Standard Exceptions in Missouri
Examples
- Defects, liens, encumbrances, adverse claims or other matters, if any, first appearing in the public records or attaching subsequent to the Effective Date but prior to the date the proposed insured acquires for value of record the estate or interest mortgage thereon covered by this Commitment.
- Any encroachment, encumbrance, violation, variation or adverse circumstances affecting Title that would be disclosed by an accurate and complete survey of the Land or that could be ascertained by an inspection of the Land.
- Any lien, or right to lien, for services, labor, or material heretofore or hereafter furnished, imposed by law and not shown by Public Records.
- Easements, or claims of easement, not shown by the Public Records.
- Right or claim of parties in possession not shown by the Public Records.
- Taxes, or special assessments, if any, not shown as existing liens by the Public Records.
- Real estate taxes, special assessments, or property owners association dues, if any, for the year 2019 or current month and subsequent years and months not yet due and payable.
- Subdivision Assessments, in any, which are not shown as existing liens in the public records.
- Taxes, special assessments, and drainage ditch assessments which are not shown as existing liens by the public records.
- Rights of the public or private parties, persons or firms in and to that portion of the property herein described lying within the boundaries of County Road XXX.
- Rights or claims of parties in possession not shown by the Public Records.
- Easements, or claims of easements, not shown by the Public Records.
- Any encroachment, encumbrance, violation, variation or adverse circumstances affecting Title that would be disclosed by an accurate and complete survey of the Land or that could be ascertained by an inspection of the Land.
- Any liens, or right to a lien, for services, labor, or material heretofore or hereafter furnished, imposed by law and not shown by the Public Records.
- Taxes, or special assessments, if any, not shown as existing liens by the Public Records.
- The lien of the General, State, County and City taxes for 2018 and subsequent years.
- Taxes for the fiscal year 2018, a lien not yet due or payable.
Overview
It is common for agents to divide schedule B-2 of the commitment into sections called "Standard Exceptions" (or "General Exceptions) and "Special Exceptions". The first section lists the standard exceptions promulgated by the underwriter and the second lists any property specific exceptions found as a result of search and examination.
Cross-References
From Section J of the WFG Rate Manual for Missouri (Eff. September 21, 2015):
Standard and Generic Exceptions filed in Compliance with MO RS 381.085
The following Standard and Generic Exceptions are included in this Rate and Rule Manual in order to comply with Missouri Revised Statute section 381.085.4, which requires that any standard exception to the coverage provided in a title insurance policy must be filed with the Director of the Missouri Department of Insurance.
Standard Coverage Exceptions
The following Standard Exceptions will be shown in all Title Commitments and all Title Policies issued by the Company, unless the Company has acquired or has been provided sufficient documentation, in compliance with its underwriting guidelines, to remove said Standard Exceptions.
- Rights or claims of parties in possession not recorded in the Public Records.
- Easements or claims of easements not recorded in the Public Records.
- Any encroachment, encumbrance, violation, variation, or adverse circumstance that would be disclosed by an inspection or an accurate and complete land survey of the Land.
- Any statutory lien for services, labor, or material arising from construction of an improvement or work related to the Land and not recorded in the Public Records.
- Liens for real estate taxes, assessments and other charges imposed by a governmental authority that are not shown as existing liens by its records.
- (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.
- Any Services, installation or connection charge for sewer, water or electricity.
- Any right, title, or interest in any minerals, mineral rights, or related matters, including but not limited to oil, gas, coal, and other hydrocarbons.
Generic Exceptions:
The following approved Generic Exceptions may be used in lieu of exceptions ascertained from the search or examination of records relating to the title of a specific owner or parcel of real estate when producing a Commitment or Title Policy insuring a Lender only. These Generic Exceptions are NOT ascertained from a search or examination of records relating to the title of a specific owner or parcel of real estate, but are broad descriptions of matters that may affect record title. Generic Exceptions are not approved and will not be used in a Commitment or Title Policy issued in anticipation of issuing Owner’s insurance or any transaction insuring property other than that improved with a one-to-four family residential dwelling.
- Covenants, conditions and restrictions, if any, appearing in the public records deleting therefrom any restrictions indicating any preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status or national origin.
- Easements or servitudes appearing in the public records
- Leases, grants, exceptions or reservations of minerals or mineral rights appearing in the public records.
- Loss or damage by reason of any violation, variation, encroachment or adverse circumstances affecting the title that would have been disclosed by an accurate survey.
- IF APPLICABLE:
- a) Riparian and littoral rights of others.
- b) No title is insured to any filled-in land or land lying below the present or any former mean high water line of any body of water.
