Legal Question in Insurance Law in Pennsylvania

I am a general contractor who has completed work on my own home due to storm related insurance claim. My insurance company has sent me a three party check for the damage (myself,mortgage co,public adjuster) are all ont the check. I have payed for all labor,repairs and materials out of my own pocket in hope that the mortgage company after inspection of repairs is complete would endorse the check and send it to the adjuster to pay all partys involved including myself. But once I release the check to mortgage company they will pay within ninety days or longer. All partys involved have been waiting over ninety days already. My mortgage company wants the check to be signed by myself and my adjuster and sent to them so they can deposit the $17,800 check to pay me back my money from my loss in ninety days and now my adjuster will not endorse this check which will only hold things even longer. In addition the mortgage company is asking for all reciepts, 2 letters starting all repairs are done and we acted as contractor, one of which has to be notorized and we have to pay for the inspection that the mortgage company is requiring. Can you give any "HELP".......


Asked on 5/15/11, 5:28 am

1 Answer from Attorneys
Andrew Solomon Law Office of Andrew A. Solomon

The mortgage company, in my opinion, has no right to do this, so long as your mortgage is current. I would speak to a local attorney who should be able to expedite the process. By failing to take prompt action on endorsing the check, they are causing you to suffer damages to your credit and loss of credibility to your subs. It sounds to me like some "know-nothing" lackey at the mortgage company is either lazy or is afraid he'll do something wrong. In every property damage case I've been involved in, the mortgage company is more than happy to endorse the check from the insurance company. After all, the insurance company wouldn't be accepting the claim and making payment if it were not legitimate. For a couple of hundred dollars, any lawyer should be able to expedite this situation.

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Answered on 5/16/11, 9:54 am


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