No Reconveyance - Posted by Nelson Kruger

Posted by Rick, the Probate Guy on October 15, 2006 at 20:44:33:

I occassionally run into this problem, usually with institutional lenders as I’d never let my title company entrust delivery of a recon from a private lender after payoff.

In California, the penalty is pretty much limited to the $300 as defined in the civil code. Since your potential damages are considerably more, you have the choice about putting pressure on the the offending beneficiary without counting on getting being made whole.

Can I presume that your attorney is filing a Motion for Order to Quiet Title? This would remove the lien from attaching to the real property. However, that’s not the only legal remedy that I’m aware of (read on).

How did the bene get paid off? Thru an insured transaction six years ago? I’d start with approaching the title company that insured that transaction since they most likely received a recon for the property that was released. It was probably a “Satisfactionand Deed of Reconveyance” and, as such, should be considered as evidence that, since the debt was satisfied, the lien(s) where ever recorded, should be released. You could go back to that recorded document and re-record it in the county concerning the problem property. Your title company should work with you on this since they are, in part, responsible for the problem escalating.

If it were me, I would add the instrument # and recording info and, in the worse case, re-record in appropriate county, even as an exhibit to an affidavit, if recorder’s examiner is picky.

Also, your title company should offer to accept an indemnification by you in lieu of having to go the lost instrument or quiet title routes. Since there’s about a zero % chance that bonehead bene will make a claim, title company (and you) would have no effective exposure to such an arrangement.

No Reconveyance - Posted by Nelson Kruger

Posted by Nelson Kruger on October 15, 2006 at 18:22:18:

Several years ago I took out a loan that was secured by two Deeds of Trust against a couple of my properties. They were in different counties in California. I paid off the loan 6 years ago and got a reconveyance (Recorded in one county). I thought everything was taken care of correctly. Recently I went for a refi and one Deed of Trust showed up and the party has ignored all phone calls and delayed any way to get the reconveyance. I know that it is a Misdemeanor not to sign a reconveyance but this party has delayed any action for several months. Now that the interest rates are up over 2% and it will cost me over $90,000 on a 30 year refi. What are my damages that a reasonable judge will allow for this partys delays??? I am in the process of a lawsuit against this party. Thanks!!!