CLTA 112.1 Bondholder (08-04-22)

ENDORSEMENT
Attached to Policy No. ____________
Issued by
STEWART TITLE GUARANTY COMPANY

 Condition 1.j. of this policy is deleted and replaced with the following:

j. "Insured":  

i. (a). The Insured named in Item 1 of Schedule A, together with each owner or legal holder of the Bond(s);

(b) each successor of the Insured, as Bond trustee under the indenture referred to in the Insured Mortgage, provided the successor is the parent or whollyowned subsidiary of the Insured, and is a successors by operation of law and not by purchase;

(c) each successor in ownership of the Bond(s); or

(d) any governmental agency or governmental instrumentality that is an insurer or guarantor under an insurance contract or guarantee insuring or guaranteeing the indebtedness evidenced by the Bond(s).

ii. With regard to Condition 1.j.i.(b), the Company reserves all rights and defenses as to any successor or grantee that the Company would have had against any predecessor Insured.

iii. With regard to Condition 1.j.i.(c), the Company reserves all rights and defenses as to any successor that the Company would have had against any predecessor Insured, unless the successor acquired the Bond(s) as a purchaser for value without Knowledge of the asserted defect, lien, encumbrance, adverse claim, or other matter insured against by this policy.

Condition 1 of this policy is further amended by adding the following subparagraph v.:

v. "Bond" or "Bonds":  The evidence of indebtedness, whether one or more, secured by the Insured Mortgage.

Condition 7.a. of this policy is deleted and replaced with the following:

a. To Pay or Tender Payment of the Amount of Insurance or to Purchase the Bond(s)

(i) to pay or tender payment of the Amount of Insurance under this policy. In addition, the Company will pay any costs, attorneys' fees, and expenses incurred by the Insured Claimant that were authorized by the Company up to the time of payment or tender of payment and that the Company is obligated to pay; or

(ii) to purchase the Bond or Bonds secured by the Insured Mortgage for the amount owing on the date of purchase. In addition, the Company will pay any costs, attorneys' fees, and expenses incurred by the Insured Claimant that were authorized by the Company up to the time of purchase and that the Company is obligated to pay.

If the Company purchases the Bond(s), the Insured must transfer, assign and convey to the Company the Bond(s) and the Insured Mortgage, together with any collateral security.

Upon the exercise by the Company of either option provided for in Condition 7.a., the Company’s liability and obligations to the Insured under this policy terminate, including any obligation to defend, prosecute, or continue any litigation.

Any loss under this policy shall be payable to the Insured as their respective interests may appear.  If payment is made to any owner or legal holder of a Bond, such payment shall be made ratably with any other owner or legal holder of the Bond.  Payment by the Company to an owner or legal holder of a Bond will reduce pro tanto the liability of the Company under this policy to such owner or legal holder.

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.

STEWART TITLE GUARANTY COMPANY

By:

Dated: