III. TITLE INSURANCE CASES

  • Recoupment: where title insurer alleges it is subrogated to the rights of insured who suffered damages as a result of the notarization of a forged signature on a deed, title insurer need not show it or the insured detrimentally relied on the notary in order to recoverChicago Title Ins. Co. v. LaPierre, Case No. 01523 (N.Y. App. March 13, 2013) (reversing judgment)
  • Recoupment: the amount of attorney’s fees and costs owed by independent title insurance issuing agent under agency agreement are special damages that must be determined by a finder of fact Commonwealth Land Title Ins. Co. v. Nevada Title Co., Case No. 2:11-00380 (D. Nev. March 5, 2013) (denying motion to have court determine amount of attorney’s fees)
  • Policy Interpretation: although title insurance policy is clear that liability terminates where insured voluntarily conveys title by quit claim deed, policy is ambiguous as to whether pre-existing claims for damages incurred prior to termination survive – First American Title ins. Co. v. Two Seventy Three Water Street, LLC, Case No. 8404123 (Conn. Super. Jan. 25, 2013) (denying motion to dismiss counterclaims) [Note: copy of opinion not currently publically available]