Legal Question in Real Estate Law in Maryland

Re: Title Company Wants More Money 9 months after settlement

Yes, they can. You have an obligation to pay all of your debts associated with the property and cannot shift that obligation to the title company because something was missed at settlement. You signed papers that indicate that you reviewed the documents and that they are accurate. You probably also signed something to the effect that if there are any adjustments that need to be made, you will make them promptly upon being notified of those adjustments. You may have to pay the title company for interest on that amount from the date of settlement if you do not promptly send them the taxes.

Taxes are particularly tricky to get out of. Even if you thought someone else was paying your taxes (for example the mortgage company paying property taxes), the law says that you are ultimately responsible for ensuring that they were paid. The taxing authority will look to you and no one else to be sure that any and all taxes are satisfied. Moreover, it is you, not the title company, who will suffer if the taxes are not paid. Unless the taxes are satisfied, your documents cannot be properly recorded.