- April 11, 2005
- All Issuing Offices in Texas
- Area and Boundary Exception; T-17 and T-19 No survey required
Procedural Rule P-2 provides that amending the area and boundary exception to read only "shortages in area" requires that the title company review a survey or evidence of a survey of any age brought current by the Affidavit T-47. Any time you receive a request to amend the area and boundary exception, you must follow this rule. This applies to owner policies as well as mortgagee policies.
Procedural Rule P-50 provides that the title company may issue forms T-19 and T-19.1 Restrictions, Encroachments and Minerals Endorsement if its underwriting requirements are met and the premium is paid. Procedural Rule P-9b14 provides the same thing for the T-17 Planned Unit development Endorsement. Neither of these rules requires a survey or evidence of a survey in order to issue these endorsements.
If you are requested by the lender to issue the T-19 or the T-17 but are not asked to amend the area and boundary exception, you may do so for platted lots without reviewing or requiring a survey or evidence of a survey. If you are insuring new construction (that is, no policy has been issued showing the improvement to the property), a survey is still required. If the insuring acreage tracts with no survey, you must delete , you can’t make the area and boundary amendment and you must delete item 4 a, b, c and d of the T-19 and from the T-19.1
A survey or evidence of a survey is required to issue a T-19.1 or to amend coverage in the OTP. For those offices that are automatically opting to make the area and boundary amendment in the OTP, be sure to advise the buyer that they should arrange with the seller to be furnished with a copy of the seller's old survey or they will need to provide a new one at closing.
If you have questions, please contact a Texas Underwriting Counsel.
John Rothermel, III
Texas Agency Manager
Texas Senior Underwriter
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.
- Bulletins Replaced:
- Related Bulletins:
- TX000030 New Rules and Forms; Effective August 1, 1995
- TX000054 Area and Boundary Exception
- TX000060 2001 Legislation
- TX000061 Commissioner's Order for 2002 Hearing
- TX000067 2003 Legislation
- Underwriting Manual:
- TX 18.40 Surveys
- Exceptions Manual: