AGREEMENT. TIME IS OF THE ESSENCE FOR THE DELIVERY
OF EARNEST MONEY UNDER THIS AGREEMENT. AFTER THE EXPIRATION OF THE INSPECTION
PERIOD, THE EARNEST MONEY SHALL BECOME NON-REFUNDABLE TO PURCHASER UNLESS
OTHERWISE EXPRESSLY SET FORTH IN THIS AGREEMENT.
1.9
INDEPENDENT CONTRACT CONSIDERATION. UPON THE EFFECTIVE DATE,
PURCHASER SHALL DELIVER TO SELLER A CHECK IN THE AMOUNT OF FIFTY DOLLARS ($50)
(THE "INDEPENDENT CONTRACT CONSIDERATION"), WHICH AMOUNT SELLER AND PURCHASER
HEREBY ACKNOWLEDGE AND AGREE HAS BEEN BARGAINED FOR AND AGREED TO AS
CONSIDERATION FOR SELLER'S EXECUTION AND DELIVERY OF THIS AGREEMENT. THE
INDEPENDENT CONTRACT CONSIDERATION IS IN ADDITION TO AND INDEPENDENT OF ANY
OTHER CONSIDERATION OR PAYMENT PROVIDED FOR IN THIS AGREEMENT, AND IS
NONREFUNDABLE IN ALL EVENTS.
ARTICLE II
TITLE REVIEW
2.1
TITLE COMMITMENT. AS SOON AFTER THE EFFECTIVE DATE AS REASONABLY
PRACTICABLE THROUGH THE USE OF GOOD FAITH EFFORTS BY SELLER, SELLER SHALL CAUSE
THE TITLE COMPANY TO DELIVER TO PURCHASER, AT SELLER'S EXPENSE, (A) A TITLE
COMMITMENT ("COMMITMENT") FOR AN OWNER'S POLICY OF TITLE INSURANCE, ON THE
STANDARD FORM PROMULGATED BY THE TEXAS STATE BOARD OF INSURANCE, ISSUED BY THE
TITLE COMPANY IN THE AMOUNT OF THE PURCHASE PRICE, AND (B) COPIES OF ALL
INSTRUMENTS REFERENCED IN SCHEDULE B AND SCHEDULE C OF THE COMMITMENT (THE
"TITLE EXCEPTIONS").
2.2
REVIEW OF COMMITMENT. PURCHASER SHALL HAVE TEN (10) DAYS (THE
"TITLE REVIEW PERIOD") AFTER THE RECEIPT OF THE COMMITMENT AND THE TITLE
EXCEPTIONS TO NOTIFY SELLER IN WRITING OF SUCH OBJECTIONS AS PURCHASER MAY HAVE
TO ANYTHING CONTAINED IN THE COMMITMENT; PROVIDED, HOWEVER, THAT PURCHASER SHALL
NOT HAVE THE RIGHT TO OBJECT TO ANY PERMITTED EXCEPTIONS DESCRIBED IN
SECTION 2.4 BELOW. IF PURCHASER FAILS TO OBJECT IN WRITING TO ANY ITEM CONTAINED
IN THE COMMITMENT DURING THE TITLE REVIEW PERIOD, PURCHASER SHALL BE DEEMED TO
HAVE WAIVED ITS RIGHT TO OBJECT TO SUCH ITEM, AND SUCH ITEM SHALL THEREAFTER BE
DEEMED A PERMITTED EXCEPTION. IN THE EVENT THAT PURCHASER OBJECTS TO ANY ITEM
CONTAINED IN THE COMMITMENT WITHIN THE TITLE REVIEW PERIOD (SUCH ITEMS BEING
HEREIN REFERRED TO AS "TITLE DEFECTS"), SELLER SHALL NOTIFY PURCHASER IN WRITING
WITHIN FIVE (5) DAYS FOLLOWING THE DATE OF PURCHASER'S NOTICE OF SUCH TITLE
DEFECTS (THE "CURE PERIOD") THAT EITHER (A) THE TITLE DEFECTS HAVE BEEN, OR WILL
BE AT OR PRIOR TO CLOSING, REMOVED FROM THE COMMITMENT, OR (B) SELLER HAS FAILED
TO ARRANGE TO HAVE THE TITLE DEFECTS REMOVED.
2.3
FAILURE TO CURE TITLE DEFECTS. IF UPON THE EXPIRATION OF THE CURE
PERIOD SELLER HAS NOT NOTIFIED PURCHASER THAT SELLER HAS ARRANGED TO HAVE THE
TITLE DEFECTS REMOVED, THEN PURCHASER MAY ELECT (WHICH ELECTION MUST BE MADE IN
WRITING WITHIN FIVE (5) DAYS FOLLOWING EXPIRATION OF THE CURE PERIOD) EITHER:
(A) TO TERMINATE THIS AGREEMENT, IN WHICH EVENT THE EARNEST MONEY SHALL BE
RETURNED TO PURCHASER
3
AS PURCHASER'S SOLE REMEDY HEREUNDER; OR (B) TO TAKE TITLE AS IT THEN IS. IF
PURCHASER DOES NOT, WITHIN FIVE (5) DAYS AFTER THE EXPIRATION OF THE CURE
PERIOD, SEND WRITTEN NOTICE TO