Title & Abstracting Services

A land patent is a legal document issued by a government that grants original ownership of a specific parcel of land to a private individual or entity. Think of it as the first title deed from the sovereign entity (like the U.S. federal government) to a piece of land, signifying that the land is no longer publicly owned and is now in private hands.

A title commitment is a preliminary report issued by a title insurance agent or company that outlines the proposed insured, insured amount, lands to be insured, requirements for insuring the subject lands, and a list of title exceptions, including any potential issues or defects with the property's title. It serves to inform the buyer and seller of any requirements, encumbrances or claims that could affect the ownership of the property before the sale is finalized.

Title refers to the legal ownership of real property. It is essential in real estate because it determines who has the right to possess, control, use, sell, or transfer the property. A clear and marketable title is crucial for a successful real estate transaction.

A title commitment is a preliminary report issued before closing, while a title policy is the actual insurance policy that protects the buyer and lender from any losses due to title defects after the sale is completed.

Most title insurance policies contain standard exceptions, which are pre-printed exclusions from coverage that apply to almost all properties. These exceptions aim to exclude common potential title issues that are often difficult or impractical for the title company to fully investigate and insure against on every property.

• Rights of Parties in Possession
• Easements or Claims of Easements Not Shown by the Public Records
• Encroachments, Overlaps, Boundary Line Disputes, or Other Matters Which Would Be Disclosed by an Accurate Survey and Inspection of the Premises
• Any Lien, or Right to a Lien, for Services, Labor, or Material Heretofore or Hereafter Furnished, Imposed by Law and Not Shown by the Public Records
• Taxes or Assessments Which Are Not Shown as Existing Liens by the Records of Any Taxing Authority

An Abstract of Title is a comprehensive historical summary of all the recorded legal documents that affect the ownership of a particular piece of real estate. Think of it as the property's legal autobiography, starting from its original ownership and tracking every change in title, along with any claims, liens, or encumbrances against it.

A quiet title decree is the final judgment issued by a court in a quiet title action. This legal action is a lawsuit filed to establish clear and undisputed ownership of real property. The purpose is to "quiet" any adverse claims, liens, or encumbrances that could cloud the title, ensuring the rightful owner has marketable and insurable title.

Think of the quiet title action as a legal process to resolve any doubts or disputes about who truly owns a piece of land. The quiet title decree is the official outcome of that process, or the court's definitive statement declaring the legal owner of the property and extinguishing any invalid claims.

In the context of split estates (where surface and mineral rights are owned by different parties), the mineral estate is generally considered the dominant estate in most jurisdictions. Here's why:

• Right to Access: The owner of the mineral estate has the legal right to access and use the surface of the property to the extent reasonably necessary for the exploration, development, and production of their minerals. This right is implied, even if not explicitly stated in the deed that severed the estates.
• Economic Value: The rationale behind the dominance of the mineral estate is often tied to the potential economic value of the minerals. Without the ability to access and extract these resources, the mineral ownership would be essentially meaningless.
• Surface is Servient: Consequently, the surface estate is often referred to as the servient estate, meaning it is subject to the reasonable use of the surface by the mineral owner for mineral development.

However, this dominance is not absolute and is subject to limitations, most notably the Accommodation Doctrine.

The Accommodation Doctrine is a legal principle that arises primarily in the context of split estates, where one party owns the surface rights to land and another party owns the mineral rights beneath that surface. It seeks to balance the rights of both owners when their uses of the property conflict.

While the mineral estate is often considered the dominant estate (meaning the mineral owner has the right to access and use the surface to extract minerals), this right is not absolute. The Accommodation Doctrine requires the mineral owner (or their lessee, such as an oil and gas company) to accommodate the existing uses of the surface owner if certain conditions are met.

The Homestead Exemption is an exemption of property against the claims of creditors in order to protect the security of the family. This type of exemption is created by state legislative acts, and the methods of creating the exemption, the size or value of the property which is protected, and the effect of conveyances or attempted conveyances or homestead property vary considerably state to state.

The requirements for obtaining a homestead exemption vary among states but generally it must be a primary personal residence and some acreage, where a person or husband and wife live.

The remainder following a life estate is probably the most common of the various types of real property interests which are classified as “future interests”. A life estate is typically used as a tool of estate planning. A Life Tenant can avoid probate and ensure that an intended heir will receive title to real property.

• A Life Tenant can: Possess the land, use the land, enjoyment of the land, including rents, income, interest, bonus and royalty.
• A Life Tenant cannot: Waste the land, produce minerals (subject to the open mine doctrine)
• Remainderman can: Receive bonus payments and royalty, receiving all rights upon death of the life tenant, or upon the termination of the life estate.
• Remainderman cannot: Possess, use, enjoy

Intestate succession refers to the legal process by which the assets of a person who dies without a valid will (intestate) are distributed. If there is no Will or no Will is accepted by the court, the estate will pass by the laws of descent and distribution of the state in which the property is located. There are cases, however, in which the law of the state of residence is applied to non-resident property. In such cases, the laws of the state where the deceased person resided determine how their property will be divided among their surviving relatives.

Think of it as the state providing a default "will" for someone who didn't create their own. These laws establish a specific order of priority for who inherits the deceased's assets. Typically, this order prioritizes close family members.

• Individually - Ownership by a single person or individual
• Tenancy in Common (TIC) - This is s common form of co-ownership where two or more individuals own an undivided interest in the entire property.
• Joint Tenancy (JT) - The ownership of real property, by two or more parties who:
  • Own identical interests simultaneously
  • Obtained title by the same instrument
  • Own the same right of possession
  Joint Tenancy is different from TIC in that each JT has a right of survivorship to the other's share.
• Tenancy by the Entireties (TBE) - This is a special type of co-ownership only available to legally married couples in some states. It can only exist between husband and wife and by which together they hold title to the whole with right of survivorship. Upon death of either, the other takes whole to the exclusion of the deceased's heirs.
• Dower and Curtesy - A common law concept that establishes a wife's right, upon death of her husband, to a life estate in one-third of the land that he owned in fee.
• Life Estate and Remainders - A type of ownership that lasts for the lifetime of a specific individual, known as the life tenant. Upon the death of the life tenant, the ownership of the property automatically transfers to a designated individual or entity, called the remainderman.

The "bundle of rights" is a metaphor used in real estate to describe the set of legal privileges that come with the ownership of real property. Think of it as a bundle of sticks, with each stick representing a distinct right that the owner possesses. These rights can be held together or can be separated and distributed to different parties.

The five primary rights traditionally included in this "bundle" are:

• The Right of Possession: This is the right to occupy and control the property. The owner has the legal right to be on the property and to exclude others from it.
• The Right of Control: This allows the owner to use the property in any lawful way they see fit. This includes the right to build, alter, lease, or even do nothing with the land, within the bounds of local regulations (like zoning laws and building codes) and any private restrictions (like HOA rules).
• The Right of Exclusion: This grants the owner the power to prevent others from entering or using the property without their permission. This is a fundamental aspect of private property ownership. However, this right is not absolute and can be limited by things like easements or legal warrants.
• The Right of Enjoyment: This entitles the owner to use and enjoy the property peacefully without interference from others or nuisances. This right ensures the owner can live comfortably and use their property for their personal benefit and pleasure, again within legal limits (like noise ordinances).
• The Right of Disposition: This is the right to sell, lease, mortgage, gift, or otherwise transfer ownership of the property to someone else. It encompasses the ability to convey all or part of the ownership rights.