MI Construction Loan Disbursement Endorsement 1
ENDORSEMENT ATTACHED TO AND MADE A PART
OF THE POLICY OF TITLE INSURANCE
STEWART TITLE GUARANTY COMPANY
HEREIN CALLED THE COMPANY
Upon disbursement of the amount shown at (b) below in connection with subject property, we hereby extend the date of our title insurance policy to the date below increasing the coverage to the amount stated in (c) below; and further, we insure against loss or damage by reason of the establishment of priority over the lien of the said mortgage of any statutory lien for labor or material arising from non payment of bills covering the improvements set forth in the sworn statements and documents evidencing work progress submitted to the Company in connection with said disbursement and for which funds were actually advanced.
(a) $_______________________ (Total previously insured to date)
(b) $_______________________ (Amount to be presently disbursed)
(c) $_______________________ (Total amount of insurance)
The following exceptions are hereby added to Schedule B of said Policy:
Nothing herein contained, nor in the policy previously issued, shall subject Stewart Title Guaranty Company to liability for the completion of the improvements presently under construction on the insured premises or to liability for non-compliance with plans and specifications in connection with the construction, and Stewart Title Guaranty Company in no way guarantees the sufficiency of the mortgage proceeds as adequate to complete said improvements. Stewart Title Guaranty Company does not insure against liens for labor performed and materials furnished after Date of Endorsement.
This endorsement is issued as part of the policy. Except as it expressly states, it does not (i) modify any of the terms and provisions of the policy, (ii) modify any prior endorsements, (iii) extend the Date of Policy, or (iv) increase the Amount of Insurance. To the extent a provision of the policy or a previous endorsement is inconsistent with an express provision of this endorsement, this endorsement controls. Otherwise, this endorsement is subject to all of the terms and provisions of the policy and of any prior endorsements.
Date of Endorsement: ___________________
Signed under seal for the Company, but this endorsement is to be valid only when it bears an authorized countersignature.
No guidelines are available for this form at this time.