE BEEN PAID, —ALL IMPROVEMENTS OR REPAIRS TO THE PROPERTY ARE COMPLETED AND ACCEPTED BY THE OWNER, AND THAT ALL CONTRACTORS, SUB-CONTRACTORS, LABORERS AND SUPPLIERS HAVE BEEN FULLY PAID, AND THAT NO MECHANIC'S, LABORER'S LIENS OR MATERIALMAN'S LIENS HAVE ATTACHED TO THE PROPERTY, —(ON A MORTGAGEE'S POLICY ONLY) RESTRICTIONS HAVE NOT BEEN AND WILL NOT BE VIOLATED THAT AFFECT THE VALIDITY AND PRIORITY OF THE INSURED MORTGAGE. 3. THERE IS LEGAL RIGHT OF ACCESS TO AND FROM THE LAND, 4. YOU MUST PAY THE SELLER OR BORROWER THE AGREED AMOUNT FOR YOUR PROPERTY OR INTEREST. 5. ANY DEFECT, LIEN OR OTHER MATTER THAT MAY AFFECT TITLE TO THE LAND OR INTEREST INSURED, THAT ARISES OR IS FILED AFTER THE EFFECTIVE DATE OF THIS COMMITMENT. 6. Deed of Trust dated May 1, 1973, executed by Boyd G. Hall to J. B. Hervey, Trustee for the benefit of Community Savings and Loan Association, in the principal amount of $21,200.00, recorded in Volume 168, page 817, Deed of Trust Records of Brazos County, Texas. (Tract Two) Dccd of Trust to Sccurc Assumption dated March 15, 1070, executed by Board of Trustees of the A&M United Methodist Church to J.B. Hervey, Trustee for the benefit of Community Savings And Loan Association, recorded In Volume 254, page 585, Official Records of Brazos County, Texas. (Tract Two) 7. Deed of Trust dated March 15, 1979, executed by Board of Trustees of the A&M United Methodist Church to Joe R. Sawyer, Trustee for the benefit of University National Bank, in the principal amount of $10,000.00, recorded in Volume 254, page 581, Deed of Trust Records of Brazos County, Texas. (Tract Two) 8. Deed of Trust and Security Agreement dated March 5, 2004, executed by A & M United Methodist Church and a/k/a and holding title as Board of Trustees of the A & M United Methodist Church a/k/a and holding title as A & M Methodist Church a/k/a A & M Methodist Church, Bryan District, Texas Annual Conference f/k/a A & M College Methodist Church and a/k/a and holding title as A & M Methodist Church f/k/a Methodist Episcopal Church South to Robert Hoppe, Trustee for the benefit of Texas Methodist Foundation, in the principal amount of $3,700,000.00, recorded in Volume 5907, page COMMC.. ..✓EALTH LAND TITLE INSURANCE _ IMPANY SCHEDULE C File No. 144956 (Continued) 76, Official Records of Brazos County, Texas. (Affects Lot One of Tracts One & Two; Tract Five; Tracts Six & Seven) 9. Deed of Trust and Security Agreement dated March 31, 2005, executed by A & M United Methodist Church and a/k/a and holding title as Board of Trustees of the A & M United Methodist Church a/k/a and holding title as A & M Methodist Church a/k/a A & M Methodist Church, Bryan District, Texas Annual Conference f/k/a A & M College Methodist Church and a/k/a and holding title as A & M Methodist Church f/k/a Methodist Episcopal Church South to Robert Hoppe, Trustee for the benefit of Texas Methodist Foundation, in the principal amount of $760,000.00, recorded in Volume 6595, page 160, Official Records of Brazos County, Texas. (Affects Lot One of Tracts One & Two; Tracts Three, Four, Five, Six & Seven) 10. Trust Agreement and Mortgage dated February 16, 1952, executed by Trustees of the A & M College Methodist to Division of Home Missions and Church Extension of the Board of Missions and Church Extension of the Methodist Church„ in the principal amount of $60,000.00, recorded in Volume 47, page 350, Deed of Trust Records of Brazos County, Texas; subject to subordination in Volume 5907, page 90 and Volume 6604, pages 1 and 5, Official Records of Brazos County, Texas. (Tract Five) 11. Affidavit of Mechanic's and Materialman's Lien from Bugge Plumbing, Inc. against A&M United Methodist Church, dated February 17, 2006, in the amount of $13,907.70, recorded in Volume 7159, page 204, Official Records of Brazos County, Texas. (Tract Five) NOTE: Release executed by Bugge Plumbing, Inc. in Volume 7802, page 63, Official Records of Brazos County, Texas. Company requires same to be refiled to reflect the correct legal description of the property to be released. 12. Lien Affidavit and Claim of Retainage from Over The Top Systems, Ltd. d/b/a Pioneer Roof Systems against A&M United Methodist Church, dated March 29, 2006, in the amount of $14,552.01, recorded in Volume 7223, page 161, Official Records of Brazos County, Texas. (Tracts Six & Seven) 13. Lien Affidavit and Claim from Britt Rice Construction Company, LP d/b/a Britt Rice Electric, L.P. against A&M United Methodist Church, dated April 10, 2006, in the amount of $34,303.12, recorded in Volume 7248, page 54, Official Records of Brazos County, Texas. (Tracts Six & Seven) 14. Affidavit For Mechanic's & Materialman's Lien from BCS Steel Erector against A&M United Methodist Church, dated April 18, 2006, in the amount of $11,462.20, recorded in Volume 7285, page 205, Official Records of Brazos County, Texas. (Tracts Six & Seven) NOTE: Release executed by BCS Steel Erectors, Inc. in Volume 7802, page 69, Official Records of Brazos County, Texas. Company requires same to be refiled to reflect the correct instrument number of the lien instrument to be released. 15. Company will require tax certificates on the subject property showing all taxes paid up to and including the year 2006. 16. Company will require a properly executed Waiver of Inspection. 17. Company will require a properly executed Affidavit as to debts and liens. 18. "The title insurance policy being issued to you contains an Arbitration Provision. It allows you or the Company to require arbitration if the amount of Insurance is $1,000,000 or less. If you want to retain COMMui,✓VEALTH LAND TITLE INSURANCE t.JMPANY SCHEDULE C File No. 144956 (Continued) your right to sue the Company in case of a dispute over a claim, you must request deletion of the Arbitration Provision' before the policy is issued. If you are the purchaser iri the transaction and elect deletion of the Arbitration Provision, a form will be presented to you at closing for execution. If you are the lender in the transaction and desire deletion of the Arbitration Provision, please inform us through your Closing Instructions." SCHEDULE D 1. Commonwealth Land Title Insurance Company is a wholly owned subsidiary of LandAmerica Financial Group, Inc., a Virginia Corporation whose securities are publicly traded on the New York Stock Exchange. Commonwealth Land Title Insurance Company's officers and directors are as follows: OFFICERS DIRECTORS Theodore L. Chandler,Jr., President&Chief Executive Officer Theodore L. Chandler, Jr. Ronald B. Ramos, Senior Vice President&Treasurer G.William Evans Anna M. King,Vice President&Secretary Melissa A. Hill G.William Evans, Senior Vice President Jeffrey C. Selby Christine Vlahcevic, Chief Financial Officer Ross W. Dorneman Kenneth Actheimer, Executive Vice President Glyn J. Nelson Ross W. Dorneman, Executive Vice President Jeffrey D.Vaughan Lloyd R. Draper, Executive Vice President Margaret M. Foster, Executive Vice President Michelle H. Cluck, Executive Vice President& General Counsel Melissa A. Hill, Executive Vice President Lynn M. Riedel, Executive Vice President Glyn J. Nelson, Executive Vice President John M. Obzud, Executive Vice President Marcy A.Welburn, Executive Vice President Jeffrey C. Selby, Executive Vice President Jeffrey D.Vaughan, Executive Vice President Paul Bedell, Executive Vice President James E. Sindoni, Executive Vice President 2. The following disclosures are made by the Title Insurance Agent issuing this commitment pursuant to Rule P-21. BRAZOS COUNTY ABSTRACT COMPANY SHAREHOLDERS DIRECTORS OFFICERS Tom Giesenschlag Tom Giesenschlag Tom Giesenschlag, President Diane C. Ganzer Diane C. Ganzer Diane C. Ganzer, Secretary June Van Etten June Van Etten, Vice President Linda Morgan Linda Morgan, Vice President 2. You are entitled to receive advance disclosure of settlement charges in connection with the proposed transaction to which this commitment relates. Upon your request, such disclosure will be made to you. Additionally, the name of any person, firm or corporation receiving any sum from the settlement of this transaction will be disclosed on the closing or settlement statement. You are further advised that the estimated title premium* is: Owner's Policy $ 770.00 Mortgagee Policy $ Endorsement Charges $ Other $ Total $ Of this total amount: 15% will be paid to the policy issuing Title Insurance Company; 85% will he retained by the issuing Title Insurance Agent; and the remainder of the estimated premium will be paid to other parties as follows: Amount To Whom For Services $ (or%) $ (or%) $ (or%) * The estimated premium is based upon information furnished to us as of the date of this Commitment for Title Insurance. Final determination of the amount of the premium will be made at closing in accordance with the Rules and Regulations adopted by the State Board of Insurance Page 5 Schedule D Form 1077-2 (Rev.01/01/06) Valid only if Schedules A,B and C and Cover Page are attached uELETION OF ARBITRATION PROVISION (Not applicable to the Texas Residential Owner Policy) ARBITRATION is a common form of alternative dispute resolution. It can be a quicker and cheaper means to settle a dispute with your Title Insurance Company. However, if you agree to arbitrate, you give up your right to take the Title Company to court and your rights to discovery of evidence may be limited in the arbitration process. In addition, you cannot usually appeal an arbitrator's award. Your policy contains an arbitration provision (shown below). It allows you or the Company to require arbitration if the amount of insurance is $1,000,000 or less. If you want to retain your right to sue the Company in case of a dispute over a claim, you must request deletion of the arbitration provision before the policy is issued. You can do this by signing this form and returning it to the Company at or before the Closing of your real estate transaction or by writing to the Company. The arbitration provision in the Policy is as follows: "Unless prohibited by applicable law or unless this arbitration section is deleted by specific provision in Schedule B of this policy, either the Company or the Insured may demand arbitration pursuant to the Title Insurance Arbitration Rules of the American Arbitration Association. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Insured arising out of or relating to this Policy, and service of the Company in connection with its issuance or the breach of a policy provision or other obligation. All arbitrable matters when the Amount of Insurance is $1,000,000 or less SHALL BE arbitrated at the request of either the Company or the Insured, unless the insured is an individual person (as distinguished from a corporation, trust, partnership, association or other legal entity). All arbitrable matters when the Amount of Insurance is in excess of $1,000,000 shall be arbitrated only when agreed to by both the Company and the Insured. Arbitration pursuant to this Policy and under the Rules in effect on the date the demand for arbitration is made or, at the option of the Insured, the Rules in effect at the Date of Policy shall be binding upon the parties. The award may include attorneys' fees only if the laws of the state in which the land is located permit a court to award attorneys' fees to a prevailing party. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court having jurisdiction thereof. The Law of the situs of the land shall apply to any arbitration under the Title Insurance Arbitration Rules. A Copy of the Rules may be obtained from the Company upon request." I request deletion of the Arbitration provision. SIGNATURE DATE 1 L./.AS TITLE INSURANCE INFORMA i ION Title insurance insures you against loss resulting from certain El seguro de titulo le asequra en relacion a perdidas risks to your title. resultantes de ciertos ricsgos que pueden afectar el liluto de :,u propicdod. The Commitment for Title Insurance is the title insurance company's promise to issue the title insurance policy. The El Compromiso para Seguro de Titulo es la promesa de la Commitment is a legal document. You should review it compania aseguradora de titulos de emitir la pOliza de carefully to completely understand it before your closii ie date. seguro de titulu. El Compromiso es un documento legal. Usted debe leerlo cuidadosamente y entenderlo completamente antes de la fecha para finalizar su transaccion. Your Commitment for Title Insurance is a legal contract between you and us. The Commitment is not an opinion or report of your title. It is a contract to issue you a policy subject to the Commitments terms and requirements. Before issuing a Commitment for Title Insurance (the Commitment) or a Title Insurance Policy (the Policy), the Title Insurance Company (the Company) determines whether the title is insurable. This determination has already been made. Part of that determination involves the Company's decision to insure the title except for certain risks that will not be covered by the Policy. Some of these risks are listed in Schedule B of the attached Commitment as Exceptions. Other risks are stated in the Policy as Exclusions. These risks will not be covered by the Policy. Another part of the determination involves whether the promise to insure is conditioned upon certain requirements being met. Schedule C of the Commitment lists these requirements that must be satisfied or the Company will refuse to cover them. You may want to discuss any matters shown in Schedules B and C of the Commitment with an attorney. These matters will affect your title and your use of the land. When your Policy is issued, the coverage will be limited by the Policy's Exceptions, Exclusions and Conditions, defined below. - EXCEPTIONS are title risks that a Policy generally covers but does not cover in a particular instance. Exceptions are shown on Schedule B or discussed in Schedule C of the Commitment. They can also be added if you do not comply with the Conditions section of the Commitment. When the Policy is issued, all Exceptions will be on Schedule B of the Policy. - EXCLUSIONS are title risks that a Policy generally does not cover. Exclusions are contained in the Policy but not shown or discussed in the Commitment. -CONDITIONS are additional provisions that qualify or limit your coverage. Conditions include your responsibilities and those of the Company. They are contained in the Policy but not shown or discussed in the Commitment. The Policy Conditions are not the same as the Commitment Conditions. You can get a copy of the policy form approved by the State Board of Insurance by calling the Title Insurance Company at 1-800-925-0965 or by calling the title insurance agent that issued the Commitment. The State Board of Insurance may revise the policy form from time to time. You can also get a brochure that explains the policy from the Texas Department of Insurance by calling 1-800-252-3439. Before the Policy is issued,you may request changes in the policy. Some of the changes to consider are: - Request amendment of the "area and boundary" exception (Schedule B, paragraph 2). To get this amendment, you must furnish a survey or comply with other requirements of the Company. On the Owner Policy, you must pay an additional premium for the amendment. If the survey is acceptable to the Company and if the Company's other requirements are met, your Policy will insure you against loss because of discrepancies or conflicts in boundary lines, encroachments or protrusions, or overlapping of improvements. The Company may then decide not to insure against specific boundary or survey prnhlems by making special exception; in the Policy. Whether' ur not you request amendment of the "area and boundary" exception, you should determine whether you want to purchase and review a survey if a survey is not being provided to you. -Allow the Company to add an exception to"rights of parties in possession." If you refuse this exception, the Company or the title insurance agent may inspect the property. The Company may except to and not insure you against the rights of specific persons, such as renters, adverse owners or easement holders who occupy the land. The Company may charge you for the inspection. If you want to make your own inspection, you must sign a Waiver of Inspection form and allow the Company to add this exception to your Policy_ The entire premium for a Policy must be paid when the Policy is issued. You will not owe any additional premiums unless you want to increase your coverage at a later date and the Company agrees to add an Increased Value Endorsement.