Guideline: ALTA Endorsement 9.9-06 Private Rights - Owners Policy

Explanation:

ALTA Endorsement 9.9-06 is designed for owner’s policies and insures as of Date of Policy against loss or damage by reason of enforcement of a Private Right in a Covenant affecting the Title at Date of Policy by reason of a transfer of Title on or before Date of Policy resulting in a loss of the Insured’s Title.  

A Private Right is: (a) an option to purchase; (b) a right of first refusal; or, (c) a right of prior approval of a future purchaser or occupant.  

A Covenant is a covenant, condition, limitation or restriction in a document or instrument recorded in the Public Records at Date of Policy.

Endorsement 9.9-06 is issued with a 2006 ALTA Owner’s Policy

Underwriting Requirements:

(1)  Verify if there is an existing option to purchase.  If there is an existing option to purchase: (a) Obtain a release; and/or (b) Determine that the right has terminated or has been waived; and, (c) Contact a Stewart Underwriter. 

(2) Verify if there is an existing right of first refusal.  If there is an existing right of first refusal: (a) Obtain a release; and/or (b) Determine that the right has been terminated or has been waived; and, (c) Contact a Stewart Underwriter.

(3)  Verify if there is an existing right of prior approval of a purchaser or occupant.  If there is an existing right of prior approval of a purchaser or occupant: (a) Obtain a release; and/or (b) Determine that the right has terminated or has been waived; and, (c) Contact a Stewart Underwriter.

The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.

Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.

This guideline applies to the following form(s):

ALTA Endorsement 9.9-06 (Private Rights - Owner's Policy) (04-02-13)