Bulletin: MO2010002

Date:
September 09, 2010
To:
All Missouri Issuing Offices
RE:
Do Not Insure Boat Slips as Real Property under HB 1692/RSMo 339.503

Dear Associates:

Missouri HB 1692 takes effect August 28, 2010. It amends §339.503 by adding the following definition to the "Missouri Certified and Licensed Real Estate Appraisers Act."

(8) "Boat slip" or "watercraft slip", a defined area of water, including the riparian rights to use such area, whether by grant, lease, or license, in accordance with all applicable laws and regulations, which is a part of a boat dock serving a common interest community, including by way of example and not of limitation condominiums and villas; and the exclusive right to such use being allocated as a limited common element or being assigned to an owner of real estate in the common interest community in which the boat dock is located, whether by grant, lease, or otherwise.

The rights of the real estate owner in such slip are included as collateral in any deed of trust and uniform commercial code filings of a lender, if any, taking a security interest in the owner's real estate;

Company Policy:

We cannot rely upon the referenced statute to insure "boat slips" or "watercraft slips" just as we cannot rely on the statute enacted in 2009 to insure "boat docks". In addition to standard riparian exceptions applicable to property abutting water, public or private, any commitment or policy (Owner's or Loan) issued for such property must include the following exception:

The Land shall not be deemed to include any boat dock, boat slip or watercraft slip.

If you have questions relating to this bulletin, please contact your local underwriting personnel or Stewart Legal Services.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
MO2009003 Do Not Insure Boat Docks as Real Property under HB 842/RSMo 339.503
 
SLS2008019 Insuring Dockominiums
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None