Fund News and Alerts

ALTA 2021 Forms Coming Soon!

The Florida Office of Insurance Regulation (OIR) has approved the 2021 American Land Title Association (ALTA) forms for use in Florida.  

The new forms (including a new Commitment, Loan and Owner’s Policies, Short Form Residential Loan Policy and Endorsements) will be available soon. OIR has approved use of the new ALTA 2021 Policy forms in October. 

Important: You will be required to use the new ALTA 2021 forms after a short transition period.

08/29/2022

Title Now Podcast: Cryptocurrency, Blockchain and Real Estate Transactions

A new episode of Title Now is now available! Tune in to learn about the roles cryptocurrency and blockchain play in the world of real estate transactions.  Find out about the risks, advantages, and how this may affect YOU in your practice. 

Listen In: Apple Podcasts, Google Podcasts or Online

08/12/2022

Contending with Memorandums of Interest

The Fund has noticed an increase in the number of recorded instruments titled “Memorandum of Interest” or words of similar import (the Memo) affecting real property throughout the state. The Memo typically refers to a Homeowner Benefit Agreement (Agreement) and is recorded in the public records to memorialize the Agreement and give notice of its specific terms. Such Agreements can affect real property in numerous ways and are often purported to be in effect for lengthy terms – decades in many instances. This article explains the Agreements, and their impact on owners’ and purchasers’ title to real property. In addition, this article identifies insuring concerns, and discusses approaches for obtaining satisfactions and releases from said Agreements. Note should be taken that specific Agreement terms may vary and examples discussed here are for illustrative purposes only. Read the article 08/01/2022

FREE On-Demand Webinar: Avoiding Mortgage Payoff Fraud

Real estate practitioners face pronounced dangers due to cybercrime. Learn the nature and type of cybercrimes affecting Florida real estate closings; why mortgage payoff fraud is more pernicious than other types of cybercrimes, and steps the frontline practitioner can take to help reduce today’s threat vectors, including the implementation of new technologies, and the role of insurance. Watch Now

07/13/2022

Title Now Podcast: Homeowner Benefit Agreements

A new episode of Title Now is now available! Tune in to learn about a new title issue appearing in title searches.  These Agreements obligate an owner to pay a real estate commission, contain covenants running with the land, and potentially create a lien against the property that could be adverse to a buyer.  Don’t be caught off guard if one of these appears in your title search. 

07/07/2022

Avoiding Fraudulent Transactions: A Guide For Fund Members

The Florida real estate market has been very active for the last two years, spurred on by low interest rates on mortgages and a large influx of people relocating to the state. Unfortunately, with increasing land values and sales volume, it was inevitable that criminals have once again taken note of Florida’s prosperity and are attempting to steal as much as they can through fraudulent transactions. 

Read the article

07/01/2022

Stay Tuned, ALTA 2021 Policy Forms are Coming Soon

After many years of work and deliberation, on July 30, 2021, the American Land Title Association published new policy forms and endorsements with an effective date of July 1, 2021. The 2021 ALTA forms include a new Commitment, Loan Policy, Owner’s Policy, Short Form Loan Policy, and some of the endorsements. The 2021 ALTA forms have been submitted for review and approval with the Florida Office of Insurance Regulation (OIR). Approval of the new forms for use in Florida is anticipated sometime in the coming months. Read article

06/01/2022

Addressing Specific Title Objections Relating to Surveys and Tenants

Fund Members must address title objections from lenders, buyers, and even sellers. These parties have different stakes in the transaction, and their title objections will be reflective of their various interests. Contract provisions are also likely to dictate what is or is not objectionable, who may object, when objections and responses must be made, and by which party. When faced with title objections, discerning what can be modified or deleted is both science and art. This article focuses on two of the most common specific title objections, survey matters and tenants in possession, and offers step by step guidance for analyzing the merits of the objections and determining potential resolutions. Read the article 05/01/2022

Alert - Scam Involving Sale of Vacant Lots – it is still with us!

Alerts about this scam have been sent to Fund Members in 2009, 2010 and 2018.  This scam has not gone away!

04/12/2022

Sole Member Limited Liability Companies and the LLC Charging Order

The Fund’s title insurance commitment requirement to confirm the authority of the individual designated to bind an LLC includes the requirement to determine if the LLC is a sole member LLC:

Confirm the authority of the individual designated to bind the LLC by the laws of its jurisdiction of formation, and where the authority is not confirmed by public records, record appropriate evidence of authority. If the LLC is a sole member LLC, provide the name of the sole member for review. The Company reserves the right to make further requirements. (emphasis added).

The purpose of the requirement to disclose whether the LLC is a sole member LLC is to determine if the LLC may be exposed to judgment creditors of the sole member due to the statutory distinction between multi-member and sole member LLCs in the application of charging orders as provided by Sec. 605.0503, F.S. Read the article

04/01/2022