Grant of Negative Easement 1991-0357586
~
(IjCOIl~~~ Sf,
~,.\ .~ :~: II ~ i. ,!"j. -i~ (', -, r- ., C' J-i- ,,-
UL~ U~ 1771-0jjfJOO
22-JUL-1991 08~OO AM
429
'iO<l7/s-cf
:-[TC~
,.....'i._;
j ,.~
~,,-'
Recording Requested by:
City of Poway
P.O. Box 789
Poway, CA 92064
Space above this
"TV-'I..sf"""'- ~ .p
line for recorders use
GRANT OF NEGATIVE EASEMENT
Recitals
WHEREAS,
1. The undersigned Schroedl Family Trust UTA dated July 21,
1980, David M. Schroedl and Frances C. Schroedl, Trustees,
hereinafter called the "Grantor" is the owner in fee simple of that
certain real property (the "Property") situated in the county of
San Diego, State of California, as more particularly described in
Exhibit "A" attached hereto, and,
2. It is the desire of the Grantor to grant to the City of Poway,
a Municipal corporation, hereinafter called "City" a negative easement
on, upon, over and across a one acre portion (the "Easement Area") of
the property as delineated on the map set forth in Exhibit "B" attached
hereto,
3 .
property
preserve
thereon,
The purpose of this grant of easement is to keep the subject
in a natural condition, as near as possible, in order to
and protect in perpetuity the vernal pool habitat located
NOW, THEREFORE, for valuable consideration, receipt of which is
hereby acknowledged:
1. Grantor hereby grants ana relinquishes exclusively to the City
any and all rights to construct, erect or maintain any structure; to
construct, erect or maintain fences; to remove live trees and shrubs;
to change the grade; to clear or brush the site; or to otherwise change
the open space character of the land over, upon or across Easement Area,
reserving to the Grantor the right (a) to grant easement to any public
utility company for distribution facilities provided the same are
installed underground, (b) to maintain firebreaks, trim or remove brush
and otherwise perform preventive measures required by the fire
department to protect structures and other improvements in the area from
potential fires, (c) to construct, erect or maintain fences on the
perimeter of the Easement Area, and (d) of ingress to and egress from
that portion of the balance of the Property for which no other pract~ca1
430
route exists. The above-stated rights reserved unto Grantor may only
be exercised with prior written consent of Grantee, which approval shall
not be unreasonab1 y wi thhe1d, in such a manner as wi 11 preserve and
protect the vernal pool habitat on the site. In the event that the
exercise of the reserved rights under Item D results in damage to the
vernal pool habi tat, Grantor shall obtain and transfer to the Ci ty,
without cost to City, replacement vernal pool habitat of quantity and
quality equal to the vernal pool habitat damaged. Responsibility for
maintenance of the Easement Area shall remain with the Grantor. Nothing
contained herein is to be construed to assign any maintenance
responsibi 1 i ty to the Ci ty, nor shall anything contained herein be
construed to confer any rights to the general public.
2. This grant of easement is subject to and subordinate to an
existing easement in favor of San Diego Gas & Electric for poles, wires
and incidental purposes recorded October 11, 940 in Book 1066, Page 463
of Official records.
Enforcement
The stated purposes, terms, conditions, restrictions and covenants
set forth herein and each and all of them may be specifically enforced
or enjoined by proceedings in the Superior Court of the State of
California.
21, 1980
:0~/
Da e
~~h/
D te
j
STATE OF CALIFORNIA)
COUNTY OF SAN DIEGO)
On .:::::Tu..l~O,lqq( , before me, the undersigned, a Notary Public
in and fo~ said State, personally appeared David M. Schroedl ~R~ FlaR~es
to I'l 1.. ..-..1 personally known to me or proved to me on the basis of
satisfactory evi to the Trustees of the Schroedl Family Trust UTA
da ted Jul y 2 , 1980, d acknow1 edged that they executed the same.
~ITNE~S m_Y 0-...~d Offi\l seal. rt:rM-:., OffiCIAL S'AL~ _
~~;" ' SALLY A. DUNBAR .
i";!":~-f..o{.'~~; NOTARY PUBLIC CALIFORNIA
) \~\\:..j,;;~~~ ~ PRiNCIPAL OFFICE IN I
) ''0''0' SAN D I EGO COUNTY .
'\ My Commission Expires July 10, 1993
~...../"".~
I
r
INDIVIDUAL ACKNOWLEDGEMENT
W
K
W
"
W
~
L
~
431
SS,
~ ~lDan1llllillle iCoonpMy
On
before me, the undersigned, a Notary Public in and for said State, personally appeared
personally known to me (or proved to me on the basis of satifactory evidence), to
be the pers n(5) whose name is subscribed to this instrument, and acknowledged
that executed the same.
1
I
WITNESS
W25-A
r-
(Thl. ..... tor offk:tll notllrl" ...1)
-';"---'-_.~"'''~'''' 4,""","~ oJ""............... ............u, .L,&.',,",.
772 E. WASHINGTON AVENUE
EL CAJON, CA 92020
(619) "''''0 - 6299
GARY L. HAY
-'RCE 265"'5.
I c;.- : /1
I ,-,' J '-~
'~ ,-) ':\ -<
L_L '-\...;'
,.
\
+-r
432
'-.11''''' r-- -,
I I II-I....
I \....."'" I ,-'
1-- .II'"
I "', ( \... '-\r")
I '-' ....../ -I _
EXIST SDG&E
EASEMENT
\
"~
''!I'!I
o?-"];, ~/
~roQro!O
, '!II];
/'
~ Ni5023'26!'W 132.06'
~ ,. ,
,/ ,",'
............... N2002'59"W
,'> 137.05'
/'
,
416.77'
S880 4 7'3 f"E
MITIGATION SITE
AREA =' 1.000 ACRE
HAY ENGINEERING AND SURVEYING,INC.-
772 E. WASHINGTON AVENUE
EL CAJON, CA 92020
(619) .,.,0 - 6299
GARY L. HAY
.... ,'RCE 265105.
433
ENGINEER'S DESCRIPTION - 1 ACRE MITIGATION SITE
THAT PORTION OF THE SOUTHWEST QUARTER OF THE NORTHWEST
QUARTER OF THE NORTHWEST QUARTER OF SECTION 23, TOWNSHIP 1~
SOUTH, RANGE 3 WEST, SAN BERNARDINO BASE AND MERIDIAN, IN THE
CITY OF SAN DIEGO, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA,
ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF, AND AS
SHOWN ON RECORD OF SURVEY MAP NO. 130~6, RECORDED IN THE OFFICE
OF THE COUNTY RECORDER OF SAID COUNTY, FEBRUARY 7, 1991,
DESCRIBED AS FOLLOWS:
BEGINNING AT THE SOUTHEAST CORNER OF SAID SOUTHWEST QUARTER
OF THE NORTHWEST QUARTER OF THE NORTHWEST QUARTER; THENCE N2"
02'59"W, ALONG THE EASTERLY LINE THEREOF. 137.05 FEET TO AN ANGLE
POINT IN LAND DESCRIBED IN DEED TO THE STATE OF CALIFORNIA, FILE
NO. 88-~05508, RECORDED AUGUST 17, 1988; THENCE ALONG THE
BOUNDARY OF SAID LAND, N750 23'26"W 132.06 FEET; THENCE 5600
22' 33 "W 326.69 FEET TO THE SOUTHERLY LINE OF SAID SOUTHWEST
QUARTER OF THE NORTHWEST QUARTER OF THE NORTHWEST QUARTER; THENCE
S88"~7'31"E, ALONG SAID LINE, 4-16.77 FEET TO THE POINT OF
BEGINNING.
434
CERTIFICATE OF ACCEPTANCE
I, MARJORIE K. WAHLSTEN, as City Clerk, and agent
for CITY OF POWAY, make the following certification
on its behalf:
This is to certify that the interest in real property
conveyed by the deed or grant dated i-Is...q J
.
from DAVID M, ScHROEDL & FRANCES C, ScHROEDL, TRUSTEES OF SCHROEDL
FAMILY TRUST
to the CITY OF POWAY, a pOlitical corporation and/or
governmental agency is hereby accepted by the under-
signed officer or agent on behalf of the CITY COUNCIL
pursuant to authority conferred by RESOLUTION NO. 34,
adopted on January 20, 1981, and the grantee consents
to recordation thereof by its duly authorized officer
or agent.
Dated: l-\S-.CJI_
CITY OF POWAY
By:
KIV~
K. Wahlsten
k
(DPS 3/82)
..---"
POLICY OF TITLE INSURANCE
ISSUED BY
POLICY NUMBER
mI
Commonwealth.
Land Title Insurance Company
b09-09b09lt
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B
AND THE CONDITIONS AND STIPULATIONS, COMMONWEALTH LAND TITLE INSURANCE COMPANY, a Pennsylvania
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 the insured by reason of:
1. Title to the estate or interest described in Schedule A being vested other than as stated therein;
2. Any defect in or lien or encumbrance on the title;
3. Unmarketability of the title;
4. Lack of a right of access to and from the land;
and in addition, as to an insured lender only:
5. The invalidity or unenforceability of the lien of the insured mortgage upon the title;
6. The priority of any lien or encumbrance over the lien of the insured mortgage, said mortgage being shown in Schedule B in the order of its
priority;
7. The invalidity or unenforceability of any assignment of the insured mortgage, provided the assignment is shown in Schedule 8, or the failure
of the assignment shown in Schedule B to vest title to the insured mortgage in the named insured assignee free and clear of all liens.
The Company will also pay the costs, attorneys' fees and expenses incurred in defense of the title or the lien of the insured mortgage, as insured,
but only to the extent provided in the Conditions and Stipulations.
IN WITNESS WHEREOF, Commonwealth Land Title Inswance Company has caused its corporate name and seal to be hereunto affixed by
its duly authorized officers, the Policy to become valid when countersigned on Schedule A by an authorized officer or agent of the Company.
~'\} 11TLr /4-
'ytt- " J'?
'<- ~
~ -p
%
~ . ~
~ ~
~" -. t;;
O~ ',.' if'
""OJ. ,,,'I
COMMONWEALTH LAND TITLE INSURANCE COMPANY
A_ rl-4JJJr:!
By
~~
President
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy and the 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 to building or zoning laws, ordinances, or regulations)
restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of
any improvement 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 the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or
governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting
from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy.
(b) Any governmental police power not excluded by (a) above, except to the 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 the land has been recorded in the public records at Date
of Policy.
2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding
from coverage any taking which has occurred prior to Date 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) whether or not recorded in the public records at Date of Policy, but created, suffered, assumed or agreed to by the insured claimant;
(b) not known to the Company, not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed
in writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant;
(d) attaching or created subsequent to Date of Policy; or
(e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for
the estate or interest insured by this policy.
4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy, or the inability or
failure of any subsequent owner of the indebtedness, to comply with the applicable doing business laws of the state in which the land is
situated.
5. Invalidity or unenforceability of the lien of the insured mortgage, or claim thereof, which arises out of the transaction evidenced by the
insured mortgage and is based upon usury or any consumer credit protection or truth in lending law.
CLTA Standard Coverage Policy Form - 1988
Page 1
Form 1156.2
Valid Only If Schedules A, B and Cover Are Attached
ORIGINAL
J ICY OF TITLE INSlJRAlICE
Issued By
~TH IAND TITLE INSURAN::E CCMPANY
A REL~ GROOP CXMPANY
SCHElXJLE A
WAN NJ. :
DATE OF roLICY: July 22, 1991 CODE NJ.: 2.10 roLICY NJ.: 609-096094
AMJUNI' OF INSURAN::E: $ 75,000.00 ORDER NJ.: 404715-04 CHARGE: $ 380.00
TIME: 8:00 A.M. RELATED POLICY N::S.:
1. Nane of Insured:
THE CITY OF PONAY, a Municipal Corporation
2. The estate or interest in the land which is cnvered by this policy is:
AN EASEMENT
3. Title to the estate = interest in the land is vested in:
THE CITY OF PONAY, a Municipal CoI:poration
4. The land referred to in this policy is described as fo11=:
See Attached for Legal Description
(Continued )
~~~
BY~~
Al1I'HORIZED REPRESENTATIVE
OONAID A. STEVENS
ab
CLTA Standard Coverage Policy Fo:rm - 1988
Schedule A
Form 1156-4
LEGAL DESCRIPI'ION
ORDER m. 404715-04
POLICY NO. 609-096094
ab
That portion of t:re Southwest ~ of t:re Northwest ~ of the Northwest
Quarter of Section 23, TcMnship 14 South, Range 3 West, San Bemardi= Base and
M=ridian, in the City of San Diego, County of San Diego, State of california,
a=rding to United States Govemrrent Survey thereof and as shown on Record of
Survey Map No. 13046, recorded in the Office of the County Recorder of said
County, February 7, 1991, described as foll=s:
Begirming at the Southeast =rn:rr of said Southwest ~ of the Northwest
Quarter of t:re Northwest Quarter; t:l'EY:::e North 20 02 ' 59" West along the Easterly
line thereof, 137.05 feet to an angle point in land described in Deed to the
State of California, recorded August 17, 1988 as File No. 88-405508 of Official
Records; t:l'EY:::e along the boun:iaI:y of said land North 75023'26" West 132.06
feet; t:l'EY:::e South 60022'33" West 326.69 feet to the Southerly line of said
Southwest Quarter of the Northwest Quarter of the Northwest Quarter; thence
South 88047'31" East, along said line, 416.77 feet to the Point of Beginning.
ORDER 1-0.: 404715-04
FDLICY 1-0. : 609-096094
ab
SCHECULE B
cx;MIONWE'J\LTH LAND TITLE INSURAN::E CUVlPANY
A RELIAI'CE GRCXJP CUVlPANY
EXCEPI'ICN3 FRCM cnvERAGE
This policy does rut insure against loss or damage (and the Canpany will rut pay
cx:>sts, atto~' fees = expenses) which arise by reason of:
PARI' I
1. Taxes or assessrrents which are rut stxJwn as existing liens by the records of any
taxing autlxlri ty that levies taxes = assessrrents on real property or by the
public records.
Proceedings by a public agency which may result in taxes or assessrrents, or notices
of such proceedings, whether or rut stxJwn by the records of such agency or by the
public records.
2. lmy facts, rights, interest or claims which are rut stxJwn by the public records but
which could by ascertained by an inspection of the land or which may be asserted by
persons in possession thereof.
3. Easarents, liens or encumbranoes, or claims thereof, which are not stxJwn by the public
records .
4. Discrepancies, conflicts in boundary lines, shortage in area, encroachrrents, or any other
facts which a =rrect survey would disclose, and which are not stxJwn by the public records.
5. (a) Unpatented mining claims; (b) reseIVations or exceptions in patents or in Acts
authorizing the issuan::e thereof; (c) water rights, claims or title to water, whether or
rot the matters excepted under (a), (b) = (c) are stxJwn by the public records.
CLTA Starrlard Coverage Policy Form - 1988
Schedule B
Form 1156-5
ORDER m. 404715-04
POLICY m.: 609-096094
ab
CXMiONWEALTH lAND TITLE INSURAN:E cnvIPANY
A RELIANCE GRaJP HOillII'GS cnvIPANY
SCHEDULE B
PART II
1. General arrl Special taxes for the fiscal year 1991-92, a lien, not yet
payable.
2. Tha lien of supplenental taxes, if any, assessed pursuant to the
provisions of Q1apter 3.5. (a:mren::ing with Section 75) of the Revenue
arrl Taxation Code of the State of Califomia.
3. An easement for poles, wires arxj in:::idental purposes in favor of SAN
DIEAn GAS & ELECl'RIC cnvIPANY, recorded Cbtober 11, 1940 in Book 1066,
Page 462 of Official Rea:>rds, described as follows:
Affects a right of way 100 feet in width upon, over arrl a=ss the
Northwest Quarter of the Northwest Quarter of said Section 23, the
center l:in= of said easement of right of way is particularly described
as follows:
Beginning at a point on the North l:in= of said Section 23, distant
thereon 247.41 feet Easterly fran the Northwest == of said Section
23; tOOnce fran said Point of Beginning South 00 00 . 43 n East to the
South l:in= of said Northwest Quarter of Northwest Quarter of Section
23.
Reference is made to said instrurrent f= further particulars.
4. Tha fact that said larrl does not abut a dedicated road or highway, or
an easement for aa::ess appurtenant thareto.
5. Said larrl is also shown on Rea:>rd of Survey Map No. 13046, filed in the
Office of the County Rea:>rder of San Diego County.
CLTA Starxlard Coverage Fonn - 1988
Sc:I'a:lule B (Continued)
.... -
,,-.;:'1 ,
"..'. -.
....~ -..;~- ".
':':::'__.'<;~
. ".-~.
- '-.,
'..-:'
o
I
'::-i
o
, .
..
.'"
."
:61
r .
't-
0...
-2'..0
. ''''
~'.fL"
I
I
!
l- .
)
\.;.,:
j"
(
j"'-..
'.~
"
~.-;.
....~
"..~
.".:~
....
r"
~ ~-;..c... '. .
,.
~ .~-:::
\
I-'
I
III
@B
i.,
! .
i
cr:
o
0-
I
(/)
o
1-.
-:J''-': ....--.
cr
(/)
<(
.z
~cr:
(/)~
o .
.. .J I . ~ci..-'
,~; ~ , '. .y ~ 3:
~. ..,..-..,..'- 0 ; ..'
. ::':'.- "'\ ' ('1 ('1'::'."
. '''''' :r a: 0; ,:;
'>J~,: ~, ._'-, t,i..;: ~'.::;.
. ~ ~ ''';.'-.~'' E, .(/)- ---. ;"y.(,. _. .. -
~.~.;.<~~~~: .' v,..
'.c..,'~. ltl ..q- 'V -,f>..
,,:>',: <l) ......-. " '
-... ~.,....; - -:..~ :'.:~."~ . ..
. '...
:.-.. ~.:'..' '.
.':':J.:--"
-",
._~. ; t: ;,""'~;':.' ..
,,' 0". , ;'"
. . ...~ ~..::.:w;j;.;;t~ii~1ri;;r.~:1;., .
f," . ~_
~"'-'i:. .~::":'~'.
.",,'.>.--
~
o
o
".. ~~1~
... ~:'t~"t .""VU\l
oJ '>J \. ",'-l ~ .,....- '....
- " I~I '/vl t::1 ",1 "I;:;!..I
! ,... I: ...~ ~ ~ :..;; !:.' l.~1l ."" ~ i ~: "'j' ; t "" i ,.~ I
' =, ,....."\ ~ ~ ',! ~1~1 '....':;;I;,I~.. ...1 l"v~ f'o/;.-
I 1,-. " "'. -," -' I ~ I 'l ';"'"
-Z:---t...~ -..l ...!'~::'),\;...~ ~I~;:.~"OI
i:.- ' ~ r-... '"" \J { .. 1 _ v '.....1..'-
'A I'.'....: 'i to:.,......'} t.:,~;'" .... .../ '"
w, '!\o. o;.~ -:; t'\t '- ':."'\. k \I ... 't~;;Ie:.......... _."
W :> "")..a~,...,t\.{_.l)o.'t..f r.. <0:1''''' ~ Cl
f': '-u -...:t, ~ C)''t'. ~ , 1,. ~h J (">J '" N ('I ..-
if'" Z ~1;j'.J fil."'I::..,~I~:..,
'-' "i ~
Z'Oi [tl<l;,.J~r-_,
< 0 ~ ~ ." ~Iii; ~ ~, ~ - _ _ N
5 ~ ,', J 1 ,I
./ ....... ,~.",. "',1';'0:-'" .',
... ~ .".
.
I , .J
, '
I ! I i
iill
,1' .1
I
o
0;:)
~
\.JJ
N
" \
"\J
i'1
j,
-'
II
.
, I
.
.. ~. -, )f ''; '. ,..,
0:1""\;
Ot'\! ~
U
,
".".".:':
.......
..., .'
~. '...'
;.,. :.: :"''-=
;: ~
. .....,.~.""-.
,
'\. ~,
..
.. i.",
..'
~.,
. ,
,.
;i
C.
r-.,
r-~
.
<l
r--
~~. -:~ ~':j
>-
o
w
-,
o
Q:
Q.
Z
o
'!-
:II
;, .
~~
l'
~
.-~-.-'-~'"
I-
<(
o
o
..J <(
~ ::J
1--;;:' ~~
~o Q: 0
J:... ~ ~. .-.:-,<~~.'C.t.~
<(~ ~ "
U1~ ~:c
~'-" ~......
.
N '
';J
@~
'"
" .1.0'
- """Of 'U
....,.
"
1.'
.;'.'.'
Q'
'l'
't
.
.
N
,'..'..'
..
o
<'
.--
u
<:
fQ\",
\8f::
'"
,
.
~
.;
...
...
14
0'
J
. ~ .
Do '..
~<: 0
(41 .~.
~ '''-r,/D
~\O
o
n
'"
..,. ~
'~S
. on
o ~,..
o
...
to,
~
@~.
'"
\)
<l:
03\'f
~-t
on
r')
u
~
e~
'it
0~
\!:Y .~
':/.
@~
( .1.01
to- 101
U
<(
@~.
'"
~
r.i\t;
QOl
<\l
~
t
, ,/,. IS-
d{./.'
..r-"~.
U
4:
N
@;
"
"
'" .
.nV
I..
.
,
,k-.
. .'
. "
. ......
"
.":".:
- ,
'.
~
"
.c:,r.-..;.....,.; ~,~.._;~
'l~..,.,.~ .'.:::.;::.~~~.?';.
1.-..-
. ,
.',
..
. ;'''-'-..,'
....,~ .
",
"
~' :""."
.
.,
,\-"
~.',
,'. ,,'
, ~.
.:-::
>.. '/1
'..
.'.....
;.'
':1,'
q.. .
....
'..(
. . . ~
. ','0:-
"'~'
,...~_.,_. -
'.
.,A;'
, .
--,t'
,
:~:'
".'
;.: --,. .;.....'.~> -. .', .
!-: ~ ....
~':--. _-:
....:.
.'
~-':.:
'..
. .." 'C"',
~. ""...~:',:~~ .~~
..;
" ,
"'......
" 0
'" "
0. 0 "
E I.o.l C
~ C I: '/'"
.... Q 1;-: jl
~ ~ ~ ~ =-',
po,jI- u ~ '" cf
a,; A..Q:>,
-. u'" ~ ~ ~I
Ill.... C ~
;; p; 0 :: j/
" $.,.c ::I
.'0 .,."
..-t U C U ~
.... 8- G ..:
.c OJ a: q
oA ::t to.... j
.' W II:!....,
. 0 . 0 .-;
L.l cr;....._"!.:J
--;1'
"
,'.
"
.-'). '.i;~.
(f)
,.', -
...."
'"
o
,.,
'"
CO
lL
...
X
..,
'a:
~
....
..,
...
..
,..
...
z
5
u
o
"
'Gtl;
'.~~
~
@,;
N
tl)
-
.......
,
c,'u>
lit.
'...p
i~
.-=!1'1..
,'-
'N
, .
;:-~
]~
.... ....
"
,
i~
~
~
~y;
):...,.,.
I
r.
~
i';~
1
~i
:]
~J
'-'.
1}
l~
:i
'~'~
~
..-:!i:i;;;
'>
.
~
~~
15
'"
':?
t
'"
=>
'-
~.
~
"
f.
V':.
~
'"
.-'~
11['
;,..:l
,~
-~~~.
:-~::~
~
<. .~
~ ~i]$.
j:iii;
c
.
L.
'-
""
..
.,:i
o
'"
lL
~~
~"~,~
~
......
~'~''I''
...
-"''':
--
.---,<,,'
~
CONDITIONS AND STIPULATIONS
(Continued)
7. DETERMINATION AND EXTENT OF LIABILITY.
This policy is a contract of indemnity againsl actual monetary loss or damage sustained or
incurred by the insured claimant who has suffered 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 10 an insured lender shall not exceed the least
or:
(i) The Amount of Insurance stated in Schedule A, or, if applicable. the amount of
insurance as defined in Section 2 (e) of these Conditions and Stipulations;
(ii) the amount of the unpaid principal indebtedness secured by the insured mongage as
limited or provided under Section 8 of these Conditions and Stipulations or as reduced under
Section 9 of these Conditions and Stipulations. at the time the loss or damage insured against by
this policy (NXurs, together with interest thereon; or
(iii) the difference between the ~alue of the insured estate or interest as insured and the
~alue of the insured estate or interest subject to the defect. lien or encumbrance insured against by
this policy
(b) in the e~ent the insured lender has acquired the estate or interest in the manner described in
Section 2 (a) of theK Conditions and Stipulations or has con~eyed the title. then the liability of the
Company shall continue as set forth in Section 7(a) of these Conditions and Stipulations.
(c) The liability of the Company under this policy to an insured owner of the estate or interest
in the land described in Schedule A shall not exceed the least of:
(i) the Amount of Insurance stated in Schedule A; or,
(ii) the difference between the ~alue of the insured estate or interest as insured and the
~alue of the insured estate or interest subject to the defect. lien or encumbrance insured against by
this policy.
(d) The Company will pay only those costs, attorneys' fees and expenses incurred in accordance
with Section 4 of these Conditions and Stipulations.
I. LIMITATION OF LIABILITY,
(a) If the Company establishes the title, or remo~es 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 unmarketability of title.
or otherwise establishes the lien of the insured mortgage. all as insured. in a reasonably diligent
manner by any method, including litigation and the completion of any appeals therefrom. it shall
ha~e fully performed its obligations with respect to that matter and shall not be liable for any loss
or damage caused thereby
(b) In the e~ent of any litigation. including litigation by the Company or with the Company's
consent. the Company shall ha~e no liability for loss or damage until there has been a final
determination by a court of competent jurisdiction, and disposition of all appeals therefrom, ad~enc
to the title, or, if applicable, to the lien of the insured mortgage. as insured.
(c) The Company shall not be liable for loss or damage to any insured for liability ~oluntarily
assumed by the insured in settling any cliam or suit without the prior written eonsent of the
Company.
(d) The Company shall not be liable to an insured lender for: (i) any indebtedness created
subsequent to Date of Policy except for advances made to protect the lien of the insured mortgage
and secured thereby and reasonable amounts expended to prevent deterioration of improve me nts;or
(ii) construction loan advances made subsequent to Date of Policy. except construction loan
advances made subsequent to Date of Policy for the purpose of financing in whole or in part the
construction of any improvement to the land which at Date of Policy were secured by the insured
mortgage aod which the insured was and continued to be obligated to ad~ance at and after Date of
Policy.
t, REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF LiABILITY,
(a) All payments under this policy, except payments made for costs, attorneys" fees and
expenses, shall reduce the amount of insurance pro tanto. However, as to an insured lender. any
payments made prior to the acquisition of title to the estate or interest as provided in Section 2 (a)
of these Conditions and Stipulations shall not reduce pro tanto the amount of insurance afforded
under this policy as to any such insured, except to the extent that the payments reduce the amount
of the indebtedness secured by the insured mortgage.
(b) Payment in part by any person of the principal of the indebtedness, or any other obligation
secured by the insured mortgage, or any voluntary partial satisfaction or release of the insured
mortgage, to the extent of the payment, satisfaction or release, shall reduce the amount of insurance
pro tanto. The amount of insurance may thereafter be increased by accruing interest and advances
made to protect the lien of the insured mortgage and secured thereby, with interest thereon.
provided in no event shall the amount of insurance be greater than the Amount of Insurance stated
in Schedule A.
(c) Payment in full by any person or the voluntary satisfaction or release of the insured
mortgage shall terminate all liability of the Company to an insured lender except as provided in
Section 2(a)of thesc Conditions and Stipulations.
10, LiABILITY NONCUMULATIVE
It is expressly understood tbat the amount of insurance under this policy shall be reduced by
any amount the Company may pay under any policy insuring a mortgage to which exception is
taken in Schedule B or to which the insured has agreed, assumed, or taken subject, or which is
hereafter executed by an insured and which isa charge or lien on the estate or interest described or
rde~ to in Schedule A, and the amount so paid shall be deemed a payment under this policy to
the insured owner.
The provisions of this Section shall not apply to an insured lender, unless such insured acquires
title to said estate or interest in satisfaction of the indebtedness secured by an insured mortgage.
11. PAYMENT OF LOSS
(a) No payment shall be made without producing this policy for endorsement of the payment
unless the policy has been l05t or destroyed, in which case proof of loss or destruction shall be
fumished. to tbe satisfaction of the Company.
(b) When liability and the extent of lollS or damqe has been delinitely fixed in accordance with
thele Conditions and Stipulations, the loss or damal\: shall be payable within 30 days thereafter.
CLTA Standard Coverage Policy Fonn .1988
Cover Page
Form 1156-3
12, SUBROGATION UPON PAYMENT OR SETTLEMENT
(a) The Company's Right of Subrogation
Whenever the Company shall have settled and paid a claim under this polil;y, all right of
subrogation shall ~est in the Company unaffected by any act of the insured claimant
The Compan~ shall be subrogated to and be entitled to all rights and remedies which the
insured claimant would have had against any person or property in respect to the claim had this
policy not been issued, If requested by the Company. the insured claimant shall transfer to the
Company all rights and remedies against any person or property necessar~ in order to perfect this
right of subrogation. The insured claimant shall pennit the Company to sue. compromise or settle in
the name of the insured daimant 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 (i) as to an insured owner. 10 all rights and remedies in the
proporation which the Company's payment bears 10 the whole amount of the loss; and (ii) as to an
insured lender, to all rights and remedies of the insured claimant after the insured claimant shall
have reeo~ered its principal. interest, and costs of collection.
If loss should result from an~ act of the insured claimant. as stated abo~e. that act shall not
~oid this policy. but the Company. in that event, shall be required to pay only that part of any
losses insured against by this policy which shall exceed the amount. if any. lost to the Company by
reason of thc impairment by the insured claimant of the Compan~'s right of subrogation.
(b) The insured's Rights and Limitations.
Notwithstanding the foregoing. the owner of the indebtedness secured b)' an insured mortgage.
pro~ided the priority of the lien of the insured mortgage or its enforceability is not affected. may
release or substitute the personal liability of any dcbtor or guarantor. or extend or otherwise modify
the tenm of payment. or release a portion of the estate or interest from the hen of the insured
mortgage. or release an~ collateral ~urity for the indebtedness.
When the permitted acts of the insured claimant occur and the insured has knowledge of an~
claim oftit1c or interC\;t ad~erse to the title to the estate or intercst or the priority or enforceability
of the lien of an insured mortgage, as insured, the Company shall be required to pay only that part
of any 10sSC1\ insured against b~ this policy which shall exceed the amount. if any, lost 10 the
Company by reason of the impairment by the insured claimant of the Company's right of
subrogation.
(c) The Company's Rights Against Non.lnsured Obligors.
TheCompany'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. notwithstanding any terms or conditions contained in those instruments which provide for
subrogation rights by reason of this policy
The Company's righl of subrogation shall not be avoided by acquisition of an insured mortgage
by an obligor (except an obligor described in Section l(a)(ii) of these Conditions and Stipulations)
who acquires the insured mortgage as a resolt of an indemnity. guarantee. other policy of insurance,
or bond and the obligor will not be an insured under this policy. notwithstanding Section I(a)(i) of
these Conditions and Stipulations
13, ARBITRATION,
Unless prohibited by applicable law. either the Company or the insured may demand
arbitration pursuant to thc Title Insurance Arbitration Rules of the American Arbitration
Association, Arbitrable matters may inclode, but are not limited to. any controversy or claim
between the Compan~ and the insured arising out of or relating to this policy, any service of the
Company in connection with its issuance or the breach of a policy provision or other obligation. All
arbitrable matters when the Amount of Insurance of $1,000,000 or less shall be arbitrated at 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 this policy and under the Rules in effect on the date the demand
for arbitration is made or. at the option of the insured, the Rules in effect a,I Date of Policy shall be
binding upon the panies_ The award ma~ include anomeys' fees only if the laws of the state in
which the land is located permit a court to award atto~neys' fees to a pre~ailing party, Judgment
upon the award r:ndered 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
Arbitra~ion Rules
A copy of the Rules may be obtained from the Company upon request.
14. LIABILITY LIMITED TO THIS POLK:Y; POLICY ENTIRE CONTRACT.
(a) This policy together with all endorsements, if any, attached hereto b~ the Compan~ 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 not based on negligence. and which arises out of
the status of the lien of the insured mortgage or of the title to tbe estate or interest covered hereby
or by any action asserting such claim, shall be restricted to this policy.
(c) No amendment of or endorsement to this policy can be "lade except by a writing endorsed
hereon or attached hereto signed by either the President, a Vice President. the Secretary, an
Assistant Secretary, or validating officer or authorized signatory of the Co mpany.
15. SEVERABILITY,
In the event any provision of the policy is held in~alid or unenforceable under applicable law,
the policy shall be deemed not to include that pro~ision and all other provisions shall remain in full
force and effect.
1.. NOTICES, WHERE SENT.
All notices required to be given the Company and any statement in writing required to be
furnished the Company shall include the number of this policy and shall be addressed to the
Company at Commonwealth Land Title Insurance Company, Eight Penn Center. Philadelphia,
Pennsylvania 19103.
Valid Only If Schedules A and B Are Attached