Legal Question in Real Estate Law in California

Escrow and Title

Knowing a real estate purchase contract had been checked off on the option �Title to be taken �to be determined at close of escrow�, and the earnest check was deposited to an escrow account for the benefit of two people, is the escrow agent allowed to let one of the two people provide the closing costs to the same escrow account but only for his benefit taking the other name off the escrow account? At that point can he specify only himself to be on the title? Or are they required to notify or get permission from the other person?


Asked on 9/12/08, 9:33 pm

1 Answer from Attorneys
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: Escrow and Title

Generally, escrow instructions come to the escrow holder as part of a signed real-estate purchase contract. Escrow companies are very cautious about taking, and generally will not take, instructions that are inconsistent or non-unanimous. I can't say the person described here could not grab full title somehow, because title companies occasionally make mistakes, but if you have given us the facts accurately, the transaction should not close until everyone who's name is on the account has given fully-consistent written and signed instructions as to all matters.

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Answered on 9/14/08, 5:45 pm


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