Buyer Representation: What To Obtain From The Title Insurance Company And What Are They Legally Required To Provide?
Under the FRBAR Contract, the obligation is on the SELLER (per 9(c) under Closing Costs, Fees and Charges) to deliver Contract specific documents and copies. A Buyer may request documentation from a Seller’s chosen Title Company, however the Title Company may choose not to adhere to any requests made by the Buyer.
This lack of customer service may be irritating, but it is not necessarily a breach of Contract, as the Title Company is not the responsible party to deliver such documentation. The Seller alone is responsible for timely delivery of Title Evidence, Insurance documents, and ‘Legible Copies of Instruments Listed as Exceptions’, and should be held accountable for such requests. Legally, a Title Company can refuse to provide a number of pertinent documents to the Buyer, and may simply cite that they will be available in the final settlement statement.
What should you do if the Title Company fails to deliver the required documents? Send a demand to the Seller to preserve any conditions in the contract. That will usually get their attention.
The information presented in this “Tuesday Takeaway” is intended for informational purposes only. This information should not be used as legal advice applicable to a specific situation. In addition, our provision of this information to an individual in no way constitutes an attorney-client relationship.