STEWART TITLE INSURANCE LIMITED 6 Henrietta Street, 3 rd Floor, Covent Garden, London WC2E 8PS PLANNING CONTROL INDEMNITY POLICY

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1 STEWART TITLE INSURANCE LIMITED 6 Henrietta Street, 3 rd Floor, Covent Garden, London WC2E 8PS PLANNING CONTROL INDEMNITY POLICY The Insured has made a Proposal and paid the Premium to the Company for the indemnity set out in this Policy of Insurance. The full particulars of the Proposal form the basis of and are incorporated within the Policy and the Company hereby grants the insurance subject to the terms conditions and exclusions set out in this Policy and any Memoranda endorsed upon it. Signed for and on behalf of STEWART TITLE LIMITED Authorised Signatory

2 1. DEFINITIONS In this Policy the words and phrases below shall have the following meanings: Breach: Claim: Company: Consent: Breach of Town and Country Planning legislation or planning consent granted under such legislation or of Building Regulations, or of listed building controls, as detailed in the Schedule. A claim against the Insured notified by the local Building Control and/or Planning Control Authority ( the Authority ) which seeks to enforce any Breach. Stewart Title Limited whose registered office is at 6 Henrietta Street, 3 rd Floor, Covent Garden, London WC2E 8PS registered in England No Written consent. Development: The development as detailed in the Schedule. Enforcement Action: Insured: Any action(s) or proceeding(s) taken by the proper Authority to enforce any Breach. The party named as such in the Schedule to the Policy together with: the Insured s mortgagees the Insured s bona fide successors in title and their mortgagees. any lessee of the Insured or of the Insured s successors in title and the mortgagees of such lessees. Providing always that in respect of the parties at and above the Maximum Liability is restricted to the extent of their interest in the property. Insured Use: Market Value: The insured use as detailed in the Schedule. The average of the estimates from two independent valuers of the open market value (as defined from time to time in the guidelines issued by the Royal Institution of Chartered Surveyors).

3 Maximum Liability: Policy Date: Property: Relevant Date: As specified in the Schedule or the extent of the Insured s interest whichever is the lesser. The date specified in the Schedule. The information provided to the Company by or on behalf of the Insured. The date on which Enforcement Action is taken against the Insured. 2. COVER Where: the Insured Use or Development is in breach of Planning Consent/ Planning Legislation/Building Regulations and the Authority takes Enforcement Action in respect of the Breach. the Company will: (a) indemnify the Insured (subject to the Maximum Liability) against: (iv) (v) any damages or compensation (including costs and expenses) awarded against the Insured in any proceedings brought against him. the cost of altering or demolishing the Development to comply with an Injunction or Order of the Court or Enforcement Action. where an Injunction, Order of the Court or Enforcement Action prohibits or restricts the Development and/or Insured Use, the diminution in the Market Value of the Property, calculated as the difference between the Market Value on the assumption that the Breach is not enforceable and the Market Value at the Relevant Date where the Property is subject to the Enforcement Action to the extent ordered by the Court. the costs of the Development (or part thereof) which were commenced or contracted for prior to the notification by the Insured to the Company of a Claim which is rendered abortive by an Injunction or Order of the Court. all costs charges and expenses incurred by the Insured with the Consent of the Company in connection with any legal action or in any application or appeal to the Local Planning Authority, Secretary of State for the Environment or Court for the relevant consent for the Insured Use/Development. (b) assume responsibility for dealing with any Claim made against the Insured.

4 3. EXCLUSIONS The following matters are expressly excluded from the coverage of this Policy and the Company will not pay any loss or damage, costs, fees or expenses that arise by reason of: any Claim following any communication (written or verbal) made by the Insured or by a party acting on behalf of the Insured to the Local Authority without the Consent of the company, irrespective of whether such communication was made prior to or after the Policy Date. any Enforcement Action following any communication (written or verbal) in respect of a Breach made by the Insured or a party acting on behalf of the Insured to the Authority without the Consent of the Company. For the purposes of this clause any communications to the Authority disclosed to the Company in the Insured s proposal are deemed to have been made with the Consent of the Company. Any loss resulting directly from any structural defect identified in the Property by any structural survey or valuation report carried by or on behalf of or for the benefit of the Insured prior to the Policy Date. 4. CONDITIONS 1. The Insured shall not at any time disclose the existence of this Policy of Insurance to any third party other than a prospective successor in title under the Policy. 2. The Insured shall notify the Company in writing immediately he becomes aware of any circumstances likely to give rise to a claim under the Policy, giving full details of all known facts and shall continue to provide all reasonable assistance to the Company. 3. The Insured shall make no admission, promise of payment, indemnity or compliance without the Consent of the Company. Any communications received by the Insured shall be passed to the Company immediately upon receipt. 4. The observance of the Conditions of this Policy by the Insured and by those acting on behalf of the Insured and the truth of the information given to the Company shall be a condition precedent to the Company s liability under the Policy. 5. Where the Development/Insured Use becomes the subject of Enforcement Action the Insured will notify the Company immediately. In the event that the Company wishes to challenge the Enforcement Action or apply for necessary consent, the Insured will at the cost of the Company undertake the necessary action and afford to the Company all reasonable assistance. 6. The Company shall be entitled to conduct in the name of the Insured the defence of any action brought against the Insured in respect of any Enforcement Action (including any settlement of such action) and

5 shall be entitled to institute for its own benefit the name of the Insured proceedings against any third party in respect of any matter arising from the claim. The Insured will afford to the Company every reasonable assistance in the conduction of any proceedings. 7. If, when a claim is made under the Policy, there is in existence any other Insurance under which the Insured is entitled to make a claim in respect of the same risk as covered by this Policy the Company will be liable to pay or contribute towards such claim pro rata with the other insurance. 8. If the Company has admitted liability but the Company and Insured cannot agree the amount to be paid under this Policy the matter shall be referred to an Arbitrator to be appointed by the parties (or in default of agreement, in accordance with the law in force at the time). The making of an award by the arbitrator shall be a condition precedent to any right of action against the Company. 9. The parties are free to agree the law applicable to this insurance contract but in the absence of such agreement the contract shall be governed by English Law. 10. Any breach by the Insured of the terms of this Policy shall not prejudice the rights of the Insured under this Policy unless the Company shall be prejudiced by such breach and then only to the extent of that breach. 5. COMPLAINTS PROCEDURE Any enquiry or complaint you may have regarding this insurance may be addressed to: Stewart Title Limited 6 Henrietta Street, 3 rd Floor, Covent Garden, London WC2E 8PS Telephone: If you are still dissatisfied with the way in which a complaint has been dealt with, you may contact the Financial Ombudsman Service for assistance whose address is: Financial Ombudsman Service South Quay Plaza 183 Marsh Wall London E14 9SR