HomeMy WebLinkAboutTitle Insurance AME
'c9y Owner's Policy of Title Insurance T-1
- = First American Title ISSUED BY
'YtT /fi—e First American Title Insurance Company
POLICY NUMBER
Owner's Policy NCS-642600TX4 0
Any notice of claim and any other notice or statement in writing required to be given the Company under this Policy must be given to
the Company at the address shown in Section 18 of the Conditions.
COVERED RISKS
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE
CONDITIONS,FIRST AMERICAN TITLE INSURANCE COMPANY,a California corporation(the"Company')insures,as of Date of Policy and,to
the extent stated in Covered Risks 9 and 10, after Date of Policy,against loss or damage, not exceeding the Amount of Insurance,sustained or
incurred by the Insured by reason of:
1. Title being vested other than as stated in Schedule A.
2. Any defect in or lien or encumbrance on the Title.This Covered Risk includes but is not limited to insurance against loss from:
(a) A defect in the Title caused by:
(i) forgery,fraud,undue influence,duress,incompetency,incapacity or impersonation;
(ii)failure of any person or Entity to have authorized a transfer or conveyance;
(iii) a document affecting Title not properly created,executed,witnessed,sealed,acknowledged,notarized or delivered;
(iv)failure to perform those acts necessary to create a document by electronic means authorized by law;
(v) a document executed under a falsified,expired or otherwise invalid power of attomey;
(vi) a document not properly filed, recorded or indexed in the Public Records including failure to perform those acts by electronic
means authorized by law;or
(vii)a defective judicial or administrative proceeding.
(b) The lien of real estate taxes or assessments imposed on the Title by a governmental authority due or payable,but unpaid.
(c) Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an
accurate and complete land strvey of the Land. The term"encroachment"includes encroachments of existing improvements located
on the Land onto adjoining land,and encroachments onto the Land of existing improvements located on adjoining land.
(d) Any statutory or constitutional mechanic's, contractor's, or materialman's lien for labor or materials having its inception on or before
Date of Policy.
3. Lack of good and indefeasible Title.
4. No right of access to and from the Land.
(Covered Risks Continued on Page 2
In Witness Whereof,First American Title Insurance Company has caused its corporate name to be hereunto affixed by its authorized officers as of Date of Policy shown in Schedule A.
First American Title Insurance Company
47:
1+lotE /"se:\ F.,.. mac.
• W ' s Dennis J.Gilmore
o • o ; President
SEPTEMBER 24, ;v
••• b • 1168
a * *
N. ,
Timothy Kemp
Secretary
This jacket was created electronically and constitutes an original document
(This Policy is valid only when Schedules A and B are attached)
Form 5025548(1-3-14) Page 1 of 13 TX T-1 Owner's Policy of Title Insurance(Rev. 1-3-14)
Texas
COVERED RISKS(Continued)
5. The violation or enforcement of any law, ordinance, permit, or governmental regulation (including those relating to building and zoning)
restricting, regulating,prohibiting or relating to:
(a) the occupancy,use or enjoyment of the Land;
(b) the character,dimensions or location of any improvement erected on the Land;
(c) subdivision of land;or
(d) environmental protection
if a notice, describing any part of the Land,is recorded in the Public Records setting forth the violation or intention to enforce,but only to
the extent of the violation or enforcement referred to in that notice.
6. An enforcement action based on the exercise of a governmental police power not covered by Covered Risk 5 if a notice of the enforcement
action, describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement referred to in that
notice,
7. The exercise of the rights of eminent domain if a notice of the exercise,describing any part of the Land,is recorded in the Public Records.
8. Any taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge.
9. Title being vested other than as stated in Schedule A or being defective:
(a) as a result of the avoidance in whole or in part,or from a court order providing an altemative remedy,of a transfer of all or any part of
the title to or any interest in the Land occurring prior to the transaction vesting Title as shown in Schedule A because that prior transfer
constituted a fraudulent or preferential transfer under federal bankruptcy,state insolvency or similar creditors'rights laws; or
(b) because the instrument of transfer vesting Title as shown in Schedule A constitutes a preferential transfer under federal bankruptcy,
state insolvency or similar creditors'rights laws by reason of the failure of its recording in the Public Records:
(i) to be timely,or
(ii) to impart notice of its existence to a purchaser for value or a judgment or lien creditor.
10. Any defect in or lien or encumbrance on the Title or other matter included in Covered Risks 1 through 9 that has been created or attached
or has been filed or recorded in the Public Records subsequent to Date of Policy and prior to the recording of the deed or other instrument
of transfer in the Public Records that vests Title as shown in Schedule A.
The Company will also pay the costs,attorneys'fees and expenses incurred in defense of any matter insured against by this Policy, but only to the
extent provided in the Conditions.
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of and not disclosed in writing to the Company by the Insured
this policy and the Company will not pay loss or damage, costs, Claimant prior to the date the Insured Claimant became an
attorneys'fees or expenses that arise by reason of: Insured under this policy;
1. (a) Any law, ordinance, permit, or governmental regulation (c) resulting in no loss or damage to the Insured Claimant;
(including those relating to building and zoning) restricting, (d) attaching or created subsequent to Date of Policy(however,
regulating,prohibiting or relating to: this does not modify or limit the coverage provided under
(i) the occupancy,use,or enjoyment of the Land; Covered Risk 9 and 10);or
(ii) the character, dimensions or location of any (e) resulting in loss or damage that would not have been
improvement erected on the Land; sustained if the Insured Claimant had paid value for the
(iii) subdivision of land;or Title.
(iv)environmental protection; 4. Any claim, by reason of the operation of federal bankruptcy,
or the effect of any violation of these laws, ordinances or state insolvency, or similar creditors' rights laws, that the
governmental regulations. This Exclusion 1(a) does not modify transaction vesting the Title as shown in Schedule A,is:
or limit the coverage provided under Covered Risk 5. (a) a fraudulent conveyance or fraudulent transfer;or
(b) Any governmental police power. This Exclusion 1(b) does (b) a preferential transfer for any reason not stated in Covered
not modify or limit the coverage provided under Covered Risk 9 of this policy.
Risk 6. 5. Any lien on the Title for real estate taxes or assessments
2. Rights of eminent domain. This Exclusion does not modify or imposed by governmental authority and created or attaching
limit the coverage provided under Covered Risk 7 or 8. between Date of Policy and the date of recording of the deed or
3. Defects,liens,encumbrances,adverse claims or other matters: other instrument of transfer in the Public Records that vests
(a) created, suffered, assumed or agreed to by the Insured Title as shown in Schedule A.
Claimant; 6. The refusal of any person to purchase, lease or lend money on
(b) not Known to the Company, not recorded in the Public the estate or interest covered hereby in the land described in
Records at Date of Policy, but Known to the Insured Schedule A because of Unmarketable Title.
Claimant
Form 5025548(1-3-14) Page 2 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
CONDITIONS
1. DEFINITION OF TERMS. (i) "Public Records": records established under state statutes
The following terms when used in this policy mean: at Date of Policy for the purpose of imparting constructive
(a) "Amount of Insurance":the amount stated in Schedule A,as notice of matters relating to real property to purchasers for
may be increased or decreased by endorsement to this value and without Knowledge. With respect to Covered
policy,increased by Section 8(b), or decreased by Sections Risk 5(d),"Public Records"shall also include environmental
10 and 11 of these Conditions. protection liens filed in the records of the clerk of the United
(b) "Date of Policy":The date designated as"Date of Policy"in States District Court for the district where the Land is
Schedule A. located.
(c) "Entity": A corporation, partnership, trust, limited liability (j) "Title":the estate or interest described in Schedule A.
company or other similar legal entity. (k) "Unmarketable Title": Title affected by an alleged or
(d) "Insured":the Insured named in Schedule A. apparent matter that would permit a prospective purchaser
(i) The term"Insured"also includes: or lessee of the Title or lender on the Title to be released
(A) successors to the Title of the Insured by operation from the obligation to purchase, lease or lend if there is a
of law as distinguished from purchase, including contractual condition requiring the delivery of marketable
heirs, devisees, survivors, personal representatives title.
or next of kin; 2. CONTINUATION OF INSURANCE.
(B) successors to an Insured by dissolution, merger, The coverage of this policy shall continue in force as of Date of
consolidation,distribution or reorganization; Policy in favor of an Insured, but only so long as the Insured
(C) successors to an Insured by its conversion to retains an estate or interest in the Land,or holds an obligation
another kind of Entity; secured by a purchase money Mortgage given by a purchaser
(D) a grantee of an Insured under a deed delivered from the Insured, or only so long as the Insured shall have
without payment of actual valuable consideration liability by reason of warranties in any transfer or conveyance of
conveying the Title; the Title. This policy shall not continue in force in favor of any
(1) If the stock, shares, memberships, or other purchaser from the Insured of either(i) an estate or interest in
equity interests of the grantee are wholly- the Land, or (ii) an obligation secured by a purchase money
owned by the named Insured, Mortgage given to the Insured.
(2) If the grantee wholly owns the named 3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT.
Insured, The Insured shall notify the Company promptly in writing (i) in
(3) If the grantee is wholly-owned by an case of any litigation as set forth in Section 5(a)below,or(ii)in
affiliated Entity of the named Insured, case Knowledge shall come to an Insured hereunder of any
provided the affiliated Entity and the named claim of title or interest that is adverse to the Title, as insured,
Insured are both wholly-owned by the same and that might cause loss or damage for which the Company
person or Entity,or may be liable by virtue of this policy. If the Company is
(4) If the grantee is a trustee or beneficiary of a prejudiced by the failure of the Insured Claimant to provide
trust created by a written instrument prompt notice, the Company's liability to the Insured Claimant
established by the Insured named in under the policy shall be reduced to the extent of the prejudice.
Schedule A for estate planning purposes.
(ii) With regard to(A), (B), (C) and (D)reserving, however, When, after the Date of the Policy, the Insured notifies the
all rights and defenses as to any successor that the Company as required herein of a lien, encumbrance, adverse
Company would have had against any predecessor claim or other defect in Title insured by this policy that is not
Insured. excluded or excepted from the coverage of this policy, the
(e) "Insured Claimant":an Insured claiming loss or damage. Company shall promptly investigate the charge to determine
(0 "Knowledge" or "Known": actual knowledge, not whether the lien, encumbrance, adverse claim or defect or
constructive knowledge or notice that may be imputed to an other matter is valid and not barred by law or statute. The
Insured by reason of the Public Records or any other Company shall notify the Insured in writing,within a reasonable
records that impart constructive notice of matters affecting time, of its determination as to the validity or invalidity of the
the Title. Insured's claim or charge under the policy. If the Company
(g) "Land": the land described in Schedule A, and affixed concludes that the lien, encumbrance, adverse claim or defect
improvements that by law constitute real property.The term is not covered by this policy,or was otherwise addressed in the
"Land"does not include any property beyond the lines of the closing of the transaction in connection with which this policy
area described in Schedule A, nor any right, title, interest, was issued, the Company shall specifically advise the Insured
estate or easement in abutting streets, roads, avenues, of the reasons for its determination. If the Company concludes
alleys, lanes, ways or waterways, but this does not modify that the lien, encumbrance,adverse claim or defect is valid,the
or limit the extent that a right of access to and from the Land Company shall take one of the following actions: (i)institute the
is insured by this policy, necessary proceedings to clear the lien,encumbrance,adverse
(h) "Mortgage": mortgage, deed of trust, trust deed, or other claim or defect from the Title as insured; (ii) indemnify the
security instrument, including one evidenced by electronic Insured as provided in this policy; (iii) upon payment of
means authorized by law. appropriate premium and charges therefor,issue to the Insured
Form 5025548(1-3-14) Page 3 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
CONDITIONS(Continued)
Claimant or to a subsequent owner, mortgagee or holder of the aid (i) in securing evidence, obtaining witnesses,
estate or interest in the Land insured by this policy, a policy of prosecuting or defendingthe action or proceeding, or
title insurance without exception for the lien, encumbrance, effecting settlement, and (ii) in any other lawful act that in
adverse claim or defect said policy to be in an amount equal to the opinion of the Company may be necessary or desirable
the current value of the Land or,if a loan policy,the amount of to establish the Title or any other matter as insured. If the
the loan; (iv) indemnify another title insurance company in Company is prejudiced by the failure of the Insured to
connection with its issuance of a policy(ies) of title insurance furnish the required cooperation,the Company's obligations
without exception for the lien, encumbrance, adverse claim or to the Insured under the policy shall terminate, including
defect; (v) secure a release or other document discharging the any liability or obligation to defend, prosecute, or continue
lien,encumbrance, adverse claim or defect;or(v) undertake a any litigation,with regard to the matter or matters requiring
combination of(i)through(v)herein. such cooperation.
4. PROOF OF LOSS. (b) The Company may reasonably require the Insured
In the event the Company is unable to determine the amount of Claimant to submit to examination under oath by any
loss or damage, the Company may, at its option, require as a authorized representative of the Company and to produce
condition of payment that the Insured Claimant furnish a signed for examination, inspection and copying, at such
proof of loss. The proof of loss must describe the defect, lien, reasonable times and places as may be designated by the
encumbrance or other matter insured against by this policy that authorized representative of the Company, all records, in
constitutes the basis of loss or damage and shall state, to the whatever medium maintained, including books, ledgers,
extent possible,the basis of calculating the amount of the loss checks, memoranda, correspondence, reports, e-mails,
or damage. disks, tapes,and videos whether bearing a date before or
5. DEFENSE AND PROSECUTION OF ACTIONS. after Date of Policy, that reasonably pertain to the loss or
(a) Upon written request by the Insured, and subject to the damage. Further, if requested by any authorized
options contained in Sections 3 and 7 of these Conditions, representative of the Company, the Insured Claimant shall
the Company, at its own cost and without unreasonable grant its permission, in writing, for any authorized
delay,shall provide for the defense of an Insured in litigation representative of the Company to examine, inspect and
in which any third party asserts a claim covered by this copy all of these records in the custody or control of a third
policy adverse to the Insured. This obligation is limited to party that reasonably pertain to the loss or damage. All
only those stated causes of action alleging matters insured information designated as confidential by the Insured
against by this policy.The Company shall have the right to Claimant provided to the Company pursuant to this Section
select counsel of its choice (subject to the right of the shall not be disclosed to others unless, in the reasonable
Insured to object for reasonable cause) to represent the judgment of the Compaq, it is necessary in the
Insured as to those stated causes of action. It shall not be administration of the claim. Failure of the Insured Claimant
liable for and will not pay the fees of any other counsel.The to submit for examination under oath, produce any
Company will not pay any fees,costs or expenses incurred reasonably requested information or grant permission to
by the Insured in the defense of those causes of action that secure reasonably necessary information from third parties
allege matters not insured against by this policy. as required in this subsection, unless prohibited by law or
(b) The Company shall have the right, in addition to the options governmental regulation, shall terminate any liability of the
contained in Sections 3 and 7, at its own cost, to institute Company under this policy as to that claim.
and prosecute any action or proceeding or to do any other 7. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS;
act that in its opinion may be necessary or desirable to TERMINATION OF LIABILITY.
establish the Title, as insured, or to prevent or reduce loss In case of a claim under this policy,the Company shall have the
or damage to the Insured. The Company may take any following additional options:
appropriate action under the terms of this policy,whether or (a) To Pay or Tender Payment of the Amount of Insurance,
not it shall be liable to the Insured. The exercise of these To pay or tender payment of the Amount of Insurance
rights shall not be an admission of liability or waiver of any under this policy together with any costs, attorneys' fees
provision of this policy. If the Company exercises its rights and expenses incurred by the Insured Claimant that were
under this subsection,it must do so diligently. authorized by the Company up to the time of payment or
(c) Whenever the Company brings an action or asserts a tender of payment and that the Company is obligated to
defense as required or permitted by this policy, the pay.
Company may pursue the litigation to a final determination Upon the exercise by the Company of this option,all liability
by a court of competent jurisdiction and it expressly and obligations of the Company to the Insured under this
reserves the right, in its sole discretion,to appeal from any policy, other than to make the payment required in this
adverse judgment or order. subsection, shall terminate, including any liability or
6. DUTY OF INSURED CLAIMANT TO COOPERATE, obligation to defend,prosecute,or continue any litigation.
(a) In all cases where this policy permits or requires the (b) To Pay or Otherwise Settle With Parties Other than the
Company to prosecute or provide for the defense of any Insured or With the Insured Claimant.
action or proceeding and any appeals, the Insured shall (i) To pay or otherwise settle with other parties for or in the
secure to the Company the right to so prosecute or provide name of an Insured Claimant any claim insured against
defense in the action or proceeding, including the right to under this policy.In addition,the Company will pay any
use,at its option,the name of the Insured for this purpose. costs, attorneys' fees and expenses incurred by the
Whenever requested by the Company, the Insured, at the Insured Claimant that were authorized by the Company
Company's expense,shall give the Company all reasonable up to the time of payment and that the Company is
Form 5025548(1-3-14) Page 4 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
CONDITIONS(Continued)
obligated to pay;or by the amount of the payment.
(ii) to pay or otherwise settle with the Insured Claimant the 11. LIABILITY NONCUMULATIVE.
loss or damage provided for under this policy, together The Amount of Insurance shall be reduced by any amount the
with any costs, attorneys' fees and expenses incurred Company pays under any policy insuring a Mortgage to which
by the Insured Claimant that were authorized by the exception is taken in Schedule B or to which the Insured has
Company up to the time of payment and that the agreed, assumed, or taken subject or which is executed by an
Company is obligated to pay. Upon the exercise by the Insured after Date of Policy and which is a charge or lien on the
Company of either of the options provided for in Title,and the amount so paid shall be deemed a payment to the
subsections (b)(i) or (ii), the Company's obligations to Insured under this policy.
the Insured under this policy for the claimed loss or 12. PAYMENT OF LOSS.
damage, other than the payments required to be made, When liability and the extent of loss or damage have been
shall terminate, including any liability or obligation to definitely fixed in accordance with these Conditions, the
defend,prosecute or continue any litigation. payment shall be made within 30 days.
8. DETERMINATION AND EXTENT OF LIABILITY. 13. RIGHTS OF RECOVERY UPON PAYMENT OR
This policy is a contract of indemnity against actual monetary SETTLEMENT.
loss or damage sustained or incurred by the Insured Claimant (a) Whenever the Company shall have settled and paid a claim
who has suffered loss or damage by reason of matters insured under this policy, it shall be subrogated and entitled to the
against by this policy. rights of the Insured Claimant in the Title and all other rights
(a) The extent of liability of the Company for loss or damage and remedies in respect to the claim that the Insured
under this policy shall not exceed the lesser of: Claimant has against any person or property,to the extent
(i) the Amount of Insurance;or of the amount of any loss, costs, attorneys' fees and
(ii) the difference between the value of the Title as insured expenses paid by the Company. If requested by the
and the value of the Title subject to the risk insured Company,the Insured Claimant shall execute documents to
against by this policy. evidence the transfer to the Company of these rights and
(b) If the Company pursues its rights under Section 3 or 5 and remedies. The Insured Claimant shall permit the Company
is unsuccessful in establishing the Title,as insured, to sue, compromise or settle in the name of the Insured
(i) the Amount of Insurance shall be increased by 10%, Claimant and to use the name of the Insured Claimant in
and any transaction or litigation involving these rights and
(ii) the Insured Claimant shall have the right to have the remedies,
loss or damage determined either as of the date the If a payment on account of a claim does not fully cover the
claim was made by the Insured Claimant or as of the loss of the Insured Claimant, the Company shall defer the
date it is settled and paid. exercise of its right to recover until after the Insured
(c) In addition to the extent of liability under (a) and (b), the Claimant shall have recovered its loss.
Company will also pay those costs, attorneys' fees and (b) The Company's right of subrogation includes the rights of
expenses incurred in accordance with Sections 5 and 7 of the Insured to indemnities, guaranties, other policies of
these Conditions. insurance or bonds, notwithstanding any terms or
9. LIMITATION OF LIABILITY. conditions contained in those instruments that address
(a) If the Company establishes the Title,or removes the alleged subrogation rights.
defect, lien or encumbrance,or cures the lack of a right of 14. ARBITRATION.
access to or from the Land,all as insured,or takes action in Either the Company or the Insured may demand that the claim or
accordance with Section 3 or 7, in a reasonably diligent controversy shall be submitted to arbitration pursuant to the Title
manner by any method, including litigation and the Insurance Arbitration Rules of the American Land Title
completion of any appeals, it shall have fully performed its Association("Rules").Except as provided in the Rules,there shall
obligations with respect to that matter and shall not be liable be no joinder or consolidation with claims or controversies of
for any loss or damage caused to the Insured. other persons.Arbitrable matters may include,but are not limited
(b) In the event of any litigation, including litigation by the to, any controversy or claim between the Company and the
Company or with the Company's consent, the Company Insured arising out of or relating to this policy, any service in
shall have no liability for loss or damage until there has connection with its issuance or the breach of a policy provision,or
been a final determination by a court of competent to any other controversy or claim arising out of the transaction
jurisdiction, and disposition of all appeals, adverse to the giving rise to this policy. All arbitrable matters when the Amount
Title,as insured. of Insurance is$2,000,000 or less shall be arbitrated at the option
(c) The Company shall not be liable for loss or damage to the of either the Company or the Insured, unless the Insured is an
Insured for liability voluntarily assumed by the Insured in individual person (as distinguished from an Entity). All arbitrable
settling any claim or suit without the prior written consent of matters when the Amount of Insurance is in excess of$2,000,000
the Company. shall be arbitrated only when agreed to by both the Company and
10. REDUCTION OF INSURANCE; REDUCTION OR the Insured. Arbitration pursuant to this policy and under the
TERMINATION OF LIABILITY. Rules shall be binding upon the parties. Judgment upon the
All payments under this policy, except payments made for costs, award rendered by the Arbitrator(s) may be entered in any court
attorneys'fees and expenses,shall reduce the Amount of Insurance of competent jurisdiction.
Form 5025548(1-3-14) Page 5 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
CONDITIONS(Continued)
15.LIABILITY UMITED TO THIS POUCY; POLICY ENTIRE 16.SEVERABILITY.
CONTRACT. In the event any provision of this policy, in whole or in part, is
(a) This policy together with all endorsements, if any, attached held invalid or unenforceable under applicable law, the policy
to it by the Company is the entire policy and contract shall be deemed not to include that provision or such part held
between the Insured and the Company. In interpreting any to be invalid and all other provisions shall remain in full force
provision of this policy, this policy shall be construed as a and effect.
whole. 17. CHOICE OF LAW;FORUM.
(b) Any claim of loss or damage that arises out of the status of (a) Choice of Law: The Insured acknowledges the Company
the Title or by any action asserting such claim, shall be has underwritten the risks covered by this policy and
restricted to this policy. determined the premium charged therefor in reliance upon
(c) Any amendment of or endorsement to this policy must be in the law affecting interests in real property and applicable to
writing and authenticated by an authorized person, or the interpretation, rights, remedies or enforcement of
expressly incorporated by Schedule A of this policy. policies of title insurance of the jurisdiction where the Land
(d) Each endorsement to this policy issued at any time is made is located.
a part of this policy and is subject to all of its terms and Therefore, the court or an arbitrator shall apply the law of
provisions. Except as the endorsement expressly states, it the jurisdiction where the Land is located to determine the
does not (i) modify any of the terms and provisions of the validity of claims against the Title that are adverse to the
policy, (ii) modify any prior endorsement, (iii) extend the Insured, and in interpreting and enforcing the terms of this
Date of Policy or (iv) increase the Amount of Insurance. policy. In neither case shall the cont or arbitrator apply its
Each Commitment, endorsement or other form,or provision conflicts of laws principles to determine the applicable law.
in the Schedules to this policy that refers to a term defined (b) Choice of Forum:Any litigation or other proceeding brought
in Section 1 of the Conditions shall be deemed to refer to by the Insured against the Company must be filed only in a
the term regardless of whether the term is capitalized in the state or federal court within the United States of America or
Commitment, endorsement or other form, or Schedule. its territories having appropriate jurisdiction.
Each Commitment, endorsement or other form,or provision 18. NOTICES,WHERE SENT.
in the Schedules that refers to the. Conditions and Any notice of claim and any other notice or statement in writing
Stipulations shall be deemed to refer to the Conditions of required to be given to the Company under this Policy must be
this policy. given to the Company at First American Title Insurance
Company, Attn: Claims National Intake Center, 1 First
American Way, Santa Ana, California 92707. Phone: 888-
632-1642.
p M E R I
First American Title
Form 5025548(1-3-14) Page 6 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
t.� Owner Policy of Title Insurance (T-1)
-43016-, First ihnerican
ISSUED BY
First American Title Insurance Company
Schedule A
POLICY NUMBER
NCS-642600TX4 0
Name and Address of Title Insurance Company:
First American Title Insurance Company, 1 First American Way,Santa Ana, CA 92707.
File No.: ncs-642600TX4
Date of Policy: April 3, 2014 at 9:59 A.M.
Address for Reference only: 4074 State Hwy 6 South, College Station, Brazos,TX
Amount of Insurance: $1,375,000.00 Premium: $
1. Name of Insured:
SecurCare Properties I, LLC, a Delaware limited liability company
2. The estate or interest in the Land that is insured by this policy is:
Fee Simple
3. Title is insured as vested in:
SecurCare Properties I, LLC, a Delaware limited liability company
4. The land referred to in this policy is described as follows:
All that certain lot, tract or parcel of land being 5.79 acres situated in the Robert Stevenson League,
Abstract No. 54, Brazos County,Texas, and being out of and a part of the remainder of a called 21.00
acre tract of land being the remainder of a called 21.96 acre tract of land conveyed to the J. K.
Development, L.L.P, by Deed filed for record in Volume 2539, Page 71 of the Official Records of Brazos
County, Texas, (O.R.B.C.T.); said 5.79 acre tract of land being the front 665 feet average, more or less,
abutting State Highway No. 6 of said called 21.00 acre tract of land and said called 21.96 acre tract of
land and being more particularly described by metes and bounds as follows:
Beginning at a fence corner found for southeast corner at the southeasterly corner, as occupied, of said
remainder of the called 21.00 acre tract of land and said remainder of the called 21.96 acre tract of land,
same being the northeast corner, as occupied, of the Peyton Waller called 22.8 acre tract as described in
Volume 327, Page 90 of the Deed Records of Brazos County,Texas(D.R.B.C.T.), same being a point in
the southwesterly right-of-way line of State Highway No. 6 (Texas Avenue);
Thence: S 51° 21' 00"W, generally along an existing fence with the southerly line of said called 21.00
acre and said called 22.8 acre Peyton Walter tract of land, as occupied,at 402.30 feet passing a Fnd.
1/2" iron rod, in all a distance of 673.32 feet to a 1/2" iron rod set for the southwest corner;
Thence: N 34° 28' 45" W, leaving said southerly line of the called 21.00 acre and said called 21.96 acre
tracts of land and said northerly line of the called 22.8 acre Peyton Waller tract of land, and with a line
across and through the interior of said called 21.00 acre and said called 21.96 acre tracts of land, a
distance of 406.16 feet to a 1/2" iron rod set for northwest corner in a fence line being the most easterly
north line of said called 21.00 acre and said called 21.96 acre tracts of land, as occupied, and the
southerly line of a called 11.965 acre tract of land conveyed to Bob Griffin by Deed of record in Volume
240, Page 77 (D.R.B.C.T.);
Form 5025548(1-3-14) Page 7 of 13 TX T-1 Owner's Policy of Title Insurance(Rev. 1-3-14)
Texas
Thence: N 55° 19' 17" E, leaving said line though the interior of the called 21.00 acre and said called
21.96 acre tracts of land, and with said most easterly north line of the called 21.00 acre and said called
21.96 acre tract of land and said southerly line of the called 11.965 acre Bob Griffin tract of land, as
occupied, generally along a fence line, at 271.26 feet passing a Fnd. 1/2" iron rod, in all a distance of
654.10 feet to a fence corner found for northeast corner at the northeasterly corner of said remainder of
the called 21.00 acre and said remainder of the called 21.96 acre tract of land, same being the
southeasterly corner of said called 11.965 acre Bob Griffin tract of land, same also being a point in the
aforesaid southwesterly right-of-way line of State Highway No. 6(Texas Avenue);and
Thence: along said southwesterly right-of-way line, as occupied, of State Highway No. 6(Texas Avenue),
and the easterly line of said remainder of the called 21.00 acre and said remainder of the called 21.96
acre tracts of land,generally along a fence line, S 31° 21' 22" E 103.50 feet to a 1/2" iron rod found for
angle point and S 39° 37 47" E- 257.18 feet to a fence corner found for the Point of Beginning and
containing an area of 5.79 acres of land, more or less.
Note: The Company is prohibited from insuring the area or quantity of land described herein. Any
statement in the above legal description of the area or quantity of land is not a representation that such
area or quantity is correct, but is made only for informational and/or identification purposes and does not
override Item 2 of Schedule B hereof.
Form 5025548(1-3-14) Page 8 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
Countersigned at Holston,Texas
AUTHORIZED SIGNATORY
Form 5025548(1-3-14) Page 9 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
.-r., Owner Policy of Title Insurance (T-1)
First American
ISSUED BY
First American Title Insurance Company
Schedule B
POLICY NUMBER
NCS-642600TX4 0
File No. ncs-642600TX4
This policy does not insure against loss or damage(and the Company will not pay costs, attorney's fees or
expenses) that arise by reason of the terms and conditions of the leases and easements, if any, shown in
Schedule A and the following matters:
1. The following restrictive covenants of record itemized below:
(the Company must either insert specific recording data or delete this exception)
Item No. 1 has been intentionally deleted.
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.
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 right of
access to that area or easement along and across that area.
5. Standby fees, taxes and assessments by any taxing authority for the year 2014, 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.
6. The following matters and all terms of the documents creating or offering evidence of the matters:
(the Company must insert matters or delete this exception)
a. Rights of Parties in Possession.
b. All leases, grants, exceptions or reservations of coal, lignite, oil, gas and other minerals,
together with all rights, privileges, and immunities relating thereto, appearing in the
Public Records whether listed in Schedule B or not.There may be leases, grants,
exceptions or reservations of mineral interest that are not listed.
c. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting
title that would be disclosed by an accurate and complete land survey of the land.
Form 5025548(1-3-14) Page 10 of 13 TX T-1 Owner's Policy of Title Insurance(Rev. 1-3-14)
Texas
d. Rights of tenants in possession,as tenants only, under current storage building leases.
e. Easement:
From: JK Development, LL.P,
To: City of College Station
Dated: October 21, 1996
Recorded: Volume 2710, Page 260,Official Records, Brazos County,Texas.
f. Easement:
From: JK Development, L.L.P.
To: City of College Station
Dated: October 21, 1996
Recorded: Volume 2710, Page 263,Offidal Records, Brazos County,Texas.
g. Blanket Electrical Easement:
From: Mrs. J. W. (Sarah) Higgins
To: City of Bryan
Dated: May 7, 1937
Recorded: Volume 98, Page 73, Deed Records, Brazos County,Texas.
h. 10'Telephone Easement:
From: Joseph S. Osoba
To: General Telephone Company
Dated: October 13, 1978
Recorded: Volume 413, Page 793, Deed Records, Brazos County,Texas.
20' Electric Easement:
From: Joseph S. Osoba
To: City of Bryan
Dated: June 22, 1981
Recorded: Volume 489, Page 406, Deed Records, Brazos County,Texas.
j. 20' Public Utility Easement:
From: Joseph S. Osoba and wife, Mildred Osoba
To: City of College Station
Dated: June 16, 1983
Recorded: Volume 584, Page 536, Deed Records, Brazos County,Texas.
k. 20' Electric Easement:
From: Brazosland Properties, Inc.
To: City of College Station
Dated: December 20, 1983
Recorded: Volume 633, Page 598,Official Records, Brazos County,Texas.
20' Telephone Easement:
From: Brazosland Properties, Inc.
To: General Telephone Company
Dated: March 20, 1983
Recorded: Volume 666, Page 317, Official Records, Brazos County,Texas.
m. 10' Gas Line Easement:
From: Brazosland Properties, Inc.
To: Enserch Corporation
Dated: February 9, 1984
Recorded: Volume 670, Page 383,Official Records, Brazos County,Texas.
Form 5025548(1-3-14) Page 11 of 13 TX T-1 Owner's Policy of Title Insurance(Rev.1-3-14)
Texas
n. Easement:
From: Securcare Properties X, Ltd.
To: JK Development, L.L.P.
Dated: February 12, 1999
Recorded: Volume 3564, Page 311, Official Records, Brazos County,Texas.
o. Mineral Reservation in Deed:
By: Joseph S. Osoba and wife, Mildred S. Osoba
To: Brazosland Properties, Inc.
Dated: October 11, 1983
Recorded: Volume 615, Page 287, Offidal Records, Brazos County,Texas. Title to said
interest has not been investigated subsequent to the date of the aforesaid instrument.
P. Mineral Reservation in Deed:
By: First American Bank
To: Kenneth L. Neatherlin and James R.Jackson
Dated: August 16, 1993
Recorded: Volume 1895, Page 75, Official Records, Brazos County,Texas. Title to said
interest has not been investigated subsequent to the date of the aforesaid instrument.
q. Oil and Gas Lease, and all terms, conditions and stipulations therein:
Lessor: First American Bank
Lessee: Sage Energy Corporation
Dated: October 1, 1992
Recorded: Volume 1641, Page 91, Official Records, Brazos County,Texas. Title to said
interest has not been investigated subsequent to the date of the aforesaid instrument.
r. Oil and Gas Lease,and all terms, conditions and stipulations therein:
Lessor: Joseph S. Osoba
Lessee: Sage Energy Corporation
Dated: October 6, 1992
Recorded: Volume 1641, Page 147, Official Records, Brazos County,Texas.Title to said
interest has not been investigated subsequent to the date of the aforesaid instrument.
s. Any and all matters as disdosed by ALTA/ACSM Land Title survey prepared by JRH
Consulting Group, dated July 12, 2007.
Form 5025548(1-3-14) Page 12 of 13 TX T-1 Owner's Policy of Title Insurance(Rev. 1-3-14)
Texas
45 "` Important Notice
First American ISSUED BY
First American Title Insurance Company
IMPORTANT NOTICE AVISO IMPORTANTE
To obtain information or make a complaint: Para obtener informacion o para someter una queja:
You may call First American Title Insurance Company's Usted puede llamar al numero de telefono gratis de First
toll-free telephone number for information or to make a American Title Insurance Company's para informacion o
complaint at: para someter una queja al:
1-888-632-1642 1-888-632-1642
You may also write to First American Title Insurance Usted tambien puede escribir a First American Title
Company at: Insurance Company:
1 First American Way 1 First American Way
Santa Ana, California 92707 Santa Ana, California 92707
You may contact the Texas Department of Insurance to Puede comunicarse con el Departamento de Seguros de
obtain information on companies, coverages, rights or Texas para obtener informacion acerca de companias,
complaints at: coberturas, derechos o quejas al:
1-800-252-3439 1-800-252-3439
You may write the Texas Department of Insurance: Puede escribir al Departamento de Seguros de Texas:
P.O. Box 149104 P.O. Box 149104
Austin, TX 78714-9104 Austin, TX 78714-9104
Fax: (512)475-1771 Fax: (512) 475-1771
Web:http://www.tdi.state.tx.us Web:http://www.tdi.state.tx.us
E-mail: ConsumerProtection@tdi.state.tx.us E-mail: ConsumerProtection@tdi.state.tx.us
PREMIUM OR CLAIM DISPUTES: DISPUTAS SOBRE PRIMAS 0 RECLAMOS:
Should you have a dispute concerning your premium or Si tiene una disputa concemiente a su prima o a un
about a claim you should contact First American Title reclamo, debe comunicarse con el First American Title
Insurance Company first. If the dispute is not resolved, you Insurance Company primero. Si no se resuelve la disputa,
may contact the Texas Department of Insurance. puede entonces comunicarse con el departamento(TDI).
ATTACH THIS NOTICE TO YOUR POLICY: UNA ESTE AVISO A SU POLIZA:
This notice is for information only and does not become a Este aviso es solo para proposito de informacion y no se
part or condition of the attached document. convierte en parte o condicion del documento adjunto.
Form 50-TXNOTICE (11-1-09) Page 1 of 1 Mandatory Complaint Notice (11-1-09)
Texas
Form 5025548(1-3-14) Page 13 of 13 TX T-1 Owner's Policy of Title Insurance(Rev. 1-3-14)
Texas