Bulletin: SC2017001

Date:
January 25, 2017
To:
All South Carolina Issuing Offices
RE:
UNDERWRITING - South Carolina Boundary Re-Survey

Dear Associates:

Recently, the Real Property Section of the North Carolina Bar Association and the North Carolina Land Title Association adopted suggested procedures for dealing with the recent legislation affecting the boundary between North Carolina and South Carolina. Stewart Title in South Carolina will be following this recommendation for the most part with some changes and the addition that any commitments and/or policies issued on affected property must be approved by state underwriting counsel. A copy of this memo is attached hereto for your review.

Stewart Requirements

Stewart has modified the Requirement as set forth in the memo and has made some additional conditions as follows:

Counties Affected:  Cherokee, Chesterfield, Dillon, Greenville, Horry, Lancaster, Marlboro, Oconee, Pickens, Spartanburg, York

Commitment Requirements

The following Requirements for properties all or a portion of which may have been believed to be in NC and now found to be in SC under the re-surveyed boundary (the “affected parcels”) must be added on all such Commitments: 

R#.  For any portions of the Land lying in South Carolina on or near the North Carolina boundary identified pursuant to the confirmed boundary under Section 1-1-10 et seq. previously believed to be in North Carolina (the “affected portion of the Land”) and title to which was previously recorded in North Carolina, and for which a Notice of State Boundary Clarification should appear in the South Carolina County Register of Deeds or Clerk of Court’s Office, wherein the Land is in fact located, opining attorney must provide: 

(1)  a title opinion from a South Carolina licensed attorney who is a Stewart Approved Attorney as to the status of title to the Land according to the South Carolina public records through the date of the opinion, based on generally accepted standards of practice for South Carolina title examination, certification (and generally accepted standards for tacking to a prior policy); any matters of record before or after the January 1, 2017, effective date should be noted. 

(2)  a title opinion from a North Carolina licensed attorney who is a Stewart Approved Attorney as to the status of title to the affected portion of the Land according to  the North Carolina public records through the date of the opinion, based on generally accepted standards of practice for North Carolina title examination, certification (and generally accepted standards for tacking to a prior policy); any matters of record regarding the affected portion of the Land before or after the January 1, 2017, effective date should be noted. 

Upon receipt of said opinions, this requirement will be removed or amended and exceptions or further requirements may be added in accordance with the facts disclosed thereby. [NOTE: It shall not be necessary nor is it recommended that North Carolina documents be re-recorded in South Carolina, since the North Carolina public record constitutes the “official” title prior to the boundary confirmation date.] 

R#.  If any affected portion of the Land is formerly in North Carolina, joinder of Seller’s spouse, if any, in the execution of the deed.

Stewart Title Notes:

  • In North Carolina, the common-law tenancy known as “tenancy by the entirety” is recognized for married couples. It is a type of co-ownership held by spouses with the right of survivorship. It creates inchoate interests in the estate of a spouse. Therefore, the Seller’s spouse, even if not on title, must join in the execution of any deed to affected land.
  • ALL commitments and policies issued under this Bulletin must first be approved by state underwriting counsel.
  • Separate policies must be issued for respective portions of properties located in both NC and SC. Stewart will gladly assist you in finding Stewart approved North Carolina counsel in the area.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

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:
None
Exceptions Manual:
None
Forms:
None