Title Defect

Title Defect

Something that prevents a title to a property from being a clear title. That is, a title defect is a situation in which there may be a legitimate, contrary claim to the true ownership of the property. A title defect can prevent the sale of a property. See also: Title search, Title insurance, Quitclaim deed.
References in periodicals archive ?
We provide a free CARFAX report with every vehicle and we never sell a vehicle which has had a prior serious problem or title defect.
That's what the gas company would refer to as a title defect, or an uncertainty in the chain of title," Grayson said.
If a title defect is discovered and must be cured before the property can be sold, the seller will often make a claim under its title insurance policy and want its title insurer to cure the defect as quickly as possible to avoid a loss of the sale and any decline in property value.
InMay 2007 he was fined pounds 2000 for failing to reply to a solicitor or the LawSociety in relation to a title defect involving two properties.
Courts throughout the United States have generally identified three points in time to use to measure damages within a title policy's limits in connection with an owner's loss of title: the date of purchase of the property, the date the title defect was created, and the date the defect was first discovered.
Two weeks into the closing the sellers' attorney Steven Greenberg informed them about the title defect and handed to file over to Fidelity Title to work on clearing the title.
15) Shada then held that the title company was required to remove the title defect without insisting upon an "actual loss," an "unworkable term" according to the New Jersey opinion cited by the court.
His practice encompasses a wide variety of real estate issues, including foreclosure and eviction proceedings, partition actions, boundary disputes, title defect resolution and contract drafting.
5) The buyer wants to close on the residence he is purchasing, notwithstanding a slight title defect.
For example, if the insured is a land developer whose project is halted because of a title defect which the title insurance company seeks to resolve by litigation, is the title insurance company liable for the mortgage payments, redevelopment costs, lost interest, lost profit, and the like resulting from the delay--even if the title company is ultimately successful in its curing litigation?
assuming the risk and assigning premiums) insurance policies to protect the owners of real estate or real estate creditors against loss sustained by reason of any title defect to real property.
If a TitleGuard policyholder discovers a hidden or unreported DMV title defect, TitleGuard will pay their actual losses up to 100 percent of the vehicle's fair market retail value, to $50,000.