« Blog post title of the month--so far. | Main | Gen-Y Rerun: WAC? and Charon QC talk frankly in July of 2008. »
March 09, 2009
RESPA: “It’s my closing--and I’ll close how I want to.”
Hopkins v. Horizon Management (U.S. 4th Cir. December 3, 2008). In the five states subsumed by the U.S. Fourth Circuit--Maryland, Virginia, West Virginia and the Carolinas--a bank can exercise control over the sale of its properties by having the same title company perform all of the bank's real estate closings without violating Section 9 of federal Real Estate Settlement Procedures Act, 12 U.S.C. 2608, 2601-2617. A contract for sale that forces a buyer to use a particular title company is enforceable so long as the bank foots the bill for the owner’s title insurance. Although Hopkins is an unpublished opinion, this interpretation of RESPA's Section 9 will likely stick for these five states; it can also be expected to be followed in other states and circuits.
Note: Arlington, Virginia-based Robert E. Bodine recently became of counsel to Hull McGuire.
Posted by at March 9, 2009 11:13 PM
Comments
Post a comment
Thanks for signing in, . Now you can comment. (sign out)
(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)