HomeMy WebLinkAboutWarranty Deed~'
LandArr~~rita RECEIVED
Transnation r DEC 2 9 2003
/~®r"p ~rD ~ / w~.~~~r C ty Clerk C3dfan
TO: City of Meridian DATE: 12/23/03
ESCROW NO.: 0300015173
33 E. Idaho
Meridian, ID 83642
BORROWER: City of Meridian
ADDRESS: 0000 W. Cherry Ave.
Meridian ID 83642
In connection with the above transaction, we enclose the following:
(XX) Title Insurance Policy
(XX) Original Warranty Deed
Thank you for this opportunity to serve you. If we may be of any further
assistance, please do not hesitate to contact our office.
Cordially,
TRANSNATION TITL & ESCROW, INC.
BY ~ -~~i~ -_
Fred Muldcyr'Y/
Title Office
(208) 377-3190
Enclosures
1750 Front St, Suite 120 8665 W Emerald, Suite 200
Boise, ID 83702 Boise, ID 83704
(2081342-2222: Fax (2081 3 88-061 5 (2081377-3190. Fax (2081377-0946
847 Pazkcentre Way, Suite 3
Nampa, ID 83651
(208) 466-6422. Fax (2081 466-6520
ISSUED EY
TRANSNATION TITLE INSURANCE COMPANY OWNERS POLICY OF TITLE INSURANCE
Transnation
A LANDANNlERR6A COMPANY
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND
THE CONDITIONS AND STIPULATIONS, TRANSNATION TITLE INSURANCE COMPANY, an Arizona corporation, herein called the
Company, insures, as of Date of Policy shown in Schedule A, against loss or damage, not exceeding the Amount of Insurance stated in
Schedule A, sustained or incurred by [he insured by reason of:
1. Title [o the estate or interest described in Schedule A being vested other than as stated therein;
2. Any defect in or lien or encumbrance on [he title;
3. Unmarketability of the title;
4. Lack of a right of access to and From [he land.
The Company will also pay [he costs, attorneys' fees and expenses incurred in defense of the title, as insured, but only to [he extent provided
in [he Conditions and Stipulations.
IN WITNESS WHEREOF, TRANSNATION TITLE INSURANCE COMPANY has caused its corporate name and seal to be hereunto
affixed by its duly authorized officers, the Policy to become valid when countersigned by an authorized officer or agent of the Company.
TRANSNATION TITLE INSURANCE COMPANY
Attest: ~ ~~,~~~
Secretary
By; ~,1 w~+-I u ' U
/Ury President
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from [he coverage of [his policy and [he Company will not pay loss or damage, costs, attorneys'
fees or expenses which arise by reason of:
1. (a) Any law, ordinance or governmental regulation (including but not limited [o building and zoning laws, ordinances, or regulations) restricting,
regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of [he land; (ii) [he character, dimensions or location of any improve-
ment now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the land or any parcel of
which [he land is or was a par[; or (iv) environmental protection, or [he affect of any violation of these laws, ordinances or governmental regula-
tions, excepC [o the extent [hat a notice of the enforcement [hereof or a notice of a defect, lien or encumbrance resulting From a violation or
alleged violation affecting the land has been recorded in [he public records at Dale of Policy.
(b) Any governmental police power no[ excluded by (a) above, except to [he extent that a notice of the exercise thereof or a notice of a defect,
lien or encumbrance resulting from a violation or alleged violation affecting [he land has been recorded in [he public records at Date of Policy.
2. Rights of eminent domain unless notice of the exercise [hereof has been recorded in the public records at Dale of Policy, but not excluding
from coverage any taking which has occurred prior [o Dale of Policy which would be binding on the rights of a purchaser for value without
knowledge.
3. Defects, liens, encumbrances, adverse claims or other matters:
(a) created, suffered, assumed or agreed to by the insured claimant;
(b) not known to the Company, not recorded in [he public records al Date of Policy, but known to the insured claimant and no[ disclosed
in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under [his policy;
(c) resulting in no loss or damage to the insured claimant; -
(d) attaching or created subsequent ro Da[e of Policy; or
(e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for [he estate or interest insured
by this policy.
4. Any claim, which arises out of the transaction vesting in the Insured the estate or interest insured by this policy, by reason of [he operation
of federal bankruptcy, state insolvency, or similar creditors' rights laws, that is based on:
(a) the transaction creating the estate or interest insured by this policy being deemed a fraudulent conveyance or fraudulent transfer; or
(b) the transaction creating the estate or interest insured by [his policy being deemed a preferential transfer except where the preferential transfer
results from the failure:
(i) ro timely record the instrument of transfer; or
(ii) of such recordation to impart notice to a purchaser for value or a judgment or lien creditor.
NM 1 PA10 Valid only if Schedules A and B and Cover are attached
ALTA OwnePs Policy (10/17/82)
Face Page
Form 1190-56A ORIGINAL
CONDITIONS AND STIPULATIONS
1. DEFINITION OF TERMS.
The following terms when used in [his policy mean
(a) "insured": the insured named in Schedule A, and, subject to any
rights or defenses the Company would have had against the named insured,
those who succeed [o the interest of the named insured by operation of law
as distinguished from purchase including, but not limited to, heirs,
distributees, devisees, survivors, personal representatives, next of kin, or
corporate or fiduciary suceessors.
(b) "insured claimant": an insured claiming loss or damage.
(c) "knowledge" or "known": actual knowledge, not constructive
knowledge or notice which may be imputed [o an insured by reason of the
public records as defined in this policy or any other records which impart
constructive notice of matters affecting the land.
(d) "]and": the land described or referred to in Schedule A, and
improvements affixed thereto which by law constitute real property. The
term "land" does no[ include any property beyond the lines of the area
described or referred [o in Schedule A, nor any right ,title, interest, estate
or easement in abutting streets, roads, avenues, alleys, lanes, ways or
waterways, but nothing herein shall modify or limit the extent to which a
right of access to and from the land is insured by [his policy.
(e) "mortgage": mortgage, deed of [rust, trust deed, or other security
instrument.
(~ "public records": records established under state statutes al Date of
Policy for the purpose of imparting constructive notice of matters relating
[o real property to purchasers for value and without knowledge. With
respect to Section 1(a) (iv) of the Exclusions From Coverage, "public
records" shall also include environmental protection liens filed in the
records of the clerk of the United Slates district court (or the district in
which the land is located.
(g) "unmarketability of the title": an alleged or apparent matter affecting
the title to the land, not excluded or excepted from coverage, which would
entitle a purchaser of [he estate or interest described in Schedule A [o be
released From the obligation to purchase by virtue of a contractual
condition requiring [he delivery of marketable title.
2. CONTINUATION OF INSURANCE AFTER CONVEYANCE
OF TITLE.
The coverage of [his policy shall continue in force as of Date of Policy in
favor of an insured only so long as [he insured retains xn estate or interest
in the land, or holds an indebtedness secured by a purchase money
mortgage given by a purchaser from the insured, or only so long as the
insured shall have liability by reason of covenants of warranty made by the
insured in any transfer or conveyance of the estate or interest. This policy
shall no[ continue in force in favor of any purchaser from the insured of
either (i) an estate or interest in [he land, or (ii) xn indebtedness secured by
a purchase money mortgage given to the insured.
3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
The insured shall notify [he Company promptly in writing (i) in case of
any litigation as set forth in Section 4(a) below, (ii) in case knowledge shall
come to an insured hereunder of any claim of title or interest which is
adverse [o [he title ro the estate or interest, as insured, and which might
cause loss or damage for which the Company may be liable by virtue of
this policy, dr (iii) if title to the estate or interest, as insured, is rejected as
unmarketable. If prompt notice shall not be given [o the Cnmpany, [hen as
[o [he insured all liability of the Company shall terminate with regard to
the matter or matters for which prompt notice is required; provided,
however, Thai failure to notify the Company shall in no case prejudice the
rights of any insured under this policy unless the Company shall 6e
prejudiced by the failure and then only to the extent of the prejudice.
4. DEFENSE AND PROSECUTION OF ACTIONS; DUTV OF
INSURED CLAIMANT TO COOPERATE.
(a) Upon written request by the insured and subject to the options
contained in Section b of these Conditions and Stipulations, the Company.
at its own cost and without unreasonable delay, shall provide for the
defense of an insured in litigation in which any third party asserts a claim
adverse to the title or interest as insured, but only as to those stated causes
of action alleging a defeM, lien or encumbrance or other matter insured
against by [his policy. The Company shall have [he right to select counsel
of its choice (subject m the right of [he insured to object for reasonable
cause) to represent the insured as to those stated causes of action and shall
not be liable for and will not pay the fees of any other counsel. The
Company will not pay any fees, costs or expenses incurred by the insured
in the defense of those causes of action which allege matters not insured
against by [his policy.
(b) The Company shall have the right, at its own cost, to institute and
prosecute any action or proceeding or to do any other act which in its
opinion may be necessary or desirable to establish [he title to the estate or
interest, as insured, or to prevent or reduce loss or damage to the insured.
The Company may take any apppropriate action under the terms of this
policy, whether or not it shall be liable hereunder, and shall not thereby
concede liability or waive any provision of this policy. If the Company
shall exercise its rights under this paragraph, it shall do so diligently.
(e) Whenever [he Company shall have brought an action or interposed a
defense as required or permitted by the provisions of this policy, the
Company may pursue any litigation to final determination by a court of
competent jurisdiction and expressly reserves [he right, in its sole discretion,
to appeal from any adverse judgment or order.
(d) In all cases where [his policy permits or requires the Company to
Prosecute or provide (or the defense of any action or proceeding, the
insured shall secure to the Company [he right to so prosecute or provide
defense in the action or proceeding, and all appeals therein, and permit the
Company to use, at its option, the, name of the insured for this purpose.
Whenever requested by [he Company, the insured, xt the Company's
expense, shall give the Company all reasonable aid (i) in any action or
proceeding, securing evidence, obtaining witnesses, prosecuting or
defending the action or proceeding, or effecting settlement, and (ii) in any
other lawful act which in [he opinion of the Company may be necessary or
desirable to establish the title to the estate or interest as insured. If [he
Company is prejudiced by the (allure of the insured to furnish the required
cooperation, [he Company's obligations to the insured under the policy
shall terminate, including any liability or obligation to defend, prosecute, or
continue any ]itigalion, with regard to [he matter or matters requiring such
cooperation.
5. PROOF OF LOSS OR DAMAGE.
In addition [o and after the notices required under Section 3 of these
Conditions and Stipulations have been provided [he Company, a proof of
loss or damage signed and sworn to by the insured claimant shall be
furnished to the Company within 90 days after the insured claimant shall
ascertain [he facts giving rise to the loss or damage. The proof of loss or
damage shall describe the defect in, or lien or encumbrance on the title, or
other matter insured against by [his policy which constitutes [he basis of
loss or damage and shall state, to [he extent possible, the basis of
calculating [he amount of [he loss or damage. if the Company is prejudiced
by the failure of the insured claimant to provide the required proof of loss
or damage, the Company's obligations to the insured under the policy shall
terminate, including any liability or obligation to defend, prosecute, or
continue any litigation, wish regard to the matter or matters requiring such
proof of loss or damage.
In addition, the insured claimant may reasonably be required to submit
to examination under oath by any authorized representative of the
Company and shalt produce for examination, inspection and copying, at
such reasonable times and places as may be designated by any authorized
representative of the Company, all records, books, ledgers, checks,
correspondence and memoranda, whether bearing a date before or aRer
Date of Policy, which reasonably pertain to the loss or damage. Further, if
requested by any authorized representative of the Company ,the insured
claimant shall gran[ ifs permission, in writing, for any authorized
representative of the Company [o examine ,inspect and copy all records,
books, ledgers, checks, correspondence and memoranda in the custody or
control of a third party, which reasonably pertain to the loss or damage.
All information designated as confidential by the insured claimant provided
to the Company pursuant to [his Section shall not be disclosed to others
unless, in the reasonable judgement of the Company, it is necessxq~ in the
administration of the claim. Failure of the insured claimant to submit for
examination under oath, produce other reasonably req ues[ed information
or grant permission [o secure reasonably necessary information from third
parties as required in this paragraph shall terminate any liability of the
Company under this policy as to that claim.
6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS;
TERMINATION OF LIABILITY.
In case of a claim under this policy, the Company shall have the following
additional options:
(a) To Pay or Tender Payment of the Amount of Insurance.
To pay or [ender payment of the amount of insurance under dris policy together
with any costs, attorneys' fees and expenses incurred by the insured claimant, which
were authorizzd by [he Company, up to the time of payment or tender of payment
and which the Company is obhgated to pay.
Upon the exercise by [he Company of this option, all liability and obligations to
the insured under this policy, other than to make the payment required, shall
terminate, including any liability ar obligation [o defend, prosecute, or continue
any litigafion, and the policy shall be surrendered to the Company for cancellation.
(b) To Pay or Otherwise Settle With Parties Other than the Insured or
With [he Insured Claimant.
(i) [o pay or otherwise settle with other parties for or in the name
of an insured claimant any claim insured against under [his policy, together
with any costs, attorneys' fees and expenses incurred by the insured
claimant which were authorized by the Company up to time of payment
and which the Company is obligated [o pay; or
(ii) [o pay or otherwise settle with [he insured dximant the loss or
damage provided for under this policy, together with any costs, attorneys'
fees and expenses incurred by the insured claimant which were authorized
by the Company up to the time of payment and which the Company is
obligated to pay.
Upon the exercise by the Company of either oC the options provided for
in paragraphs (b)(i) or (ii), [he Company's obligations [o the insured under
this policy for [he claimed loss or damage, other than the payments
required to be made, shall terminate, including any liability or obligation to
defend, prosecute or continue any litigation.
Conditions and Stipulations Continued Ioside Corer
B 1190.56A
nnxirnni xin A ~ 1 - fl fl Ll 1 L 1 L.
Issued with Policy
No.:
POLICY OF TITLE INSURANCE
SCHEDULE A
Amount of Insurance: $243,200.00
Date of Policy: December 17, 2003 at 4:35 p.m.
1. Name of Insured:
CITY OF MERIDIAN, an Idaho municipal corporation
Policy No.: A37-0047616
File No.: 0300015173
2. The estate or interest in the land described herein and which is covered by this policy is
fee simple and is at date of policy veated,in:
CITY OF MERIDIAN, an Idaho municipal corporation
3. The land referred to in this policy is described in the said instrument, ie situated in the
County of Ada, State of Idaho, and is identified as follows:
SEE EXHIBIT "A" ATTACHED
(Continued)
Countersigned:
This Policy Ia Valid Only If Schedule B is Attached
American Land Title Association Owner's Policy (10/17/92)
Schedule A sak
File No.: 0300015173
Policy No.: A37-0047616
SCHSDULB A (continued)
LBGAL DBSCRIPTION (continued)
EXHIBIT "A"
A parcel of land located in the Southwest quarter of the Southwest quarter of Section 4,
Township 3 North, Range,l West, Boise Meridian, Ada County,Idaho, more particularly
described as follows:
Commencing at the Southwest corner of said Section 4, marked by a 3.5 inch MVD brass cap;
thence
South 89°47'09" East coincident with the South line of said Section 4 a distance of 925.02
feet to a 5/8 inch rebarwith 2 inch aluminum cap PLS 5461 and the POINT OF BEGINNING;
thence continuing
South 89°47'09" East coincident with the South line of saidSection 4 a distance of 400.42
feet to the Southeast corner of the Southwest quarter of the Southwest quarter of said
Section 4 and a 5/8 inch rebar with 2 inch aluminum cap PL55461; thence
North 00°19'25" East coincident with the East line of the Southwest quarter of the
Southwest quarter of said Section 4 a distance of 1322.67 feet to the Northeast corner of
the Southwest quarter of the Southwest quarter of said Section 4, marked by a 5/B inch
rebar with a 2 inch aluminum cap PLS 5461; thence
North 89°49'38" West coincident with the North line of the Southwest quarter of the
Southwest quarter of said Section 4 a distance of 400.42 feet to a 5/B inch rebar with
aluminum cap PLS 5461; thence
South 00°19'25" West parallel with the East line of the Southwest quarter of the Southwest
quarter of said Section 4 a distance of 1322.38 feet to the POINT OF BEGINNING.
File No.: 0300015173 Policy No.: A37-0047616
SCHEDULB B
This policy does not insure against loss or damage (and the Company will not pay costs,
attorney's fees or expenses) which arise by reason of:
GENERAL (STANDARD) EXCEPTIONS
1. Any facts, rights, interests, or claims which are not shown by the public records but
which could be ascertained by an inspection of the land or which may be asserted by
persons in possession, or claiming to be in possession, thereof.
2-. Easements, liens, encumbrances, or claims thereof, which are not shown by the public
records.
3. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other
facts which a correct survey of the land would disclose, and which are not shown by the
public records.
4. Any lien, or right to a lien, imposed by the law for services, labor, or material
heretofore or hereafter furnished, which lien, or right to a lien, is not shown by the
public records.
5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts
authorizing the issuance thereof; (c) Indian treaty or aboriginal rights, including, but
not limited to, easements or equitable servitudes; or, (d) waterrights, claims or title
to water, whether or not the matters excepted under (a), (b), (c) or (d) are shown by the
public records.
6. Taxes or assessments which are not now payable or which are not shown as existing liens by
the records of any taxing authority that levies taxes or assessments on real property or
by the public records; proceedings by a public agency which may result in taxes or
assessments, or notices of such proceedings, whether or not shown by the records of such
agency or by the public records.
7. Any service, installation, connection, maintenance or construction charges for sewer,
water, electricity, or garbage collection or disposal or other utilities unless shown as
an existing lien by the public records.
SPECIAL EXCEPTIONS:
8. Sewer charges and special assessment powers of the CITY OF MERIDIAN.
9. Liens and assessments of the NAMPA MERIDIAN IRRIGATION DISTRICT, and the rights, powers,
and easements of said district as by law provided.
(Continued)
ALTA Owner's/Loan Policy
Schedule 8
File No.: 0300015173
SCH8DIIL8 B (continued)
EXCEPTIONS (continued)
Policy No.: A37-0047616
10. Ditch, road and public utility easements as same may exist over said premises.
11. Rights and claims in and to that portion of said premises lying within the Cherry
Lane right of way.
12. An easement fOr power lines and incidental purposes in favor of IDAHO POWER COMPANY,
recorded April 21, 1949, as Instrument No. 285969, of Official Records.
13. Terms, conditions, provisions and obligations set forth in that certain Right of Way
Contract between THEODORA EDWARD LINK AND CHRISTINA LINK, his wife and PACIFIC
NORTHWEST PIPELINE CORPORATION, a Delaware corporation, recorded. December 5, 1955, as
Instrument No. 386915, of Official Records.
Amendment to Right of Way Contract recorded January 9, 1980, as Instrument No.
8001439, of Official Records.
14. An easement for Cherry Lane right of way granted to COUNTY OF ADA, recorded April 7,
1961, as Instrument No. 500276, of Official Records.
15. Terms, conditions, provisions and obligations set forth in that certain Encroachment
Agreement between RONNIE T. HOPPINS AND GAYLA R. HOPPINS, husband and wife and
MICHAEL L. ANDERSON AND DONNA J. ANDERSON, recorded April 7, 1978, as Instrument No.
7817929, of Official Records.
16. Matters as disclosed by Record of Survey No. 5177, recorded November 3, 2000 as
Instrument No. 100088601, of Official Records.
17. Matters as disclosed by Record of Survey No. 6077, recorded February 20, 2003 as
Instrument No. 103028071, of Official Records.
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01567
CONDITIONS AND STIPULATIONS
7. DETERMINATION, EXTENT OF LIABILITY AND COINSURANCE.
This policy is a contract of indemnity against actual monetary loss or
damage sustained or inntrred by the insured claimant who has sulTered loss
or damage by reason of matters insured against by this policy and only to
the extent herein described.
(a) The liability of the Company under this policy shall not exceed the
least of:
(i) the Amount of Insurance staled in Schedule A; or,
(ii) the difference between the value of the insured estate or interest as
insured and [he value of the insured estate or interest subject to the defect,
lien or encumbrance insured against by this policy.
(b) In the even[ [he Amount of Insurance stated in Schedule A at•lhe
Date of Policy is less than 80 percent of the value of the insured estate or
interest or the full consideration paid for the land, whichever is less, or if
subsequent to the Dale of Policy an improvement is erected on the land
which increases the value of the insured estate or interest by at least 20
percent over the Amount oC Insurance staled in Schedule A, then [his
Policy is subject to [he following:
(i) where no subsequent improvement has been made, as to any partial
loss, the Company shall only pay the loss pro rata in the proportion that
the amount of insurance al Date of Policy bears to the total value of the
insured estate or interest at Date of Policy; or
(ii) where a subsequent improvement has been made, as to any partial
loss, the Company shall only pay the loss pro rata in the proportion that
120 percent of [he Amount of Insurance staled in Schedule A bears to the
sum of the Amount of Insurance stated in Schedule A and the amount
expended For the improvement.
The provisions of this paragraph shall not apply to costs, attorneys' fees
and expenses for which the Company is liable under this policy, and shall
only apply to that portion of any loss which exceeds, in the aggregate, 10
percent of the Amount of Insurance slated in Schedule A.
(c) The Company will pay only those costs, attorneys' fees and expenses
incurred in accordance with Section 4 of these Conditions and Stipulations.
8. APPORTIONMENT.
]f the land described in Schedule A consists oC two or more parcels
which are not used as a single Bile, and a loss is established affecting one or
more of the parcels but not all, the loss shall be computed and settled on a
pro rata basis as if the amount of insurance under this policy was divided
pro rata as to the value on Dale of Policy of each separate parcel to [he
whole, exclusive of any improvements made subsequent to Date of Policy,
unless a liability or value has otherwise been agreed upon as to each parcel
by the Company and the insured at the time of the issuance of this policy
and shown by an express statement or by an endorsement attached to this
policy.
9. LIMITATION OF LIABILITY.
(a) If the Company establishes the rifle, or removes the alleged defect,
lien or encumbrance, or cures the lack of a right of access to or from the
land, or cures the claim of unmarketabilily of title, all as insured, in a
reasonably diligent manner by any method, including litigation and the
completion of any appeals therefrom, it shall have fully performed its
obligations with respect to that matter and shall not be liable for any loss
or damage caused thereby.
(b) ]n the event of any litigation, including litigation by the Company
or with the Company's consent, the Company shall have no liability for
loss or dama3e unlit there has been a final determination by a court of
competent junsdiction, and disposition of all appeals therefrom, adverse to
the title as insured.
(c) The Company shall not be liable for loss or damage to any insured
for liability voluntarily assumed by the insured in settling any claim or suit
without Ne prior written consent oC the Company.
10. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION
OF LIABILITY.
All payments under this policy, except payments made for costs,
at[omeys' fees and expenses, shall reduce [he amount of the insurance pro
Canto.
11. LIABILITY NONCUMULATIVE
It is expressty understood that the amount of insurance under Nis
policy shall be reduced fry any amount Ne Company may pay under any
policy Insuring a mortgage [o whlch exception is taken in Schedule 8 or to
which Ne insured has agreed, assumed, or taken subject, or which is
hereafter executed by an Insured and which Is a charge or Ilan on Ne
estate or interest described or refereed to In Schedule A, and Ne amount
sc paid shall be deemed a payment under this policy to Ne insured owner.
(CosOStred)
(b) When liability and the extent of loss or damage has been definitely
fixed in accordance with these Conditions and Stipulations, the loss or
damage shall be payable within 30 days thereafter.
13. SUBROGATION UPON PAYMENT OR SETTLEMENT.
(a) The Company's Right of Subrogation.
Whenever [he Company shall have settled and paid a claim under this
policy, all right of subrogation shall vest in the Company unaffected by
any act of the insured claimant.
The Company shall be subrogated [o and be entitled [o all rights and
remedies which the insured claimant would have had against any person or
property in respect to the claim had this policy no[ been issued. If
requested by the Company, the insured claimant shall transfer to the
Company al] rights and remedies against any person or property necessary
in order to perfect Ihis right of subrogation. The insured claimant shall
~ermil the Company to sue, compromise or settle in the name of [he
insured claimant and to use the name of the insured claimant in any
transaction or litigation involving these rights or remedies.
If a payment on account of a claim does not fully cover the loss of the
insured claimant, the Company shall be subrogated to these rights and
remedies in the proportion which the Company's payment bears to the
whole amount of the loss.
If loss should result from any act of the insured claimant, as slated
above, that act shall not void this policy, but the Company, in that event,
shall be required to pay only Ihal part of any losses insured against by this
policy which shall exceed the amount, if any, lost to the Company 6y
reason of the impairment by the insured claimant of the Company's right
of subrogation.
(b) The Company's Rights Against Non-insured Obligors.
The Company's right of subrogation against non-insured obligors shall
exist and shall include, without limitation, the rights of the insured to
indemnities, guaranties, other policies of insurance or bonds,
notwilhsWnding any terms or conditions contained in those instruments
which provide for subrogation rights by reason of this policy.
14. ARBITRATION
Unless prohibited by applicable law, 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 lo, any controversy or claim between the Company and
the insured arising out of or relating to [his policy, any service of the
Company in connection with its issuance or the breach of a policy
provtston or other obligation. All arbitrable matters when the Amount of
Insurance is $1,000,000 or less shall be arbitrated a[ the option of either the
Company or the insured. 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 Ihis policy
and under the Rules in effect on the dace the demand for arbi[mlion is
made or, a[ the option of the insured, the Rules in elfecl a[ Date of Policy
shall be binding upon [he parties. The award may include attorneys' fees
only if [he laws of [he state in which the land is located permit a court to
award attorneys' fees to a prevailing party. Sudgmen[ 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 an arbitration under the
Title Insurance Arbitration Rules.
A copy of the Rules may be obtained from the Company upon request.
15. LIABILITY LIMITED TO THIS POLICY; POLICY ENTIRE
CONTRACT.
(a) This policy together with all endorsements, if any, attached hereto
by the Company is the entire policy and contract between the insured and
the Company. In interpreting any provision of this policy, this policy shall
be construed as a whole.
(b) Any claim of loss or damage, whether or no[ based on negligence,
and which arises out of the status of the title to the estate or interest
covered hereby or by any action asserting such claim, shall be restricted to
this policy.
(e) No amendment of or endorsement to this policy can be made
except by a writing endorsed hereon or attached hereto signed by either the
Prestdenl, a Vice President, the Secretary, an Assistant Secretary, or
validating officer or authorized signatory of [he Company.
16. SEVERABILITY.
In the event any provision of the policy is held invalid or unenforceable
under applicable law, the policy shall be deemed not to include that provi-
sion and all other provisions shall remain in full force and effect.
17. NOTICES, WHERE SENT.
12. PAYMENT OF LOSS. - All notices requiredto be given the Company andany statement in writing
(a)No paymentshall be made without producing this policy for endorsement required to be famished the Company shall include [he number of this
of the payment unless the policy has been lost or destroyed, in which case proof
of loss or destruction shall be furnished to the satisfaction of the Company, policy and shall be addressed to: Consumer Affairs Deparhrten[, P.O. Box
nue . on , r, 275fi7. Richmond Vireinia 23261-7567.
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