HomeMy WebLinkAbout8313RESOLUTION NO. 8313
A RESOLUTION APPROVING A LEASE AGREEMENT BETWEEN THE CITY OF
PUEBLO, A MUNICIPAL CORPORATION, AND EXPRESS PERSONNEL SERVICES
RELATING TO THE RENTAL OF 115 SQUARE FEET OF OFFICE SPACE
LOCATED ON THE SOUTHEAST SIDE OF THE MAIN TERMINAL BUILDING AT
THE PUEBLO MEMORIAL AIRPORT AND AUTHORIZING THE PRESIDENT OF
THE CITY COUNCIL TO EXECUTE SAME
Be it resolved by the City Council of Pueblo that:
SECTION 1
INTRODUCED January 12, 1998
A certain Lease Agreement, a copy of which is attached hereto and made a part hereof by
reference, after having been approved as to form by the City Attorney, by and between the
City of Pueblo, a Municipal Corporation, as Lessor, and Express Personnel Services, as Lessee,
relating to the rental of 115 square feet of office space located on the southeast side of the
main Terminal Building at the Pueblo Memorial Airport, be and the same is hereby approved,
subject to the conditions as set forth in said Lease Agreement.
SECTION 2
The President of the City Council is hereby authorized to execute said Lease Agreement on
behalf of the City of Pueblo, a Municipal Corporation, and the City Clerk shall affix the Seal
of the City thereto and attest the same.
SECTION 3
All net proceeds derived from said Lease Agreement will be used for the operation,
maintenance, and improvement of the Airport.
BY: John Verna
ATTEST:
1
APPROVED AS TO FORM:
APPROVED:
a
Councilperson
President of te City Q6uncil
City Attorne : "
Ptoo 0x'313
loQ,Oo&cL 1 -12 -W
Council Agenda
RESOLUTION APPROVING LEASE AGREEMENT
TITLE: WITH EXPRESS PERSONNEL FOR SE OFFICE AGENDA ITEM #
DEPARTMENT: PUEBLO MEMORIAL AIRPORT DATE: JANUARY 12, 1998
ISSUE
Should the City Council approve a Resolution approving a Lease Agreement between the
City of Pueblo and Express Personnel Services relating to the rental of office space located
on the southeast side of the main Terminal Building at the Pueblo Memorial Airport.
RECOMMENDATION
Approval of this Resolution.
BACKGROUND
A public advertisement for bids was solicited for business support services and one proposal
was received. This proposal was submitted by Express Personnel Services. The Lease
Agreement between the City of Pueblo and Express Personnel Services shall be for a one
(1) year term effective February 1, 1998.
FINANCIAL IMPACT
Terms of the Lease Agreement are as follows:
115 square feet of office space at $18.26 per square foot per year for a total of
$2,099.90 annually.
Right to renew for an additional term of one (1) year commencing February 1, 1999.
PUEBLO MEMORIAL AIRPORT
LEASE AGREEMENT
A Lease Agreement entered into this 12th day of January , 1998 between the
City of Pueblo, a Municipal Corporation, herein called "Lessor ", and Express Personnel
Services, a Limited Liability Corporation herein called "Lessee ",
WITNESSETH:
THAT IN CONSIDERATION of the payment of rent hereinafter provided and the keeping and
performance of each of the covenants and agreements of said Lease hereinafter set forth, said
Lessor has and does hereby lease unto the said Lessee the following described premises
situate in the Terminal Building at the Pueblo Memorial Airport, herein called "Airport ", in the
County of Pueblo, State of Colorado, to -wit:
Lessee shall have the immediate and entire use and occupancy of the following
described premises:
A room approximately 115 square feet (10' X 11''/2 ") on the
southeast side of the main Terminal Building located east of the
main entrance of said Terminal Building and adjacent to the
present location of the Automobile Rental Area for the operation
of a Business Support Service.
To have and hold the same unto the said Lessee for a term of one (1) year, commencing
February 1, 1998 and terminating January 31, 1999 For the privilege of operating a business
support service in the Airport Terminal Building, Lessee shall pay a monthly rental fee based
on a per annum fee of $ 18.26 per square feet.
1. RIGHTS AND PRIVILEGES OF LESSEE
A. Lessee shall have the right to engage in and operate a business support service
at and on the aforesaid premises for the convenience of patrons and tenants of
the Airport, the Airport Industrial Park, and the General Public desiring such
services at the Airport or Airport Industrial Park without limiting the generality
hereof.
B. Except as may be specifically authorized herein to the contrary, Lessee shall
not, without the prior written approval of the Director of Aviation, make
improvements, modifications, revisions, installation of signs or other alterations
to the leased premises. Costs of approved improvements, modifications,
revisions, signs and alterations shall be borne solely by Lessee and all such
modifications, revisions, signs and alterations shall be borne. solely by the
Lessee and all such improvements, modifications, revisions or alterations shall
upon expiration of the original term or any renewal term or prior termination of
this Lease for any reason, become and remain the property of the Lessor.
C. Lessee, its employees and invitees shall have the right of ingress and egress
between the main entrance of the Airport as the same now exists or may
hereafter be relocated and the leased premises over, upon and through such
streets and no other as from time to time shall be designated by the Director of
Aviation. Driveways from existing streets into the leased premises shall be
located as designated by the Director of Aviation.
2. RIGHTS AND PRIVILEGES OF LESSOR
A. All rights not herein granted to the Lessee are reserved to the Lessor and
nothing herein contained shall be construed to grant or authorize the granting
of an exclusive right within the meaning of Section 308 of the Federal Aviation
Act of 1958.
B. Lessor shall have full and unrestricted right to enter upon those portions of the
Airport occupied and leased herein by the Lessee, and Lessor, its agents, or
representatives shall be permitted to inspect the same at any reasonable hour.
C. Lessor reserves the right to maintain and keep in repair the landing area of the
Airport and all publicly owned facilities of the Airport, but shall not be obligated
to the Lessee for any failure to so maintain or keep in repair.
D. There is hereby reserved to the Lessor, its successors and assignees for the use
and benefit of the public, a right of flight for the passage of aircraft in the
airspace above the surface of the premises hereby leased, together with the
right to cause in said airspace such noise as may be inherent in the operation
of aircraft, now known or hereafter used for navigation of or flight in the air,
using such airspace for landing at, taking off from, or operation on Pueblo
Memorial Airport.
E. It is further understood and agreed that this Agreement is subject to the written
prior approval of the Federal Aviation Administration and that the provisions
hereof cannot be modified without prior written approval by said Federal
Aviation Administration.
3. OBLIGATIONS OF LESSEE
A. Lessee shall at its sole expense, maintain and keep the leased premises and any
improvements presently existing or hereafter constructed thereon in good
condition, appearance, and state of repair, normal wear excepted.
(1) If Lessee should fail to keep and maintain the leased premises or
improvements thereon in such good order and repair as is reasonably
required, Lessor may enter the leased premises, without such entering
causing or constituting a termination of the Lease, or an interference
with the possession of the premises by Lessee, and perform the
necessary maintenance or repairs to the leased premises to the condition
required by the Lessor, and the costs of such maintenance or repairs by
2
the Lessor shall be paid by Lessee to the Lessor in addition to the
reserved rents.
B. Lessee agrees, except as may be otherwise provided in other contracts entered
into between the Lessor and Lessee, not to engage in any business at the
Airport other than that which is expressly authorized herein.
C. The Lessee agrees to indemnify, defend, and save the Lessor, its agents,
officers, representatives and employees, harmless from and against any and all
penalties, liabilities or loss including costs and attorney fees resulting from
claims or court action, whether civil, criminal or in equity, and arising directly
or indirectly out of acts of the Lessee, his agents, employees, or servants
through any injury or casualty occurring on the leased premises.
D. Lessee shall maintain with insurance underwriters satisfactory to the Lessor, a
standard form policy or policies of comprehensive general public liability
insurance with limits not less than $600,000.00 for any one accident or for any
one injury or death and $100,000.00 property damage and worker's
compensation insurance as required by Colorado law. Such policies shall name
the Lessor as an additional insured.
(1) Lessee shall furnish a certificate from the insurance carrier or carriers
showing such insurance to be in full force and effect during the term of
this Agreement or extensions thereof. All said policies shall provide for
a minimum of ten days notice to the Lessor in the event of cancellation,
non - renewal, or material change in the terms thereof.
(2) Lessee shall not hold, or attempt to hold, Lessor liable for any injury,
including loss of life, to any person, or for damage to any property while
on the leased premises or on the Airport, irrespective of how such injury
or damage may have been caused or occasioned.
4. OBLIGATION OF LESSOR
A. Lessor shall furnish heat, air conditioning, and electricity for said premises.
5. GENERAL CONDITIONS
A. The terms and conditions of this Lease and Lessee's rights hereunder are hereby
made subject to the provisions of Title III Chapter I of the 1971 Code of
Ordinances of the City of Pueblo and as same may by subsequently amended.
In the event of conflict between said Code of Ordinances and any provisions
herein, said Code shall control.
B. The Lessee, as a part of the consideration hereof, does hereby covenant and
agree, as a covenant running with the land, that in the event facilities are
constructed, maintained, or otherwise operated on the said property described
in this Lease for the purpose for which a Department of Transportation program
3
or activity is extended or for another purpose involving the provision of similar
services or benefits, the Lessee shall maintain and operate such facilities and
services in compliance with all other requirements imposed pursuant to Title 49,
Code of Federal Regulations, Department of Transportation, Subtitle A, Office
of the Secretary, Part 21, Non - discrimination in Federally- assisted programs of
the Department of Transportation -- Effectuation of Title VI of the Civil Rights Act
of 1964, and as said Regulations may be amended.
(1) The Lessee, as a part of the consideration hereof, does hereby covenant
and agree, as a covenant running with the land, that (1) no person on
the grounds of race, color, sex, or national origin shall be excluded from
participation in, denied the benefits of, or be otherwise subjected to
discrimination in the use of leased premises, that (2) in the construction
of any improvements on, over, or under the leased premises and the
furnishing of services thereon, no person on the grounds of race, color,
sex, or national origin shall be excluded from participation in, denied the
benefits of, or otherwise be subjected to discrimination, (3) that the
Lessee shall use the leased premises in compliance with all other
applicable requirements imposed by or pursuant to Title 49, Code of
Federal Regulations, Department of Transportation, Subtitle A, Office of
the Secretary, Part 21, Non - discrimination in Federally- assisted programs
of the Department of Transportation -- Effectuation of Title VI of the Civil
Rights Act of 1964, and as said Regulations may be amended.
(2) That in the event of breach of any of the above non - discrimination
covenants, Lessor shall have the right to terminate this Lease and to re-
enter and repossess said land and the facilities thereon, and hold the
same as if said Lease had never been made or issued.
C. The Lessee agrees to comply with the notification and review requirements
covered in Part 77 of the Federal Aviation Regulations before construction of
any future structure or building upon the leased premises or before any
modification or alteration of any present or future building or structure situated
on the leased premises is commenced.
D. Lessee shall furnish its services and accommodations on a fair, equal, and not
unjustly discriminating basis to all users thereof and it shall charge fair,
reasonable, and not unjustly discriminating prices for each unit of service,
provided that the Lessee may be permitted to make reasonable and
nondiscriminatory discounts, rebates, or other similar price reductions to
employees or volume purchasers.
E. The Lessee by accepting this Lease expressly agrees for itself, its successors,
and assigns that it will not make use of the leased premises in any manner
which might interfere with the landing and taking off of aircraft from Pueblo
Memorial Airport or otherwise constitute a hazard. In the event the aforesaid
covenant is breached, the Lessor reserves the right to enter upon the premises
4
hereby leased and cause the abatement of such interference at the expense of
the Lessee.
F. This Lease and all the provisions hereof are subject to all rights the United
States Government now has, or in the future may have, or acquire, affecting the
control, operation, regulation, re -entry upon and taking over of the said Airport
including the leased premises.
G. The Lessee shall observe faithfully all rules and regulations affecting the use of
the Airport, whether established by the Director of Aviation, by the City or other
political subdivision having jurisdiction, by the State of Colorado or the United
States, or agencies thereof, including but not limited to rules affecting the
operation of motor vehicles upon, to, and from the Airport.
H. The Lessee, and all officers, agents, and employees of Lessee, hereby agree to
be bound by and subject to all the Police Ordinances of Pueblo, a Municipal
Corporation; at all times while on the Airport, whether acting in course of
Lessee's business or otherwise, to all intents and purposes the same as though
the leased premises where located within the City Limits of Lessor.
I. The Lessee represents that it has inspected the Airport and all its premises and
facilities and that it accepts the condition of same and fully assumes the risk
incident to the use thereof. The Lessor shall not be liable to the Lessee for any
damages or injuries to the property or personnel of the Lessee which result from
hidden, latent, or other dangerous conditions on the Airport or leased premises.
6. DEFAULT HOLDOVER AND NON - PERFORMANCE CONDITIONS
A. That if, after the expiration of the term of this Lease, Lessee shall remain in
possession of the leased premises and continue to pay rent without any express
written agreement as to such holding over, then Lessee agrees that all terms
and covenants of this Lease shall remain in effect, except that the Lessee shall
be a tenant from month to month at a monthly rent equal to 150 percent of the
rent for the last month payable hereunder.
B. That if the Lessee shall be declared insolvent and bankrupt, or if any
assignment of the Lessee's property shall be made for the benefit of creditors
or otherwise, or if Lessee's leasehold interest herein shall be levied upon under
execution, or seized by virtue of any writ of any Court of Law, or a Trustee in
Bankruptcy or a Receiver appointed for the property of the Lessee, whether
under the operation of the State or the Federal Statutes, then and in any such
case, the Lessor may, at his option, immediately with or without notice, notice
being expressly waived, terminate this Lease and immediately retake possession
of said premises without the same working any forfeiture of any accrued
obligations of the Lessee hereunder.
C. That if the above rent, or any part thereof, shall be in default, or in case of a
breach by the Lessee of any of the covenants or agreements herein, the said
5
Lessor may declare this Lease terminated, and after the expiration of three days
from the date of the service of a written notice to that effect, be entitled to the
possession of said premises without any further notice or demand. If the Lessor
shall become entitled to the possession of said premises either by the expiration
of this Lease or by any violation of any term or provision as herein provided, the
said Lessor may, without further notice or demand, enter into and upon said
premises, or any part thereof, and take possession thereof and repossess them,
and expel, remove and put out of possession the Lessee, using such help,
assistance, and force in so doing as may be needful and proper, without
prejudice to any remedy allowed by Law, available in such cases.
D. That in case said premises are left vacant and any part of the rent herein
reserved be due and unpaid, then the Lessor may, without in anyway being
obligated to do so, and without terminating this Lease, retake possession of said
premises and rent the same for such rent, and upon such conditions as the
Lessor may think best, making such changes and repairs as may be required,
giving credit for the amount of rent so received less all expenses of such
changes and repairs, and said Lessee shall be liable for the balance of the rent
herein reserved until the expiration of the Lease.
E. In the event the Lease Agreement is terminated as herein provided, Lessor
should have and is hereby given a lien upon Lessee's equipment, fixtures,
furniture, and inventory located in or upon the leased premises for all rent,
expenses, attorney fees, and costs due or to become payable by Lessee
hereunder, and such lien may be enforced by the taking and sale of such
property in the same manner and as provided for the disposition of collateral
under the Colorado Uniform Commercial Code.
F. Lessee agrees to pay to Lessor all costs, including a reasonable Attorney Fee,
incurred by Lessor in recovering any rent or other money due and unpaid under
the terms of this Lease or to recover possession of the leased premises after
termination hereof.
7. SPECIAL CONDITIONS
A. If not in default hereunder and Lessee desires to continue the operation covered
by this Agreement beyond the date herein stated as the termination date,
Lessee shall so notify the Lessor in writing addressed to the Director of
Aviation, at least sixty (60) days before the termination of this Lease. The
Lessee shall, subject to the approval of the Lessor, thereupon have the option
to renew this Lease for an additional term of one (1) year commencing February
1, 1999 and terminating January 31, 2000 upon the same terms and
conditions, except that the size and location of the leased premises and /or rent
for the full renewal shall be negotiated at the time of renewal. This option to
renew will terminate and expire if Lessor does not agree in writing to such
renewal.
R
8. MISCELLANEOUS PROVISIONS
A. That no assent, expressed or implied, to any breach of any one or more of the
covenants and agreements hereof, shall be deemed or taken to be a waiver of
any succeeding or other breach.
B. The Lessee shall not assign or sublet this Agreement, or any right, privilege or
interest thereunder without the written permission of the Director of Aviation.
C. This Lease Agreement shall inure to the benefit of and be binding upon the
successors, subleasees, and assigns of the parties hereto.
ATTEST: PUEBLO, A MUNICIPAL CORPORATION
mar-offi 71
by OtUll
President of h City Council
APPROVED AS TO FORM:
EXPRESS P"
NNEL SERVICES, L.L.C.:
by
CityAttorney v `. Jim illen
Ow r
101
COUNCIL AGENDA - BACKGROUND PAPER
TITLE:
DEPARTMENT
DATE:
A resolution approving the purchase of the property located
at 1231 East Orman
Office of City Manager
January 12, 1998
ISSUE: The City of Pueblo was approached by the owners of this
property and given the opportunity to purchase at the
appraised value of the property. The property was appraised
at $43,500. The property is being purchased with the intent
of demolishing the existing home and constructing a parking
lot to ease the parking burden placed on the neighborhood
from the employees at Matrixx. The City has already
purchased the properties at 1219 and 1223 East Orman with
the same intent of using them as parking.
FINANCIAL IMPACT: Funds not to exceed $45,000 will be disbursed from the
Half -Cent Sales Tax.
RECOMMENDATION: Approval of the resolution.
SECURITY UNION
Title Insurance Company
POLICY OF TITLE INSURANCE
06 0720 106 1946
SECURITY UNION TITLE INSURANCE COMPANY
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE
CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, SECURITY UNION
TITLE INSURANCE COMPANY, a California corporation, herein called the Company, insures, as of
date of policy shown in Schedule A, against loss or damage, not exceeding the amount of insurance
stated in Schedule A, sustained or incurred by the insured by reason of:
1. Title to the estate or interest described in Schedule A being vested other than as stated
therein;
2. Any defect in or lien or encumbrance on the title;
3. Unmarketability of the title.
4. Lack of a right of access to and from the land.
The Company will also pay the costs, attorneys' fees and expenses incurred in defense of the title, as
insured, but only to the extent provided in the Conditions and Stipulations.
ISSUED BY:
VALLEY TITLE COMPANY
1104 N. Main
Pueblo, Colorado 81003 SECURITY UNION TITLE INSURANCE COMPANY
(719) 546 - 1801 FAX (719) 544 - 5222
By:
President
jj
V/' f
-A C lz�i-- - �
..... ...............
Authorized Signature
By:
2*
Secretary
ALTA OWNER'S POLICY (10- 17 -92)
Reorder Form No. 12653 (Rev. 10- 17 -92)
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; (iii) 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 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 Date of Policy, but known to the insured
claimant and not disclosed in writing to the Company by the insured claimant prior to the date the insured
claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant;
(d) attaching or created subsequent to Date of Policy; 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.
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, state insolvency, or similar creditors' rights laws, that is based on:
(1) 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.
PREMIUM
TRANS SI INF.
REISSUE
AMOUNT
TYPE IND. END.
CODE CODE CODE CODE CODE
AMOUNT
$236.50
OP
4040
$22,000.00
SCHEDULE A
OFFICE FILE
POLICY
DATE OF
AMOUNT OF
NUMBER
NUMBER
POLICY
INSURANCE
36654
06 0720 106
1946 March 5, 1998
$43,500.00
at 10:30 A.M.
1. Name of Insured:
PUEBLO, A Municipal Corporation
2. The estate or interest in the land described herein and which is covered by this
Policy is:
Fee Simple
3. Title to the estate or interest in the land is vested in:
PUEBLO, A Municipal Corporation
4. The land herein described is encumbered by the following mortgage or trust deed,
and assignments:
and the mortgages or trust deeds, if any, shown in Schedule B hereof.
5. The land referred to in this policy is described as follows:
Lot 31 and the South 1/2 of Lot 32, Block 11,
COLLEGE HILLS, Second Filing,
County of Pueblo, State of Colorado
CTY
101
SCHEDULE A
Owners Form This policy valid only if Schedule B is attached.
SCHEDULE B
Policy No. 06 0720 106 1946
EXCEPTIONS FROM COVERAGE
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:
General Exceptions:
(1) Rights or claims of parties in possession not shown by the public records.
(2) Encroachments, overlaps, boundary line disputes, or other matters which would be
disclosed by an accurate survey or inspection of the premises including, but
not limited to, insufficient or impaired access or matters contradictory to
any survey plat shown by the public records.
(3) Easements, or claims of easements, not shown by the public records.
(4) 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.
(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 records.
(6) Taxes or special assessments which are not shown as existing liens by the public
records of any taxing authority that levies taxes or assessments on real property
records. Proceedings by a public agency which may result in taxes or assessments,
or notices of such proceedings, whether or not shown by the records of such agency
or by the public records.
(SPECIAL EXCEPTIONS SHOWN ON NEXT PAGE)
SCHEDULE B (STANDARD COVERAGE) Schedule B of this Policy consists of 2 pages.
Owners Form - (10- 17 -92)
SCHEDULE B (CONTINUED)
Policy Number: 06 0720 106 1946
Special Exceptions: The mortgage, if any, referred to in Item 4 of Schedule A.
7. Any and all unpaid taxes, assessments and unredeemed tax sales.
8. Liquor Covenants and Conditions as contained in various deeds in the chain of
title.
ITEMS 1, 2, 3, 4, 5 AND 6 ARE HEREBY DELETED
SCHEDULE B (STANDARD COVERAGE) Schedule B of this Policy consists of 2 pages.
Owners Form - (10- 17 -92)
CONDITIONS AND STIPULATIONS
1. DEFINITION OF TERMS
The following terms when used in this policy mean:
(a) "insured ": the insured named in Schedule A, and, subject to any rights
or defenses the Company would have had against the named insured, those
who succeed to the interest of the named insured by operation of law as
distinguished from purchase including, but not limited to, heirs, distributees,
devisees, survivors, personal representatives, next of kin, or corporate or
fiduciary successors.
(b) "insured claimant ": an insured claiming loss or damage.
(c) "knowledge" or "known ": actual knowledge, not constructive knowl-
edge or notice which may be imputed to an insured by reason of the public
records as defined in this policy or any other records which impart construc-
tive notice of matters affecting the land.
(d) "land ": the land described or referred to in Schedule A, and improve-
ments affixed thereto which by law constitute real property. The term "land"
does not include any property beyond the lines of the area described or
referred to in Schedule A, nor any right, title, interest, estate or easement in
abutting streets, roads, avenues, alleys, lanes, ways or waterways, but noth-
ing herein shall modify or limit the extent to which a right of access to and from
the land is insured by this policy.
(e) "mortgage ": mortgage, deed of trust, trust deed, or other security
instrument.
(f) "public records ": records established under state statutes at Date of
Policy for the purpose of imparting constructive notice of matters relating to
real property to purchasers for value and without knowledge. With respect to
Section 1(a)(iv) of the Exclusions From Coverage, "public records" shall also
include environmental protection liens filed in the records of the clerk of the
United States district court for the district in which the land is located.
(g) "4nmarketability of the title ": an alleged or apparent matter affecting
the title to the land, not excluded or excepted from coverage, which would
entitle a purchaser of the estate or interest described in Schedule A to be
released from the obligation to purchase by virtue of a contractual condition
requiring the delivery of marketable title.
2. CONTINUATION OF INSURANCE AFTER CONVEYANCE OF TITLE
The coverage of this policy shall continue in force as of Date of Policy in
favor of an insured only so long as the insured retains an estate or interest in
the land, or holds an indebtedness secured by a purchase money mortgage
given by a purchaser from the insured, or only so long as the insured shall
have liability by reason of covenants of warranty made by the insured in any
transfer or conveyance of the estate or interest. This policy shall not continue
in force in favor of any purchaser from the insured of either (i) an estate or
interest in the land, or (ii) an indebtedness secured by a purchase money
mortgage given to the insured.
3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
The insured shall notify the Company promptly in writing (i) in case of any
litigation as set forth in Section 4(a) below, (ii) in case knowledge shall come to
an insured hereunder of any claim of title or interest which is adverse to the
title to the estate or interest, as insured, and which might cause loss or dam-
age for which the Company may be liable by virtue of this policy, or (iii) if title to
the estate or interest, as insured, is rejected as unmarketable. If prompt notice
shall not be given to the Company, then as to the insured all liability of the
Company shall terminate with regard to the matter or matters for which prompt
notice is required; provided, however, that failure to notify the Company shall
in no case prejudice the rights of any insured under this policy unless the
Company shall be prejudiced by the failure and then only to the extent of the
prejudice.
4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED
CLAIMANT TO COOPERATE
(a) Upon written request by the insured and subject to the options con-
tained in Section 6 of these Conditions and Stipulations, the Company, at its
own cost and without unreasonable delay, shall provide for the defense of an
insured in litigation in which any third party asserts a claim adverse to the title
or interest as insured, but only as to those stated causes of action alleging a
defect, lien or encumbrance or other matter insured against by this policy. The
Company shall have the right to select counsel of its choice (subject to the
right of the insured to object for reasonable cause) to represent the insured as
to those stated causes of action and shall not be liable for and will not pay the
fees of any other counsel. The Company will not pay any fees, costs or
expenses incurred by the insured in the defense of those causes of action
which allege matters not insured against by this policy.
(b) The Company shall have the right, at its own cost, to institute and
prosecute any action or proceeding or to do any other act which in its opinion
may be necessary or desirable to establish the title to the estate or interest, as
insured, or to prevent or reduce loss or damage to the insured. The Company
may take any appropriate action under the terms of this policy, whether or not
it shall be liable hereunder, and shall not thereby concede liability or waive any
provision of this policy. If the Company shall exercise its rights under this
paragraph. it shall do so diligently.
(c) Whenever the Company shall have brought an action or interposed a
defense as required or permitted by the provisions of this policy, the Company
may pursue any litigation to final determination by a court of competent juris-
diction and expressly reserves the right, in its sole discretion, to appeal from
any adverse judgment or order.
(d) In all cases where this policy permits or requires the Company to prose-
cute or provide for the defense of any action or proceeding, the insured shall
secure to the Company the right to so prosecute or provide defense in the
action or proceeding, and all appeals therein, and permit the Company to
use, at its option, the name of the insured for this purpose. Whenever
requested by the Company, the insured, at the Company's expense, shall give
the Company all reasonable aid (i) in any action or proceeding, securing
evidence, obtaining witnesses, prosecuting or defending the action or pro-
ceeding, or effecting settlement, and (ii) in any other lawful act which in the
opinion of the Company may be necessary or desirable to establish the title to
the estate or interest as insured. If the Company is prejudiced by the failure of
the insured to furnish the required cooperation, the Company's obligations to
the insured under the policy shall terminate, including any liability or obliga-
tion to defend, prosecute, or continue any litigation, with regard to the matter
or matters requiring such cooperation.
5. PROOF OF LOSS OR DAMAGE
In addition to and after the notices required under Section 3 of these Condi-
tions and Stipulations have been provided the Company, a proof of loss or
damage signed and sworn to by the insured claimant shall be furnished to the
Company within 90 days after the insured claimant shall ascertain the facts
giving rise to the loss or damage. The proof of loss or damage shall describe
the defect in, or lien or encumbrance on the title, or other matter insured
against by this policy which constitutes the basis of loss or damage and shall
state, to the extent possible, the basis of calculating the amount of the loss or
damage. If the Company is prejudiced by the failure of the insured claimant to
provide the required proof of loss or damage, the Company's obligations to
the insured under the policy shall terminate, including any liability or obliga-
tion to defend, prosecute, or continue any litigation, with regard to the matter
or matters requiring such proof of loss or damage.
In addition, the insured claimant may reasonably be required to submit to
examination under oath by any authorized representative of the Company
and shall produce for examination, inspection and copying, at such reason-
able times and places as may be designated by any authorized representative
of the Company, all records, books, ledgers, checks, correspondence and
memoranda, whether bearing a date before or after Date of Policy, which
reasonably pertain to the loss or damage. Further, if requested by any autho-
rized representative of the Company, the insured claimant shall grant its
permission, in writing, for any authorized representative of the Company to
examine, inspect and copy all records, books, ledgers, checks, correspon-
dence and memoranda in the custody or control of a third party, which reason-
ably pertain to the loss or damage. All information designated as confidential
by the insured claimant provided to the Company pursuant to this Section
shall not be disclosed to others unless, in the reasonable judgment of the
Company, it is necessary in the administration of the claim. Failure of the
insured claimant to submit for examination under oath, produce other reason-
ably requested information or grant permission to secure reasonably neces-
sary information from third parties as required in this paragraph shall termi-
nate any liability of the Company under this policy as to that claim.
6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION
OF LIABILITY
In case of a claim under this policy, the Company shall have the following
additional options:
(a) To Pay or Tender Payment of the Amount of Insurance.
To pay or tender payment of the amount of insurance under this policy
together with any costs, attorneys' fees and expenses incurred by the insured
claimant, which were authorized bythe Company, up to the time of payment or
tender of payment and which the Company is obligated to pay.
Upon the exercise by the Company of this option, all liability and obligations
to the insured under this policy, other than to make the payment required, shall
terminate, including any liability or obligation to defend, prosecute, or con-
tinue any litigation, and the policy shall be surrendered to the Company for
cancellation.
(b) To Pay or Otherwise Settle With Parties Other than the Insured or
With the Insured Claimant.
(i) to pay or otherwise settle with other parties for or in the name of an
insured claimant any claim insured against underthis policy, togetherwith any
costs, attorneys' fees and expenses incurred by the insured claimant which
were authorized by the Company up to the time of payment and which the
Company is obligated to pay; or
(ii) to pay or otherwise settle with the insured claimant the loss or damage
provided for under this policy, together with any costs, attorneys' fees and
expenses incurred by the insured claimant which were authorized by the
Company up to the time of payment and which the Company is obligated to
pay.
Upon the exercise by the Company of either of the options provided for in
paragraphs (b)(i) or (ii), the Company's obligations to the insured under this
policy for the claimed loss or damage, other than the payments required to be
made, shall terminate, including any liability or obligation to defend, prose-
cute or continue any litigation.
7. DETERMINATION, EXTENT OF LIABILITY AND COINSURANCE
This policy is a contract of indemnity against actual monetary loss or dam-
age sustained or incurred by the insured claimant who has suffered loss or
damage by reason of matters insured against by this policy and only to the
extent herein described.
(a) The liability of the Company under this policy shall not exceed the least
of:
(i) the Amount of Insurance stated in Schedule A; or,
(ii) the difference between the value of the insured estate or interest as
insured and the value of the insured estate or interest subject to the defect,
lien or encumbrance insured against by this policy.
(b) In the event the Amount of Insurance stated in Schedule A at the Date of
Policy is less than 80 percent of the value of the insured estate or interest or
the full consideration paid for the land, whichever is less, or if subsequent to
the Date of Policy an improvement is erected on the land which increases the
value of the insured estate or interest by at least 20 percent over the Amount of
Insurance stated in Schedule A, then this Policy is subject to the following:
(i) where no subsequent improvement has been made, as to any partial
loss, the Company shall only pay the loss pro rata in the proportion that the
amount of insurance at Date of Policy bears to the total value of the insured
estate or interest at Date of Policy; or
(ii) where a subsequent improvement has been made, as to any partial
loss, the Company shall only pay the loss pro rata in the proportion that 120
percent of the Amount of Insurance stated in Schedule A bears to the sum of
the Amount of Insurance stated in Schedule A and the amount expended for
the improvement.
The provisions of this paragraph shall not apply to costs, attorneys' fees
and expenses for which the Company is liable under this policy, and shall only
apply to that portion of any loss which exceeds, in the aggregate, 10 percent of
the Amount of Insurance stated in Schedule A.
(c) The Company will pay only those costs, attorneys' fees and expenses
incurred in accordance with Section 4 of these Conditions and Stipulations.
8. APPORTIONMENT
If the land described in Schedule A consists of two or more parcels which
are not used as a single site, and a loss is established affecting one or more of
the parcels but not all, the loss shall be computed and settled on a pro rata
basis as if the amount of insurance under this policy was divided pro rata as to
the value on Date of Policy of each separate parcel to the whole, exclusive of
any improvements made subsequent to Date of Policy, unless a liability or
value has otherwise been agreed upon as to each parcel by the Company and
the insured at the time of the issuance of this policy and shown by an express
statement or by an endorsement attached to this policy.
9. LIMITATION OF LIABILITY
(a) If the Company establishes the title, or removes the alleged defect, lien
or encumbrance, or cures the lack of a right of access to or from the land, or
cures the claim of unmarketability of title, all as insured, in a reasonably
diligent manner by any method, including litigation and the completion of any
appeals therefrom, it shall have fully performed its obligations with respect to
that matter and shall not be liable for any loss or damage caused thereby.
(b) In the event of any litigation, including litigation by the Company or with
the Company's consent, the Company shall have no liability for loss or dam-
age until there has been a final determination by a court of competent jurisdic-
tion, and disposition of all appeals therefrom, adverse to the title as insured.
(c) The Company shall not be liable for loss or damage to any insured for
liability voluntarily assumed by the insured in settling any claim or suit without
the prior written consent of the Company.
10. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF
LIABILITY
All payments under this policy, except payments made for costs, attorneys'
fees and expenses, shall reduce the amount of the insurance pro tanto.
11. LIABILITY NONCUMULATIVE
It is expressly understood that the amount of insurance under this policy
shall be reduced by any amount the Company may pay under any policy
insuring a mortgage to which exception is taken in Schedule B or to which the
insured has agreed, assumed, or taken subject, or which is hereafter ex-
ecuted by an insured and which is a charge or lien on the estate or interest
described or referred to in Schedule A, and the amount so paid shall be
deemed a payment under this policy to the insured owner.
12. PAYMENT OF LOSS
(a) No payment shall be made without producing this policy for endorse-
ment of the payment unless the policy has been lost or destroyed, in which
case proof of loss or destruction shall be furnished to the satisfaction of the
Company.
(b) When liability and the extent of loss or damage has been definitely fixed
in accordance with these Conditions and Stipulations, the loss or damage
shall be payable within 30 days thereafter.
13. SUBROGATION UPON PAYMENT OR SETTLEMENT
(a) The Company's Right of Subrogation.
Whenever the Company shall have settled and paid a claim under this
policy, all right of subrogation shall vest in the Company unaffected by any act
of the insured claimant.
The Company shall be subrogated to and be entitled to all rights and
remedies which the insured claimant would have had against any person or
property in respect to the claim had this policy not been issued. If requested by
the Company, the insured claimant shall transfer to the Company all rights
and remedies against any person or property necessary in order to perfect
this right of subrogation. The insured claimant shall permit the Company to
sue, compromise or settle in the name of the insured claimant and to use the
name of the insured claimant in any transaction or litigation involving these
rights or remedies.
If a payment on account of a claim does not fully cover the loss of the
insured claimant, the Company shall be subrogated to these rights and reme-
dies in the proportion which the Company's payment bears to the whole
amount of the loss.
If loss should result from any act of the insured claimant, as stated above,
that act shall not void this policy, but the Company, in that event, shall be
required to pay only that part of any losses insured against by this policy which
shall exceed the amount, if any, lost to the Company by reason of the impair-
ment by the insured claimant of the Company's right of subrogation.
(b) The Company's Rights Against Non - insured Obligors.
The Company's right of subrogation against non - insured obligors shall
exist and shall include, without limitation, the rights of the insured to indem-
nities, guaranties, other policies of insurance or bonds, notwithstanding any
terms or conditions contained in those instruments which provide for subroga-
tion rights by reason of this policy.
14. ARBITRATION
Unless prohibited by applicable law, either the Company or the insured may
demand arbitration pursuant to the Title Insurance Arbitration Rules of the
American Arbitration Association. Arbitrable matters may include, but are not
limited to, any controversy or claim between the Company and the insured
arising out of or relating to this policy, any service of the Company in connec-
tion with its issuance or the breach of a policy provision or other obligation. All
arbitrable matters when the Amount of Insurance is $1,000,000 or less shall
be arbitrated at the option of either the Company or the insured. All arbitrable
matters when the Amount of Insurance is in excess of $1,000,000 shall be
arbitrated only when agreed to by both the Company and the insured. Arbitra-
tion pursuant to this policy and under the Rules in effect on the date the
demand for arbitration is made or, at the option of the insured, the Rules in
effect at Date of Policy shall be binding upon the parties. The award may
include attorneys' fees only if the laws of the state in which the land is located
permit a court to award attorneys' fees to a prevailing party. Judgment upon
the award rendered by the Arbitrator(s) may be entered in any court having
jurisdiction thereof.
The law of the situs of the land shall apply to an arbitration under the Title
Insurance Arbitration Rules.
A copy of the Rules may be obtained from the Company upon request.
15. LIABILITY LIMITED TO THIS POLICY; POLICY ENTIRE CONTRACT
(a) This policy together with all endorsements, if any, attached hereto by the
Company is the entire policy and contract between the insured and the Com-
pany. In interpreting any provision of this policy, this policy shall be construed
as a whole.
(b) Any claim of loss or damage, whether or not based on negligence, and
which arises out of the status of the title to the estate or interest covered
hereby or by any action asserting such claim, shall be restricted to this policy.
(c) No amendment of or endorsement to this policy can be made except by
a writing endorsed hereon or attached hereto signed by either the President, a
Vice President, the Secretary, an Assistant Secretary, or validating officer or
authorized signatory of the Company.
16. SEVERABILITY
In the event any provision of the policy is held invalid or unenforceable
under applicable law, the policy shall be deemed not to include that provision
and all other provisions shall remain in full force and effect.
17. NOTICES, WHERE SENT
All notices required to be given the Company and any statement in writing
required to be furnished the Company shall include the number of this policy
and shall be addressed to the Company at the issuing office or to:
Security Union Title Insurance Company
Claims Department
P.O. Box 2233
Los Angeles, California 90051
WARRANTY DEED
TMS DEED, Made on
March 4, 1998
111111111111111111111111111111111111111 III 111111111 IN
1207970 03/05/1998 10:29A B3093 P666 WD
1 of 1 R 6.00 D 0.00 Pueblo Cty Clk & Rec.
between JOSEPH P. COSTANZA AND CARMEN J.
BUCCIARELLI, III
of the County of PUEBLO and
State of COLORADO grantor, and
PUEBLO, A Municipal Corporation
whose legal address is
of the County of PUEBLO and State of COLORADO ,grantees:
WITNESS, That the grantor, for and in consideration of the sum of
* *ONE DOLLAR AND OTHER CONSIDERATION************* * * * * * * * * * * * * * * * * * * * * * * llOLLAItS,
the receipt and sufficiency of which is hereby acknowledged, has granted, bargained, sold and conveyed, and by these presents does
grant, bargain, sell, convey and confirm unto the grantees, their heirs and assigns forever, not in tenancy in common but in joint tenancy,
all the real property, together with improvements, if any, situate, lying and being in the County of
PUEBLO and State of Colorado, described as follows:
Lot 31 and the South 1/2 of Lot 32, Block 11,
COLLEGE HILLS, Second Filing,
County of Pueblo, State of Colorado
as known by street and number as: 1231 EAST ORMAN
PUEBLO,CO.,81004
TOGETHER with all and singular the hereditaments and appurtenances thereunto belonging, or in anywise appertaining and the
reversion and reversions, remainder and remainders, rents, issues and profits thereof, and all die estate, right, title, interest, claim and
demand whatsoever of the grantor, either in law or equity, of, in and to the above bargained premises, with die heredilanents and
appurtenances.
TO HAVE AND TO IIOLD the said premises above bargained and described, with the appurtenances, unto die grantees, their heirs
and assigns forever. And the grantor, for himself, his heirs, and personal representatives, does covenant, grant, bargain, and agree to and
with die grantees, their heirs and assigns, that at die time of the ensealing and delivery of these presents, he is well seized of die premises
above conveyed, had good, sure, perfect, absolute and indefeasible estate of inheritance, in law, in fee simple, and has good right, full
power and lawful authority to grant, bargain, sell and convey the same in manner and form aforesaid, and that the same are free and clear
from all former and other grants, bargains, sales, liens, taxes, assessments, encumbrances and restrictions of whatever kind or name
soever,except General Taxes for the current year and subsequent years,
easements, restrictions, reservations and protective
covenants of record, if any.
The grantor shall and will WARRANT AND FOREVER DEFEND the above - bargained premises in the quiet and peaceable
possession of the grantees, their heirs and assigns, against all and every person or persons lawfully claiming die whole or any part
thereof.
The singular number shall include the plural, the plural the singular , and the use of any gender shall be applicable to all genders.
IN WITNESS WHEREOF, the grantor has executed this deed on the date set forth ab�ve .
OS PH P. COST A /CARMEN J. BUCCIARELLI, III
by
} Ss.
before me this ' day of
D CARMEN J. BUCCIARELLI, III
COLORADO
19
Witness my hand and official seal.
_ My Commission expires y
- N,,., n,nnv
r
Nn. 921A. Rev. 3 -55 Warranty Deed(To Joint Tenants)
vi Camndsa m Elkins June 4,1901