CLTA Short Form Loan Policy Revolving Credit Endorsement (SFLP) 1994
SFLP-3 REVOLVING CREDIT LINE ENDORSEMENT
ATTACHED TO AND MADE A PART OF POLICY OF TITLE INSURANCE
SERIAL NUMBER ________________________
STEWART TITLE GUARANTY
HEREIN CALLED THE COMPANY
Order No.: _____________Charge: $0.00
Provided that (A) the Deed of Trust ("The Mortgage") between the insured and the borrower named in the policy creates a lien on the land; and (B) the borrower named in Schedule A is the owner of the land at the date an advance of money is made pursuant to the Note or Agreement secured by the mortgage.
The Company insures the insured against loss or damage sustained by reason of any incorrectness in the following assurances:
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The Company hereby insures said Assured against loss which said Assured shall sustain in the event the assurance herein shall prove incorrect. The total liability of the Company under said Policy and any endorsements therein shall not exceed in the aggregate, the face amount of said policy which the Company is obligated under the conditions and stipulations thereof to pay.
This Endorsement is made a part of said Policy and is subject to the conditions and stipulations therein, except as modified by the provisions hereof.
Signed under seal for the Company, but this endorsement is to be valid only when it bears an authorized countersignature.
STEWART TITLE GUARANTY COMPANY
A. That future advances shall have the same priority over liens, encumbrances and other matters disclosed by the public records as do advances secured by the mortgage at the date of its recording, except for the following matters:
(1) Real estate taxes or assessments
(2) Federal tax lien
(3) Liens, encumbrances, or other matters, the existence of which are actually known to the insured prior to the date of any advance, if the advance is made subsequent to the occurrence of an event of default under the terms of the mortgage prior to a cure of such default.
B. The provisions of the mortgage which provide for changes in the rate of interest will not render the lien of the mortgage invalid or unenforceable.
C. Changes in the rate of interest calculated in accordance with the formula provided in the mortgage at date of recording will not cause a loss of priority of the lien of the mortgage.
The company further assures the insured that advances secured by the mortgage shall be included within the coverage of the policy, not to exceed the amount of insurance thereof.
This Endorsement does not insure (A) that the borrower owns the land, nor that the mortgage creates a lien on the land, nor the validity, enforceability, or priority of any such lien, except to the extent expressly stated; nor (B) against loss or damages based upon (I) usury, (II) any consumer credit protection or truth in lending law, or (III) bankruptcy or insolvency proceedings of the borrower.
No guidelines are available for this form at this time.