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1 . DEFINITION OF TERMS CONDITIONS
<br /> The following terms when used in this policy mean :
<br /> ( a) "Amount of Insurance " : The amount stated in Schedule A, as may be increased or decreased by endorsement to this policy, increased
<br /> by Section 8 ( b ) , or decreased by Sections 10 and 1 I of these Conditions .
<br /> ( b ) " Date of Policy" : The date designated as "Date of Policy" in Schedule A.
<br /> ( c ) " Entity" : A corporation , partnership, trust, limited liability company, or other similar legal entity.
<br /> ( d ) "Insured " : The Insured named in Schedule A.
<br /> ( i ) the term "Insured " also includes
<br /> (A) successors to the Title of the Insured by operation of law as distinguished from purchase , including heirs , devisees, survivors
<br />,
<br /> personal representatives , or next of kin ;
<br /> ( B ) successors to an Insured by dissolution , merger, consolidation , distribution , or reorganization ;
<br /> ( C ) successors to an Insured by its conversion to another kind of Entity;
<br /> ( D ) a grantee of an Insured under a deed delivered without payment of actual valuable consideration conveying the Title
<br /> ( 1 ) if the stock, shares, memberships, or other equity interests of the grantee are wholly-owned by the named Insured ,
<br /> ( 2 ) if the grantee wholly owns the named Insured ,
<br /> ( 3 ) if the grantee is wholly-owned by an affiliated Entity of the named Insured, provided the affiliated Entity and the named
<br /> Insured are both wholly-owned by the same person or Entity, or
<br /> ( 4 ) if the grantee is a trustee or beneficiary of a trust created by a written instrument established by the Insured named
<br /> in
<br /> Schedule A for estate planning purposes .
<br /> ( ii ) with regard to (A ) , ( B ) , ( C ) , and ( D ) reserving, however, all rights and defenses as to any successor that the
<br /> Company
<br /> would have had against any predecessor Insured .
<br /> ( e ) "Insured Claimant": An Insured claiming loss or damage .
<br /> ( f) "Knowledge " or "Known " : Actual knowledge , not constructive knowledge or notice that may be imputed to an Insured by reason of
<br /> the Public Records or any other records that impart constructive notice of matters affecting the Title .
<br /> (g) "Land": The land described in Schedule A, and affixed improvements that by law constitute real property. The term "Land" does
<br /> not include any property beyond the lines of the area described in Schedule A. nor any right, title , interest, estate , or easement
<br /> in
<br /> abutting streets , roads, avenues, alleys , lanes, ways , or waterways, but this does not modify or limit the extent that a right
<br />of access to
<br /> and from the Land is insured by this policy.
<br /> ( h ) " Mortgage " : Mortgage , deed of trust, trust deed , or other security instrument, including one evidenced by electronic means
<br /> authorized by law.
<br /> ( i ) "Public Records ": Records established under state statutes at Date of Policy for the purpose ofimparting constructive notice
<br /> of
<br /> matters relating to real property to purchasers for value and without Knowledge . With respect to Covered Risk 5 ( d ) , "Public
<br /> Records " shall also include environmental protection liens filed in the records of the clerk of the United States District Court
<br />for the
<br /> district where the Land is located .
<br /> (j ) "Title " : The estate or interest described in Schedule A.
<br /> ( k ) "Unmarketable Title " : Title affected by an alleged or apparent matter that would permit a prospective purchaser or lessee of the Title
<br /> or lender on the Title to be released from the obligation to purchase , lease , or lend if there is a contractual condition requiring
<br /> the
<br /> delivery of marketable title .
<br /> 2 . CONTINUATION OF INSURANCE
<br /> The coverage of this policy shall continue in force as of Date of Policy in favor of an Insured , but only so long as the Insured retains an estate
<br /> or interest in the Land , or holds an obligation secured by a purchase money Mortgage given by a purchaser from the Insured , or
<br /> only so
<br /> long as the Insured shall have liability by reason of warranties in any transfer or conveyance of the Title . This policy shall not
<br /> continue in
<br /> force in favor of any purchaser from the Insured of either ( i ) an estate or interest in the Land , or ( ii ) an obligation secured
<br /> by a purchase
<br /> money Mortgage given to the Insured .
<br /> 3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
<br /> The Insured shall notify the Company promptly in writing ( i ) in case of any litigation as set forth in Section 5 ( a) of these Conditions
<br />, ( ii ) in
<br /> case Knowledge shall come to an Insured hereunder of any claim of title or interest that is adverse to the Title , as insured , and
<br /> that might
<br /> cause loss or damage for which the Company may be liable by virtue of this policy, or ( iii ) if the Title , as insured , is rejected as Unmarketable
<br /> Title . If the Company is prejudiced by the failure of the Insured Claimant to provide prompt notice , the Company' s liability to the Insured
<br /> Claimant under the policy shall be reduced to the extent of the prejudice .
<br /> 4. PROOFOFLOSS
<br /> In the event the Company is unable to determine the amount of loss or damage , the Company may, at its option , require as a condition
<br /> of
<br /> payment that the Insured Claimant furnish a signed proof of loss. The proof of loss must describe the defect, lien , encumbrance , or other
<br /> 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
<br /> the amount of the loss or damage .
<br /> FORM OF6 (rev. 12/ 10)(With Florida Modifications) 3 of 6
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