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R-01-05-24-12D2 - 5/24/2001RESOLUTION NO. R- 01- 05- 24 -12D2 WHEREAS, the City desires to purchase a tract of land containing approximately 0.098 acres for right -of -way for the CR 113 Project, and WHEREAS, Lucy Guerrero, the owner of the property, has agreed to sell said property to the City, Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Mayor is hereby authorized and directed to execute on behalf of the City a Real Estate Contract with Lucy Guerrero for the purchase of the above described property, a copy of said Real Estate Contract being attached hereto and incorporated herein for all purposes. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended, and the Act. ATTEST: RESOLVED this 24th day of May LAND, City Secretary O. \WPDOCS \RDSOLUTI \R10524D2 .WPD /SC d 171144 . ROBERT A. STLUKA, R., Mayor City of Round Rock, Texas STATE OF TEXAS § § COUNTY OF WILLIAMSON § REAL ESTATE CONTRACT THIS CONTRACT OF SALE ( "Contract ") is made by and between Lucy Guerrero of 1 Fairview Drive, Round Rock, Texas 78664, (referred to in this Contract as "Seller ") and the CITY OF ROUND ROCK, a Texas Home Rule City of 221 E. Main St. Round Rock, Williamson County, Texas (referred to in this Contract as "Purchaser "), upon the terms and conditions set forth in this Contract. ARTICLE I PURCHASE AND SALE 1.01 By this Contract, Seller sells and agrees to convey, and Purchaser purchases and agrees to pay for, that certain parcel of land containing approximately 0.098 acres of land situated in Williamson County, Texas, being more particularly described in Exhibit A, attached hereto and incorporated herein; together with all and singular the rights and appurtenances pertaining to the property, including any right, title and interest of Seller in and to adjacent streets, alleys or rights -of -way (all of such real property, rights, and appurtenances being referred to in this Contract as the "Property "), together with any improvements, fixtures, and personal property situated on and attached to the Property, for the consideration and upon and subject to the terms, provisions, and conditions set forth below. ARTICLE II PURCHASE PRICE Amount of Purchase Price 2.01. The purchase price for the Property shall be the sum of Six Thousand Four Hundred Ten and no /100 Dollars ($6,410.00.) Payment of Purchase Price 2.02. The Purchase Price shall be paid in cash at the closing. 1 C \Text \RoundRock\ Condemnation\ CR113\ ConveyanceDocumante\ LucyCBarnestlfoneyContractROW3 .vpd /s1s ARTICLE III PURCHASER'S AND SELLER'S OBLIGATIONS Conditions to Purchaser's Obligations 3.01. The obligations of Purchaser hereunder to consummate the transaction contemplated hereby are subject to the consent of Seller's lender to release the Property from its lien and financing statement, and to the satisfaction of each of the following conditions (any of which may be waived in whole or in part by Purchaser at or prior to the closing). Preliminary Title Commitment 3.02. Within twenty (20) days after the date hereof, Purchaser, at Purchaser's sole cost and expense, shall have caused Austin Title Company (the "Title Company ") of 101 E. Old Settlers Blvd., Suite 100, Round Rock, Texas 78664, to issue a preliminary title report (the "Title Commitment "). Purchaser shall give Seller written notice on or before the expiration of ten (10) days after Purchaser receives the Title Commitment that the condition of title as set forth in the title binder is or is not satisfactory, and in the event Purchaser states that the condition is not satisfactory, Seller may, but shall not be obligated, to eliminate or modify all unacceptable matters to the reasonable satisfaction of Purchaser. In the event Seller is unable, or unwilling to do so within ten (10) days after receipt of written notice, this Contract shall thereupon be null and void for all purposes and the Escrow Deposit shall be forthwith returned by the Title Company to Purchaser. Purchaser's failure to give Seller this written notice shall be deemed to be Purchaser's acceptance of the Title Commitment. ARTICLE IV CLOSING The closing shall be held at the Title Company on or before June 15, 2001, or at such time, date, and place as Seller and Purchaser may agree upon (which date is herein referred to as the "closing date "). Seller's Obligations 4.01. At the closing Seller shall: (a) Deliver to Purchaser a duly executed and acknowledged General Warranty Deed conveying good and indefeasible title in fee simple to all of the Property, free and clear of any and all liens, encumbrances, conditions, easements, assessments, and restrictions, except for the following: 2 C•\ Tex[ \RCUndROck \Conde, motion\ CR113\ COnveyanceDOCnmente\ LUCyOBarnestMOneyCOntractRON2 .,.pd /ele (i) General real estate taxes for the year of closing and subsequent years not yet due and payable; (ii) Any exceptions approved by Purchaser pursuant to Article III hereof; and (iii) Any exceptions approved by Purchaser in writing. (b) Deliver to Purchaser a Texas Owner's Title Policy at Purchaser's sole expense, issued by the Title Company, in Purchaser's favor in the full amount of the purchase price, insuring Purchaser's fee simple title to the Property subject only to those title exceptions listed above, such other exceptions as may be approved in writing by Purchaser, and the standard printed exceptions contained in the usual form of Texas Owner's Title Policy. (c) The aforesaid General Warranty Deed will include provisions that it is being delivered in lieu of condemnation. (d) As provided in paragraph 9.01 below, Seller is delivering to Purchaser possession of the Property as of the date of this Contract. Purchaser's Obligations 4.02 At the Closing, Purchaser shall pay the cash portion of the purchase price. Prorations 4.03 General real estate taxes for the then current year relating to the Property, shall be prorated as of the closing date and shall be adjusted in cash at the closing. If the closing shall occur before the tax rate is fixed for the then current year, the apportionment of taxes shall be upon the basis of the tax rate for the next preceding year applied to the latest assessed valuation. All special taxes or assessments to the closing date relating to the Property and then due and payable, shall be paid by Seller. Purchaser will bear the burden of paying any rollback taxes, if any, resulting from a change of use of the Property. Closing Costs 4.04 All costs and expenses of closing in consummating the sale and purchase of the Property shall be borne and paid as follows: 3 c \ Text\ Roundcock\ Condermtjon\ CR223\ ConveyanceDocunnt a\ Luc ycpatne ,tMoneyCOntractROM2.wpd /e1e Owner's Title Policy paid by Purchaser; Filing fees for deed paid by Purchaser; Filing fees for release(s) paid by Seller; Title curative matters, if any, paid by Seller; Attorney's fees paid by each respectively. ARTICLE V REAL ESTATE COMMISSIONS 5.01 Seller will be solely responsible for all real estate brokerage commissions due to any brokers representing the Seller. ARTICLE VI ESCROW DEPOSIT 6.01 For the purpose of securing the performance of Purchaser under the terms and provisions of this Contract, Purchaser has delivered to the Title Company, the sum of Five Hundred Dollars ($500.00), the Escrow Deposit, which shall be paid by the Title Company to Seller in the event Purchaser breaches this Contract as provided in Article VIII hereof. At the closing, the Escrow Deposit shall be paid over to Seller and applied to the cash portion of the purchase price, provided, however, that in the event the Purchaser shall have given written notice to the Title Company that one or more of the conditions to its obligations set forth in Article III have not been met, or, in the opinion of Purchaser, cannot be satisfied, in the manner and as provided for in Article III, then the Escrow Deposit shall be forthwith returned by the Title Company to Purchaser. ARTICLE VII BREACH BY SELLER 7.01 In the event Seller shall fail to fully and timely perform any of its obligations hereunder or shall fail to consummate the sale of the Property for any reason, except Purchaser's default, or the failure of any condition to Seller's obligations provided herein, Purchaser may, as its sole and exclusive remedy, either: (1) enforce specific performance of this Contract; or (2) request that the Escrow Deposit shall be forthwith returned by the Title Company to Purchaser. ARTICLE VIII BREACH BY PURCHASER 8.01 In the event Purchaser should fail to consummate the purchase of the Property, the conditions to Purchaser's obligations set forth in Article III having been satisfied and Purchaser being in default 4 C: \Tart \ROVnCROCk \CanCe ®at Sort\ CR113\ CanveyanceOacumenty\ LUCyCeamea CManeyCOntrac[AOW2.xpd /vlv and Seller not being in default hereunder, Seller shall have the right to (1) bring suit for damages against Purchaser; or (2) bring suit for specific performance, or (3) receive the Escrow Deposit from the Title Company, the sum being agreed on as liquidated damages for the failure of Purchaser to perform the duties, liabilities, and obligations imposed upon it by the terms and provisions of this Contract, and Seller agrees to accept and take this cash payment as its total damages and relief and as Seller's sole remedy hereunder in such event. ARTICLE IX SPECIAL PROVISIONS Possession, Use and Right of Entry Agreement 9.01. For the consideration to be paid by the City which is set forth in Paragraph 2.01 above, Seller, upon executing this contract by affixing her signature hereto, hereby grants, bargains, sells and conveys to the City exclusive and immediate possession, use and right of entry onto the Property for the purpose of constructing a roadway project and appurtenances thereto and the right to remove any improvements. The foregoing grant will extend to the City, its contractors, assigns and /or owners of any existing utilities on the Property and those which may be lawfully permitted on the Property by the City in the future. This grant will allow the construction, relocation, replacement, repair, improvement, operation and maintenance of these utilities on the Property, to begin immediately and prior to the closing date. The purpose of this grant is to allow the City to proceed with its construction project without delay. 9.02 As further consideration for the conveyances made herein, Purchaser agrees to provide a tap and a meter box to the water transmission pipeline that will be set in the property conveyed herein that will, after annexation by the City of Round Rock, allow water service to the Seller's remaining property. Until such annexation, Seller does not have the right or authority to make use of any water from said pipeline. Seller agrees that after annexation, that Seller will pay the capital improvement costs necessary to have the meter installed and have such other work performed that will make the connection contemplated herein operational. ARTICLE X MISCELLANEOUS Assignment of Contract 10.01. (a) This Contract may not be assigned without the express written consent of Seller. Regardless of the foregoing, Purchaser may 5 c: \Texc \ROuUBROck \condemnation \cR333\ coov ayanceDocumenta\ corycear neaenoneycontractROw2.wpd /eie assign this Contract to the Round Rock Transportation Development Corporation. Survival of Covenants (b) Any of the representations, warranties, covenants, and agreements of the parties, as well as any rights and benefits of the parties, pertaining to a period of time following the closing of the transactions contemplated hereby shall survive the closing and shall not be merged therein. Notice (c) Any notice required or permitted to be delivered hereunder shall be deemed received when sent by United States mail, postage prepaid, certified mail, return receipt requested, addressed to Seller or Purchaser, as the case may be, at the address set forth opposite the signature of the party. Texas Law to Apply (d) This Contract shall be construed under and in accordance with the laws of the State of Texas, and all obligations of the parties created hereunder are performable in Williamson County, Texas. Parties Bound (e) This Contract shall be binding upon and inure to the benefit of the parties and their respective heirs, executors, administrators, legal representatives, successors and assigns where permitted by this Contract. Legal Construction (f) In case any one or more of the provisions contained in this Contract shall for any reason be held to be invalid, illegal, or unenforceable in any respect, this invalidity, illegality, or unenforceability shall not affect any other provision hereof, and this Contract shall be construed as if the invalid, illegal, or unenforceable provision had never been contained herein. Prior Agreements Superseded (g) This Contract constitutes the sole and only agreement of the parties and supersedes any prior understandings or written or oral agreements between the parties respecting the within subject matter. 6 c:\ Text\ ao��aa« k\ co�a�ncsao\ cxiia\ cao. aynoceno�, ��co\ �++ �sem�ocmm��ycanc :accxorr:.,.pa /eie Time of Essence (h) Time is of the essence in this Contract. Gender (i) Words of any gender used in this Contract shall be held and construed to include any other gender, and words in the singular number shall be held to include the plural, and vice versa, unless the context requires otherwise. Memorandum of Contract (j) Upon request of either party, both parties shall promptly execute a memorandum of this Contract suitable for filing of record. Effective Date (k) This Contract, with the exception of Article IX shall be effective as of the date it is approved by the City Council, which date is indicated beneath the Mayor's signature below. Article IX shall be effective immediately upon the execution of this Contract by Seller. I represent that I have read and understood each of the terms and conditions of the foregoing document and by affixing my signature hereto agree to be bound thereby. SELLER; Lucy rero Date: PURCHASER: CITY By: Date: 5-a4-0I 7 C. \Text \RoundRock\ Condemnation\ CR111\ ConveyanceDocument a \LucyGEarnestMOneyConeraaCROW2 .wpd /sls i /Oit/ZPi7 ROCK,/ TEXAS , 2001 ert N A S t d , Mayor 221 E. Main Street Round Rock, Texas 78664 FIELD NOTE DESCRIPTION FOR A 0 098 ACRE TRACT. BEING A TRACT 011. PARCEL. OF LAND SITUATED IN WILLIAMSON COUTY, TEXAS, AND BEING OUT OF AND PART OF THE WILLIS DONAHO SURVEY, ABSTRACT No. 173, AND BEING A PART OF THAT CERTAIN 5.436 ACRE TRACT, CONVEYED TO LUCY GUERRERO IN DOCUMENT NO 9760377, OF THE OFFICIAL RECORDS OF WILLIAMSON COUNTY, TEXAS, AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING at an iron rod found at the southwest corner of said 5.436 acre tract of land, the same being the southeast corner of a 38 0 acre tract of land conveyed to Robert Dillard and recorded in Volume 1390, Page 799, of the Official Records of Williamson County, Texas, said point being in the north right -of -way line of County Road No.113, known locally as Kiphen Road, for the southwest corner and the POINT OF BEGINNING of the herein described tract; THENCE, North 01 ° 17'30" East, a distance of 19.53 feet, with the west line of said 5.436 acre tract and the east line of said 38 0 acre tract, to a calculated point for the northwest comer of this tract, THENCE, departing the west line of said 5.436 acre tract, the east line of said 38 0 acre tract, South 88 ° 37'12" East, a distance of 224.97 feet, crossing said 5.436 acre tract, to a calculated point in the east line of said 5 436 acre tract and the west line of a 1.138 acre tract dedicated for use as a public road in Volume 1473, Page 113, of the Official Records of Williamson County, Texas, for the northeast corner of this tract; THENCE, South 01 °29'24'- West, a distance of 18.53 feet, with the east line of said 5.436 acre tract and the west line of said 1 138 acre tract, to an iron rod found at the southeast corner of said 5.436 acre tract and the southwest comer of said 1.138 acre tract, said point being in the north right -of -way line of County Road No. 113, for the southeast corner of this tract; THENCE, North 88 °52'28" West, a distance of 224.91 feet, with the north right -of -way line of said County Road No. 113, the south line of said 5.436 acre tract, to the POINT OF BEGINNING Containing 0.098 acres of land, more or less " Qt -dd.er S / 9 (7,.a- 2 /2I /b Randall S. Jones (/ Date Registered Professional nd Surveyor No. 4391 State of Texas Date: September 28, 2000 RI Surveying Inc. 1212 East Braker Lane Austin, Texas 78753 S:V.and Projects R216581docs \Guerrero doe Page 1 oft Revised an 10 -06-00 Rcviscd on 01 -17 -01 Revised on 02 -15 -01 DATE: May 18, 2001 SUBJECT: City Council Meeting — May 24, 2001 ITEM: * 12.D.2 Consider a resolution authorizing the Mayor to execute a Real Estate Contract with Lucy Guerrero for right -of -way for the CR 113 project. The purchase price is $6,410 per 0.098 acres. Resource: Jim Nuse, Public Works Director Tom Word, Traffic Engineer History: This contract with Ms. Guerrero is for right of way acquisition for the CR 113 project. On April 12, 2001, the Round Rock City Council passed an ordinance determining the need and necessity for this acquisition. Funding: Cost: $6,410.00 Source of funds: Williamson County, 4B and Developers Outside Resources: Randall Jones Engineering, Sheets & Crossfield, P.C. Impact: N/A Benefit: Improved mobility on CR113 and new waterline. Public Comment: Several meetings with affected property owners. Sponsor: N/A THE STATE OF TEXAS § § COUNTY OF WILLIAMSON § cJ - 6 Q.rj 0-15 rY1 C of Qoc,t_• L U - O - DOCO- 000213 se1 SPECIAL WARRANTY DEED County Road 113 Right -of -Way WHEREAS, the City of Round Rock, Texas is authorized to purchase land and such other property rights deemed necessary or convenient for the construction, CO expansion, enlargement, extension, improvement, or operation of a portion of the proposed County Road 113 ( "Project "); and, 0 r1 WHEREAS, the purchase of the hereinafter - described premises has been deemed 0 necessary or convenient for the construction, expansion, enlargement, 0 extension, improvement, or operation of the Project; NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS: That, LUCY GUERRERO, a single woman, hereinafter referred to as Grantors, whether one or more, for and in consideration of the sum of Ten Dollars ($ 10.00) and other good and valuable consideration to Grantors in hand paid by the City of Round Rock, Texas, receipt and sufficiency of which is hereby acknowledged, and for which no lien is retained, either expressed or implied, have this day Sold and by these presents do Grant, Bargain, Sell and Convey unto the City of Round Rock, Texas all those certain tracts or parcels of land lying and being situated in the County of Williamson, State of Texas, being more particularly described as follows: 0.098 acres, more or less, out of the WILLIS DONAHO SURVEY, ABSTRACT NO. 173, Williamson County, Texas, and being more particularly described by metes and bounds, in Exhibit "A" attached hereto and made a part hereof. Grantors reserve all of the oil, gas and sulphur in and under the land herein conveyed but waive all rights of ingress and egress to the surface thereof for the purpose of exploring, developing, mining or drilling for same; however, nothing in this reservation shall affect the title and rights of the City to take and use all other minerals and materials thereon, therein and thereunder. RESERVATIONS FROM AND EXCEPTIONS TO CONVEYANCE AND WARRANTY: Easements, rights -of -way, and prescriptive rights, whether of record or not; all presently recorded restrictions, reservations, covenants, conditions, oil, gas or other mineral leases, mineral severances, and other instruments, other than liens and conveyances, that affect the property; rights of adjoining owners in any walls and fences situated on a common boundary; any encroachments or overlapping of improvements; and taxes for the current year, the payment of which Grantee assumes. TO HAVE AND TO HOLD the premises herein described and herein conveyed together with all and singular the rights and appurtenances thereto in any wise belonging unto the City of Round Rock, Texas and its assigns 00005322. W PD 1 forever; and Grantors do hereby bind ourselves, our heirs, executors, administrators, successors and assigns to Warrant and Forever Defend all and singular the said premises herein conveyed unto the City.of Round Rock, Texas and its assigns against every person whomsoever lawfully claiming or to claim the same or any part thereof by, through, or under Grantors, but not otherwise. This deed is being delivered in lieu of condemnation. ��Un I WITNESS WHEREOF, this instrument is executed on this the C�J day of �,likrQ. , 2001. State of Texas County of Williamson This instrument was acknowledged before me on this the ZO , day of L-C.- , 2001 by LUCY GUERRERO. CLAIRE HARTMAN Notary Public, Stale of Texas My Cammuaion Expires M Y O LiCY G ERO Acknowledgment Notary Public, S to of Texas Sheets & Crossfield, P.C. 309 East Main Round Rock, Texas AFTER RECORDING RETURN 0: Austin Title Company 101 E. Settlers Blvd. Suite 100 Round Rock, Texas 78664 00005322.WPD 2 RECORDERS MEMORAISJD Parts of the tat on this page was dearly legible for satisfactory o n t 1 EXHIBIT FIELD NOTE DESCRIPTION FOR A 0.098 ACRE TRACT: BEING A TRACT OR PARCEL OF LAND SITUATED IN WILLIAMSON COUTY, TEXAS, AND BEING OUT OF AND PART OF THE WILLIS DONAHO SURVEY, ABSTRACT No. 173, AND BEING A PART OF THAT CERTAIN 5.436 ACRE TRACT, CONVEYED TO LUCY GUERRERO IN DOCUMENT NO. 9760377, OF THE OFFICIAL RECORDS OF WILLIAMSON COUNTY, TEXAS, AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING at an iron rod found at the southwest corner of said 5.436 acre tract of land, the same being the southeast corner of a 38.0 acre tract of land conveyed to Robert Dillard and recorded in Volume 1390, Page 799, of the Official Records of Williamson County, Texas, said point being in the north right -of -way line of County Road No.113, known locally as Kiphen Road, for the southwest corner and the POINT OF BEGINNING of the herein described tract; THENCE, North 01 °17'30" East, a distance of 19.53 feet, with the west line of said 5.436 acre tract and the east line of said 38.0 acre tract, to a calculated point for the northwest corner of this tract; THENCE, departing the west line of said 5.436 acre tract, the east line of said 38.0 acre tract, South 88°37'12" East, a distance of 224.97 feet, crossing said 5.436 acre tract, to a calculated point in the east line of said 5.436 acre tract and the west line of a 1.138 acre tract dedicated for use as a public road in Volume 1473, Page 113, of the Official Records of Williamson County, Texas, for the northeast corner of this tract; THENCE, South 01 °29'24' -West, a distance of 18.53 feet, with the east line of said 5.436 acre tract and the west line of said 1.138 acre tract, to an iron rod found at the southeast corner of said 5.436 acre tract and the southwest corner of said 1.138 acre tract, said point being in the north right -of -way line of County Road No. 113, for the southeast corner of this tract; THENCE, North 88 °52'28" West, a distance of 224.91 feet, with the north right -of -way line of said County Road No. 113, the south line of said 5.436 acre tract, to the POINT OF BEGINNING. Containing 0.098 acres of land, more or less. P dome S Cm 2/ 2 /t' Randall S. Jones Date Registered Professional nd Surveyor No. 4391 State of Texas Date: September 28, 2000 RJ Surveying Inc. 1212 East Rraker Lane. - ['< . ROBERT:DILLARD (N01'07'35'E) x0390/799 N0117'30 "E t " _ 1 W.C.O.R. 19.53' E.-.., _ - � T � :Ti DEED LINE .l G POINT OF BEGINNING IN FIELD NOTES 0 A 0.098 ACRE 1RACT OF LAND, SITUATED IN VAWAMSON COUNTY, TEXAS, AND BEING OUT OF THE YAWS DONAHO SURVEY. ABSTRACT No.173, AND BEING A PART OF THAT CERTAIN TRACT OF LAND CONVEYED TO LUCY GUERRERO IN DOCUMENT No.9760377, OF THE OFFICIAL RECORDS OF WIWAMSON COUNTY, TEXAS. St\Land Protects R2 \658 \ deg \658rorBV.d,g 02/21101 0844.13 AM CST SKETCH TO ACCOMPANY FIELD NOTES: REMAINDER OF LUCY GUERRERO Doc. No.9760377 W.C.O.R. S883712'E 224.97 N88'52'28'W 224.91' (N88'56'13' W) (224.93') 0 O Co. Rd. 113 "Kiphen Road 0 0 �d or) U 01 0. w 2 0 NO EASEMENT RESEARCH WAS PERFORMED BY RJ SURVEYING INC. RJ SURVEYING INC. LEGEND: W.C.O.R: VAWAMSON COUNTY OFFICIAL RECORDS W.C.D.R: WIWAMSON COUNTY DEED RECORDS W.C.P.R.=WILLIAMSON COUNTY PLAT RECORDS ( ) RECORD PER VOL 2336, PG. 22 W.C.D.R. • = IRON ROD FOUND Q = CALCULATED POINT _L. DEED LINE (801'07'36'W) S01'29'24'W 18.53' DATE SEPTEMBER 28, 2000 REVISED: JANUARY 15, 2001 REVISED: FEBRUARY 15, 2001 ENGINEERING PLANNING SURVEYING 1212 BRAKER LANE AUSTIN, TEXAS 78753 (512) 836 -4793 SCANNED # q FILED AND RECORDED OFFICIAL PUBLIC RECORDS 07- 09- 200f01:30 PM 2001048967 ANDERSON $17.00 " NANCY E. RISTER ,COUNTY CLERK WILLIAMSON COUNTY, TEXAS �` ISSUED BY LawyersTtleInsurance Crporation SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, LAWYERS TITLE INSURANCE CORPORATION, a Virginia corporation, herein called the Company, Insures, as of Date of Policy shown In Schedule A, against loss or damage, not exceeding the Amount of Insurance stated in Schedule A, sustained or incurred by the insured by reason of: 1. Title to the estate or Interest described in Schedule A being vested other than as slated therein; 2. Any defect in or lien or encumbrance on the title; 3. Any statutory or constitutional mechanic's, contractor's, or materialmen's lien for labor or material having its inception on or before Date of Policy; 4. Lack of a right of access to and from the land; 5. Lack of good and indefeasible title. The Company also will pay the costs, attomeys' fees and expenses incurred in defense of the title, as insured, but only to the extent provided in the Conditions and Stipulations. IN WITNESS WHEREOF, LAWYERS TITLE INSURANCE CORPORATION has caused its corporate name and seal to be hereunto affixed by its duly authorized officers, the Policy to become valid when countersigned by an authorized officer or agent of the Company. Attest. Texas Owner's Policy T -1 (Rev. 1 -1 -93) Cover Page Form 1178 -22 r � \N pp i e WfSLtL'° By: Secretary 1 r`)\ 1925 j' f / ORIGINAL OWNER'S POLICY OF TITLE INSURANCE LAWYERS TITLE INSURANCE CORPORATION r . President 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 which arise by reason of: 1. (a) Any law, ordinance or govemmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restncting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land; (111) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or govemmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any govemmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2 Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking that has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Detects, 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; (e) resulting in loss or damage that would not have been sustained if the insured claimant had paid value for the estate or interest insured by this policy. 4. 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 unmarketability of the title. 5. Any claim which arises out of the transaction vesting in the person named in paragraph 3 of Schedule A the estate or interest insured by this policy, by reason of the operation of federal bankruptcy, state insolvency, or other state or federal creditors' rights laws that is based on either (r) the transaction creating the estate or interest Insured by this Policy being deemed a fraudulent conveyance or fraudulent transfer or a voidable distribution or voidable dividend, (ii) the subordination or recharactenzation of the estate or interest insured by dos Policy as a result of the application of the doctrine of equitable subordination or the transaction creating the estate or interest Insured by this Policy being deemed a preferential transfer except where the preferential transfer results from the failure of the Company or its issuing agent to timely file for record the instrument of transfer to the insured after delivery or the failure of such recordation to impart notice to a purchaser for value or a judgment or lien creditor. 1. DEFINITION OF TERMS. The following terms when used in this policy mean (a) 'Insured' the insured named in Schedule A, and, subject to any nghts or defenses the company would have had against the named insured, those who succeed to the Interest of the named insured by operation of law as disbngwshed from purchase Including, but not limited to, heirs, distributees, devisees, survivors, personal representatives, next of kin, or corporate, partnership or fiduciary successors, and specifically, without limitation, the following' (I) the successors in interest to a corporation resulting from merger or consolidation or the distribution of the assets of the corporation upon partial or complete liquidation; (n) the partnership successors in interest to a general or limited partnership which dissolves but does not terminate, (n) the successors in Interest to a general or limited partnership resulting from the distribution of the assets of the general or limited partnership upon partial or complete liquidation, (w) the successors In interest to a joint venture resulting from the distnbution of the assets of the loin) venture upon partial or complete liquidation; (v) the successor or substitute trustee(s) or a trustee named in a wntten trust instrument; or (vi) the successors in Interest to a trustee or trust resulting from the distnbution of all or part of the assets of the trust to the beneficianes thereof (b) 'Insured claimant' , an Insured claiming loss or damage. (c) 'knowledge' or 'known'. actual knowledge, not constructive knowledge or notice that may be Imputed to an insured by reason of the public records as defined in this policy or any Other records which impart constructive notice of matters affecting the land. (1) land': the land described or referred to in Schedule A, and Improvements affixed thereto that by law constitute real property The term 'land' does not Include any property beyond the lines of the area descnbed or referred to In Schedule A, nor any nght, tale, interest, estate or easement in abutting streets, roads, avenues, alleys, lanes, ways or waterways, but nothing herein shall modify or limit the extent to which a right of access to and from the land is insured by this policy. (e) 'mortgage': mortgage, deed of trust, trust deed, or other security instrument. (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 Section l(a)(rv) of the Exclusions From Coverage, 'public records' also shall include environmental protection liens filed in the records of the clerk of the United States distnct court for the distnct in which the land is located (9) 'access'. legal right of access to the land and not the physical condition of access. The coverage provided as to access does not assure the adequacy of access for the use Intended. 2. CONTINUATION OF INSURANCE AFTER CONVEYANCE OF TITLE. The coverage of this policy shall continue in force as of Date of Policy in favor of an insured only so long as the insured retains an estate or Interest In the land, or holds an Indebtedness 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 covenants of warranty made by the Insured In any transfer or conveyance of the estate or Interest This policy shall not continue m force in favor of any purchaser from the insured of either (I) an estate or interest in the land, or (11) an Indebtedness 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 fo0h In Section 4(a) below, or (11) In case knowledge shall come to an insured hereunder of any daim of title or Interest that is adverse to the title to the estate or interest, as insured, and that might cause loss or damage for which the Company may be liable by virtue of this policy. If prompt notice shall not be given to the Company, then as to the insured all liability of the Company shall terminate with regard to the matter or matters for which prompt notice is required, provided, however, that failure to notify the Company shall in no case prejudice the nghts of any insured under this policy unless the Company shall be prejudiced by the failure and then only 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 to the estate or interest in the land 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 ordered 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 hen, encumbrance, adverse claim or defect is valid, the Company shall take one of the following actions: (I) institute the necessary proceedings to clear the lien, encumbrance, adverse claim or defect from the title to the estate as Insured, (ii) indemnify the insured as provided In this policy; (9) 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 property or, if a mortgagee policy, the amount of the loan; (10) Indemnify another title insurance company in connection with as Issuance of a pollcy(fes) of title Insurance without exception for the lien, encumbrance, adverse claim or defect, (v) secure a release or other document discharging the ben, encumbrance, adverse claim or defect; or (01) undertake a combination of (I) through (v) herein. CONDITIONS AND STIPULATIONS 4. DEFENSE AND PROSECUTION OF ACTIONS: DUTY OF INSURED CLAIMANT TO COOPERATE (a) Upon written request by the insured and subject to the options contained in Section 6 of Ihese Conditions and Stipulations, the Company, at as own cost and without unreasonable delay, shall provide for the defense of an Insured in litigation in which any third party asserts a daim adverse to the title or interest as insured, but only as to those stated causes of action alleging a defect, lien or encumbrance or other matter insured against by this policy The Company shall have the nght to select counsel of its choice (subject to the nght of the insured to object for reasonable cause) to represent the insured as to those stated causes of action and 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, 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 to the estate or interest, as insured, or to prevent or reduce loss or damage to insured. The Company may take any appropriate action under the terms of this policy, whether or not it shall be liable hereunder, and shall not thereby concede (lability or waive any provision of this policy If the Company shall exercise its nghts under this paragraph, it shall do diligently (c) Whenever Inc Company shall have brought an action or Interposed a defense as required or permitted by the provisions of this policy, Inc Company may pursue any litigation to final determination by a court of competent jurisdiction and expressly reserves the right, in its sole discretion, to appeal from any adverse judgment or order (d) In all cases where this policy permits or requires the Company to prosecute or provide for the defense of any action or proceeding, the insured shall secure to the Company the right to so prosecute or provide defense in the action or proceeding, and all appeals herein, and permit the Company to use, at Its option, the name of the Insured for this purpose Whenever requested by the Company, the insured, at the Companys expense, shall give the company all reasonable aid (I) In any action or proceeding, 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 He to the estate or interest 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 [lability or obligation to defend, prosecute, or continue any litigation, with regard to the matter or matters requiring such cooperation 5. PROOF OF LOSS OR DAMAGE. In addition to and atter the notices required under Section 3 of these Conditions and Stipulations have been provided the Company, a proof of loss or damage signed and sworn to by the insured claimant shall be furnished to the Company within 91 days after the insured shall ascertain the facts gluing rise to the loss or damage. The proof cl loss or damage shall describe the defect in, or lien or encumbrance on the title, 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 Toss or damage If the Company is prejudiced by the failure of the Insured claimant to provide the required proof of loss or damage, the Company's obligations to the insured under the policy shall terminate, including any (lability or obligation to defend, prosecute, or continue any litigation, with regard to the matter or matters requiring such proof of loss or damage In addition, the insured daimant may reasonably be required to submit to examination under oath by any authorized representative of the Company and shall produce for examination, inspection and copying, at such reasonable times and places as may be designated by any authorized representative of the Company, all records, books, ledgers, checks, correspondence and memoranda, whether bearing a date before or after Date of Policy, which reasonably pertain to the loss or damage. Further, 11 requested by any authonzed representative of the Company, the insured claimant shall grant its permission, in writing, for any authonzed representable of the Company to examine, inspect and copy all records, books, ledgers, checks, correspondence and memoranda in the custody or control of a Third party, which reasonably pertain to the loss or damage. All information designated as confidential by the insured daimant 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 other reasonably requested information or grant permission to secure reasonably necessary Information from third panes as required in this paragraph shall terminate any liability of the Company under this policy as to that claim. 6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION OF LIABILITY. 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, which were authonzed by the Company, up to the time of payment or tender of payment and which the Company is obligated to pay Upon the exercise by the Company of this option, all liability and obligations to the insured under this policy, other than to make the payment required, shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation, and the policy shall be surrendered to the Company for cancellation continued on next page of cover sheet 0217075 •12 491 $ * * * *' ',410.00 $ * ** *270.00 1000 CASE NUMBER 2001 RR 217075 -M (215) /khs LAWYERS TITLE INSURANCE CORPORATION OWNER POLICY URNC DATE OF AMOUNT OF POLICY NUMBER POLICY INSURANCE 7/ 9/2001 $ 6,410.00 0217075 SCHEDULE A 1. Name of Insured: CITY OF ROUND ROCK, TEXAS 2. The estate or interest in the land that is covered by this policy is: FEE SIMPLE 3. Title to the estate or interest in the land is insured as vested in: CITY OF ROUND ROCK, TEXAS 4. The land referred to in this policy is described as follows: 117398WILLIAMSON MORE COUNTY, TEXAS, AND THE BEINGWILLIS DONAHO MOREPARTICU , LARLY DESCRIBED BED IN EXHIBIT "A" ATTACHED HE Texas Owner's Policy T -1 (Rev. 1 -1 -93) , Schedule A AUSTIN TITLE COMPANY Countersigned By: Autnorizen countersignature Valid Only If Schedule B And Cover Page Are Attache 1 1 EXHIBIT '" FIELD NOTE DESCRIPTION FOR A 0.098 ACRE TRACT: BEING A TRACT OR PARCEL OF LAND SITUATED IN WILLIAMSON COUTY, TEXAS, AND BEING OUT OF AND PART OF THE WILLIS DONAHO SURVEY, ABSTRACT No. 173, AND BEING A PART OF THAT CERTAIN 5.436 ACRE TRACT, CONVEYED TO LUCY GUERRERO IN DOCUMENT NO. 9760377, OF THE OFFICIAL RECORDS OF WILLIAMSON COUNTY, TEXAS, AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING at an iron rod found at the southwest corner of said 5.436 acre tract of land, the same being the southeast corner of a 38.0 acre tract of land conveyed to Robert Dillard and recorded in Volume 1390, Page 799, of the Official Records of Williamson County, Texas, said point being in the north right -of -way line of County Road No.113, known locally as Kiphen Road, for the southwest corner and the POINT OF BEGINNING of the herein described tract; THENCE, North 01 °17'30" East, a distance of 19.53 feet, with the west line of said 5.436 acre tract and the east line of said 38.0 acre tract, to a calculated point for the northwest corner of this tract; THENCE, departing the west line of said 5.436 acre tract, the east line of said 38.0 acre tract, South 88°37'12" East, a distance of 224.97 feet, crossing said 5.436 acre tract, to a calculated point in the east line of said 5.436 acre tract and the west line of a 1.138 acre tract dedicated for use as a public road in Volume 1473, Page 113, of the Official Records of Williamson County, Texas, for the northeast comer of this tract; THENCE, South 01 °29'24 " -West, a distance of 18.53 feet, with the east line of said 5.436 acre tract and the west line of said 1.138 acre tract, to an iron rod found at the southeast corner of said 5.436 acre tract and the southwest corner of said 1.138 acre tract, said point being in the north right -of -way line of County Road No. 113, for the southeast comer of this tract; THENCE, North 88 °52'28" West, a distance of 224.91 feet, with the north right -of -way line of said County Road No. 113, the south line of said 5.436 acre tract, to the POINT OF BEGINNING. Containing 0.098 acres of land, more or less. P at-hei S z/2 / /b I Randall S. Jones Date Registered Professional d Surveyor No. 4391 State of Texas Date: September 28, 2000 RJ Surveying Inc. SCALE 1' =50' ROBERT DILLARD 1390/799 DEED UNE POINT OF BEGINNING IN FIELD NOTES A 0.098 ACRE TRACT OF LAND, SITUATED IN VAWAMSON COUNTY, TEXAS, AND BEING OUT OF THE YAWS DONAHO SURVEY, ABSTRACT No.173, AND BEING A PART OF THAT CERTAIN TRACT OF LAND CONVEYED TO LUCY GUERRERO IN DOCUMENT No.9760377, OF THE OFFICIAL RECORDS OF WIWAMSON COUNTY, TEXAS S\Lond Protects R2\ 658\ deg \65Bro.BVd.g 02/21/01 0804113 AN CST SKETCH TO ACCOMPANY FIELD NOTES: (N01'07'35'E) NO117'30'E 19.53' 7 REMAINDER OF LUCY GUERRERO Doc. No.9760377 W.C.D.R. 588'37'12'E 224.97' N88 224.91' (N88'56' 13' W) (224.93') Co. Rd. 113 "Kiphen Road" RJ SURVEYING INC. LEGEND: W.C.O.R=WIWAMSON COUNTY OFFICIAL RECORDS W.C.D.R.= WIWAMSON COUNTY DEED RECORDS W.C.P.R.=WIWAMSON COUNTY PLAT RECORDS ( ) RECORD PER VOL 2336, PG. 22 W.C.D.R. • = IRON ROD FOUND A = CALCULATED POINT DEED UNE (601'07'36 S0129'24'W 18.53' DATE SEPTEMBER 28, 2000 NO EASEMENT RESEARCH WAS PERFORMED REVISED: JANUARY 15, 2001 BY RJ SURVEYING INC. REVISED: FEBRUARY 15, 2001 ENGINEERING PLANNING SURVEYING 1212 BRAKER LANE AUSTIN. TEXAS 78753 (512) 836 -4793 CASE NUMBER LAWYERS TITLE INSURANCE CORPORATION 2001 RR 217075 -M (215) /khs SCHEDULE B • OWNER POLICY OF TITLE INSURANCE DATE OF POLICY 7/ 9/2001 POLICY NUMBER 0217075 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 or easements insured, 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): DOCUMENT #9760377, OFFICIAL RECORDS, WILLIAMSON COUNTY, TEXAS. BUT OMITTING ANY COVENANT OR RESTRICTION BASED ON RACE, COLOR, RELIGION, SEX, HANDICAP, FAMILIAL STATUS, OR NATIONAL ORIGIN. 2. Any discrepancies, conflicts, or shortages in area or boundary lines, or any encroachments or protrusions, or any overlapping of improvements. 3. Homestead or community property or survivgrship 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, government 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 2001 , 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 roperty under Section 11.13, TEXAS TAX CODE, or because of improvements no assessed for a previous tax year. 6. The following matters and all terms of the documents creating or offering evidence of the matters (We must insert matters or delete this exception.): RIGHTS OF PARTIES IN POSSESSION. 7. THIS PROPERTY IS LOCATED WITHIN'BRUSITY CREEK WATER CONTROL AND IMPROVEMENT DISTRICT NO. 1 AND IS SUBJECT TO ALL RIGHTS UNDER THE LAW ACCORDED TO SUCH A DISTRICT. 8. AN EASEMENT DATED DECEMBER 3 1940 GRANTED TO TEXAS POWER AND LIGHT COMPANY BY MRS. C.C. CODY, R IN VOLUME 308, PAGE 22,_ R CORDS, WILLIAMSON COUNTY, TEXAS. (EASEMENT FOR ELECTRIC TRANSMISSION AND OR DISTRIBUTION LINE AND SYSTEMS, TOGETHER WITH ALL RIGHTS RECITED TH REIN) ( CONT. ON SCH. B, PAGE 2 ) Texas Owner's Policy T -1 (Rev. 1 -1 -93) ' Valid Only If Schedule A Schedule B And Cover Page Are Attached CASE NUMBER OWNER POLICY OF TITLE INSURANCE 2001 RR 217075 -M (215) /khs SCHEDULE B LAWYERS TITLE INSURANCE CORPORATION DATE OF POLICY NUMBER POLICY 7/ 9/2001 0217075 9. AN EASEMENT DATED JULY 7, 1982 GRANTED TO TEXAS POWER AND LIGHT COMPANY BY ROCK N' J RANCH, INC., RECORDED IN VOLUME 892 PAGE 720 DEED RECORDS, WILLIAMSON COUNTY, TEXAS. (EASEMENT FOR ELECTRIC DISTRIBUTION LINE AND SYSTEMS, TOGETHER WITH ALL RIGHTS RECITED THEREIN) 10. ON, UNDIVIDED , ONE-HALF THAT MAY 2 BE PRODUCED FROM L SUBJEC AND OPERTY AS SET FOTH IN INSTRUMENT RECORDED IN VOLUME 861, PAGE 345, DEED RECORDS, WILLIAMSON COUNTY, TEXAS. NOTE: TITLE TO THE HEREIN DESCRIBED MINERAL INTEREST(S) NOT EXAMINED SUBSEQUENT TO DATE(S) OF AFORESAID INSTRUMENT. 11. ANY VISIBLE AND /OR APPARENT ROADWAY OR EASEMENT OVER OR ACROSS THE SUBJECT PROPERTY, THE EXISTENCE OF WHICH DOES NOT APPEAR OF RECORD. 12. ANY PORTION OF THE PROPERTY HEREIN DESCRIBED WHICH FALLS WITHIN THE BOUNDARIES OF ANY ROAD OR ROADWAY. 13. ALL THE OIL GAS AND OTHER MINERALS ON, IN UNDER OR THAT MAY BE PRODUCED FROM THE DOCUMENT PROPERTY EXCEPTED MNNC 0104896 OFFICIAL PUBLIC RECORDS, WILLIAMSON COUNTY, TEXAS. NOTE: TITLE TO THE HEREIN DESCRIBED MINERAL INTEREST(S) NOT EXAMINED SUBSEQUENT TO DATE(S) OF AFORESAID INSTRUMENT. Texas Owner's Policy T -1 (Rev. 1 -1 -93) Valid Only If Schedule A Schedule 13 And Cover Page Are Attached (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, together with any costs, attomeys' fees and expenses incurred by the insured claimant, which were authorized by the Company up to the bore of payment and which the Company is obligated to pay, or (11) to pay or otherwise settle with the insured claimant the Ioss Or damage provided for under This policy, together with any costs, attorneys' fees and expenses Incurred by the insured claimant, which were authorized by the Company up to the time of payment and which the Company is obligated to pay Upon the exercise by the Company of either of the options provided for In paragraphs 10) 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 7. DETERMINATION, EXTENT OF LIABILITY AND COINSURANCE. This policy is a contract of indemnity against actual monetary Ioss or damage sustained or incurred by the Insured claimant who has suffered loss or damage by reason of matters insured against by this policy and only to the extent herein described (a) The liability of the Company under this policy shall not exceed the least of (1) the Amount of Insurance stated In Schedule A, (0) the difference between the value of the insured estate or interest as insured and the value of the insured estate or interest subject to the defect, lien or encumbrance insured against by this policy at the date the insured claimant is required to fumish to Company a proof of loss or damage in accordance with Section 5 of these Conditions and Stipulations. (b) In the event the Amount of Insurance stated In Schedule A at the Date of Policy Is less than 80 percent of the value of the insured estate or Interest or the lull consideration paid for the land, whichever Is less, or if subsequent to the Date of Policy an improvement is erected on the land which Increases the value of the insured estate or interest by at least 20 percent over the Amount of Insurance stated in Schedule A, then this Policy is subject to the following (i) where no subsequent Improvement has been made, as to any partial Ioss, the Company shall only pay the Ioss pro rata in the proportion that the amount of insurance at Date of Policy bears to the total value of the insured estate or interest at Date of Policy, or (II) where a subsequent Improvement has been made, as to any partial loss, the Company shall only pay the loss pro rata In the proportion that 120 percent of the Amount of Insurance stated in Schedule A bears to the sum of the Amount of Insurance stated in Schedule A and the amount expended for the Improvement The provisions of this paragraph shall not apply to costs, attomeys' lees and expenses for which the Company is liable under this policy, and shall only apply to that portion of any loss which exceeds, in the aggregate, 10 percent of the Amount of Insurance stated m Schedule A (c) The Company will pay only those costs, attorneys' lees and expenses Incurred in accordance with Section 4 of these Conditions and Stipulations 8. APPORTIONMENT. If the land described in Schedule A consists of two or more parcels that are not being used as a single site, and a loss Is established affecting one or more of the parcels but not all, the Ioss shall be computed and settled on a pro rata basis as II the amount of Insurance under this policy was divided pro rata as to the value on Date of Policy of each separate parcel to the whole, exclusive of any improvements made subsequent to Date of Policy, unless a liability or value has otherwise been agreed upon as to each parcel by the Company and the Insured at the time of the Issuance of this policy and shown by an express statement or by an endorsement attached to this policy 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 Section 6, in a reasonably diligent manner by any method, Including litigation and the completion al any appeals therefrom, it shall have fully performed Its obligations with respect to that maker and shall not be Ilable for any Ioss or damage caused thereby (b) In the event of any litigation, Including litigation by the Company or with the Companys consent, the Company shall have no liability for Ioss or damage until mere has been a final determination by a court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the title as insured. (c) The Company shall not be liable for loss or damage to any insured for Ilabllily voluntanly assumed by the insured in settling any claim or suit without the poor 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' lees and expenses, shall reduce the amount of the Insurance pro tanto 11. LIABILITY NONCUMULATIVE. It is expressly understood that the amount of insurance under this policy shall be reduced by any amount the Company may pay 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 hereafter executed by an insured and which is a charge or hen on the estate or interest described or referred to In Schedule A, and the amount so paid shall be deemed a payment under this policy to the insured owner. 81178-22 CONDITIONS AND STIPULATIONS — CONTINUED 12. PAYMENT OF LOSS. (a) No payment shall be made without producing this policy for endorsement of the payment unless the policy has been lost or destroyed, in which case proof of loss or destruction shall be furnished to the satisfaction of the Company (b) When liability and the extent of loss or damage has been definitely axed in accordance with these Conditions and Stipulations, the loss or damage shall be payable within 30 days thereafter. 13. SUBROGATION UPON PAYMENT OR SETTLEMENT. (a) The Company's Right of Subrogation. Whenever the Company shall have settled and paid a claim under this policy, all nght of subrogation shall vest in the Company unaffected by any am of the insured claimant The Company shall be subrogated to and be entitled to all rights and remedies that the insured claimant would have had against any person or property In respect to the claim had this policy not been issued If requested by the Company, the insured claimant shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect this right of subrogation. 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 hbgation Involving these rights or remedies If a payment on account of a claim does not fully cover the Ioss of the Insured claimant. the Company shall be subrogated to these rights and remedies in the proportion that the Company's payment bears to the whole amount of the loss If loss should result from any act of the insured claimant, as stated above, that act shall not void this policy, but the Company, in that event, shall be required to pay only that part of any losses insured against by this policy that shall exceed the amount, if any, lost to the Company by reason of the Impairment by the insured claimant of the Company's nght of subrogation (b) The Company's Rights Against Non - Insured Obligors. The Companys right of subrogation against non - insured obligors shall exist and shall include, without limitation, the rights of the insured to indemnities, guaranties, other policies of insurance or bonds, notwithstanding any terms or conditions contained in those instruments that provide for subrogation rights by reason of this policy 14. ARBITRATION. Unless prohibited by applicable law or unless This arbitration section is deleted by specific provision in Schedule B of this policy, either the company or the insured may demand arbitration pursuant to the Title Insurance Arbitration Rules or the American Arbitration Association, Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Insured ansing out of or relating to this policy, any service of the Company In connection with its issuance or the breach of a policy provision or other obligation. All arbitrable matters when the Amount of Insurance is S1,000,000 or less SHALL BE arbitrated at the request of either the Company or the Insured, unless the insured is an individual person (as distinguished from a corporation, trust, partnership, association or other legal entity) All arbitrable matters when the Amount of Insurance Is In excess of 01,000,000 shall be arbitrated only when agreed to by both the Company and the Insured Arbitration pursuant to this policy and under the Rules in effect on the date the demand for arbitration is made or, at the option of the insured, the Rules in effect at Date of Policy shall be binding upon the parties The award may include attorneys' lees only if the laws of the state in which the land is located permit a court to award attorneys' fees to a prevailing party. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court having jurisdiction thereof The jaw of the situs of the land shall apply to an arbitration under the Title Insurance Arbitration Rules A copy of the Rules may be obtained from the Company upon request. 15. LIABILITY LIMITED TO THIS POLICY: POLICY ENTIRE CONTRACT. (a) This policy together with all endorsements, If any, attached hereto 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, whether or not based on negligence, and which arises out of the status of the title to the estate or interest covered hereby or by any action asserting such claim, shall be restricted to this policy, (c) No amendment of or endorsement to this policy can be made except by a wnling endorsed hereon or attached hereto signed by either the President, a Vice President, the Secretary, an Assistant Secretary, or validating officer or authorized signatory of the Company 16. SEVERABILITY. In the event any provision of the policy 15 held invalid or unenforceable under applicable law, the policy shall be deemed not to include that provision, and all other provisions shall remain in full force and eff ect 17. NOTICES, WHERE SENT. All notices required to be given the Company and any statement in writing required to be furnished the Company shall include the number of this policy and shall be addressed to Consumer Affairs Department, P 0 Box 27567, Richmond, Virginia 23261 -7567 COMPLAINT NOTICE Should any dispute arise about your premium or about a claim that you have filed, contact the agent or write to the Company that Issued the policy. 11 the problem Is not resolved, you also may write the Texas Department of Insurance, P.O. Box 149091, Austin, TX 78714 -9091, Fax N. (512) 475 -1771. This notice of complaint procedure Is for information only and does not become a part or condition of Ihls policy. CONTROL NUMBER 611-0015948, t JvyersIt1e Insurance Crporation A LANDAMENU COMP TEXAS OWNER POLICY OF TITLE INSURANCE ISSUED BY Latuyerssidejnsuiance @rp, o, ration HOME OFFICE: 101 Gateway Centre Parkway, Gateway One Richmond, Virginia 23 23 5 -51 53 A WORD OF THANKS ..... As we make your policy a part of our permanent records, we want to express our appreciation of this evidence of your faith in Lawyers Title Insurance Corporation. There is no recurring premium. This policy provides valuable title protection and we suggest you keep it in a safe place where it will be readily available for future reference. If you have any questions about the protection provided by this policy, contact the office that issued your policy or you may write to: Consumer Affairs Department awyers itle Insurance Crporation 7557 Rambler Road, Suite 1200 Dallas, Texas 75231 TOLL FREE NUMBER: 1- 800 - 442 -7067 FIELD NOTE DESCRIPTION FOR A 0.098 ACRE TRACT: BEING A TRACT OR PARCEL OF LAND SITUATED IN WILLIAMSON COUTY, TEXAS, AND BEING OUT OF AND PART OF THE WILLIS DONAHO SURVEY, ABSTRACT No. 173, AND BEING A PART OF THAT CERTAIN 5.436 ACRE TRACT, CONVEYED TO LUCY GUERRERO IN DOCUMENT NO. 9760377, OF THE OFFICIAL RECORDS OF WILLIAMSON COUNTY, TEXAS, AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING at an iron rod found at the southwest corner of said 5.436 acre tract of land, the same being the southeast corner of a 38.0 acre tract of land conveyed to Robert Dillard and recorded in Volume 1390, Page 799, of the Official Records of Williamson County, Texas, said point being in the north right -of -way line of County Road No.113, known locally as Kiphen Road, for the southwest corner and the POINT OF BEGINNING of the herein described tract; THENCE, North 01 °17'30" East, a distance of 19.53 feet, with the west line of said 5.436 acre tract and the east line of said 38.0 acre tract, to a calculated point for the northwest corner of this tract; THENCE, departing the west line of said 5.436 acre tract, the east line of said 38.0 acre tract, South 88°37'12" East, a distance of 224.97 feet, crossing said 5.436 acre tract, to a calculated point in the east line of said 5.436 acre tract and the west line of a 1.138 acre tract dedicated for use as a public road in Volume 1473, Page 113, of the Official Records of Williamson County, Texas, for the northeast corner of this tract; THENCE, South 01°29'24". West, a distance of 18.53 feet, with the east line of said 5.436 acre tract and the west line of said 1.138 acre tract, to an iron rod found at the southeast corner of said 5.436 acre tract and the southwest corner of said 1.138 acre tract, said point being in the north right -of -way line of County Road No. 113, for the southeast corner of this tract; THENCE, North 88 °52'28" West, a distance of 224.91 feet, with the north right -of -way line of said County Road No. 113, the south line of said 5.436 acre tract, to the POINT OF BEGINNING. Containing 0.098 acres of land, more or less. ct4C�,�.� z /2V /nl Randall S. Jones Date Registered Professional nd Surveyor No. 4391 State of Texas Date: September 28, 2000 RJ Surveying Inc. 1212 East Braker Lane Austin, Texas 78753 S:\Land Projects R2 \658 \dots \Gucncro.doc Page 1 of 1 Revised on 10 -06-00 Revised on 01 -17-01 Revised on 02 - -