As part of our real estate litigation practice we are constantly reviewing and purchasing title reports and litigation guarantees. Recall, a title report is a written analysis of the status of title to real property. These reports typically include the name of the record title holders as well as any recorded encumbrances against the property like mortgages, liens, deeds of trusts, abstracts of judgments, easements, taxes liens, etc. A litigation guarantee is very similar to title report or a title policy in that it should contain the exact same information. A litigation guarantee, however, is also an insurance policy on the litigation – it insures that when notice is required for lien holders or encumbrance holders that the party or attorney giving notice has given notice to the proper parties. In other words, it provides insurance that the entities or people listed on the litigation guarantee are the only people deserving of notice – the only people with recorded interests in the subject property.
Over many years of dealing with title policies and title reports we have found that title policies tend to vary from company to company. In other words, there is not necessarily a standard title report. A title report from one company for Property XYZ will not necessarily look the same as a title report from another company for Property XYZ. This means that if there is an encumbrance showing up on record title that sometimes it makes sense to get more than one title report to see if two different title companies view the encumbrances the same way. This additional expense can save on court costs over the long run. Remember that title companies, like standard insurance companies, make their own internal decision regarding the risk they are will to insure against. This can be the cause of variance amongst title reports.
For help with clearing title to a recorded encumbrance contact us at 310-954-1877, email@example.com, www.schorr-law.com or by filling in the contact form on this page. Our Los Angeles Quiet Title Lawyers have extensive experience dealing with liens, encumbrances and title policy and can help you to maximize your recovery in any lawsuit.