Remote Online Notary (RON)

Old Republic will insure transactions involving Florida property where the instrument(s) to be insured or any deed in the back chain was acknowledged by either a Florida or other state online notary where the principal is a U.S. citizen. 

If the principal signing is a non-U.S. citizen, a higher level of scrutiny is necessary because not all states’ RON statutes require the same level of scrutiny to protect against fraud as the new Florida RON statutes provide. As such, the potential for fraud or abuse is greater because a non-Florida RON may be chosen to circumvent limitations associated with authenticating the principal required in Florida.  Due to the higher risk and potential for fraud, you must contact Fund underwriting to discuss the circumstances prior to insuring any transaction which utilizes RON for a non-U.S. citizen or other person without a U.S. social security number.

For more information concerning RON including service providers and requirements for becoming a Florida RON, click here.

The Gap

The ability to record instruments pertaining to real estate transactions is limited due to closures of several clerks’ offices to the public. As of the date of this alert, recording may still be achieved in all Florida counties via mail, overnight delivery and e-recording. Fund Members are responsible for recording instruments required for insuring transactions utilizing the most reasonably expedient means. Old Republic is committed to insuring the gap created by an initial and temporary inability to record. Until further notice, should a clerk’s office closure render recordation impossible by any means, title insurance commitments, policies and closing letter protections will remain in force.  Fund Members are not required to modify their closing affidavits in use or obtain an indemnification to insure the gap. All appropriate recordings must be accomplished as soon as the recording entity reopens.

Municipal Lien Searches

Obtaining municipal lien searches has been more difficult during this period. If it becomes impossible to conduct a municipal lien search, you may consider a written acknowledgment from purchaser(s) that holds you, as the agent, and Old Republic harmless, as well as a modification to the contract to waive such search requirements. For any recorded municipal lien for which it is not possible to obtain a payoff letter, see Recorded Liens below.

Association Estoppel, Lien Estoppel, Right of First Refusal and Purchaser Approval

Obtaining routine condominium and homeowners’ association estoppels may present a challenge. For refinance transactions only, Fund Members are authorized, within their monetary authority limitations, to insure without condominium and HOA association estoppel certificates. Similar challenges may occur with obtaining payoff information for recorded association liens and when seeking an association’s approval of a purchaser or waiver of right of first refusal. 

If you encounter difficulty with condominium and homeowners’ association estoppels in sales transactions, payoff statements for recorded association liens, association approval or waiver of right of first refusal, contact Fund underwriting counsel for guidance.

Recorded Liens

In the event payoff information for the satisfaction of a recorded lien is not ascertainable, Fund Members should contact Fund underwriting to evaluate the transaction and lien for a determination of insuring options to adequately address security commensurate with the risk.

Temporary Guidelines; Team Effort

Other than RON and association assessment estoppels for refinance transactions, the guidelines set forth above are temporary. As the real estate closing environment evolves in Florida, we may notify you of modified guidelines. Once State and local officials allow citizens to return to their businesses the usual searches, releases, waivers and estoppel letters will be required once again. 

Your Fund underwriting team is available to work with you to identify reasonable insuring solutions for these and any other insuring challenges you may experience during this unique period. Please do not hesitate to contact Fund underwriting counsel with any questions.