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Out of a clear sky ~ A SUMMONS!  


Dave Karoly
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This is an advertisement in the June 5, 1933 edition of the Sacramento Daily Recorder (owned by a Title Company at that time), a legal newspaper (still being published):

Get a policy of title insurance

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A Harris
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That was back in the day the Insurance Company would pay all the expenses to hire an attorney and defend the title you were promise, pay any loss and other expenses like your time to defend your survey.

 

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Duane Frymire
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Yeah, just did one where title company refused to pay.  Landowner had survey and title insurance on purchasing property.  15 years of quiet enjoyment and then a survey of neighbor results in pins set 10 feet into property.  My survey confirms.  Client does in fact own 50 feet of lakefront, but not the 50 feet shown on his survey and insured.  Title company will not pay for my services because client owns 50 feet, even though not the 50 feet they have occupied since purchase.

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Dave Karoly
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Posted by: Duane Frymire

Yeah, just did one where title company refused to pay.  Landowner had survey and title insurance on purchasing property.  15 years of quiet enjoyment and then a survey of neighbor results in pins set 10 feet into property.  My survey confirms.  Client does in fact own 50 feet of lakefront, but not the 50 feet shown on his survey and insured.  Title company will not pay for my services because client owns 50 feet, even though not the 50 feet they have occupied since purchase.

Is there 10' on the other side not occupied by the client?

Seems like the TC should have to eject on the other side of the client or something like that.

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Duane Frymire
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Yes, my survey shows 10 feet more on the other side.  That neighbor hasn't complained about the new markers.  But my client lost 10 feet of what they thought they owned, and what was insured.  He gained it back on the other side.  Probably if the other side neighbor complains, the title company will say that 10 feet was not insured.

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Mark Mayer
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Posted by: Duane Frymire

Yeah, just did one where title company refused to pay.  Landowner had survey and title insurance on purchasing property.  15 years of quiet enjoyment and then a survey of neighbor results in pins set 10 feet into property.  My survey confirms.  Client does in fact own 50 feet of lakefront, but not the 50 feet shown on his survey and insured.  Title company will not pay for my services because client owns 50 feet, even though not the 50 feet they have occupied since purchase.

So was the 15 yo survey a screwup, or what?

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Duane Frymire
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Posted by: Mark Mayer
Posted by: Duane Frymire

Yeah, just did one where title company refused to pay.  Landowner had survey and title insurance on purchasing property.  15 years of quiet enjoyment and then a survey of neighbor results in pins set 10 feet into property.  My survey confirms.  Client does in fact own 50 feet of lakefront, but not the 50 feet shown on his survey and insured.  Title company will not pay for my services because client owns 50 feet, even though not the 50 feet they have occupied since purchase.

So was the 15 yo survey a screwup, or what?

Really more than a screwup or difference of opinion.  Client refused to report it, but said he wouldn't complain if I do.  Haven't got to it yet, but will send it to board, FWIW. 

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Dave Karoly
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Most residential property here conveys without a Survey so I'm not used to seeing that...title policy that insures title and the survey with the conveyance.

In California (in most residential cases) the TC would rightly say there's no problem we are responsible for because you have good title, just not to the same ground you thought but the TC doesn't insure the location.

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Duane Frymire
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Dave, I don't know CA practice but I think most areas location is not covered unless there is a survey.  Then the survey exception is removed.  That's what happened in this case, so I assumed it would be covered.  It might be that he should have made a claim on the policy and let the title company do whatever.  Instead, he retained my services, then made a claim.

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Dave Karoly
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Posted by: Duane Frymire

Dave, I don't know CA practice but I think most areas location is not covered unless there is a survey.  Then the survey exception is removed.  That's what happened in this case, so I assumed it would be covered.  It might be that he should have made a claim on the policy and let the title company do whatever.  Instead, he retained my services, then made a claim.

That is true here, the vast majority don't get the survey exception removed. Commercial is different, though, most convey with an ALTA.

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