Hello everyone, I'm David Lam Sr. with Integrity Title. Thanks for joining me today. Last week, I sent you a video describing Schedule A on the title commitment. Today, I'll explain Schedule B of the title commitment. Again, here's what a title commitment is. A title commitment is a written document which contains the terms under which Tyler Company is willing to issue a title policy. A title policy provides protection against loss if a defect is found in your title. Examples of a defect include errors, liens, claims of ownership, fraud, and invalid documents. There are various schedules in a commitment for a title insurance policy. Written schedules outline the promises of the title company to insure the title if all the conditions in the commitment are met. A good way to remember the sections of the commitment is by following ABCD: Schedule A, Schedule B, Schedule C, and Schedule D. Schedule A of the title commitment deals with the boundaries and borders. It includes the buyer notification schedule. Schedule B, the topic limit, contains a pre-printed listing of standards and exceptions that the title policy will not cover. Much of this language is boilerplate, and some buyers tend to skim over it. This is not good, as it could be a mistake. In addition to many pre-printed terms, Schedule B will also list some matters specific to the transaction, including covenants, easements, right-of-way, and mineral reservations. Any one of these items may seriously impair the usefulness of the property. Buyers should carefully review Schedule B and any documents referenced there. On the other hand, Schedule C lists the requirements and objections that must be cleared before the title policy can be issued. For example, there may be unresolved liens that need to be addressed. Schedule D is where the title commitment lists the...
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2015 schedule b Form: What You Should Know
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