Page 30 - Guide to the Most Requested Commercial Title Insurance Endorsements eBook

ALTA Table of Contents Quick Reference Index

ENDORSEMENT 1 2 3 1 2 3 4 5 6

COVENANTS, RESTRICTIONS, ENCROACHMENTS, AND MINERAL COVERAGE SERIES
ALTA 9 SERIES - FOR LOAN POLICIES
ALTA ENDORSEMENTS 9-06, 9.3-06, 9.6-06, 9.6.1-06, 9.7-06, 9.10-06

I. Purpose:

The ALTA 9 series endorsements insure over certain matters specified on the face
of the endorsements, unless matters are “expressly excepted in Schedule B.”

It is expected that more than one of the ALTA 9 series endorsements will be
requested in connection with a single policy issuance. Each endorsement version
covers specific but different areas of concern to an Insured. As a result, it will not
be unusual to issue more than one ALTA 9 series endorsement in a given
transaction.

II. Coverage Provided:

a. ALTA 9-06 (Restrictions, Encroachments, Minerals – Loan Policy): Provides
affirmative coverage to a lender with respect to property restrictions and
covenants, building setback lines, encroachments and mineral rights excepted
from coverage.

b. ALTA 9.3-06 (Covenants, Conditions, and Restrictions – Loan Policy): Provides
coverage to lenders for certain items of loss pertaining to Covenants. An
insured lender is covered as to loss of priority, enforceability and validity of an
insured mortgage or loss of title after foreclosure because of violation of a
Covenant. It also covers loss as a result of any current violation of a Covenant
or forced removal of an improvement as a result of an encroachment onto a
setback line and violations of environmental protection laws unless a notice of
violation is recorded.

c. ALTA 9.6-06 (Private Rights – Loan Policy): Provides coverage against loss or
damage resulting from options to purchase, Rights of First Refusal (“ROFR”),
or rights of prior approval of purchasers or occupants, all as contained in
“Covenants” as defined in the endorsement. This endorsement also provides
certain coverages against loss or damage resulting from private charges or
assessments contained in a Covenant.

d. ALTA 9.6.1-06 (Private Rights – Current Assessments – Loan Policy): Provides
certain coverages against loss or damage resulting from options to purchase,
Rights of First Refusal (“ROFR”), or rights of prior approval of purchasers or
occupants, as contained in “Covenants” as defined in the endorsement. This
endorsement also provides certain coverages against loss or damage resulting
from private charges or assessments in a Covenant, but only those that are
due and payable at the Date of Policy.

3 NCS Commercial Endorsement Guide | oldrepublictitle.com/ncs 30