This schedule is for disclosure purposes. This schedule outlines the parties who have a share in any part of the title premiums, including underwriters and title agents.
SPECIAL NOTE: The title commitment for title insurance may reveal prior encumbrances or interests in the real property which could affect the Bank’s willingness to loan on the offered acreage. A prior written lease, for instance, with a renewal provision allowing the borrower’s tenant to retain possession of the real property beyond a time acceptable to the Bank is certainly worth reviewing prior to closing. Further, right of way deeds to the State of Texas conveying away fee simple title to a portion of the offered acreage will reduce the actual amount of real property under the lien. Hard mineral leases such as uranium, coal and lignite should be examined prior to the closing for the ascertainment of a surface damage provision which the Bank may wish to have assigned to it as a precaution against strip mining. An easement connecting landlocked real property to a public road will also be required by any prudent Bank. A Bank may wish to protect itself against the removal by the borrower of sand, caliche, gravel, etc. from the offered acreage through the inclusion in the deed of trust of a covenant which forbids such removal or gives the Bank an assignment of the proceeds from the sale.