Orange County Title Curative Lawyer

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Orange County Title Curative Attorney

Skilled Orange County Title Curative Lawyer

Purchasing any type of real estate is an exciting time that can be a marker of success. Whether for personal or business use, the purchase represents an investment in your future. Unfortunately, not every property is accompanied by a title that is free of defects. Experiencing a defective product could result in a loss of time in your purchasing process. Without the help of an Orange County title curative lawyer, you may be out of more than just time.

At Scheer Law Group, LLP, our attorneys understand that a defective title could mean delays in your business ventures and an increase in invested revenues. However, with our help, you could put your real estate venture back on track as we not only guide you through the process but also help you clear the title quickly and efficiently. Our experience and knowledge have helped clients for over 30 years. Let us help you through the curative process.

What Does Title Curative Mean?

Title curative is just as it sounds, ensuring a title is cured of any number of defects. Without a clean title, the transfer of ownership cannot occur. Common blemishes on a title include:

A title record that lists a person who does not have any ownership interest in the property
Executing a deed that requires clarifications of boundary lines or easements
The title lists liens against the property that may show conflict in property usage

Until the title is considered free and clear, an insurance company, mortgage lender, or financial institution cannot underwrite the transaction.

Titles and other real estate documents are susceptible to errors due to the sheer volume of paperwork associated with them. The purpose of the process is to ensure the title holder has the legal parameters to possess the property and has used it in the identified way according to the title.

What Are Common Title Curative Issues?

Both commercial and residential property transactions could encounter issues with a title. Common problems that arise with a title include:

Description of land. All land has jurisdictional requirements such as property lines and easements. All land on a title should be described accurately.
Recordation. The registered documents should contain all information that is required by the state and county records.
Tax liens or mortgages. Liens and mortgages require a release prior to the transaction of the title. In the case of a lien, verifications must be established. In terms of a mortgage, part of the property is eligible for release if the property experiences a takedown schedule or through consecutive partial releases.
Estate planning. In cases where property is a part of a trust, a will, or other estate planning documentation, the testator’s intent must be sufficiently documented before the property ownership is transferred.
Joint tenancies and life estates. If the property is part of a unique ownership circumstance, that must be conveyed adequately. This could include such instances as someone who has passed but is listed on a title.
Divorce decrees and marital interests. When spouses get divorced, their final decree should contain any legal information for appropriately transferring titles. A quitclaim deed can be acquired for clarifying purposes.
Company conveyances, corporations, partnerships, mergers, and more. Company executives must ensure that company conveyances are appropriately executed.

This is not an all-encompassing list of potential conflicts with a title but it does highlight some of the more common instances that could result in the need for curative title services.

What Happens When Title Issues Are Uncovered?

The first step in the process of ensuring a title is clear and can be a part of the transaction is to run a title search. In a title search, all of the history will be examined and checked to ensure it is free from errors. This is commonly referred to as creating the chain of title. The results of the title examination will then be reported to the title company.

In Orange County, CA, if any of the issues listed above or issues similar to them are uncovered, the title company will list them on the title commitment documentation. The purpose of the title commitment is to acknowledge, through the insurance underwriting, the terms that will be met at the close of the transaction. There are three sections of a title commitment that include:

Schedule A. This part of the commitment acknowledges the address of the property, the parcel ID number, the legal description of the property, the type of policy that will be issued, and who the policy covers.
Requirements. This is the list of requirements that must be settled from the result so the title search can be completed before the policy is issued or the transaction is completed. Examples of requirements could include clearing a lien.
Exceptions. This could include issues associated with the title that will not impact the close of the transaction but will need to be accepted by all parties. Issues such as an easement could be an exception since there is no way to resolve this.

Once the title commitment is issued, all parties involved will receive a copy, at which point the title company will work to clear the title by resolving the items listed under requirements. This period of time is referred to as the curative process.

How Are Title Issues Resolved?

There are several ways that a real estate attorney can help you work through the curative process. If, for example, a lien is revealed during the title search, it will likely be listed under the requirements section. To help resolve the lien from the title, they will work with the title company to do the following:

Contacting the lender who currently holds the lien. It will likely not be the same as the lender that you are using but will be referred to as the payoff lender.
Work with the payoff lender to inform them that the mortgage is going to be paid off.
Reach an agreement with the payoff lender to release the lien when the balance of the mortgage has been paid.

If there is an issue that arises in the title that is not able to be resolved, then that issue may be moved into the exceptions category. However, it will likely not be covered by any title insurance. Any remaining issues at the end of the curative period should either be resolved or moved into the exceptions category.

How Could a Cloudy Title Impact Your Business?

For business leaders, cloudy titles are particularly damaging to the everyday course of business. Hiring the right attorney who is able to handle the many different property needs of your business means you need someone who is organized and can handle the many moving parts.

Contacting recorder’s offices, lenders, and private lien holders to verify the information and work to resolve issues that arise in order to get the title to the point that insurance can be appropriately issued is an enormous amount of work. In addition, if anyone files a claim against a title you own, then your attorney will be prepared and equipped to handle your case. Delays in curative titles can be costly to a business.

If your business is the one that holds the lien on a property, you may have concerns about how to continue to recover the funds from a property that is being sold. The help of an experienced attorney, such as those from the Scheer Law Group, LLP, can help look after your interests through the sale process to ensure that the funds you are owed are recovered. If necessary, they can help you through any litigation.

What Is a Quiet Title Claim?

If the title in question has a dispute involving the rightful owner of the land, you may need to enter quiet title litigation. This process takes the legal approach to resolve any defects in the chain of title. This type of litigation is quite common and often occurs when there is a death of the title owner. There may also be instances where squatters attempt to claim ownership of the property. Quiet title claims involve several key elements, including:

The property description, including the real address or common designation
The plaintiff title, which the determination of, will determine the quiet title is sought
Any adverse claims towards the title of the plaintiff. This could include any parties that are thought to be included in the title but are not; however, final determinations may not include them
The date a determination is sought
A prayer for determination of the title of the plaintiff against adverse claims

The plaintiff has the burden of proof through clear and convincing evidence.