CHICAGO TITLE INSURANCE COMPANY ALTA PLAIN LANGUAGE COMMITMENT INFORMATION

Transcription

1 ALTA PLAIN LANGUAGE COMMITMENT INFORMATION The Title Insurance Commitment is a legal contract between you and the Company. It is issued to show the basis on which we will issue a Title Insurance Policy to you. The Policy will insure you against certain risks to the land title, subject to the limitations shown in the Policy. The Company will give you a sample of the Policy form, if you ask. The Policy contains an arbitration clause. All arbitrable matters when the Amount of Insurance is $2,000,000 or less shall be arbitrated at the option of either the Company or you as the exclusive remedy of the parties. You may review a copy of the arbitration rules at The Commitment is based on the land title as of the Commitment Date. Any changes in the land title or the transaction may affect the Commitment and the Policy. The Commitment is subject to its Requirements, Exceptions and Conditions. THIS INFORMATION IS NOT PART OF THE TITLE INSURANCE COMMITMENT. YOU SHOULD READ THE COMMITMENT VERY CAREFULLY. If you have any questions about the Commitment contact: WESTMINSTER TITLE AGENCY West 120th Avenue, Suite 315 Broomfield, CO Brittany Loza, Escrow Officer Phone Fax bloza@westminstertitle.com Information 1 of 1

2 ALTA PLAIN LANGUAGE COMMITMENT TABLE OF CONTENTS AGREEMENT TO ISSUE POLICY SCHEDULE A 1. Commitment Date 2. Policies to be Issued, Amounts and Proposed Insureds 3. Interest in the Land and Owner 4. Description of the Land SCHEDULE B-I REQUIREMENTS SCHEDULE B-II EXCEPTIONS CONDITIONS Table of Contents 1 of 1

3 ALTA PLAIN LANGUAGE COMMITMENT AGREEMENT TO ISSUE POLICY We agree to issue policy to you according to the terms of the Commitment. When we show the policy amount and your name as the proposed insured in Schedule A, this Commitment becomes effective as of the Commitment Date shown in Schedule A. If the Requirements shown in this Commitment have not been met within 180 days after the Commitment Date, our obligation under this Commitment will end. Also, our obligation under this Commitment will end when the Policy is issued and then our obligation to you will be under the Policy. Our obligation under this Commitment is limited by the following: The Provisions in Schedule A. The Requirements in Schedule B-I. The Exceptions in Schedule B-II. The Conditions. This Commitment is not valid without SCHEDULE A and Sections I and II of SCHEDULE B. Westminster Title Agency, Inc. Steve A. Koester, Authoized Signatory Agreement to Issue Policy 1 of 1

4 NOTICE CONCERNING FRAUDULENT INSURANCE ACTS (This Notice is Permanently Affixed Hereto) It is unlawful to knowingly provide false, incomplete, or misleading facts or information to an insurance company for the purpose of defrauding or attempting to defraud the company. Penalties may include imprisonment, fines, denial of insurance, and civil damages. Any insurance company or agent of an insurance company who knowingly provides false, incomplete, or misleading facts or information to a policyholder or claimant for the purpose of defrauding or attempting to defraud the policyholder or claimant with regard to a settlement or award payable from insurance proceeds shall be reported to the Colorado Division of Insurance within the department of regulatory agencies. C. R. S. A (6)(a).

5 < < ALTA 2006 PLAIN LANGUAGE COMMITMENT SCHEDULE A 1. Commitment Date: September 22, 2017 at 07:30 AM 2. Policy (or Policies) to be issued: Policy Amount (a) ALTA Owners Policy (10/17/92) Proposed Policy Amount $0.00 Proposed Insured: (b) ALTA Loan Policy (06/06) Proposed Policy Amount $0.00 Proposed Insured: 3. Fee Simple interest in the land described in this Commitment is owned, at the Commitment Date, by: Toll Southwest LLC, a Delaware limited liability company 4. The land referred to in the Commitment is described as follows: SEE EXHIBIT A ATTACHED HERETO For Identification Purposes Only: Holly Hills Estates Filing No. 1 2nd Amendment, Thornton, CO Westminster Title Agency, Inc. Steve A. Koester, Authoized Signatory Schedule A 1 of 1

6 , < ALTA 2006 PLAIN LANGUAGE COMMITMENT SCHEDULE B The following requirements must be met: 1. Payment of the full consideration to, or for the account of, the grantors or mortgagor. 2. Instruments in insurable form which must be executed, delivered, and duly filed for record, to wit: Mortgage from to, securing the principal amount of $ Pay the agreed amounts for the interest in the land and/or the mortgage to be insured. 4. Pay us the premiums, fees and charges for the policy. 5. Obtain a certificate of taxes due from the County Treasurer of the County Treasurer's authorized agent. 6. Evidence that any and all assessments for common expenses, if any, have been paid. 7. The Company will require that an Affidavit and Indemnity Agreement be completed by the Party(s) named below before the issuance of any policy of title insurance. Partry(s): Toll Southwest LLC, a Delaware limited liability company The Company reserves the right to add additional items or make further requirements after review of the requested Affidavit. 8. Deed sufficient to convey the fee simple estate or interest in the Land described or referred to herein, to the Proposed Insured Lender. 9. Deed of trust sufficient to encumber the estate or interest in the Land described or referred to herein for the benefit of the Proposed Insured Lender. 10. Please be advised that our search did not disclose any open Deeds of Trust of record. If you should have knowledge of any outstanding obligation, please contact the Title Department immediately for further review prior to closing. 11. Recordation of Statement of Authority for Toll Southwest LLC, a Delaware limited liability company pursuant to Colorado Revised Statutes evidencing the existence of the entity and authority of the person(s) authorized to execute and deliver instruments affecting title to real property on behalf of the entity and containing other information required by Colorado Revised Statutes. 12. Furnish to the company an Improvement Location Certificate in form, content and certification to Westminster Title Angency, Inc. Schedule BI 1 of 2

7 SCHEDULE B (Continued) 13. The following information/items must be provided to the Company relevent to the determination of whether to issue Mechanics Lien Protection in connection with any policy of title insurance to be issued to-wit: a) The property is a single family dwelling unit that will be the primary residence of the owner(s). b) The purchaser(s) are third parties purchasing the property under a contract from the seller/builder/contractor. c) The seller/builder/contrctor must execute the Company's "Indemnity Agreement" form. d) The purchaser(s) must execute the Company's "Owners Affidavit of Occupancy" form. e) Furnish Certificate of Occupancy, acceptable to the Company. Note: The transaction is occuring within the 6 month Colorado statutory period for mechanic's liens. Prior to Closing, the title chain will be updated and ther are no recorded mechanic's liens or notices of record. The seller's proceeds check will be made payable to the seller/builder/contractor. The Company reserves the right to add additional items or make further requirements after review of the requested documentation. 14. END OF REQUIREMENTS The Following vesting deeds relating to the subject property have been recorded in the Clerk and Recorder's office of the County in which the property is located: Special Warranty Deeds recorded July 27, 2017, at Reception No Schedule BI 2 of 2

8 , < ALTA 2006 PLAIN LANGUAGE COMMITMENT SCHEDULE B - SECTION II EXCEPTIONS Schedule B of the policy or policies to be issued will contain exceptions to the following matters unless the same are disposed of to the satisfaction of the Company: 1. Any defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof but prior to the date the proposed insured acquires for value of record the estate or interest or mortgage/deed of trust thereon covered by this Commitment. 2. Any rights, interests or claims of parties in possession of the land not shown by the public records. 3. All easements, rights-of-way, streets, roads or railways affecting the land not shown in the public records. 4. Any encroachments, overlaps, overhangs, violated restrictions, set-back line violations, boundary line disputes, variations in area, party walls, easements and any other matters which would be disclosed by an accurate survey or inspection of the land. 5. Any lien or right to a lien, for services, labor, or materials imposed by law and not shown by the public records. 6. Any claim that any part or all of the land is or was underwater and riparian rights if any. 7. Taxes and assessments for the year 2017, and all subsequent years (which are shown as existing liens by the public records) which are not yet due and payable. 8. Any lien or right to lien in favor of any village, city, county or other municipality for unpaid service charges for water, sewer or gas systems supplying the land. 9. Any mortgage or deed of trust or other encumbrance entered into or granted by the insured. 10. ANY FACTS, RIGHTS, INTERESTS, OR CLAIMS THEREOF, NOT SHOWN BY THE PUBLIC RECORDS BUT THAT COULD BE ASCERTAINED BY AN INSPECTION OF THE LAND OR THAT MAY BE ASSERTED BY PERSONS IN POSSESSION OF THE LAND. 11. TAXES FOR THE FISCAL YEAR 2017 IN THE TOTAL AMOUNT OF $, A LIEN NOW DUE AND PAYABLE. PARCEL NO.: ACCOUNT NO.: 12. EASEMENTS, LIENS OR ENCUMBRANCES, OR CLAIMS THEREOF, NOT SHOWN BY THE PUBLIC RECORDS. 13. ANY ENCROACHMENT, ENCUMBRANCE, VIOLATION, VARIATION, OR ADVERSE CIRCUMSTANCE AFFECTING THE TITLE THAT WOULD BE DISCLOSED BY AN ACCURATE AND COMPLETE LAND SURVEY OF THE LAND AND NOT SHOWN BY THE PUBLIC RECORDS. 14. ANY LIEN, OR RIGHT TO A LIEN, FOR SERVICES, LABOR OR MATERIAL HERETOFORE OR Schedule BII 1 of 5

9 SCHEDULE B (Continued) HEREAFTER FURNISHED, IMPOSED BY LAW AND NOT SHOWN BY THE PUBLIC RECORDS. 15. RESERVATIONS AS CONTAINED IN PATENT OF THE UNITED STATES RECORDED DECEMBER 12, 1912 IN BOOK 25 AT PAGE MINERAL RESERVATIONS, GRANTS AND OTHER INTERESTS, INCLUDING ASSIGNMENTS THEREOF OR INTERESTS THEREIN EVIDENCED BY THE FOLLOWING DOCUMENTS: ONE-HALF OF ALL OIL, GAS AND MINERAL RIGHTS RESERVED BY MARIAN ESTHER GINTHER IN DEED RECORDED JANUARY 21, 1972 IN BOOK 1776 AT PAGE 145; ONE-HALF INTEREST IN ALL OIL, GAS AND MINERAL RIGHTS RESERVED BY SANFORD SMITH WALTER IN DEED RECORDED NOVEMBER 10, 1972 IN BOOK 1829, PAGE 362; STIPULATION AND AGREEMENT BY AND AMONG H. SOL CERSONSKY, GRANT MARSH, SANFORD SMITH WALKER, AMERICAN TEN, INC., STANLEY CARLSON, TRUSTEE AND LEE CARLSON RECORDED APRIL 5, 1982 IN BOOK 2634, PAGE 483; STIPULATION AND AGREEMENT BY AND AMONG H. SOL CERSONSKY, GRANT MARSH, SANFORD SMITH WALKER, AMERICAN TEN, INC., STANLEY CARLSON, TRUSTEE AND LEE CARLSON RECORDED OCTOBER 19, 1982 IN BOOK 2687, PAGE 624; STIPULATION AND CROSS CONVEYANCE RECORDED MARCH 9, 1987 IN BOOK 3283, PAGE 938; RESERVATION OF ALL PRESENT AND FUTURE MINERAL INCOME BY SHIRLEY E. CARLSON AND LEE S. CARLSON IN DEEDS RECORDED FEBRUARY 24, 1992 IN BOOK 3870, PAGES 247 AND 248; MINERAL DEED FROM SHIRLEY E. CARLSON AND LEE CARLSON TO BLUE CHIP OIL, INC., A COLORADO CORPORATION RECORDED MAY 17, 2002 AT RECEPTION NO. C NOTE: RELINQUISHMENT OF SURFACE RIGHTS RECORDED JUNE 17, 2016 AT RECEPTION NO OIL AND GAS LEASE DATED APRIL 23, 1971 BETWEEN FARMERS RESERVOIR AND IRRIGATION COMPANY, LESSOR AND BEL OIL CORPORATION, LESSEE RECORDED JULY 23, 1971 IN BOOK 1717 AT PAGE 412 AND ANY AND ALL ASSIGNMENTS, EXTENSIONS AND OPTIONS THEREOF. NOTE: AFFIDAVIT OF PRODUCTION AND EXTENSION OF LEASE WAS RECORDED MARCH 4, 1978 IN BOOK 2223 AT PAGE RIGHT OF WAY AND EASEMENT AS GRANTED TO SINCLAIR PIPE LINE COMPANY IN INSTRUMENT RECORDED MARCH 27, 1963 IN BOOK 1055 AT PAGE 501 AND GENERAL INDENTURE OF CONVEYANCE, ASSIGNMENT AND TRANSFER RECORDED MAY 10, 1973 IN BOOK 1862 AT PAGE 817, AND AMENDMENT TO RIGHT OF WAY EASEMENT RECORDED APRIL 17, 2008 UNDER RECEPTION NO (AFFECTS TRACTS M, O AND S) 19. EASEMENT AS GRANTED TO NORTHERN GAS PRODUCTS COMPANY IN INSTRUMENT RECORDED JANUARY 28, 1976 IN BOOK 2042 AT PAGE TERMS, CONDITIONS, PROVISIONS, BURDENS AND OBLIGATIONS AS SET FORTH IN ANNEXATION ORDINANCE #2702 RECORDED MARCH UNDER RECEPTION NO. C AND RECEPTION NO. C ANNEXATION MAP RECORDED MARCH 8, 2002 UNDER RECEPTION NO. C TERMS, CONDITIONS AND PROVISIONS OF ASSIGNMENT AND BILL OF SALE RECORDED MARCH 22, 2002 AT RECEPTION NO. C OIL AND GAS LEASE BETWEEN MARIAN ESTHER GINTHER AND J.B. BENNETT, RECORDED AUGUST 18, 1971 IN BOOK 1726 AT PAGE 289 AND ANY AND ALL Schedule BII 2 of 5

10 SCHEDULE B (Continued) ASSIGNMENTS THEREOF, OR INTEREST THEREIN. NOTE: AFFIDAVIT OF PRODUCTION AND EXTENSION OF LEASE RECORDED MARCH 24, 1978 IN BOOK 2223 AT PAGE 931. SURFACE USE AGREEMENT RECORDED MAY 24, 2012 AT RECEPTION NO THE EFFECT OF RELEASE OF OIL AND GAS LEASES AND TERMINATION OF SURFACE USE AGREEMENT RECORDED JUNE 17, 2016 AT RECEPTION NO ANY TAX, LIEN, FEE, OR ASSESSMENT BY REASON OF INCLUSION OF SUBJECT PROPERTY IN THE NORTH HOLLY METROPOLITAN DISTRICT, AS EVIDENCED BY INSTRUMENT RECORDED DECEMBER 28, 2005, UNDER RECEPTION NO AND APRIL 9, 2014 AT RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE BARGAIN AND SALE DEED AS TO OIL, GAS AND MINERALS AS SET FORTH BELOW: RECORDING DATE: JUNE 5, 2013 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE QUIT CLAIM DEED AS TO OIL, GAS AND OTHER MINERALS AS SET FORTH BELOW: RECORDING DATE: APRIL 3, 2014 RECORDING NO.: RECEPTION NUMBER AND APRIL 17, 2014 AT RECEPTION NO SUBJECT TO THE DEDICATION OF ALL NON-TRIBUTARY AND NOT NON-TRIBUTARY GROUND WATER TO THE CITY OF THORNTON, THE LAND USE TABLE, GENERAL NOTES NUMBERED 7, 8, 11-15, 17, AND 19-22, THE PUBLIC LAND DONATION AND UTILITY AGREEMENT STATEMENT, THE COVENANT AND RESTRICTION RUNNING WITH THE LAND AND QUALITY ENHANCEMENT NOTES, AND ALL OF THE EASEMENTS DEPICTED ON ALL OF THE LOTS AND TRACTS, AS SHOWN ON THE PLAT OF HOLLY HILLS ESTATES FILING NO.1 RECORDED APRIL 29, 2014 AT RECEPTION NO NOTES, CONDITIONS, RESTRICTIONS, EASEMENTS OF THE PLAT OF HOLLY HILLS ESTATES FILING NO. 1 RECORDED APRL 29, 2014 AT RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THEDEVELOPMENT AGREEMENT AS SET FORTH BELOW: RECORDING DATE: APRIL 29, 2014 RECORDING NO.: RECEPTION NO NOTE: FIRST AMENDMENT TO THE DEVELOPER S AGREEMENT FOR HOLLY HILLS ESTATES FILING NO. 1, AMENDMENT NO. 1 RECORDED MAY 19, 2017 AT RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE AFFIDAVIT OF NON-PRODUCTION AS SET FORTH BELOW: RECORDING DATE: JUNE 17, 2016 RECORDING NO.: RECEPTION NO Schedule BII 3 of 5

11 SCHEDULE B (Continued) 31. THE EFFECT OF REQUEST FOR NOTIFICATION OF APPLICATION FOR DEVELOPMENT RECORDED JULY 13, 2016 AT RECEPTION NO OIL AND GAS LEASE BETWEEN TIMOTHY SCOTT HAGER, A/K/A TIMOTHY S. HAGER, A/K/A TIM S. HAGER, A/K/A TIM HAGER, AS TRUSTEE OF THE TIMOTHY S. HAGER REVOCABLE TRUST U/A DATED JANUARY 9, 2001 AS AMENDED AND RESTATED AND MARY ELIZABETH HAGER, A/KA/ MARY E. HAGER, A/K/A MARY BASTIAN HAGER, A/K/A MARY BASTIAN, AS TRUSTEE OF THE MARY ELIZABETH HAGER REVOCABLE TRUST U/A DATED JANUARY 9, 2001 AS AMENDED AND RESTATED AND GRIZZLY PETROLEUM COMPANY, LLC, RECORDED NOVEMBER 3, 2016 AT RECEPTION NO AND ANY AND ALL ASSIGNMENTS THEREOF, OR INTEREST THEREIN. 33. COVENANTS, CONDITIONS, RESTRICTIONS, NOTES AND EASEMENTS AS SHOWN ON THE MAP OF HOLLY HILLS ESTATES FILING NO. 1 1ST AMENDMENT, RECORDED MAY 19, 2017 AT RECEPTION NO A RATIFICATION OF PLAT RECORDED JULY 27, 2017 AT RECEPTION NO PIPELINE EASEMENT AS GRANTED TO NORTHERN GAS PRODUCTS COMPANY IN INSTRUMENT RECORDED OCTOBER 22, 1975 IN BOOK 2024 AT PAGE 718 ASSIGNMENT THEREIN, RECORDED APRIL 8, 1988 IN BOOK 3433 AT PAGE 750 AND RECORDED FEBRUARY 21, 1990 IN BOOK 3649 AT PAGE TERMS, CONDITIONS, RESERVATIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE SPECIAL WARRANTY DEED AS SET FORTH BELOW: RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE FIRST AMENDMENT TO EASEMENT DEDICATION AGREEMENT AS SET FORTH BELOW: RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE EASEMENT DEDICATION AGREEMENT AS SET FORTH BELOW: RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE TEMPORARY CONSTRUCTION EASEMENT AGREEMENT AS SET FORTH BELOW: RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE DEED OF PERPETUAL DRAINAGE EASEMENT AS SET FORTH BELOW: RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO TERMS, CONDITIONS, PROVISIONS, AGREEMENTS AND OBLIGATIONS CONTAINED IN THE DEED OF PERPETUAL DRAINAGE EASEMENT AS SET FORTH BELOW: Schedule BII 4 of 5

12 SCHEDULE B (Continued) RECORDING DATE: JULY 27, 2017 RECORDING NO.: RECEPTION NO ANY AND ALL OFFERS OF DEDICATION, CONDITIONS, RESTRICTIONS, EASEMENTS, FENCE-LINE/BOUNDARY DISCREPANCIES, NOTES AND/OR PROVISIONS SHOWN OR DISCLOSED BY THE FILED OR RECORDED MAP REFERRED TO IN THE LEGAL DESCRIPTION AS HOLLY HILLS ESTATES FILING NO. 1, 2ND AMENDMENT. Schedule BII 5 of 5

13 , < ALTA 2006 PLAIN LANGUAGE COMMITMENT EXHIBIT A The Land referred to herein below is situated in the County of Adams, State of Colorado, and is described as follows: LOTS 6B THROUGH 8B, INCLUSIVE, BLOCK 1, IN HOLLY HILLS ESTATES FILING NO. 1, 2ND AMENDMENT, RECORDED , AT RECEPTION NO , OF THE RECORDS OF THE ADAMS COUNTY CLERK AND RECORDER, COUNTY OF ADAMS, STATE OF COLORADO. LOTS 1B THROUGH 10B, INCLUSIVE, BLOCK 2, IN HOLLY HILLS ESTATES FILING NO. 1, 2ND AMENDMENT, RECORDED , AT RECEPTION NO , OF THE RECORDS OF THE ADAMS COUNTY CLERK AND RECORDER, COUNTY OF ADAMS, STATE OF COLORADO. BEING A PORTION OF THE FOLLOWING: A PARCEL OF LAND SITUATED IN SECTION 20, TOWNSHIP 1 SOUTH, RANGE 67 WEST OF THE SIXTH PRINCIPAL MERIDIAN, CITY OF THORNTON, COUNTY OF ADAMS, STATE OF COLORADO, MORE PARTICULARLY DESCRIBED AS FOLLOWS: LOTS 6-9, INCLUSIVE, BLOCK 1, TOGETHER WITH A PART OF RIGHT-OF-WAY FOR IVANAHOE STREET AND EAST 143RD COURT, IN HOLLY HILLS ESTATES FILING NO. 1; RECORDED AT RECEPTION NUMBER OF THE RECORDS OF THE ADAMS COUNTY CLERK AND RECORDER, TOGETHER WITH, LOTS 1A - 9A, INCLUSIVE, BLOCK 2, ALL IN HOLLY HILLS ESTATES FILING NO. 1, 1ST AMENDMENT RECORDED AT RECEPTION NUMBER OF THE RECORDS OF THE ADAMS COUNTY CLERK AND RECORDER SAID PARCELS CONTAIN 119,238 SQUARE FEET, OR ACRES, MORE OR LESS. Exhibit A 1 of 1

14 ALTA PLAIN LANGUAGE COMMITMENT CONDITIONS 1. DEFINITIONS (a) "Mortgage" means mortgage, deed of trust or other security instrument. (b) "Public Records" means title records that give constructive notice of matters affecting your title according to the state statutes where your land is located. 2. LATER DEFECTS The Exceptions in Schedule B - Section II may be amended to show any defects, liens or encumbrances that appear for the first time in the public records or are created or attach between the Commitment Date and the date on which all of the Requirements (a) and (c) of Schedule B - Section I are met. We shall have no liability to you because of this amendment. 3. EXISTING DEFECTS If any defects, liens or encumbrances existing at Commitment Date are not shown in Schedule B, we may amend Schedule B to show them. If we do amend Schedule B to show these defects, liens or encumbrances, we shall be liable to you according to Paragraph 4 below unless you knew of this information and did not tell us about it in writing. 4. LIMITATION OF OUR LIABILITY Our only obligation is to issue to you the Policy referred to in this Commitment, when you have met its Requirements. If we have any liability to you for any loss you incur because of an error in this Commitment, our liability will be limited to your actual loss caused by your relying on this Commitment when you acted in good faith to: Comply with the Requirements shown in Schedule B - Section I Or Eliminate with our written consent any Exceptions shown in Schedule B - Section II. We shall not be liable for more than the Policy Amount shown in Schedule A of this Commitment and our liability is subject to the terms of the Policy form to be issued to you. 5. CLAIMS MUST BE BASED ON THIS COMMITMENT Any claim, whether or not based on negligence, which you may have against us concerning the title to the land must be based on this Commitment and is subject to its terms. Conditions 1 of 1

15 DISCLOSURE STATEMENT Pursuant to Section of Colorado Revised Statutes and Colorado Division of Insurance Regulation (Section 5), if the parties to the subject transaction request us to provide escrow-settlement and disbursement services to facilitate the closing of the transaction, then all funds submitted for disbursement must be available for immediate withdrawal. Colorado Division of Insurance Regulation 8-1-2, Section 5, Paragraph H, requires that "Every title insurance company shall be responsible to the proposed insured(s) subject to the terms and conditions of the title insurance commitment, other than the effective date of the title insurance commitment, for all matters which appear of record prior to the time of recording whenever the title insurance company, or its agent, conducts the closing and settlement service that is in conjunction with its issuance of an owners policy of title insurance and is responsible for the recording and filing of legal documents resulting from the transaction which was closed". Provided that Westminster Title Agency, Inc. conducts the closing of the insured transaction and is responsible for recording the legal documents from the transaction, exception No. 5 in Schedule B-2 will not appear in the Owner's Title Policy and Lender's Title Policy when issued. Colorado Division of Insurance Regulation 8-1-2, Paragraph M of Section 5, requires that prospective insured(s) of a single family residence be notified in writing that the standard exception from coverage for unfiled Mechanics or Materialmans Liens may or may not be deleted upon the satisfaction of the requirement(s) pertinent to the transaction. These requirements will be addressed upon receipt of a written request to provide said coverage, or if the Purchase and Sale Agreement/Contract is provided to the Company then the necessary requirements will be reflected on the commitment. Colorado Division of Insurance Regulation 8-1-3, Paragraph C. 11.f. of Section 5 - requires a title insurance company to make the following notice to the consumer: A closing protection letter is available to be issued to lenders, buyers and sellers If the sales price of the subject property exceeds $100, the seller shall be required to comply with the Disclosure of Withholding Provisions of C.R.S (Nonresident Withholding). Section of Colorado Revised Statutes requires that a Real Property Transfer Declaration accompany any conveyance document presented for recordation in the State of Colorado. Said Declaration shall be completed and signed by either the grantor or grantee.

16 Recording statutes contained in Section (3)(a) of the Colorado Revised Statutes require that all documents received for recording or filing in the clerk and recorder's office shall contain a top margin of at least one inch and a left, right, and bottom margin of at least one-half of an inch. The clerk and recorder may refuse to record or file a document that does not conform to requirements of this paragraph. Section (2) of the Colorado Revised Statutes, 1973, requires that a notation of the purchasers legal address, (not necessarily the same as the property address) be included on the face of the deed to be recorded. Regulations of County Clerk and Recorder's offices require that all documents submitted for recording must contain a return address on the front page of every document being recorded. Pursuant to Section of the Colorado Revised Statutes, 1987 the Company is required to disclose the following information: The subject property may be located in a special taxing district. A Certificate of Taxes Due listing each taxing jurisdiction shall be obtained from the County Treasurer or the County Treasurer's authorized agent. Information regarding special districts and the boundaries of such districts may be obtained from the Board of County Commissioners, the County Clerk and Recorder or the County Assessor. Pursuant to Section of the Colorado Revised Statutes, when it is determined that a mineral estate has been severed from the surface estate, the Company is required to disclose the following information: that there is recorded evidence that a mineral estate has been severed, leased, or otherwise conveyed from the surface estate and that there is a substantial likelihood that a third party holds some or all interest in oil, gas, other minerals, or geothermal energy in the property; and that such mineral estate may include the right to enter and use the property without the surface owner's permission. Note: Notwithstanding anything to the contrary in this Commitment, if the policy to be issued is other than an ALTA Owner's Policy (6/17/06), the policy may not contain an arbitration clause, or the terms of the arbitration clause may be different from those set forth in this Commitment. If the policy does contain an arbitration clause, and the Amount of Insurance is less than the amount, if any, set forth in the arbitration clause, all arbitrable matters shall be arbitrated at the option of either the Company or the Insured as the exclusive remedy of the parties.