If you’re looking to buy real estate or invest in the market, title insurance is an absolutely essential component to protect your ownership rights from unexpected claims and disputes. When it comes to real estate litigation, title insurance companies play an integral role in defending the insured and covering costs too. Before jumping in, it is crucial for you to understand the common claims and defenses that arise in real estate litigation, as well as the importance of partnering with a trusted title insurance company.
One of the most common claims in real estate litigation is boundary disputes. These disputes can arise when the property boundaries are unclear or disputed between neighboring property owners. For instance, if a neighbor builds a fence that encroaches on a property owner’s land, the property owner may bring a claim for boundary infringement. Title insurance can provide coverage against such claims, ensuring that you are protected and able to defend your property rights.
Another important claim that may come up relates to title defects. Title defects can take many forms, such as forged documents, undisclosed liens, or fraudulently executed conveyances. However, title insurance will cover you in all cases so that no claims or disputes can arise due to defects in the title.
In terms of defenses, the statute of limitations is a powerful tool that can be used to defend against claims. For example, if a claim is made against a property owner for a defect in the title that occurred over a certain number of years ago, the statute of limitations may bar the claim. If you own property, this defense allows you to argue that the claim is time-barred and cannot be brought.
Another defense available is the bona fide purchaser defense. This protects a property owner who purchases in good faith and without knowledge of any title defects. If the previous owner fraudulently transferred the property to the current owner without the current owner’s knowledge, the bona fide purchaser is shielded from liability. Title insurance supports this defense, protecting you against all claims that may arise around title defect.
Understanding common claims and defenses in real estate litigation is highly critical for property owners to protect their rights and make informed decisions. Partnering with a trusted title insurance company can provide peace of mind and protection against unexpected claims and disputes arising during real property ownership. At Appellate National, our experienced team is committed to providing top-notch title insurance services and ensuring that our clients’ property rights are protected.
Appellate National Title is a world class Title Insurance Agency who specialize in title insurance and settlement services nationwide. Driven by a passion for innovation, we utilize cutting-edge technology, local expertise and national services to provide the highest quality experience. Our results driven methodology and customer-focused closing services have set an industry-wide standard of excellence and secured our place as market leaders. With Appellate National, you’re not just getting a partner, you’re getting a team of dedicated professionals who are passionate about your success. Contact us or place an order today and experience the difference!