We were retained to perform an ALTA/NSPS Land Title Survey of commercial property recently. They kept putting us off about getting a title commitment. That happens sometimes but we won't issue anything without it. So, the lawyer calls wanting a draft of our ALTA so that he can put together a title commitment.... based on a draft of the ALTA that will reference said title commitment. Doesn't make sense to me. Has anyone had a similar request?
Happens, I'd be ok with starting with Vesting deeds and surveys of record (recording state here) to get going on the boundary, but I would let them know, that my contract and the negotiated price will include T&M time for everything that may need to be changed after the point in which you receive the Preliminary title report. In my contracts I let them know with contract language that the deadline will require we receive the title documents 2 weeks prior to any scheduled delivery.
Doesn't make sense to me. Has anyone had a similar request?
I've never heard of that and it doesn't make any sense to me either.
Maybe they want you to do a record of survey on the property first so they can reference it in the title report, but if that's the case then I don't understand why they wouldn't say exactly that.
Weird.
If it would stop them from sending along items that pertain to parcels up to a 1/2 mile from the site, I'd be all for it.
I've not heard of what you have written. I have had title companies change the exceptions for the title policy they are going to issue based on items shown in the survey but it has never been necessary to provide a survey prior to receiving title work.
I've had it happen before, but it wasn't on a standard commercial property. It was for 3.5 miles of old RR right-of-way that a municipality was trying to acquire from CSX for a trail system. Their thinking was that if they had a survey showing the existing utilities in the ROW it would help them with the title search.
I ended up just getting an amended contract from my client with an hourly line item for title company coordination and the attorneys at the title company and I worked together on pinning down all the encumbrances.
Doesn't make sense to me.
Me neither. Sounds like BS. I might offer the attorney a screen cap of the tax map.
I recently did this, without being asked. My client had a difficult time getting a title company/examiner on board because of the length of time they've owned the property and the great volume of deeds in their name - a bank. We were eventually given the title examiner's collection of deeds. We had to wade through over 500 pages, weeding out mortgages and properties remote from our site. I included a list of easements that I felt should be included in the Schedule B exceptions and sent my client a review drawing to share with the title insurer. I figured it would give them a good starting point to work from. When I get the actual title commitment I expect the Schedule B will be pretty firm and I will finish the drawing fairly quickly.
Sorta doing their job for them, or at least giving them a good head start.
Had a boundary survey we did and the attorney wanted to review the work with us. My boss had me take the meeting by myself and this lawyer walks in with only a brand new empty folder and asked for a copy of what I had done. The lawyer was heading to a meeting with the clent after our meeting. Man was I pissed. Boss laughed, I refused to work with them ever again and removed them from my list of lawyers I would distribute if a client asked.
Section 4.B The surveyor MUST be provided the following: Complete copies of the most recent title commitment or, if a title commitment is not available, other title evidence satisfactory to the title insurer;
I wouldn't even provide a fee until i had the title report. How else would you know how many easements you need to chase down or how clean the legal is?
The unsigned, numberless commitment they finally sent had the word "PENDING" where the legal description should have been. They missed several easements and didn't include all the deeds. I hope we don't have to deal with that attorney again.
@gary_g I don't think I would mind. When the lawyer is walking out just say... you know, this isn't going to make the ALTA even 1 cent cheaper... 😏
I wouldn't even provide a fee until i had the title report. How else would you know how many easements you need to chase down or how clean the legal is?
Yea, verily. Except on a time and materials basis. And not begin work without a retainer.
I don't have a problem providing a title company with a preliminary of my ALTA survey because i know it will help them speed things along. But, I've learned not to provide the client with the same because invariably the client will send that along to their lender and I'll get a call wondering why I haven't shown the tennis courts, or the swimming pool, or something else. Apparently the large PRELIMINARY text isn't sufficient notice.