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<br /> Form No. 1402.70 Order Number: NC5-42S23-
<br /> SM
<br /> Owner's Policy (Amended 10-17-70) Page Number: 18
<br /> 4. NOTICE OF LOSS - LIMITATION OF ACTION
<br /> In addition to the notices required under paragraph 3(b) of these Conditions and Stipulations, a statement in writing of any less or damage
<br /> for which it is claimed the Company is liable under this policy shall be furnished to the Company within 90 days after such 10$ or damage
<br /> shall have been determined and no right of action shall accrue to an insured claimant until 30 days after such statement shall have been
<br /> furnished. Failure to furnish such statement of loss or damage shall terminate any liability of the Company under this policy as to such loss
<br /> or damage.
<br /> 5. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS
<br /> The Company shall have the option to payor otherwise settle for or in the name of an insured claimant any claim insured against or to
<br /> terminate all liability and obligations of the Company hereunder by paying or tendering payment of the amount of insurance unda- this policy
<br /> together with any costs, attorneys' fees and expenses incurred up to the time of such payment or tender of payment, by the inslred
<br /> claimant and authorized by the Company.
<br /> 6. DETERMINATION AND PAYMENT OF LOSS
<br /> (a) The liability of the Company under this policy shall in no case exceed the least of:
<br /> (i) the actual loss of the insured claimant; or
<br /> (ii) the amount of insurance stated in Schedule A.
<br /> (b) The Company will pay, in addition to any loss insured against by this policy, all costs imposed upon an insured in litigation carried on by
<br /> the Company for such insured, and all costs, attorneys' fees and expenses in litigation carried on by such insured with the wrtten
<br /> authorization of the Company.
<br /> (c) When liability has been definitely fixed in accordance with the conditions of this policy, the loss or damage shall be payable within 30
<br /> days thereafter.
<br /> 7. LIMITATION OF LIABILITY
<br /> No claim shall arise or be maintainable under this policy (a) if the Company, after having received notice of an alleged defect, lien or
<br /> encumbrance insured against hereunder, by litigation or otherwise, removes such defect, lien or encumbrance or establishes the title, as
<br /> insured, within a reasonable time after receipt of such notice; (b) in the event of litigation until there has been a final determination by a
<br /> court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the title as insured, as provided in para;¡raph 3 hereof;
<br /> or (c) for liability voluntarily assumed by an insured in settling any claim or suit without prior written consent of the Compëny.
<br /> B. REDUCTION OF LIABILITY
<br /> All payments under this policy, except payments made for costs, attorneys' fees and expenses, shall reduce the amount of the irsurance pro
<br /> tanto. No payment shall be made without producing this policy for endorsement of such payment unless the policy be lost or destroyed, in
<br /> which case proof of such loss or destruction shall be furnished to the satisfaction of the Company.
<br /> 9. LIABILITY NON-CUMULATIVE
<br /> It is expressly understood that the amount of insuranCe under this policy shall be reduced by any amount the Company may pay urder any
<br /> policy insuring either (a) a mortgage shown or referred to in Schedule B hereof which is a lien on the estate or interest covered by this
<br /> policy, or (b) a mortgage hereafter executed by an insured which is a charge or lien on the estate or interest described or referred to in
<br /> Schedule A, and the amount so paid shall be deemed a payment under this policy. The Company shall have the option to apply to the
<br /> payment of any such mortgages any amount that otherwise would be payable hereunder to the insured owner of the estate or interest
<br /> covered by this policy and the amount so paid shall be deemed a payment under this policy to said insured owner.
<br /> 10. APPORTIONMENT
<br /> If the land described in Schedule C consists of two or more parcels which are not used as a single site, and a loss is establi!tled affecting
<br /> one or more of said parcels but not all, the loss shall be computed and settled on a pro rata basis as if the amount of insurarce under this
<br /> policy was divided pro rata as to the value on Date of Policy of each separate parcel to the whole, exclusive of any improvemerts made
<br /> subsequent to Date of Policy, unless a liability or value has otherwise been agreed upon as to each such parcel by the Company and the
<br /> insured at the time of the issuance of this policy and shown by an express statement herein or by an endorsement attached heretD.
<br /> 11. SUBROGATION UPON PAYMENT OR SETTLEMENT
<br /> Wheneverthe Company shall have settled a claim under this policy, all right of subrogation shall vest in the Company unaffected by any act
<br /> of the insured claimant. The Company shall be subrogated to and be entitled to all rights and remedies which such insured clamant would
<br /> have had against any person or property in respect to such claim had this policy not been issued, and if requested by the CompënY, such
<br /> insured claimant shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect such
<br /> right of subrogation and shall permit the Company to use the name of such insured claimant in any transaction or litigation in\()lving such
<br /> rights or remedies. If the payment does not cover the loss of such insured claimant, the Company shall be subrogated to such rights and
<br /> remedies in the proportion which said payment bears to the amount of said loss. If loss should result from any act of such in!ilred claimant,
<br /> such act shall not void this policy, but the Company, in that event, shall be required to pay only that part of any losses inSlred against
<br /> hereunder which shall exceed the amount, if any, lost to the Company by reason of the impainnent of the right of subrogation.
<br /> 12. LIABILITY LIMITED TO THIS POLICY.
<br /> This instrument together with all endorsements and other instruments, if any, attached hereto by the Company is the entire poley and
<br /> contract between the insured and the Company.
<br /> Any claim of loss or damage, whether or not based on negligence, and which arises out of the status of the title to the estate or interest
<br /> covered hereby or any action asserting such claim, shall be restricted to the provisions and conditions and stipulations of this policy.
<br /> No amendment of or endorsement to this policy can be made except by writing endorsed hereon or attached hereto signed by either the
<br /> President, a Vice-President, the Secretary, an Assistant Secretary, or validating officer or authorized signatory of the Company.
<br /> 13. NOTICES, WHERE SENT
<br /> All notices required to be given the Company and any statement in writing required to be furnished the Company shall be addresæd to it at
<br /> its main office at 1 First American Way, Santa Ana, Califomia 92707, or to the offIce which issued this policy.
<br /> First American Title Insurance Company
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