CO Mechanic's Lien Coverage Endorsement Guideline 101
Explanation:Provides insurance to the lender against loss by reason of the establishment of priority of mechanic's liens over the lien of the insured deed of trust or mortgage so long as the mechanic's liens arise from work, the payment for which was either disbursed by Stewart Title or with its approval.
Underwriting Requirements:(1) The Company must be disbursing construction funds from a construction loan or reviewing such disbursements.
(2) Satisfactory indemnity agreements must be obtained from the contractor and owner on the project.
(3) Appropriate Stewart Title Guaranty underwriting personnel must be contacted and approve the issuance of this endorsement.
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):