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NAUTILUS INSURANCE COMPANY <br /> POLICY NUMBER: NC591918 LIABILITY ENDORSEMENT <br /> THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. <br /> SPECIAL EVENT LIABILITY ENDORSEMENT <br /> This endorsement modifies insurance provided under the following: <br /> COMMERCIAL GENERAL LIABILITY COVERAGE PART <br /> SCHEDULE <br /> Schedule of Events (Including description of events, locations and dates): <br /> CHERRY FESTIVAL <br /> HIGHWAY 26, LINDEN CA 95236 <br /> MAY 19, 2007 <br /> Deductible Liability Insurance (Including Costs and Expenses) <br /> Coverage Amount of Deductible <br /> COVERAGE A- Bodily Injury and Property Damage Liability $ 500 Per Claim <br /> 1. Our obligation under SECTION I -COVERAGE A- BODILY INJURY AND PROPERTY DAMAGE LIABILITY to <br /> pay damages on the insured's behalf applies only to the amount of damages in excess of any deductible <br /> amount stated in the Schedule above as applicable to such coverages. The limits of insurance applicable to <br /> each "occurrence"for such coverages will be reduced by the amount of such deductible. Aggregate limits for <br /> such coverages shall not be reduced by the application of such deductible. <br /> 2. The deductible amount stated is on a PER CLAIM BASIS. The deductible amount applies under Bodily Injury <br /> and Property Damage Liability Coverage combined to all damages because of "bodily injury" and "property <br /> damage"sustained by any one person or organization as a result of any one"occurrence". <br /> 3. The deductible amount stated in the Schedule above applies toward investigation, adjustment and legal <br /> expenses incurred in the handling and investigation of each claim, whether or not payment is made to the <br /> claimant, compromise settlement is reached or the claim is denied. <br /> 4. The terms of this insurance, including those with respect to: <br /> a. Our right and duty to defend "suits"seeking those damages; and <br /> b. Your duties in the event of an"occurrence", claim or"suit", <br /> apply regardless of the application of the deductible amount. <br /> 5. We may, at our sole election and option, either: <br /> a_ Pay any part or all of the deductible amount to effect settlement of any claim or"suit" and upon notification <br /> of the action taken, you will promptly reimburse us for such part of the deductible amount as has been paid <br /> by us; or <br /> b_ Upon our receipt of notice of any claim or at any time thereafter, request you to pay and deposit with us all <br /> or any part of the deductible amount,to be held and applied according to the terms of this policy. <br /> FULLY EARNED PREMIUM <br /> If this insurance is cancelled at your request, the premium for this insurance will be fully earned and no refund will be <br /> made. <br /> Cancellation of this insurance for non-payment of premium is considered a request by the first Named Insured for <br /> cancellation of this policy. <br /> S 024 (02/95) <br /> SO41 (09/03) Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 1 of 2 <br />