When insuring title based upon a judgment, order, or decree (e.g., order to quiet or vest title, order of sale in foreclosure, receivership, partition action, dissolution, probate, or bankruptcy, etc.) you must require the order to be a final, non-appealable order. A judgment, order, or decree becomes a final non-appealable order when the appropriate appeal period has expired under the rules of the court that has jurisdiction over the matter. During the appeal period, a party may file a motion to vacate the judgment, a motion to correct error, a motion for a re-hearing or petition for an appellate court to review the case.
In order to rely on a judgment, order, or decree to insure title, you must confirm that the appropriate appeal period has expired or make the following exception:
The Company requires satisfactory evidence that the judgment, order, or decree dated ________________ and entered _____________ is final and non-appealable. At that time, the Company may make additional requirements or exceptions.
If you are asked to waive the requirement of a final, non-appealable order and insure title prior to expiration of the appeal period, you must contact an STG underwriter for approval.
You must also verify that all proper parties have been named as defendants and received proper notice in the litigation resulting in the judgment, order, or decree. If your exam discloses that not all proper parties have been named, a party has not received proper notice (e.g., returned unsigned or “undeliverable”), or a default judgment was entered against a party who only received notice by publication, you must contact an STG underwriter for additional requirements and approval.
Appeal periods may vary depending upon which court has jurisdiction over the matter (e.g., state, federal, bankruptcy). Please contact an STG underwriter to discuss the appropriate appeal period for a particular court.
If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.
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