Saturday, July 14, 2012

What does E & R mean?

I'd like to find out what E&R means with regard to a title search and title insurance.  The documents I received at closing supporting the title insurance use this abbreviation numerous times.  Thanks..........A

Hi, A:

I'm thinking they must mean exceptions and reservations.  I strongly advise that you ask for details about WHAT exceptions and reservations they are referring to.  Here's what these words mean in title insurance:

RESERVATIONS are rights retained/reserved by a seller.  For instance a seller may reserve the right to use a well.  A seller may reserve the oil and gas rights.  A seller may reserve a life estate.  To simply refer to reservations without identifying the nature of the reservation doesn't tell you anything.

EXCEPTIONS is an even more general terms which refers to any right you are not getting.  The entire Schedule B2 of our title insurance commitment and Schedule B of your title policy is full of exceptions.  These can include anything such as rights of way, easements, restrictions on the land, etc.

Hope this helps. You have a right to obtain copies of documents that contain the language of any reservations or exceptions.  Ask your title agent to send you a pdf of any document found in the search that identifies an exception or reservation.  This is the only way to understand the limits of the ownership you will enjoy.


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