Major League Pest Control Inc E. Valley Pkwy. PMB #178 Escondido CA 92027

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1 WOOD DESTROYING PESTS AND ORGANISMS INSPECTION REPORT Building No. Street City Zip Harvard Dr. Oceanside Ordered by: Bryan/Allison Devore Prudential Calif. Realty 3247 Camino De Los Coches #100 Carlsbad CA E. Valley Pkwy. PMB #178 Escondido CA Tel (760) Fax (760) Property Owner and/or Party of Interest: Wayne and Barbara Watson Harvard Dr. Oceanside CA Date of Inspection Report # : Registration # : Escrow # : Report sent to: Karyn Dillon Pickford Escrow 7030 Avenida Encinas #120 Carlsbad CA Number of Pages PR-3473 CORRECTED REPORT COMPLETE REPORT LIMITED REPORT X SUPPLEMENTAL REPORT REINSPECTION REPORT GENERAL DESCRIPTION: Two story frame and stucco condo, occupied, partially carpeted with detached garage. Inspection Tag Posted: Attic Other Tags Posted: AA Sameday An inspection has been made of the structure(s) shown on the diagram in accordance with the Structural Pest Control Act. Detached porches, detached steps, detached decks and any other structures not on the diagram were not inspected. Subterranean Termites Drywood Termites X Fungus / Dryrot X Other Findings Further Inspection X If any of the above boxes are checked, it indicates that there were visible problems in accessible areas. Read the report for details on checked items. Diagram Not To Scale Inspected By: Alberto Correa State License No. FR Signature: You are entitled to obtain copies of all reports and completion notices on this property reported to the Structural Pest Control Board during the preceding two years. To obtain copies contact: Structural Pest Control Board, 2005 Evergreen Street, Suite 1500, Sacramento, California, NOTE: Questions or problems concerning the above report should be directed to the manager of the company. Unresolved questions or problems with services performed may be directed to the Structural Pest Control Board at (916) , (800) or 43M-41 (Rev. 10/01)

2 Page 2 of inspection report City State Zip THIS IS NOT A STRUCTURAL DAMAGE REPORT. THIS REPORT COVERS ONLY THOSE ITEMS COVERED BY THE SCOPE OF THIS COMPANY LICENSE FOUND ON THE DAY OF THE INSPECTION. NOTICEE: The Structural Pest Control Board encourages competitive business practices among registered companies. Reports on this structure prepared by various registered companies should list the same findings (i.e. termite infestations, termite damage, fungus damage, etc). However, recommendations to correct these findings may vary from company to company. Therefore, you have a right to seek a second opinion since there may be alternative methods of correcting the findings listed on this report that may be less costly from another company. A. Certain areas are recognized by the industry as inaccessible and/or for other reasons not inspected. These include but are not limited to inaccessible and/or, insulted attics or portions thereof. Attics with less than 18 clear crawl space, the interior of hollow walls, spaces between a floor or porch deck and the ceiling below. Area where there is no access without defacing or tearing out lumber, masonry or finished work, areas behind stoves, refrigerators or beneath floor coverings, furnishings areas where encumbrance and storage, conditions or locks make inspection impractical, and areas or timbers around eaves that would require use of an extension ladder. B. Slab floor construction has become more prevalent in recent years. Floor coverings may conceal cracks in the slab that will allow infestation to enter. Infestation and/or Infections in the walls may be concealed by plaster so that a diligent inspection may not disclose the true condition. These areas are not practical to inspect because of health hazards, damage to the structure; or inconvenience. They were not inspected unless described in this report. We recommend further inspection if there is any question about the noted area. Ref: Structural Pest Control Act, Article 6, Section 8516(b), Paragraph, 1990(i). C. This inspection pertains only to the specific address or an address indicated above and does not include any attached or adjacent unit(s). D. A re-inspection will be performed, if requested within four (4) months from date of original inspection, on any corrective work that we are regularly in the business of performing. If CERTIFICATION is required, any work performed by others must be CERTIFIED by them. There is a re-inspection fee. E. This company DOES NOT GUARANTEED work performed by others, including owner. Licensed Contractor s bills should be submitted to escrow as guarantee of work completed. F. Should any party in interest desire further information pertaining to the condition of the Plumbing or the Roof, we recommend the employment of a licensed contractor, as this is not within the scope of our license. The exterior surface of the roof will not be inspected. If you want the water tightness of the roof determined, you should contact a roofing contractor who is licensed by the contractor state licensed board. NOTE: SECOND STORY EAVES ARE INSPECTED FROM GROUND LEVEL ONLY. NO PROBING OF SECOND STORY EAVES IS DONE BY THIS COMPANY. NOTE: THE EXTERIOR SURFACE OF THE ROOF WAS NOT INSPECTED. IF YOU WANT THE WATER TIGHTNESS OF THE ROOF DETERMINED, YOU SHOULD CONTACT A ROOFING CONTRACTOR WHO IS LICENSED BY THE CONTRACTOR S STATE LICENSE BOARD. G. This proposal does not include Painting or Decorations in the process of work performed. Items recommended will be replaced as close as possible to original but are NOT GUARANTEED to match. H. Second story stall showers are inspected but NOT WATER TESTED unless there is evidence of leaks in ceilings below. Ref; Structural Pest Control Rules and Regulations, Sec.8516G. Sunken or below grade showers or tubs are not water tested due to their construction. I. During the course of/or after opening walls or any PREVIOUSLY CONCEALED AREAS, should any further damage or infection be found, a supplementary report will be issued. Any work completed in these areas would be at OWNER S DIRECTION AND ADDITIONAL EXPENSE. J. During the process of treatment or replacement it may be necessary to drill holes through ceramic tiles or other floor covering; these holes will then be sealed with concrete. We assume NO RESPONSIBILITY for cracks, chipping, or other damage to floor coverings. We do not re-lay carpet. K. We assume NO RESPONSIBILITY for damage to any Plumbing, Gas, Or Electrical lines etc., in the process of pressure treatment of concrete slab areas or replacement of concrete or structural timbers. Page 1 of 2 Disclosure

3 Page 3 of inspection report City State Zip L. When a fumigation is recommended to this company, its subcontractors and employees assume no responsibility for damage to Shrubbery, Tree(s), Plants, TV Antennas, satelite dishes, solar panels, or Roofs. A FUMIGATION NOTICE will be left with, or mailed to the Owner of this property, or his designated Agent. Occupants must comply with instructions contained in fumigation Notice. During the fumigation and aeration, the possibility of burglary exists as it does any time you leave your home. Therefore, we recommend that you take any steps that you feel necessary to prevent any damage to your property. We also recommend that you contact your insurance agent and verify that you have insurance coverage to protect against any loss, damage or vandalism to your property. The company does not provide any onsite security except as required by state or local ordinance and does not assume any responsibility for care and custody of the property in case of vandalism, breaking or entering. M. Your termite report and clearance will cover any EXISTING infestation or infections which is outlined in this report. N. If you should have any questions regarding this report, please call or come by our office Monday through Friday at 1305 Simpson Wy. Suite L/M, Escondido O. I agree to pay reasonable attorney s fees, if suit is required by this COMPANY to enforce any terms of this contract, together with the cost of such action, whether or not suit proceeds to judgement. P. The total amount of this contract is due and payable upon completion of work unless otherwise specified. A finance charge computed at a Monthly rate of 1.5% of the unpaid balance (annual Percentage rate of 18%) will be added to all accounts past due. Q. If this report is used for escrow purpose then it is agreed that this inspection report and Completion, if any, is part of the ESCROW TRANSACTION. R. uses only common available material. We do not guarantee to match material which is no longer available. If owner/agent would like custom milled lumber, must be notified before work is performed and an additional charge for custom lumber will be charged to owner/agent. S. Under the California Mechanics Lien Law any structural pest control operator who contracts to do the work for you, any contractor, subcontractor, laborer, supplier or other person who helps to improve your property, but is not paid for his work or supplies, has a right to enforce a claim against your property. This means that after a court hearing, your property could be sold by a court officer and the proceeds of the sale used to satisfy the indebteness. This can happen even if you have paid your contractor in full if the subcontractors or material suppliers remain unpaid. To preserve their rights to file a claim or lien against your property, certain claimants such as subcontractors or material suppliers are required to provide you with a document entitled "Preliminary Notice." General contractors and laborers for wages do not have to provide this notice. A Preliminary Notice is not a lien against your property. Its purpose is to notify you of persons who may have a right to file a lien against your property if they are not paid. T. NOTE: If the need for additional work is noted during the repairs that will resulted in any added cost, a quote will be issued and approved prior to commencement of such repair work. This company will reinspect repairs done by others within four months of the original inspection. A charge, if any, can be no greater than the original inspection fee for each reinspection. The reinspection must be done within ten (10) working days of request. The reinspection is a visual inspection and if inspection of concealed areas is desired, inspection of work in progress will be necessary. Any guarantees must be received from parties performing repairs. I OWNER/AGENT HAVE READ THE ENTIRE INSPECTION REPORT AND UNDERSTAND ALL OF THE DISCLAIMERS & HAVE NOTIFIED ALL CONCERNED PARTIES. OWNER/AGENT INITIALS DATE Page 2 of 2 Disclosure

4 Page 4 of 11 of Standard Inspection Report PLEASE READ ENTIRE REPORT CAREFULLY INCLUDING ALL DISCLOSURES AND NOTES: This inspection report states our terms, conditions and limitations. PLEASE READ THIS CAREFULLY. If you have any questions, please call our office at (760) NOTE: Numbers and Letters on diagram refer to general locations not specific locations. When a recommendation of fumigation is made, the owner or designated agent MUST NOTIFY Major League Pest Control, Inc. of the presence of any construction elements, conduits, drains, or vacuum systems that could allow passage of the fumigant from the structure to be fumigated to any adjacent or adjoining structure(s), thereby connecting them. INACCESSIBLE/NOT INSPECTED AREAS: Certain areas are recognized by the industry as inaccessible and/or for other reasons not inspected. These include but are not limited to: inaccessible and/or, insulated attics or portions thereof, attics with less than 18" clear crawl space, the interior of hollow walls; spaces between a floor or porch deck and the ceiling below; area where there is NO access without defacing or tearing out lumber, masonry or finished work; areas behind, under or hidden by appliances, furnishings or potted plants (the inspector does not move appliances, furnishings or large plant pots on decks and does not empty out kitchen or bathroom cupboards, or remove shelf paper), beneath floor coverings; areas where emcumbrances and storage, conditions or locks make inspection impractical, portions of the subarea concealed or made inaccessible by ducting or insulation, area beneath wood floors over concrete, and areas or timbers around eaves were visually inspected from ground level only, windows are inspected from inside and out (windows are not opened for inspection). Although we make visual examinations, we do not deface or probe window/door frames, decorative trims, remove baseboards, or lower soil levels around earth to wood contact points. Unless otherwise specified in this report, we do NOT inspect fences or any part of, sheds, dog houses, detached patios, detached wood decks, wood retaining walls or wood walkways. We assume NO responsiblity for work done by anyone else, for damage to structure or contents during our inspection or for infestation, infection, adverse conditions or damage undetected due to inaccessibility or non-disclosure by owner/agent/tenant. Previous owners may have covered up possible areas of infestation or infection by bondoing, puttying or otherwise covering up an area. Probing of these areas by the inspector may not reveal any evidence of infestation or infection on the day of inspection and therefore are not listed in this report. Owner would be responsible for opening up these areas and requesting a further inspection. NOTE: Power washing exposes areas that would not be visible during the normal inspection process, therefore, damage exposed by power washing is not covered by this company. *****IMPORTANT NOTE: THIS PROPERTY WAS NOT INSPECTED FOR THE PRESENCE OR ABSENCE OF HEALTH RELATED MOLDS OR FUNGI. BY CALIFORNIA LAW WE ARE NEITHER QUALIFIED, AUTHORIZED NOR LICENSED TO INSPECT FOR HEALTH RELATED MOLDS OR FUNGI. IF YOU DESIRE INFORMATION ABOUT THE PRESENCE OR ABSENCE OF HEALTH RELATED MOLDS, YOU SHOULD CONTACT AN INDUSTRIAL HYGIENIST. THERE MAY BE HEALTH-RELATED ISSUES ASSOCIATED WITH THE FINDINGS REFLECTED IN THIS REPORT. WE ARE NOT QUALIFIED TO AND DO NOT RENDER AN OPINION CONCERNING ANY SUCH HEALTH ISSUES. THE INSPECTION REFLECTED BY THIS REPORT WAS LIMITED TO VISIBLE AND ACCESSIBLE AREAS ONLY. QUESTIONS CONCERNING HEALTH RELATED ISSUES, WHICH MAY BE ASSOCIATED WITH THE FINDINGS OR RECOMMENDATIONS REFLECTED IN THIS REPORT, THE PRESENCE OF MOLD, THE RELEASE OF MOLD SPORES OR CONCERNING INDOOR AIR QUALITY SHOULD BE DIRECTED TO A CERTIFIED INDUSTRIAL HYGIENIST. RE-INSPECTIONS: Major League Pest Control, Inc. will re-inspect repairs done by others within four months of the original inspection. The charge will be no greater than the original inspection fee for each re-inspection. The re-inspection must be done within ten(10) working days of request. The re-inspection is a visual inspection and if inspection of concealed areas is desired, inspection of work in progress will be necessary. Any guarantees must be received from parties performing repairs. If the homeowner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. In many cases work performed by others covers up (Ex:bondo'd, puttyed or other wise concealed) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence or absence of these wood-destroying pests in these hidden areas. If you desire more information we recommend further inspection by opening up the walls or other THE EXTERIOR SURFACE OF THE ROOF WAS NOT INSPECTED. IF YOU WANT THE WATER TIGHTNESS OF THE ROOF DETERMINED, YOU SHOULD CONTACT A ROOFING CONTRACTOR WHO IS LICENSED BY THE CONTRACTOR'S STATE LICENSE BOARD. "NOTICE: REPORTS ON THIS STRUCTURE PREPARED BY VARIOUS REGISTERED COMPANIES SHOULD LIST THE SAME FINDINGS (i.e.

5 Page 5 of 11 of Standard Inspection Report termite infestations, termite damage, fungus damage.etc.). HOWEVER, RECOMMENDATIONS TO CORRECT THESE FINDINGS MAY VARY FROM COMPANY TO COMPANY. YOU HAVE A RIGHT TO SEEK A SECOND OPINION FROM ANOTHER COMPANY." IMPORTANT NOTICE: DUE TO RECENT EPA AND HUD REQUIREMENTS, IF YOUR STRUCTURE WAS BUILT BEFORE 1978 YOU ARE REQUIRED TO NOTIFY THIS OFFICE ( ). IN THE EVENT COMPONANTS OF THE STRUCTURE REQUIRE REPLACEMENT, LEAD RENOVATION PROTOCOL WILL/MAY BE NECESSARY. *****IMPORTANT - IF THIS REPORT IS FOR ESCROW****** If this report is used for escrow purposes then it is agreed that this inspection report and Certification (Either within the original report or on the Standard Notice of Work Completed and Not Completed), if any, is part of the ESCROW TRANSACTION. HOWEVER, if you received written or verbal instructions from any interested parties involved in this escrow (agents, principals, etc) to NOT PAY OUR INVOICE AT CLOSE OF ESCROW, you are hereby instructed by the Company to NOT USE any of this Companies documents to satisfy any conditions or terms of your escrow for purposes of closing escrow. Further, you are instructed to RETURN ALL DOCUMENTS and the CURRENT MAILING ADDRESS YOU HAVE ON FILE FOR THE PROPERTY OWNER. IMPORTANT NOTES REGARDING FUMIGATION: "NOTICE:The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act or omission in the performance of work that you directly contract with another to perform." We provide a two year warranty from the date of fumigation for the control of drywood termites. See completion for fumigation date. GAS SHUT OFF PROCEDURE: PER SAN DIEGO GAS & ELECTRIC, ALL GAS SHUT OFFS AND TURN ONS FOR FUMIGATIONS MUST BE DONE BY THEM. ALL SHUT OFFS WILL BE DONE THE DAY PRIOR TO FUMIGATION, WITH SOME EXCEPTIONS WHEN WEEKENDS AND HOLIDAYS ARE INVOLVED. GAS TURN ONS WILL BE DONE THE AFTERNOON OF FUMIGATION CLEARANCE WITH SOME EXCEPTIONS WHEN WEEKENDS AND HOLIDAYS ARE INVOLVED. SDG&E SERVICE NUMBER IF OWNER/OCCUPANT/AUTHORIZED AGENT DOES NOT ALLOW DISCONNECTION AND THE FUMIGATION CREW ARRIVES AND ARE UNABLE TO FUMIGATE, THE OWNER WILL BE CHARGED A CANCELLATION FEE OF 25% OF THE FUMIGATION COST. WE ARE NOT ALLOWED TO DISCONNECT OR RESTORE GAS SERVICE UNDER ANY CIRCUMSTANCES. CHECK WITH MAJOR LEAGUE PEST CONTROL, INC. FOR DETAILS. PLANTS: ALL plants around exterior of building must be trimmed AWAY from building 12-18" for fumigation process. In the course of completing the fumigation at the above noted address, it may be necessary for the fumigators to cover some or all plants on the exterior of the structure. We suggest that you water the plants well enough to soak the roots prior to and after the fumigation, as even if plants are not covered their root system may go toward the area being fumigated. There may be ***SLIGHT TO SEVERE DAMAGE***. This company, its employees and fumigation subcontractors shall NOT be held liable for any plant damage incurred in the fumigation process. It is the owners/sellers/agents responsibility to notify any buyers of potential damage to landscaping due to the fumigation process. BAGGING OF FOOD ITEMS: You will be provided instructions regarding what to bag, including the bags that are to be used. Any item that will be ingested and is NOT in its original SEALED container MUST be bagged.(including, but not limited to the following items:food, medicines and alcohol. Also misc. items such as down comforters and pillows, plastic covered baby mattresses, rubber diving suits, etc. See instructions provided). If any food, alcohol items are not bagged that should be they will be thrown away and the empty container will be left for you to see what was done. If you have any doubt as to what you should bag, bag it or remove it. ROOF: In the course of the fumigation, tiles or roofing may be damaged. Due to the process by which the fumigation is done this may be unavoidable. Major League Pest Control, Inc. and its subcontractors and their employees assume No responsiblity for this damage unless Tile Insurance has been taken by owner. FENCES: In the course of the fumigation process it may be necessary to work close to fences and or cover or tape fences. As this company and is's subcontractors are not aware of the condition of fences prior to fumigation we are not responsible for any damage done to the fences during the fumigation process. READ OCCUPANTS FUMIGATION NOTICE CAREFULLY FOR ALL DISCLOSURES BEFORE SIGNING. WEATHER DELAYS: Due to stringent safety requirements if significant moisture or rains occur the night prior to or on the day of the scheduled fumigation, or significant winds occur the day of the scheduled fumigation, it may be necessary to re-schedule the fumigation. Please allow time should this happen. Major League Pest Control, Inc. and its fumigation subcontractors are not responsible for any additional costs incurred by owner due to weather delays. IMPORTANT: IT IS VERY IMPORTANT THAT ONE READS ALL INFORMATION PROVIDED ON THE FUMIGATION NOTICES PRIOR TO SIGNING. IF YOU HAVE ANY QUESTIONS OR CONCERNS YOU NEED TO BRING THEM TO MAJOR LEAGUE PEST CONTROL, INC. ATTENTION PRIOR TO SIGNING THE NOTICIES. NOTE:

6 Page 6 of 11 of Standard Inspection Report NOTE: In order to fumigate structure, Next door attached neighbor will need to sign appropriate fumigation paperwork and make all appropriate preparations. NOTE: This report is limited to this condo unit and its detached garage only at the request of the agent Bryan Devore. IMPORTANT: Since this is a limited report, this company does recommend a further inspection of the entire structure be made. "THIS IS A SEPARATED REPORT WHICH IS DEFINED AS SECTION I/SECTION II CONDITIONS EVIDENT ON THE DATE OF THE INSPECTION. SECTION I CONTAINS ITEMS WHERE THERE IS VISIBLE EVIDENCE OF ACTIVE INFESTATION, INFECTION OR CONDITIONS THAT HAVE RESULTED IN OR FROM INFESTATION OF INFECTION. SECTION II ITEMS ARE CONDITIONS DEEMED LIKELY TO LEAD TO INFESTATION OR INFECTION BUT WHERE NO VISIBLE EVIDENCE OF SUCH WAS FOUND. FURTHER INSPECTION ITEMS ARE DEFINED AS RECOMMENDATIONS TO INSPECT AREA(S) WHICH DURING THE ORIGINAL INSPECTION DID NOT ALLOW THE INSPECTOR ACCESS TO COMPLETE THE INSPECTION AND CANNOT BE DEFINED AS SECTION I OR SECTION II. 2. DRYWOOD TERMITES: 2A - Attic. Evidence of drywood termite (kaloterme) infestation was noted in this area. See 2A on diagram. Fumigate building with an approved lethal gas Vikane or Zythor (Sulfuryl Floride) or Methyl Bromide and Chloropicrin as a warning agent for control of drywood termite infestation. "NOTICE: The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control, Inc's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act or omission in the performance of work that you directly contract with another to perform." The structure must be vacated until the fumigation and areation have been completed. Accessible termite pellets shall be removed, covered, or masked over after treatment. PLEASE NOTE: This company, its employees and subcontractors can assume NO responsibility for damage to roofing, antennas or plants due to the fumigation process. Major League Pest Control, Inc. provides a two year warranty from the date of fumigation for drywood termites. 2B - Attic. Evidence of drywood termite infestation was noted in this area. At the request of the owner or agent, a secondary recommendation of local chemical treatment is made in lieu of fumigation. The Structural Pest Control Board considers this a substandard treatment to original fumigation recommendation. See 2B on diagram. *****THIS IS A SECTION 1 ITEM***** Chemically treat infested and surrounding area with an approved chemical for the control of drywood termite infestation. Accessible termite pellets shall be removed, covered, or masked over after treatment. Cy-Kick (Cyfluthrin). "Local treatment is not considered to be an all emcompassing treatment method. If infestations of wood destroying pests extend beyond the area(s) of local treatment they will not be exterminated." WE MAKE NO WARRANTY ON SECONDARY RECOMMENDATIONS. IMPORTANT NOTE: If this treatment is performed in leiu of the primary recommendation to fumigate structure a Section 1 clearance for subterranean termite infestation and fungus and dryrot infection (if any findings and work completed) will be issued along with a Section 1 secondary substandard treatment noted on the drywood termite infestation only. The notice of completion would read as follows: "This is a Section 1 clearance certifying that the property described herein is free of evidence of active subterraean termite infestation and fungus and dryrot infection in the visable accessible areas of the structure. A primary recommendation to fumigate was noted on report, however, due to the circumstances of other attached units which are owned by others and may be part of a homeowners association a secondary Section 1 substandard local treatment for drywood termites was completed on this unit. We make NO warranty on secondary recommendations." 2C - House trim. Evidence of drywood termite (kaloterme) infestation was noted in this area. See 2C on diagram.

7 Page 7 of 11 of Standard Inspection Report Fumigate building with an approved lethal gas Vikane or Zythor (Sulfuryl Floride) or Methyl Bromide and Chloropicrin as a warning agent for control of drywood termite infestation. "NOTICE: The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control, Inc's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act or omission in the performance of work that you directly contract with another to perform." The structure must be vacated until the fumigation and areation have been completed. Accessible termite pellets shall be removed, covered, or masked over after treatment. PLEASE NOTE: This company, its employees and subcontractors can assume NO responsibility for damage to roofing, antennas or plants due to the fumigation process. Major League Pest Control, Inc. provides a two year warranty from the date of fumigation for drywood termites. 2D - House trim. Evidence of drywood termite infestation was noted in this area. At the request of the owner or agent, a secondary recommendation of local chemical treatment is made in lieu of fumigation. The Structural Pest Control Board considers this a substandard treatment to original fumigation recommendation. See 2D on diagram. *****THIS IS A SECTION 1 ITEM***** Chemically treat infested and surrounding area with an approved chemical for the control of drywood termite infestation. Accessible termite pellets shall be removed, covered, or masked over after treatment. Cy-Kick (Cyfluthrin). "Local treatment is not considered to be an all emcompassing treatment method. If infestations of wood destroying pests extend beyond the area(s) of local treatment they will not be exterminated." WE MAKE NO WARRANTY ON SECONDARY RECOMMENDATIONS. IMPORTANT NOTE: If this treatment is performed in leiu of the primary recommendation to fumigate structure a Section 1 clearance for subterranean termite infestation and fungus and dryrot infection (if any findings and work completed) will be issued along with a Section 1 secondary substandard treatment noted on the drywood termite infestation only. The notice of completion would read as follows: "This is a Section 1 clearance certifying that the property described herein is free of evidence of active subterraean termite infestation and fungus and dryrot infection in the visable accessible areas of the structure. A primary recommendation to fumigate was noted on report, however, due to the circumstances of other attached units which are owned by others and may be part of a homeowners association a secondary Section 1 substandard local treatment for drywood termites was completed on this unit. We make NO warranty on secondary recommendations." 2E - Eave. Evidence of drywood termite (kaloterme) infestation was noted in this area. See 2E on diagram. Fumigate building with an approved lethal gas Vikane or Zythor (Sulfuryl Floride) or Methyl Bromide and Chloropicrin as a warning agent for control of drywood termite infestation. "NOTICE: The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control, Inc's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act or omission in the performance of work that you directly contract with another to perform." The structure must be vacated until the fumigation and areation have been completed. Accessible termite pellets shall be removed, covered, or masked over after treatment. PLEASE NOTE: This company, its employees and subcontractors can assume NO responsibility for damage to roofing, antennas or plants due to the fumigation process. Major League Pest Control, Inc. provides a two year warranty from the date of fumigation for drywood termites. 2F - Eave. Evidence of drywood termite infestation was noted in this area. At the request of the owner or agent, a secondary recommendation of local chemical treatment is made in lieu of fumigation. The Structural Pest Control Board considers this a substandard treatment to original fumigation recommendation. See 2F on diagram. *****THIS IS A SECTION 1 ITEM***** Chemically treat infested and surrounding area with an approved chemical for the control of drywood termite infestation. Accessible termite pellets shall be removed, covered, or masked over after treatment. Cy-Kick

8 Page 8 of 11 of Standard Inspection Report (Cyfluthrin). "Local treatment is not considered to be an all emcompassing treatment method. If infestations of wood destroying pests extend beyond the area(s) of local treatment they will not be exterminated." WE MAKE NO WARRANTY ON SECONDARY RECOMMENDATIONS. IMPORTANT NOTE: If this treatment is performed in leiu of the primary recommendation to fumigate structure a Section 1 clearance for subterranean termite infestation and fungus and dryrot infection (if any findings and work completed) will be issued along with a Section 1 secondary substandard treatment noted on the drywood termite infestation only. The notice of completion would read as follows: "This is a Section 1 clearance certifying that the property described herein is free of evidence of active subterraean termite infestation and fungus and dryrot infection in the visable accessible areas of the structure. A primary recommendation to fumigate was noted on report, however, due to the circumstances of other attached units which are owned by others and may be part of a homeowners association a secondary Section 1 substandard local treatment for drywood termites was completed on this unit. We make NO warranty on secondary recommendations." 2G - Eave. Damage as a result of drywood termite infestation was noted in this area See 2G on diagram. Repair or replace all weakened wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is NOT included in our estimate. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for defective rain gutters that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the homeowner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. In many cases work performed by others covers up(example:bondo, putty etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood destroying pests in these 2H - Window casing trim. Evidence of drywood termite (kaloterme) infestation was noted in this area. See 2H on diagram. Fumigate building with an approved lethal gas Vikane or Zythor (Sulfuryl Floride) or Methyl Bromide and Chloropicrin as a warning agent for control of drywood termite infestation. "NOTICE: The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control, Inc's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act or omission in the performance of work that you directly contract with another to perform." The structure must be vacated until the fumigation and areation have been completed. Accessible termite pellets shall be removed, covered, or masked over after treatment. PLEASE NOTE: This company, its employees and subcontractors can assume NO responsibility for damage to roofing, antennas or plants due to the fumigation process. Major League Pest Control, Inc. provides a two year warranty from the date of fumigation for drywood termites. 2I - Window casing trim. Evidence of drywood termite infestation was noted in this area. At the request of the owner or agent, a secondary recommendation of local chemical treatment is made in lieu of fumigation. The Structural Pest Control Board considers this a substandard treatment to original fumigation recommendation. See 2I on diagram. *****THIS IS A SECTION 1 ITEM***** Chemically treat infested and surrounding area with an approved chemical for the control of drywood termite infestation. Accessible termite pellets shall be removed, covered, or masked over after treatment. Cy-Kick (Cyfluthrin). "Local treatment is not considered to be an all emcompassing treatment method. If infestations of wood destroying pests extend beyond the area(s) of local treatment they will not be exterminated." WE MAKE NO WARRANTY ON SECONDARY RECOMMENDATIONS. IMPORTANT NOTE: If this treatment is performed in leiu of the primary recommendation to fumigate structure a Section 1 clearance for subterranean termite infestation and fungus and dryrot infection (if any findings and work completed) will be issued along with a Section 1 secondary substandard treatment noted on the drywood termite infestation only. The notice of completion would read as follows: "This is a Section 1 clearance

9 Page 9 of 11 of Standard Inspection Report certifying that the property described herein is free of evidence of active subterraean termite infestation and fungus and dryrot infection in the visable accessible areas of the structure. A primary recommendation to fumigate was noted on report, however, due to the circumstances of other attached units which are owned by others and may be part of a homeowners association a secondary Section 1 substandard local treatment for drywood termites was completed on this unit. We make NO warranty on secondary recommendations." 2J - Window casing trim. Damage as a result of drywood termite infestation was noted in this area See 2J on diagram. Repair or replace all weakened wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is NOT included in our estimate. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for defective rain gutters that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the homeowner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. In many cases work performed by others covers up(example:bondo, putty etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood destroying pests in these 2K - House trim. Damage as a result of drywood termite infestation was noted in this area See 2K on diagram. Repair or replace all weakened wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is NOT included in our estimate. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for defective rain gutters that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the homeowner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. In many cases work performed by others covers up(example:bondo, putty etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood destroying pests in these 3. FUNGUS / DRYROT: 3A - Deck planks. Wood damage as a result of fungus (dryrot) growth was noted in this area. See 3A on diagram. Source of fungus is unknown. Repair or replace all fungus damaged wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is not included in our estimate. NOTE: If fungus damage extends into inaccessible areas upon repair, an additional charge may be made. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for gutters that may be defective and that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the owner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. We many cases work performed by others covers up (Example:bondo or puttied etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood-destroying pests in these

10 Page 10 of 11 of Standard Inspection Report 3B - Siding. Wood damage as a result of fungus (dryrot) growth was noted in this area. See 3B on diagram. Source of fungus is unknown. Repair or replace all fungus damaged wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is not included in our estimate. NOTE: If fungus damage extends into inaccessible areas upon repair, an additional charge may be made. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for gutters that may be defective and that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the owner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. We many cases work performed by others covers up (Example:bondo or puttied etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood-destroying pests in these 3C - Garage door. Wood damage as a result of fungus (dryrot) growth was noted in this area. See 3C on diagram. Source of fungus is unknown. Repair or replace all fungus damaged wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is not included in our estimate. NOTE: If fungus damage extends into inaccessible areas upon repair, an additional charge may be made. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for gutters that may be defective and that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the owner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. We many cases work performed by others covers up (Example:bondo or puttied etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood-destroying pests in these 3D - 2 story eave. Wood damage as a result of fungus (dryrot) growth was noted in this area. See 3D on diagram. Source of fungus is unknown. Repair or replace all fungus damaged wooden members. All wood that is repaired or replaced by this company will be painted with a coat of primer white paint. Regular color painting or matching paint application is not included in our estimate. NOTE: If fungus damage extends into inaccessible areas upon repair, an additional charge may be made. During repair work on eaves, it may be necessary to detach rain gutters. Due to conditions caused by age, weathering, and previous installation, this company is not responsible for gutters that may be defective and that may need repairing or replacing. Owner may want to remove rain gutters prior to our arrival. Major League Pest Control, Inc. warranties repair work performed by this company for one year from the date of completion. If the owner performed work, or had work performed by others, we do NOT warranty, guarantee or other wise make any representations in regards to the work. During the re-inspection of work done by others we will check for any VISIBLE evidence of the original infestation or infection noted on the report. We many cases work performed by others covers up (Example:bondo or puttied etc.) or leaves infestations or infections in hidden areas. We make no claims or representations regarding the presence of absence of these wood-destroying pests in these 5. FURTHER INSPECTION:

11 Page 11 of 11 of Standard Inspection Report 5A - Attached deck was inaccessible underneath to inspection due to low clearance. See 5A on diagram. Inaccessible areas are neither Section I nor Section II. Open up deck and further inspect. A supplemental report would be issued with findings and recommendations made at that time.

12 DATE: ESCROW NO. Major League Pest Control, Inc E. Valley Pkwy., PMB # 178 Escondido, CA PHONE # (760) FAX # (760) WORK ORDER PROPERTY OWNER/AGENT ADDRESS Wayne and Barbara Watson PRIMARY Section 1 Fumigation - Main residence Item 2A,2C,2E,2H Price Upon Request IMPORTANT:Read inspection report for all disclosures including those regarding fumigation. CHECK WITH MLPC,INC. FOR SPECIFIC GAS SHUT OFF AND TURN ON INSTRUCTIONS. Allow for possible weather delays. Section 1 Repair Item 2G,2J,2K,3A-3D Owner to correct Neither Sec 1 nor Sec 2 Inaccessible Item 5A Owner to correct SECONDARY Section 1 Local Treatment - Main residence Item 2B,2D,2F,2I $ WE MAKE NO WARRANTY ON SECONDARY RECOMMENDATIONS TOTAL BID FOR SECONDARY LOCAL TREATMENT $ PLUS $85.00 INSPECTION FEE = $ FUMIGATION BID ONLY: D & S Fumigations 3638 Bancroft Drive Spring Valley, CA (619) Statewide Fumigation 220 N. Andreasen Dr. Escondido, CA (877) "NOTICE: The charge for service that this company subcontracts to another registered company may include the company's charges for arranging and administering such services that are in addition to the direct costs associated with paying the subcontractor. You may accept Major League Pest Control's bid or you may contract directly with another registered company licensed to perform the work. If you choose to contract directly with another registered company, Major League Pest Control, Inc. will not in any way be responsible for any act of omission in the performance of work that you directly contract with another to perform." NOTICE TO OWNER All applicable warranties will be noted on report. This company does not warranty any future infestations and/or infections located in different parts of the structure(s) other than stated in the report. Important: See inspection report for all disclosures including those regarding fumigation. PLEASE READ, FILL OUT AND SIGN THE BOXED AREA BELOW: IMPORTANT: It is the current owners/authorized agents responsibility to notify all parties involved of the following: Should any person living or working at the above noted address (Including but not limited to the current owners/occupants and their family, agent(s), buyers/occupants and their family and any current workers at time of treatment) have any known or suspected chemical sensitivities or allergies, or medical conditions that may warrant extra precautions, should notify their physician for any advice before authorizing treatment, to insure that those persons vacate the property for an appropriate amount of time. Minimum times for all persons to vacate during chemical treatments are as follows: 4 hours for localized treatments or 8 hours if pregnant or children under the age of 12 months, or in case of fumigations until house has been released by the fumigators. There may be health related issues associated with the structural repairs reflected in the inspection report referenced by this work authorization contract. These health issues include but are not limited to the possible release of mold spores during the course of repairs. We are not qualified to and do not render any opinion concerning such health issues or any special precautions. Any questions concerning health issues or any special precautions to be taken prior to or during the course of such repairs should be directed to a Certified Industrial Hygienist before any such repairs are undertaken. By executing this work authorization contract, customer acknowledges that he or she has been advised of the forgoing and has had the opportunity to consult with a qualified professional. I OWNER/AGENT HAVE READ AND UNDERSTAND THE INSPECTION REPORT INCLUDING ALL DISCLAIMERS. I hererby authorize Major League Pest Control, Inc. to perform the following items: COST $ AUTHORIZED BY OWNER/AGENT/BUYER DATE: PHONE (HOME) (WORK) Above estimate does not include matching paint and its application unless specifically stated with cost. An additional charge will be added if this work is requested.

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