Tuesday, November 13, 2007

query: title company tax mistake

As with any mistake, the title company must rectify it first by protecting the insured, then by recovering losses from the person who should have paid the tax.

Remember that the owner of the real estate has personal knowledge of the taxes and has an obligation to speak up if the title company makes a mistake on the settlement statement. It's not a case of finders keepers. The owner/seller affidavit creates a legally binding acknowledgement that all taxes have been paid at or before closing.

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