WA STG Endorsement (Energy Project - Restrictions, Encroahcment Minerals - Loan Policy - Unimproved Land)

ENDORSEMENT

ATTACHED TO POLICY NUMBER ______________________

Issued By

STEWART TITLE GUARANTY COMPANY

 

Order Number: ____________

Date:  _______________

Premium: $________

1. Covenants, Conditions, or Restrictions.

a. The Company insures against loss or damage sustained by the Insured by reason of:

i. The existence, at Date of Policy, of covenants, conditions, or restrictions if a present or future violation:

(1) divests, subordinates, or extinguishes the lien of the Insured Mortgage,
(2) impairs its validity, enforceability or priority, or
(3) causes a loss of Title if the Insured has acquired Title in satisfaction or partial satisfaction of the Indebtedness secured by the Insured Mortgage.

ii The existence, at Date of Policy, of:

(1) Any present violations on the Land of any enforceable covenants, conditions, or restrictions unless the exceptions in Schedule B of the policy expressly identify the document or instrument containing the covenants, conditions, or restrictions and, in addition, expressly identify the violations;
(2) Any instrument affecting the Title that contains covenants, conditions, or restrictions on the Land that, in addition:

(a) establishes an easement on the Land,
(b) provides a lien for liquidated damages,
(c) provides for a private charge or assessment, or
(d) provides for an option to purchase, a right of first refusal, or the prior approval of a future purchaser or occupant, or
unless the exceptions in Schedule B of the policy expressly identify the document or instrument containing the covenants, conditions, or restrictions and, in addition, state that the document or instrument includes the provision that establishes (1) the easement on the Land, (2) the lien for liquidated damages, (c) the private charge or assessment, or (d) the option to purchase, right of first refusal, or the prior approval of a future purchaser or occupant, that caused the loss; or

(3) Any notice recorded or filed in the Public Records of a violation of covenants, conditions, or restrictions relating to environmental protection unless the exceptions in Schedule B of the policy expressly identify the document or instrument containing the covenants, conditions, or restrictions and, in addition, expressly identify the notice of the violation of the covenants, conditions, or restrictions relating to environmental protection that caused the loss.

b. This endorsement does not insure against loss or damage (and the Company will not pay costs, attorneys’ fees, or expenses) resulting from:

i. any covenants, conditions, restrictions or limitations contained in an instrument creating a lease or easement;
ii, any covenants, conditions, restrictions or limitations relating to obligations of any type to perform maintenance, repair, or remediation on the Land; or
iii. except as used in Paragraph 1.a.ii.(3), any covenants, conditions, restrictions or limitations pertaining to environmental protection of any kind or nature, including hazardous or toxic matters, conditions, or substances.

2. Encroachments and Minerals and Other Subsurface Substances.

a. The Company insures against loss or damage sustained by the Insured by reason of:

i. The existence, at Date of Policy, of any encroachment onto the Land of existing improvements located on adjoining land unless the exceptions in Schedule B of the policy expressly identify the encroachment.

ii. Any encroachment of improvements constructed or located on the Land after Date of Policy onto adjoining land, provided that the improvements are located as shown on the ALTA/ACSM Survey made by                           dated                                , last revised                             , designated as the                                 Wind Project, consisting of          sheets (the “Survey”).

iii. Damage to improvements constructed or located on the Land after Date of Policy, provided that the improvements are located as shown on the Survey, resulting from the future exercise of any right existing at Date of Policy to use the surface of the Land for the extraction or development of minerals or any other subsurface substances excepted from the description of the Land or excepted in Schedule B.

b. This endorsement does not insure against loss or damage (and the Company will not pay costs, attorneys’ fees, or expenses) resulting from explosion, fire or subsidence.

The term “improvements” as used in this endorsement shall include Electricity Generation and Transmission Facilities

This endorsement is issued as part of the policy. Except as it expressly states, it does not (i) modify any of the terms and provisions of the policy, (ii) modify any prior endorsements, (iii) extend the Date of Policy, or (iv) increase the Amount of Insurance. To the extent a provision of the policy or a previous endorsement is inconsistent with an express provision of this endorsement, this endorsement controls. Otherwise, this endorsement is subject to all of the terms and provisions of the policy and of any prior endorsements.

Signed under seal for the Company, but this endorsement is to be valid only when it bears an authorized countersignature.

Countersigned by:

______________________________
Authorized Countersignature

______________________________
Company Name

______________________________
City, State

No guidelines are available for this form at this time.