Bulletin: NY000021

Date:
January 17, 1991
To:
All Underwritten Companies
RE:
Forgeries

Dear Associates:

Very often the title industry is requested to provide services as an accommodation to the parties of various transactions. Often such services include obtaining proper signatures from parties in other localities or documents which are pertinent and necessary for the respective transaction. However, before documents of this nature are directed to a party of the transaction for execution and notarization, we must take whatever steps are necessary to prevent forgery and alteration of such documents. Whenever available, mail such documents to the local Stewart Title Agent or Approved Attorney. In the unlikely event that a Stewart Title Agent or Approved Attorney is not available in such locality, I strongly suggest that such documents be directed to a Bank in that vicinity as an alternative. In any event, avoid mailing documents directly to a party to the transaction. The following procedures, if practiced, will greatly help to avoid forgery problems.

1. Locate and contact the Stewart Agent or Approved Attorney in the area where the subject party lives;

2. In the event that a Stewart Agent or Approved Attorney cannot be located, contact a Bank in the vicinity. Arrange for an appropriate Bank Officer to receive the documents, verify the signatory's identity, notarize the document and return such documents to you in a self addressed stamped envelope;

3. Confirm with the subject party, both by telephone and letter, that you have forwarded the documents and advise such party as to the time frame, name, address and telephone number of the person who has received the documents for execution and notarization;

4. When directing documents out of the United States of America or Canada, documentation should be directed for execution to the local American Embassy. Remember to confirm any appointments for execution and all arrangements by both telephone and letter with the appropriate party at the American Embassy and the signatory;

5. Verify that the documents arrived by contacting the appropriate party by telephone in the event that you have not received confirmation within a reasonable amount of time; and,

6. In any event, always include a cover letter listing the documents enclosed for execution.

We believe that these procedures will help to prevent losses from forgeries and altered documentation. Your cooperation would be greatly appreciated.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
6.36 Forgeries
Exceptions Manual:
None
Forms:
None