Bulletin: CT2019005

Date:
October 17, 2019
To:
All Connecticut Issuing Offices
RE:
UNDERWRITING - Special Bulletin Regarding Hamden Town Hall Computer Virus

Dear Associates:

I.  Land Records

We have just been advised by the Hamden Town Clerk that the Town has suffered a computer virus that resulted in a complete shutdown of their computer system on or about October 10, 2019. We have been further advised that the Hamden Town Attorney is working with the Town Clerk to adopt a temporary plan to document priority of recordings in order to avoid an interruption in transactions.

At this time, in order to insure transactions in the Town of Hamden we request that prior to recording, all agents and/or their recording services undertake a review of the “daybook” which as of now consists of piles of documents submitted for recording in order to confirm there are no intervening liens or exceptions to the title they are insuring, and to obtain a receipt documenting the date and time of any recording.

We also request that the following be added to your title affidavits to protect against intervening liens until a manual priority recording plan is developed:

“NOW, THEREFORE, it is agreed that in consideration of the Company’s issuance of its policy effective as of the date closing occurs without making exception therein of matters which may arise between the date of its commitment to issue its policy of title insurance and the date the documents creating the interest being insured have been filed for record, and which matters may constitute an encumbrance on or affect said title, the undersigned agrees to promptly defend, remove, bond or otherwise dispose of any encumbrance, lien, or objectionable matter of title which may arise or be filed, as the case may be, against the captioned premises during the period of time between the date of its commitment to issue its policy of title insurance and the date of recording of all closing instruments, and to hold harmless and indemnify the Company against all expenses, costs and attorney fees, which may arise out of the failure to so remove, bond or otherwise dispose of any said liens, encumbrances or objectionable matters. Further, the undersigned shall be liable for all expenses, costs and attorney fees which may be incurred in the enforcement of this agreement.”

MODIFIED OWNER’S AFFIDAVIT WITH THE ADDED LANGUAGE IS ACCESSIBLE BY CLICKING THIS LINK.

II.  Tax Status

If you are unable to confirm the status of real property taxes please contact your Stewart underwriter prior to closing.

Additionally, it is recommended that you consider adding the following to your settlement documentation:

Settlement Sheet disclaimer:

BUYER AND SELLER CERTIFICATION

On or about October 10 , 2019, the computer systems of Hamden, Connecticut were rendered inoperative due to a virus, and consequently the Town is unable to access its records of unpaid charges of municipal taxes and related items such as assessments, lien fees and interest (collectively, the “Outstanding Charges”) against the property. Seller promises to pay, on demand, to the Town of Hamden any and all Outstanding Charges against the property that may be billed post-closing by the Town. 

This closing statement does NOT prorate any Outstanding Charges between Buyer and Seller. Buyer and Seller understand and agree that it is their responsibility to make appropriate arrangements for adjustment, proration and/or reimbursement of any portion of the Outstanding Charges and further understand and agree that Stewart Title Guaranty Company is NOT responsible for any post-closing payments, adjustments or pro-rations regarding the Outstanding Charges

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

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:
None
Exceptions Manual:
None
Forms:
None