Chicago Title Endorsement Handbook - Chicago, IL

Non-ALTA 2006 • 337 INTERIM MECHANICS LIEN ENDORSEMENT (IMLE) The IMLE endorsement is available for loan policies only. It provides limited priority coverage for a lender when there is ongoing construction on the insured property based upon the collection of 1) statutory documentation that is designed to establish a statutory proper payment defense, and 2) non-statutory lien waivers. This limited coverage is provided on a draw by draw, or interim basis as the construction project progresses. This endorsement is identical to the IMLA endorsement with the exception that it provides additional coverage to the lender against loss or damage by reason of liens arising from certain omitted parties from the documentation who should have been paid with the disbursed funds. In order to consider issuing the IMLE, the title company will require both financial statements and a personal undertaking from the owner/developer at the outset of the project. Interim Mechanics Lien Endorsement (IMLE)