CLTA 123.5-06 Zoning - No Zoning Classification (12-01-18) ALTA 3.4-06

This endorsement is issued as part of
Policy Number __________
issued by
STEWART GUARANTY COMPANY 

1. For purposes of this endorsement:

a. “Improvement”: A building or structure located on the Land at the Date of Policy.

b. “Zoning Ordinance”: A municipal or county zoning ordinance or zoning regulation applicable to the Land at the Date of Policy.

2. The Company insures against loss or damage sustained by the Insured resulting from:

a. The following use not being allowed by the municipality or county because the use violates a Zoning Ordinance:

[DRAFTING INSTRUCTION: Describe the existing use] 

b. A final decree of a court of competent jurisdiction either prohibiting the use or requiring the removal or alteration of the Improvement because, at the Date of Policy, the use violates a Zoning Ordinance with respect to any of the following matters: 

i. The area, width, or depth of the Land as a building site for the Improvement;

ii. The floor space area of the Improvement;

iii. A setback of the Improvement from the property lines of the Land;

iv. The height of the Improvement; or 

v. The number of parking spaces.

3. Section 2 does not insure against loss or damage and the Company will not pay costs, attorneys’ fees, or expenses resulting from:

a. Any other regulation or restriction of use or activity on the Land:

i. Imposed by a covenant, condition, restriction, or limitation on the Title; or

ii. Imposed by a state or federal law, statute, code, enactment, ordinance, permit, regulation, rule, order, or court decision; 

b. Any refusal to purchase, lease, or lend money on the Title; or

c. Any zoning ordinance or zoning regulation adopted after the Date of Policy.

Except as this endorsement expressly states, it does not (i) modify any of the terms and provisions of the policy, (ii) modify any prior endorsement, (iii) extend the Date of Policy, (iv) insure against loss or damage exceeding the Amount of Insurance, or (v) increase the Amount of Insurance. To the extent a provision of the policy or any prior 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 any prior endorsement.

[Witness clause optional]

[DATE]

STEWART GUARANTY COMPANY 

By: ______________________________

Authorized Signatory