Loading...
HomeMy WebLinkAboutL_Title_Reports_190917_V1.pdf Form 5011453 (7-1-14) Page 1 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington Owner's Policy Owner's Policy of Title Insurance ISSUED BY First American Title Insurance Company POLICY NUMBER 5011453-2851532 Any notice of claim and any other notice or statement in writing required to be given to the Company under this policy must be given to the Company at the address shown in Section 18 of the Conditions. COVERED RISKS SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE B, AND THE CONDITIONS, FIRST AMERICAN TITLE INSURANCE COMPANY, a Nebraska corporation (the “Company”) insures, as of Date of Policy and, to the extent stated in Covered Risks 9 and 10, after Date of Policy, against loss or damage, not exceeding the Amount of Insurance, sustained or incurred by the Insured by reason of: 1. Title being vested other than as stated in Schedule A. 2. Any defect in or lien or encumbrance on the Title. This Covered Risk includes but is not limited to insurance against loss from (a) A defect in the Title caused by (i) forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation; (ii) failure of any person or Entity to have authorized a transfer or conveyance; (iii) a document affecting Title not properly created, executed, witnessed, sealed, acknowledged, notarized, or delivered; (iv) failure to perform those acts necessary to create a document by electronic means authorized by law; (v) a document executed under a falsified, expired, or otherwise invalid power of attorney; (vi) a document not properly filed, recorded, or indexed in the Public Records including failure to perform those acts by electronic means authorized by law; or (vii) a defective judicial or administrative proceeding. (b) The lien of real estate taxes or assessments imposed on the Title by a governmental authority due or payable, but unpaid. (c) Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land. The term “encroachment” includes encroachments of existing improvements located on the Land onto adjoining land, and encroachments onto the Land of existing improvements located on adjoining land. 3. Unmarketable Title. 4. No right of access to and from the Land. (Covered Risks Continued on Page 2) In Witness Whereof, First American Title Insurance Company has caused its corporate name to be hereunto affixed by its authorized officers as of Date of Policy shown in Schedule A. (This Policy is valid only when Schedules A and B are attached) This Jacket was created electronically and constitutes an original document Copyright 2006-2009 American Land Title Association. All rights reserved. The use of this form is restricted to ALTA licensees and ALTA members in good standing as of the date of use. All other uses are prohibited. Reprinted under license from the American Land Title Association Form 5011453 (7-1-14) Page 2 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington COVERED RISKS (Continued) 5. The violation or enforcement of any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (a) the occupancy, use, or enjoyment of the Land; (b) the character, dimensions, or location of any improvement erected on the Land; (c) the subdivision of land; or (d) environmental protection if a notice, describing any part of the Land, is recorded in the Public Records setting forth the violation or intention to enforce, but only to the extent of the violation or enforcement referred to in that notice. 6. An enforcement action based on the exercise of a governmental police power not covered by Covered Risk 5 if a notice of the enforcement action, describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement referred to in that notice. 7. The exercise of the rights of eminent domain if a notice of the exercise, describing any part of the Land, is recorded in the Public Records. 8. Any taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge. 9. Title being vested other than as stated in Schedule A or being defective (a) as a result of the avoidance in whole or in part, or from a court order providing an alternative remedy, of a transfer of all or any part of the title to or any interest in the Land occurring prior to the transaction vesting Title as shown in Schedule A because that prior transfer constituted a fraudulent or preferential transfer under federal bankruptcy, state insolvency, or similar creditors’ rights laws; or (b) because the instrument of transfer vesting Title as shown in Schedule A constitutes a preferential transfer under federal bankruptcy, state insolvency, or similar creditors’ rights laws by reason of the failure of its recording in the Public Records (i) to be timely, or (ii) to impart notice of its existence to a purchaser for value or to a judgment or lien creditor. 10. Any defect in or lien or encumbrance on the Title or other matter included in Covered Risks 1 through 9 that has been created or attached or has been filed or recorded in the Public Records subsequent to Date of Policy and prior to the recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A. The Company will also pay the costs, attorneys’ fees, and expenses incurred in defense of any matter insured against by this Policy, but only to the extent provided in the Conditions. EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs, attorneys' fees, or expenses that arise by reason of: 1. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting, regulating, prohibiting, or relating to (i) the occupancy, use, or enjoyment of the Land; (ii) the character, dimensions, or location of any improvement erected on the Land; (iii) the subdivision of land; or (iv) environmental protection; or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or limit the coverage provided under Covered Risk 5. (b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6. 2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8. 3. Defects, liens, encumbrances, adverse claims, or other matters (a) created, suffered, assumed, or agreed to by the Insured Claimant; (b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under this policy; (c) resulting in no loss or damage to the Insured Claimant; (d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under Covered Risk 9 and 10); or (e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title. 4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors’ rights laws, that the transaction vesting the Title as shown in Schedule A, is (a) a fraudulent conveyance or fraudulent transfer; or (b) a preferential transfer for any reason not stated in Covered Risk 9 of this policy. 5. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between Date of Policy and the date of recording of the deed or other instrument of transfer in the Public Records that vests Title as shown in Schedule A. Form 5011453 (7-1-14) Page 3 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington CONDITIONS 1. DEFINITION OF TERMS The following terms when used in this policy mean: (a) “Amount of Insurance”: The amount stated in Schedule A, as may be increased or decreased by endorsement to this policy, increased by Section 8(b), or decreased by Sections 10 and 11 of these Conditions. (b) “Date of Policy”: The date designated as “Date of Policy” in Schedule A. (c) “Entity”: A corporation, partnership, trust, limited liability company, or other similar legal entity. (d) “Insured": The Insured named in Schedule A. (i) The term "Insured" also includes (A) successors to the Title of the Insured by operation of law as distinguished from purchase, including heirs, devisees, survivors, personal representatives, or next of kin; (B) successors to an Insured by dissolution, merger, consolidation, distribution, or reorganization; (C) successors to an Insured by its conversion to another kind of Entity; (D) a grantee of an Insured under a deed delivered without payment of actual valuable consideration conveying the Title (1) if the stock, shares, memberships, or other equity interests of the grantee are wholly- owned by the named Insured, (2) if the grantee wholly owns the named Insured, (3) if the grantee is wholly-owned by an affiliated Entity of the named Insured, provided the affiliated Entity and the named Insured are both wholly-owned by the same person or Entity, or (4) if the grantee is a trustee or beneficiary of a trust created by a written instrument established by the Insured named in Schedule A for estate planning purposes. (ii) With regard to (A), (B), (C), and (D) reserving, however, all rights and defenses as to any successor that the Company would have had against any predecessor Insured. (e) "Insured Claimant": An Insured claiming loss or damage. (f) "Knowledge" or "Known": Actual knowledge, not constructive knowledge or notice that may be imputed to an Insured by reason of the Public Records or any other records that impart constructive notice of matters affecting the Title. (g) "Land": The land described in Schedule A, and affixed improvements that by law constitute real property. The term "Land” does not include any property beyond the lines of the area described in Schedule A, nor any right, title, interest, estate, or easement in abutting streets, roads, avenues, alleys, lanes, ways, or waterways, but this does not modify or limit the extent that a right of access to and from the Land is insured by this policy. (h) "Mortgage": Mortgage, deed of trust, trust deed, or other security instrument, including one evidenced by electronic means authorized by law. (i) "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 Covered Risk 5(d), "Public Records" shall also include environmental protection liens filed in the records of the clerk of the United States District Court for the district where the Land is located. (j) “Title”: The estate or interest described in Schedule A. (k) "Unmarketable Title”: Title affected by an alleged or apparent matter that would permit a prospective purchaser or lessee of the Title or lender on the Title to be released from the obligation to purchase, lease, or lend if there is a contractual condition requiring the delivery of marketable title. 2. CONTINUATION OF INSURANCE 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 or interest in the Land, or holds an obligation 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 warranties in any transfer or conveyance of the Title. 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 obligation secured by a purchase money Mortgage given to the Insured. 3. 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 5(a) of these Conditions, (ii) in case Knowledge shall come to an Insured hereunder of any claim of title or interest that is adverse to the Title, as insured, and that might 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 Title. If the Company is prejudiced by the failure of the Insured Claimant to provide prompt notice, the Company's liability to the Insured Claimant under the policy shall be reduced to the extent of the prejudice. 4. PROOF OF LOSS 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 of payment that the Insured Claimant furnish a signed proof of loss. The proof of loss must describe the defect, lien, encumbrance, or other 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 the amount of the loss or damage. 5. DEFENSE AND PROSECUTION OF ACTIONS (a) Upon written request by the Insured, and subject to the options contained in Section 7 of these Conditions, 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 covered by this policy adverse to the Insured. This obligation is limited to only those stated causes of action alleging matters 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. It 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 that allege matters not insured against by this policy. Form 5011453 (7-1-14) Page 4 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington CONDITIONS (Continued) (b) The Company shall have the right, in addition to the options contained in Section 7 of these Conditions, at its own cost, to institute and prosecute any action or proceeding or to do any other act that in its opinion may be necessary or desirable to establish the Title, 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 to the Insured. The exercise of these rights shall not be an admission of liability or waiver of any provision of this policy. If the Company exercises its rights under this subsection, it must do so diligently. (c) Whenever the Company brings an action or asserts a defense as required or permitted by this policy, the Company may pursue the litigation to a final determination by a court of competent jurisdiction, and it expressly reserves the right, in its sole discretion, to appeal any adverse judgment or order. 6. DUTY OF INSURED CLAIMANT TO COOPERATE (a) In all cases where this policy permits or requires the Company to prosecute or provide for the defense of any action or proceeding and any appeals, the Insured shall secure to the Company the right to so prosecute or provide defense in the action or proceeding, including the right 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 securing evidence, obtaining witnesses, prosecuting or defending the action or proceeding, or effecting settlement, and (ii) in any other lawful act that in the opinion of the Company may be necessary or desirable to establish the Title or any other matter 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 obligation to defend, prosecute, or continue any litigation, with regard to the matter or matters requiring such cooperation. (b) The Company may reasonably require the Insured Claimant to submit to examination under oath by any authorized representative of the Company and to produce for examination, inspection, and copying, at such reasonable times and places as may be designated by the authorized representative of the Company, all records, in whatever medium maintained, including books, ledgers, checks, memoranda, correspondence, reports, e-mails, disks, tapes, and videos whether bearing a date before or after Date of Policy, that reasonably pertain to the loss or damage. Further, if requested by any authorized 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 of these records in the custody or control of a third party that reasonably 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 any reasonably requested information, or grant permission to secure reasonably necessary information from third parties as required in this subsection, unless prohibited by law or governmental regulation, shall terminate any liability of the Company under this policy as to that claim. 7. 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 that were authorized by the Company up to the time of payment or tender of payment and that the Company is obligated to pay. Upon the exercise by the Company of this option, all liability and obligations of the Company to the Insured under this policy, other than to make the payment required in this subsection, shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation. (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 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 and that 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 that were authorized by the Company up to the time of payment and that the Company is obligated to pay. Upon the exercise by the Company of either of the options provided for in subsections (b)(i) or (ii), the Company's obligations to the Insured under this policy for the claimed loss or damage, other than the payments required to be made, shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation. 8. DETERMINATION AND EXTENT OF LIABILITY This policy is a contract of indemnity against actual monetary loss or damage sustained or incurred by the Insured Claimant who has suffered loss or damage by reason of matters insured against by this policy. (a) The extent of liability of the Company for loss or damage under this policy shall not exceed the lesser of (i) the Amount of Insurance; or (ii) the difference between the value of the Title as insured and the value of the Title subject to the risk insured against by this policy. (b) If the Company pursues its rights under Section 5 of these Conditions and is unsuccessful in establishing the Title, as insured, (i) the Amount of Insurance shall be increased by 10%, and (ii) the Insured Claimant shall have the right to have the loss or damage determined either as of the date the claim was made by the Insured Claimant or as of the date it is settled and paid. (c) In addition to the extent of liability under (a) and (b), the Company will also pay those costs, attorneys' fees, and expenses incurred in accordance with Sections 5 and 7 of these Conditions. Form 5011453 (7-1-14) Page 5 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington CONDITIONS (Continued) 9. LIMITATION OF LIABILITY (a) If the Company establishes the Title, or removes the alleged defect, lien, or encumbrance, or cures the lack of a right of access to or from the Land, or cures the claim of Unmarketable Title, all as insured, in a reasonably diligent manner by any method, including litigation and the completion of any appeals, it shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused to the Insured. (b) In the event of any litigation, including litigation by the Company or with the Company's consent, the Company shall have no liability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals, adverse to the Title, as insured. (c) The Company shall not be liable for loss or damage to the Insured for liability voluntarily assumed by the Insured in settling any claim or suit without the prior written consent of the Company. 10. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF LIABILITY All payments under this policy, except payments made for costs, attorneys’ fees, and expenses, shall reduce the Amount of Insurance by the amount of the payment. 11. LIABILITY NONCUMULATIVE The Amount of Insurance shall be reduced by any amount the Company pays under any policy insuring a Mortgage to which exception is taken in Schedule B or to which the Insured has agreed, assumed, or taken subject, or which is executed by an Insured after Date of Policy and which is a charge or lien on the Title, and the amount so paid shall be deemed a payment to the Insured under this policy. 12. PAYMENT OF LOSS When liability and the extent of loss or damage have been definitely fixed in accordance with these Conditions, the payment shall be made within 30 days. 13. RIGHTS OF RECOVERY UPON PAYMENT OR SETTLEMENT (a) Whenever the Company shall have settled and paid a claim under this policy, it shall be subrogated and entitled to the rights of the Insured Claimant in the Title and all other rights and remedies in respect to the claim that the Insured Claimant has against any person or property, to the extent of the amount of any loss, costs, attorneys' fees, and expenses paid by the Company. If requested by the Company, the Insured Claimant shall execute documents to evidence the transfer to the Company of these rights and remedies. The Insured Claimant shall permit the Company to sue, compromise, or settle in the name of the Insured Claimant and to use the name of the Insured Claimant in any transaction or litigation involving these rights and remedies. If a payment on account of a claim does not fully cover the loss of the Insured Claimant, the Company shall defer the exercise of its right to recover until after the Insured Claimant shall have recovered its loss. (b) The Company’s right of subrogation includes the rights of the Insured to indemnities, guaranties, other policies of insurance, or bonds, notwithstanding any terms or conditions contained in those instruments that address subrogation rights. 14. ARBITRATION Either the Company or the Insured may demand that the claim or controversy shall be submitted to arbitration pursuant to the Title Insurance Arbitration Rules of the American Land Title Association (“Rules”). Except as provided in the Rules, there shall be no joinder or consolidation with claims or controversies of other persons. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Insured arising out of or relating to this policy, any service in connection with its issuance or the breach of a policy provision, or to any other controversy or claim arising out of the transaction giving rise to this policy. All arbitrable matters when the Amount of Insurance is $2,000,000 or less shall be arbitrated at the option of either the Company or the Insured. All arbitrable matters when the Amount of Insurance is in excess of $2,000,000 shall be arbitrated only when agreed to by both the Company and the Insured. Arbitration pursuant to this policy and under the Rules shall be binding upon the parties. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court of competent jurisdiction. 15. LIABILITY LIMITED TO THIS POLICY; POLICY ENTIRE CONTRACT (a) This policy together with all endorsements, if any, attached to it by the Company is the entire policy and contract between the Insured and the Company. In interpreting any provision of this policy, this policy shall be construed as a whole. (b) Any claim of loss or damage that arises out of the status of the Title or by any action asserting such claim shall be restricted to this policy. (c) Any amendment of or endorsement to this policy must be in writing and authenticated by an authorized person, or expressly incorporated by Schedule A of this policy. (d) Each endorsement to this policy issued at any time is made a part of this policy and is subject to all of its terms and provisions. Except as the endorsement expressly states, it does not (i) modify any of the terms and provisions of the policy, (ii) modify any prior endorsement, (iii) extend the Date of Policy, or (iv) increase the Amount of Insurance. 16. SEVERABILITY In the event any provision of this policy, in whole or in part, is held invalid or unenforceable under applicable law, the policy shall be deemed not to include that provision or such part held to be invalid, but all other provisions shall remain in full force and effect. 17. CHOICE OF LAW; FORUM (a) Choice of Law: The Insured acknowledges the Company has underwritten the risks covered by this policy and determined the premium charged therefor in reliance upon the law affecting interests in real property and applicable to the interpretation, rights, remedies, or enforcement of policies of title insurance of the jurisdiction where the Land is located. Therefore, the court or an arbitrator shall apply the law of the jurisdiction where the Land is located to determine the validity of claims against the Title that are adverse to the Insured and to interpret and enforce the terms of this policy. In neither case shall the court or arbitrator apply its conflicts of law principles to determine the applicable law. (b) Choice of Forum: Any litigation or other proceeding brought by the Insured against the Company must be filed only in a state or federal court within the United States of America or its territories having appropriate jurisdiction. 18. NOTICES, WHERE SENT Any notice of claim and any other notice or statement in writing required to be given to the Company under this policy must be given to the Company at First American Title Insurance Company, Attn: Claims National Intake Center, 1 First American Way; Santa Ana, CA 92707. Phone: 888-632- 1642. Form 5011453 (7-1-14) Page 6 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington Schedule A Owner's Policy of Title Insurance ISSUED BY First American Title Insurance Company POLICY NUMBER 2851532 Name and Address of Title Insurance Company: First American Title Insurance Company, 1 First American Way, Santa Ana, CA 92707. File No.: 4209-2851532 Address Reference: 2020 NE 40th Street, Renton, WA 98056 Amount of Insurance: $1,000,000.00 Premium: $2,435.00 Date of Policy: August 31, 2018 at 4:45 p.m. 1. Name of Insured: Galcial Venture II,LLC, a Washington limited liability company 2. The estate or interest in the Land that is insured by this policy is: Fee Simple 3. Title is vested in: Galcial Venture II,LLC, a Washington limited liability company 4. The Land referred to in this policy is described as follows: TRACT 9, BLOCK 1, C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADDITION TO SEATTLE DIVISION NO. 7, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 16 OF PLATS, PAGE 18, IN KING COUNTY, WASHINGTON. APN: 334570001704 = Form 5011453 (7-1-14) Page 7 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington = Schedule B Owner's Policy of Title Insurance ISSUED BY First American Title Insurance Company POLICY NUMBER 2851532 EXCEPTIONS FROM COVERAGE File No.: 4209-2851532 This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees, or expenses that arise by reason of: Part One: 1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. 2. Any facts, rights, interests, or claims which are not shown by the public records but which could be ascertained by an inspection of said land or by making inquiry of persons in possession thereof. 3. Easements, claims of easement or encumbrances which are not shown by the public records. 4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. 5. Any lien, or right to a lien, for services, labor or materials or medical assistance heretofore or hereafter furnished, imposed by law and not shown by the public records. 6. (A) Unpatented mining claims; (B) Reservations or exceptions in patents or in Acts authorizing the issuance thereof; (C) Water rights, claims or title to water; whether or not the matters excepted under (A), (B) or (C) are shown by the public records; (D) Indian Tribal Codes or Regulations, Indian Treaty or Aboriginal Rights, including easements or equitable servitudes. 7. Any service, installation, connection, maintenance, construction, tap or reimbursement charges/costs for sewer, water, garbage or electricity. = Form 5011453 (7-1-14) Page 8 of 8 ALTA Owner's Policy of Title Insurance (6-17-06) Washington = Part Two: 1. General Taxes for the year 2018 The first half has been paid. The second half is payable, but not delinquent until November 1st. Tax Account No.: 334570001704 2. Facility Charges, if any, including but not limited to hook-up, or connection charges and latecomer charges for sewer, water and public facilities of Coal Creek Utility District, King County, Washington as disclosed by instrument recorded under recording no. 20060707000722. 3. Any and all offers of dedication, conditions, restrictions, easements, boundary discrepancies or encroachments, notes and/or provisions shown or disclosed by Short Plat or Plat of C.D. Hillman's Lake Washington Garden of Eden Addition to Seattle Division No. 7 recorded in Volume 16 of Plats, Page(s) 18. 4. Easement, including terms and provisions contained therein: Recorded: November 25, 1981 Recording Information: 8111250555 In Favor Of: Puget Sound Energy, Inc., a Washington corporation For: Electric transmission and/or distribution system 5. Easement, including terms and conditions contained therein: Granted to: Graham Construction, Inc. and William N. Graham, Jr., President, owner of Tract 8 For: Easement for ingress, egress, drainage and utilities Recorded: May 14, 1984 Recording Information: 8405140124 6. Easement, including terms and provisions contained therein: Recording Information: 9403180804 For: Ingress, egress, drainage, utilities and the location of structures First American Title First American Title Insurance Company 818 Stewart Street, Suite 800 Seattle, WA 98101 Phn - (206)728-0400 (800)826-7718 Fax - Metro Area Title Team 11400 SE 8th Street, Suite 250, Bellevue, WA 98004 Fax No. (425) 635-2101 EastsideTitleTeam@firstam.com PLEASE SEND ALL RECORDING PACKAGES TO 818 STEWART ST, STE. 800, SEATTLE, WA 98101 To: Stephanie Realty, LLC 13515 SE 148th St Renton, WA 98058 Attn: Stephanie Lorenz File No.: 4209-2851532 Customer Reference: 2020 NE 40th Street, Renton, WA 98056 Re: Property Address: 2020 NE 40th Street, Renton, WA 98056 Third Commitment Tim Daniels Michelle Treherne Gayle Douce Kristi K. Stevenson tdaniels@firstam.com mtreherne@firstam.com gdouce@firstam.com kkstevenson@firstam.com (425) 635-2100 (425) 635-2100 (425) 635-2100 (425) 635-2100 Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 2 of 10 First American Title COMMITMENT FOR TITLE INSURANCE Issued by FIRST AMERICAN TITLE INSURANCE COMPANY Agreement to Issue Policy We agree to issue a policy to you according to the terms of this Commitment. When we show the policy amount and your name as the proposed insured in Schedule A, this Commitment becomes effective as of the Commitment Date shown in Schedule A. If the Requirements shown in this Commitment have not been met within six months after the Commitment Date, our obligation under this Commitment will end. Also, our obligation under this Commitment will end when the Policy is issued and then our obligation to you will be under the Policy. Our obligation under this Commitment is limited by the following: The Provisions in Schedule A. The Requirements in Schedule B-I. The General Exceptions and Exceptions in Schedule B-II. The Conditions. This Commitment is not valid without Schedule A and Section I and II of Schedule B. First American Title Insurance Company Tim Daniels, Title Officer = Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 3 of 10 First American Title = SCHEDULE A 1. Commitment Date: April 02, 2018 at 7:30 A.M. 2. Policy or Policies to be issued: AMOUNT PREMIUM TAX Basic Rate Standard Owner's Policy $ 1,000,000.00 $ 2,435.00 $ 245.94 Proposed Insured: Blue Fern Development, LLC, a Washington limited liability company, and/or assigns Purchase Money Loan Rate ALTA Extended Loan Policy $ To Follow $ To Follow $ To Follow Proposed Insured: To Follow 3. (A) The estate or interest in the land described in this Commitment is: Fee Simple (B) Title to said estate or interest at the date hereof is vested in: DAVID M. OGREN, JR., AS HIS SOLE AND SEPARATE PROPERTY 4. The land referred to in this Commitment is described as follows: Real property in the County of King, State of Washington, described as follows: The land referred to in this report is described in Exhibit A attached hereto. = Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 4 of 10 First American Title = SCHEDULE B SECTION I REQUIREMENTS The following requirements must be met: (A) Pay the agreed amounts for the interest in the land and/or the mortgage to be insured. (B) Pay us the premiums, fees and charges for the policy. (C) Documents satisfactory to us creating the interest in the land and/or the mortgage to be insured must be signed, delivered and recorded: (D) You must tell us in writing the name of anyone not referred to in this Commitment who will get an interest in the land or who will make a loan on the land. We may then make additional requirements or exceptions. (E) Releases(s) or Reconveyance(s) of Item(s): (F) Other: (G) You must give us the following information: 1. Any off record leases, surveys, etc. 2. Statement(s) of Identity, all parties. 3. Other: SCHEDULE B SECTION II GENERAL EXCEPTIONS PART ONE: A. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. B. Any facts, rights, interests, or claims which are not shown by the public records but which could be ascertained by an inspection of said land or by making inquiry of persons in possession thereof. C. Easements, claims of easement or encumbrances which are not shown by the public records. D. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. E. (A) Unpatented mining claims; (B) Reservations or exceptions in patents or in Acts authorizing the issuance thereof; (C) Water rights, claims or title to water; whether or not the matters excepted under (A), (B) or (C) are shown by the public records; (D) Indian Tribal Codes or Regulations, Indian Treaty or Aboriginal Rights, including easements or equitable servitudes. F. Any lien, or right to a lien, for services, labor or materials or medical assistance heretofore or hereafter furnished, imposed by law and not shown by the public records. G. Any service, installation, connection, maintenance, construction, tap or reimbursement charges/costs for sewer, water, garbage or electricity. H. Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof, but prior to the date the proposed insured acquires of record for value the escrow or interest or mortgage(s) thereon covered by this Commitment. = Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 5 of 10 First American Title = SCHEDULE B SECTION II EXCEPTIONS PART TWO: Any policy we issue will have the following exceptions unless they are taken care of to our satisfaction. The printed exceptions and exclusions from the coverage of the policy or policies are available from the office which issued this Commitment. Copies of the policy forms should be read. 1. Lien of the Real Estate Excise Sales Tax and Surcharge upon any sale of said premises, if unpaid. As of the date herein, the excise tax rate for the City of Renton is at 1.78 %. Levy/Area Code: 2151 2. General Taxes for the year 2018. The first half becomes delinquent after April 30th. The second half becomes delinquent after October 31st. Tax Account No.: 334570001704 1st Half Amount Billed: $ 3,275.21 Amount Paid: $ 0.00 Amount Due: $ 3,275.21 Assessed Land Value: $ 333,000.00 Assessed Improvement Value: $ 167,000.00 2nd Half Amount Billed: $ 3,275.21 Amount Paid: $ 0.00 Amount Due: $ 3,275.21 Assessed Land Value: $ 333,000.00 Assessed Improvement Value: $ 167,000.00 3. Facility Charges, if any, including but not limited to hook-up, or connection charges and latecomer charges for sewer, water and public facilities of Coal Creek Utility District, King County, Washington as disclosed by instrument recorded under recording no. 20060707000722. 4. Deed of Trust and the terms and conditions thereof. Grantor/Trustor: David M Ogren, Jr, who acquired title as David M Ogren, an unmarried man, as his separate estate Grantee/Beneficiary: Mortgage Electronic Registration Systems, Inc., ''MERS'' solely as a nominee for Mortgage Master Service Corporation, its successors and assigns Trustee: Old Republic Title, Ltd. Amount: $254,000.00 Dated: July 20, 2009 Recorded: July 24, 2009 Recording Information: 20090724001192 According to the public records, the beneficial interest under the deed of trust was assigned to Bank of America, N.A. by assignment recorded March 03, 2015 as 20150303000758 of Official Records. Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 6 of 10 First American Title 5. Terms, conditions, provisions and stipulations of the Operating Agreement of Blue Fern Development LLC. According to said Agreement dated April 18, 2013, Benjamin P. Paulus is/are the manager(s) thereof. Any amendments to said Agreement must be submitted. Any conveyance or encumbrance of the property must be executed by said manager(s) as provided for therein, subject to said amendments, if any. Max Chappron - Authorized Agent and Michelle Branley - Authorized Agent - Any one may sign per consent signed August 25, 2017 6. The land described in this commitment appears to be residential in nature and may be subject to the provisions of R.C.W. 6.13.010, et seq. (Homestead Statute) if the land is occupied as a primary residence. If the land is occupied as a primary residence, R.C.W. 6.13.060 requires that all documents conveying or encumbering the land must be executed by each spouse or domestic partner, individually. Alternatively, the Company will accept a deed identifying the non-vested spouse occupying the property as the grantor and the vested spouse as the grantee. In the event that the Company receives documents to insure that are not executed as required, the Company may be unable to record or to insure the transaction. Please contact your Title Officer if you have any questions. 7. Any and all offers of dedication, conditions, restrictions, easements, boundary discrepancies or encroachments, notes and/or provisions shown or disclosed by Short Plat or Plat of C.D. Hillman's Lake Washington Garden of Eden Addition to Seattle Division No. 7 recorded in Volume 16 of Plats, Page(s) 18. 8. Easement, including terms and provisions contained therein: Recorded: November 25, 1981 Recording Information: 8111250555 In Favor Of: Puget Sound Energy, Inc., a Washington corporation For: Electric transmission and/or distribution system 9. Easement, including terms and conditions contained therein: Granted to: Graham Construction, Inc. and William N. Graham, Jr., President, owner of Tract 8 For: Easement for ingress, egress, drainage and utilities Recorded: May 14, 1984 Recording Information: 8405140124 10. Easement, including terms and provisions contained therein: Recording Information: 9403180804 For: Ingress, egress, drainage, utilities and the location of structures = Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 7 of 10 First American Title = INFORMATIONAL NOTES A. Potential charges, for the King County Sewage Treatment Capacity Charge, as authorized under RCW 35.58 and King County Code 28.84.050. Said charges could apply for any property that connected to the King County Sewer Service area on or after February 1, 1990. Note: Properties located in Snohomish County may be subject to the King County Sewage Treatment Capacity Charges. B. Effective January 1, 1997, and pursuant to amendment of Washington State Statutes relating to standardization of recorded documents, certain format and content requirements must be met (refer to RCW 65.04.045). Failure to comply may result in rejection of the document by the recorder or additional fees being charged, subject to the Auditor's discretion. C. Any sketch attached hereto is done so as a courtesy only and is not part of any title commitment or policy. It is furnished solely for the purpose of assisting in locating the premises and First American expressly disclaims any liability which may result from reliance made upon it. D. The description can be abbreviated as suggested below if necessary to meet standardization requirements. The full text of the description must appear in the document(s) to be insured. TRACT 9, BLOCK 1, C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADD. TO SEATTLE DIV. NO. 7, VOL. 16, P. 18, KING COUNTY APN: 334570001704 E. All matters regarding extended coverage have been cleared for mortgagee's policy. The coverage contemplated by this paragraph will not be afforded in any forthcoming owner's standard coverage policy to be issued. F. Manufactured Home Title Elimination Application recorded under Recording No. 9303310633, which recites that a manufactured (mobile) home is affixed to said premises. The forthcoming Mortgagee's Policy will include an ALTA 7-06 or ALTA 7.1-06 Endorsement. G. The following deeds affecting the property herein described have been recorded within 36 months of the effective date of this commitment: NONE Property Address: 2020 NE 40th Street, Renton, WA 98056 NOTE: The forthcoming Mortgagee's Policy will be the ALTA 2006 Policy unless otherwise noted on Schedule A herein. NOTE: We find no judgments or Federal tax liens against the vestee herein, unless otherwise shown as a numbered exception above. NOTE: A FEE MAY BE CHARGED UPON THE CANCELLATION OF THIS COMMITMENT PURSUANT TO WASHINGTON STATE INSURANCE CODE AND THE FILED RATE SCHEDULE OF THIS COMPANY. Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 8 of 10 First American Title CONDITIONS 1. DEFINITIONS (a)"Mortgage" means mortgage, deed of trust or other security instrument. (b)"Public Records" means title records that give constructive notice of matters affecting the title according to the state law where the land is located. 2. LATER DEFECTS The Exceptions in Schedule B - Section II may be amended to show any defects, liens or encumbrances that appear for the first time in the public records or are created or attached between the Commitment Date and the date on which all of the Requirements (a) and (c) of Schedule B - Section I are met. We shall have no liability to you because of this amendment. 3. EXISTING DEFECTS If any defects, liens or encumbrances existing at Commitment Date are not shown in Schedule B, we may amend Schedule B to show them. If we do amend Schedule B to show these defects, liens or encumbrances, we shall be liable to you according to Paragraph 4 below unless you knew of this information and did not tell us about it in writing. 4. LIMITATION OF OUR LIABILITY Our only obligation is to issue to you the Policy referred to in this Commitment, when you have met its Requirements. If we have any liability to you for any loss you incur because of an error in this Commitment, our liability will be limited to your actual loss caused by your relying on this Commitment when you acted in good faith to: comply with the Requirements shown in Schedule B - Section I or eliminate with our written consent any Exceptions shown in Schedule B - Section II. We shall not be liable for more than the Policy Amount shown in Schedule A of this Commitment and our liability is subject to the terms of the Policy form to be issued to you. 5. CLAIMS MUST BE BASED ON THIS COMMITMENT Any claim, whether or not based on negligence, which you may have against us concerning the title to the land must be based on this commitment and is subject to its terms. cc: Blue Fern Development LLC cc: Ogren = Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 9 of 10 First American Title = First American Title Insurance Company 818 Stewart Street, Suite 800 Seattle, WA 98101 Phn - (206)728-0400 (800)826-7718 Fax - Privacy Information We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information - particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our subsidiaries we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information that you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fair Information Values. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others; and • Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Information Obtained Through Our Web Site First American Financial Corporation is sensitive to privacy issues on the Internet. We believe it is important you know how we treat the information about you we receive on the Internet. In general, you can visit First American or its affiliates’ Web sites on the World Wide Web without telling us who you are or revealing any information about yourself. Our Web servers collect the domain names, not the e-mail addresses, of visitors. This information is aggregated to measure the number of visits, average time spent on the site, pages viewed and similar information. First American uses this information to measure the use of our site and to develop ideas to improve the content of our site. There are times, however, when we may need information from you, such as your name and email address. When information is needed, we will use our best efforts to let you know at the time of collection how we will use the personal information. Usually, the personal information we collect is used only by us to respond to your inquiry, process an order or allow you to access specific account/profile information. If you choose to share any personal information with us, we will only use it in accordance with the policies outlined above. Business Relationships First American Financial Corporation's site and its affiliates' sites may contain links to other Web sites. While we try to link only to sites that share our high standards and respect for privacy, we are not responsible for the content or the privacy practices employed by other sites. Cookies Some of First American's Web sites may make use of "cookie" technology to measure site activity and to customize information to your personal tastes. A cookie is an element of data that a Web site can send to your browser, which may then store the cookie on your hard drive. FirstAm.com uses stored cookies. The goal of this technology is to better serve you when visiting our site, save you time when you are here and to provide you with a more meaningful and productive Web site experience. -------------------------------------------------------------------------------- Fair Information Values Fairness We consider consumer expectations about their privacy in all our businesses. We only offer products and services that assure a favorable balance between consumer benefits and consumer privacy. Public Record We believe that an open public record creates significant value for society, enhances consumer choice and creates consumer opportunity. We actively support an open public record and emphasize its importance and contribution to our economy. Use We believe we should behave responsibly when we use information about a consumer in our business. We will obey the laws governing the collection, use and dissemination of data. Accuracy We will take reasonable steps to help assure the accuracy of the data we collect, use and disseminate. Where possible, we will take reasonable steps to correct inaccurate information. When, as with the public record, we cannot correct inaccurate information, we will take all reasonable steps to assist consumers in identifying the source of the erroneous data so that the consumer can secure the required corrections. Education We endeavor to educate the users of our products and services, our employees and others in our industry about the importance of consumer privacy. We will instruct our employees on our fair information values and on the responsible collection and use of data. We will encourage others in our industry to collect and use information in a responsible manner. Security We will maintain appropriate facilities and systems to protect against unauthorized access to and corruption of the data we maintain. Form 50-PRIVACY (9/1/10) Page 1 of 1 Privacy Information (2001-2010 First American Financial Corporation) Form No. 1068-2 Commitment No.: 4209-2851532 ALTA Plain Language Commitment Page 10 of 10 First American Title FIRST AMERICAN TITLE INSURANCE COMPANY Exhibit "A" Vested Owner: DAVID M. OGREN, JR., AS HIS SOLE AND SEPARATE PROPERTY Real property in the County of King, State of Washington, described as follows: TRACT 9, BLOCK 1, C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADDITION TO SEATTLE DIVISION NO. 7, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 16 OF PLATS, PAGE 18, IN KING COUNTY, WASHINGTON. Tax Parcel Number: 334570001704 Situs Address: 2020 NE 40th Street, Renton, WA 98056 Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Face Page First American Title Insurance Company COMMITMENT FOR TITLE INSURANCE Issued by FIRST AMERICAN TITLE INSURANCE COMPANY First American Title Insurance Company, herein called the Company, for valuable consideration, hereby commits to issue its policy or policies of title insurance, as identified in Schedule A, in favor of the proposed Insured named in Schedule A, as owner or mortgagor of the estate or interest covered hereby in the land described or referred to in Schedule A, upon payment of the premiums and charges therefor; all subject to the provisions of Schedules A and B and to the Conditions and Stipulations hereof. This Commitment shall be effective only when the identity of the proposed Insured and the amount of the policy or policies committed for have been inserted in Schedule A hereof by the Company, either at the time of the issuance of the Commitment or by subsequent endorsement. This Commitment if preliminary to the issuance of such policy or policies of title insurance and all liability and obligations hereunder shall cease and terminate six (6) months after the effective date hereof or when the policy or policies committed for shall issue, whichever first occurs, provided that the failure to issue such policy or policies is not the fault of the Company. This Commitment shall not be valid or binding until countersigned by an authorized officer or agent. IN WITNESS WHEREOF, the Company has caused this commitment to be signed, to become valid when countersigned by an authorized officer or agent of the Company, all in accordance with its By- Laws. This Commitment is effective as of the date shown in Schedule A as “Effective Date.” = Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 1 First American Title Insurance Company = First American Title Insurance Company National Commercial Services 818 Stewart Street, Suite 800, Seattle, WA 98101 (206)728-0400 - (800)526-7544 FAX (206)448-6348 Matthew Chakoian (206)448-6283 mchakoian@firstam.com To: First American Title Insurance Company File No.: NCS-885765-WA1 800 Bellevue Way Ne Ste 300 Your Ref No.: Vacant Land Bellevue, WA 98004-4275 Attn: Stephanie Cohen SCHEDULE A 1. Commitment Date: December 28, 2017 at 7:30 A.M. 2. Policy or Policies to be issued: AMOUNT PREMIUM TAX Standard Owner's Coverage $ 3,200,000.00 $ To Be Determined $ To Be Determined Proposed Insured: Blue Fern Development, LLC 3. The estate or interest in the land described on Page 2 herein is Fee Simple, and title thereto is at the effective date hereof vested in: Goodwin DC, LLC, a Washington limited liability company 4. The land referred to in this Commitment is described as follows: The land referred to in this report is described in Exhibit "A" attached hereto. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 2 First American Title Insurance Company EXHIBIT 'A' LEGAL DESCRIPTION: PARCEL A: THE SOUTH 75 FEET OF THE WEST 211 FEET OF LOT 3 AND THE NORTH 155 FEET OF THE WEST 211 FEET OF LOT 6 IN BLOCK 1 ALL IN THE PLAT OF C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADDITION TO SEATTLE, DIVISION NO. 7, ACCORDING TO THE PLAT RECORDED IN VOLUME 16 OF PLATS, PAGE 18, IN KING COUNTY, WASHINGTON; EXCEPT THAT PORTION THEREOF CONDEMNED IN KING COUNTY SUPERIOR COURT CAUSE NO. 165993, FOR ROAD PURPOSES. PARCEL B: THE NORTH 120 FEET OF LOT 4, BLOCK 1, EXCEPT THE WEST 50 FEET OF C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADDITION TO SEATTLE, DIVISION NO. 7, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 16 OF PLATS, PAGE 18, RECORDS OF KING COUNTY, WASHINGTON; PARCEL C: LOTS 3, 4, 5 AND 6 EXCEPT THE SOUTH 75 FEET OF THE WEST 211 FEET OF LOT 3, EXCEPT THE NORTH 120 FEET OF THE EAST 246.29 FEET OF LOT 4, AND EXCEPT THE NORTH 155 FEET OF THE WEST 211 FEET OF LOT 6, AND EXCEPT THAT PORTION THEREOF CONDEMNED IN KING COUNTY SUPERIOR COURT CAUSE NO. 165993, FOR ROAD PURPOSES IN BLOCK 1 ALL IN THE PLAT OF C.D. HILLMAN'S LAKE WASHINGTON GARDEN OF EDEN ADDITION TO SEATTLE, DIVISION NO. 7, ACCORDING TO THE PLAT RECORDED IN VOLUME 16 OF PLATS, PAGE 18, IN KING COUNTY, WASHINGTON. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 3 First American Title Insurance Company SCHEDULE B - SECTION 1 REQUIREMENTS The following are the Requirements to be complied with: Item (A) Payment to or for the account of the Grantors or Mortgagors of the full consideration for the estate or interest to be insured. Item (B) Proper instrument(s) creating the estate or interest to be insured must be executed and duly filed for record. Item (C) Pay us the premiums, fees and charges for the policy. Item (D) You must tell us in writing the name of anyone not referred to in this Commitment who will get an interest in the land or who will make a loan on the land. We may then make additional requirements or exceptions SCHEDULE B - SECTION 2 GENERAL EXCEPTIONS The Policy or Policies to be issued will contain Exceptions to the following unless the same are disposed of to the satisfaction of the Company. A. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. B. Any facts, rights, interest, or claims which are not shown by the public records but which could be ascertained by an inspection of said land or by making inquiry of person in possession thereof. C. Easements, claims of easement or encumbrances which are not shown by the public records. D. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by public records. E. (1) Unpatented mining claims; (2) reservations or exceptions in patents or in acts authorizing the issuance thereof; (3) Water rights, claims or title to water; whether or not the matters excepted under (1), (2) or (3) are shown by the public records; (4) Indian Tribal Codes or Regulations, Indian Treaty or Aboriginal Rights, including easements or equitable servitudes. F. Any lien, or right to a lien, for services, labor, materials or medical assistance heretofore or hereafter furnished, imposed by law and not shown by the public records. G. Any service, installation, connection, maintenance, construction, tap or reimbursement charges/costs for sewer, water, garbage or electricity. H. Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof but prior to the date the proposed insured acquires of record for value the estate or interest or mortgages thereon covered by this Commitment. = Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 4 First American Title Insurance Company = SCHEDULE B - SECTION 2 (continued) SPECIAL EXCEPTIONS 1. Lien of the Real Estate Excise Sales Tax and Surcharge upon any sale of said premises, if unpaid. As of the date herein, the excise tax rate for the City of Renton is at 1.78%. Levy/Area Code: 2152 For all transactions recorded on or after July 1, 2005: • A fee of $10.00 will be charged on all exempt transactions; • A fee of $5.00 will be charged on all taxable transactions in addition to the excise tax due. 2. General Taxes for the year 2018, in an amount not yet available, which cannot be paid until February 15, 2018. Tax Account No.: 334570-0016-05 Note: Taxes and charges for 2017 were paid in full in the amount of $2,773.17. (Affects Parcel A) 3. General Taxes for the year 2018, in an amount not yet available, which cannot be paid until February 15, 2018. Tax Account No.: 334570-0020-09 Note: Taxes and charges for 2017 were paid in full in the amount of $2,443.69. (Affects Parcel B) 4. General Taxes for the year 2018, in an amount not yet available, which cannot be paid until February 15, 2018. Tax Account No.: 334570-0015-06 Note: Taxes and charges for 2017 were paid in full in the amount of $7,449.39. (Affects Parcel C) 5. Potential charges, for the King County Sewage Treatment Capacity Charge, as authorized under RCW 35.58 and King County Code 28.84.050. Said charges could apply for any property that connected to the King County Sewer Service area on or after February 1, 1990. Note: Properties located in Snohomish County and Pierce County may be subject to the King County Sewage Treatment Capacity Charges. To verify charges contact: (206) 296-1450 or CapChargeEscrow@kingcounty.gov. 6. Facility Charges, if any, including but not limited to hook-up, or connection charges and latecomer charges for water or sewer facilities of King County Water District No. 107 as disclosed by instrument recorded April 09, 1993 as recording no. 9304091250. 7. Restrictions, conditions, dedications, notes, easements and provisions, if any, as contained and/or delineated on the face of the Plat of C.D. Hillman's Lake Washington Garden of Eden Addition to Seattle, Division No. 7, recorded as in Volume 16 of plats, Page 18, in King County, Washington. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 5 First American Title Insurance Company 8. Right to make necessary slopes for cuts or fills upon said premises as granted by deed recorded under recording no. 2925543. 9. Easement, including terms and provisions contained therein: Recording Date: July 14, 1960 Recording Information: 5181299 In Favor of: Puget Sound Power and Light Company, a Massachusetts Corporation For: Right to enter said premises to operate, maintain and repair electric transmission and/or distribution system, together with the right to remove brush, trees and landscaping which may constitute a danger to said lines Affects: as described therein 10. Covenants, conditions, restrictions and/or easements: Recorded: Undisclosed Recording No.: 5626825 11. Conditions, notes, easements, provisions and/or encroachments contained and/or delineated on the face of the Survey recorded December 28, 1989 under Recording No. 8912289022 of surveys, in King County, Washington. 12. Conditions, notes, easements, provisions and/or encroachments contained and/or delineated on the face of the Survey recorded March 04, 1998 under Recording No. 9803049007, recorded in volume 120 of surveys, at page 119 of surveys, in King County, Washington. 13. Conditions, notes, easements, provisions and/or encroachments contained and/or delineated on the face of the Survey recorded April 13, 2001 under Recording No. 20010413900003 of surveys, in King County, Washington. 14. The Terms, Provisions and Easement(s) contained in the document entitled "Drainage Easement" recorded August 29, 2011 as Recording No. 20110829000486 of Official Records. 15. The effect of a document entitled "Statutory Warranty Deed", recorded October 01, 2013 as Recording No. 20131001001574 of Official Records. Said document contains an erroneous legal description. 16. Evidence of the authority of the individual(s) to execute the forthcoming document for Goodwin DC, LLC, a Washington limited liability company, copies of the current operating agreement should be submitted prior to closing. 17. Evidence of the authority of the individual(s) to execute the forthcoming document for Blue Fern Development, LLC, a Washington limited liability company, copies of the current operating agreement should be submitted prior to closing. 18. Unrecorded leaseholds, if any, rights of vendors and security agreement on personal property and rights of tenants, and secured parties to remove trade fixtures at the expiration of the term. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 6 First American Title Insurance Company 19. Prior to issuance of an extended coverage policy, the Company will require an Owner's Affidavit be completed and submitted to the Company for approval prior to closing. The Company reserves the right to make any additional requirement as warranted. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 7 First American Title Insurance Company INFORMATIONAL NOTES NOTE to proposed insured lender only: No Private transfer fee covenant, as defined in Federal Housing Finance Agency Final Rule 12 CFR Part 1228, that was created and first appears in the Public Records on or after February 8, 2011, encumbers the Title except as follows: None A. Effective January 1, 1997, and pursuant to amendment of Washington State Statutes relating to standardization of recorded documents, the following format and content requirements must be met. Failure to comply may result in rejection of the document by the recorder. B. Any sketch attached hereto is done so as a courtesy only and is not part of any title commitment or policy. It is furnished solely for the purpose of assisting in locating the premises and First American expressly disclaims any liability which may result from reliance made upon it. C. The description can be abbreviated as suggested below if necessary to meet standardization requirements. The full text of the description must appear in the document(s) to be insured. Ptn Lots 3 and 6 and all of Lots 4-5, Blk 1, C.D. Hillman's Lake Washington Garden of Eden Add., to Seattle, Div. No. 7, Vol. 16, Pg. 18 APN: 334570-0016-05 APN: 334570-0020-09 APN: 334570-0015-06 D. According to the application for title insurance, title is to vest in Blue Fern Development, LLC. Examination of the records discloses no matters pending against said party(ies). E. A fee will be charged upon the cancellation of this Commitment pursuant to the Washington State Insurance Code and the filed Rate Schedule of the Company. END OF SCHEDULE B Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 8 First American Title Insurance Company First American Title Insurance Company National Commercial Services COMMITMENT Conditions and Stipulations 1. The term "mortgage" when used herein shall include deed of trust, trust deed, or other security instrument. 2. If the proposed Insured has or acquires actual knowledge of a defect, lien, encumbrance, adverse claim or other matter affecting the estate or interest or mortgage thereon covered by this Commitment, other than those shown in Schedule B hereof, and shall fail to disclose such knowledge to the Company in writing, the Company shall be relieved from liability for any loss or damage resulting from any act or reliance hereon to the extent the Company is prejudiced by failure to so disclose such knowledge. If the proposed Insured shall disclosure such knowledge to the Company, or if the Company otherwise acquires actual knowledge of any such defect, lien, encumbrance, adverse claim or other matter, the Company at its option, may amend Schedule B of this Commitment accordingly, but such amendment shall not relieve the Company from liability previously incurred pursuant to paragraph 3 of these Conditions and Stipulations. 3. Liability of the Company under this Commitment shall be only to the named proposed Insured and such parties included under the definition of Insured in the form of Policy or Policies committed for, and only for actual loss incurred in reliance hereon in undertaking in good faith (a) to comply with the requirements hereof, or (b) to eliminate exceptions shown in Schedule B, or (c) to acquire or create the estate or interest or mortgage thereon covered by this Commitment. In no event shall such liability exceed the amount stated in Schedule A for the Policy or Policies committed for and such liability is subject to the Insuring provisions, exclusion from coverage, and the Conditions and Stipulations of the form of Policy or Policies committed for in favor of the proposed Insured which are hereby incorporated by references, and are made a part of this Commitment except as expressly modified herein. 4. Any claim of loss or damage, whether or not based on negligence, and which arises out of the status of the title to the estate or interest or the lien of the Insured mortgage covered hereby or any action asserting such claim, shall be restricted to the provisions and Conditions and Stipulations of this Commitment. Form WA-5 (6/76) File No.: NCS-885765-WA1 Commitment Page No. 9 First American Title Insurance Company The First American Corporation First American Title Insurance Company National Commercial Services PRIVACY POLICY We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our parent company, The First American Corporation, we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information which you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fair Information Values, a copy of which can be found on our website at www.firstam.com. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others; and· • Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies, and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies, or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. c 2001 The First American Corporation - All Rights Reserved First American Title First American Title Insurance Company 818 Stewart Street, Suite 800 Seattle, WA 98101 Phn - (206)728-0400 (800)826-7718 Fax - ESCROW COMPANY INFORMATION: Escrow Officer/Closer: RENEE VILLALOBOS teamrenee@firstam.com First American Title Insurance Company 11400 SE 8th Street, Suite 250, Bellevue, WA 98004 Phone: (425)455-3400 - Fax: (800)363-0756 King County Title Team Three 11400 SE 8th Street, Suite 250, Bellevue, WA 98004 Fax No. (425) 635-2101 EastsideTitleTeam@firstam.com PLEASE SEND ALL RECORDING PACKAGES TO 818 STEWART ST, STE. 800, SEATTLE, WA 98101 To: John L Scott Real Estate 4735 NorthEast 4th Street Renton, WA 98059 Attn: Steven Dobson File No.: 4243-3019314 Customer Reference: 4130 Lincoln Ave NE, Renton, WA 98056 Re: Property Address: 4130 Lincoln Ave NE, Renton, WA 98056 Second Commitment COMMITMENT FOR TITLE INSURANCE Issued by FIRST AMERICAN TITLE INSURANCE COMPANY Agreement to Issue Policy We agree to issue a policy to you according to the terms of this Commitment. When we show the policy amount and your name as the proposed insured in Schedule A, this Commitment becomes effective as of the Commitment Date shown in Schedule A. If the Requirements shown in this Commitment have not been met within six months after the Commitment Date, our obligation under this Commitment will end. Also, our obligation under this Commitment will end when the Policy is issued and then our obligation to you will be under the Policy. Our obligation under this Commitment is limited by the following: The Provisions in Schedule A. The Requirements in Schedule B-I. The General Exceptions and Exceptions in Schedule B-II. The Conditions. Tim Daniels Michelle Treherne Gayle Douce Kristi K. Stevenson tdaniels@firstam.com mtreherne@firstam.com gdouce@firstam.com kkstevenson@firstam.com (425) 635-2100 (425) 635-2100 (425) 635-2100 (425) 635-2100 Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 2 of 10 First American Title This Commitment is not valid without Schedule A and Section I and II of Schedule B. First American Title Insurance Company Tim Daniels, Title Officer Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 3 of 10 First American Title SCHEDULE A 1. Commitment Date: March 22, 2018 at 7:30 A.M. 2. Policy or Policies to be issued: AMOUNT PREMIUM TAX Basic Rate Standard Owner’s Policy $ 1,400,000.00 $ 3,035.00 $ 306.54 Proposed Insured: Blue Fern Development LLC, a Washington limited liability company 3. (A) The estate or interest in the land described in this Commitment is: Fee simple as to Parcel(s) A, an easement as to Parcel(s) B and C. (B) Title to said estate or interest at the date hereof is vested in: Jeffrey A. Lund and Joni Lynn Lund, husband and wife 4. The land referred to in this Commitment is described as follows: Real property in the County of King, State of Washington, described as follows: The land referred to in this report is described in Exhibit A attached hereto. Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 4 of 10 First American Title SCHEDULE B SECTION I REQUIREMENTS The following requirements must be met: (A) Pay the agreed amounts for the interest in the land and/or the mortgage to be insured. (B) Pay us the premiums, fees and charges for the policy. (C) Documents satisfactory to us creating the interest in the land and/or the mortgage to be insured must be signed, delivered and recorded: (D) You must tell us in writing the name of anyone not referred to in this Commitment who will get an interest in the land or who will make a loan on the land. We may then make additional requirements or exceptions. (E) Releases(s) or Reconveyance(s) of Item(s): (F) Other: (G) You must give us the following information: 1. Any off record leases, surveys, etc. 2. Statement(s) of Identity, all parties. 3. Other: SCHEDULE B SECTION II GENERAL EXCEPTIONS PART ONE: A. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. B. Any facts, rights, interests, or claims which are not shown by the public records but which could be ascertained by an inspection of said land or by making inquiry of persons in possession thereof. C. Easements, claims of easement or encumbrances which are not shown by the public records. D. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by the public records. E. (A) Unpatented mining claims; (B) Reservations or exceptions in patents or in Acts authorizing the issuance thereof; (C) Water rights, claims or title to water; whether or not the matters excepted under (A), (B) or (C) are shown by the public records; (D) Indian Tribal Codes or Regulations, Indian Treaty or Aboriginal Rights, including easements or equitable servitudes. F. Any lien, or right to a lien, for services, labor or materials or medical assistance heretofore or hereafter furnished, imposed by law and not shown by the public records. G. Any service, installation, connection, maintenance, construction, tap or reimbursement charges/costs for sewer, water, garbage or electricity. H. Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof, but prior to the date the proposed insured acquires of record for value the escrow or interest or mortgage(s) thereon covered by this Commitment. Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 5 of 10 First American Title SCHEDULE B SECTION II EXCEPTIONS PART TWO: Any policy we issue will have the following exceptions unless they are taken care of to our satisfaction. The printed exceptions and exclusions from the coverage of the policy or policies are available from the office which issued this Commitment. Copies of the policy forms should be read. 1. Lien of the Real Estate Excise Sales Tax and Surcharge upon any sale of said premises, if unpaid. As of the date herein, the excise tax rate for the City of Renton is at 1.78 %. Levy/Area Code: 2151 2. General Taxes for the year 2018. The first half becomes delinquent after April 30th. The second half becomes delinquent after October 31st. Tax Account No.: 334570-0018-03 1st Half Amount Billed: $ 4,200.12 Amount Paid: $ 0.00 Amount Due: $ 4,200.12 Assessed Land Value: $ 292,000.00 Assessed Improvement Value: $ 353,000.00 2nd Half Amount Billed: $ 4,200.12 Amount Paid: $ 0.00 Amount Due: $ 4,200.12 Assessed Land Value: $ 292,000.00 Assessed Improvement Value: $ 353,000.00 3. Terms, conditions, provisions and stipulations of the Operating Agreement of Blue Fern Development LLC . According to said Agreement dated April 18, 2013, Benjamin P. Paulus is/are the manager(s) thereof. Any amendments to said Agreement must be submitted. Any conveyance or encumbrance of the property must be executed by said manager(s) as provided for therein, subject to said amendments, if any. 4. Any and all offers of dedication, conditions, restrictions, easements, boundary discrepancies or encroachments, notes and/or provisions shown or disclosed by Short Plat or Plat of C.D. Hillman's Lake Washington Garden of Eden Addition to the City of Seattle Division Number 7 recorded in Volume 16 of Plats, Page(s) 18. 5. The terms and provisions contained in the document entitled "Declaration of Covenants Private Well" Recorded: July 15, 1981 Recording No.: 8107150767 6. Easement, including terms and provisions contained therein: Recorded: November 25, 1981 Recording Information: 8111250556 In Favor Of: Puget Sound Energy, Inc., a Washington corporation For: Electric transmission and/or distribution system Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 6 of 10 First American Title 7. Easement, including terms and provisions contained therein: Recording Information: 8309290673 For: Road and utility 8. Conditions, notes, easements, provisions and/or encroachments contained or delineated on the face of the Survey recorded under Recording No. 8501119003. Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 7 of 10 First American Title INFORMATIONAL NOTES A. Potential charges, for the King County Sewage Treatment Capacity Charge, as authorized under RCW 35.58 and King County Code 28.84.050. Said charges could apply for any property that connected to the King County Sewer Service area on or after February 1, 1990. Note: Properties located in Snohomish County may be subject to the King County Sewage Treatment Capacity Charges. B. Effective January 1, 1997, and pursuant to amendment of Washington State Statutes relating to standardization of recorded documents, certain format and content requirements must be met (refer to RCW 65.04.045). Failure to comply may result in rejection of the document by the recorder or additional fees being charged, subject to the Auditor's discretion. C. Any sketch attached hereto is done so as a courtesy only and is not part of any title commitment or policy. It is furnished solely for the purpose of assisting in locating the premises and First American expressly disclaims any liability which may result from reliance made upon it. D. The description can be abbreviated as suggested below if necessary to meet standardization requirements. The full text of the description must appear in the document(s) to be insured. Tract 8, Block 1, C.D. Hillman's Lake Washington Garden of Eden Add. to the City of Seattle Div. No. 7, Vol. 16, P. 18, King County APN: 334570-0018-03 E. The following deeds affecting the property herein described have been recorded within 36 months of the effective date of this commitment: NONE Property Address: 4130 Lincoln Ave NE, Renton, WA 98056 NOTE: The forthcoming Mortgagee's Policy will be the ALTA 2006 Policy unless otherwise noted on Schedule A herein. NOTE: We find no judgments or Federal tax liens against the vestee herein, unless otherwise shown as a numbered exception above. NOTE: A FEE MAY BE CHARGED UPON THE CANCELLATION OF THIS COMMITMENT PURSUANT TO WASHINGTON STATE INSURANCE CODE AND THE FILED RATE SCHEDULE OF THIS COMPANY. Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 8 of 10 First American Title CONDITIONS 1. DEFINITIONS (a)"Mortgage" means mortgage, deed of trust or other security instrument. (b)"Public Records" means title records that give constructive notice of matters affecting the title according to the state law where the land is located. 2. LATER DEFECTS The Exceptions in Schedule B - Section II may be amended to show any defects, liens or encumbrances that appear for the first time in the public records or are created or attached between the Commitment Date and the date on which all of the Requirements (a) and (c) of Schedule B - Section I are met. We shall have no liability to you because of this amendment. 3. EXISTING DEFECTS If any defects, liens or encumbrances existing at Commitment Date are not shown in Schedule B, we may amend Schedule B to show them. If we do amend Schedule B to show these defects, liens or encumbrances, we shall be liable to you according to Paragraph 4 below unless you knew of this information and did not tell us about it in writing. 4. LIMITATION OF OUR LIABILITY Our only obligation is to issue to you the Policy referred to in this Commitment, when you have met its Requirements. If we have any liability to you for any loss you incur because of an error in this Commitment, our liability will be limited to your actual loss caused by your relying on this Commitment when you acted in good faith to: comply with the Requirements shown in Schedule B - Section I or eliminate with our written consent any Exceptions shown in Schedule B - Section II. We shall not be liable for more than the Policy Amount shown in Schedule A of this Commitment and our liability is subject to the terms of the Policy form to be issued to you. 5. CLAIMS MUST BE BASED ON THIS COMMITMENT Any claim, whether or not based on negligence, which you may have against us concerning the title to the land must be based on this commitment and is subject to its terms. cc: Blue Fern Development LLC cc: Jeffrey A. Lund and Joni Lynn Lund Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 9 of 10 First American Title First American Title Insurance Company 818 Stewart Street, Suite 800 Seattle, WA 98101 Phn - (206)728-0400 (800)826-7718 Fax - Privacy Information We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information - particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our subsidiaries we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information that you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal i nformation regardless of its source. First American calls these guidelines its Fair Information Values. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include:  Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means;  Information about your transactions with us, our affiliated companies, or others; and  Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We ma y, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict acces s to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Information Obtained Through Our Web Site First American Financial Corporation is sensitive to privacy issues on the Internet. We believe it is important you know how we treat the information about you we receive on the Internet. In general, you can visit First American or its affiliates’ Web sites on the World Wide Web without telling us who you are or revealing any information about yourself. Our Web servers collect the domain names, not the e-mail addresses, of visitors. This information is aggregated to measure the number of visits, average time spent on the site, pages viewed and similar information. First American uses this information to measure the use of our site and to develop ideas to improve the content of our site. There are times, however, when we may need information from you, such as your name and email a ddress. When information is needed, we will use our best efforts to let you know at the time of collection how we will use the personal information. Usually, the personal information we collect is used only by us to respond to your inquiry, process an order or allow you to access specific account/profile information. If you choose to share any personal information with us, we will only use it in accordance with the policies outlined above. Business Relationships First American Financial Corporation's site and its affiliates' sites may contain links to other Web sites. While we try to link only to sites that share our high standards and respect for privacy, we are not responsible for the content or the privacy practices employed by other sites. Cookies Some of First American's Web sites may make use of "cookie" technology to measure site activity and to customize information to your personal tastes. A cookie is an element of data that a Web site can send to your browser, which may then store the cookie on your hard drive. FirstAm.com uses stored cookies. The goal of this technology is to better serve you when visiting our site, save you time when you are he re and to provide you with a more meaningful and productive Web site experience. -------------------------------------------------------------------------------- Fair Information Values Fairness We consider consumer expectations about their privacy in all our businesses. We only offer products and services that assure a favorable balance between consumer benefits and consumer privacy. Public Record We believe that an open public record creates significant value for society, enhances consumer choice and creates consumer opportunity. We actively support an open public record and emphasize its importance and contribution to our economy. Use We believe we should behave responsibly when we use information about a consumer in our business. We will obey the laws governing the collection, use and dissemination of data. Accuracy We will take reasonable steps to help assure the accuracy of the data we collect, use and disseminate. Where possible, we will take reasonable steps to correct inaccurate information. When, as with the public record, we cannot correct inaccurate information, we will take all reasonable steps to assist consumers in identifying the source of the erroneous data so that the consumer can secure the required corrections. Education We endeavor to educate the users of our products and services, our employees and others in our industry about the importance of consumer privacy. We will instruct our employees on our fair information values and on the responsible collection and use of data. We will encourage others in our industry to collect and use information in a responsible manner. Security We will maintain appropriate facilities and systems to protect against unauthorized access to and corruption of the data we maintain. Form 50-PRIVACY (9/1/10) Page 1 of 1 Privacy Information (2001-2010 First American Financial Corporation) Form No. 1068-2 Commitment No.: 4243-3019314 ALTA Plain Language Commitment Page 10 of 10 First American Title FIRST AMERICAN TITLE INSURANCE COMPANY Exhibit "A" Vested Owner: Jeffrey A. Lund and Joni Lynn Lund, husband and wife Real property in the County of King, State of Washington, described as follows: Parcel A: Tract 8 in Block 1 of C.D. Hillman's Lake Washington Garden of Eden Addition to the City of Seattle Division Number 7, according to the plat thereof recorded in Volume 16 of Plats, Page 18, records of King County, Washington. Parcel B: A non-exclusive easement for ingress, egress, drainage and utilities over, under and across a strip of land 20 feet in width transversing the northerly side of Tract 10 in Block 1 of C.D. Hillman's Lake Washington Garden of Eden Addition to the City of Seattle Division Number 7, according to the plat thereof recorded in Volume 16 of Plats, Page 18, records of King County, Washington, as recorded under Recording Number 8009180744. Parcel C: A non-exclusive easement for ingress, egress, drainage and utilities over, under and across a strip of land 20 feet in width being the north 20 feet of the west 25 feet of Tract 9 in Block 1 of C.D. Hillman's Lake Washington Garden of Eden Addition to the City of Seattle Division Number 7, according to the plat thereof recorded in Volume 16 of Plats, Page 18, records of King County, Washington, as recorded under Recording Number 8405140124. Tax Parcel Number: 334570-0018-03 Situs Address: 4130 Lincoln Ave NE, Renton, WA 98056