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HomeMy WebLinkAboutLLA14-0011 - Preliminary Report Order Number: 0403-4771813 Page Number: 1 Mid Valley Title & Escrow Company Mid Valley Title & Escrow Company 2295 Feather River Blvd., Suite A, Oroville, CA 95965 Affiliated with First American Title Insurance Company Escrow Officer: Tamara Miller Phone: (530)533-6680 Fax No.: (866)280-0704 E-Mail: tsmiller@firstam.com E-Mail Loan Documents to: OrovilleEdocs.ca@firstam.com Title Officer: Roger Button Phone: (530)893-5644 Fax No.: (530)893-1853 E-Mail: rbutton@firstam.com Buyer: Melbay Farms PRELIMINARY REPORT In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception below or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms. The printed Exceptions and Exclusions from the coverage and Limitations on Covered Risks of said policy or policies are set forth in Exhibit A attached. The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than that 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. Limitations on Covered Risks applicable to the CLTA and ALTA Homeowners Policies of Title Insurance which establish a Deductible Amount and a Maximum Dollar Limit of Liability for certain coverages are also set forth in Exhibit A. Copies of the policy forms should be read. They are available from the office which issued this report. Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land. This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a Binder or Commitment should be requested. Order Number: 0403-4771813 Page Number: 2 Mid Valley Title & Escrow Company Dated as of November 17, 2014 at 7:30 A.M. The form of Policy of title insurance contemplated by this report is: ALTA Standard Owner Policy A specific request should be made if another form or additional coverage is desired. Title to said estate or interest at the date hereof is vested in: Melbay Farms, a California General Partnership, (AS TO PARCEL I) and Charles H. Johnson and Mary S. Johnson Revocable Living Trust, dated 08/08/94, Sandra L. Mathauser and Moira Jean Johnson, Co-Trustees (AS TO PARCEL II) The estate or interest in the land hereinafter described or referred to covered by this Report is: A fee. The Land referred to herein is described as follows: (See attached Legal Description) At the date hereof exceptions to coverage in addition to the printed Exceptions and Exclusions in said policy form would be as follows: THE FOLLOWING EXCEPTIONS AFFECT PARCEL I: 1. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. RE-CHECK SUPPLEMENTAL TAXES PRIOR TO THE CLOSE OF ESCROW. 2. The herein described land lies within the bounds of Sacramento and San Joaquin Drainage District. 3. The herein described land lies within the bounds of Reclamation District No. 833. 4. All taxes, assessments and obligations of Biggs West Gridley Water District. 5. The herein described land lies within the bounds of Sutter-Butte Flood Control Agency Assessment District, as contained in document recorded September 29, 2010 as Serial No. 2010- 0033912 of Official Records. 6. Rights of the public in and to that portion of the land lying within West Biggs Gridley Road. Order Number: 0403-4771813 Page Number: 3 Mid Valley Title & Escrow Company 7. An easement for public utilities and incidental purposes in the document recorded April 1, 1913 in Book 135 of Deeds, Page 105. The location of the easement cannot be determined from record information. 8. An easement for public utilities and incidental purposes in the document recorded April 23, 1913 in Book 135 of Deeds, Page 273. The location of the easement cannot be determined from record information. 9. An easement for ingress, egress and maintenance and incidental purposes in the document recorded April 24, 1914 in Book 140 of Deeds, Page 198. The location of the easement cannot be determined from record information. 10. An easement for right to excavate, build, construct, repair, and forever maintain a drainage ditch or canal and incidental purposes in the document recorded April 13, 1922 in Book 190 of Deeds, Page 70. 11. An easement for public utilities and incidental purposes in the document recorded March 21, 1928 as Book 5, Page 151 of Official Records. 12. An easement for public utilities and incidental purposes in the document recorded August 31, 1929 as Book 33, Page 113 of Official Records. The location of the easement cannot be determined from record information. 13. An oil and gas lease executed by Charles H. Johnson and Mary Johnson, his wife; and William Rotter, also known as Wm. Rotter, and Grace Elvira Rotter, also known as Grace Rotter, his wife as lessor and Mc Culloch Oil Corporation of California, a Delaware corporation as lessee, recorded December 4, 1963 as Book 1284, Page 78 of Official Records. 14. Terms, provisions, covenants, restrictions and conditions contained in a document executed pursuant to the California Land Conservation Act of 1965 (Williamson Act) and recorded February 24, 1978 as Book 2260, Page 62 of Official Records. Notice of Non-Renewal recorded February 14, 2006, Serial No. 2006-0007836. 15. The terms and provisions contained in the document entitled Memorandum of Agreement recorded February 4, 2009 as Serial No. 2009-0003516 of Official Records. 16. An easement for public utilities and incidental purposes in the document recorded December 23, 2013 as Serial No. 2013-0049800 of Official Records. Order Number: 0403-4771813 Page Number: 4 Mid Valley Title & Escrow Company 17. A deed of trust to secure an original indebtedness of $1,007,500.00 recorded August 07, 2014 as Serial No. 2014-0024460 of Official Records. Dated: July 16, 2014 Trustor: Melbay Farms, a California general partnership, also known as and who acquired title as MelBay Farms, a General Partnership Trustee: Farm Credit West, FLCA, a Corporation Beneficiary: Farm Credit West, FLCA, a Corporation 18. Any rights, interests, or claims of parties in possession of the land not shown by the public records. 19. With respect to Melbay Farms, a general partnership: a. That a certified copy of a statement of partnership authority pursuant to Section 16303 of the California Corporations Code (form GP-1), executed by at least two partners, and a certified copy of any amendments to such statement (form GP-7), be recorded in the public records; b. A full copy of the partnership agreement and any amendments; c. Other requirements which the Company may impose following its review of the material required herein and other information which the Company may require. THE FOLLOWING EXCEPTIONS AFFECT PARCEL II: 20. General and special taxes and assessments for the fiscal year 2014-2015. First Installment: $105.99, DUE Penalty: $0.00 Second Installment: $105.99, PAYABLE Penalty: $0.00 Tax Rate Area: 057-002 A. P. No.: 022-160-065 (PARCEL II) 21. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. RE-CHECK SUPPLEMENTAL TAXES PRIOR TO THE CLOSE OF ESCROW. 22. The herein described land lies within the bounds of Sacramento and San Joaquin Drainage District. 23. The herein described land lies within the bounds of Reclamation District No. 833. 24. All taxes, assessments and obligations of Biggs West Gridley Water District. 25. The herein described land lies within the bounds of Sutter-Butte Flood Control Agency Assessment District, as contained in document recorded September 29, 2010 as Serial No. 2010- 0033912 of Official Records. 26. Rights of the public in and to that portion of the land lying within West Biggs Gridley Road. 27. An easement for public utilities and incidental purposes in the document recorded April 1, 1913 as Book 135, Page 105 of Official Records. Order Number: 0403-4771813 Page Number: 5 Mid Valley Title & Escrow Company The location of the easement cannot be determined from record information. 28. An easement for public utilities and incidental purposes in the document recorded April 23, 1913 as Book 135, Page 273 of Official Records. The location of the easement cannot be determined from record information. 29. An easement for public utilities and incidental purposes in the document recorded March 21, 1928 as Book 5, Page 152 of Official Records. Affects: As described in said document. 30. Any rights, interests, or claims of parties in possession of the land not shown by the public records. 31. With respect to the trust referred to in the vesting: a. A certification pursuant to Section 18100.5 of the California Probate Code in a form satisfactory to the Company. b. Copies of those excerpts from the original trust documents and amendments thereto which designate the trustee and confer upon the trustee the power to act in the pending transaction. c. Other requirements which the Company may impose following its review of the material required herein and other information which the Company may require. SOC:cib Order Number: 0403-4771813 Page Number: 6 Mid Valley Title & Escrow Company INFORMATIONAL NOTES Note: The policy to be issued may contain an arbitration clause. When the Amount of Insurance is less than the certain dollar amount set forth in any applicable 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. If you desire to review the terms of the policy, including any arbitration clause that may be included, contact the office that issued this Commitment or Report to obtain a sample of the policy jacket for the policy that is to be issued in connection with your transaction. 1. Taxes for proration purposes only for the fiscal year 2014-2015. First Installment: $6,957.57, PAID Second Installment: $6,957.57, PAID Tax Rate Area: 057-002 APN: 022-160-059 (PARCEL I) 2. According to the public records, there has been no conveyance of the land within a period of twenty four months prior to the date of this report, except as follows: Documents Recorded August 07, 2014, Serial No. 2014-0024459 (AS TO PARCEL I) and Recorded March 12, 2010, Serial No. 2010-0008336 (AS TO PARCEL II). 3. The Vestee herein acquired Title by Document (s) Recorded August 07, 2014, Serial No. 2014- 0024459 (AS TO PARCEL I) and Recorded March 12, 2010, Serial No. 2010-0008336 (AS TO PARCEL II). The map attached, if any, may or may not be a survey of the land depicted hereon. Mid Valley Title & Escrow Company expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached. Order Number: 0403-4771813 Page Number: 7 Mid Valley Title & Escrow Company LEGAL DESCRIPTION Real property in the unincorporated area of the County of Butte, State of California, described as follows: PARCEL I: THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 18 NORTH, RANGE 2 EAST, MOUNT DIABLO BASE AND MERIDIAN, EXCEPTING THEREFROM, HOWEVER, THE FOLLOWING PARCELS OF LAND: 1. A PARCEL OF LAND IN THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 18 NORTH, RANGE 2 EAST, M.D.B. & M., MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWEST CORNER OF SAID SOUTHWEST QUARTER OF SAID SECTION, RUNNING THENCE EAST ALONG THE NORTH BOUNDARY OF SAID QUARTER 80 FEET; THENCE SOUTH PARALLEL TO AND 80 FEET DISTANT FROM THE WEST LINE OF SAID QUARTER 2540 FEET, MORE OR LESS, TO THE SOUTH LINE OF SAID QUARTER; THENCE WEST ALONG SAID LINE TO THE SOUTHWEST CORNER OF SAID QUARTER; THENCE NORTH ALONG THE WEST LINE THEREOF, 2540 FEET MORE OR LESS, TO THE POINT OF BEGINNING. 2. COMMENCING 480 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SAID SECTION 14, AND RUNNING NORTHERLY ALONG COUNTY ROAD, 12 RODS, THENCE WESTERLY 20 RODS, THENCE SOUTHERLY 12 RODS, THENCE EASTERLY 20 RODS, TO POINT OF BEGINNING. 3. COMMENCING 678 FEET NORTH FROM THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SAID SECTION 14, AND AT THE NORTHEAST CORNER OF LOT DEEDED TO MRS. W. E. CUMMINGS, RUNNING NORTH ALONG COUNTY ROAD 165 FEET; THENCE WEST 396 FEET; THENCE SOUTH 165 FEET; THENCE WEST ALONG THE NORTH LINE OF THE SAID LOT DEEDED TO MRS. W. E. CUMMINS, 396 FEET TO POINT OF BEGINNING. 4. BEING SITUATE IN THE SOUTHWEST QUARTER OF SAID SECTION 14, AND PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT A POINT MARKED BY AN IRON STAKE, IN THE WEST LINE OF THE BIGGS AND GRIDLEY PUBLIC ROAD, AT THE INTERSECTION OF SAID WEST LINE OF SAID ROAD WITH THE NORTH LINE OF A RIGHT OF WAY FOR A DRAINAGE DITCH OF RECLAMATION DISTRICT NO. 833 55 FEET IN WIDTH, SAID POINT OF BEGINNING BEING LOCATED 55 FEET NORTH OF THE NORTHEAST CORNER OF LOT NO. 4, OF WHAT IS KNOWN AS THE W. T. BOULWARE ESTATE SUBDIVISION; THENCE FROM SAID POINT OF BEGINNING RUNNING WEST 2522 FEET ALONG THE NORTH LINE OF SAID RIGHT OF WAY OF SAID RECLAMATION DISTRICT NO. 833, ABOVE REFERRED TO, TO THE INTERSECTION OF SAID NORTH LINE OF SAID RIGHT OF WAY WITH THE EAST LINE OF A RIGHT OF WAY, 50 FEET IN WIDTH, BELONGING TO SAID RECLAMATION DISTRICT NO. 833 SAID POINT OF INTERSECTION BEING LOCATED 55 FEET NORTH OF AND 130 FEET EAST OF THE NORTHWEST CORNER OF SAID LOT NO. 4 OF SAID W. T. BOULWARE ESTATE SUBDIVISION, SAID POINT BEING MARKED BY AN IRON STAKE; THENCE RUNNING NORTH 200 FEET ALONG THE EAST LINE OF SAID 50 FEET RIGHT OF WAY ABOVE REFERRED TO, TO A POINT MARKED BY AN IRON STAKE; THENCE EAST, AND PARALLEL WITH THE SOUTH LINE OF THE LANDS HEREBY CONVEYED, A DISTANCE OF 653.4 FEET TO A POINT MARKED BY AN IRON STAKE; THENCE RUNNING SOUTH AND PARALLEL WITH SAID WEST LINE OF THE LANDS HEREBY DESCRIBED A DISTANCE OF 170 FEET TO A POINT MARKED BY AN IRON STAKE Order Number: 0403-4771813 Page Number: 8 Mid Valley Title & Escrow Company WHICH SAID POINT IS LOCATED AT 30 FEET NORTH OF THE SOUTH LINE OF THE LANDS HEREBY DESCRIBED; THENCE RUNNING EAST, AND PARALLEL WITH THE SOUTH LINE OF THE LANDS HEREBY DESCRIBED, A DISTANCE OF 1868.6 FEET TO A POINT MARKED BY AN IRON STAKE SET IN THE WEST LINE OF SAID BIGGS AND GRIDLEY PUBLIC ROAD; THENCE RUNNING SOUTH 30 FEET ALONG THE WEST LINE OF SAID PUBLIC ROAD, TO THE PLACE OF BEGINNING. 5. BEGINNING AT THE CENTER OF SHASTA STREET OF THE CITY OF BIGGS, AT ITS CONJUNCTION WITH THE EAST LINE OF THE SOUTHWEST QUARTER OF SAID SECTION 14, RUNNING NORTH ALONG THE WEST SIDE OF COUNTY ROAD 165 FEET, THENCE WEST 396 FEET; THENCE SOUTH 165 FEET; THENCE EAST 396 FEET TO POINT OF BEGINNING. 6. BEGINNING AT THE CENTER OF SHASTA STREET OF THE CITY OF BIGGS AT ITS CONJUNCTION WITH THE EAST LINE OF THE SOUTHWEST QUARTER OF SAID SECTION 14, RUNNING SOUTH 110 FEET, ALONG THE WEST SIDE OF COUNTY ROAD; THENCE WEST 396 FEET; THENCE NORTH 110 FEET; THENCE EAST 396 FEET TO POINT OF BEGINNING. 7. A PARCEL OF LAND IN THE NORTHEAST CORNER OF THE SOUTHWEST QUARTER OF SAID SECTION 14, PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT A 1 ‰ INCH IRON PIPE MARKING THE CENTER OF SAID SECTION 14 AND RUNNING THENCE SOUTH 984.3 FEET TO AN IRON PIN MARKING THE NORTHEAST CORNER OF A TRACT OF LAND NOW OR FORMERLY OWNED BY JOHN W. STREETER; THENCE WEST ALONG THE NORTH LINE OF SAID STREETER TRACT 396 FEET TO AN IRON PIN MARKING THE NORTHWEST CORNER OF SAID STREETER TRACT; THENCE NORTH 984.3 FEET TO AN IRON PIN IN THE NORTH LINE OF SAID SOUTHWEST QUARTER, THENCE EAST FOLLOWING SAID NORTH LINE, 396.0 FEET TO THE POINT OF BEGINNING. 8. A STRIP OF LAND 40 FEET WIDE THROUGH THE SOUTHWEST QUARTER OF SAID SECTION 14, BEING 20 FEET ON EACH SIDE OF A CENTER LINE, MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT A POINT ON THE SOUTH LINE OF SAID SECTION 14, SAID POINT BEING 21 FEET EAST OF THE SOUTHWEST CORNER OF SAID SECTION 14, AND RUNNING THENCE NORTH 19 DEG. 25’ EAST 237 FEET; NORTH 2141 FEET; NORTH 39 DEG. 15’ EAST 237 FEET; NORTH 74 DEG. 45’ EAST 258 FEET; NORTH 89 DEG. 55’ EAST 666 FEET; NORTH 69 DEG. 15’ EAST 57 FEET TO A POINT ON THE EAST AND WEST CENTER LINE OF SAID SECTION 14, SAID POINT BEING 1218 FEET EAST OF THE ONE-QUARTER CORNER ON THE WEST LINE OF SAID SECTION 14. THE 40 FOOT STRIP ABOVE DESCRIBED WAS GRANTED TO RECLAMATION DISTRICT NO. 833 FOR A DRAINAGE DITCH OR CANAL. ALSO A STRIP FOR A DRAINAGE DITCH OR CANAL OVER THE SOUTH 55 FEET OF SAID SOUTHWEST QUARTER. 9. COMMENCING 85 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 18 NORTH, RANGE 2 EAST, M.D.B. & M.; THENCE NORTH ALONG COUNTY ROAD 395 FEET; THENCE WEST 396 FEET; THENCE SOUTH PARALLEL WITH COUNTY ROAD, 395 FEET; THENCE EASTERLY 396 FEET TO THE POINT OF BEGINNING. 10. BEGINNING AT THE NORTHWEST CORNER OF THAT CERTAIN PARCEL OF LAND CONVEYED TO THE CITY OF BIGGS BY DEED RECORDED APRIL 14, 1921 IN BOOK 188 OF DEEDS, AT PAGE 434, RECORDS OF BUTTE COUNTY, CALIFORNIA; THENCE FROM SAID POINT OF BEGINNING, ALONG THE NORTHERLY PRODUCTION OF THE WESTERLY LINE OF SAID CITY OF BIGGS PARCEL, NORTH 400.0 FEET THENCE PARALLEL WITH THE NORTHERLY LINE OF SAID CITY OF BIGGS PARCEL, EAST A DISTANCE OF 653.40 FEET; THENCE PARALLEL WITH THE WESTERLY LINE OF THE HEREIN DESCRIBED PARCEL, SOUTH 400.0 FEET TO SAID NORTHERLY LINE; THENCE ALONG SAID NORTHERLY LINE WEST, A DISTANCE OF 653.40 FEET TO THE POINT OF Order Number: 0403-4771813 Page Number: 9 Mid Valley Title & Escrow Company BEGINNING. PARCEL II: BEGINNING AT THE INTERSECTION OF THE CENTER LINE OF SHASTA STREET WITH THE EAST LINE OF THE SOUTHWEST ONE-FOURTH OF SAID SECTION 14, TOWNSHIP 18 NORTH, RANGE 2 EAST, M.D.M. THENCE SOUTH ALONG THE EAST LINE OF THE SOUTHWEST QUARTER OF SECTION 14, A DISTANCE OF 110 FEET; THENCE WEST 396 FEET; THENCE NORTH 110 FEET; THENCE EAST 396 FEET TO THE POINT OF BEGINNING. EXCEPTING THEREFROM ALL THE FOLLOWING DESCRIBED REAL PROPERTY: BEGINNING AT THE INTERSECTION OF THE CENTERLINE OF SHASTA STREET WITH THE EAST LINE OF THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 18 NORTH, RANGE 2 EAST, M.D.B.& M; THENCE WESTERLY ALONG THE SOUTH LINE OF THAT CERTAIN PARCEL OF LAND DEEDED TO CLARENCE WESLEY STREETER, ET UX, ON FEBRUARY 20, 1973, IN BOOK 1817 OF BUTTE COUNTY OFFICIAL RECORDS, AT PAGE 278, A DISTANCE OF 150 FEET TO THE SOUTHWESTERLY CORNER OF SAID STREETER PARCEL, AND THE TRUE POINT OF BEGINNING; THENCE SOUTHERLY ALONG THE PROJECTION OF THE WESTERLY LINE OF SAID STREETER PARCEL A DISTANCE OF 10.00 FEET; THENCE WEST 246 FEET MORE OR LESS TO THE WEST LINE OF THAT CERTAIN REAL PROPERTY DEEDED TO CHARLES H. JOHNSON JR., ON MARCH 22, 1965 IN BOOK 1364 OF BUTTE COUNTY OFFICIAL RECORDS AT PAGE 440; THENCE NORTHERLY ALONG THE WEST LINE OF SAID JOHNSON PROPERTY A DISTANCE OF 175 FEET TO THE NORTHWESTERLY CORNER OF SAID JOHNSON PROPERTY; THENCE EASTERLY ALONG THE NORTH LINE OF SAID JOHNSON PARCEL A DISTANCE OF 246 FEET TO THE NORTHEASTERLY CORNER OF PARCEL ONE OF SAID JOHNSON PROPERTY; THENCE SOUTH ALONG THE EAST LINE OF PARCEL ONE OF SAID JOHNSON PROPERTY 40 FEET TO THE NORTHWESTERLY CORNER OF THE AFOREMENTIONED STREETER PARCEL; THENCE SOUTHERLY ALONG THE WEST LINE OF SAID STREETER PARCEL A DISTANCE OF 125 FEET TO THE TRUE POINT OF BEGINNING. APN: 022-160-059 (PARCEL I) and 022-160-065(PARCEL II) Order Number: 0403-4771813 Page Number: 10 Mid Valley Title & Escrow Company Mid Valley Title & Escrow Company 2295 Feather River Blvd., Suite A Oroville, CA 95965 (530)533-6680 INCOMING DOMESTIC WIRE INSTRUCTIONS PAYABLE TO: Mid Valley Title & Escrow Company BANK: First American Trust, FSB ADDRESS: 5 First American Way, Santa Ana, CA 92707 ACCOUNT NO: 3012250000 ROUTING NUMBER: 122241255 PLEASE REFERENCE THE FOLLOWING: PROPERTY: , CA FILE NUMBER: 0403-4771813 (TM) PLEASE USE THE ABOVE INFORMATION WHEN WIRING FUNDS TO Mid Valley Title & Escrow Company. FUNDS MUST BE WIRED FROM A BANK WITHIN THE UNITED STATES. PLEASE NOTIFY YOUR ESCROW OFFICER AT (530)533-6680 OR tsmiller@firstam.com WHEN YOU HAVE TRANSMITTED YOUR WIRE. IF YOUR FUNDS ARE BEING WIRED FROM A NON-U.S. BANK, ADDITIONAL CHARGES MAY APPLY. PLEASE CONTACT YOUR ESCROW OFFICER/CLOSER FOR INTERNATIONAL WIRING INSTRUCTIONS. AN ACH TRANSFER CANNOT BE ACCEPTED FOR CLOSING, BECAUSE IT IS NOT THE SAME AS A WIRE AND REQUIRES ADDITIONAL TIME FOR CLEARANCE. FIRST AMERICAN TRUST CONTACT INFO: Banking Services 1-877-600-9473 ALL WIRES WILL BE RETURNED IF THE FILE NUMBER AND/OR PROPERTY REFERENCE ARE NOT INCLUDED With cyber crimes on the increase, it is important to be ever vigilant. If you receive an e-mail or any other communication that appears to be generated from a First American employee that contains new, Order Number: 0403-4771813 Page Number: 11 Mid Valley Title & Escrow Company revised or altered bank wire instructions, consider it suspect and call our office at a number you trust. Our bank wire instructions seldom change. Order Number: 0403-4771813 Page Number: 12 Mid Valley Title & Escrow Company NOTICE Section 12413.1 of the California Insurance Code, effective January 1, 1990, requires that any title insurance company, underwritten title company, or controlled escrow company handling funds in an escrow or sub-escrow capacity, wait a specified number of days after depositing funds, before recording any documents in connection with the transaction or disbursing funds. This statute allows for funds deposited by wire transfer to be disbursed the same day as deposit. In the case of cashier’s checks or certified checks, funds may be disbursed the next day after deposit. In order to avoid unnecessary delays of three to seven days, or more, please use wire transfer, cashier’s checks, or certified checks whenever possible. If you have any questions about the effect of this new law, please contact your local Mid Valley Title & Escrow Company Office for more details. Order Number: 0403-4771813 Page Number: 13 Mid Valley Title & Escrow Company EXHIBIT A LIST OF PRINTED EXCEPTIONS AND EXCLUSIONS (BY POLICY TYPE) CLTA/ALTA HOMEOWNER’S POLICY OF TITLE INSURANCE (02-03-10) EXCLUSIONS In addition to the Exceptions in Schedule B, You are not insured against loss, costs, attorneys’ fees, and expenses resulting from: 1. Governmental police power, and the existence or violation of those portions of any law or government regulation concerning: (a) building; (d) improvements on the Land; (b) zoning; (e) land division; and (c) land use; (f) environmental protection. This Exclusion does not limit the coverage described in Covered Risk 8.a., 14, 15, 16, 18, 19, 20, 23 or 27. 2. The failure of Your existing structures, or any part of them, to be constructed in accordance with applicable building codes. This Exclusion does not limit the coverage described in Covered Risk 14 or 15. 3. The right to take the Land by condemning it. This Exclusion does not limit the coverage described in Covered Risk 17. 4. Risks: (a) that are created, allowed, or agreed to by You, whether or not they are recorded in the Public Records; (b) that are Known to You at the Policy Date, but not to Us, unless they are recorded in the Public Records at the Policy Date; (c) that result in no loss to You; or (d) that first occur after the Policy Date - this does not limit the coverage described in Covered Risk 7, 8.e., 25, 26, 27 or 28. 5. Failure to pay value for Your Title. 6. Lack of a right: (a) to any land outside the area specifically described and referred to in paragraph 3 of Schedule A; and (b) in streets, alleys, or waterways that touch the Land. This Exclusion does not limit the coverage described in Covered Risk 11 or 21. 7. The transfer of the Title to You is invalid as a preferential transfer or as a fraudulent transfer or conveyance under federal bankruptcy, state insolvency, or similar creditors’ rights laws. LIMITATIONS ON COVERED RISKS Your insurance for the following Covered Risks is limited on the Owner’s Coverage Statement as follows: For Covered Risk 16, 18, 19, and 21 Your Deductible Amount and Our Maximum Dollar Limit of Liability shown in Schedule A. Your Deductible Amount Our Maximum Dollar Limit of Liability Covered Risk 16: 1% of Policy Amount or $2,500.00 (whichever is less) $10,000.00 Covered Risk 18: 1% of Policy Amount or $5,000.00 (whichever is less) $25,000.00 Covered Risk 19: 1% of Policy Amount or $5,000.00 (whichever is less) $25,000.00 Covered Risk 21: 1% of Policy Amount or $2,500.00 (whichever is less) $5,000.00 ALTA RESIDENTIAL TITLE INSURANCE POLICY (6-1-87) EXCLUSIONS In addition to the Exceptions in Schedule B, you are not insured against loss, costs, attorneys’ fees, and expenses resulting from: 1. Governmental police power, and the existence or violation of any law or government regulation. This includes building and zoning ordinances and also laws and regulations concerning: (a) and use (b) improvements on the land (c) and division (d) environmental protection This exclusion does not apply to violations or the enforcement of these matters which appear in the public records at Policy Date. This exclusion does not limit the zoning coverage described in Items 12 and 13 of Covered Title Risks. Order Number: 0403-4771813 Page Number: 14 Mid Valley Title & Escrow Company 2. The right to take the land by condemning it, unless: (a) a notice of exercising the right appears in the public records on the Policy Date (b) the taking happened prior to the Policy Date and is binding on you if you bought the land without knowing of the taking 3. Title Risks: (a) that are created, allowed, or agreed to by you (b) that are known to you, but not to us, on the Policy Date -- unless they appeared in the public records (c) that result in no loss to you (d) that first affect your title after the Policy Date -- this does not limit the labor and material lien coverage in Item 8 of Covered Title Risks 4. Failure to pay value for your title. 5. Lack of a right: (a) to any land outside the area specifically described and referred to in Item 3 of Schedule A OR (b) in streets, alleys, or waterways that touch your land This exclusion does not limit the access coverage in Item 5 of Covered Title Risks. 2006 ALTA LOAN POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys’ fees, or expenses that arise by reason of: 1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 13, or 14); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing- business laws of the state where the Land is situated. 5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. 6. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors’ rights laws, that the transaction creating the lien of the Insured Mortgage, is (a) a fraudulent conveyance or fraudulent transfer, or (b) a preferential transfer for any reason not stated in Covered Risk 13(b) of this policy. 7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the Insured Mortgage in the Public Records. This Exclusion does not modify or limit the coverage provided under Covered Risk 11(b). The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys’ fees or expenses) that arise by reason of: 1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. Order Number: 0403-4771813 Page Number: 15 Mid Valley Title & Escrow Company 2. Any facts, rights, interests, or claims that are 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. 3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 4. 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. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6. Any lien or right to a lien for services, labor or material not shown by the public records. 2006 ALTA OWNER’S POLICY (06-17-06) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys’ fees, or expenses that arise by reason of: 1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 9 or 10); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title. 4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors’ rights laws, that the transaction vesting the Title as shown in Schedule A, is (a) a fraudulent conveyance or fraudulent transfer, or (b) a preferential transfer for any reason not stated in Covered Risk 9 of this policy. 5. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A. The above policy form may be issued to afford either Standard Coverage or Extended Coverage. In addition to the above Exclusions from Coverage, the Exceptions from Coverage in a Standard Coverage policy will also include the following Exceptions from Coverage: EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys’ fees or expenses) that arise by reason of: 1. (a) Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records; (b) proceedings by a public agency that may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the Public Records. 2. Any facts, rights, interests, or claims that are 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. 3. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 4. 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. 5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the Public Records. 6. Any lien or right to a lien for services, labor or material not shown by the public records. Order Number: 0403-4771813 Page Number: 16 Mid Valley Title & Escrow Company ALTA EXPANDED COVERAGE RESIDENTIAL LOAN POLICY (07-26-10) EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys’ fees, or expenses that arise by reason of: 1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 5, 6, 13(c), 13(d), 14 or 16. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 11, 16, 17, 18, 19, 20, 21, 22, 23, 24, 27 or 28); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Insured Mortgage. 4. Unenforceability of the lien of the Insured Mortgage because of the inability or failure of an Insured to comply with applicable doing- business laws of the state where the Land is situated. 5. Invalidity or unenforceability in whole or in part of the lien of the Insured Mortgage that arises out of the transaction evidenced by the Insured Mortgage and is based upon usury or any consumer credit protection or truth-in-lending law. This Exclusion does not modify or limit the coverage provided in Covered Risk 26. 6. Any claim of invalidity, unenforceability or lack of priority of the lien of the Insured Mortgage as to Advances or modifications made after the Insured has Knowledge that the vestee shown in Schedule A is no longer the owner of the estate or interest covered by this policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11. 7. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching subsequent to Date of Policy. This Exclusion does not modify or limit the coverage provided in Covered Risk 11(b) or 25. 8. The failure of the residential structure, or any portion of it, to have been constructed before, on or after Date of Policy in accordance with applicable building codes. This Exclusion does not modify or limit the coverage provided in Covered Risk 5 or 6. 9. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors’ rights laws, that the transaction creating the lien of the Insured Mortgage, is (a) a fraudulent conveyance or fraudulent transfer, or (b) a preferential transfer for any reason not stated in Covered Risk 27(b) of this policy. Order Number: 0403-4771813 Page Number: 17 Mid Valley Title & Escrow Company Privacy Information We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information - particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our subsidiaries we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information that you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fair Information Values. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others; and • Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American’s Fair Information Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Information Obtained Through Our Web Site First American Financial Corporation is sensitive to privacy issues on the Internet. We believe it is important you know how we treat the information about you we receive on the Internet. In general, you can visit First American or its affiliates Web sites on the World Wide Web without telling us who you are or r evealing any information about yourself. Our Web servers collect the domain names, not the e-mail addresses, of visitors. This information is aggregated to measure the number of visits, average time spent on the site, pages viewed and similar information. First American uses this information to measure the use of our site and to develop ideas to improve the content of our site. There are times, however, when we may need information from you, such as your name and email address. When information is needed, we will use our best efforts to let you know at the time of collection how we will use the personal information. Usually, the personal information we collect is used only by us to respond to your inquiry, process an order or allow you to access specific account/profile information. If you choose to share any personal information with us, we will only use it in accordance with the policies outlined above. Business Relationships First American Financial Corporation’s site and its affiliates’ sites may contain links to other Web sites. While we try to link only to sites that share our high standards and respect for privacy, we are not responsible for the content or the privacy practices employed by other sites. Cookies Some of First American’s Web sites may make use of "cookie" technology to measure site activity and to customize information to your personal tastes. A cookie is an element of data that a Web site can send to your browser, which may then store the cookie on your hard drive. FirstAm.com uses stored cookies. The goal of this technology is to better serve you when visiting our site, save you time when you are here and to provide you with a more meaningful and productive Web site experience. -------------------------------------------------------------------------------- Fair Information Values Fairness We consider consumer expectations about their privacy in all our businesses. We only offer products and services that assure a favorable balance between consumer benefits and consumer privacy. Public Record We believe that an open public record creates significant value for society, enhances consumer choice and creates consumer opportunity. We actively support an open public record and emphasize its importance and contribution to our economy. Use We believe we should behave responsibly when we use information about a consumer in our business. We will obey the laws governing the collection, use and dissemination of data. Accuracy We will take reasonable steps to help assure the accuracy of the data we collect, use and disseminate. Where possible, we will take reasonable steps to correct inaccurate information. When, as with the public record, we cannot correct inaccurate information, we will take all reasonable steps to assist consumers in identifying the source of the erroneous data so that the consumer can secure the required corrections. Education We endeavor to educate the users of our products and services, our employees and others in our industry about the importance of consumer privacy. We will instruct our employees on our fair information values and on the responsible collection and use of data. We will encourage others in our industry to collect and use information in a responsible manner. Security We will maintain appropriate facilities and systems to protect against unauthorized access to and corruption of the data we maintain. Form 50-PRIVACY (9/1/10) Page 1 of 1 Privacy Information (2001-2010 First American Financial Corporation)