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GUARANTEE CO2�'DITIG..i AND STIFUI.A'I..,NS
<br />FOA USE Vi�t7}I FORTIi V�'� ia5 A1�D u'�35_
<br />GUAR�NTEE CONDITIONS AND STIPULAi!ONS
<br />_ DEFINITION OF TERMS
<br />The fol Iow�inF terms w�hrn uud in this Guamm� mean :
<br />(q "land": The land described, spccifinlly or by �rfercnre, in this
<br />Guanmee and impmremrnts afBzeA therctn w�hifi by I�w mm
<br />stitutr tnl prope�ry;
<br />(b) "publir rcmrdi': The�e recordf w�hich impam m�struni�ro no�
<br />.. �.:.uen alating m said lind:
<br />(q "date": Tht eRmire due:
<br />(d) "the Assured": The parry nr panin mmed as the Asmred in
<br />thie Guaumm, or in a supplemrn�.l wriiiag eznuteJ by the
<br />Cnmpany;
<br />(e� "rtwrtg�ge": Mnn�tage, deed of im!6 trust dn�J, or nthcr secur
<br />ity iMtNmrnl.
<br />t. EXCLUSIONS FROM COVERAGE OF'fH15 GUARANTE�
<br />The Cnmpany usuma rti liability fnr liss ur damage by trawn n(
<br />ihe (nllow�inR:
<br />�q T�:es �r asfessmmtl w•hirh �rt nat shnw�n as esistinF lirns b�'
<br />th: recnrds ol an} bting authnri�}• ihat Ic�'ies laxes ot assess•
<br />mmts on rcal pmpert�• or b�� the public rcmrds.
<br />(b) Unp�trnted mining d�ims: axrvaiians or exceptions in patrnn
<br />nr in Acts awbnri:inF �he nswnce therm(; warcr riphts, �I�ims
<br />or tide tn wvrcr.
<br />�c) Tide ta �ny pm{+erty bey�md the linrs of ihe land ezpressly
<br />described in the deuript�on �et lonh in �he Gwnmee, or �ide
<br />to streets, roads, aernut�, lanes. waps nr wvtenvay�s on w�hirh
<br />mch Imd abun, or the riRh; ro nuinnin thercin rwlts, iunnds,
<br />nmps or anp �thrr srcu<�urc nr imprnremrnl; or an)� ri}hcs or
<br />eaxments thercin unless such pruperry'. riFhis nr nsrmrnts am
<br />exprcssl�� and s{xcifinlly set (onh in said description.
<br />�dl De(erts, liens, encumbranms, ad�rru claims aRains� Iht lide as
<br />guanntmi nr nthar mauen ( i) rrnted, su(femd, assumed or
<br />aRrred to bp one nt mort ot ihe Assured; or ( 2) rcsulting in na
<br />Inss m the Assurcd.
<br />3. PROSECUTION OF ACI'IONS
<br />U) The C.�mpan�� shall hn�•e the righe a� i�s own mst tn ins�irwr
<br />�nd prosecute an)• artinn o� pmceeding or dn any nthet aa .vhi�h
<br />in its �pinion may he nrn'sury ot desitable ro esUblish nr ron•
<br />6nn the m�urn hetrin Ruumtad; �nd the Company may takc
<br />any appmptinte �ttinn under the terms of this Gmunta whether
<br />or nat it shall be liahle thereunder md shall nnt therclry' concede
<br />liabilitp or woice anp pmrisinn hereo(.
<br />(b) In all nsea a�here the Cnmpang docs m institute and prnserute
<br />any aaion ot pmcecdinR, the Assurcd shili permit tha G�mpan��
<br />In uu, at its np�ian, the name nf the Assurcd fnr such purp�u.
<br />VVhenercr rtquested by the Cnnpany, the Assurcd sh�ll Rive the
<br />Company all masnnable aid in pn�ucutinF wch actian nr prn•
<br />cerdinF, and the Compan�• shall rcimAurx the Assu:ed for any
<br />cxpcnx w incurrcd,
<br />�. NOTICE OF LOS� — LI�iiTATION OF ACTION
<br />A futemem in wri�inR o( any loss or JemaFe (or w�hich it is daimed
<br />the Cnmpany is liable undet �his Guaramcc shall be (urnished �o �he
<br />Umpanp wi�hin sixry� da��s after such Inss ar damaFe shill haer Imn
<br />determined, �nd nn riKh� nf ac�inn shr1l aarue tn �be Assurrd undcr �his
<br />Gwnntee until �hiny days af�er wch stucmrnt shall h�.�e Im�n fur
<br />nished, and no rccmrn� shall be h�d by �he Assured under �his Gwnn�ee
<br />unlrss artion shall be mmmrn<ed thereon wi�hin rwo yearc after expin�
<br />tion of said Ihirty day period. Failurc �o fumish such sulemcnl n( Inss
<br />nr damage ar rn cnmmrnce such aninn within Ihe time herrinlx�(are
<br />s{mificd, shall h a rnndusier bar agains� maintenance by the Assurcd
<br />o( anp actinn under tbis Guanntee.
<br />). OPTION TO PA7', SETTLE OR CODiPRO�1ISE CLAIAIS
<br />The Cnmpan�• shall hare �he nption ro pay or xcule nr mmpmmise (or
<br />or in Ihe mmr n( Ihr AssurcJ any claim whid� cnuld resul� in Inss tn
<br />�he AssurcJ wiihin thr cm�euge nf this Guarantn, nr to pay �hc lull
<br />Formt�o. V'35; ].U.x1
<br />amnunt of Ihu Gwranlee or, i( this Guaranter is issued for the beneRt
<br />o! a hnlder o! a mortFaRc, the Company shdl ha.'e the option to purclu¢
<br />ihe indeb�ednrss ucured b�� s�id monF+Re. Such purclufe, p�ymmt or
<br />tendrr of pa3mrn� o! �he (ulI amuum uf the Guannta �hal! Krmin�tr
<br />dl liabiliiy nf �he G�mpany harcundrr. In �ht evrnt drcr no�¢c o( clairt:
<br />has been givrn to the Cnmpany by the Assured the C�mpu:y oRen w
<br />purrhasc uid indcbtednrss, ihe owner al such indebtedMsf ihdl mnder
<br />�nd aseign uid indebiedncss and �he mongage ururing the ume M the
<br />Campany uqm p�qmenl o! Ihc purch�u price.
<br />LIMITATIUN OF LIABILIT'—PAl'TfENT OF LO55
<br />�a) The liabiliq• n( the Cnmpanp undet �his Guannta shall be Iim•
<br />i�ed to thr amuum of tttml loss sustained M• the Atsurtd 6enwe
<br />n( rclianre upnn Ibc afsunnces hercin xt fonh, but in no event
<br />shali such liobility� ezceed �he amnum n( Ihe li�bility tuted on
<br />�he (�m p�Rr herro(.
<br />(b) The Compmy aill qy ail osls impwed upnn the Assurtd in
<br />lifigalion ofried nn by the C:ompany !nr the Aaurcd, md dl
<br />msts and utomep's (acs in li�igation rarried on by the Atswed
<br />wi�h �he w•ti�ten authorieation �f ihe Campany.
<br />lq No daim fn: damages shall arisc or be rtuinuimble under �hi�
<br />Gwnmm ( 1) i( �he Company �frcr hn•ing receivrd notitt of
<br />m alleRrd dc(ect, lirn nr rncumbonce nol shovn as an Etctp•
<br />tinn or exduded heain « moves sufh defttt, lien or mcumbnntt
<br />w�ithin a tasnnable time af�rr rcceipt o( such notia, or (I) (or
<br />liabiliry�.�oluntarilp assumrd bp the Assured in fetding any d�im
<br />or suit a�ithuut wriurn mnsent of the Compmy.
<br />�d) All py�ments under �his Guann�ee, excepi for momeyi fen u
<br />pm�'ideJ (or in paragnph h(b) hereof, shall rcdum the �rtuwnt
<br />n! �he liabiliry� heaunder pro unm, and nn paymmt th�ll be
<br />madc w�ithwt pmducing this Guanntec for indorumrnt of such
<br />papmrn� untess ihe Gu�nntee be lost or deetmy[d, in vhich
<br />nu prnof of such Inss ar datmction thall !x (umi�hed ro the
<br />sa�is(actinn of �he Company.
<br />�q VI'hen li�bility has becn c+efinitely fixed in accordance vith �he
<br />cnndi�ions n( �his Guaranlee, the loss o� damage �hdl be qyaFle
<br />within thirq• days therufter.
<br />SUBROGATION UPON PAYMENT OR SE7T[.EMENT
<br />Whrnever Ihe Umpanp shall hare srttled a d�im under thi� Gwnnta,
<br />all right of submF�tion shall vest in Ihe Compmy w�Rected by �nr �ct
<br />o( tbe Assuted, and it shall be subrogated to and be mtided ro dl nshn
<br />and rcmedies w•hirh thc Assurad wmJd haae had �gainst �ny perxrn or
<br />prnperry� in rcspec� ta wch daim haJ this Guarmtee no� hten issued.
<br />1( �he pa>'ment does nn� covet the Ioss of the Aisured, the Company shall
<br />be submFatcJ M surh ri�;h�s and temedies in the prnpnnion vhirh s�id
<br />pay�mrn� bears m the amoum af soid loss. The Assurcd i( rtquested by
<br />thr Compan>�, ahall Innslcr ro the Cnmpan�� all righls �nd mmedies
<br />aKainsl anp pen:m ar pruperty necessap� in order to pedM turh riRht
<br />n( subrog+tion, and ihall permn ihe Gompany tn we tht n�me of the
<br />Assurcd in any Itansution or litiga�ion incolcing su<h righls or rcmedies.
<br />e. GUARAN7'EE ENTIRE CON77tACT
<br />Any aninn nr artions nr rights of artinn that �he Auurtd may hnr or
<br />may brin�t aFainit Ihe G�mpan}� ari�mg aul of thc subjec� m�ttet hetenf
<br />must I+e basrd nn the procisions of �h�s Guanntee.
<br />No pto�'ininn nr mndition n( th�s ruaranite can bt w��ived or th�n}{ed
<br />ez<ep: by a writinR endnrud or a;unc�d hcrcro signed by the Pmidfnt,
<br />a Vir Pmsidrnq Ihe Secretary, an Assisnni Seralaq• or o�her validatinp
<br />nffittr nf the Companp.
<br />9. NOTICES, VI�HERE SENI'
<br />All nolices required m bc girrn �he Company and any sutemmt in
<br />w•riting rcquired in 6e (umishcd �he Comp�ny sholl be addrased �o i�,
<br />a� �hr oFice which issued this Guanntte.
<br />10. The fee specifitti on Ihe fatr o( �h�s Gmnn�ce is the tnul fee fot tillt
<br />uarch and examimtinn and for �his Gwrantee.
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