2012-076s:\legallour documentslordinances112\clay acquisition ordinance finaLCiOC
ORDINANCE NO. 2012-076
AN ORDINANCE FINDING THAT A PUBLIC USE AND NECESSITY EXISTS TO
ACQUIRE (I) FEE SIMPLE TO A 0.215 ACRE TRACT; AND (II) A TEMPORARY
CONSTRUCTION, GRADING AND ACCESS EASEMENT, ENCUMBERING A 0.195
ACRE TR.ACT, ALL TRACTS LOCATED IN THE M.E.P. & P.R.R. CO. SURVEY,
ABSTR.ACT NUMBER 927, CITY OF DENTON, DENTON COUNTY, TEXAS, AS MORE
PARTICULARLY DESCRIBED ON EXHIBIT "A", ATTACHED HERETO AND MADE A
PART HEREOF, LOCATED GENERALLY IN THE 1000 BLOCK OF SOUTH MAYHILL
ROAD (THE "PROPERTY INTERESTS"), FOR THE PUBLIC USE OF EXPANDING AND
IMPROVING MAYHILL ROAD, A MUNICIPAL STREET AND ROADWAY;
AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO MAKE AN OFFER TO
CARL KENNETH CLAY (THE "OWNER") TO PURCHASE THE PROPERTY 1NTERESTS
FOR THE PURCHASE PRICE OF SIXTY EIGHT THOUSAND FOUR HUNDRED SIXTY
ONE DOLLARS AND NO CENTS ($68,461.00), AND OTHER CONSIDERATION, AS
PRESCRIBED IN THE PURCHASE AGREEMENT (THE "AGREEMENT"), AS
ATTACHED HERETO AND MADE A PART HEREOF AS EXHIBIT "B"; AUTHORIZING
THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, after due consideration of the public interest and necessity and the public
use and benefit to accrue to the City of Denton, Texas:
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The Council finds that a public use and necessity exists, and that the
public welfare and convenience require the acquisition of the Property Interests by the City of
Denton, Texas (the "City"). The City Council hereby finds and determines that the acquisition
of the Property Interests is necessary for public use to provide street and roadway expansion and
improvements to serve the public and the citizens of the City of Denton, Texas.
SECTION 2. The City Manager, or his designee, is hereby authorized to malce a formal
offer to the Owner to purchase the Property Interests from the Owner.
SECTION 3. The City Manager, or his designee, is hereby authorized to execute for and
behalf of the City (i) the Agreement, by and between the City and Owner, in the form attached
hereto and made a part hereof as Exhibit "B", with a purchase price of $68,461.00 and other
consideration, plus costs and expenses, all as prescribed in the Agreement; and (ii) any other
documents necessary for closing the transaction contemplated by the Agreement.
SECTION 4. The City Manager, or his designee, is directed, by certified mail, return
receipt requested, to disclose to Owner any and all appraisal reports produced or acquired by the
City relating speci�icall}� to the Owner's property and prepared in the 10 years preceding the date
of the offer made by the Agreement.
SECTION 5. The offer to Owner shall be made in accordance with all applicable law.
SECTION 6. The City Manager is authorized to make expenditures in accordance with
(i) the terms of the Agreement; and (ii) Ordinance No. 2012-073, dated April 17, 2012,
pertaining to relocation related expenses and advisory services.
SECTION 7. If any section, article, paragraph, sentence, phrase, clause or word in this
ordinance, or application thereof to any persons or circumstances, is held invalid or
unconstitutional by a court of competent jurisdiction, such holding shall not affect the validity of
the remaining portions of this ordinance; the City Council declares that it would have ordained
such remaining portion despite such invalidity, and such remaining portion shall remain in full
force and effect.
SECTION 8. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the � day of /. , 2012.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
I�
VED � TO LEGAL FORM:
BURGESS, CITY ATTORNEY
B ��
Y�
, K EXHIBIT "A" - to Ordinance (Property Interests)
� ' i
� �t��r ��.r�e��r�� �a.� Z�.�.
.�rc�.�"�ss�'vxx�1' .t��xx�' .�'��xwe�r�,�^s
�*.U. Bo� ��II ^- �..c�vvisviE�e�,'T'u�.s� 75467'
(7��fie�:: (�72j 2xl-9�L3� �-- ��.: (g72) �1�I�i?S
EXHIBIT "A"
MAYT�TLL ROAD
RTGHT-OF-WAY
PARCEL M101
0.215 Acra
Ciiy of Denton, Denton County, Texas
BEING all that certain lot, tract or parcel of land situated in the M.E.P. & P.R.R. Co. Survay, Abstract Number 927,
City of Denton, Denton County, Texas, azid being a portion of that tract of land described by deed to Carl K. Clay,
recorded in Volume 1149, Page S 18, Deed Records, Denton County, Texas (D.R.D.C.T.), and being more
particularly described as follows:
BEGINNING at a 1/2 inch ixon rod wiYh yellow cap stamped "Arthur Surveying Company" (A.S.C.) set for the
northeast corner of said Clay tract, and being in the south lina o£ a tract of land described by deed ta J,G. Duncan
and wife, Rrances Duncan, recorded ini Volume 509, Page 327, D.R,D.C.T., and being in the existing west right-of-
way line of Mayhill Road;
THENCE South 02 degrees 23 minutes 25 seconds West, with the east line of said Clay tract and the weat xzght-of-
way line of said Ma�hill Road, a distance of 140.76 feet to a 1/2 inch iron rod with yellow cap stamped "A.S.C." set
for the southeast comer of said Clay tract and the most easterly northeasf corner of a tract of land described by deed
to Philip Hardy Matzanger and wi£e, Yvonne Matzinger, recorded in Volume 876, Page 429, D.R.D.C.T.;
THENCE South $9 degrees 28 minutes OS seconds West, with the south line of said Clay tract and a north line of
said Matzinger tcact, a distance of 66.86 £eet to a 1/2 in.ch iron rod with yellow cap stamped "A,S.C." set for cor.ner;
THENCE North 02 degrees 38 minutes 08 seconds East, over and across said C1ay tract, a distance of 141.15 feet to
a 1/2 inch iron rod with yellow cap stamped "A.S.C," set for coz�ner in the north line of said Clay tract and the south
line of said Duncan tract;
THENCE North 89 degrees 46 nainutes 34 seconds �ast, with the north lina of said Clay tract and the south line of
said Dunoan tract, a distance of 66.24 feet to the POINT OF BEGINNING and containing 0.215 acre of 1and, more
or less.
C 1107131-22
Parcel N1101
�
EXHIBIT "A" - to Ordinance (Property Interests)
i �
J. G. Duncan & wife, �
Frances Duncan �
Volume 509, Page 327 I
��
� •
.�Q� � � 60 0 30 GO
�,'� I
�� N89°46'34"E scar.�: i��=6o�
h Bearings shown hereon based on t�e City of
Qr� 66.24� Denton GIS Netv✓ork.
-- —.... -- 1.R. S. 6 R. S.
�i�^ Carl K Clay
�.� Volume 1149, Page 5�B
� h b
� � P. . B.
-----��=- �, �o
� F c.P. �r � a; 03
�' existing "' 0.215 Ac�'e Q'i �°
resldence
� � W Right-of Way � b
� � � o o Parcel N �
,�. I�� M � (9,369 sq, tt,) � N �
'�' �z° Z� , I� � ,
�� • �
� �
I 589 28�05"W
82.24' I.R.S. � � I,R.S.
I. R.F. S02 47'51 "W
(c.M.) � S89°28'OS"W �2.ao�
66.86' i,R.F,
(GM.) NOTBS;
Philip Hardy Matzinger & I
wffa, Yvonne Matzinger �
Volv.me 87H, Page 429 �
I
I
I
I
I
�_
I
hYalter Ronnie Kingston�
& wife, Margaret
Ann TCingston
Volume 780, Page 599
� I
I �
� EXHIB IT "B "
Mayhill Road
Ri ht-of--Way
Parcel M101
0.2]. b acre in the
M.E.P. & P.R.R. Co. Survey,
Abstract Number 927,
City of Denton
Denton County, Texas
�z��`e
• T.R.F. =1/2" I�•on Rod Found
. I.R.S. =1/2" T�•oa Rod Set with
yellow cap stamped "Arthur
Suiveying Company"
. F.C.P:� Fence Coiner Post
. All unprovements not shown hereon,
rthur Surveying Co., Inc.
aProfessio�a.Y .Laad S�vs^v�eyors
P.O.Bog 54 — Lewisville, Texas 76087
Offioe: (972) 221-9439 Fas: (972) 221-4875
Eatatblished 1966
m
EXHIBIT "A" - to Ordinance (Property Interests)
rthur Surveying Co., I nc.
�xof�esszoxza.� ��d Sa,xx�e,yors
P.O. Bo7t 54� �-- Lewisville, Texas 75067
Off'ice: (972) 221-9439 --- Fax: (972) 221-4675
�EXHIBIT "A"
64.06' TEMPORA.RY
CUNSTRUCTION EASEMENT
MAYI3TLL ROAD PROJECT
: 0.195 Acre
City of Denton, Denton County, Texas
BEING all that certain lot, tract or parcel of land situated in the M,E,P. & P.R.R. Co. Survey, Abstract Number 927,
City of Denton, Denton County, Texas, and being a portion o£that tract of land descrihed by deed to Carl K. Clay,
recorded in Volume 1149, Page 518, Deed Records, Denton Counry, Texas (D.R.D.C.T.), and being mora
particularly described as follows:
COMMENCING at a 1/2 inch iron rod with yellow cap stamped "Arthur Surveying Cornpany" (A.S.G.) set for the
northeast corner o£ said Clay txact, and being in�the south line of a tract of land described by deed to 7.G. Duncan
and wife, F'rances Duncan, recoxded in Volume 509, Page 327, D.R.D.C.T., and being in the existing west right-of-
way line of Mayhill Road; �
THENCE South 89 degrees 46 minutes 34 seconds West, with tlae north line of sazd Clay tract amd the south line of
said Duncan tract, a distance of 66.24 feet to a 1/2 inch iron rod with yellow cap staxnped "ASC" set for the POINT
OF BEGINNING;
THENCE South 02 degrees 38 minutes 08 seconds West, over and across said Clay tract, a distance of 141.15 feet
to a 1/2 inch iron rod with yellow cap stamped "ASC" sei for cornex in the south line of said Clay tract and the north
line of a tract of land described by deed to Walter Ronnie Kingston and wife, Margaret Ann Kingston, recorded in
Volume 760, Page 599, D.R,D.C.T.;
THENCE South 89 degrees 28 minutes �S seconds West, with the south line of'said Clay tract, and with the north
line of said Kizzgston tract part of tha way, for a distance of 60.1.5 feet to a point for corner, same point being in the
north line of a tract of land described by deed to Philip Hardy Matzinger and wi%, Yvonne Matzinger, recorded in
Volume 876, Page 429, D.R.D.C.T.;
THENCE North 02 dagrees 38 minutes 08 seconds East, over and across said Clay tract, a distance o£ 141.47 feet to
a point for corner in the north line of said C1ay tract and tha south line of said Duncan tract;
TI3ENCE Noxth 89 degrees 46 minutes 3�F seconds East, with the north line of said Clay tract and the south line of
said Duncan tract, a distance of 60.13 £eet to the POINT OF BEGINNING and containing 0.195 acres of land.
C1107131-22
Paz•cel M101
Tamporary Constiuction
Easement
\
t
EXHIBIT "A" - to Ordinance (Property Interests
J.G. lluncan & wite,
Frances Duncan
Volume 509, Page 327.
��� �
w'��. :
,p,G .
��. .
�'''� �
N89°46'34 "E
- - ---��9 60.13' .:.
_, ��....�■
I.R.S
�Carl K Clay '
G�' Volume 1149,
�, Page 518 (2ao' ' Construction . . .
�_.�.. --F � p� E as ement
�� I � 0.195 Acres �(8,487 sq. ft.)
O � realdence � V�
$� ��:� o�
.
�� �w o � zo.d M �
�� ( �oo'o� N�
Noi z I I� Proposed � � A
I z� Parcel M101 � Q
I I
I
I ' I.R.S.� Ng � 865�.�—�
I R.F. � � � '«—
��.M.� ss9°ZS�os��w
60.15' soz•a�7's�"�
� 12.00'
� Philip Hardy Matzinger &
wife, Y'vonne Matzinger �
Volume 878, Page 429 I I
NPalter Ronnie Kingston�
� & wife, Margaret
� A,nn Kingston
Yolume 760, Page 699
I � I
I �
I �
I
L�__ -- --
I
� N
I
� D �
. O. D.
� 60 0 3 =�
I
SCAI.E: 1"= 60'
S89 46'34°W Bearings shown hereon based on the City of
� 66.24' �'R'S' Aenton GIS Network.
-- 60.06' Tem�orary � O �
EXHIB IT "B "
60.06' Temp orary :
Construction Easement�
Mayhill Road Project `
0.195 acres in the �
M.E.P. & P.R.R. Co. Survey,
Abstract Number 92'7, ��
City of Dentan
Denton County, Texas
-- 2012 --
�i a�'
.S. � a��i
�� �
�
�
NOTES:
• T,R.F. = 1/2" Iron Rod �'ound
• I.It.5. =1/2" Iron Rod Set with
yellow cap stamped "Arthur
Surveying Company"
• F.C,P,= Fence Corner Post
• All improvements not shown hereon.
rthur Surveying Co., ]f nc.
.nro�s�o��.z�a s�rv�ya�
P.O.Bos 64 — Lewisville, Teaae 75067
OfPioe: (972) 221-9439 Faa: (972) 221-4675
Estatblished 1988
Exhibit "B" to �rdinance
s:\legal\our documents\contracts\12\clay purchase agreement final.CiOC
PURCHASE AGREEMENT
NOTICE
YOU, AS OWNER OF THE PROPERTY (AS DEFINED BELOV�, HAVE THE RIGHT
TO: (1) DISCUSS ANY OFFER OR AGREEMENT REGARDING THE CITY OF
DENTON'S ACQUISITION OF THE PROPERTY WITH OTHERS; OR (2) KEEP THE
OFFER OR AGREEMENT CONFIDENTIAL, UNLESS THE OFFER OR AGREEMENT
IS SUBJECT TO CHAPTER 552, GOVERNMENT CODE.
THIS PURCHASE AGREEMENT (the "Agreement") is dated �,pri � �/�J
,
2012, but effective as of the date provided below, between Carl Kenneth Clay (referred to herein
as "Owner") and the City of Denton, Texas ("City").
WITNESSETH:
WHEREAS, Carl Kenneth Clay is the Owner of a tract of land (the "Land") in the M.E.P. &
P.R.R. Co. Survey, Abstract Number 927, being affected by the public improvement project
called the Mayhill Road Widening and Improvements Project ("Project"); and
WHEREAS, City is in need of certain (i) fee simple lands, being a part of the Land; and (ii)
an easement in, along, over, upon, under and across, a portion of the Land, each related to the
Project; and
WHEREAS, it is desirous of both parties to stipulate and agree to the terms and conditions
associated with the purchase of the necessary real property interests for the Project;
NOW, THEREFORE, for Ten and No/100 Dollars ($10.00), and other good and valuable
consideration, the receipt and adequacy of which is hereby acknowledged, the parties agree as
follows:
l. A. At Closing, the Owner shall grant, execute, and deliver to the City (i) a Special
Warranty Deed (herein so called), conveying to the City, subject to the reservations described
1
s:\legal\our documents\contrects\12\clay purchase agreement final.CiOC
below, the tract of land being described in E�ibit "A" and depicted in E�ibit "B" to that certain
Special Warranty Deed, and other interests as prescribed therein (the "Fee Lands"), the Special
Warranty Deed being attached hereto as Attachment 1 and made a part hereof; and (ii) a
Temporary Construction, Grading and Access Easement (the "Easement"), in, along, upon,
under, over and across the tract of land being described in Exhibit "A" and depicted in Exhibit
"B" (the "Easement Lands"), to that certain Temporary Construction, Grading and Access
Easement, attached hereto as Attachment 2 and made a part hereof, for temporary construction,
grading and access purposes, as more particularly described therein.
The (i) Special Warranty Deed shall be in the form and upon the terms as attached hereto and
incorporated herein as "Attachment 1"; and (ii) the Easement shall be in the form and upon the
terms as attached hereto and incorporated herein as "Attachment 2" (the Fee Lands and the
Easement are collectively referred to herein as the "Property").
B. Owner, subject to the limitation of such reservation made herein, shall reserve, for himself, his
heirs, devisees, successors and assigns all oil, gas and other minerals in, on and under and that may
be produced from the Fee Lands. Owner, his heirs, devisees, successors and assigns, shall not have
the right to use or access the surface of the Fee Lands, in any way, manner or form, in connection
with or related to the reserved oil, gas, and other minerals and/or related to exploration and/or
production of the oil, gas and other minerals reserved herein, including without limitation, use or
access of the surface of the Fee Lands for the location of any well or drill sites, well bores, whether
vertical or any deviation from vertical, water wells, pit areas, seismic activities, tanks or tank
batteries, pipelines, roads, electricity or other utility infrastructure, and/or for subjacent or lateral
support for any surface facilities or well bores, or any other infrastructure or improvement of any
kind or type in connection with or related to the reserved oil, gas and other minerals, andlor related
to the exploration or production of same.
As used herein, the term "minerals" shall include oil, gas and all associated hydrocarbons, and shall
exclude (i) all substances that any reasonable extraction, mining or other exploration and/or
production method, operation, process or procedure would consume, deplete or destroy the surface
of the Fee Lands; and (ii) all substances (except oil and gas) which are at or near the surface of the
�
s:\legal\our documents\contracts\12\clay purchase agreement final.[iOC
Fee Lands. The intent of the parties hereto is that the meaning of the term "minerals" as utilized
herein, shall be in accordance with that set forth in Reed v. Wylie, 597 S.W.2d 743 (Tex. 1980).
As used herein, the term "surface of the Fee Lands" shall include the area from the surface of the
earth to a depth of five hundred feet (500') below the surface of the earth and all areas above the
surface of the earth.
2. As consideration for (i) the granting and conveying of the Fee Lands and the Easement to
the City; and (ii) damages to the Owner's remaining Property, the City sha11 pay to Owner at
Closing the sum of Sixty Eight Thousand Four Hundred and Sixty One and No/100 Dollars
($68,461.00). The monetary compensation prescribed in this Section 2 is herein referred to as
the "Total Monetary Compensation".
3. In addition to the Total Monetary Compensation, and being a component part of the Project,
the City shall, at its sole cost and expense, demolish, remove and dispose of the residential
structure bisected by the Project and located within the Fee Lands and Easement Lands, Owner
expressly stipulating that such residential structure is to be demolished as part of, or related to,
the Project. The work prescribed in this Section 3 is herein referred to as the "Demolition
Work".
4. The Owner shall convey and grant to the City the Fee Lands and the Easement free and clear
of a11 debts, liens and other encumbrances (the "Encumbrances"). The Owner shall assist and
support satisfaction of all closing requirements of the City in relation to solicitation of releases or
subordinations of the Encumbrances and other curative efforts affecting the Fee Lands and/or
Easement Lands, if necessary in the discretion of the City. In the event that all Encumbrances
are not cured to the satisfaction of City prior to Closing, such shall not be a default hereunder,
although Owner may otherwise be in default under Section 11, below. However, if the
Encumbrances are not cured as provided herein, City has the option of either (i) waiving the
defects related to the remaining Encumbrances by notice in writing to Owner on or prior to the
Closing Date, upon which the remaining Encumbrances shall become Permitted Exceptions
(herein so called), and proceed to close the transaction contemplated by this Agreement; or (ii)
3
s:\legal\our documents\contracts\12\clay purchase agreementfinal.CiOC
terminating this Agreement by notice in writing to Owner, in which latter event Owner and City
shall have no further obligations under this Agreement.
5. Owner stipulates that the Total Monetary Compensation payment and the Demolition Work
constitute and include all compensation due Owner by City related to the Project, including
without limitation, any damage to or diminution in the value of the remainder of Owner's
property caused by, incident to, or related to the Project, value of, damage to and/or costs of
repair, replacement and/or relocation of any improvements, turf, landscape, vegetation, or any
other structure or facility of any kind, including without limitation, residential structures located
within the Easement Lands and/or Fee Lands, related to activities conducted pursuant to the
Easement or City ownership of the Fee Lands, interference with Owner's activities on the
Easement Lands or other property interests of Owner, caused by or related to activities related to
the Easement, whether accruing now or hereafter, and Owner hereby releases for themselves,
their heirs, devisees, successors and assigns, City, it's officers, employees, elected officials,
agents and contractors from and against any and all claims they may have now or in the future,
related to the herein described matters, events and/or damages.
6. The Closing (herein so called) shall occur in and through the office of Title Resources, LLC,
525 South Loop 288, Suite 125, Denton, Texas 76205 ("Title Company"), with said Title
Company acting as escrow agent, on the date which is 180 days after the Effective Date, unless
the Owner and the City mutually agree, in writing, to an earlier or later date ("Closing Date"). In
the event the Closing Date, as described above, occurs on a Saturday, Sunday or Denton County
holiday, the Closing Date shall be the next resulting business day.
7. The stipulated Total Monetary Compensation amount sha11 be paid by the City at Closing to
the Owner through the Title Company. Ad valorem taxes relating to the Fee Lands for the
calendar year in which Closing shall occur shall be prorated between Owner and City as of the
Closing Date. If the actual amount of taxes for the calendar year in which Closing shall occur is
not known as of the Closing Date, the proration shall be based on the amount of taxes due and
payable with respect to the Fee Lands for the preceding calendar year, and shall be readjusted in
cash as soon as the amount of taxes levied against the Fee Lands for the calendar year in which
4
s:\legal\our documents\contracts\12\clay purchase agreement final.dOC
Closing shall occur is known. The result of such proration is that the Owner shall pay for those
taxes attributable to the period of time prior to the Closing Date (including, but not limited to,
subsequent assessments for prior years due to change of land usage or ownership occurring prior
to Closing) and City shall pay for those taxes attributable to the period commencing as of the
Closing Date. All other typical, customary and standard closing costs associated with this
transaction shall be paid specifically by the City, except for Owner's attorney's fees, if any,
which shall be paid by Owner.
8. The date on which this Agreement is executed by the Owner shall be the "Effective Date" of
this Agreement.
9.A. In the event Owner shall default in the performance of any covenant or term provided
herein, and such default shall be continuing after ten (10) days written notice of default and
opportunity to cure, City may exercise any right or remedy available to it by 1aw, contract, equity
or otherwise, including without limitation, the remedy of specific performance.
B. In the event City shall default in the performance of any covenant or term provided herein,
and such default shall be continuing after ten (10) days written notice of default and opportunity
to cure, Owner may, as its sole and exclusive remedy, either (i) terminate this Agreement prior to
Closing by written notice of such election to City; or (ii) enforce specific performance of this
Agreement.
10. THE LAWS OF THE STATE OF TEXAS SHALL CONTROL AND APPLY TO THIS
AGREEMENT FOR ALL PURPOSES. THIS AGREEMENT IS PERFORMABLE IN
DENTON COUNTY, TEXAS. VENUE FOR ANY ACTION ARISING HEREUNDER
SHALL LIE SOLELY 1N THE COURTS OF COMPETENT JURISDICTION OF DENTON
COUNTY, TEXAS.
11. From and after the Effective Date of this Agreement, through and including the Closing Date,
Owner shall not (i) convey or lease any interest in the Fee Lands or Easement Lands; (u) enter
into any Agreement that will be binding upon the Fee Lands or upon the Owner with respect to
5
s:\legal\our documents\contracts\12\clay purchase agreement final.dOC
the Fee Lands after the date of Closing; or (iii) enter into any agreement that will be binding on
the Easement Lands, or upon Owner with respect to the Easement Lands, prior to the termination
of the Easement.
12. Any notices prescribed or allowed hereunder to Owner shall be in writing and shall be
delivered by telephonic facsimile, hand delivery or by United States Mail, as described herein,
and shall be deemed delivered upon the earlier to occur of (a) the date provided if hand delivered
or delivered by telephonic facsimile; and (b) on the date of deposit of, in a regularly maintained
receptacle for the United States Mail, registered or certified, return receipt requested, postage
prepaid, addressed as follows:
C�lh�/►1�l:ii
Carl Kenneth Clay
1050 North Mayhill Road
Denton, Texas 76209
Phone
Copies to:
For Owner:
Telecopy:
CITY:
City of Denton
Paul Williamson
Real Estate and Capital Support
901-A Texas Street
Denton, Texas 76209
Telecopy: (940) 349-8951
For Citv:
Richard Casner, Deputy City Attorney
City Attorney's Office
215 E. McKinney
Denton, Texas 76201
Telecopy: (940) 382-7923
13. This Agreement constitutes the sole and only agreement of the parties and supersedes any
prior understandings or written or oral agreements between the parties with respect to the subject
matter of this Agreement. Time is of the essence with respect to this Agreement. Relocation
advisory services and relocation financial assistance, if applicable pursuant to Ordinance No.
2012-073 (the "Relocation Ordinance"), shall be administered as provided by the Relocation
Ordinance, aside and apart from the transaction contemplated by this Agreement.
�
s:\legal\our documents\contracts\12\clay purchase agreementfinal.dOC
14. The representations, warranties, agreements and covenants contained herein shall survive
the Closing and shall not merge with the Special Warranty Deed and/or Easement.
15. In the event prior to the Closing Date, condemnation or eminent domain proceedings are
threatened or initiated by any entity or party other than the City that might result in the taking of
any portion of the Property, City may, at its election, terminate this Agreement at any time prior
to Closing.
16. Authority to take any actions that are to be, or may be, taken by City under this Agreement
andlor Easement, including without limitation, adjusting the Closing Date of this Agreement
and/or the termination date of the Easement, are hereby delegated by City, pursuant to action by
the City Council of Denton, Texas, to Frank Payne, City Engineer of City, or his designee.
CITY OF DENTON, TEXAS
By: �
GEORGE C. CAMPBELL, /��� ,. ��� �,U� e(r' '�' ZQ i�°
,1�1'L'�G�
CITY MANAGER J
J
Date: /' ` � , 2012
ATTEST:
JENNIFER WAL
�
BY:
Date: ��'�/
- - —TARY
7
s:\legal\our documents\contracts\12\clay purchase agreement final.dOC
APPROVED AS TO LEGAL FORM:
ANITA BURGESS, CITY ATTORNEY
BY: i� C�
late: �i• '� /�' , 2� 12
CI]�i'/►1 �l:i�
CARL KENNETH CLAY
Date: , 2012
s:\legal\our documents\contracts\12\clay purchase agreement final.CiOC
RECEIPT OF AGREEMENT BY TITLE COMPANY
By its execution below, Title Company acknowledges receipt of one (1) executed copy of
this Agreement. Title Company agrees to comply with, and be bound by, the terms and
provisions of this Agreement and to perform its duties pursuant to the provisions of this
Agreement and comply with Section 6045(e) of the Internal Revenue Code of 1986, as amended
from time to time, and as further set forth in any regulations or forms promulgated thereunder.
TITLE COMPANY:
Title Resources, LLC
525 South Loop 288, Suite 125
Denton, Texas 76205
Telephone; (940) 381-1006
Telecopy: (940) 898-0121
:
Printed Name:
Title:
Contract receipt date: , 2012
�
i
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL
PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE
FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT
TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR
RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER
OR YOUR DRIVER'S LICENSE NUMBER.
SPECIAL WARRANTY DEED
STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF DENTON §
That CARL KENNETH CLAY, a single person (referred to herein as "Grantor"),
for and in consideration of the sum of TEN AND NO1100 DOLLARS ($10.00), and other
good and valuable consideration to Grantor in hand paid by the CITY OF DENTON,
TEXAS, a Texas Home Rule Municipal Corporation (herein called "Grantee"), 215 E.
McKinney, Denton, Texas 76201, the receipt and sufficiency of which are hereby
acknowledged and confessed, has GRANTED, SOLD and CONVEYED, and by these
presents does GRANT, SELL and CONVEY, unto Grantee all the real property in
Denton County, Texas being particularly described on Exhibit "A" and depicted on
Exhibit "B", both attached hereto and made a part hereof for all purposes, and being
located in Denton County, Texas, together with any and all rights or interests of Grantor
in and to adjacent streets, alleys and rights of way and together with all and singular the
improvements and fixtures thereon and all other rights and appurtenances thereto
(collectively, the "Property").
Grantor, subject to the limitation of such reservation made herein, reserves, for himself,
his heirs, devisees, successors and assigns all oil, gas and other minerals in, on and under
and that may be produced from the Property. Grantor, his heirs, devisees, successors and
assigns shall not have the right to use or access the surface of the Property, in any way,
i
I
manner or form, in connection with or related to the reserved oil, gas, and other minerals
and/or related to exploration and/or production of the oil, gas and other minerals reserved
herein, including without limitation, use or access of the surface of the Property for the
location of any well or drill sites, well bores, whether vertical or any deviation from
vertical, water wells, pit areas, seismic activities, tanks or tank batteries, pipelines, roads,
electricity or other utility infrastructure, and/or for subjacent or lateral support for any
surface facilities or well bores, or any other infrastructure or improvement of any kind or
type in connection with or related to the reserved oil, gas and other minerals, and/or
related to the exploration or production of same.
As used herein, the term "minerals" shall include oil, gas and all associated hydrocarbons
and shall exclude (i) all substances (except oil and gas) that any reasonable extraction,
mining or other exploration and/or production method, operation, process or procedure
would consume, deplete or destroy the surface of the Property; and (ii) all substances
(except oil and gas) which are at or near the surface of the Property. The intent of the
parties hereto is that the meaning of the term "minerals" as utilized herein, shall be in
accordance with that set forth in Reed v. Wylie, 597 S.W.2d 743 (Tex. 1980).
As used herein, the term "surface of the Property" shall include the area from the surface
of the earth to a depth of five hundred feet (500') below the surface of the earth and all
areas above the surface of the earth.
This conveyance is subject to the following:
1. Easement executed by W.H. BENTLEY and wife, MAYE A. BENTLEY to
SINCLAIR REFINING COMPANY filed December 20, 1947, recorded in
Volume 341, Page 265, Deed Records of Denton County, Texas.
2. Power lines in place; as shown on survey dated July 3, 2012, prepared by Douglas
L. Arthur, RPLS #4357.
TO HAVE AND TO HOLD the Property, together with all and singular the rights
and appurtenances thereto in anywise belonging unto Grantee and Grantee's successors
and assigns forever; and Grantor does hereby bind Grantor and Grantor's successors and
assigns to WARRANT AND FOREVER DEFEND all and singular the Property unto
Page 2 of 3
~I
i
Grantee and Grantee's successors and assigns, against every person whomsoever lawfully
claiming or to claim the same or any part thereof, by, through or under Grantor, but not
otherwise.
EXECUTED the day of '2012.
ARL KENNETH CLAY
ACKNOWLEDGMENT
THE STATE OF TEXAS §
COUNTY OF [XNJTW§
This instrument was acknowledged before me on , 2012 b
Carl Kenneth Clay.
ic, Stat of exas
otary U
DANYELLE MARIE TYR My commission expires:
F~? Notary Public, State of Texas
my commission Expires
10 08, 2015
I
it
I
Upon Filing Return To: Property Tax Bills To:
The City of Denton-Engineering City of Denton Finance Department
Attn: Paul Williamson 215 E. McKinney Street
901-A Texas Street Denton, Texas 76201
Denton, TX 76209
Page 3 of 3
i
EXHIBIT "A" - to Special Warranty Deed
r Aj-h-ur Surveying Co., Z c.
P.0• Box 54 Lowisviflo, Texas 75067
Ontco: (972) 221,-9439 F:ix: (972) 321-1675
EXHIBIT "A"
MA.Y117LL ROAD
RIGHT-OF-'WAY
PARCEL M101
0.215 Acre
City of Denton, Denton County, Texas
BEING all that certain lot, tractor parcel of land situated in the M.E.P. & P.R.R. Co. Survey, Abstract Number 927,
City of Denton, Denton County, Texas, and being a portion of that tract of land described by deed to Carl K. Clay,
recorded in Volume 1149, Page 518, Deed Records, Denton County, Texas (D,R.D• C.T.), and being more
particularly described as follows;
BEGINNING at a 1/2 inch iron rod with yellow cap stamped "Arthur Surveying Company" (A.S.C.) set for the
northeast comer of said Clay tract, and being in the south line of a tract of land described by deed to J.G. Duncan
and wife, Frances Duncan, recorded in Volume 509, Page, 327, D.R.D. C.T., and being in the existing west right-of-
way line ofMayhill Road;
THENCE South 02 degrees 23 minutes 25 seconds West, with the east line of said Clay tract and the west right-of-
way line of said Mayhill Road, a distance of 140.76 feet to a 1/2 inch iron rod with yellow cap stamped "A.S.C."'set
for the southeast comer of said Clay tract and the most easterly northeast comer of a tract of land described by deed
to Philip Hardy Matzinger and wife, Yvonne Matzinger, recorded in Volume 876, Page 429, D.R.D.C.T.;
THENCE South 89 degrees 28 minutes 05 seconds West, with the south line of said Clay tract and a north line of
said Matzinger tract, a distance of 66.86 feet to a 1/2 inch iron rod with yellow cap stamped "A.S.C." set for comer;
THENCE North 02 degrees 38 minutes 08 seconds East, over and across said Clay tract, a distance of 141.15 feet to
a 1/2 inch iron rod with yellow cap stamped "A.S.C." set for comer in the north line of said Clay tract and the south
line of said Duncan tract;
THENCE North 89 degrees 46 minutes 34 seconds East, with the north line of said Clay tract and the south line of
said Duncan tract, a distance of 66.24 feet to the P OINT OP' BEGINNING and containing 0.215 acre of land, more
or less.
C1107131-22
Parcd M101
EXHIBIT "B" - to Special Warranty Deed
J. G. Duncan & wife, I
Frances Duncan 1
Volume 609, Pave 327 I
fl I
4y~Q' f I 60 0 30 60
yG~ I i ..ter:r~cni
5 N89 °4694 T SCALE: V'=60'
V 66.24' Bearings shown hereon based on the City of
Denton GIS Network.
1Carl K Clay
4e Volume 1149, Page 516
---12, P.o.B.
I _ Io
F.C.P. *y- 1 ~ Q
P~o
existing 0.215 Acre
resldence
f' Right-of-Way
eo o Parcel N
I r o° M 1 (9,369 sq, ft.) r.n r--1
1=0 0~ 10. ~
I
I 589'28'05"W
1.R.F. 82.24 1. R. S. _ _ 1. R. S.
I (C.M.) S89W'0511W 502'47'51 "W
66.86 12.00'
f LR.F.
NOTES:
1 Philip Hardy Matzinger & I.R.F. =1/2" Iron Rod Found
wife, Yvonne Matzinger I.R.S. =1/2" Iran Rod Set with
I Volume B76, Page 429 yellow cap stamped "Arthur
Survoying Company"
Walter Ronnie Kingston! F.C.P.-Fence Corner Post
& wife, Margaret A11 improvements not shown hereon.
Anti Kin stop
(volume 760, Page 598
' I I
I I
I
I F r ~`r:•,, sf
: t; :..L • r1r
EXHIBIT rr rr
Ma- hill Road
~;~PRi ~t-of-Wa
~ Y
Parcel .M101
0.215 acre in the
M.E.P. & P.R.R. Co. Survey, rthur Surveying Co.) Inc.
Abstract Number 927, Ptrmfesszonal Land S1sx~e70rs
City of Denton P.O.Box 54 - Lewisville, Texas 70067
Office: (972) 221-9439 Fax: (972) 221-4675
Denton County, Texas Estatblished 19e6
2D11 -
C 1101131-22-Parcal8;101
Denton County
Cynthia Mitchell
County Clerk
Denton, TX 76202
70 201 2 00073741
Instrument Number: 2012-73741
As
Recorded On: July 09, 2012 Warranty Deed
Parties: CLAY CARL KENNETH Billable Pages: 6
To Number of Pages: 6
Comment:
( Parties listed above are for Clerks reference only )
Examined and Charged as Follows:
Warranty Deed 36.00
Total Recording: 36.00
DO NOT REMOVE. THIS PAGE IS PART OF THE INSTRUMENT
Any provision herein which restricts the Sale, Rental or use of the described REAL PROPERTY
because of color or race is invalid and unenforceable under federal law.
File Information: Record and Return To:
Document Number: 2012-73741
Receipt Number: 924688 TITLE RESOURCES
Recorded Date/Time: July 09, 2012 02:37:26P WILL CALL
DENTON TX 76202
User / Station: S Parr - Cash Station 3
THE STATE OF TEXAS)
COUNTY OF DENTON }
I~ I hereby certify that this Instrument was FILED In the File Number sequence on the date/time
fff G printed heron, and was duly RECORDED In the Official Records of Denton County, Texas.
County Clerk
:$4s»•` Denton County, Texas
nz~~ V16-
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY
REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY
INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS
FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER
OR YOUR DRIVER'S LICENSE NUMBER.
TEMPORARY CONSTRUCTION, GRADING AND ACCESS EASEMENT
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF DENTON §
THAT Carl Kenneth Clay, a single person (referred to herein as "Grantor"), whose mailing address
is 1050 North Mayhill Road, Denton, Texas 76209, in consideration of the sum of Ten and No/100
Dollars ($10.00) and other good and valuable consideration in hand paid by the City of Denton,
Texas, receipt and sufficiency of which is hereby acknowledged, has GRANTED, BARGAINED,
SOLD and CONVEYED and does by these presents GRANT, BARGAIN, SELL and CONVEY
unto the City of Denton, Texas ("Grantee") a temporary construction, grading and access easement
in, along, upon, under, over and across the following described property (the "Property"), owned
by Grantor, and situated in Denton County, Texas, located in the M.E.P. & P.R.R. Co. Survey,
Abstract Number 927, to wit:
PROPERTY DESCRIBED IN EXHIBIT "A"
AND DEPICTED IN EXHIBIT "B", BOTH ATTACHED HERETO AND MADE A PART
HEREOF
It is agreed that the said City of Denton, Texas, in consideration of the benefits above set out, may
remove from the Property above described, such fences, signage, buildings and other obstructions
as may now be found upon said Property, for the purpose of construction activities, grading
activities and access in, along, upon, under, over and across said Property. It is specifically
stipulated by Grantor that the scope of the access, construction and grading activities shall include
the clearing and removal of the residential structure and vegetation and trees that exist within the
Property.
The City of Denton, its agents, employees, contractors, workmen, and representatives shall have
the right of ingress, egress and regress in, along, upon, under, over and across said Property for the
purpose of access, construction and grading activities and other activities prescribed herein, or any
part thereof.
I
I
The term of this Temporary Construction, Grading and Access Agreement shall commence on the
date of the "Demolition Contractor Notice to Proceed" related to the portion of the Mayhill Road
Widening and Improvements Project affecting the Property and terminate on the earlier to occur of
(i) two (2) years from such date of the herein referenced "Demolition Contractor Notice to
Proceed"; or (ii) December 31, 2015, unless the parties mutually agree in writing to an extension
or reduction of such term.
TO HAVE AND TO HOLD unto the said City of Denton, Texas as aforesaid for the purposes
aforesaid the premise above described.
Witness our hands, this the i.. day of , 2012.
GRANTOR:
By: ate: L 2012.
Carl Kenneth Clay
ACKNOWLEDGMENT
THE STATE OF TEXAS §
COUNTY OF N4M §
This instrument was acknowledged before me on AA U 2012, by Carl Kenneth
Clay.
~TY PUDAN•r ULF. M)}RJE :TYRA
NoiwtState ' % s
~,y ~;arnn,iss on Eotary Publi in and or th S too T as
June 08, 201My Commission Expires:
2
i
Accepted this 7 day of cj , 2012, for the City of Denton,
Texas ~n anee Nom. oo 9~e6otv l04 ~I l ~ la3•
B ~ ~ ors
Paul Williamson
Real Estate Manager
AFTER RECORDING RETURN TO:
City of Denton - Engineering Department
901-A Texas Street
Denton, Texas 76209
Attn: Paul Williamson
i
3
EXHIBIT "A" - to Temporary Construction, Grading and Access easement
71, rthur Surveying Co., Inc.
~xo~fesszosaa~ ~azcd Suz-v~~oxs
P.O. Box 54 , - Lewisville, Texas 75067
Offioe: (972) 221-9439 Fax. (972) 221-4675
°EYHIBIT "A"
60.06' TEMPORARY
CONSTRUCTION EASEMENT
MAYHILL ROAD PROJECT 1
0.195 Acre
City of Denton, Denton County, Texas
BEING all that certain lot, tract or parcel of land situated in the M.E.P. & P.R.R. Co. Survey, Abstract Number 927,
City of Denton, Denton County, Texas, and being a portion of that tract of land described by deed to Carl K. Clay,
recorded in Volume 1149, Page 518, Deed Records, Denton County, Texas (D.R.D.C.T), and being more
particularly descnbed as follows:
COMMENCING at a 1/2 inch iron rod with yellow cap stamped "Arthur Surveying Company" (A.S.C.) set for the
northeast cover of said Clay tract, and being in the south line of a tract of land described by deed to T.G. Duncan
and wife, Frances Duncan, recorded in Volume 509, Page 327, D.R.D. C.T., and being in the existing west right-of-
way line of Mayhill Road;
THENCE South 89 degrees 46 minutes 34 seconds West, with the north line of said Clay tract and the south line of
said Duncan tract, a distance of 66.24 feet to a 1/2 inch iron rod with yellow cap stamped "AS C" set for the POINT
OF BEGINNING;
THENCE South 02 degrees 38 minutes 08 seconds West, over and across said Clay tract, a distance of 141.15 feet
to a 1/2 inch iron rod with yellow cap stamped "AS C" set for comer in the south line of said Clay tract and the north
line of a tract of land described by deed to Walter Ronnie Kingston and wife, Margaret Ann Kingston, recorded in
Volume 760, Page 599, D.R.D.C.T.;
THENCE South 89 degrees 28 minutes 05 seconds West, with the south line of said Clay tract, and with the north
line of said Kingston tract part of the way, for a distance of 60.15 feet to a point for corner, same point being in the
north line of a tract of land described by deed to Philip Hardy Matzinger and wife, Yvonne Matzinger, recorded in
Volume 876, Page 429, D.R,D,C.T.;
THENCE North 02 degrees 38 minutes 08 seconds East, over and across said Clay tract, a distance of 141.47 feet to
a point for corner in the north line of said Clay tract and the south line of said Duncan tract;
THENCE North 89 degrees 46 minutes 34 seconds East, with the north line of said Clay tract and the south line of
said Duncan tract, a distance of 60.13 feet.to the POINT OF BEGINNING and containing 0.195 acres of land.
DO U t <<i t i
- ~kq i ~„h fl~rGya / r
01107131-22
Painelmlol
Temporary Construction
Eminent
I
EXHIBIT "B" - to Temporary Construction, Grading and Access Easement
J. G. Duncan & wife, I
Frances Duncan
Volume 509, Page 327. 1
~ry~ I
P. Q. B.
~ydry I 60 0 30 60
I ~
N89°4634"E SCALE: 111=60'
569'46'34"W Bearings shown hereon based on the City of
60.13 66.24' ! R'S Denton GIS Network.
Carl K Clay
Volume 1149, 60.061 Temporary n
Page 518 70.0' COIlstruction P. 0 • C.
Easement
Y 1 0 existing 0.195 Acres - (8,487 sq. ft,)
~ ~ resldenae co
I W o * +t 20.0' 00
I o N 0
I
z of Z 1 ~ Uj Proposed ' I
Parcel M101 I
051
N89 28'05."E ~
IR i.P,.S. a3
f C.MF.
S89028`0s"w
I 60.15` S024 7'51 "W I,R.F
12.00' (C''~ NOTES:
I Philip Hardy Matzinger & J I.R.F. =1/2" Iron Rod Found
wife, Yvonne Matzinger 1 < I.R.S. =1/2" Iron Rod Set with
I Volume 876, . Page 429 I I 4 yellow cap stamped "Arthur
Surveying Company"
Walter Ronnie Mngstonl F.C.P. Fence Comer Post
I & wife, Margaret All improvements not shown hereon.
I Ann Kingston J
Volume 760, Page 599
I I I sN Or.
I 1 ~ a7gp:! p 19
k D':711GLA3 L l,EXHIBIT 11B11 60.06' Temporary
Construction Easement
Mayl?iIi Road Project
0.195 acres in the
M.E.P. & P.R.R. Cc, Survey, rthur Surveying Ca, Inc,
Abstract Number 927, -Y-ofessionalL-and Surveyors
City or Denton P.O.Box 54 - Lewisville, Texas 75057
Denton County, 's'eas Office: (972) 221-9439 Fax: (972) 221-4675
Estatblisbed 1986
--2012-
C1 107131-22-Paral M101
Denton County
Cynthia'Mitchell
County Clerk
Denton, TX 76202
70 201 2 00073742
Instrument Number: 2012-73742
As
Recorded On: July 09, 2012 Easement
Parties: CLAY CARL KENNETH Billable Pages: 6
To Number of Pages: 6
Comment:
( Parties listed above are for Clerks reference only )
Examined and Charged as Follows:
Easement 36.00
Total Recording; 36.00
DO NOT REMOVE. THIS PAGE IS PART OF THE INSTRUMENT
Any provision herein which restricts the Sale, Rental or use of the described REAL PROPERTY
because of color or race is invalid and unenforceable under federal law.
File Information: Record and Return To:
Document Number: 2012-73742
Receipt Number: 924688 TITLE RESOURCES
Recorded Date/Time: July 09, 2012 02:37:26P WILL CALL
DENTON TX 76202
User / Station: S Parr - Cash Station 3
THE STATE OF TEXAS)
COUNTY OF DENTON }
s I hereby certify that this instrument was FILED in the File Number sequence on the date/time
printed heron, and was duly RECORDED In the Official Records of Denton County, Texas.
~ ~ G~Iz1,dL
County Clerk
3~6' Denton County, Texas
TITLE RESOURCES
i
DATE : August 28, 2012
GF NO : 102567
TO.: THE CITY OF DENTON -ENGINEERING DEPT
901-A TEXAS STREET
ATTN: PAUL WILLIAMSON
DENTON, Texas 76209
RE : Owner's Title Policy (Texas Form T-1) regarding theproperly described in the above referenced file
as MEP &_PRR CO., Abstract #927, Tract 66, Denton County, Texas and being commonly known as
1050 S MAYHILL ROAD, DENTON, TEXAS 76208 .('Property'l.
We are pleased to enclose an Owner's Title Policy No. 91143-8228 from TITLE RESOURCES GUARANTY COMPANY,
issued in connection with the purchase of the property described in the Title Policy.
i
The enclosed Title Policy is an important legal document, so please safeguard it with your other important papers.
TITLE RESOURCES appreciates the opportunityto be of service to you and hope that you will remember us should you
have a future need for the services of a title company.
Please call if you have any further questions or if we can be of further assistance. Thank you again for letting TITLE
RESOURCES help you with the purchase of your property.
I
Gail Green j; ~~''A L
Policy Processor
~u~~r~~ tas~.me
gail@trnt.net DEED
I
Enclosure
i
I
525 South Loop 288 Suite #125 * Denton, Texas 76205 * Office (940) 381-1006 * Metro (940) 243-2913 * Fax (940) 898-0121
File No.: 102567 I Policy No. 91143- 8228 1 Premium: $660.45
OWNER'S POLICY OF TITLE INSURANCE
Issued by
Title Resources Guaranty Company
Any notice of claim and any other notice or statement in writing required to be given the Company under this Policy must be given to the
Company at the address shown in Section 18 of the Conditions.
i
COVERED RISKS
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE
CONDITIONS, TITLE RESOURCES GUARANTY COMPANY, a Texas corporation (the "Company") insures, as of Date of Policy and, to the extent
stated in Covered Risks 9 and 10, after Date of Policy, against loss or damage, not exceeding the Amount of Insurance, sustained or incurred by the
Insured by reason of:
1. Title being vested other than as stated in Schedule A.
2. Any defect in or lien or encumbrance on the Title. This Covered Risk includes but is not limited to insurance against loss from:
(a) A defect in the Title caused by:
(i) forgery, fraud, undue influence, duress, incompetency, incapacity or impersonation;
(ii) failure of any person or Entity to have authorized a transfer or conveyance;
(iii) a document affecting Title not properly created, executed, witnessed, sealed,
acknowledged, notarized or delivered;
(iv) failure to perform those acts necessary to create a document by electronic means authorized by law;
(v) a document executed under a falsified, expired or otherwise invalid power of attorney;
(vi) a document not properly filed, recorded or indexed in the Public Records
including failure to perform those acts by electronic means authorized by law; or
(vii) a defective judicial or administrative proceeding.
(b) The lien of real estate taxes or assessments imposed on the Title by a governmental
authority due or payable, but unpaid.
(c) 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.
The term "encroachment" includes encroachments of existing improvements located on the Land onto adjoining land, and encroachments onto
the Land of existing improvements located on adjoining land.
(d) Any statutory or constitutional mechanic's, contractor's, or materialman's lien for labor or materials having its inception on or before Date of
Policy.
3. Lack of good and indefeasible Title.
4. No right of access to and from the Land.
5. The violation or enforcement of any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting,
regulating, prohibiting or relating to:
(a) the occupancy, use or enjoyment of the Land;
(b) the character, dimensions or location of any improvement erected on the Land;
(c) subdivision of land; or
(d) environmental protection
if a notice, describing any part of the Land, is recorded in the Public Records setting forth the violation or intention to enforce, but only to the extent of
the violation or enforcement referred to in that notice.
6. An enforcement action based on the exercise of a governmental police power not covered by Covered Risk 5 if a notice of the enforcement action,
describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement referred to in that notice.
7. The exercise of the rights of eminent domain if a notice of the exercise, describing any part of the Land, is recorded in the Public Records.
8. Any taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge.
9. Title being vested other than as stated in Schedule A or being defective:
(a) as a result of the avoidance in whole or in part, or from a court order providing an
alternative remedy, of a transfer of all or any part of the title to or any interest in the Land
occurring prior to the transaction vesting Title as shown in Schedule A because that prior
transfer constituted a fraudulent or preferential transfer under federal bankruptcy, state
insolvency or similar creditors' rights laws; or
(b) because the instrument of transfer vesting Title as shown in Schedule A constitutes a
preferential transfer under federal bankruptcy, state insolvency or similar creditors' rights laws
by reason of the failure of its recording in the Public Records:
(i) to be timely, or
(ii) to impart notice of its existence to a purchaser for value or a judgment or lien creditor.
10. Any defect in or lien or encumbrance on the Title or other matter included in Covered Risks 1 through 9 that has been created or attached or has
been filed or recorded in the Public Records subsequent to Date of Policy and prior to the recording of the deed or other instrument
of transfer in the Public Records that vests Title as shown in Schedule A.
The Company will also pay the costs, attorneys' fees and expenses incurred in defense of any matter insured against by this Policy, but only to the
extent provided in the Conditions.
ecu,pz~ Title Resources Guaranty Cornpan_11
2 gy'
An Executive Vice President
525 S. Loop 286, Ste 125 ,Er,t
Denton, TX 76205-4515 SecretaryForm T-1: Owner's Pwivy u, iiuv rnau,a,iuw ki we,iiy i, v-a , Effective 2/01/2010
i
TLTA T-1 OWNER'S POLICY (2/1/10) Policy No.: 91143-8228
TITLE RESOURCES GUARANTY COMPANY
-SCHEDULE A
Name and Address of Title Insurance Company: TITLE RESOURCES GUARANTY
COMPANY
File No.: 102567 Policy No.: 91143-8228
Amount of Insurance: $68,461.00 Premium: $660.45
Date of Policy: July 9, 2012
1. Name of Insured:
CITY OF DENTON, TEXAS, a Texas Home Rule Municipal Corporation
2. The estate or interest in the Land that is insured by this policy is:
I
Fee Simple
3. Title is insured as vested in:
CITY OF DENTON, TEXAS, a Texas Home Rule Municipal Corporation
4. The Land referred to in this policy is described as follows:
BEING all that certain lot, tract or parcel of land situated in the M.E.P. & P.R.R. Co. Survey, Abstract
Number 927, City of Denton, Denton County, Texas, and being a portion of that tract of land
described by deed to Carl K. Clay, recorded in Volume 1149, Page 518, Deed Records, Denton
County, Texas (D.R.D.C.T.), and being more particularly described as follows:
BEGINNING ata 1/2 inch iron rod with yellow cap stamped "Arthur Surveying Company" (A.S.C.)
set for the northeast corner of said Clay tract, and being in the south line of a tract of land described
by deed to J.G. Duncan and wife, France Duncan, recorded in Volume 509, Page .327, D.R.D.C.T.,
and being in the existing west right-of-way line of Mayhill Road;
I
THENCE South 02 degrees 23 minutes 25 seconds West, with the east line of said Clay tract and the
west right-of-way line of said Mayhill Road, a distance of 140.76 feet to a 1/2 inch iron rod with
yellow cap stamped "A.S.C." set for the southeast corner of said Clay tract and the most easterly
northeast -comer of a tract of land described by deed to Philip Hardy Matzinger and wife, Yvonne
Matzinger, recorded in Volume 876, Page 429, D.R.D.C.T.;
THENCE South 89 degrees 28 minutes 05 seconds West, with the south line of said Clay tract and a
north line of said Matzinger tract, a distance of 66.86 feet to a 1/2 inch iron rod with yellow cap
stamped "A.S.C." set for comer;
THENCE North 02 degrees 38 minutes 08 seconds East, over and across said Clay tract, a distance of
141.15 feet to a 1/2 inch iron rod with yellow cap stamped "A.S.C." set for corner in the north line of
said Clay tract and the south line of said Duncan tract;
FileNo.: 102567 Page 1 of 3
08 TLTA-T-1 Owner's Policy
I
~I
TLTA T-1 OWNER'S POLICY (2/1/10) Policy No.: 91143-8228
THENCE North 89 degrees 46 minutes 34 seconds East, with the north line of said Clay tract and the
south line of said Duncan tract, a distance of 66.24 feet to the POINT OF BEGINNING and
containing 0.215 acre of land, more or less.
I
Note: The Company is prohibited from insuring the area or quantity of the land described herein. Any
statement in the above legal description of the area or quantity of land is not a representation that such
area or quantity is correct, but is made only for informational and/or identification purposes and does
not override Item 2 of Schedule B hereof.
I
I
I
I
i
File No.: 102567 Page 2 of 3
08 TLTA - T-1 Owner's Policy
TLTA T-1 OWNER'S POLICY (2/1/10) Policy No.: 91143-8228
it
TITLE RESOURCES GUARANTY COMPANY
SCHEDULE B
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 the terms and conditions of the leases and easements, if any shown in
Schedule A, and the following matters:
1. The following restrictive covenants of record itemized below (the Company must either insert
specific recording data or delete this exception):
Item No. 1 is hereby deleted.
2. Shortages in area.
3. Homestead or community property or survivorship rights, if any, of any spouse of any Insured.
4. Any titles or rights asserted by anyone, including but not limited to, persons, the public,
corporations, governments or other entities,
a. to tidelands, or lands comprising the shores or beds of navigable or perennial rivers and streams,
lakes, bays, gulfs or oceans, or
b. to lands beyond the line of the harbor or bulkhead lines as established or changed by any
government, or
c. to filled-in lands, or artificial islands, or
d. to statutory water rights, including riparian rights, or
e. to the area extending from the line of mean low tide to the line of vegetation, or the right of
access to that area or easement along and across that area.
5. Standby fees, taxes and assessments by any taxing authority for the year 2012, and subsequent
years; and subsequent taxes and assessments by any taxing authority for prior years due to change in
land usage or ownership, but not those taxes or assessments for prior years because of an exemption
granted to a previous owner of the property under Section 11.13, Texas Tax Code, or because of
improvements not assessed for a previous tax year.
6. The following matters and all terms of the documents creating or offering evidence of the matters
(The Company must insert matters or delete this exception):
a. Easement executed by W.H. BENTLEY and wife, MAYE A. BENTLEY to SINCLAIR
REFRIONG COMPANY filed December 20, 1947, recorded in Volume 341, Page 265, Deed
Records of Denton County, Texas. (Blanket Easement)
b. Power lines in place; as shown on survey dated July 3, 2012, prepared by Douglas L. Arthur,
RPLS #4357.
c. Mineral Estate and Interest described in instrument filed July 9, 2012, CC# 2012-73741, Real
Property Records of Denton County, Texas. (Title to said interest not checked subsequent
thereto.)
d. Temporary Construction, Grading and Access Easement from CARL KENNETH CLAY, a
single person, to the CITY OF DENTON, TEXAS, filed July 9, 2012, CC# 2012-73742, Real
Property Records of Denton County, Texas.
File No.: 102567 Page 3 of 3
08 TLTA- T-1 Owner's Policy
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) 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 and 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.
6. The refusal of any person to purchase, lease or lend money on the estate or interest covered hereby in the land described in Schedule A because of
Unmarketable Title.
CONDITIONS
1. DEFINITION OF TERMS.
The following terms when used in this policy mean:
(a) "Amount of Insurance": the amount stated in Schedule A, as may be increased or decreased by endorsement to this policy, increased by Section
8(b), or decreased by Sections 10 and 11 of these Conditions.
(b) "Date of Policy": The date designated as "Date of Policy" in Schedule A.
(c) "Entity": A corporation, partnership, trust, limited liability company or other similar legal entity.
(d) "Insured": the Insured named in Schedule A.
(i) The term "Insured" also includes:
(A) successors to the Title of the Insured by operation of law as distinguished from purchase, including heirs, devisees, survivors, personal
representatives or next of kin;
(B) successors to an Insured by dissolution, merger, consolidation, distribution or reorganization; j
(C) successors to an Insured by its conversion to another kind of Entity;
(D) a grantee of an Insured under a deed delivered without payment of actual valuable consideration conveying the Title;
(1) If the stock, shares, memberships, or other equity interests of the grantee are wholly-owned by the named Insured,
(2) If the grantee wholly owns the named Insured,
(3) If the grantee is wholly-owned by an affiliated Entity of the named Insured, provided the affiliated Entity and the named Insured are both wholly-
owned by the same person or Entity, or
(4) If the grantee is a trustee or beneficiary of a trust created by a written instrument established by the Insured named in Schedule A for estate
planning purposes.
(ii) With regard to (A), (B), (C) and (D) reserving, however, all rights and defenses as to any successor that the Company would have had against any
predecessor Insured.
(e) "Insured Claimant": an Insured claiming loss or damage.
(f) "Knowledge" or "Known": actual knowledge, not constructive knowledge or notice that may be imputed to an Insured by reason of the Public Records
or any other records that impart constructive notice of matters affecting the Title.
(g) "Land": the land described in Schedule A, and affixed improvements that by law constitute real property. The term "Land" does not include any
property beyond the lines of the area described in Schedule A, nor any right, title, interest, estate or easement in abutting streets, roads, avenues,
alleys, lanes, ways or waterways, but this does not modify or limit the extent that a right of access to and from the Land is insured by this policy.
(h) "Mortgage": mortgage, deed of trust, trust deed, or other security instrument, including one evidenced by electronic means authorized by law.
(i) "Public Records": records established under state statutes at Date of Policy for the purpose of imparting constructive notice of matters relating to real
property to purchasers for value and without Knowledge. With respect to Covered Risk 5(d), "Public Records" shall also include environmental
protection liens filed in the records of the clerk of the United States District Court for the district where the Land is located.
0) "Title": the estate or interest described in Schedule A.
(k) "Unmarketable Title": Title affected by an alleged or apparent matter that would permit a prospective purchaser or lessee of the Title or lender on the
Title to be released from the obligation to purchase, lease or lend if there is a contractual condition requiring the delivery of marketable title.
2. CONTINUATION OF INSURANCE.
i
Form T-1: Owner's Policy of Title Insurance (For Use Only in Texas) Effective 2/01/2010
i
The coverage of this policy shall continue in force as of Date of Policy in favor of an Insured, but only so long as the Insured retains an estate or interest
in the Land, or holds an obligation secured by a purchase money Mortgage given by a purchaser from the Insured, or only so long as the Insured shall
have liability by reason of warranties in any transfer or conveyance of the Title. This policy shall not continue in force in favor of any purchaser from the
insured of either
(i) an estate or interest in the Land, or (ii) an obligation secured by a purchase money Mortgage given to the Insured.
3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT.
The Insured shall notify the Company promptly in writing (i) in case of any litigation as set forth in Section 5(a) below, or (ii) in case Knowledge shall
come to an Insured hereunder of any claim of title or interest that is adverse to the Title, as insured, and that might cause loss or damage for which the
Company may be liable by virtue of this policy. If the Company is prejudiced by the failure of the Insured Claimant to provide prompt notice, the
Company's liability to the Insured Claimant under the policy shall be reduced to the extent of the prejudice. When, after the Date of the Policy, the
Insured notifies the Company as required herein of a
lien, encumbrance, adverse claim or other defect in Title insured by this policy that is not excluded or excepted from the coverage of this policy, the
Company shall promptly investigate the charge to determine whether the lien, encumbrance, adverse claim or defect or other matter
is valid and not barred by law or statute. The Company shall notify the Insured in writing, within a reasonable time, of its determination as to the validity
or invalidity of the Insured's claim or charge under the policy. If the Company concludes that the lien, encumbrance, adverse claim or defect is not
covered by this policy, or was otherwise addressed in the closing of the transaction in connection with which this policy was issued, the Company shall
specifically advise the
Insured of the reasons for its determination. If the Company concludes that the lien, encumbrance, adverse claim or defect is valid, the Company shall
take one of the following
actions: (i) institute the necessary proceeding's to clear the lien, encumbrance, adverse claim or defect from the Title as insured; (ii) indemnify the
Insured as provided in this policy; (iii) upon payment of appropriate premium and charges therefor, issue to the Insured Claimant or to a subsequent
owner, mortgagee or holder of the estate or interest in the Land insured by this policy, a policy of title insurance without exception for the lien,
encumbrance, adverse claim or
defect, said policy to be in an amount equal to the current value of the Land or, if a loan policy, the amount of the loan; (iv) indemnify another title
insurance company in connection with its issuance of a policy(ies) of title insurance without exception for the lien, encumbrance, adverse claim or
defect; (v) secure a release or other document discharging the lien, encumbrance, adverse claim or defect; or (vi) undertake a combination of (i)
through (v) herein.
4. PROOF OF LOSS.
In the event the Company is unable to determine the amount of loss or damage, the Company may, at its option, require as a condition of payment that
the Insured Claimant furnish a signed proof of loss. The proof of loss must describe the defect, lien, encumbrance or other matter insured against by
this policy that constitutes the basis of loss or damage and shall state, to the extent possible, the basis of calculating the amount of the loss or damage.
5. DEFENSE AND PROSECUTION OF ACTIONS.
(a) Upon written request by the Insured, and subject to the options contained in Sections 3 and 7 of these Conditions, the Company, at its own cost and
without unreasonable delay, shall provide for the defense of an Insured in litigation in which any third party asserts a claim covered by this policy
adverse to the Insured. This obligation is limited to only those stated causes of action alleging matters insured against by this policy. The Company
shall have the
right to select counsel of its choice (subject to the right of the Insured to object for reasonable cause) to represent the Insured as to those stated causes
of action. It shall not be liable for and will not pay the fees. of any other counsel. The Company will not pay any fees, costs or expenses incurred by the
Insured in the defense of those causes of action that allege matters not insured against by this policy.
(b) The Company shall have the right, in addition to the options contained in Sections 3 and 7, at its own cost, to institute and prosecute any action or
proceeding or to do any other act that in its opinion may be necessary or desirable to establish the Title, as insured, or to prevent or reduce loss or
damage to the Insured. The Company may take any appropriate action under the terms of this policy, whether or not it shall be liable to the Insured.
The exercise of these rights shall not be an admission of liability or waiver of any provision of this policy. If the Company exercises its rights under this
subsection, it must do so diligently.
(c) Whenever the Company brings an action or asserts a defense as required or permitted by this policy, the Company may pursue the litigation to a
final determination by a court of competent jurisdiction and it expressly reserves the right, in its sole discretion, to appeal from any adverse judgment or
order.
6. DUTY OF INSURED CLAIMANT TO COOPERATE.
(a) In all cases where this policy permits or requires the Company to prosecute or provide for the defense of any action or proceeding and any appeals,
the Insured shall secure to the Company the right to so prosecute or provide defense in the action or proceeding, including the
right to use, at its option, the name of the Insured for this purpose. Whenever requested by the Company, the Insured, at the Company's expense, shall
give the Company all reasonable aid (i) in securing evidence, obtaining witnesses, prosecuting or defending the action or proceeding, or
effecting settlement, and (ii) in any other lawful act that in the opinion of the Company may be necessary or desirable to establish the Title or any other
matter as insured. If the Company is prejudiced by the failure of the Insured to furnish the required cooperation, the Company's obligations to the
Insured under the policy shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation, with regard to the matter or
matters requiring such
cooperation.
(b) The Company may reasonably require the Insured Claimant to submit to examination under oath by any authorized representative of the Company
and to produce for examination, inspection and copying, at such reasonable times and places as may be designated by the
authorized representative of the Company, all records, in whatever medium maintained, including books, ledgers, checks, memoranda,
correspondence, reports, e-mails, disks, tapes, and videos whether bearing a date before or after Date of Policy, that reasonably pertain to the loss or
damage. Further, if requested by any authorized representative of the Company, the Insured Claimant shall grant its permission, in writing, for any
authorized representative of the Company to examine, inspect and copy all of these records in the custody or control of a third
party that reasonably pertain to the loss or damage. All information designated as confidential by the Insured Claimant provided to the Company
pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, it is necessary in the
administration of the claim. Failure of the Insured Claimant to submit for examination under oath, produce any reasonably requested information or
grant permission to secure reasonably necessary information from third parties as required in this subsection, unless prohibited by law
or governmental regulation, shall terminate any liability of the Company under this policy as to that claim.
(c) If the Insured demands that the Company accept a settlement offer that is not greater than the Amount of Insurance or if the Insured expressly
agrees that a settlement offer should be accepted, the Company has a right to be reimbursed if it has timely asserted its reservation of rights and
notified the Insured that it intends to seek reimbursement if it pays to settle or defend a claim that is not covered by the policy.
7. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION OF LIABILITY.
Form T-1: Owner's Policy of Title Insurance (For Use Only in Texas) Effective 2/01/2010
In case of a claim under this policy, the Company shall have the following additional options:
(a) To Pay or Tender Payment of the Amount of Insurance.
To pay or tender payment of the Amount of Insurance under this policy together with any costs, attorneys' fees and expenses incurred by the Insured
Claimant that were authorized by the Company up to the time of payment or tender of payment and that the Company is obligated to
pay. Upon the exercise by the Company of this option, all liability and obligations of the Company to the Insured under this policy, other than to make
the payment required in this subsection, shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation.
(b) To Pay or Otherwise Settle With Parties Other than the Insured or With the Insured Claimant.
(i) to pay or otherwise settle with other parties for or in the name of an Insured Claimant any claim insured against under this policy. In addition, the
Company will pay any costs, attorneys' fees and expenses incurred by the Insured Claimant that were authorized by the Company up to
the time of payment and that the Company is obligated to pay; or (ii) to pay or otherwise settle with the Insured Claimant the loss or damage provided
for under this policy, together with any costs, attorneys' fees and expenses incurred by the Insured Claimant that were authorized by the Company up to
the time of payment and that the Company is obligated to pay. Upon the exercise by the Company of either of the options provided for in subsections
(b)(i) or (ii), the Company's obligations to the Insured under this policy for the claimed loss or damage, other than the payments required to be made,
shall terminate, including any liability or obligation to defend, prosecute or continue any litigation.
I
8. DETERMINATION AND EXTENT OF LIABILITY.
This policy is a contract of indemnity against actual monetary loss or damage sustained or incurred by the Insured Claimant who has suffered loss or
damage by reason of matters insured against by this policy.
(a) The extent of liability of the Company for loss or damage under this policy shall not exceed the lesser of:
(!)the Amount of Insurance; or
(il) the difference between the value of the Title as insured and the value of the Title subject to the risk insured against by this policy.
(b) If the Company pursues its rights under Section 3 or 5 and is unsuccessful in establishing the Title, as insured,
(i) the Amount of Insurance shall be increased by 10%, and
(ii) the Insured Claimant shall have the right to have the loss or damage determined either as of the date the claim was made by the Insured Claimant
or as of the date it is settled and paid.
(c) In addition to the extent of liability under (a) and (b), the Company will also pay those costs, attorneys' fees and expenses incurred in accordance
with Sections 5 and 7 of these Conditions.
9. LIMITATION OF LIABILITY.
(a) If the Company establishes the Title, or removes the alleged defect, lien or encumbrance, or cures the lack of a right of access to or from the Land,
all as insured, or takes action in accordance with Section 3 or 7, in a reasonably diligent manner by any method, including litigation and the completion
of any appeals, it shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused to the
Insured.
(b) In the event of any litigation, including litigation by the Company or with the Company's consent, the Company shall have no liability for loss or
damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals, adverse to the Title, as insured.
(c) The Company shall not be liable for loss or damage to the Insured for liability voluntarily assumed by the Insured in settling any claim or suit without
the prior written consent of the Company.
10. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF LIABILITY.
All payments under this policy, except payments made for costs, attorneys' fees and expenses, shall reduce the Amount of Insurance by the amount of
the payment.
11. LIABILITY NONCUMULATIVE.
The Amount of Insurance shall be reduced by any amount the Company pays under any policy insuring a Mortgage to which exception is taken in
Schedule B or to which the Insured has agreed, assumed, or taken subject or which is executed by an Insured after Date of Policy and which is a
charge or lien on the Title, and the amount so paid shall be deemed a payment to the Insured under this policy.
12. PAYMENT OF LOSS.
When liability and the extent of loss or damage have been definitely fixed in accordance with these Conditions, the payment shall be made within 30
days.
13. RIGHTS OF RECOVERY UPON PAYMENT OR SETTLEMENT.
(a) Whenever the Company shall have settled and paid a claim under this policy, it shall be subrogated and entitled to the rights of the Insured Claimant
in the Title and all other rights and remedies in respect to the claim that the Insured Claimant has against any person or property, to the extent of the
amount of any loss, costs, attorneys' fees and expenses paid by the Company. If requested by the Company, the Insured Claimant shall execute
documents to evidence the transfer to the Company of these rights and remedies. The Insured Claimant shall permit the Company to sue, compromise
or settle in the name of the Insured Claimant and to use the name of the Insured Claimant in any transaction or litigation involving these rights and
remedies. If a payment on account of a claim does not fully cover the loss of the Insured Claimant, the Company shall defer the exercise of its right to
recover until after the Insured Claimant shall have recovered its loss.
(b) The Company's right of subrogation includes the rights of the Insured to indemnities, guaranties, other policies of insurance or bonds,
notwithstanding any terms or conditions
contained in those instruments that address subrogation rights.
14. ARBITRATION.
Either the Company or the Insured may demand that the claim or controversy shall be submitted to arbitration pursuant to the Title Insurance Arbitration
Rules of the American Land Title Association ("Rules"). Except as provided in the Rules, there shall be no joinder or consolidation with claims or
controversies of other persons. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Insured
arising out of or relating to this policy, any service in connection with its issuance or the breach of a policy provision, or to any other controversy or claim
arising out of the transaction giving rise to this policy. 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 the Insured, unless the Insured is an individual person (as distinguished from an Entity). All arbitrable matters when
the Amount of Insurance is in excess of $2,000,000 shall be arbitrated only when agreed to by both the Company and the Insured.
Arbitration pursuant to this policy and under the Rules shall be binding upon the parties. Judgment upon the award rendered by the Arbitrator(s) may be
entered in any court of
competent jurisdiction.
15. LIABILITY LIMITED TO THIS POLICY; POLICY ENTIRE CONTRACT.
I
Form T-1: Owner's Policy of Title Insurance (For Use Only in Texas) Effective 2/01/2010
(a) This policy together with all endorsements, if any, attached to it by the Company is the entire policy and contract between the Insured and the
Company. In interpreting any provision of this policy, this policy shall be construed as a whole.
(b) Any claim of loss or damage that arises out of the status of the Title or by any action asserting such claim, shall be restricted to this policy.
(c) Any amendment of or endorsement to this policy must be in writing and authenticated by an authorized person, or expressly incorporated by
Schedule A of this policy.
(d) Each endorsement to this policy issued at any time is made a part of this policy and is subject to all of its terms and provisions. Except as the
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 or (iv) increase the Amount of Insurance. Each Commitment, endorsement or other form, or provision in the Schedules to this policy that refers
to a term defined in Section 1 of the Conditions shall be deemed to refer to the term regardless of whether the term is capitalized in the Commitment,
endorsement or other form, or Schedule.
Each Commitment, endorsement or other form, or provision in the Schedules that refers to the Conditions and Stipulations shall be deemed to refer to
the Conditions of this policy.
16. SEVERABILITY.
In the event any provision of this policy, in whole or in part, is held invalid or unenforceable under applicable law, the policy shall be deemed not to
include that provision or such part held to be invalid and all other provisions shall remain in full force and effect.
17. CHOICE OF LAW; FORUM.
(a) Choice of Law: The Insured acknowledges the Company has underwritten the risks covered by this policy and determined the premium charged
therefor in reliance upon the law affecting interests in real property and applicable to the interpretation, rights, remedies or enforcement of
policies of title insurance of the jurisdiction where the Land is located. Therefore, the court or an arbitrator shall apply the law of the jurisdiction where
the Land is located to determine the validity of claims against the Title that are adverse to the Insured, and in interpreting and enforcing the terms of this
policy. In neither case shall the court or arbitrator
apply its conflicts of laws principles to determine the applicable law,
(b) Choice of Forum: Any litigation or other proceeding brought by the Insured against the Company must be filed only in a state or federal court within
the United States of America or its territories having appropriate jurisdiction.
18. NOTICES, WHERE SENT.
Any notice of claim and any other notice or statement in writing required to be given the Company under this Policy must be given to the Company at
8111 LBJ Freeway, Suite 1200, Dallas, Texas 75251.
i
I
I
ICI
~I
i
I
Form T-1: Owner's Policy of Title Insurance - (For Use Only in Texas). Effective 2/01/2010
FT (6/2001)
File No.: 102567
TITLE RESOURCES, LLC
Privacy Policy Notice
PURPOSE OF THIS NOTICE
Title V of the Gramm-Leach-Bliley Act (GLBA) generally prohibits any financial institution,
directly or through its affiliates, from sharing nonpublic personal information about you with a
nonaffiliated third party unless the institution provides you with a notice of its privacy policies
and practices, such as the type of information that it collects about you and the categories of
persons or entities to whom it may be disclosed. In compliance with the GLBA, we are
providing you with this document, which notifies you of the privacy policies and practices of
TITLE RESOURCES, LLC. ("TITLE RESOURCES").
I
We may collect nonpublic personal information about you from the following sources:
• Information we receive from you, such as on applications or other forms.
• Information about your transactions we secure from our files, or from our affiliates or others.
• Information we receive from a consumer-reporting agency.
• Information that we receive from others involved in your transaction, such as the real estate
agent or lender.
Unless it is specifically stated otherwise in an amended Privacy Policy Notice, no additional
nonpublic personal information will be collected about you.
We may disclose any of the above information that we collect about our customers or former
customers to our affiliates or to nonaffiliated third parties as permitted by law.
We also may disclose this information about our customers or former customers to the following
types of nonaffiliated companies that perform marketing services on our behalf or with whom we
have joint marketing agreements:
• Financial service providers such as companies engaged in banking, consumer finance,
securities and insurance.
• Non-financial companies such as envelope stuffers and other fulfillment service providers.
WE DO NOT DISCLOSE ANY NONPUBLIC PERSONAL INFORMATION ABOUT
YOU WITH ANYONE FOR ANY PURPOSE THAT IS NOT SPECIFICALLY
PERMITTED BY LAW.
We restrict access to nonpublic personal information about you to those employees who need to
know that information in order to provide products or services to you. We maintain physical,
electronic, and procedural safeguards that comply with federal regulations to guard your
nonpublic personal information.
_ _ I
FT (6/2001)
File No. 102567
TITLE RESOURCES GUARANTY COMPANY
Privacy Policy Notice
PURPOSE OF THIS NOTICE
Title V of the Gramm-Leach-Bliley Act (GLBA) generally prohibits any financial institution,
directly or through its affiliates, from sharing nonpublic personal information about you with a
nonaffiliated third party unless the institution provides you with a notice of its privacy policies
and practices, such as the type of information that it collects about you and the categories of
persons or entities to whom it may be disclosed. In compliance with the GLBA, we are
providing you with this document, which notifies you of the privacy policies and practices of.
We may collect nonpublic personal information about you from the following sources:
• Information we receive from you, such as on applications or other forms.
• Information about your transactions we secure from our files, or from our affiliates or others.
• Information we receive from a consumer reporting agency.
• Information that we receive from others involved in your transaction, such as the real estate
agent or lender.
Unless it is specifically stated otherwise in an amended Privacy Policy Notice, no additional
nonpublic personal information will be collected about you.
We may disclose any of the above information that we collect about our customers or former
customers to our affiliates or to nonaffiliated third parties as permitted by law.
We also may disclose this information about our customers or former customers to the following
types of nonaffiliated companies that perform marketing services on our behalf or with whom we
have joint marketing agreements:
• Financial service providers such as companies engaged in banking, consumer finance,
securities and insurance.
• Non-financial companies such as envelope stuffers and other fulfillment service providers.
WE DO NOT DISCLOSE ANY NONPUBLIC PERSONAL INFORMATION ABOUT
YOU WITH ANYONE FOR ANY PURPOSE THAT IS NOT SPECIFICALLY
PERMITTED BY LAW.
We restrict access to nonpublic personal information about you to those employees who need to
know that information in order to provide products or services to you. We maintain physical,
electronic, and procedural safeguards that comply with federal regulations to guard your
nonpublic personal information.
i
G.F. Number 102567
IMPORTANT NOTICE
To obtain information or make a complaint:
1. You may contact your title insurance agent at (940) 381-1006.
2. You may call TITLE RESOURCES GUARANTY COMPANY's toll-free telephone number for
information or to make a complaint: (insert underwriter information).
3. You may also write to TITLE RESOURCES GUARANTY COMPANY at (insert underwriter
information).
4. You may contact the Texas Department of Insurance to obtain information on companies,
coverages, rights or complaints at 1-800-252-3439.
5. You may write the Texas Department of Insurance,
P.O. Box 149104
Austin, TX 78714-9104
Fax: (512) 475-1771
Web: http://www.tdi.state.tx.us
E-mail: ConsumerProtection@.tdi.state.tx.us j
PREMIUM OR CLAIM DISPUTES:
Should you have a dispute concerning your premium or about a claim you should contact the title insurance
agent first. If the dispute is not resolved, you may contact the Texas Department of Insurance.
ATTACH THIS NOTICE TO YOUR POLICY:
This notice is for information only and does not become a part or condition of the attached document.
AVISO IMPORTANTE
Para obtener informacion o para someter una queja:
1. Puede comunicarse con su agente de seguro de titulo al (940) 381-1006.
2. Usted puede Ilamar al numero de telefono gratis de TITLE RESOURCES GUARANTY COMPANY's
para informacion o para someter una queja al (insert underwriter information).
3. Usted tambien puede escribir a TITLE RESOURCES GUARANTY COMPANY: (insert underwriter
information).
4. Puede comunicarse con el Departamento de Seguros de Texas para obtener informacion acerca de
companias, coberturas, derechos o quejas al: 1-800-252-3439
5. Puede escribir al Departamento de Seguros de Texas:
P.O. Box 149104
Austin, TX 78714-9104
Fax: (512) 475-1771
Web: http://www.tdi.state.tx.us
E-mail: ConsumerProtection@tdi.state.tx.us
DISPUTAS SOBRE PRIMAS O RECLAMOS:
Si tiene una disputa concerniente a su prima o a un reclamo, debe comunicarse con el agente de seguro de
titulo primero. Si no se resuelve la disputa, puede entonces comunicarse con el departamento (TDI).
UNA ESTE AVISO A SU POLIZA: Este aviso es solo para proposito de informacion y no se convierte en
parte o condicion del documento adjunto.
I
I
(1)