1999-05-05 Title InsuranceAMERICAN LAND TITLE ASSOCIATION
OWNER'S POLICY
(10-17-92)
CHICAGO TITLE INSURANCE COMPANY
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE
CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, CHICAGO TITLE
INSURANCE COMPANY, a Missouri 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 stated therein;
2. Any defect in or lien or encumbrance on the title;
3. Unmarketability of the title;
4. Lack of a right of access to and from the land.
The Company will also 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, CHICAGO TITLE INSURANCE COMPANY has caused this policy to be signed and sealed as
of Date of Policy shown in Schedule A, the policy to become valid when countersigned by an authorized signatory.
Issued by:
CHICAGO TITLE INSURANCE COMPANY
9855 WEST 78TH STREET
MINNEAPOLIS, MN 55344
(612) 826-3000
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CHICAGO TITLE INSURANCE COMPANY
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President
By:
Secretary
ALTA Owner's Policy (10-17-92)
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CHICAGO TITLE INSURANCE COMPANY
SCHEDULE A
Fii,F. NiIMBER
DATE OF POLICY AMOUNT OF INSURANCE
2494840-1 May 5, 1999 $300,000.00
at 7:00 A.M.
1. Name of Insured:
City of Albertville
2. A fee simple estate in the land covered by this policy is vested in the insured.
3. The land herein described is encumbered by the following mortgage or trust deed, and assignments:
None
and the mortgages or trust deeds, if any shown in Schedule B hereof.
4. The land referred to in this Policy is described as follows:
Outlot E, Outlets of Albertville, Wright County, Minnesota.
Abstract.
This policy valid only if Schedule B is attached.
ALOP92 3/98
CHICAGO TITLE INSURANCE COMPANY
File Number: 2494840-1 SCHEDULE B
EXCEPTIONS FROM COVERAGE
This policy does not insure against loss or damage (and the Company will not pay costs, attorney' fees or expenses) which
arise by reason of:
(A) Real estate taxes payable in 2000 and thereafter.
(B) Levied Assessments in the amount of $107,000.00.
(C) Special Assessments hereafter levied.
2. Terms and conditions of Rental Agreement for erecting advertising signs and structures in
favor of Franklin Outdoor Advertising dated August 28, 1990, filed February 15, 1991 as
Document No. 485058. (affects Parcel B)
3. Subject to the rights of the public in the East 41.25 feet of the North 1/2 of the Southeast 1/4
of Parcel B being used for County Highway No. 19.
4. Easement for electric transmission line purposes in favor of Northern States Power Company
filed August 6, 1990 as Document No. 476934. (afffects Parcel B)
5. Easement for electric transmission line purposes in favor of Northern States Power Company
dated December 14, 1951, filed Apri122, 1952 as Document No. 186037, corrected by
instrument dated July 31, 1952, filed August 19, 1952 as Document No. 187123. (afffects
Parcel C, to be deleted upon certification from surveyor that does not affect this property)
6. Unconfined easement for erecting and maintaining temporary snow fences and all right of
direct access onto highway taken by the State of Minnesota by Final Certificate filed in Book
191 of Deeds, Page 121, Final Certificate filed October 2, 1969 as Document No. 258330,
Final Certificate filed July 7, 1976 as Document No. 306351, and Warranty Deed dated May
26, 1971, filed August 26, 1971 as Document No. 269675. (affects Parcels B and C)
7. Developer's/Planned Unit Development Agreement dated May 4, 1999, filed May 4, 1999 as
Document No. 677246, by and between Albertville Factory Outlets, LLC, and the City of
Albertville.
ALTAOPB 3/98
CHICAGO TITLE INSURANCE COMPANY
File Number: 2494840-1
SCHEDULE B -Continued
8. Drainage Easement dated April 23, 1999, filed May 4, 1999 as Document No. 677248,
executed by Albertville Factory Outlets, LLC to the City of Albertville.
Countersigned
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OP1BC 3/98
CONDITIONS AND STIPULATIONS
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 rights
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
distinguished from purchase including, but not limited to, heirs, distributees,
devisees, survivors, personal representatives, next of kin, or corporate or
fiduciary successors.
(b) "insured claimant": an insured claiming loss or damage.
(c) "knowledge" or "known": actual knowledge, not constructive knowl-
edge or notice which may be imputed to an insured by reason of the public
records as defined in this policy or any other records which impart construc-
tive notice of matters affecting the land.
(d) "land": the land described or referred to in Schedule A, and improve-
ments affixed thereto which by law constitute real property. The term "land"
does not include any property beyond the lines of the area described or
referred to in Schedule A, nor any right, title, interest, estate or easement in
abutting streets, roads, avenues, alleys, lanes, ways or waterways, but noth-
ingherein 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.
(f) "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 1(a)(iv) of the Exclusions From Coverage, "public records" shall also
include environmental protection liens filed in the records of the clerk of the
United States district court for the district in which the land is located.
(g) "unmarketability of the title": an alleged or apparent matter affecting
the title to the land, not excluded or excepted from coverage, which would
entitle a purchaser of the estate or interest described in Schedule A to be
released from the obligation to purchase by virtue of a contractual condition
requiring the delivery of marketable title.
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
in force in favor of any purchaser from the insured of either (i) an estate or
interest in the land, or (ii) an indebtedness secured by a purchase money
mortgage given to the insured.
NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
The insured shall notify the Company promptly in writing (i) in case of any
litigation as set forth in Section 4(a) below, (ii) in case knowledge shall come to
an insured hereunder of any claim of title or interest which is adverse to the
title to the estate or interest, as insured, and which might cause loss or dam-
agefor which the Company may be liable by virtue of this policy, or (iii) if title to
the estate or interest, as insured, is rejected as unmarketable. 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 forwhich prompt
notice is required; provided, however, that failure to notify the Company shall
in no case prejudice the rights of any insured under this policy unless the
Company shall be prejudiced by the failure and then only to the extent of the
prejudice.
4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED
CLAIMANT TO COOPERATE
(a) Upon written request by the insured and subject to the options con-
tained in Section 6 of these Conditions and Stipulations, the Company, at its
own cost and without unreasonable delay, shall provide for the defense of an
insured in litigation in which any third party asserts a claim 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 right to select counsel of its choice (subject to the
right of the insured to object for reasonable cause) to represent the insured as
to those stated causes of action 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
which 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 which 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 the 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 liability or waive any
provision of this policy. If the Company shall exercise its rights under this
paragraph. it shall do so diligently.
(c) Whenever the Company shall have brought an action or interposed a
defense as required or permitted by the provisions of this policy, the Company
may pursue any litigation to final determination by a court of competent juris-
diction 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 prose-
cute 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 therein, 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 Company's expense, shall give
the Company all reasonable aid (i) in any action or proceeding, securing
evidence, obtaining witnesses, prosecuting or defending the action or pro-
ceeding, or effecting settlement, and (ii) in any other lawful act which in the
opinion of the Company maybe necessary or desirable to establish the title 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 liability or obliga-
tion to defend, prosecute, or continue any litigation, with regard to the matter
or matters requiring such cooperation.
PROOF OF LOSS OR DAMAGE
In addition to and after the notices required under Section 3 of these Condi-
tions 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 90 days after the insured claimant shall ascertain the facts
giving rise to the loss or damage. The proof of loss or damage shall describe
the defect in, or lien or encumbrance on the title, or other matter insured
against by this policy which constitutes the basis of loss or damage and shall
state, to the extent possible, the basis of calculating the amount of the loss or
damage. 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 liability or obliga-
tion 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 claimant 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 reason-
abletimes 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, if requested by any autho-
rized representative of the Company, the insured claimant shall grant its
permission, in writing, for any authorized representative of the Company to
examine, inspect and copy all records, books, ledgers, checks, correspon-
denceand memoranda in the custody or control of a third party, which reason-
ably pertain to the loss or damage. All information designated as confidential
by the insured claimant provided to the Company pursuant to this Section
shall not be disclosed to others unless, in the reasonable judgment of the
Company, it is necessary in the administration of the claim. Failure of the
insured claimant to submit for examination under oath, produce other reason-
ably requested information or grant permission to secure reasonably neces-
sary information from third parties as required in this paragraph shall termi-
nate 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 authorized by the Company, up to the time of payment or
tender of payment and which the Company is obligated to pay.
Upon the exercise bythe Company of this option, all liability and obligations
to the insured underthis policy, otherthan to make the payment required, shall
terminate, including any liability or obligation to defend, prosecute, or con-
tinue any litigation, and the policy shall be surrendered to the Company for
cancellation.
(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 underthis 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; or
(ii) to pay or otherwise settle with the insured claimant the loss or damage
provided for under this policy, together with any costs, attorneys' fees and
expenses incurred by the insured claimant which were authorized by the
Company up to the time of payment and which the Company is obligated to
pay.