Posting for

     Friday, July 13, 2001

 

     by:  Robin Paul Malloy

     Professor of Law and Economics

     Syracuse University College of Law

     Syracuse, NY

 

     and:  Mark Klapow

     Judicial Clerk

     U.S. Court of Federal Claims

     Washington, D.C.

 

     ATTORNEY MALPRACTICE/OWNER'S POLICY/THE VALUE OF TITLE INSURANCE/MARKETING

 

     Intro by Bert Rush:  Jim Weston (Warrenville/Chicago, IL) alerts us to an article in the Spring 2000 edition of the St. John's Law Review, titled "Attorney Malpractice For Failure To Require Fee Owner's Title Insurance In A Residential Real Estate Transaction."  The article is written by Prof. Robin Paul Malloy of Syracuse University College of Law, and former law student Mark Klapow, who is now clerking for the Hon. Christine O. C. Miller of the U.S. Court of Federal Claims in Washington, D.C.

 

     The St. John's Law Review is published under the auspices of St. John's University School of Law, Jamaica (Queens), NY.

 

     Here, from the Introduction to the article, is the authors' thesis:

 

"It is our contention that a lawyer commits malpractice in representing a home buyer if that attorney fails to require a fee owner's commitment and policy of title insurance as part of the transaction.  We believe that the only exception to this requirement is when the lawyer makes a full disclosure to the client of the risks of not being insured; gives explicit advice against proceeding without insurance; and obtains the client's consent and signature to this effect on a written document.  Furthermore, we believe that this obligation may run to a third party non-client in certain situations."

 

     There's lots of interesting background and analysis here, such as the argument that attorneys who want to be involved in residential real estate transactions should appreciate their unique opportunity to "add real value" to such transactions by advising clients about title insurance (p. 424), and a comparison of attorney title opinions to title insurance (p. 438).  To view the article, click on the URL below.

 

http://ul.firstam.com/landsakes/st.john's.pdf

 

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     Following up on our posting for 7/13/01, we are looking into the possibility of purchasing reprints of the St. John's Law Review article, "Attorney Malpractice For Failure To Require Fee Owner's Title Insurance In A Residential Real Estate Transaction."  These would be in a nice cover, and would be an excellent marketing tool in certain regions.

 

     If your office would be interested in getting some of these, please let me know by "reply" e-mail and tell me the number desired (keeping it reasonable--less than 50, let's say) and your mailing address.  We will bear the initial expense to get some of these "out there."  If additional reprints are desired in greater numbers, you may want to make your own arrangements with the publisher.  For more information about contacting the publisher, and/or cost estimates, you may contact me.