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HomeMy WebLinkAboutDeeds & Easements_9-2001EFirst American Title Insurance Company 323 Court Street (P.O. Box 6327) San Bernardino, CA 92412 (909) 889-0311 FAX (909) 384-8445 GUARDIAN ESCROW 101 E. REDLANDS ##180 CENTENNIAL PLAZA REDLANDS, CA 92373 ATTENTION: JERI BRAY NIS 422650 Your Reference: 18167 JB Our Order No. 422650 Property Address: 801 & 803 STILLMAN AVENUE, REDLANDS In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a policy or policies of title insurance describing the land and the estate or in therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an exception below or not excluded from coverage pursuant to the printed schedules, conditions and stipulations of said policy forms. The printed exceptions and exclusions from the coverage of said policy or policies are set forth in Exhibit "A" found inside the preliminary report Jacket. Copies of the policy forms should be read. They are available from the office which issued this report. Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit exclusions meant to rovide you with notice of atters A of whichreport carefully. under the terms of theions title insurance epol policy and should be carefully considered. which are not covered It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land. This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a binder or commitment should be requested. DATED AS OF JUNE 28, 2001 AT 5:00 P.M. MARGo S wE TITLE OFFICER Preliminary Report PAGE 1 MS 422650 THE FORM OF POLICY OF TITLE INSURANCE CONTEMPLATED BY THIS REPORT IS: (BASE RATE APPLIES) TITLE TO SAID ESTATE OR INTEREST AT THE DATE HEREOF IS VESTED IN: ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997 THE ESTATE OR INTEREST IN THE LAND HEREINAFTER DESCRIBED OR REFERRED' TO COVERED BY THIS REPORT IS: A FEE THE LAND REFERRED TO IN THIS REPORT IS SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF SAN BERNARDINO, AND IS DESCRIBED AS FOLLOWS: THAT PORTION OF THE LAND CONVEYED TO ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997, FOR THE BENEFIT OF ELLEN R. BAUM, RECORDED ON APRIL 22, 1997, AS INSTRUMENT NO. 19970139451, OFFICIAL RECORDS OF SAN BERNARDINO COUNTY, CALIFORNIA. SAID PORTION BEING DESCRIBED AS FOLLOWS: THE TRIANGULAR -SHAPED PORTION BOUND ON THE SOUTH BY THE SOUTH LINE OF SAID LAND, ON THE WEST BY THE WEST LINE OF SAID LAND, ON THE EAST BY THE ARC OF A CURVE, CONCAVE SOUTHEASTERLY, TANGENT TO AFOREMENTIONED SOUTH AND WEST LINES AND HAVING A RADIUS OF 13 FEET. SAID LAND BEING LOTS 6 AND 7, BLOCK 1, LUGONIA HEIGHTS, IN THE CITY OF REDLANDS, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 8 OF MAPS, PAGE(S) 12, RECORDS OF SAID COUNTY. EXCEPT THE NORTHERLY 40 FEET OF LOT 6. NOTE: THE ABOVE LEGAL DESCRIPTION IS MADE FOR PRO FORMA PURPOSES ONLY, AND SHALL NOT BE USED TO CONVEY NOR ENCUMBER SAID LAND UNLESS OR UNTIL SAID LEGAL DESCRIPTION IS APPROVED PURSUANT TO THE SUBDIVISION MAP ACT OF THE STATE OF CALIFORNIA. AT THE DATE HEREOF EXCEPTIONS TO COVERAGE IN ADDITION TO THE PRINTED EXCEPTIONS AND EXCLUSIONS IN SAID POLICY FORM WOULD BE AS FOLLOWS: 1. GENERAL AND SPECIAL TAXES FOR THE FISCAL YEAR 2001-2002, A LIEN NOT YET DUE OR PAYABLE. Preliminary Report PAGE 2 MS 422650 2. THE LIEN OF SUPPLEMENTAL TAXES ASSESSED PURSUANT TO CHAPTER 3.5 COMMENCING WITH SECTION 75 OF THE CALIFORNIA REVENUE AND TAXATION CODE. 3. AN EASEMENT FOR WATER DITCHES, WATER PIPES AND INCIDENTAL PURPOSES, RECORDED IN BOOK 29, PAGE 65, OF DEEDS. AFFECTS: CANNOT BE LOCATED FROM THE RECORD 4. A RIGHT OF WAY FOR THE CONSTRUCTION AND MAINTENANCE OF PIPE LINES FOR THE CONVEYANCE OF WATER ALONG THE STREETS OF LUGONIA HEIGHTS, AS CONTAINED IN THE DEED TO REDLANDS, LUGONIA AND CRAFTON DOMESTIC WATER COMPANY, RECORDED MAY 1888, IN BOOK 79, PAGE 37, OF DEEDS. 5. COVENANTS, CONDITIONS AND RESTRICTIONS IN THE DOCUMENT RECORDED IN BOOK 1111, PAGE 1, OFFICIAL RECORDS, WHICH PROVIDE THAT A VIOLATION THEREOF SHALL NOT DEFEAT OR RENDER INVALID THE LIEN OF ANY FIRST MORTGAGE OR DEED OF TRUST MADE IN GOOD FAITH AND FOR VALUE, BUT DELETING ANY COVENANT, CONDITION OR RESTRICTION INDICATING A PREFERENCE, LIMITATION OIL DISCRIMINATION BASED ON RACE, COLOR, RELIGION, SEX, HANDICAP, FAMILIAL STATUS, OR NATIONAL ORIGIN, TO THE EXTENT SUCH COVENANTS, CONDITIONS OR RESTRICTIONS VIOLATE TITLE 42, SECTION 3604(c), OF THE UNITED STATES CODES. A A DECLARATION OF DEDICATION FOR PUBLIC ROAD PURPOSES, INCLUDING PUBLIC UTILITY AND PUBLIC SERVICE USES, AND INCIDENTAL PURPOSES, RECORDED IN BOOK 9595, PAGE 1360, OFFICIAL RECORDS. AFFECTS: THE WESTERLY 4 FEET OF SAID LAND 7. THE TERMS AND PROVISIONS CONTAINED IN THE DOCUMENT ENTITLED "AGREEMENT" RECORDED IN BOOK 9595, PAGE 1361, OFFICIAL RECORDS. Preliminary Report PAGE 3 MS 422650 A DEED OF TRUST TO SECURE AN ORIGINAL INDEBTEDNESS OF $70,000.00, AND ANY OTHER AMOUNTS OR OBLIGATIONS SECURED THEREBY, RECORDED NOVEMBER 20, 1985, INSTRUMENT NO. 19850292273, OFFICIAL RECORDS. DATED: NOVEMBER 8, 1985 TRUSTOR: IRVING W. BAUM AND ELLEN R. BAUM, WHO ARE MARRIED TO EACH OTHER TRUSTEE: CONTINENTAL AUXILIARY COMPANY, A CALIFORNIA CORPORATION BENEFICIARY: BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, A NATIONAL BANKING ASSOCIATION a WITH RESPECT TO THE TRUST REFERRED TO IN THE VESTING: a. A CERTIFICATION PURSUANT TO SECTION 18500.5 OF THE CALIFORNIA PROBATE CODE IN A FORM SATISFACTORY TO THE COMPANY. b. COPIES OF THOSE EXCERPTS FROM THE ORIGINAL TRUST DOCUMENTS AND AMENDMENTS THERETO WHICH DESIGNATE THE TRUSTEE AND CONFER UPON THE TRUSTEE THE POWER TO ACT IN THE PENDING TRANSACTION. c. OTHER REQUIREMENTS WHICH THE COMPANY MAY IMPOSE FOLLOWING ITS REVIEW OF THE MATERIAL REQUIRED HEREIN AND OTHER INFORMATION WHICH THE COMPANY MAY REQUIRE. TAXES FOR PRORATION FOR THE FISCAL YEAR 2000-2001 FIRST HALF: $914.62 PAID SECOND HALF: $914.61 PAID CODE AREA: 5000 A.P. NO.: 170-071-01 ACCORDING TO THE LATEST AVAILABLE EQUALIZED ASSESSMENT ROLL IN THE OFFICE OF THE COUNTY TAX ASSESSOR, THERE IS LOCATED ON THE LAND A DUPLEX KNOWN AS 801 & 803 STILLMAN AVENUE, REDLANDS, CALIFORNIA. Preliminary Report PAGE 4 MS 4Z2650 G THE LAND ACCORDING TO THE PUBLIC RPERIOD �OF SIX MONTHS RIOR 0 THE DATE OFHAVE BEEN NO DEEDS DESCRIBED HEREIN WITHIN ATHIS RE PO EXCEPT AS FOLLOWS: NONE WIRE TRANSFER INSTRUCTIONS TO FIRST AMERICAN TITLE COMPANY Receiving Bank: FIRST AMERICAN TRUST COMPANY, 421 N. MAIN ST., SANTA ANA, CA 92701 Federal Routing No: 122241255 Account Name: FIRST AMERICAN TITLE COMPANY Special Trust Account Account Number: 17004 MS/DRS Preliminary Report PAGE 5 EXIMIT "A" THAT PORTION OF THE LAND CONVEYED TO ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997, FOR THE BENEFIT OF ELLEN R. BAUM, RECORDED ON APRIL 22, 1997, AS INSTRUMENT NO. 19970139451, OFFICIAL RECORDS OF SAN BERNARDINO COUNTY, CALIFORNIA. SAID PORTION BEING DESCRIBED AS FOLLOWS: THE TRIANGULAR -SHAPED PORTION BOUND ON THE SOUTH BY THE SOUTH LINE OF SAID LAND, ON THE WEST BY THE WEST LINE OF SAID LAND, ON THE EAST BY THE ARC OF A CURVE, CONCAVE SOUTHEASTERLY, TANGENT TO AFOREMENTIONED SOUTH AND WEST LINES AND HAVING A RADIUS OF 13 FEET. SAID LAND BEING LOTS 6 AND 7, BLOCK 1, LUGONIA HEIGHTS, IN THE CITY OF REDLANDS, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 8 OF MAPS, PAGE(S) 12, RECORDS OF SAID COUNTY. EXCEPT THE NORTHERLY 40 FEET OF LOT 6. NOTE: THE ABOVE LEGAL DESCRIPTION IS MADE FOR PRO FORMA PURPOSES ONLY, AND SHALL NOT BE USED TO CONVEY NOR ENCUMBER SAID LAND UNLESS OR UNTIL SAID LEGAL DESCRIPTION IS APPROVED PURSUANT TO THE SUBDIVISION MAP ACT OF THE STATE OF CALIFORNIA. J Par. Lugonia Heights Redlands City. �� 02 7 ax: Rate Area ( M. B.8/i2 �— 5000 - . hf. — -[ ---� - E. COL roN 1 iOD' GS' I "T%l'. i- a 0 3 F- ^T_ 4 5 0 7 �O O O II rx 24 23 22 2r 20 f 2 3 4 � O 4s' STILLMAN - - — AVE. —_--* ! a h 0 1 ® 2 o O 2 4 O3 5 s4 6 ac 7 T. l° AVENUE— o3— 7 — Go 1 I I 19 [B i 17 16 i 15 I 14 i 13 S' 1 4 E 3 i 2 j 1 I _ 6 1�71 B 9 7 10 11 12 1 24 E 25 i 26- 1 27 28� i I•- i 1 I I I fANof ,r L I I I I 14 13 12 f! to iso"3•" s T 7 I � I Io�IEj`IGh V 1.1i•r yr' � yj� • � 8 7 1 6 5 1 4 3 f 2 1 1 15 f6 17 18 19 0;'2 2 21 22 23 24 25 26 27, 28 ti © ® @ ® o ® o sa' 170-1 RUMn a.Ra.n.yy C . gao�5�m =a. '~c } sa' so` 3:27- 7 F ' !/16/ m HIGH -T- AVENUE--•-'O-- + IAssessor's Map Reyised Map, Por. 31k.4. Luoonia Hminhfe Al o 1f �1 Nofe-Assessor's Elk. a Iof �=—L. r7n 0--- ^' RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: CITY OF REDLANDS Office of the City Clerk P. O. Box 3005 Redlands, CA 92373 A.P.N.: 170-071-01 (portion) Order No.: 422650 Above This Line for corder's Use Only Escrow No.: 18167-JB GRAW DEED THE UNDERSIGNED GRANTOR(s) Arty cTHAT DO �UMENTARY TRANSFER TAX IS: COUNTY N�, QNE ( ] computed on full vale P �P at time of sale, computed on full value less Cit eof liens or of Redlands, andbrances remaining unincorporated area; ( ] Y 'FOR A VALUABLE CONSIDERATION, Receipt of which is hereby acImOwledged, ELLEN R. BAUM, Trustee under Declaration of Trust, dated April 8, 1997 hereby GRANT(S) to CITY OF REDLANDS, a municipal corporation the following described property in the City of Redlands, County of San Bernardino State of California; Portion Lots 6 and 7, Block 1, Lugonia Heights, in the City of Redlands, County of San Bernardino, State of California, more particularly described in Exhibit "A" attached hereto and made a part hereof - Document Date: IqJ2 1 3� 2� 001 THIS DOCUMENT IS APPROVED AS TO CONTENT AND FORM CITY OF REDLANDS, a mullicipal corporation ELLEN R. BAUM, Trustee under Declaration of Trust, dated I'AT -TT. RFATH, Mayor Apxi18, 1997 >S5 Attest lE PO Get Clerk � Y STATE OF CALIFORNIA ) Notary public COUNTY OF before me, Un personally appeared person(s) whose names) islare subscribed to the within instrument r authorized acses and that by hislherltheir signatures) on the instrument personally known to me (or proved to me on the basis of satisfactory Evidence) !o be the he same in and rrso acknowto me that he/she/thr ledged entity upon behalf of Whichted thelperso (s) acted, exehcu1ted the instrument. y( } the persons) WITNESS my hand and official seal. Signature This area for official notarial seal. Mail Tax Statements to: SAME AS ABOVE or Address Noted Below SAN BERNARDINO COUNTY ASSESSOR 172 W. THIRD STREET SAN BERNARDINO, CA 92415-0310 Escrow: 18167-JB PRELUVIINARY CHANGE OF OWNERSHIP REPORT THIS RETORT IS NOT A PUBLIC DOCUMENT (To be completed by transferee (buyer prior to transfer of subject property in accordance with Section 480.3 of the Revenue and Taxation Code.) This report is not a public document. SELLERrIRANSFEROR: ELLEN R. BAUM, Trustee BUYER/TRANSFEREE: CITY OF REDLANDS ASSESSOR'S PARCEL NUMBER(S): 170-071-01 (portion) and,(if applicable) LEGAL DESCRIPTION: UNIT. LOT: TRACT: PROPERTY ADDRESS: OR LOCATION: Vacant Land Mail Tax Information To: (Name): CITY OF REDLANDS (Address): do Tom Fujiwara, Asst Public Works Director P. O. Box 3005 Redlands, CA 92373 FOR RECORDER'S USE ONLY FOR ASSESSOR'S USE ONLY CLUSTER OC1 OC2 DT INT RC SP$ DTI$ #PCL A preliminary Change of Ownership Report must be filed with each conveyance in the County Recorder's office for the county where the property is located; this particular form may be used in all counties of 58 California. the property which you acquired may be subject to a supplemental assessment in an amount to be determined by the San Bernardino County Assessor. For further nformation on your supplemental tax roll obligation, please call the San Bernardino County Assessor at 909 387-6740. PART 1: TRANSFER INFORMATION Please answer all questions ]Yes [ ]No A. Is this transfer solely between husband and wife? (addition of a spouse, death of a spouse, divorce settlement, etc,) ]Yes [ ]No B. Is this transaction only a correction of the name(s) of the person(s) holding title to the property? (For example,a name change upon marriage.) ]Yes [ ]No C. Is this document recorded to create, terminate, or reconvey a lender's interest in the property? ]Yes [ ]No D. Is this transaction recorded only to create, terminate, or recwnvey a security interest (e.g. consigner)? ]Yes [ ]No E. Is this document recorded to substitute a trustee under a deed of trust, mortgage, or similar document? ]Yes [ ]No F. Did this transfer result in the creation of a joint tenancy in which the seller (transferor) remains as one of the joint tenants? ]Yes [ ]No G. Does this transfer return property to the person who created the joint tenancy (original transferor)? H. Is this transfer of property: ]Yes [ ]No 1, to a trust for the benefit of the grantor, or grantor's spouse? ]Yes [ ]No 2. to a trust revocable by the transferor? ]Yes [ ]No 3. to a trust from which the property reverts to the grantor within 12 years? ]Yes [ ]No 1. If this property is subject to a lease, is the remaining lease term 35 years or more including written options: ]Yes [ ]No J. Is this a transfer from parents to children or from children to parents? ]Yes [ ]No K Is this transaction to replace a principal residence by a person 55 years of age or older? ]Yes [ ]No L. Is this transaction to replace principal residence by a person who is severely disabled as defined by Revenue and Taxation Code Section 69.5? F you checked yes to .i, K, or L, an applicable claim form must be filed with the County Assessor. 'lease provide any other information that would help the Assessor to understand the nature of the transfer. IF YOU HAVE ANSWERED "YES" TO ANY OF THE ABOVE QUESTIONS EXCEPT J K, OR L, PLEASE SIGN AND DATE, OTHERWISE COMPLETE BALANCE OF THE FORM. ART II: OTHER TRANSFER INFORMATION . Date of transfer if other than recording date:. Type of transfer. Please check appropriate item. [ ]Purchase [ ]Foreclosure [ ]Gift [ ]Trade or Exchange [ ]Merger, Stock, or Partnership Acquisition [ ]Contract of Sale - Date of Contract [ ]Inheritance - Date of Death [ } Other (please explain): [ ]Creation of a Lease [ ) Assignment of a Lease [ ]Termination of a Lease Date Lease Began Original term in years (including written options) Remaining term in years (including written options) Was only a partial interest in the property transferred? [ ]Yes [ ]No If 'Yes' indicate the percentage transferred: S-SV25 SBE-ASD AH 502-A FRONT 1-8-92 PRELIMINARY CHANGE OF OWNERSHIP REPORT Escrow:18167-.B 'lease answer, to the best of your knowledge, all applicable questions, sign and date. If a question does not apply, indicate with 'N/A'. 'ART III: PURCHASE PRICE & TERMS OF SALE CASH DOWN PAYMENT or Value of Trade or Exchange (excluding closing cost) Amount FIRST DEED OF TRUST % Interest for wears. Payments/Mo. =$ (Prin. & Int.) Amount $ [ J FHA [ ] Fixed Rate [ I New Loan j J Conventional [ ] Variable Rate [ J Assumed Existing Loan Balance ( I VA [ ] All Inclusive D.T. $ Wrapped) [ I Bank or Savings & Loan [ I Cal -Vet [ ] Loan Carried by Seiler [ I Finance Company Balloon Payment [ I Yes [ I No Due Date Amount $ SECOND DEED OF TRUST [ % Interest for -years. Payments/Mo. =$ (Prin. & Int.) Amount $ [ ] Bank or Savings & Loan [ I Fixed Rate [ J New Loan ( J Loan Carried by Seller [ I Variable Rate [ I Assumed Existing Loan Balance Balloon Payment [ ] Yes [ J No Due Date Amount $ OTHER FINANCING - Is other financing involved not covered in (B) and (C) above? [ J Yes [ I No Amount $ Type % Interest for years. Payments/Mo.-=S (Prin. & Int. only) [ I Bank or Savings & Loan [ J Fixed Rate j I New Loan [ ] Loan Carried by Seller [ ] Variable Rate [ I Assumed Existing Loan Balance Balloon Payment [ ] Yes [ I No Due Date Amount $ IMPROVEMENT BOND [ ] Yes [ I No Outstanding Balance: Amount $ TOTAL PURCHASE PRICE (or acquisition price, if traded or exchanged, include real estate commission if paid). I I Total Items A through E $ PROPERTY PURCHASED: [ ] Through a broker: [ I Direct from seller: [ ]Other If purchased through a broker, provide broker's name and phone no.: Please explain any special terms or financing and any other information that would help the assessor understand purchase price and terms of sale. ART IV: PROPERTY INFORMATION IS PERSONAL PROPERTY INCLUDED IN PURCHASE PRICE (other than a mobilehome subject to local property tax)? [ I Yes j ] No If 'Yes', enter the value of the personal property included in the purchase price $ (Attach itemized list of personal property). IS THIS PROPERTY INTENDED AS YOUR PRINCIPAL RESIDENCE? j I Yes [ ] No If 'Yes', enter date of occupancy / 2 or intended occupancy / 2 month day month day TYPE OF PROPERTY TRANSFERRED: [ J Single -Family Residence [ ] Agricultural [ ] Timeshare [ ] Multiple -fancily residence (no, of Units: [ ] Co-op/Own-your-own j I Mobilehome j ] Commercial/Industrial [ ] Condominium [ J Unimproved lot [ I Other (Description: DOES THE PROPERTY PRODUCE INCOME? ( )Yes ( )No IF THE ANSWER TO QUESTION 'D' IS YES, IS THE INCOME FROM: [ I Lease/Rent [ I Contract [ J Mineral Rights j I Other -explain WHAT WAS THE CONDITION OF PROPERTY AT THE TIME OF SALE? [ ] Good [ ] Average [ ] Fair [ I Poor Enter here, or on an attached sheet, any other information that would assist the Assessor in determining value of the property such as the physical condition of the property, restrictions, etc. certify that the foregoing is true, correct and ;uedAttes ease Print Name of New Owner/Corporate Officer .one Number where you are available from 8:00 a.m. - 5:00 p.m. ( the best a,Fmy knowledge and belief. Date Julv 17, 2001 (NOTE: The Assessor may contact you for further information) IF A DOCUMENT EVIDENCING A CHANGE OF OWNERSHIP IS PRESENTED TO THE RECORDER FOR RECORDATION WITHOUT THE CONCURRENT FILING OPA PRELIMINARY CHANGE OF OWNERSHIP REPORT, THE RECORDER MAY CHARGE AN ADDITIONAL RECORDING FEE OF TWENTY DOLLARS ($20.00). -SV25 SBE-ASD AH 502-A BACK 1-8-92 Guardian Escrow, Inc. 101 East Redlands Blvd., Suite 180 Redlands, CA 92373 (909) 793-3147 FAX (909)798-4606 NOTICE TO BUYERS AND SELLERS Property: Vacant Land, Escrow No.: 18167-M 1. THE UNDERSIGNED BUYERS AND SELLERS HEREBY ACKNOWLEDGE BEING ADVISED THAT CALIFORNIA STATE LAW REQUIRES THAT THIS ESCROW NOT CLOSE, NOR DOCUMENTS BE RECORDED, UNTIL ALL FUNDS REQUIRED OF THE PARTIES (INCLUDING NEW LOAN PROCEEDS) HAVE BEEN COLLECTED, AS DEFINED BY LAW. IN ORDER TO MAINTAIN COMPLIANCE, WE SUGGEST THAT THE MOST EFFICIENT METHOD OF DEPOSITING FUNDS IS TO TRANSFER BY WIRE. CASHIER'S CHECKS DRAWN ON A CALIFORNIA BANK WILL, IN MOST CASES, BE ELIGIBLE FOR "NEXT -DAY" CLOSING. ANY OTHER CHECK INSTRUMENTS, SUCH AS OFFICIAL CHECKS, BANK CHECKS, ETC., PURSUANT TO DEPARTMENT OF CORPORATIONS GUIDELINES, WILL BE TREATED AS PERSONAL CHECKS AND MUST BE CLEARED TO THE SATISFACTION OF GUARDIAN ESCROW, INC., WHICH CLEARANCE IS ESTIMATED TO TAKE FROM 3 TO 5 BUSINESS DAYS. 2. TO MINIMIZE DELAYS IN DOCUMENT RECORDING AND THE CLOSING OF YOUR ESCROW: a. Whenever the amount of funds required for closing is $100,000.00, or more, the closing funds should be transferred by wire directly to our bank as follows: City National Bank 5601 East Slauson Avenue Commerce, CA 90040 Routing Number: 122016066 Account Number: 013007691 FOR DEPOSIT TO GUARDIAN ESCROW, INC., REDLANDS TRUST ACCOUNT CREDIT TO ESCROW NO. 18167-JB (MAKE CERTAIN WIRE TRANSFER REFERENCES NAME OF DEPOSITOR) b. Whenever the amount of funds required for closing is less than $100,000.00, the closing funds should either be wired to our account, as above instructed, or deposited to escrow in the form of a California Bank Cashiers Check payable to Guardian Escrow, Inc. (Please be reminded that not all bank checks are Cashiers Checks). 3. PER DIEM INTEREST WILL BE CHARGED BY SELLER'S LENDER UNTIL THE DATE LENDER RECEIVES THE PAYOFF FUNDS (OR AS OTHERWISE DIRECTED BY LENDER'S DEMAND STATEMENT). PER DIEM INTEREST WILL BE CHARGED BY THE'BUYER'S LENDER FROM THE DATE THE LENDER FUNDS THE LOAN. THE UNDERSIGNED HEREBY ACKNOWLEDGES RECEIPT OF A COPY OF THE ABOVE NOTICE. ELLEN R. BAUM, Trustee under Declaration of Trust, dated April8, 1997 CITY OF REDLANDS, a municipal corporation By: '�— PAT GILBREATH, Mayor Attest: L —IJE PO , City Clerk Guardian Escrow, Inc. 101 East Redlands Blvd., Suite 160 Redlands, CA 92373 (909) 793-3147 FAX (909)798-4606 NOTICE AND DISCLOSURE Property: Vacant Land, Escrow No.: 18167-JB In accordance with Sections 18805 and 26131 of the Revenue and Taxation Code, a Buyer may be required to withhold an amount equal to 3 1 /3 % of the sales price, in the case of a disposition of California real property interest by either: 1. A Seller who is an Individual with a last known street address outside of California or when the disbursement instructions authorized the proceeds to be sent to a financial intermediary of the Seller, OR, 2. A Seller who is a Corporation, which has no permanent place of business in California. For failure to withhold, the Buyer may become subject to a penalty in an amount equal to the greater of Ten Percent (10 %) of the amount required to be withheld or Five Hundred Dollars ($500.00). However, notwithstanding any other provision included in the California statutes referenced above, no Buyer will be required to withhold any amount or be subject to penalty for failure to withhold if: 1. The Total Consideration of subject property is $100,000.00 or less, OR 2. The Seller executes a written certificate, under the penalty of perjury, certifying that the Seller is a resident of California, or if a Corporation, has a permanent place of business in California, OR 3. The Seller, who is an individual, executes a written certificate, under the penalty of perjury, that the California real property being conveyed is the Seller's principal residence (as defined in Section 1034 of the Internal Revenue Code.) The undersigned parties acknowledge that the Escrow Holder is required to provide to Buyer(s) written notification of California withholding requirements. This notification instructs Buyer(s) to withhold 3 1/3 % of the Total Consideration of the California real property herein, when CAL-FIRPTA is applicable. The Buyer(s) acknowledge that it is his responsibility to instruct the Escrow Holder to withhold 3 113 % of the Total Consideration from the Seller(s) proceeds when CAL-FIRPTA is applicable. The Seller(s) acknowledge that if all of the above conditions are met, the Seller(s) may apply for a Withholding Certificate to waive all or a portion of the withhold requirement. The Seller(s) can apply for the Withholding Certificate at the address provided below. If the Withholding Certificate to waive has been received prior to the close of escrow, the withhold amount will be waived at the close of escrow. FRANCHISE TAX BOARD - WITHHOLDING AT SOURCE UNIT P.O. BOX 651, SACRAMENTO, CA 95812-0651 (888)792-4900 If the Withholding Certificate has not been received prior to the close of escrow, the parties shall sign an instruction to escrow to withhold proceeds pending the Seller's receipt of the Certificate. The funds will be held by Escrow Holder for a period of not more than 45 days after the close of escrow. If the Withholding Certificate has not been received within the 45 day time limit, the withhold amount shall be forwarded to the State of California. If the Withholding Certificate is received either prior to the close of escrow or prior to the expiration of the 45 day holding period, the withhold amount shall be disbursed pursuant to the direction of the Withholding Certificate. If the Certificate waives the whole withhold amount, the Seller will receive the complete withhold amount; if the Certificate waives a portion of the withhold, the Seller will receive a portion of the amount and that portion required by the State will be forwarded to the State of California. In any event, if all of the above withhold conditions are met and instructions are received from the Buyer to withhold, this escrow will not close unless the instructions to withhold is signed by both Buyer and Seller or a Withholding Certificate waiving the Withhold has been delivered to the Escrow Holder by the Seller prior to the close of escrow. ELLEN R. BAUM, Trustee under Declaration of Trust, dated April 8, 1997 CITY OF REDLANDS, a municipal corporation J- By: PAT GILBREATH, Mayor Attest:(�D� ('0'.,,/ O i pOY City Clerk Guardian Escrow, Inc. 101 East Redlands Blvd., Suite 180 Redlands, CA 92373 (909) 793-3147 FAX (909)798-4606 PRWACY POLICY Escrow No.: 18167 JB Our Commitment to Your Privacy: Guardian Escrow, Inc., has a long standing policy of protecting the confidentiality and security of information we collect about our customers. We may from time to time ask you to provide us with certain information. You may be concerned with what we will do with such information, particularly personal or financial information. Therefore, Guardian Escrow, Inc., has adopted this "Privacy Policy" to govern the use and handling of your personal information. How We Collect Information: Guardian Escrow, Inc., gets most of its information about your finances, employment, or other personal characteristics from you or from other parties working for you. This privacy Policy deals with the information which you provide to Guardian Escrow, Inc. It does not cover information which we receive from any other source, such as a public record or from another person or entity. The types of information which Guardian Escrow, Inc., may collect includes, but it not limited to, the following: # information you provide on applications, forms and in other communications to us, whether in writing, in person, by telephone, E-mail, electronic transfer, or any other means; * information we develop as part of handling your transaction; information about your transactions with us, any affiliated companies, or others; and, * information we receive from a consumer reporting agency. Guardian Escrow, Inc., may verify this collected information or get additional information from other sources. Why We Collect and How We Use Information: Guardian Escrow, Inc., limited the collection of information about you to a minimum, but which still allows Guardian Escrow, Inc., to provide you with superior services. We request information from you for legitimate business purposes related to the transactions we are handling for you, and not for the benefit of any party not connected with the transactions. Disclosures of Information: Guardian Escrow, Inc., will not release your information to nonaffiliated parties except: 1) as necessary for us to provide the product or service you have requested of Guardian Escrow, Inc.; or 2) as required or permitted by law. Such information may be used for any internal purpose, such as quality control efforts, audit purposes, to attorneys or other professionals, customer analysis, or to law enforcement and regulatory agencies, for example, to help us prevent fraud. Except for such limited situations, without your consent we will not make any disclosures of information to other companies who may want to sell their products or services to you. For example, Guardian Escrow, Inc., does not sell customer lists and we will not sell your name to a catalogue company or telemarketer. Guardian Escrow, Inc., may provide such nonpublic personal information listed above to an affiliated company of Guardian Escrow, Inc., if the affiliate is also involved in the transaction. Guardian Escrow, Inc., may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Former Customers: This Privacy Policy applies to you even if you are no longer a customer of Guardian Escrow, Inc, How We Protect Information: Guardian Escrow, Inc., has taken steps to ensure that only authorized parties have access to your information. We restrict nonpublic personal information about you to those individuals who need to know that information in order to provide you with services. Guardian Escrow, Inc., will use its best efforts to train and supervise its employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy. We currently maintain physical, electronic, and other safeguards to comply with all applicable guidelines to protect your nonpublic personal information. Further Information: We reserve the right to change this Privacy Policy. The examples contained within this Privacy Policy are illustrations and are not intended to be exclusive. This notice complies with recently enacted federal law and regulations regarding privacy. You may have additional rights under other foreign or state laws that may apply to you. I/We have received and read a copy of this Privacy Policy notification as of the date below: Date:__-_L - ©l Signature: Date: - 69 Signature: Guardian Escrow/privacy policy.03 June 29, 2001 Guardian Escrow, Inc. �101 East Redlands Blvd., Suite ISO Redlands, CA 92373 (909) 793-3147 FAX (909)798-4606 TO: Guardian Escrow, Inc. SAFE ESCROW INSTRUCTIONS Date: July 10, 2001 Escrow officer: Jeri Bray, CSEO Escrow Number:18167-JB CITY OF REDLANDS, a municipal corporation, (hereinafter referred to as Buyer) agree to purchase from ELLEN R. BAUM, Trustee under Declaration of Trust, dated April 8, 1997, (hereinafter referred to as Seller) the real property set forth herein per the terms, conditions, consideration and instructions hereinafter stated. The Seller and Buyer herein shall deliver these signed escrow instructions to Guardian Escrow, Inc., (hereinafter known as Escrow Holder). Terms of Transaction I will deposit, prior to close of escrow, the sum of To Complete the Total Consideration of $ 108.00 $ 108.00 Furthermore, I/We, the undersigned Buyer, will execute and deliver any instruments and/or funds which this escrow requires of the Buyer to show title as called for, all of which you are instructed to use on or before August 10, 2001, provided you hold a Policy of Title insurance issued through First American Title Insurance (the title company selected by the parties), with the usual title company's exceptions, with a liability of not less than $108.00, covering property in the County of San Bernardino , State of California, described as follows: Portion Lots 6 and 7, Block 1, Lugonia Heights, in the City of Redlands, County of San Bernardino, State of California, more particularly described in Exhibit "A" attached hereto and made a part hereof. COMMONLY KNOWN AS: Vacant Land (portin of 502 North, Church Street, Redlands, CA 92374 ASSESSOR PARCEL NUMBER(S): 170-071-01(portion) SHOWING TITLE VESTED IN: CITY OF REDLANDS, a municipal corporation SUBJECT ONLY TO: (1) Current property taxes. (2) A lien of supplemental taxes, if any, assessed pursuant to the provisions of Chapter 3.5 (commencing with Section 75) of the Revenue and Taxation Code of the State of California. (3) Assessments and Bonds, if any, including all liens of assessment pursuant to the provisions of the Mello -Roos Community Facilities Act, not delinquent, unpaid balance to be assumed by Buyer. (4) Any covenants, conditions, restrictions, reservations, rights, rights of way and easements of record, or in deed to file, and any exception of water, minerals, oil, gas, and kindred substances, on or under said land, now of record, or in deed to file. ESCROW INSTRUCTIONS 1. Escrow is not to be concerned with any fire or other hazard insurance covering subject property 2. Prior to close of escrow, Buyer will hand you Certificate of Acceptance, which is to be attached to the Grant Deed when delivered for recording. 3. Prior to close of escrow, Seller will cause to be handed you a partial reconveyance releasing the subject property from the encumbrance now of record; which document is to be recorded through this escrow. 4. Seller will furnish a copy of Seller's Trust Agreement together with a Trust Certification as to the status of said trust, copies of which are to be delivered to First American Title Insurance. 5. Regardless of Additional Escrow Instructions set forth hereinafter to the contrary, all fees, costs and charges in this escrow will be paid by Buyer, including but not limited to title policy fee, escrow fee, documentary transfer tax, 1099 reporting fees and costs of preparing, notarizing and recording documents. ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledgment of the foregoing. Seller Initials: Buyer Initials: Page 1 Guardian Escrow, Inc, Date: July 10, 2001 Escrow No.: 18167 JB 6. The undersigned Buyer and Seller acknowledge having received, read and approved a copy of the preliminary report issued by First American Title Insurance in its Order No. 422650, dated as of June 28, 2001, covering the subject property. Current Taxes and Exception Items 1 through 7 , as set forth in the report, are specifically approved to remain of record and may show in the policy of title insurance to be issued in conjunction with this escrow. 7. There will be no adjustments or pro -rations in this escrow between the parties regarding taxes or other matters. 8 In the event Buyer or Seller utilize "facsimile" transmitted signed documents (via Panafax, Telefax, Nefax, etc.), Buyer and Seller hereby agree to accept same and instruct you as escrow holder to rely upon such documents as if they bore original signatures. Buyer and Seller hereby acknowledge and agree to provide to you, within 72 hours of transmission, any such documents bearing the original signatures. Buyer and Seller further acknowledge and agree that any promissory note, document required by a third party in conjunction with this escrow, or document in this escrow which is to be recorded in an office of the County Recorder, must be the original of such document, bear original signature(s) and be deposited with escrow holder prior to close of this escrow. ADDITIONAL ESCROW INSTRUCTIONS 1. All funds received in this escrow shall be deposited with a State or National bank with other escrow funds. Make disbursements by your check; checks not presented for payment within six months after date are subject to service charges in accordance with your schedule in effect from time to time. Make all adjustments and pro -rations on the basis of a 30-day month. "Close of Escrow" is the date instruments are recorded. All documents and funds due the respective parties herein are to be mailed to the addresses set out below their respective signatures unless otherwise instructed. Our signatures on any documents and instructions pertaining to this escrow indicate our unconditional approval of same. Whenever provision is made herein for the payment of any sum, the delivery of any instrument or the performance of any act "outside of escrow", you as escrow holder shall have no responsibility therefor and shall not be concerned therewith. Documentary Transfer Tax is to be computed on full value of property conveyed (or full value less remaining encumbrances, if applicable) and will be paid by Seller/Grantor unless otherwise stated. 2. The parties to this escrow are made aware that escrow holder has no obligation to verify signatures of any of the parties involved. 3. You shall not be responsible for the following: (1) the sufficiency or correctness as to form, manner of execution or validity of any documents deposited in this escrow; (2) the identity, authority, or right of any person executing the same, either as to documents of record or those handled in the escrow; or (3) the failure of any party to comply with any of the provisions of any agreement, contract or other instrument filed or deposited in this escrow or referred to in those escrow instructions. Your duties shall be limited to the safekeeping of money and documents received by you as escrow holder and for the disposition in compliance with the written instructions accepted by you in this escrow. You shall not be required to take any action regarding the collection, maturity, or apparent outlaw of any obligations deposited with you unless otherwise instructed in writing. Your liability as escrow holder shall be confined to the things specifically provided for in my written instructions in this escrow. 4. Where the assignment of any insurance policy from Seller/Grantor to Buyer/Grantee is concerned, Seller/Grantor guarantees to you any insurance policy handed you in this escrow is policy in force, the policy has not been hypothecated and that all necessary premiums have been paid. You are authorized to execute on behalf of the parties assignments of interest in any insurance policy (other than title insurance policies) called for in this escrow, you are authorized to transmit for assignment any insurance policy to the insurance agent requesting that the insurer consent to such assignment, to request that a loss payee clause or such other endorsements as may be required be issued, and to forward such policy to the lenders and entitled parties. You shall not be responsible for verifying the acceptance of the request for assignment and policy of insurance by the insurance company. The parties mutually agree that you will make no attempt to verify the receipt of the request for assignment by the issuing insurance company. All parties are placed on notice that if the insurance company should fail to receive the assignment, the issuing company may deny coverage for any loss suffered by Buyer. It is the obligation of the insured or the insured's representative to verify the issuing company's acceptance of the assignment of the policy. 5. You are not to be held responsible in any way whatsoever for any personal property tax which may be assessed against any former or present owner of the subject property described in these escrow instructions, nor for the corporation or license tax of any corporation as a former or present owner. ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledgment of the foregoing. Seller Initials: _ Buyer Initials:0 9 Page 2 Guardian Escrow, Inc. Date: July 10, 2001 Escrow No.: 18167-JB 6. If it is necessary, proper or convenient for the consummation of this escrow, you are authorized to deposit or have deposited funds or documents, or both, handed you under these escrow instructions with any duly authorized sub -escrow agent, including, but not limited to, any bank, trust company, title insurance company, title company, savings and loan association, or licensed escrow agent, subject to your order at or before close of escrow in connection with closing this escrow. Any such deposit shall be deemed a deposit under the meaning of these escrow instructions. 7. The parties to this escrow have satisfied themselves outside of escrow that the transaction covered by this escrow is not in violation of the Subdivision Map Act or any law regulation land division, zoning ordinances or building restrictions which may affect the land or improvements that are the subject of this escrow. You, as escrow holder, are relieved of all responsibility and liability in connection with such laws, ordinances, restrictions or regulations and are not to be concerned with any of their enforcement. 8. If any form of Purchase Agreement or amendment or supplement (collectively "Purchase Agreement") is deposited in this escrow, it is understood that such document shall be effective only as between the parties signing the Purchase Agreement. You, as escrow holder, are not to be concerned with the terms of any Purchase Agreement and are relieved of all responsibility for the enforcement of its terms. Your only duty is to comply with the instructions set forth in the escrow instructions. You are not responsible for interpreting or acting on any provision of any Purchase Agreement on which these escrow instructions may be based, and you shall not rely on any knowledge or understanding you may have of any such Purchase Agreement in ascertaining or perforating your duties as escrow holder. In connection with any loan transaction, you are authorized to deliver a copy of any Purchase Agreement, supplement or amendment deposited with you, to the lender. You are authorized and instructed to furnish to any broker or lender identified with this transaction, or anyone acting on behalf of such lender, any information concerning this escrow, copies of all instructions, amendments and statements upon request. 9. You shall make no physical inspection of the real property or personal property described in any instruments deposited in, or which is the subject of this escrow. You have made no representations or warranties concerning any such real property or personal property and are not to be concerned with nor liable for the condition of real property or personal property. 10. The parties authorize the recordation of any instrument delivered through this escrow if necessary or proper for the issuance of the required policy of title insurance or for the closing of this escrow. Funds, instructions or instruments received in this escrow may be delivered to, or deposited with, any title insurance company or title company to comply with the terms and conditions of this escrow. 11. If the date by which any party's performances are due shall be other than your regular business day, such performances shall be due on your next succeeding business day. 12. You shall conduct no lien or title search of personal property regarding the sale or transfer of any personal property through this escrow. Should the parties desire that you conduct a lien or title search of personal property, the parties requesting the same shall deliver separate and specific written escrow instructions to you along with an agreement to pay your additional escrow fees. 13. You shall not be responsible in any way whatsoever nor are you to be concerned with any question of usury in any loan or encumbrance, whether new or of record, which may arise during the processing of this escrow. 14. The parties agree to deliver to you all documents, instruments, escrow instructions and funds required to process and close this escrow in accordance with its terms. 15. You are instructed to provide title to the subject real property in the condition identified in the escrow instructions by the parties, which title condition shall be evidenced by that shown in the policy of title insurance secured from the title company selected by the parties, on which you may rely. You are not responsible for the contents or accuracy of any beneficiary demands and/or beneficiary statements delivered to you by the existing lienholders. You are not to be responsible in any way whatsoever nor to be concerned with the terms of any new loan or the content of any loan documents obtained by any party in connection with this escrow except to order such loan documents into the escrow file, transmit the loan documents to Buyer for execution and transmit the executed loan documents to lender. The parties understand and agree that you are not involved nor concerned with the approval and/or processing of any loan or the contents and effect of loan documents prepared by a lender. 16. Any pro -ration of rentals is to be based on rental statement handed you by the Seller/Grantor. You are to consider that Seller/Grantor will collect all rents which fall due prior to the close of escrow, unless he instructs you in writing to the contrary. No adjustment against the BuyerlGrantee on uncollected rents is to be made. Any pro -ration of taxes is to be based on latest tax statement available. You are not responsible for any personal property tax and/or supplemental taxes which may be assessed to the Seller/Grantor or any former owner of the property described herein, nor for the corporation or license tax of any corporation as former owner. If this escrow provides for the transfer of water stock at close of escrow, unless otherwise stated herein, all encumbrance holders at close of escrow shall be named as pledgee, as their interests appear, and said stock, upon reissue after close of escrow, is to be delivered to the first pledgee, and if no pledgee to the new record owner. ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledg ent of the foregoing. Seller Initials: _ Buyer Initials:p Page 3 Guardian Escrow, Inc. Date: July 10, 2001 Escrow No.: 18167 JB 17. The parties expressly indemnify and hold you harmless against third -party claims for any fees, costs or expenses where you have acted in good faith, with reasonable care and prudence and/or in compliance with these escrow instructions. 18. The Federal Tax Reform Act of 1986, as amended, and the California Revenue & Taxation Code, require certain transactions to be reported to the Internal Revenue Service and the California State Franchise Tax Board. In those transactions Seller will furnish a correct tax identification number to you so you can report this transaction as required by law. Seller understands that Seller may be subject to civil or criminal penalties for failure to do so. If requested, you are authorized to furnish the Buyer with a copy of Seller's completed State of California Franchise Tax Board Withholding Exemption Certificate and Nonresident Waiver Request for Real Estate Sales Form 597-W, or other applicable State of California Franchise Tax Board Withholding Execption Certificate furnished by Seller. 19. The parties agree that you have the responsibilities of an Escrow Holder only and there are no other legal relationships established in the terms and conditions of the escrow instructions. In connection with this escrow: (1) you shall have no duty or responsibility of notifying any of the parties to this escrow of any sale, resale, loan, exchange or other transaction involving any of the subject real property or personal property; (2) you shall have no responsibility or duty to disclose any benefit, including, but not limited to financial gain, realized by any person, firm or corporation involving any of the subject real property or personal property; and (3) you shall have no responsibility or duty to disclose any profit realized by any person, firm or corporation including, but not limited to, any real estate broker, real estate sales ' agent and/or a party to any other escrow, in connection therewith, although such other transaction may be handled by you in this escrow or in another escrow transaction. If, however, you are instructed in writing by any party, Lender or other entitled person to disclose any sale, resale, loan, exchange or other transaction involving; any of the subject real property or personal property or any profit realized by any person, firm or corporation to any party to this escrow, you shall do so without incurring any liability to any party. You shall not be liable for any of your acts or omissions done in good faith nor for any claims, demands, losses or damages made or suffered by any party to this escrow, excepting such as may arise through or be caused by your willful neglect or gross misconduct. 20. Parties acknowledge that pursuant to the California Revenue & Taxation Code a Change of Ownership Report is required by the county recorder to be completed and affixed to any documents submitted for recording which evidence a conveyance of title. The Change of Ownership Reports shall be furnished by you to the applicable parties for completion and execution. Parties are aware that if forms are not completed in full, signed and returned to you prior to closing, penalties will be assessed by the county recorder. If any Change of Ownership Report is not filed after the close of escrow within the time limits set forth by the county recorder, or the report is rejected by the county recorder for any reason, severe penalties will be assessed. Escrow holder's responsibility with regard to the Preliminary Change of Ownership Report(s) is limited to its delivery of same, as deposited by the parties, to the title company named in this escrow. For information and assistance in completing the Change of Ownership form, Buyer may contact the County Recorder and Assessors offices in the county in which the subject property is located. 21. The parties shall cooperate with you in carrying out the escrow instructions they deposit with you and completing this escrow. The parties shall deposit into escrow, upon request, any additional funds, instruments, documents, instructions, authorizations, or other items that are necessary to enable you to comply with demands made on you by third parties, to secure policies of title insurance, or to otherwise carry out the terms of their instructions and close this escrow. Should you, before or after close of escrow, receive or become aware of any conflicting demands or claims with respect to this escrow or the rights of any of the parties hereto, or any money or property deposited herein or affected hereby, you shall have the right to discontinue any or all further acts on your part until such conflict is resolved to your satisfaction, and you shall have the further right to commence or defend any actions or proceedings for the determination of such conflict. The parties hereto jointly and severally agree to pay all costs, damages, judgments and expenses, including reasonable attorneys' fees suffered or incurred by you, arising out of, connected with, or incidental to this escrow, including but without limiting the generality of the foregoing, a suit in interpleader brought by you. In the event you file a suit in interpleader, you shall ipso facto be fully released and discharged from all obligations further to perform any and all duties imposed upon you in this escrow. ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledgment of the foregoing. Seller Initials: Buyer Initials: Page 4 Guardian Escrow, Inc. Date: July 10, 2001 Escrow No.: 15167 3B In consideration of your undertaking to act hereunder, I agree to pay, when called upon by you so to do, for all services performed for me, together with all charges, expenses, and costs incurred or paid for me by you as customarily allocated, unless the Escrow Instructions set forth hereinabove provide to the contrary. All of the parties to this escrow, jointly and severally, promise to pay promptly on demand, as well as to indemnify you and to hold you harmless from and against all administrative governmental investigations, audit and legal fees, litigation and interpleader costs, damages, judgments, attorneys' fees, arbitration costs and fees, expenses, obligations and liabilities of every kind (collectively "costs") which in good faith you may incur or suffer in connection with or arising out of this escrow, whether said costs arise during the performance of or subsequent to this escrow, directly or indirectly, and whether at trial, or on appeal, in administrative action, or in an arbitration. You are given a lien upon all the rights, titles and interests of the parties and all escrow papers and other property and monies deposited into this escrow to protect your rights and to indemnify and reimburse you. You may deduct from my net proceeds any amount I may owe you in any other matter. If the parties do not pay any fees, costs or expenses due you under the escrow instructions or do not pay for costs and attorneys' fees incurred in any litigation, administrative action and/or arbitration, on demand, they each agree to pay a reasonable fee for any attorney services which may be required to collect such fees or expenses, whether attorneys' fees are incurred before trial, at trial, on appeal or in arbitration. 22. All notices, demands and instructions must be in writing. No notice, demand, instruction, amendment, supplement or modification of these escrow instructions shall be of any effect in this escrow until delivered in writing to you and mutually executed by all parties. All escrow instructions may be executed in counterparts, each of which shall be deemed an original regardless of the date of its execution and delivery. All such counterparts together shall constitute the same document. The parties acknowledge and understand that you, as escrow holder, are not authorized to practice the law nor do you give financial advice. The parties are advised to seek legal and financial counsel and advice concerning the effect of these escrow instructions. The parties acknowledge that no representations are made by you about the legal sufficiency, legal consequences, financial effects or tax consequences of the escrow instructions. 23. Notwithstanding any other provisions in these escrow instructions and in addition to other fees and costs to which you may be entitled, the parties, jointly and severally, agree that if this escrow is not consummated within ninety (90) days of the date set for closing, you are instructed to, and without further instructions, withhold your escrow hold open fee of $50.00 per month from the funds on deposit with you regardless of who deposited such funds. The parties, jointly and severally, further agree that if you are, for any reason, required to hold funds after close of escrow, you are instructed to, and without further instructions, withhold an escrow fee of $50.00 per month from the funds on deposit with you regardless of who deposited such funds. The parties irrevocably instruct you to automatically cancel this file without further instructions when all funds on deposit have been disbursed. 24. If the conditions of this escrow have not been complied with prior to the expiration of time provided for herein, or any extension thereof, you are nevertheless to complete the escrow as soon as the conditions, except as to time, have been complied with, unless written demand shall have been made upon you not to complete it. Your escrow -holder agency shall terminate six (6) months following the date last set for close of escrow and shall be subject to earlier termination by receipt by you of mutually executed cancellation instructions. If this escrow has not closed or cancelled within the prescribed six-month period, you shall have no further obligations as escrow holder except to disburse funds and documents pursuant to written escrow instructions or to interplead or otherwise dispose of funds and documents in accordance with a validly issued and validly served order from a court of competent jurisdiction. The parties, jointly and severally, agree that if this escrow cancels or is otherwise terminated and not closed, the parties shall pay for any costs and expenses which you have incurred or have become obligated for under these escrow instructions, including, but not limited to, attorneys' fees, arbitration fees and costs and reasonable escrow fees for the services rendered by you; the parties agree that such costs and expenses shall be paid and deposited in escrow before any cancellation or other termination of this escrow is effective. The parties agree that said charges for expenses, costs and fees may be apportioned between Buyer and Seller in a manner which, in your sole discretion, you consider equitable, and that your decision will be binding and conclusive upon the parties. Upon receipt of mutual cancellation instructions or a final order or judgment of a court of competent jurisdiction with accompanying writs of execution, levies or garnishments, you are instructed to disburse the escrow funds and instruments in accordance with such cancellation instruction, order or judgement and accompanying writ and this escrow shall, without further notice, be considered terminated and cancelled. 25. If any check submitted to you is dishonored upon presentment for payment, you are authorized to notify all parties to the within escrow, their respective real estate brokers/agents and any other person or entity you deem, in your sole discretion, necessary to notify, ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledgment o f the foregoing. Seller Initials: Buyer Initials: y Page 5 Guardian Escrow, Inc. Date: July 10, 2001 Escrow No.: 18167tiIB 26. The parties agree to release you from any and all liability of any kind or nature and to indemnify you from any loss, damages, claims, judgments or costs of any kind or nature resulting from or related to the release or discharge of hazardous or toxic wastes on the subject property whether it occurred in the past or present or may occur in the future which release or discharge is in violation of law, in excess of any state and federal standards, permit requirements and/or disclosure requirements existing at this time or which may exist at a future time. The parties represent that they made their own assessment of the condition of the subject property and have not relied on any of your representations in making the assessment. The parties are advised'to seek independent legal and technical environmental expert advice in assessing the risks associated with potential hazardous or toxic wastes. 27. All parties to this escrow understand and agree that the title company named in these escrow instructions has been selected by the parties. All parties understand and agree Guardian Escrow, Inc. assumes no responsibility for any loss or delay encountered in the delivery of the loan funds to escrow holder, nor with the payoff of any existing loans and encumbrances, by the said title company; Guardian Escrow, Inc., is hereby held to be harmless as to any such loss or delay. 28. All parties acknowledge being advised that Jeri Bray: (1) is an escrow officer and the general manager of Guardian Escrow, Inc., and (2) is an officer and stockholder of Guardian Escrow, Inc., and Inland Brookside Services, Inc., each California corporations. 29. In these escrow instructions, wherever the context so requires, the masculine gender includes the feminine and/or neuter and the singular number includes the plural. 30. The legal descripiions(s), street address(es), if any, and assessor parcel number(s) set forth in this escrow have been furnished by the Seller/Grantor and approved by the Buyer/Grantee, on which you may rely. 31. You are authorized to destroy or otherwise dispose of any and all documents, papers escrow instructions, correspondence and records or other material constituting or pertaining to this escrow at any time after five (S) years from the date of: (1) the close of escrow: (2) the date of cancellation: or (3) the date of the last activity; all without liability and without further notice to the parties. GUARDIAN ESCROW, INC., A CALIFORNIA CORPORATION IS LICENSED AS AN ESCROW AGENT BY THE DEPARTMENT OF CORPORATIONS OF THE STATE OF CALIFORNIA. ALL PARTIES TO THIS TRANSACTION, JOINTLY AND SEVERALLY, ACKNOWLEDGE RECEIPT OF A COMPLETE COPY OF THE WITHIN ESCROW INSTRUCTIONS AND BY OUR SIGNATURES SET FORTH BELOW, ACKNOWLEDGE THAT WE HAVE READ, UNDERSTAND AND AGREE TO BE BOUND BY THE TERMS AND CONDITIONS CONTAINED HEREIN, IN THEIR ENTIRETY. ADDITIONAL INSTRUCTIONS ATTACHED HERETO AND MADE A PART HEREOF My initials below represent my agreement and acknowledgment of the foregoing. Seller Initials: Buyer Initials: Page 6 I . , . Guardian Escrow, Inc, Date: July 10, 2001 Escrow No.: 18167-JB Buyer's Signature: CITY OF REDLANDS, a municipal corporation By: ;� PAT GILBREATH, Mayor ATTEST: cc ��- (�:Qzuj ty lerk, Cit dinads Address: c/o Tom Fujiwara, Asst Public Works Director, P. O. Box 3005 Redlands, CA 92373 The foregoing terms, provisions, conditions and instructions are hereby approved and accepted in their entirety and concurred in by me. 1 will hand you necessary documents called for on my part to cause title to be shown as set out herein, which you are authorized to deliver when you hold or have caused to be applied to funds set forth herein within the time as herein provided. You are authorized to pay on my behalf, my recording fees, charges for evidence of title as called for whether or not this escrow is consummated, except those the buyer agreed to pay. You are hereby authorized to pay bonds, assessments, taxes, and any liens of record, including prepayment penalties, if any, to show title as called for. Seller's Signatures: ELLEN R. BAUM, Trustee under Declaration of Trust, dated April S, 1997 Address: 502 North Church Street, Redlands, CA 92374 - - END OF INSTRUCTIONS - - Page 7 a Escrow No. 1 8 1 67-JB Exhibit "A" THAT PORTION OF THE LAND CONVEYED TO ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997, FOR THE BENEFIT OF ELLEN R. BAUM, RECORDED ON APRIL 22, 1997, AS INSTRUMENT NO. 19970139451, OFFICIAL RECORDS OF SAN BERNARDINO COUNTY, CALIFORNIA. SAID PORTION BEING DESCRIBED AS FOLLOWS: THE TRIANGULAR -SHAPED PORTION BOUND ON THE SOUTH BY THE SOUTH LINE OF SAID LAND, ON THE WEST BY THE WEST LINE OF SAID LAND, ON THE EAST BY THE ARC OF A CURVE, CONCAVE SOUTHEASTERLY, TANGENT TO AFOREMENTIONED SOUTH AND WEST LINES AND HAVING A RADIUS OF 13 FEET. SAID LAND BEING LOTS 6 AND 7, BLOCK 1, LUGONIA HEIGHTS, IN THE CITY OF REDLANDS, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK S OF MAPS, PAGE(S) 12, RECORDS OF SAID COUNTY. EXCEPT THE NORTHERLY 40 FEET OF LOT 6. in S .a :.1L L First American Title Company Privacy Policy We Are Committed to Safeguarding Customer Information ZP 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 m.av be concerned about what we will do with such information -particularly any personal or financial mW inforation. e 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 Dandling of your personal. information. Applicability This Privacy Policy governs our use to 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 received 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 extent: (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 .he information we collect, as described above, to companies that perform u arke". g 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 !:now 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 currenrly maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard ;.our nonpublic personal information. Form No. 1068-1 (Rev. 10117/92) Exhibit A to Preliminary R�-port LMI EXHIBIT A LIST OF PRINTED EXCEPTIONS AND EXCLUSIONS (By Policy Type) 1. CALIFORNIA LAND TITLE ASSOCIATION STANDARD COVERAGE POLICY - 1990 SCHEDULE B EXCEPTIONS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' tees or expenses) which arise by reason of: 1. Taxes or assessments which are not shown as exisling liens by the records of any taxing authority that levies taxes or assessments on real properly or by the public records. Proceedings by a public agency which may result in taxes or assessments, or notice of such proceedings, whether or not shown by the records of such agency 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 the land or which may be asserted by persons in possession thereof, 3. Easements, liens or encumbrances, or claims thereof, which are not shown by the public records. 4. Discrepancies, contgcls 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. (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 retards. 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 which arise by reason of: 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land; (tit) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part; or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise [hereof or a Police of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been retarded in the public records at Date of Policy. 2. Rights of eminent domain unless police of the exercise thereof has been recorded in the public records at Dale of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge. 3. Defects, [fens, encumbrances, adverse claims, or other matters, (a) whether or not recorded in the public retards at Date of Policy, but created, suffered, assumed or agreed to by the insured claimant; 1b) 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 Dale of Policy; or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or for the estate or interest insured by this policy. 4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Dale of Policy, or the inability or failure of any subsequent owner of the indebtedness, to comply with the applicable 'doing business' laws of the state in which the land is situated. 5. Invalidity or unenforceabilily of the lien of the insured mortgage, or claim thereof, which arises out of the trarsaction evidenced by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law. 6. Any claim, which arises out of the transaction vesting in the insured the estate or interest insured by their policy or the transaction creating the interest of the insured lender, by reason of the operation of federal bankruptcy, stale insolvency or similar creditors' rights laws. 2. AMERICAN LAND TITLE ASSOCIATION OWNER'S POLICY FORM B - 1970 SCHEDULE OF EXCLUSIONS FROM COVERAGE 1. Any law, ordinance or governmentat regulation (including but not limited to building and zoning ardinances) restricting or regulating or prohibiting the occupancy, use or enjoyment of the land, or regulating the character, dimensions or location of any improvement now or hereafter erected on the land, or prohibiting a separation in ownership or a reduction in the dimensions of area of the land, or the effect of any violation of any such law, ordinance or governmental regulation. 2. Rights of eminent domain or governmental rights of police power unless notice of the exercise of such rights appears in the public records at Date of Policy. 3. Detects, lions, encumbrances, adverse claims, or other matters (a) created, suffered, assumed or agreed to by the insured claimant; (b) not known to the Company and not shown by the public records but known 10 the insured claimant either at Date of Policy or at the date such claimant acquired an estate or interest insured by this policy and not disclosed in writing by the Insured claimant to the Company prior to the date such insured claimant became an insured hereunder; (c) resulting in no foss or damage to the insured claimant; (d) attaching or created subsequent to Date of Policy; or (e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the estate or interest insured by this policy. 3. AMERICAN LAND TITLE ASSOCIATION OWNER'S POLICY FORM B - 1970 WITH REGIONAL EXCEPTIONS When the American land Tille Association policy is used as a Standard Coverage Policy and not as an Extended Coverage Policy the exclusions set forth in paragraph 2 above are used and the following exceptions to coverage appear in the policy. SCHEDULE B This policy does not insure against less or damage by reason of the matters shown in parts one and two following: 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 [hereof. 3. Easements, claims of easement or encumbrances which are not shown by the public records. 4. Discrepancies, conflicts in boundary fines, shortage in area, encroachments, or any other facts which a correct survey would disclose, and which are not shown by public records. 5. Unpalented mining claims; reservations or exceptions in patents or in Acts authorizing the issuance (hereof: water rights, claims or title to water. 6. Any lien, or right to a lien, for services, labor or material heretofore or hereafter furnished, imposed by law and not shown by the public records. 4. AMERICAN LAND TITLE ASSOCIATION LOAN POLICY - 1970 WITH A.L.T.A. ENDORSEMENT FORM 1 COVERAGE SCHEDULE OF EXCLUSIONS FROM COVERAGE 1. Any law, ordinance or governmental regulation (including but not limited to building and zoning ordinances) restricting or regulating or prohibiting the occupancy, use or enjoyment of the land, or regulating the character, dimensions or location of any improvement now or hereafter erected on the land, or prohibiting a separation in ownership or a reduction in the dimensions or area of the land, or the effect of any violatlon of any such law ordinance or governmental regulation. 2. Rights of eminent domain or governmental rights of police power unless notice of the exercise of such rights appears in the public records at Date of Policy. 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 and not shown by the public records but known to the insured claimant either at Date of Policy or at the date such claimant acquired an estate or interesl insured by this policy or acquired the insured mortgage and not disclosed in writing by the Insured claimant to the Company prior to the date such insured claimant became an insured hereunder; (c) resulting in no loss or damage In the insured claimant; (d) attaching or created subsequent io Date of Policy (except to the extent insurance is afforded herein as to any statutory hen for labor or material or to the extent insurance is afforded herein as to assessments for street Improvements under construction or completed at Date of Policy). 4. Unenforceability of the lien of the insured mortgage because of failure of the insured at Date of Policy or of any subsequent owner of the indebtedness to comply with applicable "doing business" laws of the state in which the land is situated. 5. AMERICAN LAND TITLE ASSOCIATION LOAN POLICY - 1970 WITH REGIONAL EXCEPTIONS When the American Land Title Association Lenders Policy is used as a Standard Coverage Policy and not as an Extended Coverage Policy, the exclusions set forth in paragraph 4 above are used and the following exceptions to coverage appear in the policy. SCHEDULE B This policy does not insure against loss or damage by reason of the matters shown In parts one and two lolk ing. 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 properly 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 Shawn by public records. 5. Unpalented mining claims; reservations or exceptions in palents or in Acts authorizing the issuance thereof, water rights, claims or title to water. 6. Any lien, or right to a lien, for services, labor or material theretofore or hereafter furnished, imposed by law and not shown by the public records. 6. AMERICAN LAND TITLE ASSOCIATION LOAN POLICY -1992 WITH A.L.T,A. ENDORSEMENT FORM 1 COVERAGE EXCLUSIONS FROM COVERAGE The following matters are expressly excluded from the coverage at this policy and the Company will not pay loss or damage, costs, attorneys' fees or expenses which arise by reason oh 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (i) the occupancy, use, or enjoyment of the land; (ii) the character, dimensions or location of any improvement now or hereafter erected on the land, (fh) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part, or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except to the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above. except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Polley 2- Rights of eminent domain unless notice of the exercise thereof has been recorded in lion public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Dale of Policy which would be binding an the rights al a purchaser for value without knowledge. 3. Defects, hens, 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 slate of Policy (except to the extent that this policy insures the priority of the lien of the insured mortgage over any statutory lien for services, labor or material or the extent insurance is afforded herein as to assessments for street improvements under construction or completed at date of policy); or (e) resulting in loss or damage which would not have been sustained it the insured claimant had paid value for the insured mortgage. 4. Unanlorceability of the lien of the insured mortgage because of the inability w lailure of the insured at Date of Policy, or the inability or lailure of any subsequent owner of the indebtedness, to comply with applicable "doing business" laws of the state in which the land is situated. 5. Invalidity or unenlorceabihty of the lien of the insured mortgage, or claim thereat, which arises out of the transaclion evidenced by the insured mortgage and is based upon usury or any consumer credit protection or truth in lending law- 6. Any statutory lien for services. labor or materials (or the claim of priority of any statutory hen for services, labor or materials over the lien of the insured mortgage) arising hom an improvement or work relaled 10 the land which is contracted for and commenced subsequenl to Dale of Policy and is not financed in whole or in part by proceeds of the indebtedness secured by the insured mortgage which at Date of Policy the insured has advanced or is obligated to advance. 7. Any claim, which arises out of the transaction creating the interest of the mortgagee insured by this policy, by reason of the operation of federal bankruptcy, stale insolvency, or similar creditors' rights laws, that is based on: (i) the transaction creating the interest of the insured mortgagee being deemed a fraudulent conveyance or fraudulent transfer; or (a) the subordination of the interest at the insured mortgagee as a result of the application of the doctrine of equitable subordination; or (ili) the transaction creating the interest of the insured mortgagee being deemed a preferential transfer except where the preferential transfer results from the failure: (a) to timely record the instrument of transfer, or (b) of such recordation to impart notice to a purchaser for value or a judgment or lien creditor. 7. AMERICAN LANs} TITLE ASSOCIATION LOAN POLICY - 1992 WITH REGIONAL EXCEPTIONS When the American land Title Association policy is used as a Standard Coverage Policy and not as an Extended Coverage Policy the exclusions set forth in paragraph 6 above are used and the following exceptions to coverage appear in the policy. SCHEDULE B This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which arise by reason ol: 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 properly 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 lacls which a correct survey would disclose, and which are not shown by public records. 5. Unpatented mining claims, reservations or exceptions in patents or in Acts authorizing the issuance thereof, water rights, claims or title to water. 6. Any lien, or right to a hen, for services, labor or material lherelofore or hereafter furnished, Imposed by law and not shown by the public records. 8. AMERICAN LAND TITLE ASSOCIATION OWNER'S POLICY - 1992 EXCLUSIONS FROM COVERAGE The following mailers are expressly excluded Irom the coverage of this policy and the Company will not pay loss or damage, casts, attorneys' fees or expenses which arise by reason of 1. (a) Any law, ordinance or governmental regulation (including but not limited to building and zoning laws, ordinances, or regulations) restricting, regulating, prohibiting or relating to (I) the occupancy, use. of enjoyment of the land, (n) the character, dimensions or location of any improvement now or hereafter erected on the land, Oil) a separation in ownership or a change in the dimensions or area of the land or any parcel of which the land is or was a part. or (iv) environmental protection, or the effect of any violation of these laws, ordinances or governmental regulations, except In the extent that a notice of the enforcement thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. (b) Any governmental police power not excluded by (a) above, except to the extent that a notice of the exercise thereof or a notice of a defect, lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy. 2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy, but not excluding from coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge 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 Dale of Policy, but known to the insured claimant and not disclosed in writing to the Company by the insured claimant prier 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, or (a) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the estate or interest insured by this policy. 4. Any claim, which arises out of the transaction vesting in the Insured the estate or interest insured by this policy, by reason of the operation of federal bankruptcy, slate insolvency, or similar creditors' rights laws, that is based on: (i) the transaction creating the estate or interest insured by this policy being deemed a fraudulent conveyance or fraudulent transfer. or (ii) the transaction creating the estate or interest insured by this policy being deemed a preferential transfer except where the preferential transfer results from the failure (a) to timely record the instrument of transfer, or (b) of such recordation to impart notice to a purchaser for value or a judgment or lien creditor 9. AMERICAN LAND TITLE ASSOCIATION OWNER'S POLICY - 1992 WITH REGIONAL EXCEPTIONS When the American Land Title Association policy is used as a Standard Coverage Policy and not as an Extended Coverage Policy the exclusions set forth in paragraph 8 above are used and the following exceptions to coverage appear in the policy. SCHEDULE B This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) which 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 properly 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 She 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 public records. 5. Unpalented mining claims. reservations or exceptions in patents or in Acts authorizing the issuance thereof; water rights, claims or title to water. 6. Any lien, or right to a lien, for services, labor or material theretofore or hereafter furnished, imposed by law and not shown by the public records. 10. AMERICAN LAND TITLE ASSOCIATION RESIDENTIAL TITLE INSURANCE POLICY - 1987 EXCLUSIONS In addition to the Exceptions in Schedule S, you are not insured against loss, costs, attorneys' fees and expenses resulting from: 1. Governmental police power, and the existence or violation at any taw or government regulation. This includes building and zoning ordinances and also laws and regulations concerning. • land use land division • improvements on the land environmental protection This exclusion does not apply to violations or the enforcement of these matters which appear in the public records at Policy Date. This exclusion does not limit the zoning coverage described in Items 12 and 13 of Covered Title Risks. 2. The right to take the land by condemning it, unless • a notice of exercising the right appears in the public records on the Policy Date • the laking happened prior to the Policy Date and is binding on you if you bought the land without knowing of the taking. 3- Title Risks • that are created, alloyed, or agreed to by you • that are known to you, but not to us, on the Policy Date - unless they appeared in the public records • that result in no loss to you • that first aliect your title alter the Policy Date - this does not limit the labor and material lien coverage in Item 8 of Covered Title Risks Failure to pay value for your title. Lack of a right: • to any land outside the area specifically described and referred to in Item 3 of Schedule A, or •"'in'slreets•iileys, or walerways that touch your land This exclusion does not limit the access coverage in Item 5-mf Covered Tie Risks. NIS 422650 First American Title Insurance Company 323 Court Street (P.O. Box 6327) San Bernardino, CA 92412 (909) 889-0311 FAX (909) 384-8445 GUARDIAN ESCROW 101 E. REDLANDS ##180 CENTENNIAL PLAZA REDLANDS, CA 92373 ATTENTION: JERI BRAY Your Reference: 18167 JB Our Order No. 422650 Property Address: 801 & 803 STILLMAN AVENUE, REDLANDS In response to the above referenced application for a policy of title insurance, this company hereby reports that it is prepared to issue, or cause to be issued, as of the date hereof, a policy or policies of title insurance describing the land and the estate or interest therein hereinafter set forth, insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an exception below or not excluded from coverage pursuant to the printed schedules, conditions and stipulations of said policy forms. The printed exceptions and exclusions from the coverage of said policy or policies are set forth in Exhibit "A" found inside the preliminary report jacket. Copies of the policy forms should be read. They are available from the office which issued this report. Please read the exceptions shown or referred to below and the exceptions and exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to :note that this preliminary report is not a written representation as to the condition of title and may not list all liens, defects, and encumbrances affecting title to the land. This report (and any supplements or amendments hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance, a binder or commitment should be requested. DATED AS OF .TUNE 28, 2001 AT 5:00 P.M. �q t4.— MARGO tSWTEr§ TITLE OFFICER Preliminary Report PAGE I NIS 422650 THE FORM OF POLICY OF TITLE INSURANCE CONTEMPLATED BY THIS REPORT IS: (BASE RATE APPLIES) TITLE TO SAID ESTATE OR INTEREST AT THE DATE HEREOF IS VESTED IN: ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997 THE ESTATE OR INTEREST IN THE LAND HE, REINAFTER DESCRIBED OR REFERRED TO COVERED BY THIS REPORT IS: A FEE THE LAND REFERRED TO IN THIS REPORT IS SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF SAN BE, RNARDINO, AND IS DESCRIBED AS FOLLOWS: THAT PORTION OF THE LAND CONVEYED TO ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997, FOR THE BENEFIT OF ELLEN R. BAUM, RECORDED ON APRIL 22, 1997, AS INSTRUMENT NO. 19970139451, OFFICIAL RECORDS OF SAN BERNARDINO COUNTY, CALIFORNIA. SAID PORTION BEING DESCRIBED AS FOLLOWS: THE TRIANGULAR -SHAPED PORTION BOUND ON THE SOUTH BY THE SOUTH LINE OF SAID LAND, ON THE WEST BY THE WEST LINE OF SAID LAND, ON THE EAST BY THE ARC OF A CURVE, CONCAVE SOUTHEASTERLY, TANGENT TO AFOREMENTIONED SOUTH AND WEST LINES AND HAVING A RADIUS OF 13 FEET. SAID LAND BEING LOTS 6 AND 7, BLOCK 1, LUGONIA HEIGHTS, IN THE CITY OF REDLANDS, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 8 OF MAPS, PAGE(S) 12, RECORDS OF SAID COUNTY. EXCEPT THE NORTHERLY 40 FEET OF LOT 6. NOTE: THE ABOVE LEGAL DESCRIPTION IS MADE FOR PRO FORMA PURPOSES ONLY, AND SHALL NOT BE USED TO CONVEY NOR ENCUMBER SAID LAND UNLESS OR UNTIL SAID LEGAL DESCRIPTION IS APPROVED PURSUANT TO THE SUBDIVISION MAP ACT OF THE STATE OF CALIFORNIA. AT THE DATE HEREOF EXCEPTIONS TO COVERAGE IN ADDITION TO THE PRINTED EXCEPTIONS AND EXCLUSIONS IN SAID POLICY FORM WOULD BE AS FOLLOWS: GENERAL AND SPECIAL TAXES FOR THE FISCAL YEAR 2001-2002, A LIEN NOT YET DUE OR PAYABLE. Preliminary Report PAGE; 2 MS 422650 2. THE LIEN OF SUPPLEMENTAL TAXES ASSESSED PURSUANT TO CHAPTER 3.5 COMMENCING WITH SECTION 75 OF THE CALIFORNIA REVENUE AND TAXATION CODE. 3. AN EASEMENT FOR WATER DITCHES, WATER PIPES AND INCIDENTAL PURPOSES, RECORDED IN BOOK 29, PAGE 65, OF DEEDS. AFFECTS: CANNOT BE LOCATED FROM THE RECORD 4. A RIGHT OF WAY FOR THE CONSTRUCTION AND MAINTENANCE OF PIPE LINES FOR THE CONVEYANCE OF WATER ALONG THE STREETS OF LUGONIA HEIGHTS, AS CONTAINED IN THE DEED TO REDLANDS, LUGONIA AND CRAFTON DOMESTIC WATER COMPANY, RECORDED MAY 1888, IN BOOK 79, PAGE 37, OF DEEDS. 5. COVENANTS, CONDITIONS AND RESTRICTIONS IN THE DOCUMENT RECORDED IN BOOK 1111, PAGE 1, OFFICIAL RECORDS, WHICH PROVIDE THAT A VIOLATION THEREOF SHALL NOT DEFEAT OR RENDER INVALID THE LIEN OF ANY FIRST MORTGAGE OR DEED OF TRUST MADE IN GOOD FAITH AND FOR VALUE, BUT DELETING ANY COVENANT, CONDITION OR RESTRICTION INDICATING A PREFERENCE, LIMITATION OR DISCRIMINATION BASED ON RACE, COLOR, RELIGION, SEX, HANDICAP, FAMILIAL STATUS, OR NATIONAL ORIGIN, TO THE EXTENT SUCH COVENANTS, CONDITIONS OR RESTRICTIONS VIOLATE TITLE 42, SECTION 3604(c), OF THE UNITED STATES CODES. N A DECLARATION OF DEDICATION FOR PUBLIC ROAD PURPOSES, INCLUDING PUBLIC UTILITY AND PUBLIC SERVICE USES, AND INCIDENTAL PURPOSES, RECORDED IN BOOK 9595, PAGE 1360, OFFICIAL RECORDS. AFFECTS: THE WESTERLY 4 FEET OF SAID LAND 7. THE TERMS AND PROVISIONS CONTAINED IN THE DOCUMENT ENTITLED "AGREEMENT" RECORDED IN BOOK 9595, PAGE 1361, OFFICIAL RECORDS. Preliminary Report PAGE 3 MS 422650 A A DEED OF TRUST TO SECURE AN ORIGINAL INDEBTEDNESS OF $70,000.00, AND ANY OTHER AMOUNTS OR OBLIGATIONS SECURED THEREBY, RECORDED NOVEMBER 20, 1985, INSTRUMENT NO. 19850292273, OFFICIAL RECORDS. DATED: NOVEMBER 8, 1985 TRUSTOR: IRVING W. BAUM AND ELLEN R. BAUM, WHO ARE MARRIED TO EACH OTHER TRUSTEE: CONTINENTAL AUXILIARY COMPANY, A CALIFORNIA CORPORATION BENEFICIARY: BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, A NATIONAL BANKING ASSOCIATION 9. WITH RESPECT TO THE TRUST REFERRED TO IN THE VESTING: a. A CERTIFICATION PURSUANT TO SECTION 18500.5 OF THE CALIFORNIA PROBATE CODE IN A FORM SATISFACTORY TO THE COMPANY. b. COPIES OF THOSE EXCERPTS FROM THE ORIGINAL TRUST DOCUMENTS AND AMENDMENTS THERETO WHICH DESIGNATE THE TRUSTEE AND CONFER UPON THE TRUSTEE THE POWER TO ACT IN THE PENDING TRANSACTION. c. OTHER REQUIREMENTS WHICH THE COMPANY MAY IMPOSE FOLLOWING ITS REVIEW OF THE MATERIAL REQUIRED HEREIN AND OTHER INFORMATION WHICH THE COMPANY MAY REQUIRE. TAXES FOR PRORATION FOR THE FISCAL YEAR 2000-2001: FIRST HALF: $914.62 PAID SECOND HALF: $914.61 PAID CODE AREA: 5000 A.P. NO.: 170-071-01 ACCORDING TO THE LATEST AVAILABLE EQUALIZED ASSESSMENT ROLL IN THE OFFICE OF THE COUNTY TAX ASSESSOR, THERE IS LOCATED ON THE LAND A DUPLEX KNOWN AS S01 & 803 STILLMAN AVENUE, REDLANDS, CALIFORNIA. Preliminary Report PAGE 4 Ms 422650 ACCORDING TO THE PUBLIC RECORDS, THERE HAVE BEEN NO DEEDS CONVEYING THE LAND DESCRIBED HEREIN WITHIN A PERIOD OF SIX MONTHS PRIOR TO THE DATE OF THIS REPORT EXCEPT AS FOLLOWS: NONE WIRE TRANSFER INSTRUCTIONS TO FIRST AMERICAN TITLE COMPANY Receiving Bank: FIRST AMERICAN TRUST COMPANY, 421 N. MAIN ST., SANTA ANA, CA 92701 Federal Routing No: 122241255 Account Name: FIRST AMERICAN TITLE COMPANY Special Trust Account Account Number: 17004 MSIDRS Preliminary Report PAGE 5 EXHIBIT "A" THAT PORTION OF THE LAND CONVEYED TO ELLEN R. BAUM, AS TRUSTEE UNDER DECLARATION OF TRUST DATED APRIL 8, 1997, FOR THE BENEFIT OF ELLEN R. BAUM, RECORDED ON APRIL 22, 1997, AS INSTRUMENT NO. 19970139451, OFFICIAL RECORDS OF SAN BERNARDINO COUNTY, CALIFORNIA. SAID PORTION BEING DESCRIBED AS FOLLOWS: THE TRIANGULAR -SHAPED PORTION BOUND ON THE SOUTH BY THE SOUTH LINE OF SAID LAND, ON THE WEST BY THE WEST LINE OF SAID LAND, ON THE EAST BY THE ARC OF A CURVE, CONCAVE SOUTHEASTERLY, TANGENT TO AFOREMENTIONED SOUTH AND WEST LINES AND HAVING A RADIUS OF 13 FEET. SAID LAND BEING LOTS 6 AND 7, BLOCK 1, LUGONIA HEIGHTS, IN THE CITY OF REDLANDS, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 8 OF MAPS, PAGE(S) 12, RECORDS OF SAID COUNTY. EXCEPT THE NORTHERLY 40 FEET OF LOT 6. NOTE: THE ABOVE LEGAL DESCRIPTION IS MADE FOR PRO FORMA PURPOSES ONLY, AND SHALL NOT BE USED TO CONVEY NOR ENCUMBER SAID LAND UNLESS OR UNTIL SAID LEGAL DESCRIPTION IS APPROVED PURSUANT TO THE SUBDIVISION MAP ACT OF THE STATE OF CALIFORNIA. I — -{- -- $ - E. COLTON 34 140' OS 2 w 3 C� � 77 f- 4 44 --- --------- 5 • O 7 Por Lugonia Heights Redlands City- M. B. Tax` Rote Area l 5000, AVENUE— m— i — 1 ( •c5' 6•0' r 24 23 22 21 20 19 18 r7 Is 1 15 14 15 ( 5' j 4 = 3 1 2 I 1 \ 1 z 3 's s i071 a s fo i rr i r2 j 24 i 25 ; 26 1 27 28 j 704 1 1 i r 1 i 1 � _ Y �--—�°,----STrLLMAN — — /Cal h D r ® 2 O ; 0 2 4 Q 5 ?5 6 h 7 ♦6P' ap AVE. -- —s HIGH _ FArised Map, Por, Efk.4. Luaonio He. i,hfc ae a CI i i � � � - '✓ 4f I �YI'' I� � � F I � ,h rr I ra s l a 7 i s 5 1 4 1 3 �I 2 170•-Q rs rs o1{2 z 21 22 23 24 25 26 27 2s z Q Rc 5�15i I 3/ia/Ga - 60' 6D 3.-27-70 I 71 75 r/r6/7b AVENUE —'— Assessors Map n Note -Assessor's 81k. & tot I� a 1 171-1 rD-- , ^, First American Title Company 323 COURT STREET (P.O. BOX 6327) SAN BERNARDINO, CA 92412 (909) 889-0311 EFFECTIVE SEPTEMBER 15, 1999 AT 6:00 A.M. NEW WIRE TRANSFER INSI TO First American Title Company ONLY IN SA1V BERNARDINO COUNTY, CALIFORNIA_ Receiving Bank: FIRST AMERICAN TRUST COMPANY Santa Ana Branch 421 N. Main St. Santa Ana, CA 92701 ABA 122241255 Account Name: FIRST AMERICAN TITLE COMPANY Special Trust Account Account Number: 17004 UW PLEASE REFERENCE: � Title Order Number Title Officer's Name (This information MUST BE INCLUDED in wire text.) TO INSURE RECORDING, THE TITLE OFFICER MIST BE ADVISED BEFORE WIRE IS SENT.