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R-2418-6-05RESOLUTION NO. 2418-6-05(R) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, APPROVING A REAL ESTATE SALES CONTRACT WITH BRIAN RANDALL WINES, ET AL FOR PURCHASE OFA WATER LINE EASEMENT; AGREEING TO A WAIVER OF CERTAIN PRO RATA WATERLINE UTILITY FEES; ATTACHING AND INCORPORATING A TRUE COPY OF THE REAL ESTATE SALES CONTRACT AS EXHIBIT "A'; AND PROVIDING AN EFFECTIVE DATE. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, THAT: SECTION 1. The Real Estate Sales Contract attached hereto as Exhibit "A" by and between Brian Randall Wines, et al and the City of Allen, is hereby approved, and the City Manager is authorized to execute the same and all related documents to complete the transaction on behalf of the City. SECTION 2. The consideration for purchase of the waterline easement by the City from Brian Randall Wines, et al as described in Exhibit "A" will be paid by the granting of a waiver of all waterline pro -rata fees due and assessed against Brian Randall Wines, et al or assigns of Seller's remaining property as described in Volume 2774, Page 647 of the Deed Records of Collin County, Texas, provided ' that such waiver shall have no expiration date and may be used by Brian Randall Wines, et al or assigns at the time the remainder of the remaining tract develops in whole or in part relative to the percentage being developed. The terms of Section 2.02 of the Real Estate Sales Contract are approved and shall survive closing of the contract and be enforceable by Brian Randall Wines, et al or assigns against the City of Allen in the manner stated therein. SECTION 3. This Resolution shall be effective immediately from and after its passage, and it is accordingly so resolved. The City Secretary is directed to furnish Sellers a certified copy of this Resolution. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN COUNTY, TEXAS, ON THIS THE 28ra DAY OF NNE, 2005. APPROVED: `Stephen Terrell, MAYOR ATTEST: a n Shelley B. GeorO, TRMC, Clft SECRETARY REAL ESTATE SALES CONTRACT STATE OF TEXAS § COUNTY OF COLLIN § This Real Estate Sales Contract (the "Contract") is made by and between BRIAN RANDALL WINES, CO -TRUSTEE, PHILLIP ALAN WINES, CO -TRUSTEE, AND MARK WILLIAM WINES, CO -TRUSTEE OF THE WINES FAMILY IRREVOCABLE TRUST and WALTER S. HENRION (collectively, "Seller") and the CITY OF ALLEN, having its offices at 305 Century Parkway, Allen, Texas 75013 ("Purchaser"), upon the terms and conditions set forth in this Contract. Article I. Purchase and Sale By this Contract, Seller sells and agrees to convey, and Purchaser purchases and agrees to pay for, subject to the terms, provisions, and conditions set forth below, an easement estate to that certain tract of land containing 6,670 square fee[ for waterline utility purposes (the "Property"), as more particularly described in Exhibit'A' attached hereto and made part hereof for all purposes. The Properly is part of Seller's Remaining Tract (herein so called) acquired by deed recorded in volume 2774, page 647 of the Deed Records of Collin County, Texas, in the City of Allen, Collin County, Texas. Article H. Purchase Price 2.01. Amount of Purchase Price. The Seller shall convey a waterline easement covering the Property to the City in consideration of the City waiving all waterline pro -rata fees due by Seller or its assigns with respect the waterline to be constructed therein. For title insurance purposes only, the City has estimated the value of the Easement at Sixteen Page 1 Jum1 , 2005 Easement June 14,3005 Thousand Six Hundred Forty-five and No/100 Dollars ($16,645.00) based upon the current ordinance provisions for pro -rata reimbursements. 2.02. Payment of Purchase Price. The City shall purchase the Easement to the Property by granting to Seller or its assigns a waiver of all waterline pro -rata fees due and assessed against Seller or its assigns of Seller's Remaining Property as described in Volume 2774, Page 647 D.R.C.C.T (parent tract of the subject easement tract). The waiver shall have no expiration date and may be used by Seller or its assigns at the time the remainder of Seller's Remaining Tract develops, in whole or in part relative to the percentage being developed. The City's waiver of pro -rata utility fees for the waterline to be located on the Easement shall survive the Closing of this Contract and be enforceable by Seller or its assigns against the City of Allen in the manner stated. This Agreement shall be binding on and inure to the benefit of the parties to it and their respective heirs, executors, administrators, legal representatives, successors, and permitted assigns. The City agrees to present this Contract to the City Council for approval by resolution as soon as practicable following execution of this Contract. The City Council approval of this Contract and approval of such waiver shall be a condition to Seller's obligation to close. Article M. Conditions and Requirements 3.01. Preliminary Title Revert. Within fifteen (15) days atter the date hereof, Seller shall cause the Title Company (hereinafter defined) to issue a preliminary title report (the "Title Report"), at the sole cost of the Purchaser, accompanied by copies of all recorded documents relating to easements, rights-of-way, etc., affecting the Property. Purchaser shall give Seller written notice on or before the expiration of ten (10) days after Purchaser receives the Title Report that the condition of title as set forth in the Title Report is or is not Page 2 Wines WamdlnC E.e.ent lune !4, 2WS satisfactory to it, and in the event Purchaser states that the condition of title is not satisfactory, Seller may, at Seller's option, promptly undertake to eliminate or modify all unacceptable matters to the reasonable satisfaction of Purchaser, but shall not be obligated to expend any monetary sum to do so. In the event Seller chooses not to or is unable to eliminate all title and Survey objections within ten (10) days after receipt of written notice, Seller shall give Purchaser written notice to this effect, and Purchaser shall have three (3) business days after receipt of such notice to elect either to waive its objections, or to refuse to do so, in which latter event this Contract shall thereupon be null and void for all purposes. 3.02. Ste. Within thirty (30) days from the date hereof, Purchaser, at Purchaser's sole cost and expense, shall have a survey (the "Survey") of the Property prepared by a duly licensed Texas Registered Public Land Surveyor. The Survey shall be staked on the ground, and the plat shall show the location of all improvements, highways, streets, roads, railroads, rivers, creeks, or other water courses, fences, easements, and rights-of-way on or adjacent to the Property, if any, and shall contain the surveyor's certification that there are no encroachments on the Property other than what are listed on the Title Report and shall set forth a metes and bounds description of the Property. If the legal description contained in said Survey is different than the description stated herein, the closing documents shall be prepared in accordance with said Survey. 3.03. Inspection Period Purchaser shall have forty-five (45) days from the effective date hereof (the "Inspection Period") to conduct such physical, engineering, environmental and feasibility studies and inspections as Purchaser deems appropriate in an effort to determine whether or not to proceed with the closing of this transaction. During the Page 3 Wines Waterline Easement June 14,2005 Inspection Period, Purchaser and/or its agents shall, upon reasonable notice to Seller, have the right to come upon the Property from time to time for the purpose of conducting such tests and inspections, but such inspections and tests shall not include the right to perform any invasive drilling. Purchaser agrees to indemnify Seller, its agents, representatives, tenants, and employees, against damages or costs incurred by Seller, or its agents, representatives, tenants, and employees, due to Purchaser conducting the tests above described. Purchaser may terminate this Contract at any time prior to the expiration of the Inspection Period, if it is not satisfied with its studies/reviews by written notice to Seller to that effect. Article IV. Representations and Warranties of Seller Seller hereby represents and warrants to the Purchaser as follows, which representations and warranties shall be deemed made by Seller to Purchaser also as of the closing date: (1) There is no pending or to its current actual knowledge no threatened condemnation or similar proceeding or assessment affecting the Property, or any part thereof, nor to its current actual knowledge any such assessment contemplated by any legal authority, (2) All ad valorem taxes applicable to the Property have been paid through calendar year 2004; (3) The Property has full and free access to and from public highways, streets or roads and, to the best knowledge and belief of Seller there is no pending or threatening government proceeding which would impair or result in the termination of this access, except as may be limited by the prior taking by TxDOT for Highway 121 right-of-way purposes; and (4) There are no leases, rental, concession, or occupancy agreements with regard to the Property, except the existing agricultural lease. Page 4 Wires Wwuline Eneme t lune 14,2005 Article V. Closing The closing shall be held at the office of Reunion Title Company, 103 W. McDermott Drive, Allen, Texas 75013, attention: Tracy Foltz, (972) 727-0806, on or before sixty (60) days after the execution of this Contract, or at such time, date, and place as Seller and Purchaser may agree upon (which date is herein referred to as the "Closing Date"). However, if this Contract does not close within ninety (90) days after delivery of the fully executed Contract to the Title Company, then either party may terminate this Contract by written notice to the other. At the closing, Seller shall, (1) Execute and deliver the water line easement to Purchaser conveying good and indefeasible easement rights to all of the Property, free and clear of any and all restrictions, in form as attached hereto as Exhibit B' and made a part hereof for all purposes (the "Easement"), except for the following: (a) General Real Estate Taxes for the year of closing and subsequent years not yet due and payable, and subsequent assessments for prior years due to change in use or ownership; and (b) Any exceptions approved by Purchaser in writing. (2) Deliver to Purchaser a Texas Owner's Title Policy, at Purchaser's sole expense, in Purchaser's favor in the amount of the estimated value of the Easement, insuring Purchaser's easement rights to the Property, subject only to those title exceptions listed herein, 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, provided, however: (a) The boundary and survey exception shall be amended to except only to "shortages in area;" Page 5 Wines Waterline Easement June 14, 2005 (b) The exception as to restrictive covenants shall be endorsed "none of record", if no such restrictive covenants are filed of record; and (c) The exception as to the lien for taxes shall be limited to the year of closing, and subsequent assessments for prior years due to change in use or ownership, and shall be endorsed "not yet due and payable." At closing, Purchaser shall pay all closing costs and provide a certified copy of the City Council resolution approving this Contract and granting the waiver of pro -rata waterline utility fees to Seller. Such City Council resolution shall be drafted by Purchaser's attorney and provided to Seller for approval prior to submission to the council for passage. Article VI. Real Estate Commissions It is understood and agreed that no brokers were involved in the negotiation and consummation of this contract and no real estate commissions are due to any person as a result of this contract of sale. Article VII. Breach by Seller In the event Seller shall fail to fully and timely perform any of Seller's obligations hereunder or shall fail to consummate the grant of the Easement for any reason, Purchaser may, as its sole remedy, enforce specific performance of this agreement. Article VIII. Breach by Purchaser In the event Purchaser should fail to consummate the grant of the waiver of pro -rata waterline utility fees due relating to the Easement, the conditions hereof having been satisfied and Purchaser being in default and Seller not being in default hereunder, Seller, as its sole and exclusive remedy, shall have the right to enforce specific performance of this Page 6 Wines Ware iae Eexmem Iwe t6, 2005 agreement or sue for all damages recoverable under applicable laws, including but not limited to, its attorneys' fees, costs and expenses. Article IX. Miscellaneous 9.01 Assignment of Contract. This Contract may not be assigned by Purchaser and any attempted assignment is void. Seller's interest in the waiver of pro -rata waterline utility fees provided by this Contract shall be assignable and allocable to portions of Sellet's Remaining Property as those portions are sold. 9.02 Notice. Any notice to be given or served upon any party hereto must be in writing, and may be given by: (i) depositing in the United States mail, addressed to the party to be notified, postage prepaid, and registered or certified mail, with return receipt requested; (ii) by causing a nationally recognized overnight delivery service (such as FedEx, UPS Next Day Air, etc.) to deliver the same, with all delivery charges to the sender; (iii) by delivering in person or by messenger or courier service, with all delivery charges to the sender; (iv) by facsimile transmission ("Fax"), to the Fax telephone number specified below; or (v) by email ("Email") to the email address specified below, if any. Notice given by options (i) through (iii) shall only be deemed given upon actual receipt at the address of the addressee with evidence of delivery. Notice given by Fax or Email shall be effective upon transmission with the sender's fax machine (or computer, in the case of email) proof of transmission and confirmation of sending. Any such notice transmitted by Fax or Email after 5 p.m. shall be regarded as transmitted on the next business day. Copies of any notice to Seller shall also be given to or served upon: William R. Wines If Mailed: PO Box 4304, Horseshoe Bay, Texas 78657-4304 If by FedEx or Courier: 705 Skyhawk, Horseshoe Bay, Texas 78657 Page 7 Winos Waterline Easement June 14, 2005 Fax: 830-596-1193 Email: winesQtstar.net And to: Walter S. Henrion 5460 Surrey Circle Dallas, Texas 75209 Fax: 214-350-2255 And to: F. Michael Seay Clark .& Seay, P.L.L.C. Quorum North Office Building 15301 Spectrum Drive, Suite 510 Addison, Texas 75001 Fax: 972-858-3431 Email: mseay@clerk-seay.com 9.03 Texas Law to Ayr) 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 Collin County, Texas, wherein exclusive venue of any action to enforce any provision hereof shall lie. 9.04. Parties bound. This Contract shall be binding upon and inure to the benefit of the parties and their respective legal representatives, successors and assigns where permitted by this Contract. 9.05. Legal Construction. In case any one or more of the provisions contained in this Contract shall for any reason by held to be invalid, illegal, or unenforceable in any respect, this invalidity, illegality, or unenforceability shall not effect any other provision hereof, and Us Contract shall be construed as if the invalid, illegal, or unenforceable provision had never been contained herein. Page 8 Wigs ine Easement lune 14, ,2N5 2005 9.06. Prior Agreements Superseded. This Contract constitutes the sole and only agreement of the parties and supersedes any prior understandings or oral agreements between the parties respecting the within subject matter. 9.07. Time of Essence. Time is of the essence in the performance of this Contract. 9.08. Compliance. In accordance with the requirements of the Texas Real Estate License Act, Purchaser is hereby advised that it should be furnished with or obtain a policy of title insurance or Purchaser should have the abstract covering the property examined by an attorney of Purchaser's own selection. 9.09 Property Sold As Is. Purchaser represents that as of the Closing Date, Purchaser will have fully inspected the Property, will have made all investigations as it deems necessary or appropriate and will be relying solely upon its inspection and investigation of the Property for all purposes whatsoever, including, but not limited to, the determination of the condition of the soils, subsurface, drainage, surface and groundwater quality, environmental conditions, and all other physical characteristics; availability and adequacy of utilities; compliance with governmental laws and regulations; access; agricultural lease; encroachments; acreage and other survey matters; and the character and suitability of the Property. In addition, Purchaser acknowledges and agrees that the Property is being purchased and will be conveyed "AS IS" with all faults and defects, whether patent or latent, as of the Closing, There have been no representations, warranties, guarantees, statements or information, express or implied, pertaining to the Property, its condition, or any other matters whatsoever, made to or furnished to Purchaser by Seller or any employee or agent of Seller, except as specifically set forth in this Contract. Purchaser agrees that it will directly negotiate and pay any damages to the Page 9 Winos Waterline E..ent June 14, 2005 agricultural lessee arising from the exercise of Purchaser's rights under this Contract, the Easement or construction of the waterline by others. 9.10 Completion of Waterline Work By Others. Blue Star Allen Land, L.P. ("Blue Star") will cause a 12 -inch waterline to be constructed in the Easement in accordance with engineering plans and specifications prepared by Dowdey, Anderson & Associates, Inc., Plano, Texas, Blue Star's engineers for the Watters Road/Ridgeview Drive/Starcreek Project, in accordance with all applicable City requirements. All costs relating to engineering, permitting, waterline construction, testing, completion and acceptance by the City shall be at the sole cost and expense of Blue Star. In the event that the 12 -inch waterline is not constructed by Blue Star and accepted by the City within two (2) years of closing, Seller shall have the right to terminate the Easement and file a notice of termination of Easement in the real property records of Collin County, Texas. The City shall cause Blue Star to provide notice to Seller of all keys dates relating to such construction and shall provide a copy to Seller of the final approved engineering plans prepared by Dowdey, Anderson & Associates, hie. for the waterline and the City's acceptance letter of the such waterline. DATED this day of , 2005 Seller: WINES FAMILY IRREVOCABLE TRUST By: Brian Randall Wines, Co -Trustee Page 10 Wills Waterline Emment June 14, 2005 with engineering plans and specifications prepared by Dowdey, Anderson & Associates, Inc., Plano, Texas, Blue Stars engineers for the Watters Road/Ridgeview Drive/Starcreek Project, in accordance with all applicable City requirements. All costs relating to engineering, permitting, waterline construction, testing, completion and acceptance by the City shall be at the sole cost and expense of Blue Star. In the event that the 12 -inch waterline is not constructed by Blue Star and accepted by the City within two (2) years of closing, Seller shall have the right to terminate the Easement and file a notice of termination of Easement in the real property records of Collin County, Texas. The City shall cause Blue Star to provide notice to Seller of all keys dates relating to such construction and shall provide a copy to Seller of the final approved engineering plans prepared by Dowdey, Anderson & Associates, Inc. for the waterline and the City's acceptance letter of the such waterline. DATED ft -&—A day of xJ 2005 Seller: WINES FAMILY IRREVOCABLE TRUST By: Brian Randall Wines, Co -Trustee Seller: WINES FAMILY (IRREVOCABLE TRUST '4",By: li �Gf�_.a_ Phillip Aran Wines, Co -Trustee Paso 10 wive w.aa Pd.t J. 14, zoos Seller: WINES FAMILY IRREVOCABLE TRUST 0 Phillip Alan Wines, Co -Trustee Seller: WINES FAMILY IRREVOCABLE TRUST By: ;bc- -Yzz� 2/'Z:. - Mark William Wines, Co -Trustee Seller: Walter S. Henrion Page I I Winm Wakrline Easement Jure 14.205 Seller: WINES FAMILY IRREVOCABLE TRUST By: Phillip Alan Wines, Co -Trustee Seller: WINES FAMILY IRREVOCABLE TRUST im Mark William Wines, Co -Trustee I Seller: Walter S. Henrion Page I I Wines Waterline Eamemenl lune 14, 2005 Purchaser: CITY OF ALLEN By: By: A � Peter H. Varg , Ci# Manager 305 Century Pa ay Allen, Texas 75013 THE STATE OF TEXAS COUNTY OF /ILn BEFORE ME, a Notary Public, on this day personally appeared Brian Randall Wines, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this l- day of--rK-- . 20051 THE STATE OF TENNESSEE 14161011-61LH2 Comm. Eq. 060142001 BEFORE ME, a Notary Public, on this day personally appeared Phillip Alan Wines, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this _ day of 2005. Notary Public in and for the State of Tennessee Page 12 Wines Waterhne Easement June la, 2005 Purchaser: CITY OF ALIEN By. Peter H Vargas, City Manager 305 Century Parkway Allen, Texas 75013 THE STATE OF TEXAS § COUNTY OF § BEFORE ME, a Notary Public, on this day personally appeared Brian Randall Wines, (mown to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of 2005 Notary Public in and for the State of Texas THE STATE OFTENNESSEE COUNTY OF &-0 r ➢N4.6� BEFORE ME, a Notary Public, on this day personally appeared Phillip Alan Wines, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. f� GIVEN UNDER MY HAND AND SEAL OF OFFICE this �& day of amu' NI 2005. Notary Public in and for lge State of Tennessee C F"p 5-a6- 06 Pegs 12 wi. warerliae Fisemmeett J. 14,2005 THE STATE OF TEXAS COUNTY OF C [ JL BEFORE ME, a Notary Public, on this day personally appeared Mark William Wines, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this q,; day of 7111(4-bl-, 2005 VARSHA OPUBLIC a e NOTARY PUBLIC in and for Texas — STATE OF TEXAS Notary Public in and fort State of Texas �'R o..Ea NV, form. fv 9.10-2015 THE STATE OF TEXAS 6 + COUNTY OF BEFORE ME, a Notary Public, on this day personally appeared Walter S. Henrion known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , 2005. Notary Public in and for the State of Texas THE STATE OF TEXAS § COUNTY OF COLLIN This instrument was acknowledged before me on the a Aay of 2005, by PETER H. VARGAS, City Manager of the CITY OF ALLEN, a home -rale municipal co oration, on behalf of said corporation. s "thKAY DRESCHER rem-�%r(,•r�� Ndrr Wbil Slat, of Taem JUNE 15, 2rDID8 F:\Wines\050502 RESC- Wines WL Fsmt.mv3.doc June 2, 2005 Page 13 Wma Waterline Easement June 14, 2005 Notary Publy in and for the State of Texas THE STATE OF TEXAS § COUNTY OF § BEFORE ME, a Notary Public, on this day personally appeared Mark William Wines, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said Wines Family Irrevocable Trust, and that he was duly authorized to perform the same by appropriate resolution of the trust for the purposes and consideration therein expressed, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , 2005 Notary Public in and for the State of Texas THE STATE OF TEXAS § COUNTY OF DALLAS § BEFORE ME, a Notary Public, on this day personally appeared Walter S. Henrion, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for the purposes and consideration therein expressed, and in the capacity therein ted. GIVEN UNDER MY HAND AND SEAL OF OFFICE this 4 day o 2005 y'',r _' 'OIl2:'s SUSAN C. THURES(IN `//11/�itzWN� �P` .,y Notary Public. Steteol Teve x4v Commission Espires otary Public in and for the State of Texas Finan m , IA, 2009 THE STATE OF TEXAS § COUNTY OF COLLIN § This instrument was acknowledged before me on the day of 2005, by PETER H. VARGAS, City Manager of the CITY OF ALLEN, a home -rule municipal corporation, on behalf of said corporation. Notary Public in and for the State F:\Wines\050502 RESC- Wines WL Esmt.rev3.doc June 2, 2005 Page 13 Wiens Waterhee Easement June 14,2005 : Ju� 14,2005 £XHIBII� \ / 0 m \ /| / \[ ; R \M \ /! § 6^ \§ \ ) /) \ > \ \ /| / \[ ; R \M \ /! § /) 2005- 0121E4f4& WATER LINE EASEMENT (STARCREEK) D STATE OF TEXAS § iD KNOW ALL MEN BY THESE PRESENTS: W COUNTY OF COLLIN § O THAT BRIAN RANDALL WINES, PRILLB' ALAN WINES AND MARK WILLIAM WINES, CO- O TRUSTEES OF THE WINES FAMILY IRREVOCABLE TRUST and WALTER S. HENRION hereafter J collectively referred to as "Grantors", whether one or more, for and in consideration of the sum of ONE CO AND NO/100 DOLLARS ($1.00) cash in to Grantors hand paid by the CITY OF ALLEN, TEXAS, the receipt and sufficiency of which is hereby acknowledged, and the further consideration of the benefits to be derived by Grantors from the placing of water line facilities through the premises hereinafter described, said benefits including the waiver of pro -rata reimbursements for such water line facilities and granting of the right to connact future water lines to said facilities upon Grantors' payment of all other applicable fees to the City of Allen other than pro -rata reimbursements, have this day GRANTED and CONVEYED, and by these presents do hereby GRANT and CONVEY unto the City of Allen, Texas, an easement ten (10) feet in width to construct, operate, reconstruct and perpetually maintain water line facilities in, upon and across the following described land, to -wit: All that certain tract, piece or parcel of land, lying and being situated in H. SEABORN and R.F. CLEMENT SURVEY, Abstract No. 897, City of Allen, County of Collin, State of Texas, described in EXHIBIT "A" attached hereto and made a part hereof for all purposes, to which reference is here made for a more particular description of said property; TO HAVE AND TO HOLD the same perpetually to the CITY OF ALLEN, TEXAS, its successors and assigns, together with the right and privilege at any and all times to enter said premises, or any part thereof, for the purpose of constructing and maintaining water line facilities, and for making connections therewith, subject however, to any and all matters of record affecting title to the premises. The waiver of pro -rata reimbursement is intended to benefit Grantors or their successors, heirs and assigns, and shall be a covenant running with such land for their benefit and any subsequent owners of any portion of the premises or Grantors' adjoining property. As used herein, "waiver of right to prorata reimbursement" shall refer generally to those payments which might otherwise be required to be paid to the City and repaid by the City to the original developer under Section 8.10.1 of the Allen Subdivision Regulations or any other existing or subsequent municipal development or subdivision ordinances or laws requiring subsequent users of utility facilities installed at the expense of the original developer to reimburse the original developer for installation costs on a prorata or linear footage basis as a condition to utilizing such facilities. For the same consideration recited above, the City of Allen does further covenant, waive and agree that Grantors may "tap -in" or connect to the facilities upon completion, whether before or after acceptance by the City, upon Grantors' payment of all other applicable fees to the City of Allen other than pro-mta reimbursements. Grantors shall not be liable for any expenses of the initial design, construction, testing and approvals of said water line facilities. All expenses of the operation, maintenance, repair, removal or replacement of said facilities shall be the sole cost and expense of Grantee or its successors and assigns. The City of Allen shall, after doing any work in connection with the construction, alteration or repair of the water line facilities, restore said premises to the condition in which same were found before such work was undertaken, and, in the use of said rights and privileges herein granted to the City of Allen, will not create a nuisance or do any act that would be detrimental in said premises or Grantors adjoining property. All clean-up and restoration WATER LINE EASEMENT—Page I C Vl ..0 and Semngelbnnon RAPIERWILSONLLo .i Senmgs\Tcmpomty I.,., F&a\OLK I N\Wiser E., Howdy rtV4 d., Auaun 12,2005 5993 00419 provisions contained herein shall equally apply to any adjoining property used as temporary workspace. Grantors shall not be liable for any property damage and/or bodily injury caused by Grantee's employees, contractors, invitees or other persons entering upon and utilizing the easement, or any temporary construction easement or the facilities, with the consent of Grantee or acting under its control. Grantors hereby grant the City of Allen a non-exclusive temporary construction easement across those portions of Grantors' adjoining property within thirty (30) feet of the premises for all purposes reasonably related to the initial development, construction and maintenance of the water line Facilities, provided that, the City of Allen shall cause any contractor using the easement to: (i) indemnify and hold Grantors harmless from any and all claims, damages, liens, costs, expenses and liability arising in connection with the construction of such water line facilities or damages to any agricultural lessee for crops; (ii) maintain liability insurance policies with insurance companies licensed to do business in the State of Texas in amount not less than $1,000,000, and (iii) prior to commencement of construction, to deliver to Grantors certificates evidencing the insurance coverage described in clause (ii) above. Said temporary construction easements shall automatically terminate and expire upon the completion of construction. The granting of this water line easement is non-exclusive and shall in no way be construed to limit or deny access of Grantors, their successors or assigns, to the area affected thereby. It is expressly provided that Grantors reserve all of the rights in and to the premises which do not unreasonably interfere with and prevent the use of the easements for the purpose granted, including, without limitation (i) the right to build walls, driveways, parking lots (bra not structured parking garages) and other associated improvements over or across said easement area; (ii) the right to landscape and farm said easement area; (iii) the right to lay out, construct, and operate any and all public utilities over, across and under said easement area; (iv) the right to tie into the water line and related facilities constructed within the easement area at no cost to Grantors other than as provided herein; and (v) the right to grant such rights, or any of the same, to any other persons, firms or corporations, provided the same does not materially interfere with the rights granted to Grantee hereunder. The water line easement, together with each and every covenant, term, provision and condition contained herein, shall constitute a covenant running with the land and shall be binding upon and inure to the benefit of the Grantee and Grantors, and thein respective successors, heirs and assigns of the parties hereto. In the event that the City of Allen has not caused the construction of a 12 -inch waterline to be completed and accepted by the City of Allen within two (2) years of the date hereof, Grantors shall have the right to terminate the Easement and file a notice of termination of Easement in the real property records of Collin County, Texas. This Water Line Easement may be executed in counterparts, each of which shall be deemed an original, and all of which shall constitute one and the same instrument, or by separate signature and acknowledgment pages for each Grantor, with all such signature and acknowledgment pages to be attached to one or more counterparts. By its signature below, each Grantor does hereby consent that its signature and acknowledgment pages, whether from counterparts or on separate signature and acknowledgment pages, may be removed and m -attached to one counterpart to make one complete single counterpart document for recording purposes. �{y� EXECUTED as of the I(P qday of August , 2005, on the attached separate signature page for each Grantor. WATER LINE EASEMENT- Page 2 August 12, 2005 5993 00480 SEPARATE SIGNATURE AND ACKNOWLEDGMENT PAGE FOR EACH GRANTOR The undersigned Grantor, as Co -Trustee of The Wines Family Irrevocable Trust, being the owner of an undivided interest in the Property, has executed this Signature and Acknowledgment Page to that certain Water Line Easement conveying an easement upon the Property to the Grantee named therein, and does hereby consent that this Signature and Acknowledgment Page may be attached to a counterpart of such Water Line Easement, and by such execution and attachment, agrees to be bound by all of the terms and conditions contained in such Water Line Easement. Way WHEREOF, the undersigned has exec is Signature and Acknowledgment Page on this ay of August, 2005, to be effective as of the Toy of August, 2005. Ey: 7x"- 74. Mark William Wines, Co -Trustee of The Wines Family Irrevocable Trust STATE OF TEXAS COUNTY OF COLLIN § This instrument was acknowledged before me on T la I 2005, by MARK WILLIAM WINES, Co Trustee of The Wines Family vocable e opacity stated therein. Notary Pub]' fo of Texas w MARIA M. GARAN . +. NOTARY PUBLIC STATE OF TEXAS , a My COMM. Esp. 9-10.2005 WATER LME EASEMENT— Page 5 August 12,2005 5993 00481 SEPARATE SIGNATURE AND ACKNOWLEDGMENT PAGE FOR EACH GRANTOR The undersigned Grantor, as Co -Trustee of The Wines Family Irrevocable Trust, being the owner of an undivided interest in the Property, has executed this Signature and Acknowledgment Page to that certain Water Line Easement conveying an easement upon the Property to the Grantee named therein, and does hereby consent that this Signature and Acknowledgment Page may be attached to a counterpart of such Water Line Easement, and by such execution and attachment, agrees to be bound by all of the terms and conditions contained in such Water Line Easement. IN WITNESS WIIEREOF, the undersigned has exec this Signature and Acknowledgment Page on this � day of August, 2005, to be, as of the TKy of August, 2005. Phillip Alan Wines, Co -Trustee of The WinesF'adnl¢ � c Irrevocable Trust STATE OF TENNESSEE COUNTY OF DAVIDSON § This instrument was acknowledged before me on LtUf 2005, by PHTLLIP ALAN WINES, Co Trustee of The Wines Family Irrevocable TruaC iin� the capacity stated therein. SLIM Nu'] yy'- a Notary Public for tfk State of Tennessee is -;L6-010 ti rp WATER LME EASEMENT- Page 4 August 12.2005 5993 00482 SEPARATE SIGNATURE AND ACKNOWLEDGMENT PAGE FOR EACH GRANTOR The undersigned Grantor, as Co -Trustee of The Wines Family Irrevocable Trust, being the owner of an undivided interest in the Property, has executed this Signature and Acknowledgment Page to that certain Water Line Easement conveying an easement upon the Property to the Grantee named therein, and does hereby consent that this Signature and Acknowledgment Page may be attached to a counterpart of such Water Line Easement, and by such execution and attachment, agrees to be bound by all of the terms and conditions contained in such Water Line Easement. IN WITNESS WHEREOF, the undersigned has execute this Signature and Acknowledgment Page on this Z day of August, 2005, to be effective as of the �(/ �duy of August, 2005. By /—K',&ff 61%—; Brian Randall Wines, Co -Trustee of The Wines Family Irrevocable Trust STATE OF TEXAS COUNTY OF COLLR.N This instrument was acknowledged before me on 7 3 ,/k r / 2005, by BRIAN RANDALL WINES, Cc Trustee of The Wines Family Irrevocable e i stated therein. I� Notarylie for the State of Texas IBEHJAT M.ANETpNAII (& STATE�TEXA8 tbCawl4.a�oti001 WATER LINE EASEMENT — Page 3 August 12.2005 5993 00483 SEPARATE SIGNATURE AND ACKNOWLEDGMENT PAGE FOR EACH GRANTOR The undersigned Grantor, Walter S. Henrion, being the owner of an undivided interest in the Property, has executed this Signature and Acknowledgment Page to that certain Water Line Easement conveying an easement upon the Property to the Grantee named therein, and does hereby consent that this Signature and Acknowledgment Page may be attached to a counterpart of such Water Line Easement, and by such execution and attachment, agrees to be bound by all of the terms and conditions contained in such Water Line Easement. IN WITNESS WHEREOF, the undersigned has ex u d this Signature and Acknowledgment Page on this � day of August, 2005, to be effective as of theday of August, 2005. By. � Walter S. Henrion STATE OF TEXAS COUNTY OF DALLAS § This instrument was acknowledged before me onNib 1 2005, by WALTER S. HENRION in the capacity stated therein. iXURESON otary Public for the State of Texas of Tens {"'/"1`. B My Commission EV_ M$v ei; PabruorY ld, 2009 WATERLINE EASEMENT—Page 6 August 12,2005 5993 00484- EXHIBIT 0484 EXHIBIT "A" l0' WATER LINE EASEMENT BEING a tract of land located in the H. SEABORN AND RF. CLEMENTS SURVEY, ABSTRACT NO. 879, City of Allen, Collin Cowry, Texas and being a part of a tract of land described in Deed to Phillip Alan Wines, Brian Randall Wines and Mark William Wines, recorded in Volume 2774, Page 647, Deed Records, Collin County, Texas and being more particularly described as follows: BEGINNING at a 3-1/2 inch aluminum disk stamped `Texas Department of Transportation" found for comer at the intersection of the Southeast right-of-way line of State Highway No. 121, a variable width right-of-way, with the approximate centerline of County Road No. 150, said point being in the East line of said Wines tract at the Northwest comer of a tract of land described as Tract A in Deed to Blue Star Allen Land, L.P., recorded in Volume 5638, Page 5127 (Document No. 2004-0044103), Deed Records, Collin County, Texas; THENCE South 00 degrees 30 minutes 41 seconds East, (Basis of Bearing derived firm Texas State Plane Coordinate System, North Central Zone, NAD 83) a distance of 11.02 feet to a point for comer, THENCE South 64 degrees 36 minutes 21 seconds West, a distance of 298.79 feet to a point for comer, THENCE South 58 degrees 10 minutes 20 seconds West, a distance of 188.77 feet to a point for comer, THENCE South 70 degrees 08 minutes 57 seconds West, a distance of 179.35 feet to a point for comer in the West line of said Wines tract and in the East line of a tract of line described in Deed to Robert R Rantzow, and Susan Jane Rantzow, recorded in Document No. 99-0076415, Deed Records, Collin Cowry, Texas; THENCE North 01 degrees 04 minutes 07 seconds West, along the common line of said Wines tract and said Rantzow tract, a distance of 10.56 feet to a 3-1/2 inch aluminum disk stamped "Texas Department of Transportation' found for comer in the Southeast right-of-way line of State Highway No. 121; THENCE along the Southeast right-of-way line of said State Highway No. 121 the following three (3) courses and distances: North 70 degrees 08 minutes 57 seconds East, a distance of 174.90 feet to a 3-1/2 inch aluminum disk stamped `Texas Department of Transportation" found for comer, North 58 degrees 10 minutes 20 seconds East, a distance of 188.29 feet to a point for comer•, S.wROJECiS Pegs 1 a(3 5993 00485 North 64 degrees 36 minutes 21 seconds East, a distance of 303.99 feet to the POINT OF BEGINNING and containing 6,670 square feet or 0.153 access of land, more or less. ,WV FA9h90N NE�WryEol SpF NISE immw FCE SpXV Uig piscPlas mr+tcouxttaeE� �1NFS1�A E0� ExpEPEF0EP1i VM' EO �n1MIZN,Inm M p111cW Pic IMrtWM�iM\Mme p�MA11 leMY dCallmCdWivsa' AUG 312005 BrendaTWOOT` Fi}g4 f8r Record in: Co lin ounty, McKinney TX Honorable Brenda Taylor Collin County Clerk On Rugg 31 2005 Ot 9:36am Doc/Hum : 2005- 0121641 s:wnaacrs Enaozaosarvmmo�rozaosFsnnm.k Recording/Type:"lzo" 20.00 Receipt g: 35363 Reunion Title 12630 E. Northwest Highway, Suite 301 Dallas, TX 75228 Phone (972) 682-3700 Fax (972) 682-3800 January 31, 2006 CITY OF ALLEN 305 Century Parkway Allen, Texas 75013 Re: G.F. No. 126000442P Property: 0.153 acres of land Allen Texas 75002 RECEIVED FEB 9 1006 ADMINISTRATION Dear Policyholder. Enclosed herewith, please find the Owner's Policy in connection with the above referenced transaction. It has been a pleasure to be of service to you for this transaction. Please remember that our company now has a permanent file for this property and can easily assist you with your title insurance needs in the future. If you should require anything further, please contact your closer at 972-727-9904. Very truly yours, union Title Pohcy epanment sh Ends. FORM T-1 OWNER POLICY OF TITLE INSURANCE If you want information about coverage or need assistance to resolve complaints, please call our loll free number 1-800-729-1902 If you make a claim under your policy, you must furnish wren notice in accordance with section 3 of the Conditions and Stipulations Visit our WoridIWhde Web arm at http //www stewzs .com OWNER'S POLICY OF TITLE INSURANCE ISSUED BY STEWART TITLE GUARANTY COMPANY SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, STEWART TITLE GUARANTY COMPANY, a Texas 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. Tifle to the estate or interest described in Schedule A being vested other than as stated therein; 2. Any defect in or lien or encumbrance on the title; 3. Any statutory or constitutional mechanic's, contractor's, or materialman'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 vnll pay the costs, attorneys' 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, Stewart Title Guaranty Company has caused this policy to be signed and seated by its duly authorized officers as of the date of Policy shown in Schedule A. Ac . %adv Chehrmen W tl a Board tPresident amr ea: STEWART TITLE OUAaAN COMPp NY horized Sig ry REUNJ N TITLE COMPAN'k Cal'IM9'0 E. Nort6wat RkIlyway _ •.:,`.:. Quite ani Clhatks, TX 75228 EXCLUSIONS FROM COVERAGE The following motion are expressly excluded from the coverage of this policy and the Company will not pay lass or damage, cash, anorneys' fees or expenses which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (Ii) the nharocter, dimensions or location of any improvement now or hereafter erected on the land; (iii) a separation in ownership or a change in the dimensions or area of the land or any panel of which the land is or was a port; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a deled, 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 governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a dried, lien or emumbronce 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 hos been recorded in the public records at Date of Polity, but not excluding tram coverage any taking that has occurred prior to Date of Polity which would be binding on the rights of a purchaser for value without knowledge. 3. Unions, 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 of 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 on insured under this policy; (c) resulting in no loss or damage to the insured claimant; (d) attaching or created subsequent to Dote of Policy; (e) resulting in loss or damage which 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 an the estate or interest covered hereby in the land described in Schedule A because of unmorketabiliry 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, date insolvency, or other state of federal creditors' rights laws, that is based on either (i) 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 recharoderizution of the estate or interest insured by this Policy as a result of the application of the doctrine of equitable submordination, or (iii) the transaction creating the stare 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 of the failure of such recordation to import notice to a (purchaser for value or a judgment or lien creditor. 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(1) pwnsui so avowe, ayj 04 alm ay woq jo UyB11 Ann o4 ualgns'puo'11 alopolpS ui pawou pwnsu! By.PBmsm„ (o) Pal9p jo w!op mjenpo'muagwmu.'Nil all joep of silu!pea s! Ajmsamu By:uoew lulled sill u! pain Paye swja49u!mllol Bill mn1!Pa! (l) �suopuo Bu!Mollol By In one ala IlB4s Auodwo) Byv'pl1oA s! PBIBp JO 'SW83130 NOUIN1130 'I Mini (IN11 S1101110NO) CONDITIONS AND STIPULATIONS Continued (continued and concluded from reverse side of Policy face) by the insured claimant provided to the Company pursuant to this Sedion shall not 8. APPORTIONMENT, be disclosed to others unless, in the reasonable judgment of the Comany, it is II the land described in Schedule A consists of Iwo or more parcels that are not necessary in the administration of the claim. Failure of the insured cPaimant to used as a single site, and a loss is established affecting one or more of the parcels submit for examination under oath, produce other reasonably requested information but not all, the loss shall be computed and settled on a pro rota basis as if the or grant permission to secure reasonably necessary information from third parties as amount of insurance under this policy was divided pro roto as to the value on Dole of regwired in this paragraph shall terminate any liability of the Company under this Policyof each separate parcel to the whole, exclusive of any improvements made policy as to that claim. subsequent to Dole of Policy, unless a liability or value has otherwise been agreed 6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION OF upon as to eachparcel by the Company and the insured at the time of the issuance of LIABILITY. this policy and shown by an express statement or by an endorsement alloched m ibis In rose of a claim under this policy, the Company shall have the following policy. additional options: 9. LIMITATION OF UABIUTY. (a) To Pay or Tender Payment of the Amount of Insurance. (a) If[he Company establishes the title, or removes the alleged defect, lien or To pay or tender payment of the amount of insurance under this policy, encumbrance, or cures the lack of o right of access to or from the land, all as insured, together with any costs, anarneyyss' lees and expenses incurred by the insured or takes atfion in adordance with Section 3 or Section 6, in a reasonably diligent claimant, which were authorized by the Cam any, up to the time of payment or manner by an method, including litiggation and the completion of any appeals tender of payment and which the Company is obligated to pay. therefrom, it shall have fully erfarmed its obligations with respect to that matter Upon the exercise by the Company of This option, all liability and obligations to and shall not be liable lar any Pass or damage caused thereby. the insured under this polls , other than to make the payment required, shall terminate, including 4told Ciry to defend, (6) In the event of any litigation, including litigation by ibe Company or with any or ohligafion prosecute, or continue any litigation, the Company's consent, the Company shall have no liability for loss or damage until and the policy shall he surrendered to the Company for cancellation. there hes been a final determination by a wort of competent jurisdiction, and (b) To Pay or Otherwise Settle With Parties Other than the Insured or With disposition of all appeals therefrom, adverse to the title as Insured. the Insured tlaimant. (c) The Company shall not be Imble for lass or damage to any Insured for (i) to pay or otherwise settle with other parties for or in the name of liability volumm�ly assumed by the insured in settling any claim or suit without the an insured claimant any claim insured against under this policy, together with any priorwn"m cunsent of the Company. costs, attorneys' fees and expenses incurred by the insured tlaimant which were 10. REDUCTION OF IN REDUCTION OR TERMINATION OF LIABILITY. out harized by the Company up to the time of payment and which the Company is All payments under this policy, swept payments made for costs, attorneys' fees (i!) 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, which were authorized by the Company up to the time of payment and which the (am yan is obligated to pay. Upon the exercise by the Company of eil er of the options provided for in Paragraphs (61(i) or (iii, he (ompany's obligations to the insured under this poli I the claimedd loss or damage, other than the payments required to be made, she 1 terminate, including any liability or obligation to defend, prosecute or continue any litigation. 7. DETERMINATION, EXTENT OF LIABILITY AND COINSURANCE. This polity is a around of indemnity against actual monetary loss or damagge sustained or incurred by the insured claimant who has suffered loss or damage by reown of matters insured against by this policy and only to the extent herein described. of; (a) The liability of the Company under this policy shall not exceed the least I) the Amount of Insurance stated in Schedule A; ii1 the difference between the value of the insured estate or interest as insured and 1)e 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 furnish to Company a proof of loss or damage in amordon(e with Section (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 full consideration paid for the land, whichever is lett, or if subsequent to the Date of Policy and improvement is seemed on the land which increases the value of the insured estate or interest by at least 20 percent mer the Amount of Insurance stated in Schedule A, then this Policy is subject to the fallowing: ('I where no subs uent improvement has been mode, as to any partial Ins, t e Company shall only pay the loss pro rata in the proportion that the amount of insurance at Date of Policy bears w the total value of the insured estate or interest at Date of Policy; or (!i) where a subsequent improvement has been mode, as to any panlal lo%, the Comparl 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 doted in Schedule A and the amount expended for the improvement. The provisions of this parograph shall not apply to costs, attorney's fees and expenses for which the Company is liable under this poliq, and shall only apply to that portion of any loss which exceeds, in the aggregate, l0 percent of the Amount of Insurance stated in Schedule A. (c The Company will pay only those costs, attorney's fees and expenses inournel in accordance with Section 4 of these Conditions and Stipulations and expenses, shall reduce the amount of insurance pro more. II. LIABILITY NONCUMULATIVE. It is expressly understood that the amount of insurance under this policy shall be reduced by any amount the Company mayy'' pay under any policy insurin o mortgage to whish exception is taken in Schedule B or to which the insured Its agreed, assumed or taken subject, or which is hereafter executed by an insured and whish is a charge or lien on the wrote 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. 12. PAYMENT OF LOSS_ Ie without producing this paliryry for endorsement s been lost or destroyed, in which case proof of to the satisfaction of the Common. and Whenever the Company shall have settled and paid a claim under this policy, all right of subrogation shall vest in the Company unaffected by any ad of the insured daimant. The Company shall be subrogated to and be entitled to all right and remedies that the insured claimant would have had against any person or properly in respect to the claim hod this policy not been issued. II requ%red by the Company, the insured claimant shall transfer w the Company all rights and factories against any person ar property necessary in order to perfect this right of subrogation. The insured (Iaimant shall permit the Company to sue, (am range or settle in the name of the insured cloimont and to use the name of the insured dalmont in any transaction or litigation involving these rights or remedies. If a payment on account of a claim does not fully (mer the loss of the insured cloimont, the Company shall he subrogated to these righh and remedies in the proportion which the (ampany's payment been to the whole amount of the on. If loss should result from any ad of the insured claimant, as stated above, that act shall nm void this policy, but the Company, in that event, shall be required to pay only that pad of any lasses insured against by this policy that shall exceed the amount, if any, lost to the Compo%p by reform of the impairment by the insured claimant of the Company's right of subrogation. (b) The Company's Rights Against Non-insured Obligors. The Company's 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 condition contained in those instruments that provide for subrogation rights by 14. ARBITRATION. Unless prohibited b��•• appplicable low or unless this arbitration section is deleted by specific provision in khedule B of this polity, either the Company or the insured may demand arbitration pursuant to the Title Issuance Arhimation Rules of the American Ar6itation Assaiation. Arbitrable masers may include, 6u1 are not limited to, any controversy or claim behxeen the Company and the Insured arising out of or relating to this paltry, any service of the Company in anneclion with its issuance or the breach of a polity provision car other obligation. All arbitrable maffers when the Amount of Insurance is $1,000,000 or less SHALL BE arbitrated at the request of either the Company or the insured, unless the insured is an individual Person (as distinguished Tram a corpoatian, trust, partnership, association or other egal entity). All orhihoble masers when the Amount of Insurance is in esceu of $1,000,000 shall he orbitated only when agrced to bII�' both the Company and the Insured. Arbitration pursuant to this polity and under the Rules in eNect an the date Hie demand for arbitration is mode or, at the option of the insured, the Rules in eHm m Ilnte of hiiry 6.116e hindinn upon the mnies. The award may include to award attornes fees to a prevailing parry. Judgment upon the award rendered by the Arbitrator(l may be entered in any court having jurisdiction thereof. The law 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, Winched hereto by the Company is the entire policy and contract between the insured and )he ,Compgny. In Interpreting any prevision of this policy, this policy shall be construed as o whole. (b) Any doim 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. (() No amendment of or endorsement to this policy run be made except by a writing endorsement hereon or attached hereto signed by either the President, a Via President, the Secretary, an Assistant Secretory, or validating officer or authorized In the event any provision of the policy is held invalid or unenforceable under applicable low, the policy shall he deemed not to include that provision and all other provisions shall remain in full force and effect. 17. NOTICES, WHERE SENT. All notices required to he given the Company and any statement in writing required to be furnished the Company shall include the number of this policy and shall he addressed to the Company at P.O. Box 2029, Houston, Texas 77252-2029. COMPLAINT NOTICE. Should any dispute arise about your premium or about a claim that you here filed, concoct the agent or write to the Company that issued the policy. If the problem is not resolved, you also maF� write the Texas Department of Insurance, P.O. Box 149091, Austin, TY 78714-9091, Fax No. (512) 475-1771. This notice of complaint procedure is for information only and does not become a pan or condition of this policy. STEWART TITLE GUARANTY COMPANY H N w` o K 7CO o r y coq D r n m N i FI N ,yy m ly l'I T-1' Owner Pohcyof Ttlelnsurance Policy Codes: 1000 0500 SCHEDULE A roan P scnbed by Texas Department of Insurance (Revised 11IN3) GF NO.: 126000442P Policy Date: August 31, 2005 at 9:30am Owner Policy No.: 0-5841-201545 Policy Amount: Sixteen Thousand Six Hundred Forty Five dollars and Zero cents- $16,645.00 Premium: $328.90 1 Name of Insured CITY OF ALLEN, TEXAS 2. The estate or interest in the land that is covered by this policy is: Easement Estate as created In Water Line Easement dated on August t6, 2005, by and between BRIAN RANDALL WINES, PHILLIP ALAN WINES and MARK WILLIAM WINES, CO -TRUSTEES OF THE WINES FAMILY IRREVOCABLE TRUST and WALTER S. HENRION and the CITY OF ALLEN, TEXAS, recorded on August 31, 2005, under County Clerk File 712005-0121641, COLLIN County, Texas. 3. Title to the estate or interest in the land is insured as vested in: CITY OF ALLEN, TEXAS 4. The land referred to in this policy is described as follows: SEE EXHIBIT ATTACHED Schedule A of this Policy wnsisrs of 2 pages) Stewart Title Guaranty Company T -I O er PoLcyof Mtlelnsunuce Policy Codes: 1000 0500 Ibrm PPescnbed by Texas Department of Insurance (Revised IPo93) EXHIBIT'A' BEING a tract of land located in the H. SEABORN and R. F. CLEMENTS SURVEY, ABSTRACT NO. 879, City of ALLEN, COLLIN County, Texas, and being a part of a tract of land described in Deed to Phillip Alan Wines, Brian Randall Wines and Mark William Wines, recorded in Volume 2774, Page 647, Deed Records, COLLIN County, Texas and being more particularly described as follows: BEGINNING at a 3 5f inch aluminum disk stamped "Texas Department of Transportation" found for comer at the intersection of the Southeast right-of-way line of State Highway No. 121, a variable width right-of-way, with the approximate centerline of County Road No 150, said point being in the East line of said Wines tract at the Northwest comer of a tract of land described as Tract A in Deed to Blue Star Allen Land, L. P., recorded in Volume 5638, Page 5127 (Document No. 2004-0044103), Deed Records, COLLIN County, Texas; THENCE South 00 degrees 30 minutes 41 seconds East, (Basis of Bearing derived from Texas State Plane Coordinate System, North Central Zone, NAD 83), a distance of 11.02 feet to a point for comer; THENCE South 64 degrees 36 minutes 21 seconds West, a distance of 298.79 feet to a point for comer; THENCE South 58 degrees 10 minutes 20 seconds West, a distance of 188.77 feet to a point for comer; THENCE South 70 degrees 08 minutes 57 seconds West, a distance of 179.35 feet to a point for corner in the West line of said Wines tract and in the East line of a tract of land described in Deed to Robert R. Rantzow and Susan Jane Rantzow, recorded in Document No. 99-0076415, Deed Records, COLLIN County, Texas; THENCE North 01 degrees 04 minutes 07 seconds West, along the common line of said Wines tract and said Rantzow tract, a distance of 10.56 feet in a 3 Si inch aluminum disk stamped "Texas Department of Transportation" found for corner in the Southeast night -of -way line of State Highway No. 121; THENCE along the Southeast right-of-way line of said State Highway No. 121, the following three (3) courses and distances: North 70 degrees 08 minutes 57 seconds East, a distance of 174.90 feet to a 3 SS inch aluminum disk stamped 'Texas Department of Transportation" found for comer; North 58 degrees 10 minutes 20 seconds East, a distance of 188.29 feet to a point for comer; North 64 degrees 36 minutes 21 seconds East, a distance of 303.99 feet to the POINT OF BEGINNING and containing 6,670 square feet or 0.153 acres of land, more or less. NOTE: The Company is prohibited from insuring the area or quantity of the land described on Schedule A hereof. Any statement in such 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 information and/or identification purposes and does not override Item 2 of Schedule B hereof. 4 Scbsdule A of ibis Policy consists of 2 pages) Stewart Title Guaranty Company Form T-1 Owner Policy of Title hisumnre Farm Prescribed by Texas uelu m sent of Insurance (Revised 111193) OF No. 126000442P Owner Policy No. 0-5841- 201545 SCHEDULEB EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorney's 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 exceptions): Xproll"EM I OF SCHEDULE B IS HEREBY DELETED IN ITS ENTIRETY. 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. Standby fees, taxes and assessments by any taxing authority for the year 2005 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.. 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. Easements, or claims of easements, which are not recorded in the public records. b. Rights of tenants in possession, as tenants only, under any unrecorded rental or lease agreements. c. Rights of the public, the State of Texas and the municipality in and to that portion of subject property, if any, lying within the boundaries of any roadway, public or private. d. Right-of-way easement to DENTON COUNTY ELECTRIC COOPERATIVE, INC., dated March 21, 1938, recorded in Volume 468, Page 71, Deed Records, COLLIN County, Texas. Schedule B of this Pohcy consists of 2 page(s) Stewart Title Guaranty Company Form T-1 Oaver Polwy of Tne Insurance rnrm Prescnbe4 by Texas D parsmens of Insurance (Revised 1/1/93) OF No. 126000442P Owner Policy No. 0-5841• 201545 e. Rights of parties in possession. BY: A onzed Countersignature SchrAuk B of this %hcy consists of 2 page(s) Stewart Title Guaranty Company FT (612001) Reunion Title PRIVACY POLICY NOTICE PURPOSE OF THIS NOTICE i .ere_ 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 thud 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 Reunion Title. 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. • Nan -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 in 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. FT (6/2001) Stewart Title Guaranty Company PRIVACY POLICY NOTICE PURPOSE OF THIS NOTICE File No. 126000442P 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 Stewart Title Guaranty Company. 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 staffers 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.