Bulletin: NY000002

Date:
October 21, 1989
To:
All Underwritten Companies
RE:
Serving In A Capacity Other Than As The Issuer Of Title Assurances

Dear Associates:

It has been brought to our attention that in the good faith effort of underwritten companies seeking to help and assist their customers, they very often provide services that are outside the scope of the issuance of title assurances. Many of the services are directly related and in support of the issuing of title assurances. However, in some instances, such actions have a potential for liability greater than that to which a policy exposes us. For example, Federal and State authorities might assert a violation of Federal and State Securities laws against an underwritten company and Stewart Title Insurance Company in the event that an underwritten company would act in a nominal capacity as a trustee in order to accommodate a sale of land.

I trust that if you have any questions concerning actions by underwritten companies which would in any way reflect participation of Stewart Title Insurance Company outside the ordinary course of the issuance of title assurances, that such actions be brought to our attention so that we may jointly determine how we can accommodate the needs of your customers without creating unforeseen liability. In the event you have any questions concerning the above or if I can be of further assistance with regard to same, please do not hesitate to contact me at your earliest convenience.

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:
5.16 Escrow Closings
Exceptions Manual:
None
Forms:
None