"Just got an email from the title insurance
company...it's a bit greek to me...mind reading it and giving your opinion on
it?
Thanks,"
Good morning:
One of our options under the policy in the case of a
claim is to determine what the loss would be, whether or not we believe there
is coverage. In this case, here is an
easement across most of the paved area on Lot 8 so it appears to be a trespass,
not a title issue. Also, because there
does not appear to be a recorded easement for the storm drain that allegedly
runs through Lot 9, it too would appear to be a trespass and not a title issue.
Under the policy, the measure of loss is the difference, if any, in the value of the property with and without the issues in question. Although we do not concede that there are claims or rights to the property that were not excepted from coverage, we have opted to determine the diminution in value attributable to the paved driveway and the underground storm drain. If you have any ideas of what you believe the loss to be, then please let me know. Otherwise, I will retain an appraiser to evaluate the property and provide a value.
So if there is a recorded easement, this a trespass?
ReplyDeleteIf there is no recorded easement, this a trespass too?
Something is not clear here.
What is clear is that the claimant should get in contact with a plaintiff insurance litigation attorney who will work on contingency. This attorney should be the only party working directly with an appraiser. Quality insurance litigation appraisers however, cost in the thousands and generally will/should not work with the client/claimant directly. This is to protect the client/claimant in the event that there is a disagreement on the appraised value. Attorney client privilege is invaluable to the claimant if this is the case, by adverting the opportunity for the title company to have access to information that could harm negotiations with the client/claimant.
Beware and proceed with a good defensive plan, otherwise you become a victim of another method for the insurance companies to get more of your money into the their system.
Your success is all of our success.
Thank you for your input. The point on it being a trespass is a very valid question and one that I did not understand either and asking for clarification would also be prudent.
ReplyDeleteAlthough getting an attorney to work on contingency - the fees involved in a lawsuit against a title company as still quite high and anyone deciding to go this route should do so with their eyes open. First, there are all of the filing fees and then many of these kind of appraisals are very expensive. Mine was over $7000. And then the cost of deposing the title company's "experts" ($500 an hour for their testimony) and the fact that many of the people you need to depose are out of the area. In my case (California) Fidelity's appraiser was from Boise Idaho (making much of his appraisal inaccurate) and the Fidelity employees we needed to appraise were in Omaha Nebraska.
So although I believe that your advise is 100% accurate one needs to be aware that many of the people writing in to this blog have spent a minimum of $15,000 (me and I was forced to settle because due to my loss I could not afford to continue fighting), another person spent $50,000 and another spent $300,000.
I feel that this is part of the problem. In my opinion the filing of a claim against a company like Fidelity National Title is difficult at best.
First, the claims counsel is not there to represent you, the insured, but rather they are attorneys who represent the company - in my case Fidelity National Title Company. This unique employment strategy protects the title company also with attorney/client privilege.
Next, communications received from these individuals is confusing at best. This is an excellent example - as the claims counsel eludes to something being a trespass but does not really clarify and then continues on to say that the title company is not in error but BTW they are willing to pay on the claim. (To me this is an admission of guilt.)
And finally after spending up to thousands of hours trying to get Fidelity National Title Company to honor my claim I was forced by their valuing the loss of my mile long easement to an 80 acre estate parcel overlooking the infamous Napa Valley at $0 (making it impossible for me to successfully market the property) I was forced into a lawsuit. Which I had to abandon due to their pumping up my costs from the beginning of the claims process (by hiring an out of state appraiser) to having obscenely expensive experts.
So I settled but only with my attorney understanding that I would not accept a settlement with a gag order. And I personally vowed that my new "hobby" is to write and write and write about the actions of Fidelity National Title Company to expose their practices so that others can proceed wisely and hopefully so that Fidelity will start representing the insured instead of their own shareholders (who happen to be the employees of the company.)
I wanted to thank you for this excellent read!! I definitely loved every little bit of it.6. Minnesota Property Management
ReplyDeleteThanks for your blog. I just landed up in your blog and I really appreciate your blog. It is full of resourceful information.
ReplyDeleteThank you. My goal is to hopefully help other individuals who have a valid claim that should be honored by Fidelity National Title Insurance Company avoid the disaster that I experienced. And also hopefully for Fidelity to act in Good Faith and insure the properties of those individuals who pay for title insurance.
ReplyDelete