Written by: Kevin Weaver, Underwriting Counsel

Ever get irritated with your title company (we know that hardly ever happens, but just in case…) because they need more and more documents to prove up something in the chain of title?  Sometimes it might feel like overkill.  Well, we have a real-life example from a major title insurance company that gives us 920,000 reasons why it is not overkill.

This major title insurance company (MTIC) recently filed a lawsuit against one of its attorney agents for negligence that resulted in a $920,000 loss.  The transaction was a $2.5 million refinance transaction, and there was a private beneficiary lender in the form of an LLC from which the attorney procured a release.  Unfortunately for the MTIC, the problem revealed itself when a year later the LLC challenged the release as being fraudulent.  The MTIC investigated and must have concluded there was merit to the claim and paid out $920,000 to the LLC,  and are now attempting to recoup its loss by suing the attorney agent basically for not doing proper due diligence.

What is due diligence?  Well, it’s making sure the person signing the document had the authority to do so, and that can only be done through a document trail.  Luckily, we don’t need to be so diligent with the everyday banks and mortgage companies, where a fraud of this type is highly unlikely, but our diligence is heightened when we are dealing with private beneficiaries in the form of individuals, LLCs, trusts, partnerships, etc.  Some of the paper trails are easy.  If the lender is an individual and is alive, there isn’t any paper trail at all.  If the individual is deceased, however, the paper trail might be more involved.  Was probate opened for the individual?   If not, is there documentation as to the heirs and/or devisees of the individual that we can rely on?  Obituaries?  Death Certificates?  And you probably already know what we need for the likes of trusts and LLCs.  For trustees, we will most likely need a trust certificate to establish the identity of the current trustee, and for LLCs it would be Articles of Organization or By-laws that set forth who is authorized to act on behalf of the LLC.

So, the next time it seems like a drag to collect more documents, just remember there may be 920,000 reasons to do so.

Title Tale: Married Until the End?

Why Continuous Marriage Affidavit Matters in Florida

Written by: Mylene Marcelo, Title Officer and Title Manager

In Florida, property held by a married couple is typically presumed to be held as tenancy by the entirety—a form of ownership that provides survivorship rights. When one spouse passes away, their interest in the property automatically transfers to the surviving spouse, without the need for probate. But what happens when the paperwork doesn’t tell the full story?

Recently, during a routine title review, we encountered a case that illustrates exactly why the continuous marriage affidavit, and a proper death certificate are critical.

The title reflected a married couple holding title together. Upon the passing of one spouse, we expected the standard documentation: a death certificate and a continuous marriage affidavit from the surviving spouse.

But there was a twist—

The death certificate listed a different surviving spouse than the one on title.

Normally, such a discrepancy might suggest a divorce followed by remarriage, which would mean tenancy by the entirety was severed before death. That change would require further documentation to determine current ownership.

However, the surviving spouse on title denied any divorce ever took place.

We requested an explanation—and the borrower shared a surprising update:

The deceased spouse had unlawfully remarried while still legally married to the titleholder. That second marriage was ultimately annulled by court order, having been declared legally invalid due to the lack of a divorce.

This revelation created a critical issue:

The death certificate listed the second (invalid) spouse as the surviving spouse, not the rightful surviving spouse per the title.

To clear title and ensure that tenancy by the entirety—and therefore survivorship—was preserved, we required:

• A copy of the annulment order, confirming that the second marriage was void.
• A court order correcting the death certificate to reflect the legal surviving spouse.
• A continuous marriage affidavit to confirm that the original marital relationship was never legally severed.

Only after receiving this documentation could we proceed with removing the deceased spouse’s interest.

Key Takeaways:

• Do not rely solely on a death certificate—cross-check the named surviving spouse with title.
• A continuous marriage affidavit is more than just a formality; it confirms uninterrupted marital status and validates survivorship rights.
• When red flags appear, investigate thoroughly and request supporting legal documents (annulments, court orders, etc.).
• An incorrect death certificate can impact title—amendments may be necessary before proceeding.

Situations like this are uncommon but not unheard of. They’re a reminder that even in states like Florida, where tenancy by the entirety is presumed, clear documentation and verification are essential for a clean title.

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