HomeMy WebLinkAboutTitle Insurance COMMITMENT FOR TITLE INSURANCE T-7
ISSUED BY
STEWART TITLE GUARANTY COMPANY
SCHEDULE A
Effective Date: March 6,2015,8:00 am GF No. BC1503556
Commitment No. issued March 9,2015,
1. The policy or policies to be issued are:
a. OWNER'S POLICY OF TITLE INSURANCE(Form T-1)
(Not applicable for improved one-to-four family residential real estate)
Policy Amount:
PROPOSED INSURED: J&L Roman Investments,LLC
b. TEXAS RESIDENTIAL OWNER'S POLICY OF TITLE INSURANCE
ONE-TO-FOUR FAMILY RESIDENCES (Form T-1 R)
Policy Amount:
PROPOSED INSURED:
c. LOAN POLICY OF TITLE INSURANCE(Form T-2)
Policy Amount:
PROPOSED INSURED: The Bank&Trust of Bryan/College Station
Proposed Borrower: J&L Roman Investments,LLC
d. TEXAS SHORT FORM RESIDENTIAL LOAN POLICY OF TITLE INSURANCE(Form T-2R)
Policy Amount:
PROPOSED INSURED:
Proposed Borrower:
e. LOAN TITLE POLICY BINDER ON INTERIM CONSTRUCTION LOAN(Form T-13)
Binder 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:
College Station MarketPlace,LP
FORM T-7: Commitment for Title Insurance Page 1
, 4. Legal description of land:
Being all that 2.28 acre tract or parcel of land,lying and being situated in the Robert Stevenson Survey,Abstract
No.54,College Station,Brazos County,Texas,and being part of the 89.42 acre-Tract One and part of the 4.65
acre-Tract Three,described in the deed from Timothy J.Crowley,to College Station Marketplace,L.P.as
recorded in Volume 8274,Page 111,of the Official Records of Brazos County,Texas,and said 2.28 acre tract
being more particularly described as follows:
BEGINNING at a"X" in concrete set in the common line between the beforementioned 4.65 acre tract and
Arrington Road-80' right-of-way,as shown on the Right-of-way Dedication,Arrington Road and 80' Decatur
Drive,according to the plat recorded in Volume 7800,Page 12,of the Official Records of Brazos County,Texas,
the west corner of the beforementioned 4.65 acre tract bears N 27°50' 14" W-23.16 feet,said 1/2" iron rod also
being the south corner of proposed Lot 23B - 1.55 acres,Block 3;
THENCE along the centerline of a proposed 40'wide private access and public utility easement,as follows:
N 62°09' 46" E for a distance of 73.42 feet to a "X" in concrete set;
N 50°47'22" E for a distance of 261.96 feet to a "X" in concrete set;
THENCE S39° 12' 38" E for a distance of 275.00 feet to a 1/2" iron rod&cap set in the northwest right-of-way line
of State Highway No.40,(W.D.Fitch Parkway);
THENCE along the northwest right-of-way line of the beforementioned State Highway No.40,as follows:
S 50°47'22" W for a distance of 177.94 feet to a concrete right-of-way marker found,
S 53°41' 54" W for a distance of 177.54 feet to a 1/2"iron rod &cap found marking the beginning of a transition
curve,(from State Highway No.40 to Arrington Road),said curve being concave to the north,having a
radius of 30.00 feet;
THENCE Northwesterly along said transition curve,for an arc distance of 51.56 feet to a 1/2" iron rod&cap
found marking the end of this curve,in the northeast right-of-way line of the beforementioned Arrington Road,
the chord bears N 77°04' 10" W-45.44 feet;
THENCE N 27°50' 14" W along the northeast right-of-way line of the beforementioned Arrington Road,for a
distance of 249.49 feet to the PLACE OF BEGINNING,containing 2.28 acres of land,more or less.
NOTE: The Company is prohibited from insuring the area or quantity of the 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.
COMMITMENT FOR TITLE INSURANCE T-7
ISSUED BY
GF No. BC1503556
STEWART TITLE GUARANTY COMPANY
SCHEDULE B
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):
Terms,provisions,covenants,conditions,and restrictions,easements,charges,assessments and liens provided in
the Covenants,Conditions and Restrictions recorded in Volume 9375,page 122,Volume 9497,page 198,Volume
9530,page 98,Volume 10036,page 24,Volume 10512,page 159,Volume 11153,page 1 and Volume 11703,page
216,Official Records of Brazos County,Texas,but omitting any covenant,condition or restrictions,if any,based
on race,color,religion,sex,handicap,familial status or national origin unless and only to the extent that the
covenant,condition or restrictions(a)is exempt under Title 42 of the United States Code,or(b)related to
handicap,but does not discriminate against handicapped persons.
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's
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's Policy only.)
5. Standby fees, taxes and assessments by any taxing authority for the year 2015, 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 Loan 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 2015 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 Loan Title Policy
Binder on Interim Construction Loan only, and may be deleted if satisfactory evidence is furnished 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
Loan Policy(T-2)only.)
FORM T-7: Commitment for Title Insurance Page 3
Continuation of Schedule B GF No. BC1503556
9. The Exceptions from Coverage and Express Insurance in Schedule B of the Texas Short Form Residential Loan Policy of
Title Insurance(T-2R). (Applies to Texas Short Form Residential Loan Policy of Title Insurance(T-2R)only.) Separate
exceptions 1 through 8 of this Schedule B do not apply to the Texas Short Form Residential Loan Policy of Title
Insurance(T-2R).
10. The following matters and all terms of the documents creating or offering evidence of the matters (We must insert
matters or delete this exception.):
a. Rights of Parties in possession. (Owner's Policy Only)
b. Easements,or claims of easements,which are not recorded in the public records. (Owner's Policy Only)
c. Right-of-Way Agreement from Timothy J.Crowley to Seminole Pipeline Company,dated February 26,
2002,recorded in Volume 4555,page 294,Official Records of Brazos County,Texas.
d. Utility Easement from Timothy J.Crowley to City of College Station,Texas,dated May 7,2003,recorded in
Volume 5282,page 202,Official Records of Brazos County,Texas.
e. Right-of-Way Agreement from Timothy J. Crowley to Devon Gas Services,L.P.,dated April 12,2004,
recorded in Volume 6096,page 229,Official Records of Brazos County,Texas;assigned to ETC Texas
Pipeline,Ltd.,in Volume 6881,page 64,Official Records of Brazos County,Texas.
f. Public Utility Easement from Timothy J. Crowley to City of College Station,Texas,dated May 30,2007,
recorded in Volume 8002,page 289,Official Records of Brazos County,Texas.
g. Terms,conditions and stipulations contained in Declaration of Easements,Covenants,Conditions and
Restrictions by and between HEB Grocery Company,LP and College Station MarketPlace,L.P.,dated
February 10,2010,recorded in Volume 9497,page 198,corrected in Volume 9530,page 98,Official Records
of Brazos County,Texas.
h. Sign Easement Agreement from College Station MarketPlace,L.P.to AEI net Leayse Incomve and Growth
Fund XX Limited Partnership,AEI Income& Growth Fund XXI,Limited Partnership and AEI Income &
Growth 25,LLC,dated October 20,2010,recorded in Volume 9845,page 52,Official Records of Brazos
County,Texas.
i. Temporary Blanket Utility Easement from College Station Marketplace,LP to City of College Station,dated
November 24,2010,recorded in Volume 9928,page 153,Official Records of Brazos County,Texas.
j. Public Utility Easement from College Station MarketPlace,LP to City of College Station,dated October 26,
2011,recorded in Volume 10392,page 284,Official Records of Brazos County,Texas.
k. Mineral reservation in Deed from Edith Cavitt Estate et al to United Four Joint Venture,dated December
16, 1982,recorded in Volume 564,page 504,Deed Records of Brazos County,Texas. Title to this
reservation has not been traced subsequent to the date of the above-cited instrument.
1. Royalty reservation in Deed from Robert B.Waltman et ux to Timothy J. Crowley,dated January 24, 1992,
but effective December 31, 1991,recorded in Volume 1415,page 74,Official Records of Brazos County,
Texas.Title to this reservation has not been traced subsequent to the date of the above-cited instrument.
m. Mineral reservation in Deed from Timothy J.Crowley to College Station Marketplace,L.P.,dated October
3,2007,recorded in Volume 8274,page 111,Official Records of Brazos County,Texas. Title to this
reservation has not been traced subsequent to the date of the above-cited instrument.
FORM T-7: Commitment for Title Insurance Page 4
Continuation of Schedule B GF No. BC1503556
n. Estate created by Oil and Gas Lease from Edith Cavitt Estate et al to Cayuga Exploration,Inc.,dated
August 15,1977,recorded in Volume 27,page 530,O&GL Records of Brazos County,Texas. Title to this
lease has not been traced subsequent to the date of the above-cited instrument.
o. Estate created by Oil and Gas Lease from Timothy J.Crowley,et al to Union Pacific Resources Company,
dated May 29,1990,recorded in Volume 1205,page 135,Official Records of Brazos County,Texas; as
ratified in instruments recorded in Volume 1197,page 837 and 839;Volume 1220,pages 311,313,315 and
317 and Volume 1667,page 42,Official Records of Brazos County,Texas; and as amended and extended in
instruments recorded in Volume 1835,page 92 and Volume 1839,page 303,Official Records of Brazos
County,Texas; subject to Partial Release dated October 17, 1995,recorded in Volume 2514,page 332 and
corrected in Volume 9395,page 293,Official Records of Brazos County,Texas,subject to Agreement of
Lessor Regarding Oil and Gas Lease recorded in Volume 9497,page 255,Volume 10512,page 170 and
Volume 10541,page 230,Official Records of Brazos County,Texas. Title to this lease has not been traced
subsequent to the date of the above-cited instrument.
p. Terms,conditions and stipulations contained in Declaration of Supplemental Easement,Covenants and
Restrictions executed by College Station MarketPlace,LP.,dated February 16,2011,recorded in Volume
11036,page 24,Official Records of Brazos County,Texas.
q. Terms,conditions and stipulations contained in Limtied Restrictive Covenants Agreement by and between
College Station MarketPlace,L.P.and Austaco,Ltd.,dated January 27,2012,recorded in Volume 10512,
page 159,Official Records of Brazos County,Texas.
r. Terms,conditions and stipulations contained in Limtied Restrictive Covenants Agreement by and between
College Station MarketPlace,L.P.and HG Real Properties,LLC,dated February 5,2013,recorded in
Volume 11153,page 1,Official Records of Brazos County,Texas.
s. Terms,conditions and stipulations contained in Limtied Restrictive Covenants Agreement by and between
College Station MarketPlace,L.P.and College Station Covenant Group,LLC dated November 4,2013,
recorded in Volume 11703,page 216,Official Records of Brazos County,Texas.
t. 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 interests that are not
listed.
u. 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.
NOTE: FOR INFORMATION ONLY: Lender's File/Loan/Reference Number is to be determined.
FORM T-7: Commitment for Title Insurance Page 5
COMMITMENT FOR TITLE INSURANCE T-7
ISSUED BY
GF No. BC1503556
STEWART TITLE GUARANTY COMPANY
SCHEDULE C
Your Policy will not cover loss, costs, attorneys' 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:
a. no person occupying the land claims any interest in that land against the persons named in paragraph 3 of
Schedule A,
b. all standby fees,taxes,assessments and charges against the property have been paid,
c. 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 or
materialmen's liens have attached to the property,
d. there is legal right of access to and from the land,
e. (on a Loan Policy only) restrictions have not been and will not be violated that affect the validity and
priority of the insured mortgage.
3. You must pay the seller or borrower the agreed amount for your property or interest.
4. 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.
5. NOTE: Procedural Rule P-27 as provided for in Article 9.39A of the Texas Insurance Code requires that "Good
Funds" be received and deposited before a Title Agent may disburse from its Trust Fund Account..
6. Deed of Trust,Security Agreement,Assignment of Rents and UCC Financing Statement for Fixture Filing
dated February 3,2014,executed by College Station MarketPlace,L.P.to Ivan M.Olson,Trustee,securing
one note of even date payable to The Bank&Trust of Bryan/College Station,in the principal amount of
$7,000,000.00,recorded in Volume 11840,page 1,Official Records of Brazos County,Texas. (with other
property)
7. Company requires sufficient documentation of J&L Roman Investments,LLC to determine who has the
authority to act on behalf of said Company. Company reserves the right to make additional requirements
on Schedule C after reviewing said document.
8. Company will require tax certificates on the subject property showing all taxes paid up to and including the
year 2014.
9. Company requires an Affidavit as to Debts and Liens to be executed at closing.
10. Company will require a properly executed Waiver of Inspection.
11. "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$2,000,000 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. If you are the purchaser in 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
FORM T-7: Commitment for Title Insurance Page 6
Continuation of Schedule C GF No. BC1503556
transaction and desire deletion of the Arbitration Provision,please inform us through your Closing
Instructions."
NOTICE: 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$2,000,000.00,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. If you are the purchaser in 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 Loan Closing Instructions. (APPLIES TO T-1 AND T-2
POLICIES ONLY)
Countersigned
Brazos County Abstract Company
By
Authorized Counter Signature
FORM T-7: Commitment for Title Insurance Page 7
COMMITMENT FOR TITLE INSURANCE
SCHEDULE D
GF No.BC1503556 Effective Date: March 6,2015,8:00 am
Pursuant to the requirements of Rule P-21, Basic Manual of Rules,Rates and Forms for the writing of Title Insurance in the State of
Texas,the following disclosures are made:
1. The following individuals are directors and/or officers, as indicated,of the Title Insurance Company issuing this Commitment
Stewart Title Guaranty Company
A-1. Shareholders owning,controlling or holding,either personally or beneficially, 10% or more of the shares of
Stewart Title Guaranty Company as of the last day of the year preceding the date herein above set forth are
as follows: Stewart Information Services- 100%
A-2. The members of the Board of Directors of Stewart Title Guaranty Company as of the last day of the year preceding the
date hereinabove set forth are as follows: Malcolm Morris,Charles F. Howard,Michael B. Skalka,Matthew Morris, Stewart
Morris, Stewart Morris,Jr.,John Killea and Allen Berryman..
A-3. The fifteen designated officers of Stewart Title Guaranty Company as of the date hereinabove set forth are as follows:
Matthew Morris,Chief Executive Officer&President;Allen Berryman,Chief Financial Officer&Assistant Secretary-
Treasurer;Murshid Khan,Chief Information Officer; Susan McLauchlan, Chief Human Resources Officer; Stewart Morris,Jr.,
Senior Chairman of the Board; Malcolm S. Morris,Chairman of the Board&Counsel; Glenn Clements,Group President-
Direct Operations;George Houghton, Group President-Agency Operations;Jason Nadeau, Group President-Mortgage and
Title Services;John Killea, General Counsel &Chief Compliance Officer;Paul Sands,Executive Vice President-
National Title Services Director;Mark Winter,Executive Vice President-Public Policy; Richard Black, Senior Vice President
-Underwriting Counsel;James Gosdin, Senior Vice President-Chief Underwriting Counsel &Associate General Counsel;
John Rothermel, Senior Vice President-Regional Underwriting Counsel.
2. The following disclosures are made by the Title Insurance Agent issuing this Commitment : Brazos County Abstract Company
a. The names of each shareholder,owner,partner or other person having,owning or controlling one percent(1%)or
more
of the Title Insurance Agent that will receive a portion of the premium are as follows:Texan Title Holdings, LLC
b. Each shareholder, owner,partner or other person having,owning or controlling ten percent(10%)or more of an entity
that has,owns or controls one percent(1%)or more of the Title Insurance Agent that will receive a portion of the
premium are as follows: Texan Title Holdings, LLC is owned 100%by Patrick F. Doyle
c. The following persons are officers and directors of the Title Insurance Agent:
DIRECTORS OFFICERS
Patrick F. Doyle Patrick F. Doyle,President
Randal Seewald,Chief Operating Officer
Lisa Kemp,Vice President
Linda Morgan,Vice President
Diane C. Ganzer,Controller/Secretary/Treasurer
3. 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 a portion of the premium 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 $3,285.00
Loan Policy $100.00
Endorsement Charges $0.00
Other $0.00
Total $3,385.00
Of this total amount: 15% will be paid to the policy issuing Title Insurance Company: 85% will be 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
FORM T-7: Commitment for Title Insurance Page 8
Continuation of Schedule D GF No. BC1503556
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
Commissioner of Insurance."
FORM T-7: Commitment for Title Insurance Page 9
COMMITMENT FOR TITLE INSURANCE(Form T-7)
TEXAS TITLE INSURANCE INFORMATION
Title insurance insures you against loss resulting from certain risks to your title.
The commitment for Title Insurance is the title insurance company's promise to issue the title insurance policy. The
commitment is a legal document. You should review it carefully to completely understand it before your closing date.
El seguro de titulo le asegura en relation a perdidas resultantes de ciertos riesgos que pueden afectar el titulo de su
propiedad.
El Compromiso para Seguro de Titulo es la promesa de la compania aseguradora de titulos de emitir la poliza de seguro de
titulo. El Compromiso es un documento legal. Usted debe leerlo cuidadosamente y entenderlo completamente antes de la
fecha para finalizar su transaction.
Your Commitment of 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 Commitment's 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. The Policy is not an abstract of title nor
does a Company have an obligation to determine the ownership of any mineral interest.
- MINERALS AND MINERAL RIGHTS may not be covered by the Policy. The Company may be unwilling to
insure title unless there is an exclusion or an exception as to Minerals and Mineral Rights in the Policy. Optional
endorsements insuring certain risks involving minerals, and the use of improvements (excluding lawns, shrubbery and trees)
and permanent buildings may be available for purchase. If the title insurer issues the title policy with an exclusion or
exception to the minerals and mineral rights, neither this Policy, nor the optional endorsements, ensure that the purchaser has
title to the mineral rights related to the surface estate.
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.
FORM T-7: Commitment for Title Insurance Page 10
Continuation of Texas Title Insurance Information GF No. BC1503556
You can get a copy of the policy form approved by the Texas Department of Insurance by calling the Title Insurance
Company at (713) 892-3504 or by calling the title insurance agent that issued the Commitment. The Texas Department 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 and comply with other requirements of the Company. On the Owner's 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 problems by making special exceptions in the Policy. Whether or 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.
FORM T-7: Commitment for Title Insurance Page 11
DELETION OF ARBITRATION PROVISION
(Not applicable to the Texas Residential Owner's 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
Insurance 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 $2,000,000 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:
"Either the Company or the Insured may demand that the claim or controversy shall be submitted to arbitration
pursuant to the Title Insurance Arbitration Rules of the American Land Title Association ("Rules"). Except as
provided in the Rules, there shall be no joinder or consolidation with claims or controversies of other persons.
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, any service in connection with its issuance or the breach of a policy
provision, or to any other controversy or claim arising out of the transaction giving rise to this policy. All arbitrable
matters when the Amount of Insurance is $2,000,000 or less shall be arbitrated at the option of either the Company
or the Insured, unless the Insured is an individual person (as distinguished from an Entity). All arbitrable matters
when the Amount of Insurance is in excess of $2,000,000 shall be arbitrated only when agreed to by both the
Company and the Insured. Arbitration pursuant to this policy and under the Rules shall be binding upon the parties.
Judgment upon the award rendered by the Arbitrator(s)may be entered in any court of competent jurisdiction."
SIGNATURE DATE
(Not applicable to the Texas Residential Owner's Policy)
FORM T-7: Commitment for Title Insurance Page 12
Stewart Title Guaranty Company
Premium Amount Rate Rules Property County Liability at
Type Code Reissue Rate
1 2 3 4 5 6 7 8
$3,385.00 1200 3 41
3210