it has incurred, and may continue to incur in the future,

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					       Case 4:10-cv-02931 Document 1             Filed in TXSD on 08/16/10 Page 1 of 14



                                 UNITED STATES DISTRICT COURT
                                  SOUTHERN DISTRICT OF TEXAS
                                       HOUSTON DIVISION

ACE AMERICAN INSURANCE                             s
COMPANY                                            $
                                                   s
                   Plaintiff,                      s
v.                                                 $         Civil Action No.
                                                   s
M-I, L.L.C.                                        $
                                                   $
                   Defendant.                      $

                    ACE AMERICAN INSURANCE COMPANY'S ORIGINAL
                      COMPLAINT FOR DECLARATORY JUDGMENT

TO THE HONORABLE I-]NITED STATES DISTRICT JUDGE:

          This Complaint for Declaratory Judgment is filed by ACE American Insurance Company

("ACE") against M-I, L.L.C. ("M-I") pursuant to the Declaratory Judgment Act, 28 U.S.C.           $


2201 and Rule 57 of the Federal Rules of Civil Procedure to determine an actual case or

controversy involving a declaration of rights and obligations under an insurance policy issued by

ACE to M-I.

                                         I.     INrRonucrroN

          1   .1   This dispute arises out of the Macondo Discovery Well blowout in the Mississippi

Canyon Block 252 and ensuing fire, explosion and sinking of the vessel known as the Deepwater

Horízon on April 20,2010 (the "Deepwater Horizon Incident").

          1.2 At the time of the Deepwater             Honzon Incident,   M-I was performing   mud

engineering activities within the Macondo Discovery V/ell pursuant to a written contract between

it   and BP Exploration and Production, Inc.   ("8P").

          1.3 M-I       contends that   it has incurred, and may continue to incur in the future,
significant liabilities    in   connection with the Deepwater Honzon Incident. These liabilities
     Case 4:10-cv-02931 Document 1                  Filed in TXSD on 08/16/10 Page 2 of 14



include, but are not limited to, liabilities for damages to individuals and businesses whose

persons or properties have been or     will   be impacted by the Deepwater Horizon lncident.

         1.4   M-I is pursuing or intends to pursue coverage for the claims     and losses arising out

of the Deepwater Horizon lncident under ACE Policy No. HDO G                   24940354 (Ihe "ACE

Policy'').

        1.5    ACE is seeking a judgment declaring that no coverage exists under the ACE

Policy for any claims against M-I arising out of the Deepwater Horizon Incident.

                                              il.     PtRrms

        2.1    Plaintiff ACE is a Pennsylvania corporation with its headquarters at 436 Walnut

St., Philadelphia, PA 19106-3703.

        2.2    Defendant M-I is a Delaware limited liability company with its principal place      of
business in Houston, Harris County, Texas. It can be served through its registered agent: Capitol

Corporate Services, Inc., 800 Brazos, Suite 400, Austin, Texas 78701.

                                III.      JurusorcrroNaNoVnNun

        3.1    This Court has jurisdiction of this controversy under 28 U.S.C. g 1332 (a) in that

the dispute is between citizens of different states and the amount in controversy exceeds the sum

or value of $75,000.00 exclusive of interest and costs.

        3.2    Venue is proper in this district pursuant to 28 U.S.C. $ 1391 because this is a

judicial district in which the Defendant is subject to personal jurisdiction and because the policy

of insurance was issued and delivered to M-I in Houston, Texas

                                         IV.        BacxcnouNo

        4.1    BP retained the mud engineering services of M-I to be performed in accordance

with a written contract entitled "Contract for Gulf of Mexico Strategic Performance Unit
     Case 4:10-cv-02931 Document 1                  Filed in TXSD on 08/16/10 Page 3 of 14



Offshore Well Services between BP Exploration and Production, Inc. and M-I, L.L.C. (the

"BP/M-I Agreement").

          4.2      The services under the BP/M-I Agreement included, among other things, that M-I

devise and prepare a mud program for the Macondo Discovery V/ell.

          4.3      On or about April 19, 2010, the Macondo Discovery Well had reached a depth of

13,293 feet below the sea floor.

          4.4      A blowout commenced on April 20,2010.

          4.5      Gas escaped from the subsea     well and into the riser. The gas shot water out of the

riser and above the crown of the derrick. The gas subsequently ignited and exploded resulting in

the Deepw ater Honzon Incident.

          4.6      As   a   result of the Deepwater Horizon lncident, numerous lawsuits have been filed

against   M-I alleging that it failed to maintain the appropriate drilling mud weight before         and

during the drilling operation of the Macondo Discovery Well. These lawsuits include, but are not

limited to, allegations of liabilities for damages to individuals and businesses (collectively the

"Complaints").

                                           V.     Tsn ACE Por.rcv

          5.   I   The ACE Policy issued to M-I has a policy period of April | , 2010 through April

I,2071. The coverage afforded under the ACE Policy is subject to certain terms, conditions,

limitations, and exclusions.

A.        The Watercraft Exclusion

          5.2      The ACE Policy contains an Aircraft, Auto Or Watercraft Exclusion (the

"Watercraft Exclusion") that operates to exclude coverage for all claims arising out of the

Deepwater Horizon Incident.
    Case 4:10-cv-02931 Document 1                 Filed in TXSD on 08/16/10 Page 4 of 14



       5.3      The Complaints asserted against M-I contain allegations that the Deepwater

Horizon was a vessel used and chartered or operated by BP.

       5.4      BP is an additional insured under the ACE Policy by virrue of the            terms,

conditions, and limitations contained in the BP/M-I Agreement and in accordance with the terms

and conditions of the ACE Policy.

       5.5      Pursuant to Articles     20.I   and 20.2   of the BP/M-I Agreement, M-I   agreed to

purchase certain types of insurance coverage, including Commercial General Liability Insurance.

Article 20.1 of the BP/M-I Agreement also provides:

                All insurance                    other than Employers        Liability
               Insurance/Workmen's Compensation only, shall to the extent of
               the liabilities assumed and indemnities offered by Contractor [M-I]
               under the Contract, include Company [BP], co-venturers and its
               and their respective affiliates as additional insured.

       5.6      The ACE Policy provides Commercial General Liability Insurance, and the

contractual requirement under the BP/M-I Agreement for extension of additional insured status

for BP is   addressed   in Endorsement #18. See Ex. A Endorsement #18 of the ACE Policy is

entitled "Additional Insured   -   Designated Person or Organization" and provides as follows:

                SCHEDULE
                Name of Additional Insured Person(s) Or Organization(s)
                Any person or organization whom you [M-I] have agreed to
                include as an additional insured under a written contract, provided
                such contract was executed prior to the date of loss.

                Section II - Who Is An Insured is amended to include as an
                additional insured the person(s) or organization(s) shown in the
                Schedule, but only with respect to liability for "bodily injury",
                "property damage" or "personal and advertising injury" caused, in
                whole or in part, by your acts or omissions or the acts or omissions
                of those acting on your behalf . . . [in] the performance of your
                ongoing operations . . . .

SeeEx. A, Endorsement #18.
     Case 4:10-cv-02931 Document 1           Filed in TXSD on 08/16/10 Page 5 of 14



       5.7    Because BP    is an additional   insured under the ACE Policy, the Watercraft

Exclusion operates to exclude coverage under the ACE Policy for all losses arising out of the

Deepwater Horizon Incident. The Watercraft Exclusion provides, in pertinent part, as follows:

              This insurance does not apply to:

              "Bodily injury" or "property damage" arising out of the ownership,
              maintenance, use or entrustment to others of any . . watercraft
              owned or operated by or rented or loaned to any insured. Use
              includes operation and "loading and unloading."

              This exclusion applies even if the claims against an)¡ insured allege
              negligence or other wrongdoing in the supervision, hiring,
              employrnent, training or monitoring of others by that insured, if the
              "occurrence" which caused the "bodily injury" or "property
              damage" involved the ownership, maintenance, use or entrustment
              to others of any . .watercraft that is owned or operated by or
              rented or loaned to an)¡ insured.

              This exclusion does not apply to:

              (1)

              (2)    A watercraft you do not own that is:

                      (a)    Less than 50 feet long; and

                      (b)    Not being used to caffy persons or property for a charge;

              (3)

              (4)         Liability assumed under any "insured contract" for          the
              ownership, maintenance or use of . . . watercraft; or

              (s)

Ex. A at Exclusion G. in "2. Exclusions" of Section l-Coverages, Coverage A Bodily Injury and

Property Damage Liability as amended by Endorsement #13 (emphasis added).

       5.8    The Watercraft Exclusion references the phrase "any insured" under the ACE

Policy, which term encompasses an additional insured.
     Case 4:10-cv-02931 Document 1                    Filed in TXSD on 08/16/10 Page 6 of 14



       5.9      Thus,   if   any insured meets the parameters of the Watercraft Exclusion,        it will
operate to exclude coverage for all insureds under the ACE Policy.

       5.10     As noted above, BP qualifies as an additional insured under the ACE Policy.

       5.11     BP was leasing and using the Deepwater Horizon under a charter agreement with

Transocean at the time of the Deepwater Horizon Incident.

       5.12     The Deepwater Horizon was 396 feet long and 256 feet wide.

       5.13     The Watercraft Exclusion operates to exclude coverage for all insureds under the

ACE Policy.

B.     The Professional Liability Exclusion

       5.14 The ACE Policy also contains exclusions entitled "Professional                      Liability

Exclusion Endorsement"         in   Endorsement #15 and "Exclusion        -     Engineers, Architects or

Surveyors Professional Liability''         in Endorsement # 27. These exclusions (collectively the
"Professional Services Exclusions") also operate to exclude coverage for all claims arising out of

the Deepwater Horizon Incident       .



       5.15     Endorsement #15 provides that "[t]his insurance does not apply to any damages

arising out   of any professional        services, including, but not limited   to,     any accounting,

architectural, or engineering service." Id. at ACE Policy.

       5.16     Endorsement#27 provides as follows:

                This insurance does not apply to "bodily injury", "property damage" or
                "personal and advertising injury" arising out of the rendering of or failure
                to render any professional services by you or any engineer, architect or
                surveyor who is either employed by you or performing work on your
                behalf in such capacity.

                Professional services include     :



                1.      The preparing, approving, or failing to prepare or approve,
                        maps, shop drawings, opinions, reports, surveys, field
                        orders, change orders or drawings and specifications; and
      Case 4:10-cv-02931 Document 1             Filed in TXSD on 08/16/10 Page 7 of 14




                2.      Supervisory, inspection, architectural orengineeringactivities.

         5.11 M-I was engaged by BP to provide mud engineering         activities and services.

         5.18 The mud engineering activities and services are engineering activities and
services that trigger application    of the Professional     Services Exclusions as a result      of   the

Deepwater Horizon Incident, thus abrogating coverage under the ACE Policy.

C.       The Duties of the Insured Condition

         5.19   The ACE Policy also contains a condition entitled "Duties           in the Event of
Occurrence, Offense, Claim or Suit" (the "Duties of the Insured Condition") that may operate to

exclude coverage for all claims arising out of the Deepwater Horizon lncident. Ex. A, ACE

Policy at Condition2.d., "Duties in the Event of Occurrence, Offense, Claim or Suit," Section IV

-   Commercial General Liability Conditions.

         5.20 The Deepwater       Horizon Incident involved a blowout, fire, explosion, or             an

uncontrolled well condition.

         5.21   The Deepwater Honzon Incident has also resulted in pollution from the reservoir

associated with the Macondo Discovery Well.

         5.22   As noted above, the BP/M-I Agreement expressly provides that BP will assume

responsibility for liability arising out of such an event:

                Notwithstanding the provisions of clause 19.3(b) and except as
                provided by clause 19.1(a), clause 19.1(b) and clause 19.4(b) Company
                [BP] shall save, indemnifu, release, defend and hold harmless
                Contractor Group [M-I and others] from and against any claim of
                whatsoever nature arising from pollution andlor contamination
                including without limitation such pollution or contamination from the
                reservoir or from the property or equipment of Company Group IBP
                and others] arising from the property or equipment of Company Group
                IBP and others] arising from or related to the performance of the
                Contract.
    Case 4:10-cv-02931 Document 1                       Filed in TXSD on 08/16/10 Page 8 of 14



              Subject to clauses 19.1 and 19.4(b), but notwithstanding anything
              contained elsewhere in the Contract to the contrary, Company IBP]
              shall save, indemnifu, release, defend and hold harmless Contractor
              Group [M-I and others] against all claims, losses, damages, costs
              (including legal costs) expenses and liabilities resulting from:

              (a)         loss or damage to any well or hole (including the cost to re-
                          drill);
              (b)         blowout, fire, explosion, cratering, or any uncontrolled well
                          condition (including the costs to control a wild well and the
                          removal of debris);
              (c)         damage to any reservoir, aquifer, geological formation or
                                        strata or the loss of oil or gas therefrom;
              (d) ::l"t*o"nd
Articles ß.a@) and 19.6 of the BP/M-I Agreement.

       5.23   As a result of Articles T9.a@) and 19.6 of the BP/M-I Agreement, M-I is entitled

to indemnity from BP.

       5.24 In      spite    of this indemnity M-I has not tendered these claims to BP for
indemnification as contemplated by Articles 19.a@) and 19.6 of the BP/M-I Agreement. This

unilateral decision by M-I constitutes a voluntary assumption of an obligation. Furthermore,            if
M-I has elected, or will            elect,   to incur   defense costs without   first attempting to   seek

indemnification from BP as contemplated by Articles 19.a@) and 19.6 of the BP/M-I Agreement,

such an election constitutes a voluntary payrnent of these costs. The ACE Policy prohibits any

voluntary assumption of an obligation by M-I, as well as any voluntary pa).rnents, if any, that

have been or may be made by          M-I.

       5.25   The ACE Policy contains a Condition which provides as follows:

              No insured will, except at that insured's own cost, voluntarily
              make a payment, assume any obligation, or incur any expense,
               other than for first aid, without our consent.

Ex. A, ACE Policy at Condition 2.d., "Duties in the Event of Occurrence, Offense, Claim or

Suit," Section IV   -   Commercial General Liability Conditions.
      Case 4:10-cv-02931 Document 1          Filed in TXSD on 08/16/10 Page 9 of 14



        5.26   ACE has not been asked to consent to, nor has it consented to, any assumption of

an obligation or to these payrnents; rather, ACE has encouraged    M-I to tender these claims to

BP. As a result of M-I's unilateral decision declining to tender these claims to BP, M-I has

violated the Duties of the Insured Condition of the ACE Policy, and ACE has been prejudiced

thereby. Therefore, M-I's actions have obviated coverage under the ACE Policy.

D.      The Pollution Exclusion

        5.27 The ACE Policy        also contains an exclusion entitled "Pollution Exclusion-

Combination Exception Time Element and Named Perils" found            in   Endorsement   # 14 (the
"Pollution Exclusion").

        5.28   The Pollution Exclusion provides that ACE has no duty to defend M-I against any

and all pollution claims arising out of the Deepwater Horizon Incident. Ex. A, Endorsement 14.

        5.29   The last line of the Pollution Exclusion states: "[n]otwithstanding the foregoing,

we shall have no duty to defend any 'suit', claim or proceeding arising out of or in any way

related   to 'pollution'." Id. The Pollution Exclusion      defines the terms "Pollution" and

"Pollutants" as follows:

               "Pollution" means the actual, alleged, or potential presence in or
               introduction into the environment of any "pollutants", if such
               "pollutants" have, or are alleged to have, the effect of making the
               environment impure, harmful, or dangerous. Environment includes
                any air, land, structure or the air therein, watercourse or water,
               including underground water, and biota.

               "Pollutants" means any solid, liquid, gaseous or thermal irritant or
               contaminant, including smoke, vapor, soot, fumes, acids, alkalis,
               chemicals, bacteria, virus, and waste.

Id.
    Case 4:10-cv-02931 Document 1             Filed in TXSD on 08/16/10 Page 10 of 14



       5.30     Crude oil, methane, and other discharges from the Macondo Discovery Well in

the Mississippi Canyon Block 252 fall within the definition of "pollutants" under the Pollution

Exclusion.1d.

       5.31     The discharges are solid, liquid, or gaseous, and the substances discharged are

irritants or contaminants. The presence of these discharges in the "environment"      - in the ocean
and atmosphere and on the seabed   - makes   the "environment impure, harmful or dangerous." Id.

       5.32     The fact that these pollutants were discharged into the environment and have

made the environment "impure, harmful, or dangerous" establishes that their presence             in or

introduction into the environment constitutes "pollution." Id.

       5.33     Consequently, ACE has no duty           to defend any lawsuit, claim or   proceeding

arising out of or in any way related to the pollution from the Deepwater Horizon Incident.

       5.34 In       addition to the aforementioned language       of the Pollution   Exclusion, that

exclusion also contains the following provision:

            Notwithstanding anything to the contrary in the foregoing paragraphs
            Ithe exception] and regardless of the cause of the "pollution", this policy
            shall not apply to:

                l.      loss of, damage to or loss of use of property directly or
                        indirectly resulting from subsurface operations of the
                        insured, andlor removal of, loss or damage to subsurface
                        oil, gas or other substance. . ..

(hereinafter, the "Subsurface Exclusion").

       5.35 M-l's       operations for the Macondo Discovery Well were subsurface          in   nature.

Accordingly, no coverage is afforded under the ACE Policy for any claims against M-I arising

out of the Deepwater lF,lnzon Incident for loss of, damage to or loss of use of any property

resulting from the subsurface operations of M-I, whether on or in proximity to the Deepwater




                                                   10
      Case 4:10-cv-02931 Document 1            Filed in TXSD on 08/16/10 Page 11 of 14



Horizon vessel and Macondo Discovery Well or any property damage occurring away from the

Deepwater Horizon vessel and Macondo Discovery Well.

          5.36   Further, the ACE Policy   will not apply to any claims    against   M-I arising out of

the Deepw ater Hoizon Incident for any loss of, damage to or loss of use of property directly or

indirectly resulting from removal of, loss or damage to subsurface oil, gas or other substance.

          5.37   The ACE Policy will therefore not respond to any property damage claims against

M-I arising out of the Deepwater Horizon Incident. Any coverage for such claims is barred by

application of the Pollution Exclusion.

E.        The Medical Payments Exclusion

          5.38   The ACE Policy does not afford any coverage for Coverage C Medical Payments.

See Ex.   A at Endorsement #26, entitled, "Exclusion    - Coverage C - Medical       Payments." Thus,

in the event that M-I tenders such claims to ACE under the ACE Policy, ACE has no obligation

to pay these expenses under that policy.

                                VI.       Dncr-IruroRY       JUDGMENT

          6.1    The allegations contained in Paragraphs 1.1-5.38 are incorporated by reference

herein.

          6.2    On June 8, 2010, M-I presented ACE with correspondence regarding claims or

suits against M-I. This correspondence presents an actual and existing controversy between ACE

and   M-I with respect to the existence and scope of any obligations of ACE in connection with

M-I's liabilities emanating from the Deepwater Horizon Incident. The ACE Policy, however,

does not respond to any claim or suit arising out of the Deepwater Horizon Incident.

          6.3    Pursuant to the Declaratory Judgment Act,28 U.S.C. 5 2201-2202, ACE seeks a

judicial declaration of its rights and duties to M-I,   if   any, under the ACE Policy in connection

with M-I's liabilities related to the Deepwater Horizon Incident. The Court's declaration will
                                                 11
    Case 4:10-cv-02931 Document 1              Filed in TXSD on 08/16/10 Page 12 of 14



provide the parties with certainty with respect to their rights and obligations under the ACE

policy, and therefore will serve the interests ofjustice.

        6.4    ACE hereby seeks the following declarations:

               A.      The Watercraft Exclusion contained in the ACE Policy operates to
                       exclude coverage under the ACE Policy for all losses claimed
                       against M-I arising out of the Deepwater Horizon Incident
                       because:

                        1.     BP and its affiliates are additional insureds under
                               the ACE Policy; and

                       2.      The Deepwater Horizon was a vessel, and         it   was
                               used, operated, and rented by a BP affiliate;

               B.      The Professional Liability Exclusions contained in Endorsements
                       #15 and#21 of the ACE Policy operate to exclude coverage for all
                       claims against M-I arising out of the Deepwater Horizon Incident
                       because, at all material times of the Deepwater Horizon lncident,
                       M-I was engaged in performing professional services for BP.
                       These professional services included, but were not limited to, the
                       following:

                       1.      The preparing, approving, or failing to prepare
                               maps, shop drawings, opinions, reports, surveys,
                               field orders, change orders or drawings and
                               specifications; and

                       2.      Supervisory, inspection, architectural or engineering
                               activities;

               C.      M-I has violated the "Duties in the Event of Occurrence, Offense,
                       Claim or Suit" condition of the ACE Policy thereby excluding
                       coverage for all claims arising out of the Deepwater Horizon
                       Incident because:

                       1.      the Deepwater Horizon Incident involved a blowout, fire,
                               explosion, or an uncontrolled well condition;

                       2.      The BP/M-I Agreement provides for defense and indemnity
                               in favor of M-I for claims arising out of;

                               a.      any loss or damage to any well or hole
                                       (including the cost to re-drill);


                                                  t2
    Case 4:10-cv-02931 Document 1              Filed in TXSD on 08/16/10 Page 13 of 14



                              b.        blowout, fire, explosion, cratering, or any
                                        uncontrolled well condition (including the
                                        costs to control a wild well and the removal
                                        of debris); or

                              c.        damage    to any reservoir, aquifer, geological
                                        formation or underground strata or the loss
                                        of oil or gas therefrom; and

                      3.      M-I has elected not to tender any and all claims arising
                              out of the Deepwater Horizon Incident to BP;

               D.     ACE has no duty to defend M-I against any and all pollution
                      claims arising out of or in any way related to the Deepwater
                      Horizon Incident;

               E.     The Pollution Exclusion contained in Endorsement #14 of the ACE
                      Policy operates to exclude coverage for all claims against M-I
                      arising out of the Deepwater Horizon Incident.

               F.     ACE has no obligation to pay any expenses under Coverage C -
                      Medical Palmrents of the ACE Policy;

               G.     ACE has no duty to defend any suit, claim or proceeding arising
                      out of or in any way related to M-I's liabilities concerning the
                      Deepwater Horizon Incident; and

               H.     M-I is not entitled to coverage under the ACE Policy for any of
                      M-I's liabilities related to the Deepwater Horizon Incident.

       6.5     ACE pleads all other conditions, terms, limitations, definitions and exclusions

contained   in the ACE Policy, which may be found to be applicable,           and ACE specifically

reserves the right to amend this Complaint for Declaratory Judgment as additional andlor more

specific information becomes availabl   e.


                                   VII.      ArroRNnys, Fnns

       1.1     Pursuant   to Chapter 38 and Section 37.009 of the Texas Civil Practice         and

Remedies Code and 28 U.S.C. ç 2202, ACE requests recovery of its attomeys' fees and costs.




                                                  13
    Case 4:10-cv-02931 Document 1            Filed in TXSD on 08/16/10 Page 14 of 14



                                         VIII.      Pn¡ræn

       8.1     ACE American Insurance Company prays for declaratory judgment in its favor

confirming that it has no duty to defend and no duty to indemnify M-I, L.L.C. under Policy No.

HDO G 24940354 (the "ACE Policy") for any claims against M-I, L.L.C. arising out of the

Deepwater Horizon Incident, and further prays for all such other and further relief as equity and

the justice of this cause may require and permit.

                                              Respectfully submitted,

                                              BROWN SIMS, PC

                                              By: /s/ Kenneth      G. Engerrand
                                                         Kenneth G. Engerrand
                                                         Texas Bar No. 06619500
                                                         Southem District I.D. 207 8
                                                         Charles Clayton Conrad
                                                         Texas Bar No. 24040721
                                                         Southern District I.D. 37 220
                                                         Michael A. Varner
                                                         Texas Bar No. 20499425
                                                         Southern District I.D. 15111
                                                         1177 West Loop South, Tenth Floor
                                                         Houston, Texas 71 027 -9007
                                                         Tel:713.629-1580
                                                         Fax: 773.629-5021

                                              ATTORNEYS FOR PLAINTIFF
                                              ACE AMERICAN INSURANCE COMPANY




                                                    T4
Case 4:10-cv-02931 Document 1-1   Filed in TXSD on 08/16/10 Page 1 of 57




       EXHIBIT A
        Part 1 of 2
Case 4:10-cv-02931 Document 1-1   Filed in TXSD on 08/16/10 Page 2 of 57




                  1#
                  \ffi

                                                                 SM

                 Policy   lD:     HDOG24940354

                 Effective Date: 0410112010
         Case 4:10-cv-02931 Document 1-1                      Filed in TXSD on 08/16/10 Page 3 of 57

                                                                                                              POLICY IDENTIFICATION

DECLARATIONS          -   GENERAL LIABILITY         POLICY           Page 4                                                 e24940354



                                    FORMSANDENDORSEMENTS (Pase                     1       of               3)


   FORMS AND ENDORSEMENTS ATTACHED TO THIS POLICY AT INCEPTION

                                         SCHEDULE OF CO\/ERAGE FORMS

                     Ar,L20887           ACE Producer CompensaÈion   Practices & Policies
                     rLPo010104          U.S. Treasury Department's Office of Foreign Assets
                                         Control ("OFAC") Advisory Notice to Policyholders
                     rL00171198          Co¡nrnon Policy Conditions
                     cco0011207          Co¡mnercial General Liability Coverage Form
                     ATLAXOT             An Important Notice To Our Alaska Policyholders
                     AJ,I,22368          Colorado Fraud Statement
                     AIL5X45             Questions About Your Insurance?
                     ÀtI,2u78b           Notice To AII Oklahoma Policyholders
                     AII5S54             Notice To Pennsylvania Property and Casualty fnsurance
                     AI,L4Y3Od           Information and Complaints (TX)                                :.:

                     Af.L11559d          Risk Control Services for Eéxas':1,:Policyholders
                                                                         ':


                                         SCHEDUTE OF FORTÍS AìrD ENDoaSPÌ'EDITS
                                                                                   :::.:   :   ::::: .:::

                                         Description                          .'



                                         Schedule of Named Insureds'
                                         Reimbursement ôf Deductible Endorsement
                                         Additional Inquied - Employees Fellow Employees - Bodily
                                         Injury onJ-y:, ,        ,


                     LD6X26              Alienated:, Premises
                     LD2G44a             Amendment:: :of Conditions
                     LD2t732             Construction Project(s) General Aggregate I,imit
                     LDg863A             Employee Benefits Líability Endorsement
                     LD3R16              Excl.usion - Asbestos
                     LD8R38              Exclusion Extremely Lor* Frequency Electromagnetic Fields
                                          (ELF-EMr)
                     LD4S35              Exclusion - Lead
                     LD15284             I'ÍIBE Exclusion
                     IjDz0287            Non-Contributory Endorsement For Additional Insureds
                     LDsT98              Nonowned      Ìfatercraft Exception
                     LD12988a            Poll-ution Exclusion - Combination Exception Time Element
                                         and Named Perils
                     rDo846              Professional Liability               Exclusion Endorsement

                    the coverage form(s) and endorsements, if any, listed above and attached, completes this policy.

                                                                     AUTHORIZED AGENT:




LD-2448a (Ed. 3/87) Printed in U.S.A.                                                                                                 AA 067266a
            Case 4:10-cv-02931 Document 1-1                                        Filed in TXSD on 08/16/10 Page 4 of 57

                                                 SCHEDULE             OF FORMS AÀID             ENDORSEMENTS




  Namedlnsured M-I,                L.L.C.                                                                                         Endorsement Number
                                                                                                                                        (Page     2 of      3)
  Policy Symbol       Policy Number                Policy Period                                                                  Effective Date of Endorsement
       HDO             e24940354                            04/OL/20L0 to                            oAloLl2oLL                           o4/oL/20LO
  Issued By (Name oflnsurance Company)
  ACE     American Insurance                  Company
  lnsert the policy number. The remainder of the information is   to be completed only when this endorsement is issued subsequent to the preparation of the policy.


 Endt. No.                  Form No.                   Description
        16.                 LD2l733                    Radioactive Matter Exclusion
        L7.                 4IL18057-                  Notification of Premj-um Adjustment
                            0305
        18.                 CG2O26O7O4 Additional Insured - Designated Person or OrganizaÈior¡
        19.                 CG20100704 AddiÈional Insured - Owners, Lessees or Contractors -
                                       Scheduled Person or Organization
        20.                 CG20150704 Additional Insured - Vendors
        21.                 CG21700108 Cap on Losses From Certified Acts of: Temorism
        22-                 CG24L7LOO1 Contractual Liability - Railroads                                                      :


        23-                 CG'O224LO93 Earlier Notice Of CancellaÈion Provided By Us
        24-                 CÉ2L47L2O7 Enplo]¡ment-Related Practices Exclusion
        25.                 Cc21?30108 Exclusion of Certified Acts of Terrorism
        26.                 CG21351001 Exclusion - Coverage C - Medica1 Pa!'nents
        27.                 CG2243O798 Exclusion - Engineers, Architects or Surveyors Professional
                                        Liability
        28.                 CG2233O798 Exclusion - Testing or Consul-ting E*ors and Omissions
        29.                 CÈ2L67L2O4 Eungi or Bacteria Exélusion
        30.                 CG2274LOO1 Limited Contractuâl LiabiJ-ity Coverage For Personal and
                                        Advertising Injury
        31.                 CG21960305 Silica or Silica-Related Dust Exclusion
        32.                 CG24040509 ?laiver of Transfer of Rights of Recovery Àgainst Others To
                                                       Us
        33.                 IÍ,O985O1O8 Discloåure Pursuant to Terrorism Risk Insurance Act
        34.                 4LL21101    Tradér.or Ecónomic Sanctions Endorsement
        35.                 It00210908 Nuc-lear:Energy Liability Exclusion Endorsement (Broad Form)
        36.                 CG21300509 Alaska Recording and Distribution of Material or Information
                                        in Violation of Law Exclusion
        37.                 Cc26701001 Alaska Changes - Definition of Metatag
        38.                 Cc26970306 A1aska Vüar tiabiliÈy Exclusion
        39.                 IL01210603 Alaska Changes - AÈtorney's Fees
        40.                 IL02800908 Alaska Changes - CancellaÈion and Nonrenewal
        4t.                 CG32340105 California Changes
        42.                 IL02700908 California Changes - Cancellation and Nonrenewal
        43-                 IL02280907 Colorado Changes - Cancellation and Nonrenewal
        44.                 TI-02620908 Georgia Changes - Cancellatj-on and Nonrenewal
        45.                 CG01091185 Kansas And Oklahoma Changes - Transfer of Rights
        46.                 IL02610907 Kansas Changes - Cancellation And Nonrenewal




                                                                                                                            Authorized
cc-lE15   Ptd.   h u.s.A.
              Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 5 of 57

                                           SCITEDULE        OF FORMS AI{D            ENDORSEMENTS




   Namedlnsured M-I,             L.L.C.                                                                                 Endorsement Number
                                                                                                                             (Page 3       of    3)
   Policy   Symbol I   Policy Number        Policy Period                                                               Effective Date of Endorsement
        HDO           I eZ¿g¿OgSA                   o4/0t/20L0                to           O4/0L/2OLL                           04/0L/20L0
   Issued By (Name oflnsurance Company)
   ÀCE      American Insurance            Company
             policy                                  is to be completed only when this endorsement is issued subsequent to the preparation of the policy


  Endt. No.                Form    No.         Description
        47.               IL02630908 Kentucky Changes - Cancellation and Nonrenevral
        48.               Cc01181204 Louisiana Changes - Legal_ Action Against. Us
        49.               Cc01250303 Louisiana Changes - Insuring Àgreernent
        50.               CG26841204 Louisiana Changes - Transfer of Rights of Recovery Against
                                      Others To Us Condition
        51.               II,O27709OB Loui-siana Changes - Cancellation and Nonrenewal
        52.               CG01340803 Missouri Chançfes - Pollution Exclusion '::, ,,,,',,
        53.               Cc26250405 Missouri Changes - Guaranty Association
        54.               CG265OL298 Missouri Changes - Medical payments::,,.,.
        55.               IL02740908 Missouri Changes - Cancellation,,ànd:¡Nônrenewal
        56.               IL02820908 Mississippi Changes - Cancellation and Nonrenewal
        57.               Cc26611001 Montana Changes - Medical palznents
        58.               IL016?0908 Montana Changes - Conformity Ífith Statutes
        59.               IL02430907 Montana Changes
        60.               ILO29809OB New Mexico Changes - Cancellation and Nonrenewal
        61.               IL01150110 Nevada Changes - Do¡nestic,partnership
        62.               IL02510907 Nevada Changes -:CaneeLLation and Nonrenetral
        63.               CG01091185 Kansas And Oklahoma Changes - Transfer of Rights
        64.               It02360907 Oklahoma Changes - Cancellation and. Nonrene¡ral
        65.               TLO2460907 PennsyJ-vania Changes - Cancellation and Nonrene!,ral
        66.               CG01030606 Texas Changes
        67.               CC1K11e     Signatures




                                                                                                                Authorized
CC-lEl5 Ptd. In U.S.A.
        Case 4:10-cv-02931 Document 1-1              Filed in TXSD on 08/16/10 Page 6 of 57




                        ACE fNA                 Privacy StaÈement
The ACE INA group of companies strongly believes in maintaining the privacy of information
we collect about individuals. We want you to understand how and why we use and disclose
the collected information. The following provides details of our practices and procedures for
protecting the security of nonpublic personal information that we have collected about
individuals. This privacy statement applies to policies underwritten by the ACE INA group
member companies listed below.

                                           INFORMATION WE COLLECT

The information we collect will vary depending on the type of product or service individuals
seek or purchase, and may           include:                                    '   ,",i



    .    lnformation we receive from individuals, such as their name,i "address, age, phone
         number, social security number, assets, income, or beneficiaries;
    .    lnformation about individuals' transactions with us, with our affiliates, or with others,
         such as policy coverage, premium, payment history, motor vehicle records; and
    .    lnformation we receive from a consumer reporting agency, such as a credit history.

                                           INFORMATION WE DISCLOSE

We do not disclose any personal information::to.:anyone except as is necessary in order to
provide our products or services to a person, or otherwise as we are required or permitted by
law.

We may disclose any of the information that we collect to companies that perform marketing
services on our behalf or to other. fi¡rancial institutions with whom we have joint marketing
agreements.

         THE RIGHT TO VERTFY THE ACCURACY OF TNFORMATTON WE COLLECT
                           ,. ''t   ''

Keeping information accurate and up to date is important to us. lndividuals may see and
correct their personal information that we collect except for information relating to a claim or a
criminal or civil proceeding.

                                         CONFIDENTIALITY AND SECURITY

We restrict access to personal information to our employees, our affiliates' employees, or
others who need to know that information to service the account or in the course of conducting
our normal business operations. We maintain physical, electronic, and procedural safeguards
to protect personal information.



Pr-19668 (02/06)                                                                           Page 1 of 2
      Case 4:10-cv-02931 Document 1-1       Filed in TXSD on 08/16/10 Page 7 of 57




                                     CONTACTING US

lf you have any questions about this privacy statement or would like to learn more about how
we protect privacy, please write to us at ACE INA Customer Services, P.O. Box 1000, 436
Walnut Street, WA04F, Philadelphia, PA 19106. Please include the policy number on any
correspondence with us.

ACE American lnsurance Company
ACE American Lloyds lnsurance Company
ACE Fire Underwriters lnsurance Company
ACE lndemnity lnsurance Company
ACE lnsurance Company of lllinois
ACE lnsurance Company of Ohio
                                   ,aa*
ACE lnsurance Company of the Midwest
                                                                          ,




ACE Property and Casualty lnsurance Company
Atlantic Employers lnsurance Company
Bankers Standard Fire and Marine Company
Bankers Standard lnsurance Company
Century lndemnity Company
lllinois Union lnsurance Company
lndemnity lnsurance Company of North America
lnsurance Company of North America
Pacific Employers lnsurance Company
Westchester Fire lnsurance Company
Westchester Surplus Lines lnsurance Company
ESIS, lnc.




Pr-19668 (02/06)                                                                   Page 2 of 2
               Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 8 of 57
                                                                                                                        ACE USA

General Liability Policy                                -     Declarations


n     Bankers Standard lnsurance Company                                     n   ACE Property and Casualty lnsurance Company
      436 Walnut Street, PO Box 1000                                             436 Walnut Street, PO Box 1000
      Philadelphia, Pennsylvania 19106-3703                                      Philadelphia, Pennsylvania 1 910G3703
tr   Century lndemnity Company                                               n   lndemnity lnsurance Company of North America
     436 Walnut Street, PO Box 1000                                              436 Walnut Street, PO Box 1000
     Philadelphia, Pennsylvania 1910G3703                                        Philadelphia, Pennsylvania 191 0G3703
n    ACE Fire Underwriters lnsurance Company                                 n   lnsurance Company of North America
     436 Walnut Street, PO Box 1000                                              436 Walnut Street, PO Box 1000
     Philadelphia, Pennsylvania     1   91   06-3703                             Philadelphia, Pennsylvania   1   91   06-3703
x    ACE American lnsurance Company
     436 Walnut Street, PO Box 1000
                                                                             !   Pacific Employers lnsurance Company
                                                                                 436 Walnut Street, PO Box 1000
                 ia. Pennsvlvania 191 06-3703                                             ia, Pennsvlvania I 9106-3703




NAMED INSURED AND ADDRESS
 M-r, L.L.C.
                                                                                               E
                                                                                               POLICY IDENTIFICATION
                                                                                                                  e24940354



  5950 North Cou¡se Drive
  Houston, lX 77072




  POLICY IS                                  Renewal                                   OF HDo G2375LLL2

  NAMED INSURED IS                            Limited Liability Corporation

  BUSINESS OF INSURED                        Mining
  POLICY PERIOD                               FROM o4/oL/20LO                               TO Ù4/0L/2OLL
                                              12:01 A.M.,STANDARD TIME AT YOUR MAILING ADDRESS SHOWN ABOVE.
                                                              PREMIUM PAYMENT CONDITIONS
 AUDIT     PERIOD                        '             **,
                                                   :



 PAYMENTFREQUENCY,,                                    *1,,

                                                       **
                                               :


 PAYMENT        SCHEDULE :
                                                       *Includes - KY Dornestic, Foreign and Alien Insurers $312;
                                                       liMnsurance Premium $11




 TOTAL ADVANCE PREMIUM: $ *403,526

 PREMIUMS RESULTING FROM AUDIT ARE NOT INCLUDED IN THE ABOVE.



LD-BE0Ob (8/96) Printed in the U.S.A.
           Case 4:10-cv-02931 Document 1-1                          Filed in TXSD on 08/16/10 Page 9 of 57



                                                                                                   POLICY IDENTIF
DECLARATIONS         -   GENERAL LIABILITY        POLICY         Page 2                            e24940354


                                           COVERAGES AND LIMITS OF INSURANCE


  ln return for the payment of               premium indicated above,          we agree with you to                 provide   the   following
  coverage(s) at the limits shown, subject to all of the terms and conditions of this policy.

  Coverage   Form:                                                                                     Limits of lnsurance

  COMMERCIAL GENERAL LIABILIry
     Each Occurrence Limit                                                      $   2 , 000     ,000
     Damage to Premises Rented to You        Limit                              g   2 , 000     ,000
      MedicalExpenseLimit(anyoneperSonororganization)$
      Personal & Advertising lnjury Limit                                       $ 2 ,000 ,000
      General Aggregate Limit (other than Products/                             $ 25,000,000
        Completed Operations)
      Products/Completed Operations Aggregate Limit                             $ 4,000, 000           ',,",,
                                                                                $
                                                                                $
                                                                                $



                                                                                $
                                                                                $



                                                    SCHEDULE OF LOCATIONS


LOCATION NUMBER AND ADDRESS




LD-2F52b (Ed.10/01) Printed in U.S.A.                                                                                          44067274a
           Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 10 of 57

                                                                                                        POLICY IDENTIFICATION
                                               LIABILITY POLICY                                                         e24940354
DECLARATIONS                - GENERAL                                         Page 3


                                                      SCHEDULE OF COVERAGES
COVERAGE PART:
 Location                          Class  Code/                        Premium
 Number Coverage                              Description
                                   Classification                        Basis         Exposure                  Rate             Premium
                                       10050
     All             AII               Mining                            **                **               $     **        $   403,576
                                       **Refer to the NoÈice of Election

                                                                                                            $               $




                                                                                                            $               $




                                                                                                            $               $




                                                                                                            $               $




                                                                                                            $               $




                                                                                                            $               $




                                                                                                            $               $




   TOTAL PREMIUM FOR THIS COVERI\GE PART                                                                            g   403,576


   When used as a premium basis the following code definitions apply:

   A-    Area - Per 1,000 square feet of area                                          O-       Other
   C-    Total Cost - per $1,000 of total cost                                         P-       Payroll - per $1,000 of payroll
   D-    lfAny                                                                         S-       Gross Sales - per $1,000 of Gross Sales
   E-    Admissions     -   per 1,000 admissions                                       U-       Units
   F-    Flat Charge                                                                   X-       Each
   J-    Total Operating Expenditures          -    per $1,000 of Expenditures




LD-2F51a (Ed.3/87) Printed in U.S.A.                                                                                                   44067271a
Case 4:10-cv-02931 Document 1-1                    Filed in TXSD on 08/16/10 Page 11 of 57

  POLICY NUMBER: HDO G24940354




                                        ACE Producer Compensat¡on
                                            Practices & Policies


  ACE believes that policyholders should have access to information about ACE's practices and policies related to
  the payment of compensation to brokers and independent agents. You can obtain that information by accessing
  our website at http://www.aceoroducercompensation.com or by calling the following toll-free telephone number:
  1-866-512-2862.




  ALL-20887 (10/06)
     Case 4:10-cv-02931 Document 1-1                      Filed in TXSD on 08/16/10 Page 12 of 57


POLICY NUMBER: HDO G24940354



                                                                                                 lL P 001 01 04

    U.S. TREASURY DEPARTMENT'S OFFICE OF FOREIGN
                ASSETS CONTROL ("OFAC")
           ADVISORY NOTIGE TO POLICYHOLDERS
No coverage is provided by this Policyholder Notice nor can it be construed to replace any provisions of your
policy. You should read your policy and review your Declarations page for complete information on the cover-
ages you are provided
This Notice provides information concerning possible impact on your insurance coverage due to directives issued
by OFAC. Please read this Notice carefully.
The Office of Foreign Assets Control (OFAC) administers and enforces sanctions policy, based on Presidential
declarations of "national emergency". OFAC has identified and listed numerous:
   . Foreign agents;
   o Front organizations;
                      '"o'
   o Terrorists,
   o Terrorist organizations; and
   o Narcotics traffickers;
as "Specially Designated Nationals and Blocked Persons". This list can be located on the United States Treas-
ury's web site   -   http//uaaUfteaS.gOv/ofae
ln accordance with OFAC regulations, if it is determined that you or any other insured, or any person or entity
claiming the benefits of this insurance has violated U.S. sanctions law or is a Specially Designated National and
Blocked Person, as identified by OFAC, this insurance will be considered a blocked or frozen contract and all
provisions of this insurance are immediately subject to OFAC. When an insurance policy is considered to be
such a blocked or frozen contract, no payments nor premium refunds may be made without authorization from
OFAC. Other limitations on the premiums and payments also apply.




tL P 001 01 04                                  @ ISO Properties, lnc.,20O4                         Page 1 of   1
     Case 4:10-cv-02931 Document 1-1                       Filed in TXSD on 08/16/10 Page 13 of 57


POLICY NUMBER: HDO G24940354

                                                                                                          lL 00 17 11 98

                             COMMON POLICY CONDITIONS
All Coverage Parts included in this policy are subject to the following conditions.

A. Cancellation                                                           b.   Give you reports on the conditions we find;
   L The first Named lnsured shown                  in   the                   and
        Declarations may cancel this policy by mailing                    c.   Recommend changes.
        or delivering to us advance written notice of               2. We are not obligated to make       any inspections,
        cancellation.                                                     surveys, reports or recommendations and any
   2. We may cancel this policy by mailing or                             such actions we do undertake relate only to
      delivering to the first Named lnsured written                       insurability and the premiums to be charged.
        notice of cancellation at least:                                  We do not make safety inspections. We do not
        a. 10 days before the effective date              of              undertake to perform the duty of any person or
              cancellation if we cancel for nonpayment of                 organization to provide for the health or safety
              premium; or                                                 of workers or the public. And we do not warrant
                                                                          that conditions:
        b. 30 days before the effective date of
           cancellation if we cancel for any other                        a. Are safe or healthful; or
              reason.                                                     b. Comply wilh',laws,     regulations, codes or
   3. We will mail or deliver our notice to the first                          standards.
        Named lnsured's last mailing address known to               3. Paragraphs 1. and 2. of this        condition apply
        us.                                                               not only to us,:bùt also to any rating, advisory,
   4. Notice of cancellation will state the effective                     rate service or similar organization which
        date of cancellation. The policy period will end                 makes inSúrance ínspections, surveys, reports
        on that date.
                                                                      .  or recommendations.
   5.   lf this policy is cancelled, we will send the first         4'., Paragraph 2. of this condition does not apply
        Named lnsured any premium refund due. lf we
                                                                     :, to any inspections, surveys, reports or
        cancel, the refund will be pro rata. lf the first
                                                                     '    recommendations we may make relative to
        Named lnsured cancels, the refund may be                          certification, under state or municipal statutes,
        less than pro rata. The cancellation will be                      ordinances or regulations, of boilers, pressure
        effective even if we have not made or offered                     vessels or elevators.
        a refund.                                                E. Premiums
   6. lf notice is mailed, proof of mailing will         be         The first Named lnsured shown in                   the
        sufficient proof of notice.                                 Declarations:
B. Changes                                                          1. ls responsible for the payment of all premiums;
   This policy contains all the agreements between                        and
   you and us concerning the insurance afforded.                    2. Will      be the payee for any return premiums we
   The first Named lnsured shown in              the                      pay.
   Declarations is authorized to make changes in the             F. Transfer Of  Your Rights And Duties Under
   terms of this policy with our consent. This policy's             This Policy
   terms can be amended               or   waived only by
   endorsement issued by us and made a part of this                 Your rights and duties under this policy may not
   policy.                                                          be transferred without our written consent except
                                                                    in the case of death of an individual named
C. Examination Of Your Books And Records                            insured.
   We may examine and audit your books and                          lf you die, your rights and duties will be
   records as they relate to this policy at any time                transferred to your legal representative but only
   during the policy period and up to three years                   while acting within the scope of duties as your
   afterward.                                                       legal        representative.    Until your        legal
D. lnspections And Surveys                                          representative is appointed, anyone having proper
   1. We have the right to:                                         temporary custody of your property will have your
                                                                    rights and duties but only with respect to that
        a.    Make inspections and surveys at any time;             property.




tL 00 17   1l   98                    Copyright, lnsurance Services Office, lnc., 1998                        Pagel   ofl     tr
      Case 4:10-cv-02931 Document 1-1                    Filed in TXSD on 08/16/10 Page 14 of 57


POLICY NUMBER: HDO G24940354


                                                                                 COMMERCIAL GENERAL LIABILITY
                                                                                                          cG 00 01 12 07

    COMMERCIAL GENERAL LIABILITY COVERAGE FORM
Various provisions in this policy restrict coverage.              b. This insurance applies to "bodily injury"             and
Read the entire policy carefully to determine rights,                  "property damage" only if:
duties and what is and is not covered.                                 (1) The "bodily injury" or "property damage"         is
Throughout this policy the words "you" and "yollr"                           caused by an "occurrence" that takes place
refer to the Named lnsured shown in the Declarations,                        in the "coverage territory";
and any other person or organization qualifying as a                   (2) The "bodily injury" or "property damage"
Named lnsured under this policy. The words "we",                           occurs during the policy period; and
"us" and "our" refer to the company providing this
insurance.                                                             (3) Prior to the policy period, no insured listed
                                                                           under Paragraph 1. of Section ll - Who ls
The word "insured" means any person or organization                        An lnsured and no "employee" authorized
qualifying as such under Section ll - Who ls An ln-                        by you to give or ieceive notice of an "oc-
sured.                                                                     currence" or clãim, knew that the "bodily in-
Other words and phrases that appear in quotation                           jury" or'property damage" had occurred, in
marks have special meaning. Refer to Section V -                           whole or in part.,lf such a listed insured or
Definitions.                                                                 authorized "employee" knew, prior        to   the
SECTION        I-
          COVERAGES
                                                                             policy period, that the "bodily injury" or
                                                                             'lproperty'd¿mage" occurred, then any con-
COVERAGE A BODILY INJURY AND PROPERTY                                        tinuation, change or resumption of such
DAMAGE LIABILITY                                                        ,    "bodily ihjury" or "property damage" during
L   lnsuring Agreement                                                       or after the policy period will be deemed to
                                                                             have been known prior to the policy period.
    a. We will pay those sums that the insured be-
       comes legally obligated to pay as damages                  c. "Bodily injury" or "property damage" which
         because of "bodily injury" or "property damage"           ,   occurs during the policy period and was not,
         to which this insurance applies. We will have                 prior to the policy period, known to have oc-
         the right and duty to defend the insured against              curred by any insured listed under Paragraph
         any "suit" seeking those damages. However,                    1. of Section ll - Who ls An lnsured or any
         we will have no duty to defend the insured                    "employee" authorized by you to give or re-
         against any "suit" seeking damages for "bodily                ceive notice of an "occurrence" or claim, in-
         injury" or "property damage" to which this in-                cludes any continuation, change or resumption
         surance does not apply. We may, at our discre-                of that "bodily injury" or "property damage" af-
         tion, investigate any "occurrenc-è'! and settle               ter the end of the policy period.
         any claim or "suit" that may fesult. But:                d. "Bodily injury" or       "property damage" will be
         (1) The amount we will pay :for damages is                    deemed to have been known to have occurred
             limited as described in Section lll - Limits              at the earliest time when any insured listed un-
             Of lnsurance'   and ,   '
                                                                       der Paragraph 1. of Section ll -Who ls An ln-
                                                                       sured or any "employee" authorized by you to
         (2) Our right and duty to defend ends when we                 give or receive notice of an "occurrence" or
             have used up the applicable limit of insur-
                                                                       claim:
             ance in the payment of judgments or set-
             tlements under Coverages A or B or medi-                  (1)   Reports all, or any part, of the "bodily injury"
             cal expenses under Coverage G.                                  or "property damage" to us or any other in-
                                                                             surer;
         No other obligation or liability to pay sums or
         perform acts or services is covered unless ex-                (2) Receives a written or verbal demand or
         plicitly provided for under Supplementary Pay-                    claim for damages because of the "bodily
         ments - Coverages A and B.                                          injury" or "property damage"; or
                                                                       (3) Becomes aware by any other means that
                                                                             "bodily injury" or "property damage" has oc-
                                                                             curred or has begun to occur.




cG 00 01 12 07                                 O ISO Properties, lnc., 2006                                   Page 1 of     16   tr
     Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 15 of 57



   e.   Damages because        of "bodily injury"    include         c. Liquor Liability
        damages claimed by any person or organiza-                        "Bodily injury" or "property damage" for which
        tion for care, loss of services or death resulting                any insured may be held liable by reason of:
        at any time from the "bodily injury".
                                                                          (1)   Causing or contributing to the intoxication of
2. Exclusions                                                                   any person;
  This insurance does not apply to:                                       (2) The furnishing of alcoholic beverages to a
   a. Expected      Or lntended lnjury                                        person under the legal drinking age or un-
        "Bodily injury" or "property damage" expected                           der the influence of alcohol; or
        or intended from the standpoint of the insured.                   (3) Any statute, ordinance or regulation relating
        This exclusion does not apply to "bodily injury"                      to the sale, gift, distribution or use of alco-
        resulting from the use of reasonable force to                           holic beverages.
        protect persons or property.                                      This exclusion applies only if you are in the
   b. Gontractual Liability                                               business of manufacturing, distributing, selling,
        "Bodily injury" or "property damage" for which                    serving or furnishing alcoholic beverages.
        the insured is obligated to pay damages by                   d. Workers'Compensation And Similar              Laws
        reason of the assumption of liability in a con-                   Any obligation of the insured under a workers'
        tract or agreement. This exclusion does not                       compensation, disability benefits or unem-
        apply to liability for damages:                                   ployment compensation law or any similar law.
        (1) That the insured would have in the absence               e.   Employer's Liability
            of the contract or agreement; or
                                                                          "Bodily injury" to:
        (2) Assumed in a contract or agreement that is
            an "insured contract", provided the "bodily                   (1)   Ñ  "employéè' of the insured arising out of
           injury" or "property damage" occurs subse-                           âhd in the course of:
           quent to the execution of the contract or                            (a) Emþlôyment by the insured; or
           agreement. Solely for the purposes of liabil-
           ity assumed in an "insured contract", rea-                 ,,        (b) Performing duties related to the conduct
                                                                      ' ,:., .' of the insured's    business; or
           sonable attorney fees and necessary litiga-
           tion expenses incurred by or for a party                      (2) The spouse, child, parent, brother or sister
           other than an insured are deemed to be
                                                                       ' ,1,"
                                                                              of that "employee" as a consequence of
            damages because        of     "bodily injury" o¡                    Paragraph (1) above.
            "property damage", provided      :                            This exclusion applies whether the          insured
           (a) Liability to such party for, or for the cost               may be liable as an employer or in any other
               of, that party's defense has,,,'also been                  capacity and to any obligation to share dam-
                 assumed in the same "insured contract";                  ages with or repay someone else who must
                 and                                                      pay damages because of the injury.
           (b)   Such attorney fees and ,litigation ex-                   This exclusion does not apply to liability as-
                 penses are for defense. of that party                    sumed by the insured under an "insured con-
                 against a civil or alternative dispute                   tract".
                 resolution proceeding in which damages
                 to which this insurance applies are al-
                 leged.




Page 2 of 16                                     @ ISO Propertíes, lnc., 2006                                cG 00 01 1207 tr
     Case 4:10-cv-02931 Document 1-1                             Filed in TXSD on 08/16/10 Page 16 of 57



    f.   Pollution                                                          (d) At or from any premises, site or location
         (1) "Bodily injury" or "property damage" arising                        on which any insured or any contractors
            out of the actual, alleged or threatened dis-                        or subcontractors working directly or in-
            charge, dispersal, seepage, migratíon, re-                           directly on any insured's behalf are per-
            lease or escape of "pollutants":                                     forming operations if the "pollutants" are
                                                                                 brought on or to the premises, site or lo-
            (a) At or from any premises, site or location                        cation in connection with such opera-
                which is or was at any time owned or                             tions by such insured, contractor or sub-
                  occupied by, or rented or loaned to, any                       contractor. However, this subparagraph
                  insured. However, this subparagraph                            does not apply to:
                 does not apply to:
                                                                                 (i) "Bodily injury" or  "property damage"
                 (i) "Bodily injury" if sustained within a                           arising out of the escape of fuels, lu-
                     building and caused by smoke,                                   bricants or other operating fluids
                        fumes, vapor or soot produced by or                          which are needed to perform the
                        originating from equipment that is                           normal electrical, hydraulic or me-
                        used to heat, cool or dehumidify the                         chanical functions necessary for the
                        building, or equipment that is used to                       operation of "mobile equipment" or
                        heat water for personal use, by the                          its parts, if such fuels, lubricants or
                        building's occupants or their guests;                        other operating fluids escape from a
                 (ii) "Bodily injury" or "property   damage"                         vehicle part designed to hold, store
                        for which you may be held liable, if                         or receive them. This exception does
                        you are a contractor and the owner                           not ãpply if: the "bodily injury" or
                        or lessee of such premises, site or                          "pro-perty damage" arises out of the
                        location has been added to your pol-                         intentional discharge, dispersal or re-
                        icy as an additional insured with re-                        lease of the fuels,lubricants or other
                        spect to your ongoing operations                             opèrating fluids, or if such fuels, lu-
                        performed for that additional insured                        bricants or other operating fluids are
                        at that premises, site or location and                       brought on or to the premises, site or
                        such premises, site or location is not                       location with the intent that they be
                        and never was owned or occupied                              discharged, dispersed or released as
                        by, or rented or loaned to, any in-                          part of the operations being per-
                        sured, other than that additional in-                        formed by such insured, contractor
                        sured; or                                                    or subcontractor;
              (iii)     "Bodily injury" or "property damage"                     (ii) "Bodily injury" or "property damage"
                        arising out of heat, smoke or fumes                           sustained within a buildíng and
                    from a "hostile fire";                                            caused by the release of gases,
           (b)   At or from any premises, sité or location                            fumes or vapors from materials
                 which is or was at any time used by or                             brought into that building in connec-
                 for any insured or others for the han-                             tion with operations being performed
                 dling, storage, disposal; processing or                             by you or on your behalf by a con-
                 treatment    oJ    waste;                                           tractor or subcontractor; or
           (c) Which are:,or were at any time           trans-
                                                                               (iii) "Bodily injury" or "property damage"
                 ported, handled, stored, treated, dis-                              arising out of heat, smoke or fumes
                 posed of, or processed as waste by or                               from a "hostile fire".
                 for:                                                       (e) At or from any premises, site or location
                  (i) Any insured; or                                            on which any insured or any contractors
                                                                                or subcontractors working directly or in-
                 (ii) Any person or organization for whom                       directly on any insured's behalf are per-
                        you may be legally responsible; or                      forming operations if the operations are
                                                                                 to test for, monitor, clean up, remove,
                                                                                 contain, treat, detoxify or neutralize, or
                                                                                 in any way respond to, or assess the ef-
                                                                                 fects of, "pollutants".




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     (2) Any loss, cost or expense arising out of                         (5) "Bodily injury" or "property damage"       arising
         any:                                                                   out of:
        (a) Request, demand, order or statutory or                              (a) The operation of machinery or equip-
               regulatory requirement that any insured                              ment that is attached to, or part of, a
               or others test for, monitor, clean up, re-                           land vehicle that would qualify under the
               move, contain, treat, detoxify or neutral-                           definition of "mobile equipment" if it were
               ize, or in any way respond to, or assess                             not subject to a compulsory or financial
               the effects of, "pollutants"; or                                     responsibility law or other motor vehicle
        (b)    Claim or "suit" by or on behalf of a gov-                            insurance law in the state where it is li-
               ernmental authority    for damages be-                               censed or principally garaged; or
               cause of testing for, monitoring, cleaning                       (b) the operation of any of the machinery or
               up, removing, containing, treating, de-                              equipment listed in Paragraph Í.(21 or
               toxifying or neutralizing, or in any way                             f.(3) of the definition of "mobile equip-
             responding to, or assessing the effects                                ment".
             of, "pollutants".                                       h.   Mobile Equipment
         However, this paragraph does not apply to                        "Bodily injury" or "property damage" arising out
         liability for damages because of "property                       of:
         damage" that the insured would have in the
         absence of such request, demand, order or                        (1) The transportation of "mobile equipment" by
         statutory or regulatory requirement, or such                           an "auto" owned or operated by or rented or
         claim or "suit" by or on behalf of a govern-                           loaned to qny insured; or
         mental authority.                                                (2) The use òf "mobilé equipment" in, or while
   g. Aircraft, Auto Or Watercraft                                              in.Þiáctice for, or while being prepared for,
                                                                                any prearranged racing, speed, demolition,
      "Bodily injury" or "property damage" arising out                          or:,s.tunting activity.
      of the    ownership, maintenance, use          or
                                                     en-
      trustment to others of any aircraft, "auto" or wa-             i. War          ":

      tercraft owned or operated by or rented or                           "Bodily injury" or "property damage", however
      loaned to any insured. Use includes operation                        caused, arising, directly or indirectly, out of:
      and "loading or unloading".                                         (l) War, including undeclared or civil war;
      This exclusion applies even       if the claims                ,    (2) Warlike action by a military force, including
      against any insured allege negligence or other                          action in hindering or defending against an
      wrongdoing in the supervision, hiring, employ-
                                                                              actual or expected attack, by any govern-
      ment, training or monitoring of others by that
                                                                              ment, sovereign or other authority using
      insured, if the "occurrence" which caused the
                                                                                military personnel or other agents; or
      "bodily injury" or "property damage" involved
      the ownership, maintenance, use or entrust-                         (3) lnsurrection, rebellion, revolution,    usurped
      ment to others of any aircraft, "auto" or water-                          power, or action taken by governmental au-
      craft that is owned or operated by or:rented or                           thoriÇ in hindering or defending against any
      loaned to any insured.                 :                                  of these.
      This exclusion does not apply to:                              j.   Damage To Property
     (1) A watercraft while ashore on premises you                         "Property damage" to:
         own or rent;                                                     (1) Property you own, rent, or occupy, including
     (2) A watercraft you do not own that is:                                 any costs or expenses incurred by you, or
                                                                              any other person, organization or entity, for
        (a) Less than 26 feet long; and                                       repaír, replacement, enhancement, restora-
        (b) Not being used to carry persons or                                  tion or maintenance of such property for
               property for a charge;                                           any reason, including prevention of injury to
     (3) Parking an "auto" on, or on the ways next                              a person or damage to another's property;
         to, premises you own or rent, provided the                       (2)   Premises you sell, give away or abandon, if
         "auto" is not owned by or rented or loaned                             the "property damage" arises out of         any
         to you or the insured;                                                 part of those premises;
     (4) Liability assumed under any "insured con-                        (3)   Property loaned to you;
         tract" for the ownership, maintenance or                         (4) Personal property in the care, custody or
         use of aircraft or watercraft; or
                                                                                control of the insured;




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        (5) That particular part    of real   property on              This exclusion does not apply to the loss of use
            which you or any contractors or subcontrac-                of other property arising out of sudden and ac-
            tors working directly or indirectly on your                cidental physical injury to "your product" or
            behalf are performing operations, if the                   "your work" after it has been put to its intended
            "property damage" arises out of those op-                  use.
            erations; or                                          n. Recall Of Products,         Work Or lmpaired
        (6) That particular part of any property that                  Property
            must be restored, repaired or replaced be-
            cause "your work" was incorrectly per-
                                                                       Damages claimed       for any loss, cost or     ex-
                                                                       pense incurred by you or others for the loss of
           formed on it.                                               use, withdrawal, recall, inspection, repair, re-
        Paragraphs (1), (3) and (4) of this exclusion do               placement, adjustment, removal or disposal of:
        not apply to "property damage" (other      than                (1) "Your product";
        damage by fire)to premises, including the con-
        tents of such premises, rented to you for a pe-                (2) "Your work"; or
        riod of 7 or fewer consecutive days. A separate                (3) "lmpaired property";
        limit of insurance applies to Damage To Prem-
                                                                       if such product, work, or property is withdrawn
        ises Rented To You as described in Section lll
                                                                       or recalled from the market or from use by any
        - Limits Of lnsurance.                                         person or organization because of a known or
        Paragraph (2) of this exclusion does not apply                 suspected defect, deflciêncy, inadequacy or
        if the premises are "your work" and were never                 dangerous condition in it,
        occupied, rented or held for rental by you.
                                                                  o.   Personal And Advertising lnjury
        Paragraphs (3), (4), (5) and (6) of this exclu-
                                                                       "Bodily injurytl arising oût of "personal and ad-
        sion do not apply to liability assumed under a
                                                                       vertising injury".
        sidetrack agreement.
        Paragraph (6) of this exclusion does not apply
                                                                  p. Electronic Data
        to "property damage" included in the "products-                Damages arising out of the loss of, loss of use
        completed operations hazard" .                                 of, damage to, conuption of, inability to access,
                                                                       or inability to manipulate electronic data.
   k.   Damage To Your Product                                     ' As used in this exclusion, electronic data
        "Propefty damage" to "your product" arising out
                                                                       means information, facts or programs stored as
        of it or any part of it.
                                                                       or on, created or used on, or transmitted to or
   l.   Damage To Your Work                                            from computer software, including systems and
        "Property damage" to "your work" arising out of                applications software, hard or floppy disks, CD-
        it or any part of it and included in the "products-            ROMS, tapes, drives, cells, data processing
        completed operations hazard" .                                 devices or any other media which are used
                                                                       with electronically controlled equipment.
        This exclusion does not apply if the damaged
        work or the work out of which:,.the damage                q. Distribution    Of Material ln Violation Of
        arises was performed on your behalf by a sub-                  Statutes
        contractor.                                                    "Bodily injury" or "property damage" arising di-
  m.    Damage To lmpaired Proþerty Or Property                        rectly or indirectly out of any action or omission
        Not Physically lnjured                                         that violates or is alleged to violate:
        "Property damage" to "impaired property" or                    (1) The Telephone Consumer Protection Act
        property that has not been physically injured,                     (TCPA), including any amendment of or
        arising out of:                                                   addition to such law; or
        (1) A defect, deficíency, inadequacy or danger-                (2) The CAN-SPAM Act of 2003, including any
            ous condition in "your product" or "your                      amendment of or addition to such law; or
           work"; or                                                   (3) Any statute, ordinance or regulation, other
        (2) A delay or failure by you or anyone acting                    than the TCPA or CAN-SPAM Act of 2003,
            on your behalf to perform a contract or                       that prohibits or limits the sending, transmit-
           agreement in accordance with its terms.                        ting, communicating or distribution of mate-
                                                                          rial or information.




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    Exclusions c. through n. do not apply to damage                  c.     Material Published PriorTo Policy Period
    by fire to premises while rented to you or tempo-
                                                                            "Personal and advertising injury" arising out of
    rarily occupied by you with permission of the                          oral or written publication of material whose
    owner. A separate limit of insurance applies to this
                                                                           first publication took place before the beginning
    coverage as described in Section lll - Limits Of
                                                                           of the policy period.
    lnsurance.
COVERAGE B PERSONAL AND ADVERTISING
                                                                     d. CriminalActs
INJURY LIABILITY                                                           "Personal and advertising injury" arising out of
                                                                           a criminal act committed by or at the direction
L   lnsuring Agreement                                                     of the insured.
    a. We will pay those sums that the ínsured be-                   e. Gontractual Liability
       comes legally obligated to pay as damages
       because of "personal and advertising injury" to                     "Personal and adveñising injury" for which the
       which this insurance applies. We will have the                      insured has assumed liability in a contract or
       right and duty to defend the insured against                        agreement. This exclusion does not apply to li-
       any "suit" seeking those damages. However,                          ability for damages that the insured would have
       we will have no duty to defend the insured                          in the absence of the contract or agreement.
       against any "suit" seeking damages for "per-                   f.   Breach Of Contract
       sonal and advertising injury" to which this in-
                                                                           "Personal and advertising injury" arising out of
         surance does not apply. We may, at our discre-
         tion, investigate any offense and settle any                      a breach of contiact, except an implied con-
         claim or "suit" that may result. But:
                                                                           tract to use another's advertising idea in your
                                                                           "advertisement'i.
         (1) The amount we will pay for damages is
             limited as described in Section lll - Limits
                                                                     g.    Quality Or Performance Of Goods        -   Failure
                                                                           To Conform To',:Statements
               Of lnsurance; and
         (2)                                                                "Personal and advertising injury" arising out of
               Our right and duty to defend end when we
               have used up the applicable limit of insur-                  the failuié of goods, products or services to
                                                                           :conform with any statement of quality or per-
               ance in the payment of judgments or set-
                                                                           formance made in your "advertisement".
               tlements under Coverages A or B or medi-
               cal expenses under Coverage G.                        h. Wrông Description Of Prices
         No other obligation or liability to pay sums or                   "Personal and advertising injury" arising out of
         perform acts or services is covered unless ex-                    the wrong description of the price of goods,
         plicitly provided for under Supplementary Pay-                    products or services stated in your "advertise-
         ments - Coverages A and B.                                        ment".
    b.   This insurance applies to "personal and adver-               i.   lnfringement Of Gopyright, Patent,
         tising injury" caused by an offense arising out                   Trademark Or Trade Secret
         of your business but only if thê offense was                      "Personal and advertising injury" arising out of
         committed in the "coverage territory!'during the                  the infringement of copyright, patent,       trade-
         policy period                                                     mark, trade secret or other intellectual properly
2. Exclusions                                                              rights. Under this exclusion, such other intellec-
    This insurance does not apply to:
                                                                           tual property rights do not include the use of
                                                                           another's advertising idea in your "advertise-
    a.   Knowing Violation Of Rights Of Another                            mgnt".
         "Personal and advertising injury" caused by or                    However, this exclusion does not apply to in-
         at the direction of the insured with the knowl-                   fringement, in your "advertisement", of copy-
         edge that the act would violate the rights of an-                 right, trade dress or slogan.
         other and would inflict "personal and advertis-             j.
         ing injury".                                                      lnsureds ln Media And lnternetType
                                                                           Businesses
    b.   Material Published With Knowledge Of
                                                                           "Personal and advertising injury" committed by
         Falsity
                                                                           an insured whose business is:
         "Personal and advertising injury" arising out of
         oral or written publication of material, if done by
                                                                           (1) Advertising, broadcasting, publishing or
                                                                              telecasting;
         or at the direction of the insured with knowl-
         edge of its falsity.                                              (2) Designing or determining content of web-
                                                                               sites for others; or




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       (3)   An lnternet search,      access, content or                (3) lnsurrection, rebellion, revolution,     usurped
             service provider.                                                power, or action taken by governmental au-
       However, this exclusion does not apply to                              thority in hindering or defending against any
       Paragraphs 14.a., b. and c. of "personal and                           of these.
       advertising injury" under the Definitions Sec-                 p. Distribution
                                                                                    Of Material ln Violation Of
       tion.                                                             Statutes
       For the purposes of this exclusion, the placing                   "Personal and advertising injury" arising di-
       of frames, borders or links, or advertising, for                  rectly or indirectly out of any action or omission
       you or others anywhere on the lnternet, is not                    that violates or is alleged to violate:
       by itself, considered the business of advertis-                  (1) The Telephone Consumer Protection Act
       ing, broadcasting, publishing or telecasting.                        (TCPA), including any amendment of or
  k. Electronic Chatrooms           Or Bulletin Boards                        addition to such law; or
       "Personal and advertising injury" arising out of                 (2) The CAN-SPAM Act of 2003, including any
       an electronic chatroom or bulletin board the in-                       amendment of or addition to such law; or
       sured hosts, owns, or over which the insured                     (3) Any statute, ordinance or regulation, other
       exercises control.                                                     than the TCPA or CAN-SPAM Act of 2003,
   l. Unauthorized        Use Of Another's Name Or                            that prohibits or limits the sending, transmit-
       Product                                                                ting, communicating or distribution of mate-
       "Personal and advertising injury" arising out of                       rial or information.
       the unauthorized use of another's name        or          COVERAGE C MEDICAL PAYMENTS
       product in your e-mail address, domain name               l.   lnsuring Agreement.
       or metatag, or any other similar tactics to mis-
       lead another's potential customers.                            a. We will pay medical expenses as described
                                                                         below for "bodily injury" caused by an accident:
  m. Pollution
                                                                        (1) On prémises you own or rent;
       "Personal and advertising injury" arising out of
       the actual, alleged or threatened        discharge,       .      (2) On ways next to premises you own or rent;
       dispersal, seepage, migration, release or es-                          or
       cape of "pollutants" at any time.                                (3)  Because of your operations;
  n.   Pollution-Related                                                 provided that:
       Any loss, cost or expense arising out of any:                        (a) The accident takes place in the "cover-
       (1) Request, demand, order or statutory or                                   age territory" and during the policy pe-
             regulatory requirement that any insured or                             riod;
             others test for, monitor, clean up; remòve,                   (b) The expenses are incurred and reported
             contain, treat, detoxify or neutralize,,or in                          to us within one year of the date of the
             any way respond to, or assess the effects                              accident; and
             of, "pollutants"; or                                             (c)   The injured person submits to examina-
       (2) Claim or suit by or on behalf of a govern-                               tion, at our expense, by physicians of
           mental autho¡ity for damages because of                                  our choice as often as we reasonably
             testing for, monitoring, cleaning up, remov-                           require.
             ing, containing,' treating, detoxifying or neu-          b. We will make these payments regardless of
             tralizing, or in any way responding to, or                  fault. These payments will not exceed the ap-
             assessing the effects of, "pollutants".                     plicable limit of insurance. We will pay reason-
  o. War                                                                 able expenses for:
       "Personal and advertising injury", however                       (1) First aid administered at the time of          an
        caused, arising, directly or indirectly, out of:                      accident;
       (1) War, including undeclared or civil war;                      (2) Necessary medical, surgical, x+ay and
       (2) Warlike action by a military force, including                    dental services, including prosthetic de-
             action in hindering or defending against an                      vices; and
             actual or expected attack, by any govern-                  (3) Necessary ambulance, hospital,            profes-
             ment, sovereign or other authority using                         sional nursing and funeral services.
             military personnel or other agents; or




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2.   Exclusions                                                      f.   Prejudgment interest awarded against the
     We will not pay expenses for "bodily injury":
                                                                          insured on that part of the judgment we pay. lf
                                                                          we make an offer to pay the applicable limit of
     a. Any Insured                                                       insurance, we will not pay any prejudgment in-
          To any insured, except "volunteer workers".                     terest based on that period of time after the of-
                                                                          fer.
     b.   Hired Person
          To a person hired to do work for or on behalf of
                                                                    g. All interest  on the full amount of any judgment
                                                                          that accrues after entry of the judgment and
          any insured or a tenant of any insured.
                                                                          before we have paid, offered to pay, or depos-
     c. lnjury  On Normally Occupied Premises                             ited in court the part of the judgment that is
          To a person injured on that part of premises                 within the applicable limit of insurance.
          you own or rent that the person normally occu-            These payments will not reduce the limits of insur-
          pies.                                                     ance.
     d.   Workers Compensation And Similar Laws                  2. lf we defend an insured against a "suit" and                 an
          To a person, whether or not an "employee" of              indemnitee of the insured is also named as a party
          any insured, if benefits for the "bodily injury"          to the "suit", we will defend that indemnitee if all of
          are payable or must be provided under a work-             the following conditions are met:
          ers' compensation or disability benefits law or a         a. The "suit" against the     indemnitee seeks dam-
          similar law.                                                    ages for which the insured has assumed the li-
     e. Athletics Activities                                              ability of the indemniteé:in a contract or agree-
                                                                          ment that is an "insured contract";
          To a person injured while practicing, instructing
          or participating in any physical exercises     or         b.    This : insurance applies         to such     liability as-
          games, sports, or athletic contests.                            sumed by the inSúred;
     f.   Products-Completed Operations Hazard                      c. The obligaiion to        defend, or the cost of the
                                                                          defense,'of.,"that indemnitee, has also been as-
          lncluded within the "products-completed opera-                  sumed by the insured in the same "insured
          tions hazard".                                                  contract";
     g.   Coverage A Exclusions                                     d. Thê allegations in the "suit" and the information
      Excluded under Coverage A.                                     '    :,we know about the "occurrence" are such that
                                                                      ,' no conflict appears to exist between the inter-
SUPPLEMENTARY PAYMENTS - COVERAGES A
AND B                                                                     ests of the insured and the interests of the in-
                                                                          demnitee;
1. We will pay, with respect to any claim we investi-
   gate or settle, or any "suit" against an insured we              e.    The indemnitee and the insured ask us to
     defend:                                                              conduct and control the defense of that indem-
                                                                          nitee against such "suit" and agree that we can
     a. All expenses we incur.                                            assign the same counsel to defend the insured
     b. Up to $250 for cost of bail bonds ,required                       and the indemnitee; and
        because of accidents or traffic law violations               f.    The indemnitee:
          arising out of the use of any vehicle to which
          the Bodily lnjury Liability Coverage applies. We                (1) Agrees in writing to:
          do not have to furnish these bonds.                                (a) Cooperate with us in the investigation,
     c.   The cost of bonds to :release attachments, but                               settlement or defense of the "suit";
          only for bond amounts within the applicable                        (b) lmmediately send us copies of                  any
          limit of insurance. We do not have to furnish                                demands, notices, summonses or legal
          these bonds.                                                                 papers received in connection with the
                                                                                       "suit";
     d. All reasonable expenses incurred by the          in-
          sured at our request to assist us in the investi-                      (c)   Notify any other insurer whose coverage
          gation or defense of the claim or "suit", includ-                            is available to the indemnitee; and
          ing actual loss of earnings up to $250 a day                       (d) Cooperate with us with respect to coor-
          because of time off from work.                                         dinating other applicable insurance
     e. All court costs taxed against the insured in the                               available to the indemnitee; and
          "suit". However, these payments do not include                  (2) Provides us with written authorization to:
          attorneys' fees or attorneys' expenses taxed
          against the insured.                                               (a) Obtain records and other information
                                                                                       related to the "suit"; and




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             (b) Conduct and control the      defense of the      2. Each of the following is also an insured:
                 indemnitee in such "suit".
                                                                     a. Your "volunteer workers" only while performing
     So long as the above conditions are met, attor-                         duties related to the conduct of your business,
     neys' fees incurred by us in the defense of that in-                    or your "employees", other than either your
     demnitee, necessary litigation expenses incurred                        "executive officers" (if you are an organization
     by us and necessary litigation expenses incurred                        other than a partnership, joint venture or limited
     by the indemnitee at our request will be paid as                        liability company) or your managers (if you are
     Supplementary Payments. Notwithstanding the                             a limited liability company), but onty for        acts
     provisions of Paragraph 2.b.(21of Section I - Cov-                     within the scope of their employment by you or
     erage A - Bodily lnjury And Property Damage Li-                        while performing duties related to the conduct
     ability, such payments will not be deemed to be                        of your business. However, none of these "em-
     damages for "bodily injury" and "property damage"                      ployees" or "volunteer workers" are insureds
     and will not reduce the limits of insurance.                           for:
     Our obligation to defend an insured's indemnitee                       (1) "Bodily injury" or "personal and advertising
     and to pay for attorneys'fees and necessary litiga-                           injury":
     tion expenses as Supplementary Payments ends
     when we have used up the applicable limit of in-
                                                                                (a) To you, to your pertners or members (if
                                                                                    you are a partnership or joint venture),
     surance in the payment of judgments or setfle-
     ments or the conditions set forth above, or the                                     to your members (if you are a limited li-
     terms of the agreement described in Paragraph f.                                    ability company), to a colemployee"
                                                                                         while in the course of his or l-ler em-
  above, are no longer met.
                                                                                         ployment or performing duties related to
SECTION II - WHO IS AN INSURED                                                           the cohduct of your business, or to your
1.   lf you are designated in the Declarations as:                                   '   other 'fvolunteer workers" while perform-
                                                                                         ing duties ielated to the conduct of your
     a. An individual, you and your spouse are insur-                                    businêss;
         eds, but only with respect to the conduct of a
         business of which you are the sole owner.                              (b) To the spouse, child, parent, brother or
     b. A partnership or joint venture, you are an in-
                                                                        :           sister of that co-"employee" or "volun-
         sured. Your members, your partners, and their
                                                                            ,            teer worker" as a consequence of Para-
                                                                                         graph (1Xa) above;
          spouses are also insureds, but only with re-
          spect to the conduct of your business.                   ',   ,       (c) For which there is any obligation            to
                                                                                         share damages with or repay someone
     c. A limited   liability company, you are an insured.                               else who must pay damages because of
          Your members are also insureds, but only with                                  the injury described in Paragraphs (1)(a)
          respect to the conduct of your business. Your                                  or (b) above; or
          managers are insureds, but only with respect
          to their duties as your managers.                                     (d) Arising out of his or her providing or
                                                                                    failing to provide professional health
     d.   An organization other than a partnership, joint                                care services.
          venture or limited liability company, you are an
          insured. Your "executive officers" and directors                  (2) "Property damage" to property:
          are insureds, but only with respect to their du-                     (a) Owned, occupied or used by,
          ties as your officeis or dirêc-tors. Your stock-                     (b) Rented to, in the care, custody or con-
          holders are also insureds, but only with respect
                                                                                         trol of, or over which physical control is
          to their liability as stockholders.
                                                                                         being exercised for any purpose by
     e. A trust, you are an insured. Your trustees      are                     you, any of your "employees", "volunteer
          also insureds, but only with respect to their du-
                                                                                workers", any partner or member (if you are
          ties as trustees.
                                                                                a partnership or joint venture), or any mem-
                                                                                ber (if you are a limited liability company).




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     b. Any person (other than your "employee"        or           3. The Products-Completed Operations         Aggregate
          "volunteer worker"), or any organization while                Limit is the most we will pay under Coverage A for
          acting as your real estate manager.                           damages because of "bodily injury" and "property
     c. Any person or organization having proper                        damage" included in the "products-completed op-
          temporary custody of your property if you die,                erations hazatd".
          but only:                                                4. Subject to Paragraph 2. above,      the Personal and
          (1) With respect to liability arising out of the              Advertising lnjury Limit is the most we will pay un-
              maintenance or use of that property; and                  der Coverage B for the sum of all damages be-
                                                                        cause of all "personal and advertising injury" sus-
          (2) Until your legal representative has been                  tained by any one person or organization.
              appointed.
                                                                   5.   Subject to Paragraph 2. or 3. above, whichever
     d. Your legal     representative if you die, but only              applies, the Each Occurrence Limit is the most we
          with respect to duties as such. That represen-                will pay for the sum of:
          tative will have all your rights and duties under
          this Coverage Part.                                           a. Damages under Coverage A; and
3.   Any organization you newly acquire or form, other                  b. Medical expenses under Coverage G
     than a partnership, joint venture or limited liability             because of all "bodily injury1 and "property dam-
     company, and over which you maintain ownership                     age" arising out of any one I'occurrence".
     or majority interest, will qualify as a Named ln-             6. Subject to    Paragraph 5. above, the Damage To
     sured if there is no other similar insurance avail-                Premises Rented To You Limit is the most we will
     able to that organization. However:                                pay under Coverage A for damages because of
     a. Coverage under this provision is afforded only                  "propert¡r damage" to any one premises, while
        until the 90th day after you acquire or form the                rented ,to you, or,in'the case of damage by fire,
          organization or the end of the policy period,                 while rented to you or temporarily occupied by you
          whichever is earlier;                                         with permission of the owner.
     b. Coverage A does not apply to "bodily injury" or            7. Subject to       Pâràgraph 5. above, the Medical Ex-
          "property damage" that occurred before you              :    pênse Limit is the most we will pay under Cover-
          acquired or formed the organization; and                   ¡,agè. G for all medical expenses because of "bodily
     c.   Coverage B does not apply to "personal and              ,,, ",í'njury'r sustained by any one person.
          advertising injury" arising out of an offense           it¡e iim¡ts of lnsurance of this Coverage Part apply
          committed before you acquired or formed the             seþarately to each consecutive annual period and to
          organization.                                           ariy remaining period of less lhan 12 months, starting
No person or organization is an insured with respect              with the beginning of the policy period shown in the
to the conduct of any current or past partnership; joint          Declarations, unless the policy period         is   extended
venture or limited liability company that is not shown            after issuance for an additional period of less than 12
as a Named lnsured in the Declarations.                           months. ln that case, the additional period will be
                                                                  deemed part of the last preceding period for purposes
sEcTloN    ilt- LtMtTS oF |NSURANCE          ,
                                                                  of determining the Limits of lnsurance.
1.   The Limits of lnsurance shown in the,Declarations            SECTION IV - COMMERCIAL GENERAL LIABILITY
     and the rules below fix the most we will pay re-             CONDITIONS
     gardless of the number of:
                                                                   1. Bankruptcy
     a. lnsureds;
                                                                        Bankruptcy or insolvency of the insured or of the
     b. Claims made or "suits" brought; or                              insured's estate will not relieve us of our obliga-
     c. Persons or organizations making claims            or            tions under this Coverage Part.
          bringing "suits".                                        2.   Duties ln The Event Of Occurrence, Offense,
2. The General        Aggregate Limit is the most we will               Glaim Or Suit
     pay for the sum of:                                                a.    You must see to it that we are notified as soon
     a. Medical expenses under Coverage C;                                    as practicable of an "occurrence" or an offense
                                                                              which may result in a claim. To the extent pos-
     b. Damages under Coverage A, except damages                              sible, notice should include:
          because of "bodily injury" or "property damage"
          included in the "products-completed operations                     (1) How, when and where the "occurrence" or
          hazard"; and                                                            offense took place;
     c.   Damages under Coverage B.                                          (2) The names and addresses of any injured
                                                                                 persons and witnesses; and




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       (3) The nature and location of any injury or             4. Other lnsurance
           damage arising out of the "occurrence" or               lf other valid and collectible insurance is available
           offense.                                               to the insured for a loss we cover under Cover-
  b. lf a claim is made or "suit" is brought      against         ages A or B of this Coverage Part, our obligations
       any insured, you must:                                     are limited as follows:
       (1) lmmediately record the specifìcs of          the        a. Primary lnsurance
           claim or "suit" and the date received; and                 This insurance is primary except when          Para-
       (2) Notify us as soon as practicable.                            graph b. below applies. lf this insurance is pri-
       You must see to it that we receive written no-                   mary, our obligations are not affected unless
       tice of the claim or "suit" as soon as practica-                 any of the other insurance is also primary.
       ble.                                                             Then, we will share with all that other insur-
                                                                        ance by the method described in Paragraph c.
  c.   You and any other involved insured must:                         below.
       (1) lmmediately send us copies of any      de-              b.   Excess lnsurance
           mands, notices, summonses or legal     pa-
           pers received in connection with the claim                   (1) This insurance is excess over:
           or "suit";                                                      (a) Any of the other insurance, whether
       (2) Authorize us to obtain records and other                            primary, excess, contingent or on any
              information;                                                       other basis:
       (3) Cooperate with us in the investigation or                             (i) That is Fire, Extended     Coverage,
           settlement of the claim or defense against                                Buildels Risk, lnstallation Risk or
           the "suit"; and                                                          sirnilar coverage for "your work";
       (4) Assist us, upon our request, in the en-                               (ii) That is Fire insurance for premises
           forcement of any right against any person                                  rented to you or temporarily occu-
           or organization which may be liable to the                                pied by you with permission of the
           insured because of injury or damage to                                   owner;
           which this insurance may also apply.                               (i¡¡) That is insurance purchased by you
  d. No insured will,        except at that insured's own                           to cover your liability as a tenant for
       cost, voluntarily make a payment, assume any
                                                                                    "property damage" to premises
       obligation, or incur any expense, other than for                             rented to you or temporarily occu-
       first aid, without our consent.                                              pied by you with permission of the
                                                                                    owner; or
3. LegalAction Against Us                                                     (iv) lf the loss arises out of the mainte-
  No person or organization has a right under this                                 nance or use of aircraft, "autos" or
  Coverage Part:                                                                    watercraft to the extent not subject to
  a. To join us as a party or otherwise bring us into                                Exclusion g. of Section I - Coverage
     a "suit" asking for damages from an insured; or                                A - Bodily lnjury And Property Dam-
                                                                                     age Liability.
  b. To sue us on this        Coverage Part unless all of
       its terms have been fully complied with.                            (b)   Any other primary insurance available to
                                                                                 you covering liability for damages aris-
  A person or organization may sue us to recover on
                                                                                 ing out of the premises or operations, or
  an agreed settlement or on a final judgment                                    the products and completed operations,
  against an insured; but we,will not be liable for
                                                                                 for which you have been added as an
  damages that are not payable under the terms of
                                                                                 additional insured by attachment of an
  this Coverage Part or that are in excess of the ap-
  plicable limit of insurance. An agreed settlement                              endorsement.
  means a settlement and release of liability signed                    (2) When this insurance is excess, we will have
  by us, the insured and the claimant or the claim-                        no duty under Coverages A or B to defend
  ant's legal representative.                                              the insured against any "suit" if any other
                                                                           insurer has a duty to defend the insured
                                                                           against that "suit". lf no other insurer de-
                                                                           fends, we will undertake to do so, but we
                                                                           will be entitled to the insured's rights
                                                                            against all those other insurers.




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          (3) When this insurance is excess over other                c. We     have issued this policy in reliance upon
              insurance, we will pay only our share of the                 your representations.
              amount of the loss, if any, that exceeds the       7. Separation       Of lnsureds
              sum of:
                                                                      Except with respect to the Limits of lnsurance, and
             (a) The total amount that all such other                 any rights or duties specifically assigned in this
                 insurance would pay for the loss in the              Coverage Part to the first Named lnsured, this in-
                   absence of this insurance; and                     surance applies:
             (b) The total of all deductible and self-                a. As    if   each Named lnsured were the only
                   insured amounts under all that other in-                Named lnsured; and
                   surance.
          (a) We will share the remaining loss, if any,
                                                                      b. Separately to each insured against     whom claim
                                                                           is made or "suit" is brought.
              with any other insurance that is not de-
              scribed in this Excess lnsurance provision         8. Transfer Of Rights Of Recovery Against Others
              and was not bought specifically to apply in             To Us
              excess of the Limits of lnsurance shown in              lf the insured has rights to recover all or part of
             the Declarations of this Coverage Part.                  any payment we have made under this Coverage
     c.   Method Of Sharing                                           Part, those rights are transferred to us. The in-
                                                                      sured must do nothing after loss to impair them. At
          lf all of the other insurance permits contribution          our request, the insured will bring "suit" or transfer
          by equal shares, we will follow this method                 those rights to us and help us enforce them.
          also. Under this approach each insurer con-
          tributes equal amounts until it has paid its ap-       9.   When We Do Not Renew
          plicable limit of insurance or none of the loss             lf we deóide not to renew this Coverage Part, we
          remains, whichever comes first.                             will mail or deliver to the first Named        lnsured
          lf any of the other insurance does not permit               shown in. the',Declarations written notice of the
          contribution by equal shares, we will contribute            nonreneWal not less than 30 days before the expi-
          by limits. Under this method, each insurer's                ration date.
          share is based on the ratio of its applicable               lf noticê,is mailed, proof of mailing will be sufficient
          limit of insurance to the total applicable limits of        proof,Of notice.
          insurance of all insurers.
                                                                 SECTION V- DEFINITIONS
5. Premium   Audit
                                                                 l. "Advertisement" means a notice that is broadcast
     a. We will compute all premiums for this Cover-                or published to the general public or specifìc mar-
        age Part in accordance with our rules and                   ket segments about your goods, products or ser-
          rates.                                                    víces for the purpose of attracting customers or
     b.   Premium shown in this Coverage Part as ad-                supporters. For the purposes of this definition:
          vance premium is a deposit premium only. At                 a. Notices that are      published include material
          the close of each audit period we will compute                   placed on the lnternet or on similar electronic
          the earned premium for that period and send                      means of communication; and
          notice to the first Named lnsured. The due date
          for audit and retrospective premiums is       the
                                                                      b.   Regarding web-sites, only that part of a web-
                                                                           síte that is about your goods, products or ser-
          date shown as the due date on the bill. lf the
                                                                           vices for the purposes of attracting customers
          sum of the advance and audit premiums paid
                                                                           or supporters is considered an advertisement.
          for the policy period is greater than the earned
          premium, we will return the excess to the first        2. "Auto" means:
          Named lnsured.                                            a. A land motor       vehicle, trailer or semitrailer de-
     c.   The first Named lnsured must keep records of                     signed for travel on public roads, including any
          the information we need for premium computa-                     attached machinery or equipment; or
          tion, and send us copies at such times as we                b.   Any other land vehicle that is subject to a com-
          may request.                                                     pulsory or financial responsibility law or other
6.   Representations                                                       motor vehicle insurance law in the state where
                                                                           it is licensed or principally garaged.
     By accepting this policy, you agree:
                                                                      However, "auto" does not include "mobile equip-
     a. The    statements in the Declarations are accu-
                                                                      ment".
          rate and complete;
     b.   Those statements are based upon representa-
          tions you made to us; and



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3.   "Bodily injury" means bodily injury, sickness or               9. "lnsured contract" means:
     disease sustained by a person, including death re-                a. A contract for a lease of premises.         However,
   sulting from any of these at any time.                                   that portion of the contract for a lease of prem-
4. "Coverage tenitory" means:                                               ises that indemnifies any person or organiza-
     a. The United States of America (including      its                    tion for damage by fire to premises while
          territories and possessions), Puerto Rico and                     rented to you or temporarily occupied by you
          Canada;                                                           with permission of the owner is not an "insured
                                                                            contract";
     b. lnternational waters or airspace, but only if the
        injury or damage occurs in the course of travel                b.   A sidetrack agreement;
        or transportation between any places included                  c.   Any easement or license agreement, except in
        in Paragraph a. above; or                                           connection with construction or demolition op-
     c. All other parts of the world if the injury or dam-                  erations on or within 50 feet of a railroad;
        age arises out of:                                             d. An obligation, as required by ordinance,            to
       (1) Goods or products made or sold by you in                         indemnify a municipality, except in connection
             the territory described in Paragraph a.                        with work for a municipality;
             above;                                                    e. An elevator maintenance agreement;
          (2) The activities of a person whose home is in              f. That part of any other contract or agreement
              the territory described in Paragraph a.                     pertainíng to your business (including an in-
             above, but is away for a short time on your                  demnification of a municipality in connection
              business; or                                                with work perfon¡ed for a municipality) under
          (3) "Personal and advertising injury"      offenses             which you âssume the tort liability of another
           that take place through the lnternet or simi-                    party:to pay for "bodily injury" or "property dam-
           lar electronic means of communication                            ageu to a third person or organization. Tort li-
                                                                            ability rneanS a liability that would be imposed
   provided the insured's responsibility to pay dam-                        by law:::in',:'the absence of any contract or
   ages is determined in a "suit" on the merits, in the                   : âgreement.
   territory described in Paragraph a. above or in a
   settlement we agree to.                                               ': Paiàgraph f. does not include that part of any
                                                                            contract or agreement:
5. "Employee" includes a "leased worker". "Em-
   ployee" does not include a "temporary worker".                           (1) That indemnifies a railroad for "bodily injury"
                                                                                or "property damage" arising out of con-
6. "Executive officer" means a person holding any of                            struction or demolition operations, within 50
   the officer positions created by your charter, con-                          feet of any railroad property and affecting
   stitution, by-laws or any other similar governing                            any railroad bridge or trestle, tracks, road-
   document.                                                                    beds, tunnel, underpass or crossing;
7. "Hostile    fire" means one which becomes uncon-                         (2) That indemnifies an architect, engineer or
     trollable or breaks out from where it was intended                         surveyor for injury or damage arising out of:
     to be.
                                                                               (a) Preparing, approving, or failing to pre-
L    "lmpaired property" means tangible property, other                            pare or approve, maps, shop drawings,
     than "your product" or !'your work'!, that cannot be                          opinions, reports, surveys, field orders,
     used or is less useful because:                                               change orders or drawings and specifi-
     a. lt  incorporates "your product" or "your work"                             cations; or
          that is known or thought to be defective, defi-                      (b) Giving directions     or instructions, or
          cient, inadequate or dangerous; or                                       failing to give them, if that is the primary
     b. You have failed      to fulfill the terms of a contract                    cause of the injury or damage; or
          or agreement;                                                     (3) Under which the insured, if an architect,
     if such property can be restored to use by the re-                         engineer or surveyor, assumes liability for
     pair, replacement, adjustment or removal of "your                          an injury or damage arising out of the in-
     product" or "your work" or your fulfilling the terms                       sured's rendering or failure to render pro-
     of the contract or agreement.                                              fessional services, including those listed in
                                                                                (2) above and supervisory, inspection, ar-
                                                                                chitectural or engineeri ng activities.




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10."Leased worker" means a person leased to you by                      However, self-propelled vehicles with the fol-
   a labor leasing firm under an agreement between                      lowing types of permanently attached equip-
   you and the labor leasing firm, to perform duties                    ment are not "mobile equipment" but will be
   related to the conduct of your business. "Leased                     considered "autos":
   worker" does not include a "temporary worker".                       (1) Equipment designed primarilyfor:
11."Loading or unloading" means the handling of                            (a) Snow removal;
   property:
                                                                           (b) Road maintenance, but not construction
   a. After it is moved from the place where it           is                    or resurfacing; or
        accepted for movement into or onto an aircraft,
        watercraft or "auto";                                              (c) Street cleaning;
   b. While it is in or on an aircraft, watercraft        or            (2) Cherry pickers and similar devices mounted
        "auto"; or                                                         on automobile or truck chassis and used to
                                                                           raise or lower workers; and
   c.   While it is being moved from an aircraft, water-
        craft or "auto" to the place where it is finally de-            (3) Air compressors, pumps and generators,
        livered;                                                           íncluding spraying, welding, building clean-
                                                                           ing, geophysical exploration, lighting and
   but "loading or unloading" does not include the                         well servicing equipment.
   movement of property by means of a mechanical
   device, other than a hand truck, that is not at-                However, "mobile equipment" does not include
   tached to the aircraft, watercraft or "auto".                   any land vehicles that aré subject to a compulsory
                                                                   or flnancial responsibility law or other motor vehi-
l2."Mobile equipment" means any of the following                   cle insurance law ih the'state where it is licensed
    types of land vehicles, including any attached ma-             or principally gáraged. Land vehicles subject to a
   chinery or equipment:                                           compul,Èôry or fihãncial responsibility law or other
   a.   Bulldozers, farm machinery, forklifts and other            motor 'vehicle , insurance law are considered
        vehicles designed for use principally off public           "autos".
        roads;                                                 13."Ocëurren""li' r"un, an accident, including con-
   b.   Vehicles maintained for use solely on or next to          tinuous. or repeated exposure to substantially the
        premises you own or rent;                                 same géneral harmful conditions.
   c.   Vehicles that travel on crawler treads;                l.4,"Personal and advertising injury" means injury,
   d.   Vehicles, whether self-propelled or not, main-             including consequential "bodily injury", arising out
        tained primarily to provide mobility to perma-             of one or more of the following offenses:
        nently mounted:                                            a. False arrest, detention or imprisonment;
        (l)   Power cranes, shovels, loaders;,,diggers or          b. Malicious prosecution;
              drills; or                                           c. The wrongful eviction from, wrongful entry into,
        (2)   Road construction or resurfacing equipment                or invasion of the right of private occupancy of
              such as graders, scrapers or rollers;                     a room, dwelling or premises that a person oc-
   e.   Vehicles not described in Paraþraþh a., b., c.                  cupies, committed by or on behalf of its owner,
        or d. above that are not self-propelled and are                 landlord or lessor;
        maintained primarily to provide mobility to per-           d.   Oral or written publication, in any manner, of
        manently attached equipment of the following                    material that slanders or libels a person or or-
        types:                                                          ganization or disparages a person's or organi-
        (f) Air compressors, pumps and generators,                      zation's goods, products or services;
              including spraying, welding, building clean-         e.   Oral or written publication, in any manner, of
              ing, geophysical exploration, lighting and                material that violates    a   person's right   of   pri-
              well servicing equipment; or                              vacy;
        (2)   Cherry pickers and similar devices used to           f.   The use of another's advertising idea in your
              raise or lower workers;                                   "advertisement"; or
   f.   Vehicles not described in Paragraph a., b., c.             g.   lnfringing upon another's copyright, trade dress
        or d. above maintained primarily for purposes                   or slogan in your "advertisement".
        other than the transportation of persons or
        cargo.




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l5."Pollutants" mean any solid, liquid, gaseous or                  b. Loss of use of tangible         propedy that   is   not
    thermal irritant or contaminant, including smoke,                   physically injured. All such loss of use shall be
    vapor, soot, fumes, acids, alkalis, chemicals and                   deemed to occur at the time of the "occur-
    waste. Waste includes materials to be recycled,                     rence" that caused it.
   reconditioned or reclaimed.                                      For the purposes of this insurance, electronic data
I 6. "Products-completed operations hazard":                        is not tangible property.
   a.    lncludes all "bodily injury" and "property dam-            As used in this definition, electronic data means
         age" occurring away from premises you own or               information, facts or programs stored as or on,
         rent and arising out of "your product" or "your            created or used on, or transmitted to or from com-
         work" except:                                              puter software, including systems and applications
        (1) Products that are still in your physical pos-           software, hard or floppy disks, CD-ROMS, tapes,
             session; or                                            drives, cells, data processing devices or any other
                                                                    media which are used with electronically controlled
        (2) Work that has not yet been completed or                 equipment.
            abandoned. However, "your work" will be
            deemed completed at the earliest of the fol-         18."Suit" means a civil proceeding in which damages
            lowing times:                                           because of "bodily injury", llproperty damage" or
                                                                    "personal and adveftising injury" to which this in-
           (a) When all of the work called for in your              surance applies are alleged. "Suit" includes:
               contract has been completed.
                                                                    a. An arbitration proceeding in which such dam-
           (b) When all of the work to be done at the                     ages are claimed and to which the insured
               job site has been completed if your con-                   must submit or does sùbmit with our consent;
               tract calls for work at more than one job                  or
               site.
                                                                    b. Any other alternative dispute resolution            pro-
           (c) When that part of the work done at a job                   ceeding in which such damages are claimed
               site has been put to its intended use by                   and to which the insured submits with our con-
               any person or organization other than                  , sent.
               another contractor         or   subcontractor
                                                                 19."Témporary worker" means a person who is fur-
               working on the same project.
                                                                    nished,,to you to substitute for a permanent "em-
            Work that may need service, maintenance,                ployee" on leave or to meet seasonal or short-term
            correction, repair or replacement, but which            workload conditions.
            is otherwise complete, will be treated        as
            completed.                                           20."Volunteer worker" means         a   person who   is    not
                                                                    your "employee", and who donates his or her work
   b. Does not include      "bodily injury" or "property            and acts at the direction of and within the scope of
        damage" arising out of:                                     duties determined by you, and is not paid a fee,
        (1) The transportation of property, unless the              salary or other compensation by you or anyone
            injury or damage arises out of a condition in           else for their work performed for you.
            or on a vehicle not owned or operated by             21. "Your product":
            you, and that condition was created by the
            "loading or unloading"   oJ   that vehicle by any       a. Means:
            insured;                                                      (1) Any goods or products, other than real
                                                                               property, manufactured, sold, handled, dis-
        (2) The existence of tools, uninstalled equip-
            ment or abandoned or unused materials; or                          tributed or disposed of by:
        (3) Products or operations for which the classi-                       (a) You;
            fication, listed in the Declarations or in a                       (b) Others trading under your name; or
            policy schedule, states that products-                             (c) A person or organization whose busi-
            completed operations are subject to the                               ness or assets you have acquired; and
            General Aggregate Limit.
                                                                          (2) Containers (other than vehicles),   materials,
17. "Property damage" means:                                                   parts or equipment furnished in connection
   a. Physical     injury to tangible property, including                      with such goods or products.
        all resulting loss of use of that property. All              b.   lncludes:
        such loss of use shall be deemed to occur at
        the time of the physical injury that caused it; or                (1) Warranties or representations made at any
                                                                               time with respect to the fitness, quality, du-
                                                                               rability, performance or use of "your prod-
                                                                               uct"; and




cG 00 01 1207                                    @ ISO Properties, lnc., 2006                                Page 15 of     16    tr
     Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 29 of 57



        (2) The providing of or failure to provide warn-
              ings or instructions.
   c. Does not include vending machines or other
      property rented to or located for the use of oth-
      ers but not sold.
22."Your work":
   a. Means:
        (l)   Work or operations performed by you or on
              your behalf; and
        (2) Materials, parts or equipment furnished       in
              connection with such work or operations.
   b.   lncludes:
        (1) Warranties or representations made at any
              time with respect to the fitness, quality, du-
              rability, performance or use of "your work",
              and
        (2) The providing of or failure to provide warn-
              ings or instructions.




Page 16 of 16                                   O ISO Properties, lnc., 2006                   cG 00 011207   tr
  Case 4:10-cv-02931 Document 1-1                       Filed in TXSD on 08/16/10 Page 30 of 57
 POLICY NUMBER: HDO c249403s4




                                                                           An lmportant Notice To Our
                  ACE USA                                                       Alaska Policyholders



                 ALASKA DEPARTMENT OF COMMERCE AND ECONOMIC DEVELOPMENT
                                           DIV¡SION OF INSURANCE
                                      ATTORNEY FEES COVERAGE NOTICE A

                             THIS POLICY LIMITS COVERAGE FOR ATTORNEY FEES
                                UNDER ALASKA RULE OF CIVIL PROCEDURE 82


ln any suit in Alaska in which we have a right or duty to defend an insured in addition to the limits of liability, our
obligation under the applicable coverage to pay attorney fees taxable as costs against the insured is limited as
follows:

Alaska Rule of Civil Procedure 82 provides that if you are held liable, some or all of the attorney fJes oi the person
ma!ng a claim against you must be paid by you. The amount that must be paid by you is determinedr,by Alaska Rule
of Civil Procedure 82. We provide coverage for attorney fees for which you are liable under Alaska Rule or Civil
Procedure 82 subject to the following     limitation:                                     ,       ,
                                                                                                      ,,

           We will not pay that portion of any attorney's fees that is in excess of fees calcutated by applying the
           schedule for contested cases in Alaska Rule Civil Procedure 82(bX1) to the limit ot ilatiiiitlr of tfre
           applicable coverage.                                        :            .:t   :.




This limitation means the potential cosfs fhaf may be awarded against you as attorney fees may not be
covered in full. You will have to pay any attorney fees not covered directty.
For example, the attorney fees provided by the schedule for contested cases in Alaska Rule of Civil procedure
82(b)(1) are:
                                                            ''     :


           20% of thefirst $25,000 of a  judgment;
           10% of the amounts over 925,000 of a judgment.

Therefore, if a court awards a jydgment against you in the amount of $125,000, in addition to that amount you would
be liable under Alaska Rule of Civil Procedure B2(b)(1) for attorney fees of $15,000, calculated as follows:

                                  2je/o of $25,000                                             $5,000
                                  107o of $100,000                                             $10,000
  Total Award                             $125,000                       ïotal Attorney Fees $15,000

lf the limit of liability of the applicable coverage is $100,000, we would pay $100,000 of the 9125,000 award, and
$12,500 for Alaska Rule of Civil Procedure 82(b)(1) attorney fees, as calculaied as follows:

                                  20% ot $25,000                                             $5,000
                                  1Q%   ol $75,000                                           $7,500
  Total Limit of Liability                $100,000               ïotal Attorney Fees Covered $15,000

lgqwoylO be liable to pay, direcily and without our assistance, the remaining  $2S,OOO in liability plus the remaining
$2,500 for attorney fees under Alaska Rule of Civil Procedure 82 not covered by this policy.




ALL- 4X07 (7/96)
 Case 4:10-cv-02931 Document 1-1                         Filed in TXSD on 08/16/10 Page 31 of 57

POLICY NUMBER: HDO G24940354




                             COLORADO FRAUD STATEMENT



It is unlawful to knowingly provide false, incomplete, or misleading facts or information to an insurance company for the
purpose of defrauding or attempting to defraud the company. Penalties may include imprisonment, fines, denial of
insurance, and civil damages. Any insurance company or agent of an insurance company who knowingly provides
false, incomplete, or misleading facts or information to a policyholder or claimant for the purpose of defrauding or
attempting to defraud the policyholder or claimant with regard to a settlement or award payable from insurance
proceeds shall be reported to the Colorado division of insurance within the department of regulatory agencies.




ALL-22368 (06/07)                           @   ISO Properties, lnc., 2004
 Case 4:10-cv-02931 Document 1-1                      Filed in TXSD on 08/16/10 Page 32 of 57

POLICY NUMBER: HDO G24940354



                                                  Questions About Your lnsurance?
             ACE USA




Answers to questions about your insurance, coverage information, or assistance in resolving complaints can be
obtained by calling ACE USA, Customer Support Service Department, aT 1-8QO-352-4462.




ALL-5X45 (11196) Ptd. in U.S.A.
          Case 4:10-cv-02931 Document 1-1                     Filed in TXSD on 08/16/10 Page 33 of 57
POL¡CY NUMBER: HDO G24940354




                           NOTICE TO ALL OKLAHOMA POLICYHOLDERS


           WARNING: Any person who knowingly, and with intent to injure, defraud or deceive any insurer,
           makes any claim for the proceeds of an insurance policy containing any false, incomplete or misleading
           information is guilty of a felony.




           You are insured by the Company listed on the Signature page which is named on the first page of the Declarations
           of this policy. lt is an ACE USA company and has its principal office at 436 Walnut Street, PO Box        1000,
           Philadelphia,   PA   19106-3703.




ALL-2U78b (2/06) Ptd. in U.S.A.
  Case 4:10-cv-02931 Document 1-1                  Filed in TXSD on 08/16/10 Page 34 of 57

POLICY NUMBER: HDO G24940354




                                                 NOTTCË


              TO PENNSYLVANIA PROPERTY AND CASUALTY INSURANCE
                               POLICYHOLDERS



A Pennsylvania law known as the "lnsurance Consultation Services Exemption Act" has a provision that
insurers, their agents, employees or service contractors are not subject to liability for damages from
injury, death or loss occurring as a result of any act or omission by any person in the course of performing
any survey, consultation, inspection, advisory or related seruice incident to an application for insurance, a
new policy for insurance or an existing policy or insurance for the purpose of reducing the likelihood of
injury, death or loss.

This provision shall not apply:

1) lf the injury, loss or death occurred during the actual pedormance of consultation services and was
caused by the negligence of the insurer, its agent, employees or service contractors: which was a
                                                                                      ::|
                                                                            ...
2)  To any consultation services required to be performed under the piovisions of           a written service
contract not incidental to a policy of insurance

3)   ln any action against any insurer, its agents, employees or service contractors for damages caused by
the act or omission of said insurer, its agents, employees or service contractors in which it is judicially
determined that such act or omission constituted a crime, actual màlice or gross negligence.

This provision of the "lnsurance Consultation Services Exemption           Act"   applies   to all   insurance
consultation services rendered incídent to policies of property or casualty insurance. lt does not apply to
the immunities and protections provided by section 305, act of June 2,1915 known as the "Pennsylvania
Workmen's Compensation Act."

The provisions of the "lnsurance Consultation Services Exemption Act" shall not be effective and
applicable unless the insurer furnishes the insured with written notice of the provision of this act at the
time the policy is issued or renewed. The lnsurance Commissioner has approved the contents of this
notice and the manner in which the notice is given.




Ail-5S54 (7i92)
     Case 4:10-cv-02931 Document 1-1                       Filed in TXSD on 08/16/10 Page 35 of 57
POLICY NUMBER: HDO G24940354




                                                                       lnformation and Gomplaints
  ø/-"
         ace group




 This information is being provided to you pursuant to the requirements of Title 28, Part 1, ChapterI , Subchapter E. 1.601
 of the Texas Administrative Code relating to our Toll Free information and complaint number.


                     IMPORTANT NOTICE                                               AVISO IMPORTANTE

To obtain information or make a complaint:                        Para obtener informacion o para someter una queja:

You may call the Company's toll-free telephone number             Usted puede llamar al numero de telefono gratis de la
for information or to make a complaint at:                        Compania para informacion o par.a someter una queja
                                                                 at:
                        r-(800) 352-4462                                               I (800) 3524462
You may also write to the Company at:                             Usted tambien puede escribir a la Compania:

       USA                                                       _ACE USA
-ACE
 Customer Services                                                Customer Services
 PO Box 1000                                                      PO Box .l00Û ' ,',
 Philadelphia, PA 19'106-3703                                     Philadelphia, PA 19106-3703

You may contact the Texas Department of lnsurance to             Puede:communicarse con el Departmento de Seguros
obtain information on companies, coverages, rights or            de Texás para obtener          informacion acerca de
complaints at:                                                   companias, coberturas, derechos o quejas al:

                        1-(800) 252343s                                                1 (800) 252-3439

You may write the Texas Department of lnsurance    ,
                                                                 Puede escriblr al Departamento de Seguros de Texas

P. O. Box  149104                                      :
                                                                 P. O. Box 149104
AUSTTN, TX78714-9104                                             AUST|N,lX 78714-9104
FAX # (512) 475-1771                                             FAX # (512) 475-1771
Web: http ://www.tdi.state.tx. us                                Web: htto://www.tdi. state.tx. us
E-mail : Consum erProtectionrôidi.state.tx. us                   E-mail : ConsumerProtection@tdi.state.tx.   us

PREMIUM OR CLAIM DISPUTES: Should you have a                     DISPUTAS SOBRE PRIMAS O RECLAMOS: Sitiene
dispute concerning your premium or about a claim you             una disputa concerniente a su prima o un reclamo, debe
should contact your agent or the companyfirst. lf the            comunicarse con el agente o la compania primero. Si
dispute is not resolved you may contact the Texas                no se       resuelve     la disputa puede        entonces
Departrment of lnsurance.                                        communicarse con el departmento de Seguros en Texas

ATTACH THIS NOTICE TO YOUR POLICY: This notice                   UNA ESTE AVISO A SU POLIZA: Este aviso es soto
is for information only and does not become a part or            para proposito de informacion y no se convierte en parte
condition of the attached document.                              o condicion del documento adjunto.




ALL- 4Y30d (10/2009)
 Case 4:10-cv-02931 Document 1-1                              Filed in TXSD on 08/16/10 Page 36 of 57

POLICY NUMBER: HDO G24940354



                                                                    ACE USA                                 Phone:1.866.357.3797
                                                                    Risk Control Services                        Fax:   21   5.640.5084
                                                                    436 Walnut Street                             www,ace-ina,com
                  ACE USA                                           Philadelphia, PA 19106-3703

                                                                                  National Manager, Jurisdictional Services

RE: RISK GONTROL SERVICES              FOR TÐ(AS POLIGYHOLDERS
       Gommercial Automobile Liability, General Liability, Professional Liability, and Medical
       Professional Liability (other than Hospitals)

The ACE Companies are required by Texas law and regulat¡ons to maintain or provide accident prevention services
for its commercial automobile, general liability and professional liability policyholders. The Ace Companies offer an
array of accident prevention services in Texas at no additional charge. These services are intended to help prevent
and/or minimize loss.

These services include but are not limited            to:   individual risk surveys; improvement recommendations; loss
investigation; specific loss problem identification and recommended improvement actions.

ACE may recommend one or more of these services based upon hazard, experience, and size of your Texas
operations. You have the choice of receiving or declining any of the services offered. lf you wish to decline all of the
services or wish to receive only selected risk control service, ptease indicate that by sign¡ng ànd dating this letter in
the space provided below. Please mail or fax to the captioned address or fax number. lf you decline all of ACE's risk
control services or choose only a support service, such as ergonomics survey, driving training, or other services and
not a complete risk survey, we still have a responsibility under Texas law and regulation to monitor your losses. ln
the event you start to have a loss problem and a trend is established, and/or adverse loss ratio is developed, we will
contact you and offer to assist you in addressing the situation.

Sincerely,


National Manager, Jurisdictional & Regulatory Services
ACE USA Risk Control Services
436 Walnut Street, Philadelphia, PA 19106-3703
or call toll free at: 1-866-357-3797

tr     I am aware of the loss control services offered and decline them. I have made other arrangements for
       these services.

n      I wish to obtain the following offered accident prevention services:




n      I have no risk control services needs now. I reserve the right to request loss control services within the
       period.                 ",

                (Signature)                                     (Phone #)                          w
Print Name:                                                                        Policy #

Company Name:

Address:

City, State, Zip:

One of the ACE Group of Insurance & Reinsurance Companies
This Company has undertaken a survey of your premises, equipment, or operations (whichever is pertinent to the type of insurance
applied for or provided) for the purpose of supporting the functions of risk underwriting. Any recommendations or information
provided is not intended as a substltute for advice from a safety expert or legal counsel you may retain for your own purposes. lt is
not intended to supplant any legal duty you may have to provide a safe premises, workplace, product or operation.




ALL-   1   1559d (10t07)
          Case 4:10-cv-02931 Document 1-1                       Filed in TXSD on 08/16/10 Page 37 of 57



                                                  SCHEDULE OF NAMED INSUREDS

  Named   lnsured M-I, L. L. C.                                                                            Endorsement Number
                                                                                                           1
  Policy Symbol     Policy Number          Policy Per¡od                                                   Effective Date of Endorsement
       HDO         e24940354               04/oL/20L0 to 04/OL/2OLL
  lssued By (Name of lnsurance Company)
  ACE   American Insurance Company


                     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                            This endorsement modifies insurance prov¡ded under the following:

                                          COMMERCIAL GENERAL LIABILITY COVERAGE FORM




     The Named lnsured shown in the Declarations is amended to read as follows:

     M-I/ T,.L.c.
       as well as any organization other than a partnership or joint venture, ,:and over which you or your subsidiary curren¡y
       maintain ownership or majority interest provided there is no other similâr,, insurance availáble to that organization;
                                                                                                                              and any
       other organization you newly acquire or form, other than a partnership or joint venture, and over which you maintain
       ownership or majority interest, provided:

       a)   there is no other similar insurance available to that organization; and

       b)   you notify us of such acquisition not later than 60 days after lhe end of the policy period.

      As respects newly acquired or formed organizations''       '   ,,,




       1.   Coverage A does not apply to "bodily injury'l or "pròperty damage " that occurred before you acquired or formed
                 the organization; and

      2'    Coverage B does not apply to "personal injury" or "advertising injury" arising out of an offense committed before
                 you acquired or formed the organization.

      No person or organization is an insured with respect to the conduct of any current or past joint venture that is
                                                                                                                       not shown as
      a Named lnsured on this schedule.




                                                                                             Authorized Agenl




LD-12992a (08/04)              lncludes copyrighted material of lnsurance services office, lnc. with its permission
Case 4:10-cv-02931 Document 1-1   Filed in TXSD on 08/16/10 Page 38 of 57
          Case 4:10-cv-02931 Document 1-1
POLICY NUMBER: HDO G24940354
                                                                                Filed in TXSD on 08/16/10 Page 39 of 57
                                                                                                                                                            ENDT.   #2



                                        REIMBURSEMENT OF DEDUCTIBLE ENDORSEMENT
                                       ALLOCATED LOSS ADJUSTMENT EXPENSE ("ALAE")
                                            ¡NCLUDED IN THE DEDUCTIBLE AMOUNT

  Named lnsured                                                                                                    Endorsement Number
  M-r, t.L.c.                                                                                                      2
  Policy Symbol            Policy Number             Policy Period                                                 Effective Date of Endorsement
  HDO                      c24940354                 04/ot/20L0 to 04/0t/20tt
  lssued By (Name of lnsurance Company)
  ÀCE    American Insurance                   Company
  lnsert the oolicv number. The remainder of the ¡nformation is to be comDleted onlv when this endorsement is issued subseouent to the DreDarat¡on of the oolicv.


                        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                This endorsement mod¡f¡es all insurance provided under the following:

                                           COMMERCIAL GENER,AL LIABILITY COVERAGE FORM

          r)      DEDUCTIBLE AMOUNT

                      1) DeductibleAmount: $1,000,000
                      2) The Deductible Amount applies separately to:
                             (a) The sum of:                                                          ,




                                       (i) damages per "occurrence" under Coverage A; and
                                       (ii) medical expenses per accident under Coverage C; and
                                                                                                      :..:

                                       (iii) "ALAE' incurred with respêc! to an' l'occurrence" under Coverage A.
                             (b) The sum of:                          "                     ,,,,,,,




                                       (i) damages sustained, by ãny one person or organization under Coverage B; and
                                       (ii) 'ALAE" incurred with respect to an offense under Coverage B.

          il)    ADDTTTONALPROVTSIONS

                      1)     "We" will pay all sums that "we" become legally obligated to pay up to the Limits of lnsurance under
                             this policy.

                      2)     "You" must reimburse us up to the Deductible Amount for any amounts we have paid under this
                             policy.

                      3)     The Deductible Amount will apply as shown in Section I of this endorsement regardless of the
                             number of claimants, lnsureds, claims made or "suits" brought, or persons or organizations making
                             claims or bringing "suits".


                      4)     lf "you" fail to reimburse "us" for any amount due under this endorsement, or fail to provide "us" any
                             collateral that "we" require, "you" will be in default of "your" obligations to "us", and "we" may take any




                                                                                                                                                              age

                                 lncludes copyrighted material of lnsurance Services Office, lnc. with its permission
         Case 4:10-cv-02931 Document 1-1                           Filed in TXSD on 08/16/10 Page 40 of 57



                         steps "we" deem necessary to enforce our rights against "you", including but not limited to drawing on
                         any amount of collateral "we" hold or canceling this policy, if permitted by law.

                    5)   Each Named lnsured is jointly and severally liable for all reimbursable amounts under this
                         endorsement.

                    6)   lf "we" recover any payment "we" make under this policy from anyone liable for damages or "ALAE",
                         the amount "we" recover will first be applied to any payments "we" made in excess of the Deductible
                         Amount and to "oui' expenses in obtaining the recovery. The remainder of the recovery, if any, will
                         reduce the amount that is reimbursable by "you".

         ril)   ALLOCATED LOSS ADJUSTMENT EXPENSE DEFINITION

                     "Allocated Loss Adjustment Expense(s)" or "ALAE" means such claim expenses, costs and any
                     interest provided for under Section I - Coverages, Supplementary Payments - Coverages A and B of
                     this policy, that are incurred in connection with the investigation, administration, adjustment, subrogation,
                     settlement or defense of any claim or lawsuit that we, under our accounting practices, directly allocate to
                     a particular claim, whether or not a payment indemnifying the claimant(s) is made. Such expenses
                     include, but are not limited to all court costs, fees and expenses; fees for service of process; fees and
                     expenses to attorneys for legal services; the cost of services of undercover operations and detectives;
                     fees to obtain medical cost containment services; the cost of employing experts for the purpose of
                     preparing maps, photographs, diagrams, and chemical or physical analysis, or for expert advice or
                     opinion; the cost of obtaining copies of any public records; and the cost of depositions and court
                     reporters or recorded statements, provided, however, that Allocated Loss Adjustmént Eipense shall not
                     include the salaries and traveling expenses of our employees or our overhead and adjusters'fees.

         lv)    NO OTHER CHANGES

                     All other terms of this policy, including those with respect to:

                          (a)   Our right and duty to defend any "insured" against a "suit" asking for damages to which this
                                insurance applies, and

                          (b)   Limits of lnsurance, and

                          (c)   Your Duties ln The Event Of Occurrence, Offense, Claim Or Suit

                     remain unchanged.




                                                                                            Authorized Agent




LD-19643e (09/09)                                                                                                              Page2 of 2

                            lncludes copyrighted material of lnsurance Services Offìce, lnc. with its permission
           Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 41 of 57
POLICY NUMBER: HDO G24940354                                                                                                                                ENDT.   #3



                                                ADDITIONAL INSURED - EMPLOYEES
                                            FELLOW EMPLOYEES - BODILY INJURY ONLY

  Named lnsureo                                                                                                       Endorsement Number
  M-I, l,.L.C.                                                                                                        3
  Policy Symbol           Policy Number             Policy Period                                                     Effective Date of Endorsement
  HDO                     c24940354                  04/oL/20L0 to 04/Ot/20L];
  lssued By (Name of lnsurance Company)
  ACE    American Insurance Company
  lnsert the policy number. The remainder of the information is to be comoleted onlv when this endorsement is issued subseauent to the oreoaration of the ooìicv.



                       THIS ENDORSEMENT CHANGES YOUR POLICY. PLEASE READ IT CAREFULLY.

                                  This endorsement mod¡f¡es insurance provided under the following:

                                            COMMERCIAL GENERAL LIABILITY COVERAGE PART



     Paragraph 2. a of Section ll        -'WHO       lS AN INSURED" is replaced by the following:

      a.    Your "employees", other than your "executive officers", but only for acts within the scoþe of their employment by you
            or while performing duties related to the conduct of your business. However, no i'èmployee" is an insured for:

            (1)    "Personal and Advertising injury":
                                                                                                       ':         I



                   a.)    To you, to your partners or members (if you are a partnership or joint venture), or to a co-"employee"
                          while in the course of his or her employment or while performing dúties related to the conduct of your
                          business;

                   b.)    To the spouse, child, parent, brother or sister of the òo-lemployee" as a consequence of paragraph
                          (1   Xa) above;

                   c.)    For which there is an obligation to share damages with or repay someone else who must pay damages
                          because of the injury described in paragraphs (1 )(a) or (b) above;.

            (2)    "Bodily injury" or "personal and advertising injury; arising out of his or her providing or failing to provide
                   professional health care services.

            (3)    "Property damage" to property:

                   (a)    Owned, occupied or used by,

                   (b)    Rented to, in the care, custody or control of, or over which physical control is being exercised for any
                          purpose by

      you, any of your "employees" or, if you are a partnership or joint venture, by any partner or member.




                                                                                                            Authorized Representative




                                                                   tn
              Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 42 of 57
POLIGY NUMBER: HDO G24940354                                                                                                                                       ENDT, #4


                                                                 ALIENATED PREMISES
  Named    lnsured M-I       , L. L. C.                                                                                    Endorsement Number
                                                                                                                           4
  Policy Symbol        Policy Number                Policy Period                                                          Effective Date of Endorsement
  HDO              c24940354                        04/oL/20t0 to                  04/oL/2OLL
  lssued By (Name of lnsurance Company)
  ACE    American Insurance                   Companv
 lnsert the policy number. The rema¡nder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy.



              THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                            This endorsement modifies insurance provided under the following:

                                             COMMERCIAL GENERAL LIABILITY COVERAGE FORM


  Paragraph     ()   of A.2.j. of Section l, Coverages is deleted.




                                                                                                                                Authorized Agent




LD-6X26 Ptd. ln U.S.A.
           Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 43 of 57
POLICY NUMBER: HDO G24940354                                                                                                                                ENDT. #5



                                                           AMENDMENÏ OF CONDITIONS

  Named lnsured                                                                                                    Endorsement Number
  M-r,     T..T,.c.                                                                                                5
  Policy Symbol            Policy Number             Policy Period                                                 Effective Date of Endorsement
  HDO                      c24940354                 04/oL/20L0 to 04/0L/20LL
  lssued By (Name of lnsurance Company)
  ACE    American Insurance                   Company
  lnsert the policy nuqber. The remainder of the information is to be completed only when this endorsement is issued subsequent to the Þreoaration of the oolicv.



                       THIS ENDORSEMENT CHANGES YOUR POLICY. PLEASE READ IT CAREFULLY.

                                  This endorsement mod¡fies insurance provided under the following:

                                           COMMERCIAL GENERAL LIABILITY COVERAGE PART



    The following are added to paragraph 2. Duties ln The Event of Occurrence, Claim or Suit of Section lV                                       -   Commercial
    General Liabil ity Conditions:

    e.    lt is agreed that knowledge of an occurrence by any of your agents, servants or employees shall not constitute
          knowledge by you unless one of your executive officers or anyone responsible for administering your insurance
          program has received such notice from the agent, servant or employee.

    The following is added to paragraph 6. Representations of Section lV                     -   Comrnercial General Liability Conditions:

    d.    Your failure to disclose all hazards existing as of the inception date of the policy shall not prejudice you with respect
          to the coverage afforded by this policy, provided such failure or omission is not intentional and you did not know
          about such hazards prior to the commencement of the policy period.




                                                                                                           Authorized Representative




                                                                   n              perm
           Case 4:10-cv-02931 Document 1-1                          Filed in TXSD on 08/16/10 Page 44 of 57
POLICY NUMBER: HDO G24940354                                                                                                      ENDT.    #6




                               GoNSTRUCT|ON PROJECT(S) GENERAL AGGREGATE LtMtT

  Named Insured                                                                               Endorsement Number
  M-r, L.L.C.                                                                                 6
  Policy Symbol           Pol¡cy Number      Polrcy PenoO                                     Effective Date of Endorsement
  HDO                     c24940354          04/ot/20tO        to    04/OL/20LL
  lssued By (Name of lnsurance Company)
  ACE      American Insurance             Company




                         THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                              This Endorsement modif¡es insurance provided under the followíng:

                                      COMMERCIAL GENERAL LIABILITY COVERAGE PART



     A.      Subject to and eroding the General Aggregate Limit shown in the Declarations, for all sums which the insured
             becomes legally obligated to pay as damages caused by "occurrences" under COVERAGE A (SECTION l), and for
             all medical expenses caused by accidents under COVERAGE C (SECTION l), which can be attributed only to
             ongoing operations at your construction projects away from premises owned by or rented to you (such ongoing
             operations at such construction projects are hereinafter defined as "Your Projects"):

                  1.     A separate Construction Project General Aggregate Limit applies    to all of   Your Projects, and that limit is
                 Equal to    $2,000, 000
                 2.  The Construction Project General Aggregate Limit is the most we will pay for the sum of all damages
                 under COVERAGE A, except damages because of "bodily injury" or "property damage" included in the
                 "products-completed operations hazard", and for medical expenses under COVERAGE C, which damages and
                  medical expenses can be attributed only to "Your Projects", regardless of the number of:

     a.      lnsureds;

     b.      Claims made or "suits" brought; or

     c.      Persons or organizations making claims or bringing "suits".
     o
             Any payments made under COVERAGE A for damages or under COVERAGE C for medical expenses that can be
                 attributed to "Your Projects" shall reduce the Construction Project General Aggregate Limit and shall also
                 reduce and erode the General Aggregate Limit shown in the Declarations.

             The limits shown in the Declarations for Each Occurrence, Fire Damage and Medical Expense continue to apply.
                  However, such limits will be subject to the Construction Project General Aggregate Limit, as well as the General
                 Aggregate Limit shown in the Declarations.


     B.      For all sums which the insured becomes legally obligated to pay as damages caused by "occurrences" under
             COVERAGE A (SECTION l), and for all medical expenses caused by accidents under COVERAGE C (SECTION l),
             which cannot be attributed only to "Your Projects":

      1.     Any payments made under COVERAGE A for damages or under COVERAGE C for medical expenses shall reduce
                 the amount available under the General Aggregate Limit or the Products-Completed Operations Aggregate
                 Limit, whichever is applicable; and

     2.      Such payments shall not reduce the Construction Project General Aggregate Limit.




LD-21732 (01107)                                Copyright, lnsurance Services Office, lnc., 1996                                  Pagel of2
          Case 4:10-cv-02931 Document 1-1                        Filed in TXSD on 08/16/10 Page 45 of 57



     C.    When coverage for liability arising out of the "products-completed operations hazard" is provided, any payments for
           damages because of "bodily injury" or "property damage" included in the "products-completed operations hazard" will
           reduce the Products-Completed Operations Aggregate Limit, and not reduce the General Aggregate Limit nor the
           Constructi on Proj ect General Aggregate Li mit.


     D.    lf any one or more of "Your Projects" has been abandoned, delayed, or abandoned and then restarted, or if the
           authorized contracting parties deviate from plans, blueprints, designs, specifications or timetables, the project will still
           be deemed to be the same construction project.


     E.    The provisions of Limits Of lnsurance (SECTION lll) not otherwise modified by this endorsement shall continue to
           apply as stipulated.




                                                                                              Authorized Agent




LD-21732 (01107)                               Copyright, lnsurance Services Office, lnc., 1996                                  Page2 of 2
               Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 46 of 57
POLICY NUMBER: HDO G24940354                                                                                                                                         ENDT. #7

                                          EMPLOYEE BEN EFITS LIABILITY ENDORSEMENT
    Named   lnsured     M-I, L. L. C.                                                                                       Endorsement Number
                                                                                                                            7
    Policy Symbol       Policy Number                Policy Period                                                          Effective Date of Endorsement
   HDO              e24940354                        04/OL/20t0 to 04/0L/2oLL
   lssued By (Name of lnsurance Company)
   ACE    Àmerican Insurance                   Cornpany
   lnsert the policy number. The remainder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy.


               THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                         This endorsement modifies insurance provided under the following:

                                              COMMERCIAL GENERAL LIABILITY COVERAGE FORM
   THIS ENDORSEMENT PROVIDES CLAIMS-MADE COVERAGE.

   Limits of lnsurance
          Each Claim Limit                           $     2,000,000
          Aggregate Limit                            $     2,000,000
          Retroactive Date                                 L2/OL/200s
   Deductible     Amount                             $ 1,000,000
   (lf no entry appears above, the information required to complete this endorsement will be shown ìn the Declarations as applicable to
   this endorsement.)
   INSURING      AGREEMENT                                                                                 .
                                                                                                               .




   We will pay under this endorsement those sums that the insured becomes legally obligated to pay as damages because of a claim or
   "suit" brought by any employee, former employee, or their beneficiaries or legal representatives in connection wlth any negligent
   error, omission, or breach of duty in the "administration" of your "employee benefits" programs.

   We will have the right and the duty to defend any "suit" seeking those damages. But:

         The amount we will pay for damages is limited as described in the Schedule as Limits of lnsurance;

         We may investigate and settle any claim or "suit" at our discretion; and

         Our right and duty to defend end when we have used up the applicable limit of insurance in the payment of judgments or
         settlements under this endorsement.

   This insurance applies to negligent errors, om¡ssions, breaches of duty, or misstatements only if a claim for damages is fìrst made
   against any insured during the policy period or any Extended Reporting Period we provide under the paragraph titled Extended
   Reporting Period.

   This insurance does not apply to ,negligent errors, omissions, breaches of duty, or misstatements which occurred before the
   Retroactive Date shown above, or which occur after the end of the policy period.

   WHO IS AN        INSURED                    .




   With respect to this endorsement, Section ll - Who ls An lnsured is modified to include employees only while authorized to act in the
   "administration" or your "employee benefits" programs.

   EXCLUSIONS

   lnsurance under this endorsement does not apply to any claim or "su¡t" arising out of:

         any dishonest, fraudulent, criminal or malicious act;

         any "Bodily lnjury," "Personal lnjury," "Advertising lnjury," or "Property Damage";

              claim for failure of performance of contract bV anv lnsurer:




LD-9863a (10/96) Printed in U.S.A.                                                                                                                                    Page 1 of 3
               Case 4:10-cv-02931 Document 1-1                            Filed in TXSD on 08/16/10 Page 47 of 57


           any obl¡gation of the insured under a workers' compensation, disability benefits or unemployment compensation law or any
           similar law;
           any termination of employment;

           any failure of stock to perform as represented by you;

           any advice given by you to your "employees" to participate or not to participate in stock subscription plans; or

           any actual or alleged error or omission or breach of duty, committed or alleged to have been committed by a trustee, in the
           discharge of fiduciary duties, obligations or responsibilities imposed by the Federal Employee Retirement lncome Security Act of
           1974 or Title X of the Consolidated Omnibus Budget Reconciliation Act of 1985 (Public Law 99-272) or Section 9319 of the
           Omnibus Budget Reconciliation Act of 1986 (Public Law 99-509) or any amendments to these Acts.

    LIMITS OF INSURANCE

   The Limits of lnsurance shown in the Schedule of this endorsement and the rules below, fix the most we will pay regardless of the
   number of:

           lnsureds;

           Claims made or "suits" brought; or

           Persons or organizations making claims or bringlng "suits".

   The Aggregate Limit is the most we will pay for the sum of all damages under this endorsement.

   The Each Claim Limit is the most we will pay for damages arising out of any one claim or "suit".

   The Limits of lnsurance apply separately to each consecutive annual period and to any remaining period of less than 12 months,
   starting with the beginning of the policy period shown in the Declarations, unless the policy period is extended after issuance for an
   additional period of less than 12 months. ln that case, the additional period will be deemed part of the last preceding period for
   purposes of determining the Limits of lnsurance.

   DEDUCTIBLE

   A Deductible in the amount in the Schedule of this endorsement applies to each claim covered by this endorsement. We will
   subtract this amount from the amount of damages payable fór each claim.

   ADDITIONAL DEFINITIONS

   The following additional definitions are added to Sectiôn V      -   Def¡nitions:

       "Employee benefits" means group life insurance, group accident or health insurance, profit sharing plans, pension plans,
       "employee" stock subscription plans, "employee" travel, vacation, or savings plans, workers compensation, unemployment
       insurance, social security and disability benefits insurance, and any other similar benefit program.

       "Administration" means any of the following acts that you do or authorize a person to do:

               Counseling "employees", other,than giving legal advice, on "employee benefits" programs;

               lnterpreting your "employee benefits" programs;

               Handling records for your "employee benefits" programs; and

               Effecting enrollment, termination or cancellation of "employees" under your "employee benefits" programs.

       "Administration" does not include:

               The failure of performance of any contract by any insurer;

              The failure of any investment plan to perform as represented by an insured;

              The inability of "employee benefit" programs to meet their obligation due to insolvency.




LD-9863a                                                                                                                           Page 2 of   3
             Case 4:10-cv-02931 Document 1-1                       Filed in TXSD on 08/16/10 Page 48 of 57

   EXTENDED REPORTING PERIOD

   1.      We will automatically provide an Extended Reporting Period as described in paragraph 2. and 3. below if:

           a.   This endorsement is cancelled or not renewed; or

           b.   We renew or replace this endorsement with insurance that:

                 (1)    Has a Retroactive Date later than the date shown on this endorsement; or

                 (2)    Does not apply to errors, omissions, breaches of duty, or misstatements on a claims-made basis-

   2.      The Extended Reporting Period does not extend the policy period or change the scope of coverage provided. lt applies only to
           claims for errors, omissions, breaches of duty, or misstatements that occur before the end of the policy period but not before
           the Retroactive Date shown on this endorsement.

           Once in effect, the Extended Reporting Period may not be cancelled.

   3.      The Extended Reporting Period is automatically provided without additional charge. This period starts with the end of the
           policy period and lasts for Five years.

           The Extended Reporting Period does not apply to claims that are covered under any subsequent insurance you purchase, or
           that would be covered but for exhaustion of the amount of insurance applicable to such claims.

   4.      The Extended Reporting Period does not reinstate or increase the Limits of lnsurance.




                                                                                                      Authorized Agent




LD-9863a                                                                                                                          Page 3 of   3
              Case 4:10-cv-02931 Document 1-1                                  Filed in TXSD on 08/16/10 Page 49 of 57
POLICY NUMBER: HDO G24940354                                                                                                                     ENDT. #8


                                                           EXCLUSION             -   ASBESTOS
     Named   lnsured M-I , L.I,. C.                                                                                   Endorsement Number
                                                                                                                      I
     Policy Symbol               Policy Number                 Policy Period                                          Eff. Date of Endorsement
     HDO                      c24940354                        04/OL/2OL0 to                04/0L/20LL
     lssued By (Name of lnsurance Company)
     ACE    American Insurance                Companv
    ¡nserttheoolicvnumber. Theremainderoftheinformationistobecompletedonlvwhenthisendorsementisissuedsubsequenttothepreparationofthe



              THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.


                                   This endorsement modifies insurance provided under the following:

                            COMMERCIAL GENERAL LIABILITY COVERAGE FORM
                                         FARM COVERAGE FORM
                                    LIQUOR LIABILITY COVERAGE FORM
                     OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE FORM
                                  POLLUTION LIABILITY COVERAGE FORM
                       PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE FORM
                             RAILROAD PROTECTIVE LIABILITY COVERAGE FORM
                      SPECIAL PROTECTIVE AND HIGHWAY LIABILITY POLICY . NEW YORK
                                                                                                         :',
    This insurance does not apply to any loss, demand, claim or "suit" arising out of or related in any way to
    asbestos or asbestos-containing materials.




                                                                                                                     Authorized Agent




LD-3R16 (Ed. 3/87) Printed in   U.S.A. Reprinted in part with permission of lnsurance   Serv¡ce Office, lnc., 1985
             Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 50 of 57
POLICY NUMBER: HDO G24940354                                                                                                                                 ENDT. #9


                                          EXCLUSION
                    EXTREMELY LOW FREQUENCY ELECTROMAGNETIC FIELDS IELF.EMF
    Namedlnsured        M-I,      L.T,.C.                                                                                Endorsement Number
                                                                                                                         9
    Policy Symbol       Policy Number                       Policy Period                                                Effective Date of Endorsemenl
    HDO                 G24940354                            04/oL/2OL0 to 04/OL/2OLt
    lssued By (Name of lnsurance Company)
    ACE    American Insurance                   Company
    lnsert the policy number. The remainder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy.




              THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                  This endorsement mod¡f¡es insurance prov¡ded under the following:

                                    COMMERCIAL GENERAL LIABILITY COVERAGE FORM
                                                  FARM COVERAGE
                            OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE FORM
                                  PRODUCTS/COMPLETED OPERATIONS COVERAGE FORM
                                    RAILROAD PROTEGTIVE LIABILITY COVERAGE FORM
                             SPECIAL PROTECTIVE AND HIGHWAY LIABILITY POLICY- NEW.YORK



     This insurance does not apply to, and we shall have no duty of any kind with respect to, any injury, damage,
     expense, cost, loss, liability or legal obligation arisíng out of or allegedly ar¡sing òut of, or in any way related to, any
     exposure, other than an instantaneous or abrupt exposure that,results in electrocution, electric shock or skin
     burning, to "extremely low frequency electromagnetic fields," or "ELF-EMF."

     "Extremely low frequency electromagnetic fields," or "ELF-EMF," means the 60-Hertz power frequency electric and
     magnetic fields or invisible lines of force that occur wherever electricity is present.

     This exclusion applies, but is not limited, to any injury, damage, expense, cost, loss, liability or legal obligation to
     trest for, monitor, abate, weaken, control or take any other remedial action w¡th respect to "ELF-EMF"

     The addition of this endorsement does not imply that other policy provisions, including but not limited to any
     pollution exclusion, do not othen¡vise preclude or exclude coverage for "ELF-EMF" related injury, damage,
     expense, cost, loss, liability or legal obligation.




                                                                                                                                Author¡zed Agent




LD-8R38 (1/94) Printed in U.S.A.
             Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 51 of 57
POLICY NUMBER: HDO G24940354                                                                                                                                 ENDT. #10


                                                                     EXCLUSION               .   LEAD
   Named    lnsured     M-I, L. L. C.                                                                                      Endorsement Number
                                                                                                                           10
   Policy Symbol        Policy Number                Policy Period                                                         Effective Date of Endorsemenl
   HDO              e24940354                        04/0L/20t0             to      04/0L/20LL
   lssued By (Name of lnsurance Company
   ACE    American Insurance                   Company
   lnsert the policy number. The remainder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy



               THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                    This endorsement modif¡es insurance provided under the following:

                                           COMMERC¡AL GENERAL LIABILITY FORM
                                                 FARM COVERAGE FORM
                              OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE FORM
                                PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE FORM
                                      RAILROAD PROTECTIVE LIABILITY COVERAGE FORM
                               SPECIAL PROTECTIVE AND HIGHWAY LIABILITY POLICY - NEW YORK

                                                        THE COMBINE POLICY _ SECTION II
                                                      COMMERCIAL FARM POLICY _ SEGTION I¡
                                                      FARMERS PACKAGE POLICY - SECTION II


   This insurance does not apply to, and we shall have no duty of any kind with respect to, any injury, damage, expense,
   cost, loss, liability or legal obligation arising out of or allegedly arís¡ng out of or in any way related to the toxic properties
   ofleadorlead-containingproductS,mater¡alSorSUbStanceS.

   This exclusion applies to all forms of lead, including but not limited to solid, liquid, vapor and fumes.
                                                                                       t,
   This exclusion applies, but is not limited, to any injury, dãmãge, expense, cost, loss, liability or legal obligation to test
   for, monitor, abate, remove, or take any other remedial action with respect to lead or lead-containing products, materials
   or substances.

   The addition of this endorsement does not lmply that other policy provisions, including but not limited to any pollution
   exclusion, do not also exclude coverage for lead-related injury, damage, expense, cost, loss, liability or legal obligation.




                                                                                                                                Authorized Agent




LD-4S35 (Ed. 6/92) Ptd. ln U.S.A.
           Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 52 of 57
POLICY NUMBER: HDO G24940354                                                                                                                               ENDT.    #11




                                                                     MTBE EXCLUSION

  Named lnsured                                                                                                    Endorsement Number
  M-r, L.L.C.                                                                                                      11
  Policy Symbol           Policy Number             Policy Period                                                  Effective Date of Endorsement
  HDO                     c24940354                 04/oL/20L0 to 04/oL/20]-L
  lssued By (Name of lnsurance Company)
  ACE    American Insurance                   Company
  lnsert the ool¡cv number. The remainder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy.



                        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                  This endorsement mod¡f¡es insurance provided under the following:

                                           COMMERCIAL GENERAL LIABIL¡TY COVERAGE PART




     This insurance does not apply to any injury, damage, expense, cost, loss, demand, claim, liab'ility or legal obligation arislng
     out of, resulting from or in any way related to actual, alleged or threatened discharge, dispersal, seepage, migration,
     release, escape, spill, leak, handling, sale, distribution, manufacture, remediation, disposal, monitoring, testing,
     investigation, treatment, neutralization or detoxifìcation of Methyl-Tertiary-Butyl Ether or Methyl-Tert-Butyl Ether ("MTBE");
     or any product, substance, or wastes containing MTBE; or any daughter or degrádation products of MTBE.

      The addition of this endorsement does not imply that other policy provisions, inc[r.rding but not limited to any pollution
      exclusion, do not also exclude coverage for MTBE related injury, damage, expense, cost, loss, liability, or legal obligation.


      All otherterms and conditions of this policy remain unchanged.




                                                                                                            Authorized Representative




                                                                    n              permrssron                              nc.,
           Case 4:10-cv-02931 Document 1-1
POLICY NUMBER: HDO G24940354
                                                                              Filed in TXSD on 08/16/10 Page 53 of 57
                                                                                                                                                 ENDT. #I2


                          NON.CONTRIBUTORY ENDORSEMENT FOR ADDITIONAL INSUREDS

  Named lnsured                                                                                                  Endorsement Number
  M-I, L.L.C.                                                                                                    L2
  Policy Symbol           Policy Number             Policy Period                                                Effective Date of Endorsement
  HDO                     e24940354                 04/0L/20L0 Èo 04/0L/2OLL
  lssued By (Name of lnsurance Company)
  ACE    American fnsurance                  Company
        the policy number. The rqmainder of the information is to be completed onlv when this endorsement is




                        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                               COMMERCIAL GENERAL LIABILITY COVERAGE


                                                                             Schedule

    Oroanization                                                                                                       Additional lnsured Endorsement
    A1I persons or entities added as
    additional insureds through an
    endorsement with the term "Additional
    Insured" in the tit.le.




                 (lf no information is filled in, the schedule shall read: "Al! persons or entities added as additional insureds
                                    through an endorseihent with the term ;'Additional lnsured', in the tiile)

    For organizations that are listed in the Schedule above that are also an Additional lnsured under an endorsement attached
    to this policy, the following is added to Section lV.4.a:

            lf other insurance is available to an insured we cover under any of the endorsements listed or described above (the
            "Additional lnsured") for a loss we cover under this policy, this inõurance will apply to such loss
                                                                                                                on a primary basis ànd
            we will not seek contribution from the other insurance available to the Additional lnsured.




                                                                                                               Authorized Agent
            Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 54 of 57
POLICY NUMBER: HDO G24940354                                                                                                                               ENDT. #13


                                                NONOWNED WATERCRAFT EXCEPTION

   Named    lnsured M-I       ,   &. L. C.                                                                                  Endorsement Number
                                                                                                                            13
   Policy Symbol        Policy Number                Policy Period                                                          Effective Date of Endorsement
   HDO              c24940354                        04/oL/2OL0             to      04/OL/2oLI
   lssued By (Name of lnsurance Company
   ACE    American Insurance                   Company
   lnsert the policy number. The remainder of the information is to be completed only when this endorsement is issued subsequent to the preparation of the policy.



            THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                  This endorsement mod¡f¡es insurance prov¡ded under the following:

                                                   Gommercial General Liability Coverage Form


   Subparagraph (2) of Exclusion 2.g of Coverage 1.4., Bodily lnjury and Property Damage t-iáUitity is deteted in its
   entirety and replaced by the following:

            (2)     A watercraft you do not own that is:

                    (a)      Less    than 50                   feet long; and

                    (b)      Not beíng used to carry persons or property for a charge;




                                                                                                                      Authorized Agent




LD-5T98 Ptd. ln U.S.A.
         Case 4:10-cv-02931 Document 1-1                                Filed in TXSD on 08/16/10 Page 55 of 57
POLICY NUMBER: HDO G24940354                                                                                                                ENDT. #14


                                   POLLUTION EXCLUSION - COMBINATION EXCEPTION
                                          TIME ELEMENT AND NAMED PERILS

  Named lnsured                                                                                        Endorsement Number
  M-I, L.L.C.                                                                                          L4
  Policy Symbol         Policy Number               Policy Period                                      Effective Date of Endorsement
  HDO                   e24940354                   04/Ot/20L0 to 04/oL/20LL
  lssued By (Name of lnsurance Company)
  ACE    American Insurance                      Company
  lnsertthepolicynumber. Theremainderoftheillformationistobecompletedonlywhenthisendorsementis¡ssuedsubseouenttotheoreoarationofthenoticv


                      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

     This endorsement replaces any pollution exclusion and amends all insurance provided under the
     following:

                                          COMMERCIAL GENERAL LIABILITY COVERAGE FORM


     This insurance does not apply to any injury, damage, expense, cost, loss, liability or legal obligation arising out of or in any
     way related to "pollution", however caused.

     The following definitions are added to the policy:

     "Pollution" means the actual, alleged, or potential presence in or introduction into the environment of any "pollutants", if
     such "pollutants" have, or are alleged to have, the effect of making the:environment impure, harmful, oi dangerous.
     Environment includes any air, land, structure or the air therein, watercourse or water, including underground watér, and
     biota.

     "Pollutants" means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids,
     alkalis, chemicals, bacteria, virus, and waste, as defined herein.

     "Waste" means any substance that:

     a. is left over, or no longer in use, or discarded;
     b. is to be reclaimed, reconditioned or recycled; or
     c. has been removed, treated, stored ordisposed of ab partof             any environmental remediation effort.

     "Hostile fire" means a fire which, during the policy period, becomes uncontrollable or breaks out from where it was intended
     to be.

     This exclusion does not apply to "Bodily lnjury'or "Property Damage" caused by "pollution" if the "pollution":

     1. is both unexpected anO           unintenOed from Ìhe standpoint ofthe insured;
                                   :':

    2. commenced abruptly and instantaneously and can be clearly identifìed as having commenced entirely at a specific time
    on a specific date during the policy period; and

    3. is caused                            ':

    a. solely by fire, lightning,        explosion, windstorm, vandalism, malicious mischief, riot or civil commotion, sprinkler leakage,
    or collision or upset of a motor vehicle or an aircraft or arises out of "your product" included in the "products-compteiãO
    operations hazard'; or
    b.   by any peril other than those listed in subparagraph 3.a. above, provided that the discharge, dispersal, seepage,
    migration, release or escape of "pollutants":

    (1) is at or from any




                                                                permtssron                     ces                                           age
          Case 4:10-cv-02931 Document 1-1                        Filed in TXSD on 08/16/10 Page 56 of 57


     a.   premises, site or location wh¡ch is owned by or occup¡ed by, or rented or loaned to, any insured;
     or
     b.   premises, site or location on which any insured or any contractors or subcontractors working directly or indirectly on any
     insured's behalf are performing operations      if the "pollutants" are brought on or to the premises, site or location         in
     connection with such operations by such insured, contractor or subcontractor; and

     (2) is known   by any insured within 72 hours of the commencement of the "pollution"; and

     (3) is reported to us within 30 days of the commencement      of the "pollution".

     Explosion does not include:
     1. shock waves caused by aircraft, generally known as "sonic booms";
     2. electric arcing;
     3. rupture or bursting of rotating or moving parts of machinery caused by centrifugal force or mechanical breakdown;
     4. water hammer;
     5. rupture, bursting, breaking apart, collapse of pipes, tanks, vessels or containment areas;
     6. operation of a pressure release device.
     Notwithstanding anything to the contrary in the foregoing paragraphs and regardless of the cause of the "pollution", this
     policy shall not apply to:

     1. loss of, damage to or loss of use of property directly or indirectly resulting from subsurface operations of the insured,
     and/or removal of, loss or damage to subsurface oil, gas or other substance;

     2.   any injury, damage, expense, cost, loss, liability or legal obligation arising out of or'in, any:'lrr¡ay related to actual or
     alleged "pollution" or contamlnation at or from a waste site, meaning the part of any premises, site or location which is or
     was at the time used by any insured or by others for the storage, disposal,:processing or treatment of waste of any kind.
     Waste site includes but is not limited to any landfìll, pit or dumping ground, treatment,'istorage and disposal facility, lagoon
     or pond, drum storage or disposal area, disposal pipe outfall, injection well or any other repository of "waste" of any kind,
     whether permitted or not.                                                          ,
                                                                                          ,, " ,,
     Notwithstanding the foregoing, we shall have no duty to defend     "rui,", claim or proceeding arising out of or in any way
     related to "pollution".                                        "ny




                                                                                                Authorized Agent




LD-12988a (08/04)                        Reprinted with permission of lnsurance Services Office                                 Page2 of 2
            Case 4:10-cv-02931 Document 1-1                                      Filed in TXSD on 08/16/10 Page 57 of 57
POLICY NUMBER: HDO G24940354                                                                                                                               ENDT. #15


                                   PROF ESSIONAL                 LIABILITY EXCLUSION                        E      NDORSEMENT

    Namedlnsured      M-I,      L.L.C.                                                                              Endorsement Number
                                                                                                                    15
   Policy Symbol      Policy Number            HOilCy HeflOO                                                        Effective Date of Endorsement
   HDO                c24940354                04/OL/20L0             to      04/OL/zoLL
   lssued By (Name of lnsurance Company)
   ACE American Insurance                      Company
   lnsert the policy number. The remainder of the information is to be completed only when th¡s endorsement is issued subsequeni lo the preparation of the policy.


              THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
                                      This endorsement modifies insurance provided under the following:
                                            COMMERCIAL GENERAL LIABILITY COVERAGE FORM

   This insurance does not apply to any damages arising out of any professional services, including, but not limited to,

         A. The rendering          or failure to render:

              1. Medical,surgical,dental,x-ray,nursing,oranyotherhealthserviceortreatment,ortherelatedfurnishing
                   of food or beverages;

              2. Any cosmetic, ear piercing,    tonsorial, massage, physiotherapy, chiropody, hearing aid, optical or
                   optometrical service or treatment;

              3. Any legal advice or legal service;
                                                                                                              ',
              4. Any service or advice relating to physical fitness, including seruices                              or advice in connection with diet,
                   cardio-vascular fitness, body building or physical training program; or

              5. Any accounting, architectural,                or engineering service.           ,




         B. The furnishing or dispensing of drugs or medical, dental or surgical supplies or appliances; or

         C. The handling or treatment of dead                   Uo¿ies ániiremains, including autopsies, organ donation or other
              procedures.                                                 '




                                                                                                                                 Authorized Agenl



LD-0846 (Ed. 1/89) Ptd. ln U.S.A
Case 4:10-cv-02931 Document 1-2   Filed in TXSD on 08/16/10 Page 1 of 74




       EXHIBIT A
        PilrtZ of 2
             Case 4:10-cv-02931 Document 1-2
POLICY NUMBER: HDO G24940354
                                                                            Filed in TXSD on 08/16/10 Page 2 of 74
                                                                                                                                                      ENDT.   #16



                                                    RADIOACTIVE MATTER EXCLUSION

   Named lnsured                                                                                             Endorsement Number
   M-I, L.L.C.                                                                                               L6
   Policy Symbol           Policy Number            Policy Period                                            Effective Date of Endorsement
   HDO                     e24940354                04/0L/20L0 to 04/OL/20LL
   lssued By (Name of lnsurance Company)
   ACE    A¡nerican Insurance                 Company
   lnsert the oolicv number. The remainder of the                                   this endorsement is issued subseouent to the oreDaration of the


                         THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                               This endorsement mod¡f¡es all insurance provided under the following:

                                           COMMERCIAL GENERAL LIABILITY COVERAGE PART




           SECTION l.      -   Coverages, Coverage A.      -   Bodily injury and Property Damage Liability, 2.         -   Exclusions, is amended
           to add:

           Any liability for "bodily injury'' or "property damage" ar¡s¡ng out of the actual,
           alleged or threatened exposure of person(s) or property to any radioactive matter
           or any form of radiation.

           SECTION l. - Coverages, Coverage B.            -    Personal and Advertising Liability, 2.   -   Exclusions, is amended to add:

           Arising out of the actual, alleged or threatened exposure of person(s) or property to any radioactive matter or any
           form of radiation.




                                                                                                            Authorized Agent




LD-21733 (01107\ Printed in U.S.A.                                                                                                                    Page 1 of   1



                               lncludes copyrighted material of lnsurance Services Office, lnc. with its permission
           Case 4:10-cv-02931 Document 1-2
POLICY NUMBER: HDO G24940354
                                                                                Filed in TXSD on 08/16/10 Page 3 of 74
                                                                                                                                                           ENDT. #17


                                                NOTIFICATION OF PREMIUM ADJUSTMENT

  Named lnsured                                                                                                    Endorsement Number
  M-r, r..L.c.                                                                                                     L7
  Policy Symbol            Policy Number            Policy Period                                                  Effective Date of Endorsement
  HDO                      e24940354                04/OL/20L0 to                   04/oL/20LL
  lssued By (Name of lnsurance Company)
  ACE    American fnsurance                   Company
  lnsert the policy number. The rema¡nder of the ¡nformation is to be completed only when this endorsement is ¡ssued subsequent to the Dreoaration of the oolicv.



                        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                This endorsement modif¡es insurance provided under the following:

                         CONTRACTUAL INDEMNITY COVERAGE PART OCCURRENCE CORRIDOR
                          CONTRACTUAL INDEMNITY COVERAGE PART SLIDING ATTACHMENT
                       CONTRACTUAL IN DEMNITY COVERAGE PART DEDUCTI BLE REIM BU RSEMENT
                                COMMERCIAL GENERAL LIABILITY COVERAGE PART                                                           :



                            EXCESS COMMERCIAL GENERAL LIABILITY COVERAGE FORM
                                        BUSINESS AUTO COVERAGE PART
                               EXCESS COMMERCIAL AUTOMOBILE COVERAGE PART
                                          TRUCKERS COVERAGE PART                                                     :


                                       EXCESS TRUCKERS COVER,AGE PART
                                        MOTOR CARRIER GOVERAGE PART
                                           GARAGË COVERAGE PART




     For the states and lines of business in which regulatory approval has been granted for the NCCI Large Risk Alternative
     Rating Option, the ISO Large Risk Alternative Rating Option, or the independently filed ACE Large Risk Rating plan, the
     premiums for this policy will be adjusted in accordance with the Notice of Election, signed by you.




                                                                                                                Authorized Agent




                                                                                                                                                             age
     Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 4 of 74
 POLICY NUMBER: HDO c24940354                                                                             ENDT. #I8



                                                                                coMMERGTAL cENERAL
                                                                                                           0'âååiü
        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                          ADDITIONAL INSURED - DESIGNATED
                              PERSON OR ORGANIZATION

This endorsement modifies insurance provided under the following:

     COMMERCIAL GENERAL LIABILITY COVERAGE PART

                                                        SCHEDULE

Name Of Additional lnsured
Any person or organizaÈion whom you have agreed to include as an additional
insured under a writÈen contract, provided such contract vras execuÈed prior
to the date of loss -




lnformation required to                          if not shown above, will be shown in the Declarations.


Section ll - Who ls An Insured is amended to include
as an additional insured the person(s) or organization(s)
shown in the Schedule, but only with respect to liability
for "bodily injury", "property damage" or "personal and
advertising injury" caused, in whole or in part, by your
acts or omissions or the acts or omisslons of those acting
on your behalf:

A.   ln the peformance of your ongoing operations;:or

B.   ln connection with your premises owned by or rented
     to you.




cG 20 26 07 04                            @   ISO Properties, lnc. , 2004                                 Page 1 of   'l
  Case 4:10-cv-02931 Document 1-2                             Filed in TXSD on 08/16/10 Page 5 of 74

POLICY NUMBER: HDO G24940354                                                                                      ENDT. #19



                                                                                     COMMERCIAL       G   ENERAL LIABI LITY
                                                                                                             cG 20 10 07 04

          THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                 ADDITIONAL INSURED - OWNERS, LESSEES OR
                   CONTRACTORS - SGHEDULED PERSON OR
                               ORGANIZATION

This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART

                                                          SCHEDULE

          Name Of Additional Insured Person(s)
                  Or Orqanizationls):                                       Location(s) Of Govered Operations
California Steel Industries, fnc.




lnformation required to complete this Schedule, if not shown above, will be shown in the Declarations.


A.   Section ll - Who ls An lnsured is amended to                      B.   With respect to the insurance afforded to
     include as an additional insured the person(s) or                      these additional insureds, the following
     organization(s) shown in the Schedule, but only with                   additional exclusions apply:
     respect to liability for "bodily injury", "property
     damage"         or   "personal   and advertising   injury"             This insurance does not apply to "bodily injury''
     caused, in whole or in part by:                                        or "property damage" occurring after:

     l.   Your acts or omissions; or                                        1. All work, including materials, parts or
                                                                               equipment furnished in connection with
     2. The acts or omissions of those acting on your                            such work, on the project (other than
           behalf;                                                               service, maintenance      or   repairs)   to be
                                                                                 performed by or on behalf of the additional
     in the performance of your ongoing operations for                           insured(s) at the location of the covered
     the     additional insured(s)       at the     location(s)                  operations has been completed; or
     designated above.
                                                                            2.   That portion of "your work" out of which the
                                                                                 injury or damage arises has been put to its
                                                                                 intended use by any person or
                                                                                 organization other than another contractor
                                                                                 or subcontractor engaged in        performing
                                                                                 operations for a principal as a part of the
                                                                                 same project.




cG 20 10 07     04                            @   ISO Properties, lnc. , 2004                                      Page 'l of   1
  Case 4:10-cv-02931 Document 1-2                             Filed in TXSD on 08/16/10 Page 6 of 74

POLICY NUMBER: HDO G24940354                                                                                      ENDT. #20



                                                                                       COM MERCIAL GENERAL LIABILITY
                                                                                                              cG 20 15 07 04

        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                               ADDITIONAL INSURED                          - VENDORS
This endorsement modifies insurance provided under the following:

     COMMERCIAL GENERAL LIABILIry COVERAGE PART
     PRODUCTS/COM PLETED O PERATIO NS LIABI LITY COVERAG E PART

                                                          SCHEDULE

       Name Of Additional lnsured Person(s) Or
                    Oroanizationlsì lVendorì                                             Your Products
Àny Vendor whom you have agreed to                                TBD
include as an additional insured
under a written contracÈ, prov5.ded
such contract was executed prior to
the date of l-oss.




lnformation required to complete this Schedule. if not shown above. will be shown in the Declarations.


A.    Section ll - Who ls An lnsured is amended to                               c. Any physical or chem¡cal change in the
      include as an additional insured any person(s) ,,or                           product made intentionally by the
      organization(s) (referred to below as v-endór) shown                            vendor;
      in the Schedule, but only with respect to "bodily
      injury" or "property damage" arising.out: of t'your                        d.   Repackaging, except when unpacked
      products" shown    in the Schedule whiCh are                                    solely for the purpose of inspection,
      distributed or sold in the regular couise of the                                demonstration,     testing, or the
      vendor's business, subjecl to the following                                     substitution of parts under instructions
      additional exclusions:                                                          from the manufacturer, and          then
                                                                                      repackaged in the original container;
      1.   The     insurance afforded the vendor does not
           apply io:                                                             e. Any failure     to make such inspections,
                                                                                      adjustments, tests or servicing as the
           a.   "Bodily injury" or'lproperty damage" for which                        vendor has agreed to make or normally
                the vendor is obligated to pay damages by                             undertakes to make in the usual course
                reason of the assumption of liability in a                            of business, in connection with the
                contract or agreement. This exclusion does                            distribution or sale of the products;
                not apply to liability for damages that the
                vendor would have in the absence of the                          f. Demonstration, installation, servicing or
                contract or agreement.                                                repair operations, except           such
                                                                                      operations performed at the vendor's
           b. Any express warranty unauthor¡zed by you;                               premises in connection with the sale of
                                                                                      the product;




cG 20 15 07 04                                 @   ISO Properties, lnc. , 2004                                     Page 1     o'f   2
  Case 4:10-cv-02931 Document 1-2                             Filed in TXSD on 08/16/10 Page 7 of 74



        g.    Products which, after distribution or sale by                 (2) Such inspections, adjustments, tests or
              you, have been labeled or relabeled or used                       servicing as the vendor has agreed to
              as a container, part or ingredient of any other                   make or normally undertakes to make in
              thing or substance by or for the vendor; or                      the usual     course    of   business,   in
                                                                               connection with the distribution or sale of
        h. "Bodily injury" or "property damage" arising out                    the products.
            of the sole negligence of the vendor for its
              own acts or omissions or those of its                  2. This insurance does not apply to any insured
              employees or anyone else acting on its                     person or organization, from whom you have
              behalf. However, this exclusion does not                  acquired such products, or any ingredient, part
              apply to:                                                 or container, entering into, accompanying or
                                                                        containing such products.
             (1)   The exceptions contained in         Sub-
                   paragraphs d. or f.; or




Page 2 of 2                                  @   ISO Properties, lnc.,20M                                cG 20   15 07 04
       Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 8 of 74


POLICY NUMBER: HDO G249403s4                                                                              ENDT.    #21



                                                                               COMMERCIAL GENERAL LIABILITY
                                                                                                      cG21 70 01 08

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT GAREFULLY.

CAP ON LOSSES FROM CERTIFIED AGTS OF TERRORISM
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIABI LITY COVERAG E PART
   RAILROAD PROTECTIVE LIABILITY COVERAGE PART
   UNDERGROUND STORAGE TANK POLICY


lf aggregate insured losses attributable to terrorist        "Certified act of terrorism'l means an act that is certi-
acts certified under the federal Terrorism Risk lnsur-       fied by the Secretary of the Treasury, in concurrence
ance Act exceed $100 billion in a Program year               with the Secretary of State and the Attorney General
(January 1 through December 31) and we have met              of the United States, to be an act of terrorism pursu-
our insurer deductible under the Terrorism Risk ln-          ant to the féderal Terrorism Risk lnsurance Act. The
surance Act, we shall not be liable for the payment of       criteria contained in the Terrorism Risk lnsurance Act
any portion of the amount of such losses that ex-            for a I'certified act of terrorism" include the following:
ceeds $100 billion, and in such case insured losses
up to that amount are subject to pro rata allocation in
                                                             l.   The act resulted in insured losses in excess of 95
                                                                  million in the aggregate, attributable to all types of
accordance with procedures established by the Sec-
                                                                  insurance subject to the Terrorism Risk lnsurance
retary of the Treasury.                                           ,:Act; and
                                                             2.   The act is a violent act or an act that is dangerous
                                                                  to human life, property or     infrastructure and is
                                                                  committed by an individual or individuals as part
                                                                  of an effort to coerce the civilian population of the
                                                                  United States or to influence the policy or affect
                                                                  the conduct of the United States Government by
                                                                  coercion.




cG21 70 01 08                             @ ISO Properties,   |nc.,2007                                   Pagelofl         tr
          Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 9 of 74


POLICY NUMBER: HDO G24940354                                                                                 ENDT. #22


                                                                                 COMMERCIAL GENERAL LIABILITY
                                                                                                cG 24 17 10 01

          THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY.

                       CONTRACTUAL LIABILITY                             - RAILROADS
This endorsement modifies insurance provided under the following:


     COMMERCIAL GENERAL LIABILITY COVERAGE PART

                                                        SCHEDULE

 Scheduled       Railroad:                                            Designated Job Síte:
 !Íhere required by written contract, provided
 such contract !'ras executed prior to the date
 of loss.


 (lf no entry appears above, information required to complete this endorsement will be shown in the Declarations
as applicable to this endorsement.)


With respect to operations performed for, or affecting,               Paragraph f. does not include that part of any
a Scheduled Railroad at a Designated Job Site, the                    contract or agreement:
definition of "insured contract" in the Definitions sec-
tion is replaced by the following:
                                                                      (1) That indemnifies an architect, engineer or
                                                                          surveyor for injury or damage arising out
9.   "lnsured Contract" means:                                           of:
     a. A contract for a lease of premises. However,                     (a) Preparing, approving or failing to pre-
          that portion of the contract for a lease of prem-                  pare or approve maps, shop drawings,
          ises that indemnifies any person or organiza-                        opinions, reports, surveys, field orders,
          tion for damage by fire to premises while                            change orders or drawings and specifi-
          rented to you or temporarily occupied by you                         cations; or
          with permission of the owner is not an "insured
          contract";
                                                                        (b) Giving directions        or instructions, or
                                                                               failing to give them, if that is the primary
     b. A sidetrack agreement;                                                 cause of the injury or damage;
     c. Any easement or license agreement;                           (2) Under which the insured, if an         architect,
     d. An obligation, as required by ordinance,         to              engineer or surveyor, assumes liability for
          indemnify a municipality, except in connection                 an injury or damage arising out of the in-
          with work for a municipality;                                  sured's rendering or failure to render pro-
                                                                         fessional services, including those listed in
     e.   An elevator maintenance agreement;                             Paragraph (1) above and supervisory, in-
     f.   That part of any other contract or agreement                   spection, architectural or engineering activi-
          pertaining to your business (including an in-                  ties.
          demnification of a municipality in connection
          with work performed for a municipality) under
          which you assume the tort liability of another
          party to pay for "bodily injury" or "property
          damage" to a third person or organization. Tort
          liability means a liability that would be imposed
          by law in the absence of any contract          or
          agreement.


cG 24 17 10 01                                O ISO Properties, lnc., 2000                                   Pagelofl         tr
     Case 4:10-cv-02931 Document 1-2                Filed in TXSD on 08/16/10 Page 10 of 74


POLICY NUMBER: HDO        G24940354                                                              ENDT. #23
                                                                        COMMERCIAL GENERAL LIABILITY
                                                                                       cG 02 24 10 93

      THIS ENDORSEMENT GHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                   EARLIER NOTICE OF CANCELLATION
                           PROVIDED BY US
This endorsement modifies insurance provided under the following:


   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIABI LITY COVERAGE PART

                                                 SCHEDULE


Number of Days' Notice 30

(lf no entry appears above, information required to complete this Schedule will be shown in the Declarations as
applicable to this endorsement.)


For any statutorily permitted reason other than nonpayment of premium, the number of days required for notice
of cancellation, as provided in paragraph 2. of either the CANCELLATION Common Policy Condition or as
amended by an applicable state cancellation endorsement, is increased to the number of days shown in the
Schedule above.




CG 02   241093                 Copyright, lnsurance Services Office, lnc., 1992                    Pagelofl       tr
       Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 11 of 74


 POLICY NUMBER: HDO c24940354                                                                            ENDT. #24


                                                                              COMMERCIAL GENERAL LIABILITY
                                                                                                    cG21471207
       THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

         EMPLOYMENT.RELATED PRACTICES EXCLUSION
This endorsement modifies insurance provided under the following:

     COMMERCIAL GENERAL LIABILITY COVERAGE PART

A.   The following exclusion is added to paragraph 2.,        B. The following exclusion is added to paragraph 2.,
     Exclusions of Section I - Goverage A - Bodily               Exclusions of Section I - Goverage B             per-
     lnjury And Property Damage Liability:                       sonal And Advertising tnjury Liability:
                                                                                                              -
     This insurance does not apply to:                           This insurance does not apply to:
     "Bodily injury" to:                                         "Personal and advertising injury" to:
  (1) A person arising out of any:                              (1) A person arising out of any:
     (a) Refusalto employ that person;                             (a) Refusal to empioy that person;
     (b) Termination of that person's employment;                  (b) Terminaiøn of that person's employment;
           or                                                            or            :
                                                                                           ":'
       (c) Employment-related practices,      policies,               (c) Employment-related practices,      policies,
           acts or omissions, such as coercion, demo-                    acts or:omissions, such as coercion, demo-
           tion, evaluation, reassignment, discipline,            ,      tion, evaluation, reassignment,   discipline,
           defamation, harassment, humiliation, dis-                     defamation, harassment, humiliation, dis-
           crimination  or malicious prosecution di-                     crimination or malicious prosecution di-
          rected at that person; or                                    rected at that person; or
  (2) The spouse, child, parent, brother or sister of          (2) The spouse, child, parent, brother or sister of
      that person as a consequence of "bodily injury"              that person as a consequence of "personal and
      to that person at whom any of the employment-                advertising injury" to that person at whom any
      related practices described in paragraphs (a),               of the employment-related practices describeð
      (b), or (c) above is directed.                               in Paragraphs (a), (b), or (c) above is directed.
   This exclusion applies:                                      This exclusion applies:
  (1) Whether the injury-causing event described in            (1) Whether the injury-causing event described in
      Paragraphs (a), (b) or (c) above occurs before               Paragraphs (a), (b) or (c) above occurs before
      employment, during employment or after em-                   employment, during employment or after em-
      ployment of that person;                                     ployment of that person;
  (2) Whether the insured may be liable as an em-              (2) Whether the insured may be liable as an em-
      ployer or in any other capacity; and                         ployer or in any other capacity; and
  (3) To any obligation to share damages with or               (3) To any obligation to share damages with or
      repay someone else who must pay damages                      repay someone else who must pay damages
       because of the injury.                                         because of the injury.




cG 21 47 1207                              O ISO Properties, lnc., 2006                                  Pagelofl        tr
     Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 12 of 74


POLICY NUMBER: HDO G24940354                                                                              ENDT. #25


                                                                               COMMERCIAL GENERAL LIABILITY
                                                                                                      cG21 7301 08

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

        EXCLUSION OF CERTIFIED ACTS OF TERRORISM
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRO DUCTS/COM PLETED OPERATI ONS LIAB LITY COVERAG E PART
                                                       I


   RAILROAD PROTECTIVE LIABILITY COVERAGE PART
   UNDERGROUND STORAGE TANK POLICY


A. The following exclusion is added:                              2. "Certified   act of terrorism" means an act that is
   This insurance does not apply to:
                                                                     certified by the:Secretary of the Treasury, in
                                                                     concurrence with'the Secretary of State and
   TERRORISM                                                         the Attorney General of the United States, to
   "Any injury or damage" arising, directly or indi-                 be an act of terrorism pursuant to the federal
   rectly, out of a "certified act of terrorism".                    Terrorism Risk lnsurance Act. The criteria con-
                                                                     tained in the Terrorism Risk lnsurance Act for
B. The following definitions are added:
                                                                     g "certified act of terrorism" include the follow-
   1. For the purposes of this endorsement,          "any            tng:
       injury or damage" means any injury or damage
       covered under any Coverage Part to which this
                                                                     a.   The act resulted in insured losses in excess
                                                                          of $5 million in the aggregate, attributable
       endorsement is applicable, and includes but is                     to all types of insurance subject to the Ter-
       not limited to "bodily injury", "property dam-                     rorism Risk lnsurance Act; and
       age", "personal and advertising injury", j'injury"
       or "environmental damage" as may'be defined                   b. The act is a violent act or an act that       is
       in any applicable Coverage Part.                                   dangerous to human life, property or infra-
                                                                          structure and is committed by an individual
                                                                          or individuals as part of an effort to coerce
                                                                          the civilian population of the United States
                                                                          or to influence the policy or affect the con-
                                                                            duct of the United States Government by
                                                                            coercion.




cG21 7301 08                                   O ISO Properties, lnc.,2O07                                  Pagelofl       tr
     Case 4:10-cv-02931 Document 1-2                   Filed in TXSD on 08/16/10 Page 13 of 74


POLICY NUMBER: HDO G24940354                                                                          ENDT. #26


                                                                          COMMERCIAL GENERAL L¡ABILITY
                                                                                         cG 21 35 10 0r

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

      EXCLUSION               - COVERAGE C - MEDICAL PAYMENTS
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART


                                                 SCHEDULE

              And Location Of Premises Or Classification:




(lf no entry appears above, information required to complete this endorsement will be shown in the Declarations
as applicable to this endorsement.)


With respect to any premises or classification shown         2. The following is added to Section I -       Supple-
in the Schedule:                                                 mentary Payments:
   1. Section I - Coverage C - Medical    Payments               h.   Expenses incurred by the insured for first
      does not apply and none of the references to it                 aid administered to others at the time of an
      in the Coverage Part apply: and                                 accident for "bodily injury" to which this in-
                                                                      surance applies.




cG 21 35 10   01                         O ISO Properties, lnc., 2000                                  Page 1 of   1
         Case 4:10-cv-02931 Document 1-2                 Filed in TXSD on 08/16/10 Page 14 of 74


POLICY NUMBER: HDO c24940354                                                                           ENDT. #27
                                                                            COMMERCIAL GENERAL LIABILITY
                                                                                                   cG 22 43 07 98

         THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.


                     EXCLUSION - ENGINEERS, ARCHITECTS OR
                       SU RVEYORS PROFESSIONAL LIABI LITY
This endorsement modifies insurance provided under the following:

        COMMERCIAL GENERAL LIABILITY COVERAGE PART.


The following exclusion is added to Paragraph 2.,             Professional services include:
Exclusions of Section I - Goverage A - Bodily
lnjury And Property Damage Liability               and        1.   The preparing, approving, or failing to prepare or
                                                                   approve, maps, shop drawings,           opinions,
Paragraph 2., Ëxclusions of Section I     - Goverage               reports, surveys, field orders, change orders or
B   -   Personal And Advertising Injury Liability::
                                                                   drawings and specifications; and
This insurance does not apply to "bodily injury",
"property damage" or "personal and advertising                2. Supervisory, inspection, architectural or engineer-
injury" arising out of the rendering of or failure to             ing activities.
render any professional seruices by you or any
engineer, architect or surveyor who is either
employed by you or performing work on your behalf
in such capacity.




cG 22 43 07 98                  Copyright, lnsurance Services Qffice, lnc., 1997                  Pagelofl          tr
      Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 15 of 74


POLICY NUMBER: HDO G24940354                                                                             ENDT. #28
                                                                               COMMERCIAL GENERAL LIABILITY
                                                                                              cG 22 33 07 98

       THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                  EXCLUSION - TESTING OR CONSULTING
                        ERRORS AND OMISSIONS
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART

The following exclusion is added to Paragraph 2.,               2.   The reporting of or reliance upon any such test,
Exclusions of Section I - Coverage A - Bodily                        evaluation, consultation or advice; or
lnjury And Property Damage Liability and Para-                  3,     An error, omission, defect or deficiency in ex-
graph 2., Exclusions of Section I - Goverage B -
                                                                     perimental data or the insured's interpretation of
Personal And Advertising lnjury Liability:
                                                                     that                                         data.
This insurance does not apply to "bodily injury", "prop-
erty damage" or "personal and adverlising           injury"
arising out of:
1. An error, omission, defect or deficiency   in:
   a. Any test performed; or
   b. An evaluation, a consultation      or advice given,
       by or on behalf of any insured;




cG 22 33 07 98                  Copyright, lnsurance Services Office, lnc., 1997                          Page   I of 1
     Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 16 of 74


POLICY NUMBER: HDO G24940354                                                                              ENDT. #29


                                                                                   COMMERCIAL GENERAL LIABILITY
                                                                                                       cG 21 67 12 04

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                        FUNGI OR BACTERIA EXCLUSION
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART

A. The following exclusion is added to Paragraph        2.   B. The following exclusion is added to Paragraph 2.
                                                             Exclusions of Section I - Goverage B - Personal
   Exclusions of Section I - Coverage A         -   Bodily
                                                             And Advertising lnjury Liability:
   Injury And Property Damage Liability:
   2. Exclusions                                                2. Exclusions
      This insurance does not apply to:                               This insurance does not apply to:
      Fungi Or Bacteria                                               Fungi Or Bacteria
      a. "Bodily injury" or "property damage" which                   a. "Personal and advertising injury"         which
         would not have occurred, in whole or in                           would nót have taken place, in whole or in
         part, but for the actual, alleged or threat-                      part, but for the actual, alleged or threat-
         ened inhalation of, ingestion of, contact                         ened inhalation of, ingestion of, contact
         with, exposure to, existence of, or presence                      with, exBosure to, existence of, or presence
         of, any "fungi" or bacteria on or within a                        of any "fungi" or bacteria on or within a
         building or structure, including its contents,                    building or structure, including its contents,
         regardless of whether any other cause,
                                                                 ,,        regardless of whether any other cause,
         event, material or product contributed con-                       event, material or product contributed con-
         currently or in any sequence to such injury              ,        currently or in any sequence to such injury.
          or damage.                                                  b. Any loss, cost or expense arising out of the
      b. Any loss, cost or expenses arising out of                       abating, testing for, monitoring, cleaning
          the abating, testing for, monitoring,, clean-                    up, removing, containing, treating, detoxify-
          ing up, removing, containing, treating; de-                      ing, neutralizing, remediating or disposing
          toxifying, neutralizing, remediating or dis-                     of, or in any way responding to, or assess-
          posing of, or in any way responding to, or                       ing the effects of, "fungi" or bacteria, by
          assessing the effects of, 'lfungi,!'or bacteria,                 any insured or by any other person or en-
          by any insured or by any other'person or                         tity.
          entitY.                                            C. The following definition is added to the Defini-
      This exclusion does not aþþly to any "fungi" or           tions Section:
      bacteria that are, are on, or are contained in, a           "Fungi" means any type or form of fungus, includ-
      good or product íntended for bodily consump-                ing mold or mildew and any mycotoxins, spores,
      tion.                                                       scents or byproducts produced or released by
                                                                  fungi.




cG 21 67 12 04                               @ ISO Properties,   lnc., 2003                                 Pagelofl        tr
     Case 4:10-cv-02931 Document 1-2                 Filed in TXSD on 08/16/10 Page 17 of 74


POLICY NUMBER: HDO G24940354                                                                           ENDT. #30


                                                                          COMMERCIAL GENERAL LIABILITY
                                                                                                  cG 227410      01


     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

     LIMITED GONTRACTUAL LIABILITY COVERAGE FOR
           PERSONAL AND ADVERTISING INJURY
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART

                                                  SCHEDULE

Designated Contract Or Agreement:




(lf no entry appears above, information required to complete this endorsement will be shown in the Declarations
as applicable to this endorsement.)


A. With respect to the contract or agreement desig-                      (2) Liability for "personal and advertising
   nated in the Schedule above, Subparagraph e. of                           injury" if:
   Paragraph 2. Exclusions of Section I - Cover-                            (a) The liability pertains to your busi-
   age B - PersonalAnd Advertising lnjury Liabil-                               ness and is assumed in the des-
   ity is replaced by the following:                                            ignated contract or agreement
   2. Exclusions                                                                shown in the Schedule in which
      This insurance does not apply to:
                                                                                you assume the tort liability of
                                                                                another. Tort liability means a li-
       e. Contractual Liability                                                 ability that would be imposed by
          "Personal and advertising injury" for which                           law in the absence of any con-
          the insured has assumed liability in a con-                            tract or agreement;
          tract or agreement.                                               (b) The "personal and        advertising
          This exclusion does not apply to:                                      injury" occurs subsequent to the
                                                                                 execution of the designated con-
            (l) Liability for damages that the insured                           tract or agreement shown in the
                would have in the absence of the
                                                                                 Schedule; and
                 contract or agreement; or
                                                                            (c) The "personal and advertising
                                                                                injury" arises out of the offenses
                                                                                of false arrest, detention or im-
                                                                                 prisonment.




cG 2274 10   01                           O ISO Properties, lnc., 2001                                  Page 1   of2   tr
     Case 4:10-cv-02931 Document 1-2                          Filed in TXSD on 08/16/10 Page 18 of 74




              Solely for the purposes of liability so as-            5. The indemnitee and the insured ask us to
              sumed in such designated contract or                         conduct and control the defense of that indem-
              agreement, reasonable attorney fees                          nitee against such "suit" and agree that we can
              and necessary litigation expenses in-                        assign the same counsel to defend the insured
              curred by or for a party other than an in-                   and the indemnitee; and
              sured are deemed to be damages be-                     6.    The indemnitee:
              cause of "personal injury" described in
              Paragraph A.2.e.(2)(c) above, provided:                      a. Agrees in writing to:
                  (i)   Liability to such party for, or for                  (1) Cooperate with us in the investigation,
                        the cost of, that party's defense                           settlement or defense of the "suit";
                        has also been assumed in the                            (2) lmmediately send us copies        of     any
                        same designated contract or                                 demands, notices, summonses or legal
                        agreement; and                                              papers received in connection with the
                (ii)    Such attorney fees and litigation                           "suit";
                        expenses are for defense of that                        (3) Notify  any other insurer whose coverage
                        party against a civil or alternative                        is available to the indemnitee; and
                        dispute resolution proceeding in
                        which damages to which this in-
                                                                                (4) Cooperate with us with respect to coor-
                        surance applies are alleged.
                                                                                    dinating other,applicable insurance
                                                                                   available to the indemnitee; and
B. With respect to the contract or agreement desig-
   nated in the Schedule above, the following is                           b.   Provides us with written authorization to:
   added to Section I - Supplementary Payments                                  (1) Obtain records and other information
   - Coverages A And B:                                                             related to the "suit"; and
   lf we defend an insured against a "suit" and an in-                          (2) Conduct and control the defense of the
   demnitee of the insured is also named as a party                                 indemnitee in such "suit".
   to the "suit", we will defend that indemnitee if all of           So long as the above conditions are met, attor-
   the following conditions are met:                                 neys fees incurred by us in the defense of that in-
   1. The "suit" against the indemnitee seeks dam-                   demnitee, necessary litigation expenses incurred
      ages for which the insured has assumed tort li-                by,us and necessary litigation expenses incurred
      ability of the indemnitee in a designated con-                 by the indemnitee at our request will be paid as
      tract or agreement shown in the Schedule, if                   Supplementary Payments. Notwithstanding the
      such liability pertains to your business. Tort li-             provisions of Paragraph A.2.e.(2) of this en-
      ability means a liability that would be imposed                dorsement, such payments will not be deemed to
      by law in the absence of any contract or                       be damages for "personal and advertising injury"
      agreement;                                                     as described in Paragraph 4.2.e.(2)(c) above and
                                                                    will not reduce the limits of insurance.
   2. This insurance applies to such liability          as-
      sumed by the insured;                                         Our obligation to defend an insured's indemnitee
                                                                    and to pay for attorneys fees and necessary litiga-
   3. The obligation to defend, or the cost of          the
                                                                    tion expenses as Supplementary Payments ends
      defense of, that indemnitee, has also been as-
                                                                    when:
      sumed by the insured in the same designated
      contract or agreement;                                         1. We have used up the applicable limit of insur-
   4. The allegations in the "suit" and the informa-                    ance in the payment of judgments or settle-
                                                                           ments; or
      tion we know about the offense are such that
      no conflict appears to exist between the inter-                2.    The conditions set forth above, or the terms of
      ests of the insured and the interests of the in-                     the agreement described in Paragraph 6.
      demnitee;                                                            above, are no longer met.




Page 2 of 2                                    @ ISO Properties,   lnc.,   2001                                  cG22741001 tr
     Case 4:10-cv-02931 Document 1-2                          Filed in TXSD on 08/16/10 Page 19 of 74


POLICY NUMBER: HDO G24940354                                                                                 ENDT.    #31



                                                                                 COMMERCIAL GENERAL LIABILITY
                                                                                                cG 21 96 03 0s

      THIS ENDORSEMENT GHANGES THE POLICY. PLEASE READ IT CAREFULLY.

            SILICA OR SILICA.RELATED DUST EXCLUSION

This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART



A. The following exclusion is added to Paragraph 2.,              B. The following exclusion is added to Paragraph 2.,
   Exclusions of Section | - Coverage A
   lnjury And Property Damage Liability:
                                                 -   Bodily          Exclusions of Section I - Coverage B - Per-
                                                                     sonal And Advertising Injury Liability:
   2. Exclusions                                                     2. Exclusions
      This insurance does not apply to:                                 This insurance does not apply to:
      Silica Or Silica-Related Dust                                     Silica Or Silica-Related Dust
      a. "Bodily injury" arising, in whole or in part,                  a.   "Personal and advertising injury" arising, in
         out of the actual, alleged, threatened or                           wholê,or in part, out of the äctlal, alleled,
           suspected inhalation of, or ingestion of, "sil-                   threatened or suspected inhalation of, in-
           ica" or "silica-related dust".                                    gestion of, contact with, exposure to, exis-
      b.   "Property damage" arising, in whole or in                         tence of, or presence of, "silica" or "silica-
           part, out of the actual, alleged, threatened                      related dust".
           or suspected contact with, exposure to, ex-                  b. Any loss, cost or expense arising, in whole
           istence of, or presence of, "silica" or "silica-                or in part, out of the abating, testing for,
           related dust".                                                    monitoring, cleaning up, removing, contain-
      c. Any loss, cost or expense arising, in whole                         ing, treating, detoxifying, neutralizing,
         or in part, out of the abating, testing for,                     remediating or disposing of, or in any way
           monitoring, cleaning up, removing, contain-                    responding to or assessing the effects of,
           ing, treating, detoxifying, neutralizing,                      "silica" or "silica-related dust", by any in-
           remediating or disposing of, or in any way                     sured or by any other person or entity.
           responding to or assessing the effects of,            C. The following definitions are added to the Defini-
           "silica" or "silica-related dust", by any in-            tions Section:
           sured or by any other person or entity.
                                                                    1. "Silica" means silicon dioxide (occurring         in
                                                                        crystalline, amorphous and impure forms), sil-
                                                                        ica particles, silica dust or silica compounds.
                                                                     2. "Silica-related  dust" means a mixture or com-
                                                                        bination of silica and other dust or particles.




cG 21 96 03 05                                @ ISO Properties,    |nc.,2004                                  Pagelofl        tr
     Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 20 of 74

 POLICY NUMBER: HDO G24940354                                                                                 ENDT. #32
                                                                                      COM   M   ERCIAL GENERAL LIABILITY
                                                                                                           cG 24 04 05 09


            WAIVER OF TRANSFER OF RIGHTS OF RECOVERY
                      AGAINST OTHERS TO US

This endorsement modifies insurance provided under the following:

  COMMERCIAL GENERAL LIABILITY COVERAGE PART
  PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART

                                                       SCHEDULE

Name Of Person Or Organization:
 Any person or organization against whom you have agreed to waive your right of
 recovery in a wriÈten contract, provided such contract vras executed prior to the
 date of loss.
 lnformation required to complete this Schedule, if not shown above, will be shown in the Declarations.

 The following is added to Paragraph 8. Transfer Of
 Rights Of Recovery Against Others To Us of
 Section lV - Conditions:

 We waive any right of recovery we may have against
 the person or organization shown in the Schedule
 above because of payments we make for injury or
 damage arising out of your ongoing operations or
 "your work" done under a contract with that person
 or organization and included in the "products-
 completed operations hazard". This waiver applies
 only to the person or organization shown in the
 Schedule above.




cG 24 04 05 09                            @   lnsurance Services Office, lnc., 2008                             Page'l of   1
 Case 4:10-cv-02931 Document 1-2                           Filed in TXSD on 08/16/10 Page 21 of 74
POLICY NUMBER: HDO G24940354                                                                                 ENDT. #33


                                                                                                           rL 09 85 01 08


     THIS ENDORSEMENT IS ATTACHED TO AND MADE PART OF YOUR POLICY IN
      RESPONSE TO THE DISCLOSURE REQUIREMENTS OF THE TERRORISM RISK
    INSURANCE ACT. THIS ENDORSEMENT DOES NOT GRANT ANY COVERAGE OR
   CHANGE THE TERMS AND CONDITIONS OF ANY COVERAGE UNDER THE POLICY.

                  DISCLOSURE PURSUANT TO TERRORISM RISK
                              INSURANCE ACT
                                                        SCHEDULE

Terrorism Premium (Certified Acts)       $   0

This premium is the total Certified Acts premium attributable to the following Coverage Part(s), Goverage
Form(s) and/or Policy(s):




Additional information, if any, concerning the terrorism premium:




lnformation reouired to comolete this Schedule. if not shown above. will be shown in the Declarations.


A. Disclosure Of Premium                                          C-'Cap On lnsurer Participation ln Payment Of
                                                                     Terrorism Losses
   ln   accordance with       the federal Terrorism     Risk
   lnsurance Act, we are required to provide you with a              lf aggregate insured losses attributable to terrorist
   notice disclosing the portion of your premium, if any,            acts certified under the Terrorism Risk lnsurance
   attributable   to   coverage for terrorist acts certifìed         Act exceed $100 billion in a Program Year
                                    Act. The portion
   under the Terrorism Risk lnsurance                                (January 1 through December 31) and we have met
   of your premium attributable to such coverage is                  our insurer deductible under the Terrorism Risk
   shown in the Schedule of this endorsement or in the               lnsurance Act, we shall not be liable for the
   policy Declarations.                                              payment of any portion of the amount of such
                                                                     losses that exceeds $100 billion, and in such case
B. Disctosure Of Federal Participation ln Payment Of                 insured losses up to that amount are subject to pro
   Terrorism Losses                                                  rata allocation in accordance with procedures
                                                                     established by the Secretary of the Treasury.
   The United States Government, Department of the
   Treasury, will pay a share of terrorism losses insured
   under the federal program. The federal share equals
   85% of that portion of the amount of such insured
   losses that exceeds the applicable insurer retention.
   However, if aggregate insured losses attributable to
   terrorist acts ceÉifìed under the Terrorism           Risk
   lnsurance Act exceed $100 billion in a Program Year
   (January 1 through December 3'l ), the Treasury shall
   not make any payment for any portion of the amount
   of such losses that exceeds $100 billion.




tL 09 85 01 08                                      @   ISO Properties, lnc., 2007                            Page 1 of   1
          Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 22 of 74
POLICY NUMBER: HDO G24940354                                                                                                               ENDT. #34



                                 TRADE OR ECONOMIC SANCTIONS ENDORSEMENT

   Named lnsured                                                                                 Endorsement Number
   M-I, L.L.C.                                                                                   34
   Policy Symbol       Policy Number       Policy Period                                         Effective Date of Endorsement
   HDO                 e24940354           04/0L/20L0 to 04/0L/2OLL
   lssued By (Name of lnsurance Company)
   ACE   Àmerican Insurance            Company
                                                                    when thís endorsement is issued subseouent to the oreDaration of the



                     THIS ENDORSEMENT GHANGES THE POLICY. PLEASE READ IT CAREFULLY.




           This insurance does not apply to the extent that trade or economic sanctions or other laws or regulations prohibit
           us from providing insurance, including, but not limited to, the payment of claims. All other terms and conditions of
           policy remain unchanged.




                                                                                               Authorized Agent




ALL-21101 (1 1i06) Printed in U.S.A.                                                                                                       Page 1 of   'l
      Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 23 of 74



POLICY NUMBER: HDO G24940354                                                                           ENDT. #35



                                                                                                      tL 00 21 09 08

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                  NUCLEAR ENERGY LIABILITY EXGLUSION
                            ENDORSEMENT
                                                    (Broad Form)


This endorsement modifies insurance provided under the following:

    COMMERCIAL AUTOMOBILE COVERAGE PART
    COMMERCIAL GENERAL LIABILITY COVERAGE PART
    FARM COVERAGE PART
    LIQUOR LIABILITY COVERAGE PART
    MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
    OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
    POLLUTION LIABILITY COVERAGE PART
    PRODUCTS/COM PLETED OPERATI ONS LIAB I LITY COVERAGE PART
    RAILROAD PROTECTIVE LIABILITY COVERAGE PART
    UNDERGROUND STORAGE TANK POLICY


L   The insurance does not apply:                               B. Under any Medical         Payments coverage, to
    A. Under any Liability Coverage, to "bodily injury"              expenses incurred with respect to "bodily in-
                                                                     jury", resulting from the "hazardous propefties"
       or "property damage":
                                                                     of "nuclear material" and arising out of the op-
      (1) With respect to which an "insured" under                   eration of a "nuclear facility" by any person or
             the policy is also an insured under a nu-               organization.
             clear energy liability policy issued by Nu-
             clear Energy Liability lnsurance Associa-          C.   Under any Liability Coverage, to "bodily injury"
             tion, Mutual Atomic Energy Liability                    or "property damage" resulting from      "hazard-
                                                                      ous properties" of "nuclear material", if:
             Underwriters, Nuclear lnsurance Associa-
             tion of Canada or any of their successors,              (1) The "nuclear material" (a) is at any "nuclear
             or would be an insured under any such pol-                  facility" owned by, or operated by or on be-
             icy but for its termination upon exhaustion                 half of, an "insured" or (b) has been dis-
             of its limit of liability; or                               charged or dispersed therefrom;
       (2)   Resulting from the "hazardous properties"               (2) The "nuclear material" is contained in
             of "nuclear material" and with respect to                   "spent fuel" or "waste" at any time pos-
             which (a) any person or organization is re-                 sessed, handled, used, processed, stored,
             quired to maintain financial protection pur-                transported or disposed of, by or on behalf
             suant to the Atomic Energy Act of 1954, or                  of an "insured"; or
             any law amendatory thereof, or (b) the "in-             (3) The "bodily injury" or "property damage"
             sured" is, or had this policy not been issued               arises out of the furnishing by an "insured"
             would be, entitled to indemnity from the                    of services, materials, parts or equipment
             United States of America, or any agency                     in connection with the planning, construc-
             thereof, under any agreement entered into                   tion, maintenance, operation or use of any
             by the United States of America, or      any                "nuclear facility", but if such facility is lo-
             agency thereof, with any person or organi-                  cated within the United States of America,
             zation.                                                     its territories or possessions or Canada, this
                                                                         exclusion (3) applies only to "property
                                                                         damage" to such "nuclear facility" and any
                                                                         property thereat.




tL 00 21 09 08                                O ISO Properties, lnc.,2007                                  Pagel    of2    tr
       Case 4:10-cv-02931 Document 1-2                  Filed in TXSD on 08/16/10 Page 24 of 74



                                                                   (c) Any equipment or device used for the
2.   As used in this endorsement:                                      processing, fabricating or alloying of "spe-
     "Hazardous properties" includes radioactive, toxic                cial nuclear material" if at any time the total
     or explosive properties.                                          amount of such material in the custody of
                                                                       the "insured" at the premises where such
     "Nuclear material" means "source material", "spe-                 equipment or device is located consists of
     cial nuclear material" or "by-product material".                  or contains more than 25 grams of pluto-
     "Source material", "special nuclear material", and                nium or uranium 233 or any combination
     "by-product material" have the meanings given                     thereof, or more than 250 grams of ura-
     them in the Atomic Energy Act of 1954 or in any                   nium 235;
     law amendatory thereof.                                       (d) Any structure, basin, excavation,    premises
     "Spent fuel" means any fuel element or fuel com-                  or place prepared or used for the storage or
     ponent, solid or liquid, which has been used or                   disposal of "waste";
     exposed to r.adiation in a "nuclear reactor".              and includes the site on which any of the forego-
     "Waste" means any waste material (a) containing            ing is located, all operations conducted on such
     "by-product material" other than the tailings or           site and all premises used for such operations.
     wastes produced by the extraction or concentra-            "Nuclear reactor" means any apparatus designed
     tion of uranium or thorium from any ore processed          or used to    sustain nuclear' fission    in a   self-
     primarily for its "source material" content, and (b)       supporting chain reaction or to contain a critical
     resulting from the operation by any person or or-          mass of fissionable material.
     ganization of any "nuclear facility" included under
     the first two paragraphs of the definition of "nu-         "Property damager: includes all forms of radioac-
     clear facility".                                           tive contamination of property.
     "Nuclear facility" means:
       (a) Any "nuclear reactor";
       (b) Any equipment or device designed or used
           for (1) separating the isotopes of uranium
           or plutonium, (2) processing or utilizing
           "spent fuel", or (3) handling, processing or
           packaging "waste";




Page 2 of 2                                  O ISO Properties, |nc.,2007                             rL0021    0908      tr
     Case 4:10-cv-02931 Document 1-2                           Filed in TXSD on 08/16/10 Page 25 of 74


 POLICY NUMBER: HDO G24940354                                                                                  ENDT. #36


                                                                                     COMMERGIAL GENERAL LIABILITY
                                                                                                            cG 21 30 05 09
      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

 ALASKA RECORDING AND DISTRIBUTION OF MATERIAL
    OR INFORMATION IN VIOLATION OF LAW EXCLUSION
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART


A. Exclusion q. underParagraph 2. Exclusions of                    B. Exclusion p. under Paragraph 2. Exclusions of
   Section I - Coverage A - Bodily lnjury And                          Section I - Coverage B - Personal And Adver-
   Property Damage Liability is replaced by the fol-                   tising lnjury Liability is reptaced by the following:
   lowing:
                                                                       2. Exclusions
   2. Exclusions
                                                                          This insurance does not apply to:
      This insurance does not apply to:
                                                                          p.   Recordíng And Distribution Of Material
      q.     Recording And Distribution Of Material                            Oi lnformation In Violation Of Law
             Or lnformation ln Violation Of Law
                                                                              "Personal,and advertising injury" arising out
             "Bodily injury" or "property damage" arising                     of ány action or omission that violates or is
             out of any action or omission that violates                      alleged to violate:
             or is alleged to violate:
                                                                             (1) The Telephone Consumer protection
           (l) The Telephone Consumer             protection                      Act (TCPA), including any amendment
                Act (TCPA), including any amendment                               of or addition to such law; or
                of or addition to such law; or
                                                                             (21 The CAN-SPAM Act of 2003, inctuding
         (2) The CAN-SPAM Act of 2003, inctuding                   ,              any amendment of or addition to such
             any amendment of or addition to such                                 law; or
                law;
                                                                             (3) The Fair Credit Reporling Act (FCRA),
         (3) The Fair Credit Reporting Act (FCRA),                               and any amendment of or addition to
             and any amendment of or: addition to                                such law, including the Fair and Accu-
             such law, including the Fair and Accu-                              rate Credit Transaction Act (FACTA); or
                rate Credit Transaction Act (FACTA); or
                                                                            (a) Any federal, state or local statute, ordi-
        (a) Any federal, state or local statute, ordi-                          nance or regulation, other than the
            nance or regulation, other than the                                 TCPA, CAN-SPAM Act of 2003 or
            TCPA, CAN-SPAM Act of 2003 or                                        FCRA and their amendments and addi-
                FCRA and their amendments and addi-                              tions, that addresses, prohibits, or limits
                tions, that addresses, prohibits, or límits                      the printing, dissemination,     disposal,
                the printing, dissemination, disposal,                           collecting, recording, sending, transmit-
                collecting, recording, sending, transmit-                        ting, communicating or distribution of
                ting, communicating or distribution of                           material or information.
                material or information.




cG 21 30 05 09                             @ lnsurance Services Office, lnc., 2008                             Pagelofl        tr
       Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 26 of 74


POLICY NUMBER: HDO c24940354                                                                            ENDT. #37


                                                                                  COMMERCIAL GENERAL LIABILITY
                                                                                                 cG 26 70 r0 01

       THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

            ALASKA CHANGES                               - DEFINITION OF METATAG
This endorsement modifíes insurance provided under the following:

     COMMERCIAL GENERAL LIABILITY COVERAGE PART

A.   The following is added to Section V
                                       Definitions:
                                            -
     "Metatag" means hidden or embedded text or code that is not seen by persons viewing the web site, but that
     operates to attract search engines to that site.
B. Exclusion l. under Paragraph 2. of Section        I   - Goverage B - Personal And Advertising   lnjury is replaced
     by the following:
     2. Exclusions
        This insurance does not apply to:
            l.   Unauthorized Use Of Another's Name Or Product
                                                                                       :


                 "Personal and advertising injury" arising out of the unauthorized use of another's name or product in
                 your e-mail address, domain name or "metatag", or any other similar tactics to mislead another's
                 potential customers.




cG 26 70 10 01                                  @ ISO Properties,   lnc., 200'l                          Pagel   ofl     tr
     Case 4:10-cv-02931 Document 1-2                        Filed in TXSD on 08/16/10 Page 27 of 74



POLICY NUMBER: HDO G24940354                                                                                ENDT. #38

                                                                                 COMMERCIAL GENERAL LIABILITY
                                                                                                         cG 26 97 03 06

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                        ALASKA WAR LIABILITY EXCLUSION
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART

                    Paragraph 2., Exclusions of
A. Exclusion i. under                                            B. Exclusion   o. under Paragraph 2., Exclusions of
   Section I - Coverage A - Bodily lnjury And                        Section I - Coverage B - Personal And Adver-
   Property Damage Liability is replaced by the fol-                 tising lnjury Liability is replaced by the follow-
   lowing:                                                           ing:
   2. Exclusions                                                     2. Exclusions
      This insurance does not apply to:                                 This insurance does not apply to:
       i.    War                                                        o. War
             "Bodily injury" or "property damage", how-                       "Personal iànd advertising injury", however
             ever caused, arising out of:                                     caused, arising out of:
            (1) War, including undeclared or civil war;                      1t¡ War, inclùding undeclared or civil war;
                or                                                               Of    ,:,



            (2) Warlike action by a military force,       in-                (2) Warlike action by a military force, in-
                  cluding action in hindering or defending             ':'       cluding action in hindering or defending
                  against an actual or expected attack, by                    against an actual or expected attack, by
                  any government, sovereign or other au-                      any government, sovereign or other au-
                  thority using military personnel or other             ,     thority using military personnel or other
                  agents; or                                          '       agents; or
            (3)   Insurrection, rebellion, revolution,                    (3) lnsurrection, rebellion, revolution,
                  usurped power, or action taken by gov-                      usurped power, or action taken by gov-
                  ernmental authority in hindering or de-                     ernmental authority in hindering or de-
                  fending against any of these.                               fending against any of these.
                                                                  c. Exclusion h. under Paragraph 2., Exclusions of
                                                                     Section I    -   Coverage C   -   Medical Payments
                                                                     does not apply. Medical payments due to war are
                                                                     now subject to Exclusion g. of Paragraph 2., Ex-
                                                                     clusions of Section I - Goverage C - Medical
                                                                     Payments since "bodily injury" arising out of war
                                                                     is now excluded under Coverage A.




cG 26 97 03 06                                    O ISO Properties, lnc., 2005                                Pagelofl      tr
     Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 28 of 74


POLICY NUMBER: HDO G24940354                                                                            ENDT. #39


                                                                                                      rL 01 21 06 03

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                 ALASKA CHANGES                             - ATTORNEY'S FEES
This endorsement modifies insurance provided under the following:

   COMMERCIAL AUTOMOBI LE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY _ LEGAL LIABILITY COVERAGE FORM
   COMMERCIAL PROPERTY - MORTGAGE HOLDER'S ERRORS AND OMISSIONS COVERAGE FORM
   EM PLOYMENT-RELATED PRACTICES LIAB LITY COVERAGE PART
                                                     I


   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART
                                                                                        :




   PROFESSIONAL LIABILITY COVERAGE PART
   RAILROAD PROTECTIVE LIABILITY COVERAGE PART

                                                         SCHEDULE

 Attorney's Fees
 for a Judoment of $                                          Additional Premium $
(lf no entry appears above, information required to complete this endorsement will be shown in the Declarations
as applicable to this endorsement.)


ln any "suit" we defend in Alaska, our obligation un-          B. However, if a premium and a judgment amount
der Supplementary Payments to pay all costs taxed                   are shown in the Schedule, we will pay, instead of
against the "insured" is amended by the following:                  the attorney's fees provided in Paragraph        A.
                                                                    above, that portion of the attorney's fees awarded
A. We will pay that portion of the attorney's fees                  as costs which do not exceed the amount allowed
   awarded as costs which does not e-rceed the
                                                                    for a contested case in Civil Rule 82 for the judg-
   amount allowed for a 'contested cáse in the                      ment amount shown in the Schedule.
   schedule of attorney's'fees contained in Alaska
   Civil Rule 82 for a judgment equal to the applica-
   ble Limit of lnsurance.




tL 01 21 06 03                             O ISO Properties, lnc., 2002                                    Pagelofl       tr
     Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 29 of 74



POLICY NUMBER: HDO G24940354                                                                           ENDT. #40



                                                                                                     tL 02 80 09 08

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                   ALASKA CHANGES - CANCELLATION
                          AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   cAPrrAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COMPLETED OPERATI ONS LIAB LITY COVERAGE PART
                                                     I




A. The Gancellation Common Policy Condition              is         b.    20 days before the effective date of cancel-
   replaced by the following:                                             lation if we cancel for:
   l. The first Named lnsured shown in the Declara-                      (1) Nonpayment of premium; or
      tions may cancel this policy by mailing to us                      (2) Failure or refusal of the insured to pro-
      advance written notice of cancellation.                                 vide the information necessary to con-
   2. We may cancel this policy by mailing to you                             firm exposure or determine the policy
      and the agent or broker of record written notice                         premium; or
      of cancellation. Such notice, stating the reason              c. 60 days before the effective date of cancel-
      for cancellation, must be sent by first class                     lation if we cancel for any other reason.
      mail at least:
                                                                 3. We will mail our notice to your last known ad-
       a. 10 days before the effective date   of cancel-            dress and the last known address of the agent
          lation if we cancel for:                                  or broker of record.
         (1) Conviction of the insured of a crime                4. Notice of cancellation will state the effective
             having as one of its necessary elements                date of cancellation. The policy period will end
             an act increasing a hazard insured                     on that date.
             against; or
                                                                 5. A post office certificate of mailing or certified
         (2) Fraud or material misrepresentation     by             mail receipt will be sufficient proof of mailing
             the insured or a representative of the in-             of notice.
             sured in obtaining the insurance or by
             the insured in pursuing a claim under
             this policy; or




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        Case 4:10-cv-02931 Document 1-2                       Filed in TXSD on 08/16/10 Page 30 of 74



   6.    lf this policy is cancelled, we will return any                            (b) Within 45 days of your request to
         premium refund due to the agent or broker of                                      cancel;
         record, or directly to the first Named lnsured,                            whichever is later.
         or, if applicable, to the premium finance com-
         pany. lf:                                                                  lf the policy is selected for audit, we will
                                                                                    complete the audit within 45 days of re-
         a. We cancel, the refund will be the pro rata                              ceipt of the request for cancellation. The
            unearned premium. The refund will be re-                                refund will be returned within 45 days of
            turned or credited before the effective date                            completion of an audit, or the effective
            of cancellation. However, if cancellation is                            date of cancellation, whichever is later.
            for:
                                                                      B. The following is added and supersedes any provi-
           (1) Nonpayment of premium;                                    sion to the contrary:
           (2) Conviction of the insured of a crime                      Nonrenewal
                   having as one of its necessary elements
                   an act increasing a hazard insured                    1. lf we decide not to renew this policy, we will
                   against;                                                   mail written notice of nonrenewal, by first class
                                                                              mail, to you and the agent or broker of record
           (3) Discovery of fraud or material misrepre-                       at least 45 days before:
                   sentation made by the insured or a rep-
                   resentative of the insured in obtaining                    a. The expiration date; or
                   the insurance or by the insured in pursu-                  b. The anniversary date if this policy has been
                   ing a claim under the policy; or                              written for more than one year or with no
           (4)     Failure or refusal of the insured to pro-                     fixed expiration date.
                   vide the information necessary to con-                2.   We need not mail notice of nonrenewal if:
                   firm    exposure      or     necessary    to
                                                                              a. We have manifested in good faith our will-
                determine the policy premium;
                                                                                 ingness to renew; or
            any unearned premium shall be returned or
            credited within 45 days after the cancella-
                                                                              b. The first Named lnsured   has failed to pay
                                                                                 any premium required for this policy; or
            tion notice is given; or
        b. The first       Named lnsured cancels, the re-
                                                                              c. The firstNamed lnsured fails to pay the
                                                                                 premium required for renewal of this policy.
            fund:
           (1) Will be the pro rata unearned premium                     3. Any notice of nonrenewal will be mailed           to
                                                                              your last known address and the last known
               minus a cancellation fee of 7.5% of the
               pro rata unearned premium. However,                            address of the agent or broker of record. A
                                                                              post office certificate of mailing or certified
               we will not retain this cancellation fee if
                   this policy is cancelled:
                                                                              mail receipt will be sufficient proof of mailing
                                                                              of notice.
                 (a) And rewritten with us or in our com-
                      pany group;                                     c. The following Condition is added:
               (b) At our request;
                                                                         Notice Of Premium Or Coverage Ghanges On
                                                                         Renewal
                 (c) Becauseyou no longer have a finan-
                                                                         lf the premium to renew this policy increases more
                     cial or insurable interest in the prop-
                     erty or buSiness operation that is the
                                                                         than 10% for a reason other than an increase in
                                                                         coverage or exposure basis, or if after the renewal
                     subject of this insurance; or
                                                                         there will be a material restriction or reduction in
               (d) After the first year for a prepaid pol-               coverage not specifically requested by the
                   icy written for a term of more than                   insured, we will mail written notice to your last
                      one year; or                                       knou¡n address and the last known address of the
           (2) Will be returned or credited:                             agent or broker of record at least 45 days before:
              (a) By the effective date of cancellation;                 1. The expiration date; or
                      or                                                 2. The anniversary date if this policy has       been
                                                                              written for more than one year or with no fixed
                                                                              expiration date.




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     Case 4:10-cv-02931 Document 1-2                  Filed in TXSD on 08/16/10 Page 31 of 74



POLICY NUMBER: HDO G24940354                                                                 ENDT.    #41



                                                                          COMMERCIAL GENERAL LIABILITY
                                                                                          cG 32 34 01 05

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                CALIFORNIA CHANGES
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   ELECTRONIC DATA LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCT WITHDRAWAL COVERAGE PART
   PRO DUCTS/COM PLETED OPERATI O NS LIAB LITY COVERAGE PART
                                                  I


   UNDERGROUND STORAGE TANK POLICY

The term "spouse" is replaced by the following:
Spouse or registered domestic partner under Califor-
nia law.




cG 32 34 01 05                            @ ISO Properties,   |nc.,2004                        Page   I   of   1
          Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 32 of 74


 POLICY NUMBER: HDO G249403S4
                                                                                                              ENDT. #42



                                                                                                            tL 02 70 09 08

          THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                        CALIFORNIA CHANGES - CANCELLATION
                                 AND NONRENEWAL
 This endorsement modifies insurance provided under the following:

     CAPITAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
     COMMERCIAL AUTOMOBILE COVERAGE PART'
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL INLAND MARINE COVERAGE PART
     COMMERCIAL PROPERTY COVERAGE PART
     CRIME AND FIDELITY COVERAGE PART
     EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
     EQUIPMENT BREAKDOWN COVERAGE PART
     FARM COVERAGE PART
     LIQUOR LIABILITY COVERAGE PART                      .:
     MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
     POLLUTION LIABILITY COVERAGE PART
     PRODUCTS/COM PLETED OPERATI ONS LIABI LITY COVERAG E PART


A.   Paragraphs 2. and 3. of the Cancellation Com-                   3. All:Policies ln Effect For More Than         60
     mon Policy Condition are replaced by the follow-                   Days
     ing:
                                                                        a, lf this policy has been in effect for          more
     2.    All Policies ln Effect For 60 Days Or Less                      than 60 days, or is a renewal of a policy we
          lf this policy has been in effect for 60 days or                 issued, we may cancel this policy only upon
          less, and is not a renewal of a policy we have                   the occurrence, after the effective date of
          previously issued, we may cancel this policy by                  the policy, of one or more of the following:
          mailing or delivering to the first Named lnsúr.eð
          at the mailing address shown in the policy and
                                                                          (1) Nonpayment     of premium, including
                                                                                payment due on a prior policy we issued
          to the producer of record, advance written no-                        and due during the current policy term
          tice of cancellation, stating the reáson for can-                     covering the same risks.
          cellation, at least:
                                                                          (2)   Discovery of fraud or material misrepre-
          a. 10 days before the effective date of cancel-                       sentation by:
              lation if we cancel fór:
                                                                                (a) Any insured or his or her representa-
               (l) Nonpaymentof pr:emium; or                                        tive in obtaining this insurance; or
               (2) Discovery of fraud by:                                      (b) You or your representative in pursu-
                  (a) Any insured or his or her representa-                         ing a claim under this policy.
                        tive in obtaining this insurance; or              (3) A judgment by a court or an administra-
                  (b)   You or your representative in pursu-                  tive tribunal that you have violated a
                       ing a claim under this policy.                           California or Federal law, having as one
          b.   30 days before the effective date of cancel-
                                                                                of its necessary elements an act which
               lation if we cancel for any other reason.                        materially increases any of the risks in-
                                                                                sured against.




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    Case 4:10-cv-02931 Document 1-2                          Filed in TXSD on 08/16/10 Page 33 of 74




       (4) Discovery of willful or grossly negligent             B. The following provision is added to the Gancella-
             acts or omissions, or of any violations of             tion Common Policy Condition:
             state laws or regulations establishing                   7. Residential         Property
             safety standards, by you or your repre-
             sentative, which materially increase any                    This provision applies to coverage on                    real
             of the risks insured against.                               property which is used predominantly for resi-
                                                                         dential purposes and consisting of not more
       (5) Failure   by you or your representative to                    than four dwelling units, and to coverage on
             implement reasonable loss control re-                       tenants' household personal property in a resi-
             quirements, agreed to by you as a con-                      dential unit, if such coverage is written under
             dition of policy issuance, or which were                    one of the following:
             conditions precedent to our use of a
             padicular rate or rating plan, if that fail-                Commercial Property Coverage Part
             ure materially increases any of the risks                   Farm Coverage Part - Farm Property - Farm
             insured against.                                            Dwellings, Appurtenant Structures And House-
       (6) A determination                                               hold Personal Property Coverage Form
                                 by the Commissioner of
             lnsurance that the:                                         a. lf such coverage has been in effect for 60
             (a) Loss of, or changes in, our reinsur-                        days or less, and is not a renewal of cover-
                                                                             age we previously., issued, we may cancel
                 ance covering all or part of the risk
                would threaten our financial integrity
                                                                            this coverage for           anyz reason,     except as
                                                                             provided in b. and:'c, below.
                or solvency; or
             (b) Continuation of the policy coverage                     b. We         ñìâ!',:.¡sf cancel this policy solely be-
                                                                             cause the first Named lnsured has:
                would:
                (i)    Place us in violation of California                 1r) Áòceþted an offer of earthquake cover-
                                                                                  ,,::':â9ei OI
                       Iaw or the laws of the state where
                       we are domiciled; or                                (2i       :cail;lled or did not renew a            policy
                (ii)   Threaten our solvency.
                                                                        ,",          issued by the California Earthquake Au-
                                                                                     thority (bEA) that included an earth-
       (7) A change by you or your representative                        ' ",':      quake policy premium surcharge.
           in the activities or property of the com-
                                                                             However, we shall cancel this policy if the
           mercial or industrial enterprise, which
                                                                             first Named lnsured has accepted a new or
           results in a materially added, increased
           or changed risk, unless the added, 'in-                ,          renewal policy issued by the CEA that in-
                                                                             cludes an earthquake policy premium sur-
           creased or changed risk is included in
                                                                             charge but fails to pay the earthquake pol-
             the policy.
                                                                             icy premium surcharge authorized by                  the
     b. We will mail or deliver advance            wiitten                   CEA.
        notice of cancellation, stating the reason for
        cancellation, to the first Named lnsured, at
                                                                         c. We may not cancel such coverage solely
                                                                             because corrosive soil conditions exist on
        the mailing address shown in the       policy,
        and to the producer of record, at least:
                                                                             the premises. This Restriction (c.) applies
                                                                             only if coverage is subject to one of the fol-
       (1) 10 days before the effective date of                              lowing, which exclude loss or damage
           cancellation if we cancel for nonpay-                             caused by or resulting from corrosive soil
             ment of premium or discovery of fraud;                          conditions:
             or
                                                                           (1) Capital Assets Program Coverage                 Form
       (2) 30 days before the effective date of                                      (Output Policy);
           cancellation if we cancel for any other
             reason listed in Paragraph 3.a.
                                                                           (2) Commercial Property Coverage Part                     -
                                                                                     Causes Of Loss     -   Special Form; or
                                                                           (3) Farm Coverage Part           - Causes Of Loss
                                                                                      Form    -   Farm Property, Paragraph D.
                                                                                     Covered Causes Of Loss        -   Special.




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     Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 34 of 74




c. The following is added and supersedes any provi-                   (2) The Commissioner of lnsurance finds
   sions to the contrary:                                                   that the exposure to potential losses will
                                                                            threaten our solvency or place us in a
   NONRENEWAL
                                                                            hazardous condition. A hazardous con-
   1. Subject to the provisions of Paragraphs C.2.                          dition includes, but is not limited to, a
      and C.3. below, if we elect not to renew this                         condition in which we make claims
      policy, we will mail or deliver written notice                        payments for losses resulting from an
        stating the reason for nonrenewal to the first                      earthquake that occurred within the pre-
        Named lnsured shown in the Declarations and                         ceding two years and that required a re-
        to the producer of record, at least 60 days, but                    duction   in   policyholder surplus    of   at
        not more than 120 days, before the expiration                       least 25% for payment of those claims;
        or anniversary date.                                                or
        We will mail or deliver our notice to the first                 (3) We have:
        Named lnsured, and to the producer of record,
        at the mailing address shown in the policy.
                                                                           (a) Lost or experienced        a   substantial
                                                                                 reduction in the availability or scope
   2.   Residential Property                                                     of reinsurance coverage; or
        This provision applies to coverage on real                          (b) Experienced a substantial       increase
        property used predominantly for residential                              in the premium charged for reinsur-
        purposes and consisting of not more than four                            ance coverage of our residential
        dwelling units, and to coverage on tenants'                              property insurance policies; and
        household property contained in a residential
                                                                            the Commisé¡oner has approved a plan
        unit, if such coverage is written under one of
                                                                            for the nonrenewals that is fair and equi-
        the following:
                                                                            table, and that is responsive to the
        Capital Assets Program (Output Policy) Cov-                        changes in our reinsurance position.
        erage Part
                                                                   c.   We will not refuse to renew such coverage
        Commercial Property Coverage Part                               solely because the first Named lnsured has
        Farm Coverage Part - Farm Property - Farm                       cancelled or did not renew a policy, issued
        Dwellings, Appurtenant Structures And House-                    by the California Earthquake Authority that
        hold Personal Property Coverage Form                            included an earthquake policy premium
        a. We may elect not to renew such coverage                      surcharge.
           for any reason, except as provided in b., c.            d.   We will not refuse to renew such coverage
           and d. below:                                                 solely because corrosive soil conditions ex-
        b. We will not refuse to renew such coverage                     ist on the premises. This Restriction (d.)
           solely because the first Named lnsured has                    applies only if coverage is subject to one of
           accepted an offer of earthquake covèrage.                     the following, which exclude loss or dam-
                                                                         age caused by or resulting from corrosive
           However, the following applies only to in-
                                                                         soil conditions:
           surers who are associate participating in-
           surers as established by Cal. lns. Code                      (1) Capital Assets Program Coverage Form
           Section 10089.16. We may elect not to re-                         (Output Policy);
           new such covêrage after the first Named                      (2) Commercial Property Coverage Part            -
           lnsured has äcceþted an offer of earth-                           Causes Of Loss    -   Special Form; or
           quake coverage, if one or more of the fol-
            lowing reasons applies:
                                                                        (3) Farm Coverage Part
                                                                                             - Causes Of Loss
           (f) The nonrenewal is       based on sound
                                                                              -
                                                                             FormFarm Property, Paragraph D.
                                                                        Covered Causes Of Loss - Special.
               undenrvriting principles that relate to the
                                                                3. We are not required to send notice of nonre-
               coverages provided by this policy and
                                                                    newal in the following situations:
               that are consistent with the approved
               rating plan and related documents filed              a. lf the transfer or renewal of a policy,        with-
               with the Department of lnsurance as re-                   out any changes in terms, conditions, or
               quired by existing law;                                   rates, is between us and a member of our
                                                                         insurance group.




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      b. lf the policy has been extended for 90 days              e.   lf the first Named lnsured requests a
         or less, provided that notice has been given                  change in the terms or conditions or risks
         in accordance with Paragraph C.1.                             covered by the policy within 60 days of the
         lf you have obtained replacement cover-                       end of the policy period.
         age, or if the first Named lnsured has                   f. lf we have made a written offer to the first
         agreed, in writing, within 60 days of the                     Named lnsured,     in   accordance with the
         termination of the policy, to obtain that                     timeframes shown in Paragraph G.1., to re-
         coverage.                                                     new the policy under changed terms or
      d. lf the policy is for a period of no more than                 conditions or at an increased premium rate,
         60 days and you are notified at the time of                   when the increase exceeds 25%.
         issuance that it will not be renewed.




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 POLICY NUMBER: HDO G249403S4                                                                  ENDT. #43



                                                                                             lL 02 28 09 07
        THIS ENDORSEMENT GHANGES THE POLIGY. PLEASE READ IT GAREFULLY.

                    COLORADO CHANGES - CANCELLATION
                           AND NONRENEWAL
 This endorsement modifies insurance provided under the following:

     cAptTAL ASSETS PROGRAM (OUTPUT pOLtCy)COVERAGE PART
     COMMERCIAL AUTOMOBILE COVERAGE PART'
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL INLAND MARINE COVERAGE PART
     COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
     COMMERCIAL PROPERTY COVERAGE PART
     CRIME AND FIDELITY COVERAGE PART
     EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
     EQUIPMENT BREAKDOWN COVERAGE PART
     FARM COVERAGE PART
     FARM UMBRELLA LIABILITY POLICY
     LIQUOR LIABILITY COVERAGE PART
     PRODUCTS/COM PLETED OPERATIONS LIAB LITY COVERAGE PART
                                                        I




A.   Paragrap h 2. ofthe Cancellation Common policy
     Condition is replaced by the following:
     2. lf this policy has been in effect for less than 60
        days, we may cancel this policy by mailing or
        delivering to the first Named lnsured wriiten
        notice of cancellation at least:
        a. 10 days before the effective date of cancel-
            lation if we cancel for nonpayment of þre-
            mium; or
        b.   30 days before the effective date of cancel-
             lation if we cancel for any other reason.
B. The following is added to the Gancellation Com-
     mon Policy Condition:
     7. Gancellation    Of PoliCies ln Effect For 60
        Days Or More
        a. lf this polícy has been in effect for 60 days
           or more, or is a renewal of a policy we is-
           sued, we may cancel this policy by mailing
             through firslclass mail to the first Named
             lnsured written notice of cancellation:
          (l)   lncluding the actual reason, at least 10
                days before the effective date of cancel-
                lation, if we cancel for nonpayment of
                premium; or
          (2) At least 45 days before the effective
                date of cancellation if we cancel for any
                other reason.



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     Case 4:10-cv-02931 Document 1-2                         Filed in TXSD on 08/16/10 Page 37 of 74




          We may only cancel this policy based         on
          one or more of the following reasons:
         (1) Nonpayment of premium;
         (2) A false statement knowingly made by
             the ínsured on the application for insur-
              ance; or
         (3) A substantial change in the exposure or
             risk other than that indicated in the ap-
             plication and underwritten as of the ef-
              fective date of the policy unless the first
              Named lnsured has notified us of the
              change and we accept such change.
C. The following is added and supersedes any other
   provision to the contrary:
   NONRENEWAL
   lf we decide not to renew this policy, we will mail
   through first-class mail to the first Named lnsured
   shown in the Declarations written notice of the
   nonrenewal at least 45 days before the expiration
   date, or its anniversary date if it is a policy written
   for a term of more than one year or with no fixed
   expiration date.
   lf notice is mailed, proof of mailing will be suffi-
   cient proof of notice.




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D. The following condition is added:                           Any decrease in coverage during the policy term
                                                               must be based on one or more of the following
   INCREASE IN PREMIUM OR DECREASE IN
                                                                reasons:
   COVERAGE
   We will not increase the premium unilaterally or
                                                                1. Nonpayment of premium;
   decrease the coverage benefits on renewal of this            2. A false statement knowingly     made by the in-
   policy unless we mail through first-class mail writ-            sured on the application for insurance; or
   ten notice of our intention, including the actual            3. A substantial change in the     exposure or risk
   reason, to the first Named lnsured's last mailing                other than that indicated in the application and
   address known to us, at least 45 days before the                 undenvritten as of the effective date of the pol-
   effective date.                                                  icy unless the first Named lnsured has notified
                                                                    us of the change and we accept such change.
                                                                lf notice is mailed, proof of mailing will be suffi-
                                                                cient proof of notice.




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     Case 4:10-cv-02931 Document 1-2                  Filed in TXSD on 08/16/10 Page 39 of 74


POLICY NUMBER: HDO G24940354                                                                                   ENDT. #44



                                                                                                             tL 02 62 09 08

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT GAREFULLY.

                    GEORGIA CHANGES - CANCELLATION
                           AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   CAPTTAL ASSETS PROGRAM (OUTPUT POLTCY) COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATIONS LIAB I LITY COVERAG E PART


A- Paragraph 4.1. of the Cancellation Common                    '            Our notice will state the effective date of
   Policy Condition is replaced by the following:                            cancellation, which will be the later of the
   1. The first Named lnsured shown in the Declara-                 :        following:
      tions may cancel this policy by mailing or de-                         (1) 10 days from the date of mailing         or
      livering to us advance written notice of cancel.                           delivering our notice, or
      lation stating a future date on which the policy                       (2) The effective date of cancellation stated
      is to be cancelled, subject to the following:                              in the first Named lnsured's notice to us.
      a. lfonly the interest of the first Named ln-         B. Paragraph 4.5. of the Cancellation                  Common
         sured is affected, the effective date of can-         Policy Condition is replaced by the following:
         cellation will be either the date we receive
         notice from the first Named lnsured or the            5.       Premium Refund
         date specified in the notice, whichever is                     a. lf this policy is cancelled, we will send the
         later. However, upon receiving a written no-                      first Named lnsured any premium refund
         tice of cancellation from the first Named ln-                       due.
         sured, we may waive the requirement that
         the notice state the future date of cancella-
                                                                        b. lf we cancel, the     refund will be pro rata,
                                                                             except as provided in c. below.
         tion, by confirming the date and time of
         cancellation in writing to the first Named ln-                 c.   lf the cancellation results from failure of the
         sured.                                                              first Named lnsured to pay, when due, any
                                                                             premium to us or any amount, when due,
      b. lf by statute,  regulation or contract this
                                                                             under a premium finance agreement, then
         policy may not be cancelled unless notice
                                                                             the refund may be less than pro rata. Cal-
         is given to a governmental agency, mort-                            culation of the return premium at less than
         gagee or other third party, we will mail or
                                                                             pro rata represents a penalty charged on
         deliver at least 10 days notice to the first
                                                                             unearned premium.
         Named lnsured and the third party as soon
         as      practicable after receiving the first                  d. lf the first Named lnsured cancels,           the
          Named lnsured's request for cancellation.                          refund may be less than pro rata.




rL 02 62 09 08                              O ISO Properties, lnc.,2007                                         Pagel   of2    tr
     Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 40 of 74



          e. ïhecancellat¡on will be effective even if we
                                                                  With respect to such insurance, the following is
            have not made or offered a refund.                    added to the Cancellation Common Policy Condi-
c. The following is added to the Cancellation Com-                tion and supersedes any provisions to the con-
   mon Policy condition and supersedes any other                  trary:
   provisions to the contrary:
                                                                  l.    When this policy has been in effect for 60 days
   lf we decide to:                                                     or less and is not a renewal with us, we may
   1.   Cancel or nonrenew this policy; or                              cancel for any reason by notifying the first
                                                                        Named lnsured at least 10 days before the
   2.   lncrease current policy premium by more than                    date cancellation takes effect.
        15% (other than any increase due to change in
        risk, exposure or experience modification or              2. When this policy has been in effect for more
        resulting from an audit of auditable cover-                  than 60 days, or at any time if it is a renewal
        ages); or                                                       with us, we may cancel only for one or more of
                                                                        the following reasons:
   3.   Change any policy provision which would limit
        or restrict coverage;                                           a. Nonpayment of premium, whether payable
                                                                            to us or to our agent;
   Then:
                                                                        b.   Upon discovery of fraud, concealment of a
   We will mail or deliver notice of our action (includ-                     material fact, or material misrepresentation
   ing the dollar amount of any increase in renewal                          made by or with the knowledge of any per-
   premium of more than 15%) to the first Named ln-                          son insured under this policy in obtaining
   sured and lienholder, if any, at the last mailing                         this policy, continuing 1¡¡s,polic! or present-
   address known to us. Except as applicable as de-                          ing a claim under this policy;
   scribed in Paragraph D. below, we will mail or de-
   liver notice at least:                                               c.   Upon the occurrence of a change in the risk
                                                                             which substantially increases any hazard
   1. 10 days before      the effective date of cancella-                    insured against; or
        tion if this policy has been in effect less than
        60 days or if we cancel for nonpayment of                       d.   Upon the violation of any of the material
        premium; or                                                          terms or conditions of this policy by any
   2. 45    days before the effective date of cancella-
                                                                    '        person insured under this policy.

        tion if this policy has been in effect 60 or more               We may cancel by providing notice to the first
        days and we cancel for a reason other than                      Named lnsured at least:
        nonpayment of premium; or                                       o    10 days before the effective date of cancel-
   3. 45 days before the expiration date of this pol-                        lation if we cancel for nonpayment of pre-
      icy if we decide to nonrenew, increase the                             mium; or
        premium or limit or restrict coverage.                          o    45 days before the effective date of cancel-
D. The following provisions apply to insurance cover-                        lation if we cancel for any of the reasons
   ing residential real property only provided under                         listed in b., c. or d. above.
   the:
   Capital Assets Program (Output Policy) Coverage
   Part;
   Commercial Property Coverage Part;
   Farm Coverage Part;
   lf the named insured is a natural person.




Page 2 of 2                                  @ ISO Properties,   |nc.,2007                                  rL02620908 tr
     Case 4:10-cv-02931 Document 1-2                Filed in TXSD on 08/16/10 Page 41 of 74


POLICY NUMBER: HDO G24940354                                                              ENDT. #45
                                                                       COMMERCIAL GENERAL LIABIL¡TY


     TH¡S ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                  KANSAS AND OKLAHOMA CHANGES
                        TRANSFER OF RIGHTS
                                                                                    -
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART.


Condition 8. TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US (Section lV), does not apply
to COVERAGE C. MEDICAL PAYMENTS.




CG 01 0911   85               Copyright, lnsurance Services Office, lnc., 1984             Pagel   of1   tr
      Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 42 of 74


POLICY NUMBER: HDO G24940354                                                                           ENDT. #46



                                                                                                     tL 02 61 09 07

       THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                      KANSAS CHANGES - GANCELLATION
                             AND NONRENEWAL
This endorsement modifies insurance provided under the following:

     cAPrrAL ASSETS PROGRAM (OUTPUT POLICY)COVERAGE PART
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL INLAND MARINE COVERAGE PART
     COMMERCIAL PROPERTY COVERAGE PART
     CRIME AND FIDELITY COVERAGE PART
     EM PLOYMENT-RELATED PRACTI CES LIABI LITY COVERAGE PART
     EQUIPMENT BREAKDOWN COVERAGE PART
     FARM COVERAGE PART
     LIQUOR LIABILITY COVERAGE PART
     POLLUTION LIABILITY COVERAGE PART
     PRODUCTS/COMPLETED OPERATIONS LIAB LITY COVERAGE PART
                                                       I




A. Paragraph 2. of the Cancellation Common Policy                   (4) Unfavorable    unden¡uriting factors, specific
   Condition is replaced by the following:                              to you, exist that were not present at the in-
                                                                        ception of this policy;
 2.a. We may cancel this policy by mailing or deliv-
      ering to the first Named lnsured written notice               (5) A determination by the insurance commis-
      of cancellation, stating the reasons for cancel-                  sioner that continuation of coverage could
      lation, at least:                                                 place us in a hazardous financial condition
     (1) 10 days before the effective date of cancel-                   or in violation of the laws of Kansas; or
          lation if we cancel for nonpayment of pre-                (6) A determination by the insurance commis-
            mium.                                                         sioner that we no longer have adequate re-
                                                                          insurance to meet our needs.
       (2) 30 days before the effective date of cancel-
            lation if we cancel for any other reason.          B. The following is added and supersedes any condi-
                                                                  tion to the contrary:
     b. lf this policy has been in effect for 90 days or
        more, or if it is a renewàl of a policy we issued,        NONRENEWAL
        we may cancel this policy only for one or more            1. lf we decide  not to renew this policy, we will
        of the following reasons:                                    mail or deliver written notice of nonrenewal,
       (1) Nonpayment of premium;                                    stating the reasons for nonrenewal, to the first
       (2) This policy was issued because of material                Named lnsured at least 60 days prior to the
                                                                     expiration of the policy.
            misrepresentation;
       (3) You or any other insured violated any of               2. Any notice of nonrenewal will be mailed or
           the material terms and conditions of this                 delivered to the first Named lnsured's last
            policy;                                                  mailing address known to us. lf notice is
                                                                     mailed, proof of mailing will be sufficient proof
                                                                     of notice.




tL 02 61 09 07                                 @ ISO Properties, lnc., 2006                              Page 1 of    1
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POLICY NUMBER: HDO G24940354                                                                           ENDT. #47



                                                                                                     tL 02 63 09 08

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                 KENTUCKY CHANGES - CANCELLATION
                        AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   CAPTTAL ASSETS PROGRAM (OUTPUT POLTCY) COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EM PLOYMENT-RELATED PRACTI CES LIABI LITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRO DUCTS/COM PLETED OPERATIONS LIAB LITY COVERAGE PART
                                                     I




A. Paragraph 2. of the Cancellation Common Policy                   (3) Discovery   of willful or reckless acts or
   Condition is replaced by the following:                                omissions on your part which increase
                                                                          any hazard insured against;
   2. Cancellation Of Policies ln Effect For 60
      Days Or Less                                                  (4) The occurrence of a change in the risk
      lf this policy has been in effect for 60 days or                  which substantially increases any haz-
      less, we may cancel this policy by mailing or                       ard insured against after insurance cov-
                                                                          erage has been issued or renewed;
      delivering to the first Named lnsured written
      notice of cancellation, stating the ,reason for               (5)   A   violation   of any local fire, health,
      cancellation, at least 14 days before the effec-                    safety, building, or construction regula-
      tive date of cancellation.                                          tion or ordinance with respect to any in-
B. The following is added to the Gancellation Com-
                                                                          sured property or the occupancy thereof
   mon Policy Condition:
                                                                          which substantially increases any haz-
                                                                          ard insured against;
   7. Cancellation Of Policies ln Effect For      More
                                                                    (6) We are unable to reinsure the risk cov-
      Than 60 Days
                                                                        ered by the policy; or
      a. lf this policy has been in effect for more                 (7)   A  determination by the commissioner
         than 60 days or is a renewal of a policy we
         issued, we may cancel this policy only for                       that the continuation of the policy would
                                                                          place us in violation of the Kentucky in-
          one or more of the following reasons:
                                                                          surance code       or   regulations   of   the
         (1) Nonpayment of premium;                                       commissioner.
         (2) Discovery of fraud or material misrepre-
             sentation made by you or with your
             knowledge in obtaining the policy, con-
             tinuing the policy, or in presenting a
             claim under the policy;




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        b.   lf we cancel this policy based on Paragraph          3.   lf notice of nonrenewal is not provided pursu-
             7.a. above, we will mail or deliver a written             ant to this Condition, coverage under the same
             notice of cancellation to the first Named ln-             terms and conditions shall be deemed to be
             sured, stating the reason for cancellation,               renewed for the ensuing policy period upon
             at least:                                                 payment of the appropriate premium until you
             (11 14 days before the effective date of the              have accepted replacement coverage with an-
                 cancellation, if cancellation is for non-             other insurer, or until you have agreed to the
                 payment of premium; or                                nonrenewal.
           (2') 75 days before the effective date of the          4.   lf we mail or deliver a renewal notice to the
                cancellation, if cancellation is for any               first Named lnsured at least 30 days before the
                reason stated in 7.a.(2) through 7.a.(71               end of the policy period, stating the renewal
                 above.                                                premium and its due date, the policy will ter-
                                                                       minate without further notice unless the re-
C. The following is added and supersedes any provi-                    newal premium is received by us or our author-
   sion to the contrary:                                               ized agent by the due date.
   NONRENEWAL                                                     5.   lf this policy terminates because the renewal
   1.   For the purpose of this Condition:                             premium has not been received by the due
        a. Any policy period or term of less than                      date, we will, within 15 days, mail or deliver to
                                                       six
            months shall be considered to be a policy                  the first Named lnsured at his last known ad-
            period or term of six months; and                          dress a notice that the policy was not renewed
                                                                       and the date it was terminated.
        b. Any policy period or term of more than one
            year or any policy with no fixed expiration           6.   lf notice is rnailed, proof of mailing is sufficient
                                                                       proof of notice.
            date shall be considered a policy period or
            term of one year.
   2.   lf we elect not to renew this policy, we will mail
        or deliver written notice of nonrenewal, stating
        the reason for nonrenewal, to the first Named
        lnsured shown in the Declarations, at the last
        mailing address known to us, at least 75 days
        before the expiration date of the policy period.




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POLICY NUMBER: HDO G24940354                                                                   ENDT. #48


                                                                            COMMERCIAL GENERAL LIABILITY
                                                                                            cG 0l 181204

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

     LOUISIANA CHANGES                             - LEGAL ACTION AGAINST US
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   ELECTRONIC DATA LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCT WITHDRAWAL COVERAGE PART
   PRO DUCTS/COM PLETED OPERATIONS LIAB LITY COVERAGE PART
                                                     I


   RAILROAD PROTECTIVE LIABILITY COVERAGE PART


The Legal Action Against Us Condition (Section lV
                                              '
- CondiIions) is replaõed by the following.
Legal Action Against Us
A person or organization may bring a "suit" against us
including, but not limited to, a "suit" to recover on an
agreed éettlement or on a final judgment against an
insured; but we will not be liable for damages that are
not payable under the terms of this Coverage Part or
that are in excess of the applicable limit of insurance
An agreed settlement means a settlement and re.
lease of liability signed by us, the insured and the
claimant or the claimant's legal representative.




cG 01 181204                               @ ISO Properties,   lnc., 2003                       Page 1 of   1
      Case 4:10-cv-02931 Document 1-2                   Filed in TXSD on 08/16/10 Page 46 of 74


POLICY NUMBER: HDO G24940354                                                                              ENDT. #49


                                                                              GOMMERCIAL GENERAL LIABILITY
                                                                                                       cG 01 25 03 03

       THIS ENDORSEMENT CHANGES THE POLIGY. PLEASE READ IT CAREFULLY.

           LOUISIANA CHANGES                            - INSURING AGREEMENT
This endorsement modifies insurance provided under the following:

     COMMERCIAL GENERAL LIABILITY COVERAGE PART


A.   Paragraph 1.a. of Section I - Coverages, Gover-        B. Paragraph 1.a. of Section l- Coverages, Cover-
     age A - Bodily lnjury And Property Damage                    age B - Personal And Advertising lnjury Liabil-
     Liability is replaced with the following:                    ity is replaced with the following:
     1. Insuring Agreement                                        1. lnsuring Agreement
        a. We will pay those sums that the insured                   a. We will pay those sums that the          insured
             becomes legally obligated to pay as dam-                   becomes legally obligated to pay as dam-
             ages because of "bodily injury" or "property               ages because of "personal and "advertising
             damage" to which this insurance applies.                   injury" to which this insurance applies. We
             We will have the right and duty to defend                  will have the right and duty to defend the
             the insured against any "suit" seeking those               insured against any "suit" seeking those
           damages. We may, at our discretion, inves-                   damages. We may, at our discretion, inves-
           tigate any "occurrence" and settle        any                tigate any offense and settle any claim or
            claim or "suit" that may result. But:                       "suit" that may result. But:
           (1) The amount we will pay for damages is                    (1) The amount we will pay for damages          is
                limited as described in Section lll- Lim-                     limited as described in Section   lll- Lim-
                its Of lnsurance; and                                         its Of lnsurance; and
           (2) Our right and duty to defend end when                    (2) Our right and duty to defend end       when
                we have used up the applicable limit,of                       we have used up the applicable limit of
                insurance in the payment of judgments                         insurance in the payment of judgments
                or settlements under Coverage A or B                          or settlements under Coverages A or B
                or medical expenses under Coverage C.                         or medical expenses under Coverage G.
                However, using up the Medical Expense                         However, using up the Medical Expense
                Limit does not end our right and duty to                      Limit does not end our right and duty to
                 defend.                                                      defend.
            No other obligation or liability to pay sums                 No other obligation or liability to pay sums
            or perform acts or seruices is covered                      or perform acts or services is          covered
            unless explicitly provided for under Sup-                    unless explicitly provided      for under Sup-
            plementary Payments - Coverages A and                        plementary Payments      -    Coverages A and
            B.                                                           B.




cG 01 25 03 03                               @ ISO Properties,   lnc., 2002                                 Pagelofl         tr
     Case 4:10-cv-02931 Document 1-2                 Filed in TXSD on 08/16/10 Page 47 of 74



POLICY NUMBER: HDO G24940354                                                                      ENDT. #50


                                                                               COMMERCIAL GENERAL LIABILITY
                                                                                               cG 26 84 12 04

      THIS ENDORSEMENT CHANGES THE POLIGY. PLEASE READ IT CAREFULLY.

       LOUISIANA CHANGES - TRANSFER OF RIGHTS OF
        RECOVERY AGAINST OTHERS TO US CONDITION
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   ELECTRONIC DATA LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCT WITHDRAWAL COVERAGE PART
   PRODUCTSiCOMPLETED OPERATIONS COVERAGE PART
   RAILROAD PROTECTIVE LIABILITY COVERAGE PART
   UNDERGROUND STORAGE TANK POLICY
                                                                               .::

The Transfer Of Rights Of Recovery Against Oth-
ersToUsConditionSectionlV-Gonditionsis..
replaced by the following:
TRANSFER OF RIGHTS OF RECOVERY AGAINST
OTHERS TO US
                                                                    :. :   ]



ln the event of any payment under this Coverage ,'          ,,,

Part, we will be entitled to the insured's rights of re-'


covery against any person or organization, and the
insured will do whatever is necessary to secure such
rights. Our right to recover is subordinate to the in. -,
sured's right to be fully compensated.




cG 26 84 12 04                           O ISO Properties, lnc., 2003                              Pagelofl     tr
       Case 4:10-cv-02931 Document 1-2                           Filed in TXSD on 08/16/10 Page 48 of 74


POLICY NUMBER: HDO G24940354                                                                       ENDT.   #51




                                                                                                 tL 02 77 09 08

       THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                      LOUISIANA CHANGES - CANCELLATION
                              AND NONRENEWAL
This endorsement modifies insurance provided under the following:

     CAP|TAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
     COMMERCIAL AUTOMOBILE COVERAGE PART
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL INLAND MARINE COVERAGE PART
     COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
     COMMERCIAL PROPERTY COVERAGE PART
     CRIME AND FIDELITY COVERAGE PART
     EM PLOYMENT-RELATED PRACTI CES LIAB LITY COVERAGE PART
                                                          I


     EQUIPMENT BREAKDOWN COVERAGE PART
     FARM COVERAGE PART
     LIQUOR LIABILITY COVERAGE PART
     MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
     POLLUTION LIABILITY COVERAGE PART
     PRO DUCTS/COMPLETED OPERATIONS LIABI LITY COVERAGE PART
     STANDARD PROPERTY POLICY


A.   Paragrap h 2. of the Gancellation Common Policy
     Condition is replaced by the following, which apl
     plies unless Paragraph B. of this endorsement
     applies.
     2.   Notice Of Cancellation
          a. Cancellation Of Policies ln Effect               For
             Fewer Than 60 Days Which Are Not Re-
             newals
             lf this policy has been in effect for fewer
             than 60 days and is nol a renewal of a pol-
             icy we issued, we may cancel this policy for
             any reason, subject to the following:
            (1) Cancellation for nonpayment          of       pre-
                mium
                We may cancel this policy by mailing or
                delivering to the first Named lnsured
                written notice of cancellation at least 10
                days before the effective date of cancel-
                lation.
            (2) Cancellation for any other reason
                We may cancel this policy by mailing or
                delivering to the first Named lnsured
                written notice of cancellation at least 60
                days before the effective date of cancel-
                lation.



tL 02 77 09 08                                @ ISO Properties,        |nc.,2007                     Page 1 of 5   E]
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     b.    Cancellation Of Renewal Policies And New
           Policies ln Effect For 60 Days Or More
           lf this policy has been in effect for 60 days
           or more, or is a renewal of a policy we is-
           sued, we may cancel only for one or more
           of the following reasons:
          (1) Nonpayment of premium;
          (2) Fraud or material misrepresentation
              made by you or with your knowledge
              with the intent to deceive in obtaining
              the policy, continuing the policy, or in
              presenting a claim under the policy;
          (3) Activities or omissions by you which
              change or increase any hazard insured
              against;
          (4) Change in the risk which increases the
              risk of loss after we issued or renewed
              this policy including an increase in ex-
              posure due to regulation, legislation, or
              court decision;
          (5) Determination by the Commissioner of
              lnsurance that the continuation of this
              policy would jeopardize our solvency or
              would place us in violation of the insur-
              ance laws of this or any other state;




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           (6) The insured's violation or breach of any
                policy terms or conditions; or
           (7) Any other reasons that are approved by
                the Commissioner of lnsurance.
               We will mail or deliver written notice of
               cancellation under Paragraph 4.2.b., to
               the first Named lnsured at least:
              (a) 10 days before the effective date of
                   cancellation if we cancel for non-
                   payment of premium; or
              (b) 30 days before the effective date of
                  cancellation if we cancel for a rea-
                   son    described     in   paragraphs
                4.2.b.(2) through (7) above.
B. Paragraph 2. of the Cancellation Common policy
   Condition is replaced by the following, which ap-
   plies with respect to premium payments due on
   new and renewal policies, including installment
   payments.
   2. Notice Of Cancellation
      a. lf your premium payment        check or other
           negotiable instrument is returned to us or
           our agent or a premium finance company
           because it is uncollectible for any reason,
           we may cancel the policy subject to para-
           graphs 8.2.b. and 8.2.c.
      b.   We may cancel the policy effective from
           the date the premium payment was due, by
           sending you written notice by certified mail,
           or by delivering such notice to you within
           10 days of the date that we receive notice
           of the returned check or negotiable instru-
           ment.                                   :



      c.   The cancellation notice will also advise you
           that the policy will be reinstated effeciive
           from the date the premium pa¡lment was
           due, if you present to us a cashier's check
           or money order for the full âmount of the
           returned check or other negotiable instru-
           ment within 10 days of the date that the
          cancellation notiöê was :mailed.
C. Paragraph 5. of the Gancellation Common policy
   Condition is replaced by the following:
   5. Premium Refund
      lf thís policy is cancelled, we will return any
      premium refund due, subject to paragraphs
      G.S.a., C.s.b., C.5.c., C.s.d., G.S.e. and C.S.f.
      The cancellation will be effective even if we
      have not made or offered a refund.
      a. lf we cancel, the refund will be pro rata.
      b. lf the first Named lnsured cancels, the
           refund may be less than pro rata, and will
           be returned within 30 days after the effec-
           tive date of cancellation.



tL 0277 09 08                                O ISO Properties, lnc.,20O7                     Page 3 of 5   tr
     Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 51 of 74




        c.   We will send the refund to the first Named
             lnsured unless Paragraph C.5.d. or G.5.e.
             applies.
        d. lf we cancel     based on Paragraph 8.2. of
             this endorsement, we will return the pre-
             mium due, if any, within 10 days after the
             expiration of the 10-day period referred to
             in B.2.c. lf the policy was financed by a
             premium finance company, or if payment
             was advanced by the insurance agent, we
             will send the return premium directly to
             such payor.
        e. With respect to any cancellation of        the
             Commercial Auto Coverage Part, we will
             send the return premium, if any, to the
             premium finance company if the premium
             was financed by such company.
        f.   When return premium payment is sent to
             the premium finance company or the agent
             of the insured, we will provide notice to
             you, at the time of cancellation, that a re-
             turn of unearned premium may be gener-
             ated by the cancellation.
D. The Premiums Common Policy Condition is re-
   placed by the following:
   PREMIUMS
   1. The first Named lnsured shown in the Declara-
        tions is responsible for the payment of all pre-
        miums.
   2.   We will pay return premiums, if any, to the first
        Named lnsured, unless another person or en-
        tity is entitled to be the payee in accordance
        with Paragraph C. of this endorsement.
E. Paragraph f. of the Mortgageholders Condition in
   the Commercial Property Coverage Part, Stan-
   dard Property Policy, and the Capital Assets Pro-
   gram (Output Policy) Coverage Part and Para-
   graph 4.f. of the Mortgageholders Condition in
   the Farm Coverage Part are replaced by the fol-
   lowing:
             lf we cancel a policy that has been in effect
             for fewer than 60 days and is not a renewal
             of a policy we issued, we will give written
             notice to the mortgageholder, pledgee or
             other known person shown in the policy to
             have an insurable interest in any loss, at
             least:
             (1) 10 days before the effective date of
                 cancellation, if we cancel for nonpay-
                 ment of premium; or
             (2) 60 days before the effective date of
                 cancellation, if we cancel for any other
                 reason.




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          lf we cancel a policy that has been in effect         2.   We need not mail or deliver this notice if:
          for 60 days or more, or is a renewal of       a            a. We or another company within our            insur-
          policy we issued, we will give written notice
                                                                        ance group have offered to issue a renewal
          to the mortgageholder, pledgee or other                       policy; or
          known person shown in the policy to have
          an insurable interest in any loss, at least:               b. You have obtained replacement coverage
         (1) 10 days before the effective date of
                                                                        or have agreed in writing to obtain re-
                                                                        placement coverage.
             cancellation, if we cancel for nonpay-
             ment of premium; or                                3. Any notice of nonrenewal will be mailed or
                                                                   delivered to the first Named lnsured, mort-
         (2) 30 days before the effective date of                  gageholder, pledgee or other known person
             cancellation, if we cancel for any other                shown in the policy to have an insurable inter-
             reason.                                                 est in any loss, at the last mailing address
F. The following is added and supersedes any other                   known to us. lf notice is mailed, proof of mail-
   provision to the contrary:                                        ing will be sufficient proof of notice.
   NONRENEWAL                                                   4. Such notice to the insured shall include        the
   1. lf we decide  not to renew this policy, we will                insured's loss run information for the period the
      mail or deliver written notice of nonrenewal to                policy has been in force within, but not to ex-
      the first Named lnsured,          mortgageholder,              ceed, the last three ¡rears of coverage.
      pledgee or other known person shown in the
      policy io have an insurable interest in any loss,
      at least 60 days before its expiration date, or
      its anniversary date if it is a policy written for a
      term of more than one year or with no fixed
      expiration date.




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      Case 4:10-cv-02931 Document 1-2                 Filed in TXSD on 08/16/10 Page 53 of 74


POLICY NUMBER: HDO G24940354                                                                         ENDT. #52


                                                                           COMMERCIAL GENERAL LIABIL¡TY
                                                                                                 cG 01 34 08 03

      THIS ENDORSEMENT CHANGES THE POLIGY. PLEASE READ IT CAREFULLY.

          MISSOURI CHANGES                          - POLLUTION EXCLUSION
This endorsement modifies insurance provided under the following:

    COMMERCIAL GENERAL LIABILITY COVERAGE PART


The following is added to Subparagraph f., Pollution of Paragraph 2., Exclusions under Section I - Coverage
A - Bodily lnjury And Property Damage Liability Coverage and to Subparagraph m., Pollution of Paragraph
2., Exclusions under Section I - Goverage B - Personal And Advertising lnjury Liability or to any amend-
ment to or replacement thereof:
This Pollution Exclusion applies even if such irritant or contaminant has a function in your business, operations,
premises, site or location.




cG 01 34 08 03                            @ ISO Properties,   lnc., 2003                              Pagelofl       tr
      Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 54 of 74


 POLICY NUMBER: HDO c24940354                                                                         ENDT. #53


                                                                           COMMERCIAL GENERAL LIABILITY
                                                                                                   cG 26 25 04 05

      THIS ENDORSEMENT GHANGES THE POLICY. PLEASE READ IT CAREFULLY.

          MISSOURI CHANGES                          - GUARANTY ASSOCIATION
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   ELECTRONIC DATA LIABILITY COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCT WITHDRAWAL COVERAGE PART
   PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART
   RAILROAD PROTECTIVE LIABILITY COVERAGE PART
   UNDERGROUND STORAGE TANK POLICY

MISSOURI PROPERTY AND CASUALTY                                   2. Payments made by the Association for cov-
INSU RANCE GUARANTY ASSOCIATION                                     ered claims will include only that amount of
COVERAGE LIMITATIONS                                                each claim which is less than $300,000.
A. Subject to the provisions of the Missouri properly               Howeúer, the Association will not:
   and Casualty lnsurance Guaranty Association Act
   (to be referred to as the Act), if we are a member              (1) Pay an amount in excess of the applicable
   of the Missouri Property and Casualty lnsurance                     limit of insurance of the policy from which a
   Guaranty Association (to be referred to as the As-                  claim arises; or
   sociation), the Association will pay claims covered             (2) Return to an insured any unearned          pre-
   under the Act if we become insolvent.                                 mium in excess of $25,000.
B. The Act contains various exclusions, conditions            These limitations have no effect on the coverage we
   and limitations that govern a claimant's eligíbility       will provide under this policy.
   to collect payment from the Association and affect
   the amount of any payment. The following limita-
   tions apply subject to all other provisions of the
   Act:
   1. Claims covered by the Association do          not
      include a claim by or against an insured of an
      insolvent insurer, if the insured has a net worth
      of more than $25 million on the later of the end
      of the insured's most recent fiscal year or the
      December thirty-first of the year next preced-
      ing the date the insurer becomes insolvent;
      provided that an insured's net wofth on such
      date shall be deemed to include the aggregate
      net worth of the insured and all of its affiliates
      as calculated on a consolidated basis.




cG 26 25 04 05                             @ ISO Properties, lnc.,2O04                                 Page   I   of   1
           Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 55 of 74
 POLICY NUMBER: HDO G24940354                                                                                    ENDT. #54
                                                                                        COMMERC¡AL GENERAL LIABIL¡TY
                                                                                                       cG 26 50 12 98

            THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                      MISSOURI CHANGES                              - MEDICAL PAYMENTS
This endorsement modifies ínsurance provided under the following:

     COMMERCIAL GENERAL LIABILITY COVERAGE PART


A.   Paragraph 1.a. of Coverage C. Medical Payments is                       (21   The expenses are incurred and repofted to
     replaced with the following:                                                  us within one year of the date of the acci-
                                                                                 dent. However, expenses reported to us after
     L   lnsuring Agreement
                                                                                 one year of the date of the accident will not
         a. We will pay medical expenses as described                            be denied solely because of the late submis-
           below for "bodily injury" caused by an accident:                      sion unless such late submission operates to
           (1) On premises you own or rent;                                      prejudice our rights; and
           (2) On ways next to premises you own or          rent;            (3) The injured person submits to examination,
                 or                                                              at our expense, by physicians of our choice
                                                                                 as often as wê"reasonably require.
           (3)   Because of your operations;
           provided that:
           (1) The accident takes place in the "coverage
                 territory" and during the policy period;




 cG 26 50 12 98                          Copyright, lnsurance Services Office, lnc., 1998                    Pagelofl       tr
     Case 4:10-cv-02931 Document 1-2                   Filed in TXSD on 08/16/10 Page 56 of 74


POLICY NUMBER: HDO G24940354                                                                             ENDT. #55



                                                                                                      tL 02 74 09 08

        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                    MISSOURI CHANGES - CANCELLATION
                           AND NONRENEWAL
ïhis endorsement modifies insurance provided under the following:

   CAPITAL ASSETS PROGRAM (OUTPUT POLTCY) COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELIry COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIABI LITY COVERAGE PART

A. When this endorsement is attached to the Stan-                  a.   10 days before the effective date of cancel-
   dard Property Policy CP 00 99, the term Com-                     ,   lation if we cancel for nonpayment of pre-
   mercial Property Coverage Part in this endorse-                      mium;
   ment also refers to the Standard Property Policy.               b.   30 days before the effective date of cancel-
B. With respect to the:                                                 lation if cancellation is for one or more of
   Commercial General Liability Coverage Part                           the following reasons:
   Commercial Property - Legal Liability Coverage                       (1) Fraud    or material misrepresentation
   Form GP 00 40                                                            affecting this policy or a claim filed un-
   Commercial Property        -   Mortgageholders Errors                    der this policy or a violation of any of
   And Omissions Coverage Form CP 00 70                                     the terms or conditions of this policy;
   Crime And Fidelity Coverage Part                                     (2) Changes in conditions after the effective
   Employmentrelated Practices Liability Coverage                           date of this policy which have materially
   Part                                                                     increased the risk assumed;
   Equipment Breakdown Coverage Part                                    (3) We become insolvent; or
   Farm Liability Coverage Form,                                        (a) We involuntarily lose reinsurance for
   Liquor Liability Coverage Part                                           this policy.
   Pollution Liability Coverage Part                               c.   60 days before the effective date of cancel-
   Products/Completed Operations Liability Cover-                       lation if we cancel for any other reason.
   age Part
                                                                NONRENEWAL
   Medical Professional Liability Coverage Part;
                                                                2. The following is added and        supersedes any
   the following Gancellation and Nonrenewal Pro-                  provision to the contrary:
   visions apply:
                                                                   a. We may elect not to renew this policy           by
   1. Paragraph 2. of the Gancellation          Common                  mailing or delivering to the first Named ln-
        Policy Condition is replaced by the following:                  sured, at the last mailing address known to
   2.   We may cancel this policy by mailing or deliv-                  us, written notice of nonrenewal, stating the
        ering to the first Named lnsured written notice                 actual reason for nonrenewal, at least 60
        of cancellation, stating the actual reason for                  days prior to the effective date of the non-
        cancellation, at least:                                         renewal.




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     Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 57 of 74



      b. If notice is mailed, proof of mailing will be         3.   We will mail or deliver our notice to the first
          sufficient proof of notice.                               Named lnsured's last mailing address known to
C. With respect to the:                                             us.
   Capital Assets Program (Output Policy) Coverage             4. Notice of:
   Part                                                             a.    Cancellation will state the effective date of
   Commercial Property Coverage Part                                      cancellation. The policy period will end on
   Farm Property - Other Farm Provisions Form -                           that date.
   Additional Coverages, Conditions, Definitions                    b.    Any other action will state the effective date
   Coverage Form                                                          of that action.
   Farm - Livestock Coverage Form
   Farm         Mobile Agricultural Machinery     And
                                                               5.   lf this policy is    cancelled, not renewed, re-
                                                                    duced in amount or adversely modified, we will
   Equipment Coverage Form;                                         send the first Named lnsured any premium re-
   the Cancellation Common Policy Condition is re-                  fund due. lf we take this action, the refund will
   placed by the following:                                         be pro rata. lf the first Named lnsured cancels,
   CANCELLATION, NONRENEWAL AND                                     the refund may be less than pro rata. This ac-
   DECREASES IN COVERAGE                                            tion will be effective even if we have not made
                                                                    or offered a refund.
   1. The first Named lnsured shown in the Declara-
      tions may cancel this policy by mailing or de-           6.   lf    notice is mailed, proof of mailing will be
      livering to us advance written notice of cancel-              sufficient proof of notice.
      lation.
   2. We may cancel, nonrenew,    reduce in amount
      or adversely modify this policy by mailing or
      delivering to the first Named lnsured written
      notice of this action at least:
      a. 10 days before the effective date of this
          action if due to nonpayment of premium or
          evidence of incendiarism; or
      b. 30 days before the effective date of this
          action if for any other reason.




Page 2 of 2                                 O ISO Properties, |nc.,2007                                 tL02740908 tr
     Case 4:10-cv-02931 Document 1-2                         Filed in TXSD on 08/16/10 Page 58 of 74


POLICY NUMBER: HDO c24940354                                                                                    ENDT. #56



                                                                                                             lL 02 82 09 08

        THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                     MISSISSIPPI CHANGES - CANCELLATION
                              AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   CAPITAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
   COMMERCIAL AUTO COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   EM PLOYM ENT-RELATED PRACTI CES LIABI LITY COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATIONS LIAB LITY COVERAG E PART
                                                         I




A. Paragraph 7. is added to the Cancellation Com-                                 We will notify the mortgageholder by
   mon Policy Conditions:                                                         mailing or delivering the cancellation
   7.   tf:                                                                       notice to the last mailing address known
                                                                                  to us. lf notice is mailed, proof of mail-
        a.    The first Named lnsured cancels this policy,                        ing will be sufficient proof of notice.
              we will notify any named creditor        loss
              payee.                                                   g.   lf:
        b. We cancel this policy, we will mail or de-                       (1) The first Named lnsured does not renew
           liver our written notice of cancellation to                          this policy, we will notify the morlgage-
           any named creditor loss payee in the same                              holder.
           manner and at the same time as notifica-                         (2) We decide not to renew this policy,         we
           tion is given to the first Named lnsured, as                           will give written notice to the mortgage-
           stated in this Condition.                                              holder at least:
        The provisions of Paragraphs a. and b. above                              (a) 10 days before an anniversary     date
        do not apply to any mortgageholder.                                          or the expiration date of the policy, if
B. Paragraphs        f.   and g. of the Mortgageholders                              the nonrenewal is due to nonpay-
   Condition, if any, are replaced by the following:                                 ment of premium; or
        f.tf:                                                                     (b) 30 days before an anniversary     date
                                                                                     or the expiration date of the policy, if
              (1) The first Named lnsured cancels this                               the nonrenewal is for any other rea-
                  policy, we will notify the mortgage-                               son.
                  holder.
                                                                                  We will notify the mortgageholder by
              (2) We cancel this policy, we will give writ-                       mailing or delivering the notice of non-
                  ten notice to the mortgageholder       at                       renewal to the last mailing address
                  least 30 days before the effective date                         known to us. lf notice is mailed, proof of
                  of cancellation.                                                mailing will be sufficient proof of notice.
                                                                 G. The following Condition is added and supersedes
                                                                    any provision to the contrary:




rL 02 82 09 08                                 O ISO Properties, |nc.,2007                                       Pagel      oÍ2   tr
   Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 59 of 74




  NONRENEWAL                                                     The provisions of Paragraphs 1. and 2. above do
  l.   lf the first Named lnsured does not renew this            not apply to any moftgageholder.
       policy, we will notify any named creditor loss       D. The requirements for notification of cancellation or
       payee.                                                    nonrenewal of this policy, as stated in Paragraphs
  2. lf we decide    not to renew this policy, we will           4., B. and G. above, supersede any other notifica-
       mail or deliver written notice of nonrenewal to           tion requirements to any named creditor loss
       the first Named lnsured and any named credi-              payee and any mortgageholder, stated in this pol-
       tor loss payee, at least:                                 icy, including any endorsement attached to the
                                                                 policy.
       a.   10 days before the effective date of nonre-
            newal, if the nonrenewal is due to nonpay-      E.   Any named creditor loss payee and any mort-
            ment of premium; or                                  gageholder may elect not to receive notification of
       b.   30 days before an anniversary date or the            cancellation or nonrenewal by providing us with a
                                                                 written release.
            expiration date of the policy, if the nonre-
           newal is for any other reason.
       We will notify the first Named lnsured and any
       named creditor loss payee by mailing or deliv-
       ering the notice of nonrenewal to the last mail-
       ing address known to us. lf notice is mailed,
       proof of mailing will be sufficient proof of no-
       tice.




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     Case 4:10-cv-02931 Document 1-2                   Filed in TXSD on 08/16/10 Page 60 of 74


POL¡CY NUMBER: HDO G24940354                                                                         ENDT. #57


                                                                           COMMERCIAL GENERAL LIABILITY
                                                                                                   cG 26 61 10   01


     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

            MONTANA CHANGES                             - MEDICAL PAYMENTS
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART


Paragraph 1.b. lnsuring Agreement of Coverage                      (21   Necessary medical, surgical, x-ray and
G. Medical Payments is replaced by the following:                        dental services, including prosthetic de-
   b. We will make these payments regardless of                          vices;   and        ,,,

      fault. These payments will not exceed the                    (3) Necessary ambulancà, hospital, profes-
      applicable limit of insurance. We will pay ex-                   sional nursing ând funeral services.
      penses for:
      (1) First aid adminístered at the time of   an
         accident;




cG 26 61 10   01                          @ ISO Properties,   lnc., 2000                                Page 1 of     1   tr
     Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 61 of 74


POLICY NUMBER: HDO G24940354                                                                         ENDT. #58



                                                                                                  lL 0t 67 09 08

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                    MONTANA CHANGES - CONFORMITY
                           WITH STATUTES
This endorsement modifies insurance provided under the following:

   CAP|TAL ASSETS PROGRAM (OUTPUT pOLlCy) COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
   OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRO DUCTS/COM PLETED OPERATIONS LIAB LITY COVERAG E PART
                                                    I

   RAILROAD PROTECTIVE LIABILITY COVERAGE PART


A. The following Condition   is added:                         2. We will provide the minimum amounts         and
   Conformity with Montana statutes. The provisions               types of other coverages, such as no-fault, re-
   of this policy or Coverage Part conform to the                 quired of out-of-state vehicles by the jurisdic-
   minimum requirements of Montana law and con-                   tion where the covered "auto" is being used.
   trol over any conflicting statutes of any state in          3. No one will be entitled to duplicate payments
   which you reside on or after the effective date of             for the same elements of loss.
   this policy or Coverage Part.                            B. Any provision of this policy or Coverage Part (in-
   However, with respect to insurance provided un-             cluding endorsements which modify the policy or
   der the Commercial Automobile Coverage Paft,                Coverage Part) that does not conform to the
   while a covered "auto" is away f¡om Montana:                minimum requirements of a Montana statute is
   1. We will increase the Limit of lnsurance for Li-          amended to conform to such statute.
      ability Coverage to meet the limits specified by
      a compulsory or financial responsibility law of
      the jurisdiction where the covered "auto" is be-
      ing used. This extension does not apply to the
      limit or limits specified by any law governing
      motor carriers of passengers or property.




rL 01 67 09 08                            @ ISO Propefties, lnc., 2007                               Pagelofl        tr
     Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 62 of 74



POLICY NUMBER: HDO G24940354                                                                              ENDT. #59



                                                                                                        tL 02 43 09 07

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                    MONTANA CHANGES
This endorsement modifies insurance provided under the following:

   CAPTTAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   LIQUOR LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIAB LITY COVERAGE PART
                                                     I




A. With respect to other than the Farm Property -                           (d) Substantial breaches of       contractual
   Farm Dwellings, Appurtenant Structures And                                 " ,dr.lties, conditions or warranties;
   Household Personal Property Coverage Form,                               (e) Determination by the Commissioner
   Paragraph 2. of the Cancellation Common Policy                               of lnsurance that continuation of the
   Condition is replaced by the following:                                      policy would place us in violation of
   2. Cancellation Of Policies                                                  the Montana lnsurance Code;
      a. Midterm Gancellation                                                (f)Financial impairment of us; or
          We may cancel this policy based on the                            (g) Such other reasons that are            aP-
          provisions below, by mailing or delivering                            proved by the Commissioner of ln-
          written notice to the first Named lnsured at                          surance.
          least 10 days before the effective date of                  (3) lf this policy   has been issued for a term
          cancellation:                                                     longer than one year, and        if either the
         (1) lf this policy has been in effect for less                     premium is prepaid or an agreed term is
             than 60 days, excePt as Provided in                            guaranteed for additional premium con-
             Paragraph 2.a.(3),belôw, we may cancel                         sideration, we may cancel this policy
             for any reason.                                                 only for one or more of the reasons
                                                                             stated in Paragraph 2.a.(2'¡ above.
         (2) lf this polidy has been in effect for   60
             days or more, we may cancel this policy                b. Anniversary
                                                                                 Cancellation
             prior to the expiration of the agreed                     We may cancel any policy with a term of
             term or prior to one year from the effec-                 more than one year by mailing or delivering
             tive date of the PolicY or renewal,                       to the first Named lnsured written notice of
             whichever is less, only for one or more                   cancellation at least 45 days before the an-
              of the following reasons:                                niversary date of the policy. Such cancella-
             (a) Failure to pay a premium when due;                    tion will be effective on the policy's anni-
                                                                       versary date.
             (b) Material misrepresentation;
             (c) Substantial change in the risk      as-
                 sumed, excePt to the extent that we
                 should reasonably have foreseen the
                 change or contemPlated the risk in
                 writing the contract;



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B. With respect to the Farm Property - Farm Dwell-                             (3) lf this policy   has been issued for a term
   ings, Appurtenant Structures And Household Per-                                 longer than one year, and      if either the
   sonal Property Coverage Form, Paragraph 2. of                                   premium is prepaid or an agreed term is
   the Cancellation Common Policy Condition is re-                                 guaranteed for additional premium con-
   placed by the following:                                                        sideration, we may cancel this policy
   2. Cancellation Of Policies                                                     only for one or more of the reasons
                                                                                   stated in Paragraph 2.a.(2)(bl by mail-
      a. Midterm Cancellation                                                      ing or delivering written notice to the
        (1) We may cancel this policy for nonpay-                                  first Named lnsured at least 45 days be-
            ment of premium by mailing or deliver-                                 fore the effective date of cancellation.
            ing written notice of cancellation to the                    b. Anniversary        Gancellation
              first Named lnsured at least 20 days be-
            fore the effective date of cancellation.                           We may cancel any policy with a term of
                                                                                more than one year by mailing or delivering
        (2) We may cancel this policy based on the                             to the first Named lnsured written notice of
            reason(s) stated in Paragraph 2.a.(2)(a)                           cancellation at least 45 days before the an-
            or (2)(b) by mailing or delivering written                          niversary date of the policy. Such cancella-
            notice of cancellation to the first Named                          tion will be effective on the policy's anni-
              lnsured at least 45 days before the ef-                          versary date.
              fective date of cancellation:
                                                                G. Paragraph 5. of the Gáncellation Common Policy
              (a) lf this policy has been in effect for               Condition is replaced hy the following:
                  less than 60 days, except as pro-
                    vided in Paragraph 2.a.(31, we may                5. lf this policy is:cancelled, we will send the first
                    cancel for any reason.                               Named lnsured any premium refund due. lf we
                                                                         cancel, the réfund will be pro rata. lf the first
              (b)   lf this policy has been in effect for 60             Named lnsured cancels, the refund may be
                    days or more, we may cancel this                     less thãn pro rata. The cancellation will be ef-
                    policy prior to the expiration of the                fective éVen if we have not made or offered a
                    agreed term or prior to one year                   : réfund. However, when a financed insurance
                    from the effective date of the policy                poliCy is cancelled, we will send any refund
                    or renewal, whichever is less, only                  due to the premium finance company on a pro
                    for one or more of the following rea-              ':"'rata basis.
                    SONS:
                                                                O. Àny When We Do Not Renew Condition is de-
                     (i) Material misrepresentation;              '   leted.
                    (ii) Substantial change in the risk               The following When We Do Not Renew Condition
                         assumed, except to the extent                is added:
                        that we should reasonably have
                        foreseen the change or contem-                1. lf we electnot to renew this Coverage Part, we
                        plated the risk in writing the con-              will mail or deliver to the first Named lnsured
                        tract;
                                                                         shown in the Declarations and agent, if any, a
                                                                         notice of intention not to renew at least 45
                (iii)   Substantial breaches of contrac-                 days before the agreed expiration date.
                        tual duties, conditions or warran-
                        ties;
                                                                      2. We need not mail or deliver this notice if:
                (iv) Determination by the        Commis-                 a. You have purchased insurance elsewhere;
                        sioner of lnsurance that continua-               b. You have accepted replacement coverage;
                        tion of the policy would place us                c. You have requested or agreed to nonre-
                        in violation of the Montana lnsur-                      newal; or
                        ance Code;
                                                                          d.    This policy is expressly designated as non-
                 (v) Financial impairment of us; or                             renewable.
                (vi) Such other reasons that are
                     approved by the Commissioner
                        of lnsurance.




Page 2 of 2                                     O ISO Properties, lnc., 2006                                    tL02430907 tr
       Case 4:10-cv-02931 Document 1-2                              Filed in TXSD on 08/16/10 Page 64 of 74


POLICY NUMBER: HDO c24940354                                                                                       ENDT. #60



                                                                                                                rL 02 98 09 08

          THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                  NEW MEXICO CHANGES - CANCELLATION
                           AND NONRENEWAL
This endorsement modifies insurance provided under the following:

     CAPTTAL ASSETS PROGRAM (OUTPUT pOLtCy) COVERAGE PART
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL INLAND MARINE COVERAGE PART
     COMMERCIAL PROPERTY COVERAGE PART
     CRIME AND FIDELITY COVERAGE PART
     EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
     EQUIPMENT BREAKDOWN COVERAGE PART
     FARM COVERAGE PART
     LIQUOR LIABILITY COVERAGE PART
     MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
     POLLUTION LIABILITY COVERAGE PART
     PRODUCTS/COM PLETED OPERATIONS LIAB LITY COVERAG E PART   I




A.   Paragraph 2. of the Cancellation Common Policy                           c. lf we cancel  subject lo 2.b. above, we will
     Condition is replaced by the following:                                      mail or deliver to the first Named lnsured
     2.   Permissible Reasons And Notice Period                                   written notice of cancellation at least:
          a. lf this policy is in effect less than 60 days,                      (1) 10 days before the effective date of
             we may cancel for any reason by mailing or                              cancellation, for the reason set forth in
             delivering to the first Named lnsured written                           2.b.(1).
             notice of cancellation at least 10 da¡¡s be-                        (2) 30 days before the effective date of
             fore the effective date of cancellation.                                cancellation, for the reason set forth in
          b. lf this policy is in effect 60 days or more,                            2.b.(2).
             we may cancel only for one or more of the                           (3) f 5 days before the effective date of
             following reasons:            :
                                                                                     cancellation, for a reason set forth in
            (1) Nonpayment of premium                                                 2.b.(3), 2.b.(4) or 2.b.(5).
            (2) There has,been a substantial change            in          The written notice will state the reason for cancel-
                the risk assumed by us since the policy                    lation, except that such statement may be omitted
                was issued.                                                from a notice mailed to an additional insured or
                                                                           lienholder under this policy.
            (3) The policy was obtained through mate-
                rial misrepresentation, fraudulent state-               B. The following Condition is added:
                ments, omissions or concealment of                         NONRENEWAL
                fact material to the acceptance of the                     lf we decide not to renew this policy, we will mail
                risk or to the hazard assumed by us.
                                                                           or deliver to the first Named lnsured written notice
            (4) Willful and negligent acts or omission                     of the nonrenewal not less than 30 days before
                by the insured have substantially in-                      the expiration date of the policy.
                creased the hazards insured against.
            (5) You presented a claim based on fraud
                or material   m   isrepresentation.




tL 02 98 09 08                                        O ISO Properties, |nc.,2007                                   Pagelofl      tr
          Case 4:10-cv-02931 Document 1-2                Filed in TXSD on 08/16/10 Page 65 of 74



POLIGY NUMBER: HDO G24940354                                                                             ENDT.    #61




                                                                                                        tL 01 15 01 10

          THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

              NEVADA CHANGES                        - DOMESTIC PARTNERSHIP
This endorsement modifies insurance provided under the following:

     COMMERCIAL AUTOMOBILE COVERAGE PART
     COMMERCIAL GENERAL LIABILITY COVERAGE PART
     COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
     ELECTRONIC DATA LIABILITY COVERAGE PART
     FARM COVERAGE PART
     FARM UMBRELLA LIABILITY POLICY
     LIQUOR LIABILITY COVERAGE PART
     MEDICAL PROFESSIONAL LIABILITY COVERAGE PART
     OWNERS AND CONTRACTORS PROTECTIVE LIABILITY COVERAGE PART
     POLLUTION LIABILITY COVERAGE PART
     PRODUCT WITHDRAWAL COVERAGE PART
     PRODUCTS/COM PLETED OPERATIONS LIABI LITY COVERAG E PART
     UNDERGROUND STORAGE TANK POLICY


A.   All references to spouse shall include an individ-         C. With respect to coverage for the ownership, main-
     ual who is in a domestic partnership recognized                 tehance, or use of "covered autos" provided under
     under Nevada law.                                               the :Commercial Liability Umbrella Coverage Part,
B. Under    the Commercial Auto Coverage Part, the                   the term "family member" is replaced by the fol-
     term "family member" is replaced by the following:              lowing:

     "Family member" means a person related to the:              ,   "Family member" means a person related to you
                                                                     by blood, adoption, marriage or domestic partner-
     1.    lndividual Named lnsured by blood, adoption,              ship recognized under Nevada law, who is a resi-
           marriage or domestic partnership recognized               dent of your household, including a ward or foster
           under Nevada law, who is a resident'of such               child.
           Named lnsured's household, including a: ward
           or foster child; or
     2. lndividual named in the Schedule by blood,
        adoption, marriage, or domestic partnership
           recognized under Nevada [aw, who is a resi-
           dent of the individual's household, including a
           ward or foster child,if the Drive Other Car
           Coverage - Broadened Coverage For Named
           lndividual Endorsement is attached.




tL   0l   15 01 10                       @ lnsurance Services   Office, lnc., 2009                         Pagel   of1    tr
     Case 4:10-cv-02931 Document 1-2                  Filed in TXSD on 08/16/10 Page 66 of 74


POLICY NUMBER: HDO G24940354                                                                          ENDT. #62



                                                                                                    lL 02 51 09 07

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                   NEVADA CHANGES - CANCELLATION
                          AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   CAPITAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
   COMMERCIAL AUTOMOBI LE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EM PLOYM ENT-RELATED PRACTI CES LIABI LITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIABI LITY COVERAG E PART


A. The following are added to the Cancellation                       (5) A material change in the nature or ex-
   Common Policy Condition:                                              tent of the risk, occurring after the first
     7.a. Midterm Cancellation                                           effective date of the current policy,
                                                                         which causes the risk of loss to be sub-
          lf this policy has been in effect for 70 days                  stantially and materially increased be-
          or more, or if this policy is a renewal of a                   yond that contemplated at the time the
          policy we issued, we may cancel only for                         policy was issued or last renewed;
          one or more of the following reasons:
                                                                     (6)   A  determination by the commissioner
         (1) Nonpayment of premium;                                        that continuation of our present volume
         (2) Conviction of the insured of a crime                          of premiums would jeopardize our sol-
             arising out of acts increasing the hazard                     vency or be hazardous to the interests
             insured against; " ,                                          of our policyholders, creditors or the
                                                                           public;
         (3) Discovery of fraud or material misrepre-
             sentation in obtaining the policy or in                 (7)   A  determination by the commissioner
             presenting a òlaim thereunder;                                that the continuation of the policy would
                                                                           violate, or place us in violation of, any
         (4) Discovery of an act or omission or a                          provision of the code.
             violation of any condition of the policy
             which occurred after the first effective             b. Anniversary Gancellation
             date of the current policy, and substan-                lf this policy is written for a term       longer
             tially and materially increases the haz-                 than one year, we may cancel for any rea-
             ard insured against;                                     son at an anniversary, by mailing or deliv-
                                                                      ering written notice of cancellation to the
                                                                      first Named lnsured at the last mailing ad-
                                                                      dress known to us at least 60 days before
                                                                      the anniversary date.




tL 02 51 09 07                              @ ISO Properties, lnc., 2006                                Pagel     oÍ2    tr
     Case 4:10-cv-02931 Document 1-2                     Filed in TXSD on 08/16/10 Page 67 of 74



B. The following is added as an additional Condition          c. Notices
   and supersedes any other provision to the con-
   trary:                                                         l.   Notice of cancellation or nonrenewal in accor-
                                                                       dance with A. and B. above, will be mailed,
   NONRENEWAL                                                          first class or certified, or delivered to the first
   1. lf we elect   not to renew this policy, we will mail             Named lnsured at the last mailing address
        or deliver to the first Named lnsured shown in                 known to us and will state the reason for can-
        the Declarations a notice of intention not to re-              cellation or nonrenewal.
        new at least 60 days before the agreed expira-            2. We will also provide a copy of the notice of
        tion date.                                                   cancellation, for both policies in effect less
        lf notice is mailed, proof of mailing will be suf-             than 70 days and policies in effect 70 days or
        ficient proof of notice.                                       more, to the agent who wrote the policy.
   2.   We need not provide this notice if:
        a. You have accepted replacement coverage;
        b. You have requested or agreed to nonre-
            newal; or
        c. This policy   is expressly designated as non-
            renewable.




Page 2 of 2                                    O ISO Properties, lnc., 2006                                tL 02 51 09 07    tr
     Case 4:10-cv-02931 Document 1-2                Filed in TXSD on 08/16/10 Page 68 of 74


POLICY NUMBER: HDO G24940354                                                              ENDT. #63
                                                                       COMMERCIAL GENERAL LIABILITY


     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                   KANSAS AND OKLAHOMA CHANGES
                         TRANSFER OF RIGHTS
                                                                                    -
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART.


Condition 8. TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US (Section lV), does not apply
to COVERAGE C. MEDICAL PAYMENTS.




CG 01 09 11   85               Copyright, lnsurance Services Office, lnc., 1984            Pagelofl   tr
     Case 4:10-cv-02931 Document 1-2                    Filed in TXSD on 08/16/10 Page 69 of 74


POLICY NUMBER: HDO G24940354                                                                           ENDT. #64



                                                                                                     lL 02 36 09 07

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                 OKLAHOMA CHANGES - CANCELLATION
                        AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   cAPrrAL ASSETS PROGRAM (OUTPUT POLICY)COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EM PLOYMENT-RELATED PRACTICES LIAB LITY COVERAGE PART
                                                  I


   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART


   Paragraph 2. of the Cancellation Common Policy                    (a) The occurrence of a change in the risk
   Condition is replaced by the following:                                 that substantially increases any hazard
   2. We may cancel this policy by mailing or deliv-,           '          insured against after insurance cover-
                                                                           age has been issued or renewed;
      ering to the first Named lnsured written notice
      of cancellation at least:                                      (5) A violation of any local fire, health,
                                                                           safety, building, or construction regula-
      a.   10 days before the effective date of cancel-
                                                                           tion or ordinance with respect to any
           lation if we cancel for nonpayment of pre-
                                                                           covered property or its occupancy that
           mium; or
                                                                           substantially increases any hazard in-
      b.   30 days before the effeclive date of cancel-                    sured against;
           lation if we cancel for any other reason.
                                                                     (6)   A   determination    by the     lnsurance
      After coverage has been in effect for more                           Commissioner that the continuation of
      than 45 business days or after the effective                         the policy would place us in violation of
      date of a renewal of this policy, no notice of                       the insurance laws of this state;
      cancellation will be issued by us unless it is
                                                                     (7) Your convíction of a crime having as
      based on at least one of the following reasons:
                                                                        one of its necessary elements an act in-
           (1) Nonpayment of premium;                                   creasing any hazard insured against; or
           (2) Discovery of fraud or material misrepre-             (8) Loss of or substantial changes in appli-
               sentation in the procurement of the in-                  cable reinsurance.
               surance or with respect to any claims
                                                            B. The following are added to the Common Policy
               submitted under it;
                                                               Conditions and supersede any provisions to the
           (3) Discovery of willful or reckless acts or        contrary:
               omissions by you that increase any
               hazard insured against;




lL 02 36 09 07                              O ISO Properties, lnc., 2006                                 Pagelof2      tr
    Case 4:10-cv-02931 Document 1-2                         Filed in TXSD on 08/16/10 Page 70 of 74



   1.   Nonrenewal                                                     c.   lf notice is mailed:
        a. lf we elect not to renew this policy, we will                    (1) lt will be considered to have   been given
           mail or deliver written notice of nonrenewal                         to the first Named lnsured on the day it
           to the first Named lnsured at least 45 days                             is mailed.
             before:
                                                                            (2) Proof of mailing will be sufficient proof
             (1) The expiration date of this policy; or                            of notice.
             (2) An anniversary date of this policy, if it is          d. lf the first Named lnsured       accepts the re-
                 written for a term longer than one year                    newal, the premium increase or coverage
                 or with no fixed expiration date.                          changes will be effective the day following
        b. Any notice of nonrenewal will be mailed     or                   the prior policy's expiration or anniversary
             delivered to the first Named lnsured at the                    date.
             last mailing address known to us.                         e. lf notice is not mailed or delivered at least
        c.    lf notice is mailed:                                          45 days before the expiration date or anni-
             (1) lt will be considered to have been given                   versary date of this policy, the premium,
                  to the first Named lnsured on the day it                  deductible, limits and coverage in effect
                                                                            prior to the changes will remain in effect
                 is mailed.
                                                                            until:
             (2) Proof of mailing will be sufficient proof
                 of notice.
                                                                            (1) 45 days after notice.is given; or
        d. lf   notice of nonrenewal is not mailed or                       (2) The effective date of :replacement cov-
             delivered at least 45 days before the expi-                           erage obtained by the insured;
             ration date or an anniversary date of this                     whichever occurs iirst.
             policy, coverage will remain in effect until                   lf the first Named lnsured then elects not
             45 days after notice is given. Earned pre-                     to renew, any earned premium for the re-
             mium for such extended period of coverage                      sulting extended period of coverage will be
             will be calculated pro rata based on        the                calculated pro rata at the lower of the new
             rates applicable to the expiring policy.                       rates or rates applicable to the expiring pol-
        e.   We will not provide notice of nonrenewal if:                   icy.
             (1) We, or another company within           the           f.    We will not provide notice of the following:
                 same insurance group, have offered to                      (1) Changes in a rate or plan filed pursuant
                 issue a renewal policy; or                                     to the Property and Casualty Competi-
             (2) You have obtained replacement cover-                           tive Loss Cost Rating Act applicable to
                 age or have agreed in writing to obtain                        an entire class of business;
                 replacement coverage.                                      (2) Changes which are based upon the
        f.   lf we have provided the required notice of                         altered nature or extent of the risk in-
             nonrenewal as described in 8.1.a. above,                              sured; or
             and thereafter extend the policy for a pe-                     (3) Changes in policy forms filed with or
             riod of 90 days or less, we will not provide                          approved by the lnsurance Commis-
             an additional nonrenewal notice with re-                              sioner and applicable to an entire class
             spect to the period of extension.                                     of business.
   2. Premium Or Goverage Changes           At Renewal
        a. lf we elect to renew this policy, we will give
           written notice of any premium increase,
           change in deductible, or reduction in limits
           or coverage, to the first Named lnsured, at
             the last mailing address known to us.
        b. Any such notice will be mailed    or delivered
             to the first Named lnsured at least 45 days
              before:
             (1) The expiration date of this policy; or
             (2) An anniversary date of this policy, if it is
                 written for a term longer than one year
                 or with no fixed expiration date.




Page 2 of 2                                      @ ISO Propedies, lnc., 2006                                 1L02360907 tr
     Case 4:10-cv-02931 Document 1-2                           Filed in TXSD on 08/16/10 Page 71 of 74


POL¡CY NUMBER: HDO G24940354                                                                              ENDT. #65



                                                                                                        tL 02 46 09 07

     THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

            PENNSYLVANIA GHANGES - CANCELLATION
                     AND NONRENEWAL
This endorsement modifies insurance provided under the following:

   CAPITAL ASSETS PROGRAM (OUTPUT POLICY) COVERAGE PART
   COMMERCIAL AUTOMOBILE COVERAGE PART
   COMMERCIAL GENERAL LIABILITY COVERAGE PART
   COMMERCIAL INLAND MARINE COVERAGE PART
   COMMERCIAL LIABILITY UMBRELLA COVERAGE PART
   COMMERCIAL PROPERTY COVERAGE PART
   CRIME AND FIDELITY COVERAGE PART
   EMPLOYMENT-RELATED PRACTICES LIABILITY COVERAGE PART
   EQUIPMENT BREAKDOWN COVERAGE PART
   FARM COVERAGE PART
   FARM UMBRELLA LIABILITY POLICY
   LIQUOR LIABILITY COVERAGE PART
   POLLUTION LIABILITY COVERAGE PART
   PRODUCTS/COM PLETED OPERATI ONS LIAB LITY COVERAG E PART
                                                          I




A. The Cancellation Common Policy Condition                   is        b. You have failed    to pay a premium when
   replaced by the following:                                              due, whether the premium is payable di-
   CANCELLATION                                                            rectly to us or our agents or indirectly under
                                                                           a premium finance plan or extension of
   1. The first Named lnsured shown in the Declara-                        credit. Notice of cancellation will be mailed
      tions may cancel this policy by writing or giving                    at least 15 days before the effective date of
      notice of cancellation.                :
                                                                           cancellation.
   2. Gancellation   Of Policies ln Effect Fôi Less                        A condition, factor or loss experience mate-
      Than 60 Days                                                         rial to insurability has changed substantially
      We may cancel this policy by mailing or deliv-                       or a substantial condition, factor or loss ex-
      ering to the first Named lnsured written notice                      perience material to insurability has be-
      of cancellation at least 30 days before the ef-                      come known during the policy period. No-
      fective date of cancellation.                                        tice of cancellation will be mailed or
                                                                           delivered at least 60 days before the effec-
   3. Cancellation Of Policies ln Effect For 60                            tive date of cancellation.
      Days Or More
                                                                        d. Loss of reinsurance or a substantial de-
      lf this policy has been in effect for 60 days or                     crease in reinsurance has occurred, which
      more or if this policy is a renewal of a policy                      loss or decrease, at the time of cancella-
      we issued, we may cancel this policy only for                        tion, shall be certified to the lnsurance
      one or more of the following reasons:
                                                                           Commissioner as directly affecting in-force
       a. You have made a material misrepresenta-                          policies. Notice of cancellation will be
          tion which affects the insurability of the risk.                 mailed or delivered at least 60 days before
          Notice of cancellation will be mailed or de-                     the effective date of cancellation.
          livered at least 15 days before the effective
          date of cancellation.




tL 02 46 09 07                                   @ ISO Properties, lnc., 2006                               Pagel   oÍ2     tr
    Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 72 of 74




       e. Material failure to comply with policy terms,          7. lf   notice is mailed, it will be by registered or
            conditions or contractual duties. Notice of               first class mail. Proof of mailing will be suffi-
            cancellation will be mailed or delivered at             cient proof of notice.
            least 60 days before the effective date of       B. The following are added and supersede any provi-
            cancellation.                                       sions to the contrary:
       f.
        Other reasons that the lnsurance Commis-                 1. Nonrenewal
        sioner may approve. Notice of cancellation
        will be mailed or delivered at least 60 days                lf we decide    not to renew this policy, we will
        before the effective date of cancellation.                    mail or deliver written notice of nonrenewal,
                                                                      stating the specific reasons for nonrenewal, to
  This policy may also be cancelled from inception                    the first Named lnsured at least 60 days before
  upon discovery that the policy was obtained                         the expiration date of the policy.
  through fraudulent statements, omissions or con-
  cealment of facts material to the acceptance of                2.   lncrease Of Premium
  the risk or to the hazard assumed by us.                            lf we increase your renewal premium, we will
  4. We will mail or deliver our notice to the first                  mail or deliver to the first Named lnsured writ-
       Named lnsured's last mailing address known to                  ten notice of our intent to increase the pre-
       us. Notice of cancellation will state the specific             mium at least 30 days, before the effective
       reasons for cancellation.                                      date of the premium increâse.

  5.   Notice of cancellation will state the effective           Any notice of nonrenêWâl or renewal premium in-
       date of cancellation. The policy period will end          crease will be mailed or: delivered to the first
       on that date.                                             Named lnsured's last known address. lf notice is
                                                                 mailed, it will be by registered or first class mail.
  6.   lf this policy is cancelled, we will send the first       Proof of mailing will be sufficient proof of notice.
       Named lnsured any premium refund due. lf we
       cancel, the refund will be pro rata and will be
       returned within 10 business days after the ef-
       fective date of cancellation. lf the first Named
       lnsured cancels, the refund may be less than
       pro rata and will be returned within 30 days af-
       ter the effective date of cancellation. The can-
       cellation will be effective even if we have not
       made or offered a refund.




Page 2 of 2                                  O ISO Properties, lnc., 2006                                  tL 02 46 09 07   tr
     Case 4:10-cv-02931 Document 1-2                      Filed in TXSD on 08/16/10 Page 73 of 74


POLICY NUMBER: HDO G24940354                                                                   ENDT. #66


                                                                           COMMERC¡AL GENER,AL LIABILITY
                                                                                            cG 0l 03 06 06

      THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

                                         TEXAS CHANGES
This endorsement modifies insurance provided under the following:

   COMMERCIAL GENERAL LIABILITY COVERAGE PART


A. With regard to liability for Bodily lnjury, Property
   Damage and Personal And Advertising lnjury,
   unless we are prejudiced by the insured's or your
   failure to comply with the requirement, no provi-
   sion of this Coverage Pañ requiring you or any
   insured to give notice of "occurrence", claim or
   "suit", or fon¡rlard demands, notices, summonses
   or legal papers in connection with a claim or
   "suit" will bar coverage under this Coverage
   Paft.




cG 0l 03 06 06                              O ISO Properties, lnc., 2005                        Page 1 of    1
         Case 4:10-cv-02931 Document 1-2                                   Filed in TXSD on 08/16/10 Page 74 of 74
POLICY NUMBER: HDO G24940354                                                                                                          ENDT.   #67



                                                                      SIGNATURES

     Named lnsured                                                                                       Endorsement Number
     M-r, L.L.C.                                                                                         67
  Poticy Symbol         Policy Number                 Policy Period                                      Effective Date of Endorsement
  HDO                   c24940354                     04/0L/20L0 to            04/oL/2oLL
  lssued By (Name of lnsurance Company)
  ACE   American Insurance                       Companv
           icv number. The remainder of the information is to be comoleted onlv when this

 THE ONLY SIGNATURES APPLICABLE TO THIS POLICY ARE THOSE REPRESENTING THE COMPANY NAMED
 ON THE FIRST PAGE OF THE DECLARATIONS.
                               By signing and delivering the policy to you, we state that it is a valid contract.
                                    INDEMNITY INSURANCE COMPANY OF NORTH AMERICA
                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19'l06-3703

                                        BANKERS STANDARD FIRE AND MAR]NE COMPANY
                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106-3703

                                          BANKERS STANDARD INSURANCE COMPANY
                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106--3703,

                                              ACE INDEMNITY INSURANCE COMPANY ,, , ,
                                                                                                                 i




                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106-3703

                                              ACE AMERICAN INSURANCE COMÞANY
                               436 Walnut Street, P. O. Box'1000, Philadelphia, Pennsylvania 19106-3703

                                      ACE PROPERTY AND CASUALTY INSURANCË COIVIPII.IY
                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106-3703

                                                      INSURANCE COMPANY OF NORTH AMERICA
                               436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106-3703

                                             PACIFIC EMPLOYERS INSURANCE COMPANY
                                436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania 19106-3703

                                          ACE FIRE UNDERWRITERS INSURANCE COMPANY
                                436 Walnut Street, P. O. Box 1000, Philadelphia, Pennsylvania '1 9106-3703




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