Dear Real Estate Professional:
The DC Master Business License: Bill 15-0019 is next scheduled for
discussion by the D.C. City Council on June 3. Under this bill the
concept of the program would change from "licensing" to
"registration", the threshold would increase from $2,000 to
$20,000, no payment by non-DC-based businesses, elimination of
Clean Hands certification and Certificate of Occupancy. There has
also been discussion of elimination of some categories of
businesses (thanks to the efforts of the D.C. Bar Association,
attorneys are suggested to be excluded). A good website on this
topic has been set up by the Greater Washington Society of CPAs.
Greater Washington Society of CPAs Website on DC Master Business
License
DC Indexing of UCC-1 Continuation Statements: In our last
newsletter we alerted you that, just because a search did not
reveal a UCC-3 Continuation statement, such could not be relied
upon because the UCC-3's were not being indexed to Debtor. Larry
Todd, Recorder of Deeds, reports that they have corrected the
problem prospectively by requiring debtors' names on electronic
and non-electronic UCC filings and they are "purifying [their] UCC
database to determine which UCC's do not have a debtor's name in
the index". We surmise that, upon detection, the filer would be
notified and required to supplement the filing with debtor's name
to comply with 28 D.C. Code 9-519(c) and (f).
Maryland: Increase in recording surcharge. Souse Bill 935 mandates
that any documents not recorded by June 1 be subject to an
increased surcharge of $20. This is in addition to the base
recording charge of: $9/document under 9 pages; $75/document over
9 pages; $10/release. The surcharge also applies to UCC filings,
but there is no surcharge on Powers of Attorney. Title companies
are urged to collect the proper amounts and to expedite the filing
of their recordings, to avoid "eating" the increased surcharge.
Maryland: Montgomery County On-line Land Records. Subscription
information available by calling (240) 777-9494.
DC Tax Sale Foreclosures: A Motion for Summary Judgment was
granted on a tax sale foreclosure case under the new statute on a
case filed by Roy Kaufmann of Jackson and Campbell. The government
and counsel will now be exploring the practical aspects of
issuance of the tax deed. Henry Terrell, Attorney Advisor to the
Office of Tax and Revenue, in a luncheon held by the D.C. Bar,
reported that the D.C. Register will soon include proposed,
emergency regulations for the tax sale procedure. Public and
practicioner comments are solicited.
Recent Cases of Interest:
Steep grade making access to property difficult does not rise
permit an insured to prevail against an underwriter on grounds of
no legal right of access. Hawk v. Williams, 2002 WL 31255096 (N.D.
Texas).
$200,000 settlement reached in NY case against attorneys accused
of steering business to a title company that they owned violating
RESPA, holding that the profit distribution from the title company
constituted "referral fees" proscribed by RESPA (even if
unintentional). HUD has tripled its enforcement staff and has also
out-sourced enforcement efforts. HUD v. Bass, Buschemi, Capasso,
et al. Federal Tax Lien against insured is liability of insurer.
Personal federal tax liability of the insured, by virtue of his
having been an officer of a corporation (unbeknownst to insured)is
not a lien "created" or "suffered" by the insured. Archambo v.
Lawyers Title Insurance Corp. 2003 WL 3103194 (Mich App.)
Closing Attorney personally liable for payoff amount in excess of
what was collected at settlement after they guaranteed to Insurer
that it would be paid off. Old Republic Title Insurance Co., v.
Santangelo & Co. 750 NYS 2d 16 (2002).
To update your list of very handy websites:
www.FindLaw.com: good, free
portal with links to resource materials in various practice
groups.
http://Thomas.loc.Gov: Full
text of FEDERAL legislation, roll-call votes, complete
Congressional Record.
http://mlis.state.md.us/:
Full text of MARYLAND before the General Assembly.
www.USCourts.gov: An
ever-improving site giving access to federal courts, opinions,
rules, guidelines.
http://web.lexis.com/xchange/practiceareas/dc/default.asp:
Handy site to cross reference statutes from DC Code 1981 versus
2001 editions.
www.washington.dc.us.landata.com: View (free) copies of
documents recorded at the D.C. Recorder of Deeds. Search by party
name, lot/square, or instrument number. While viewing is free,
printing costs $2/instrument for subscribers and $4/instrument for
non-subscribers.
www.EntreWorld.org: A
wonderful site geared towards entrepreneurs produced by the
Kauffman Foundation (no relation to Roy Kaufmann)
www.TheUltimates.com:
one of the best search tools for addresses and names. It includes
a "reverse search" where you put in the phone number and the
listing is provided, but does not include a "criss-cross" whereby
you can put in an address and confirm the listed phone and/or
occupants.
www.NTIWeb.com: an excellent
site made available by Chicago Title to its agents and clients
with state-specific customs (i.e. who traditionally pays for
premiums, recording taxes, recording requirements, etc.) and other
information. Call Chicago for a user name/password.
www.FreeTimeSheet.com:
provides a free integrated timesheet, expense reporting and
project tracking for up to 5 users (you will have to put up with
their advertising).
U.S. Patriot Act affects title companies! You have to make sure
the parties to your transaction are not "Specially Designated
Nationals" the names of which are found on a list of approximately
250 names of people suspected in terrorism matters. The Act
freezes assets of those people and restricts everyone from having
"transactions" with these individuals. Fortunately, the ALTA has a
site that enables you to do this very quickly. You may want to add
this step to your settlement procedures. Click to see ALTA Search
for Specially Designated Nationals under the USA Patriot Act
Please feel free to circulate this newsletter to others in the
industry, both within and outside your office.
Sincerely,
Real Property and Asset Management Group
Jackson & Campbell P.C.
email:
RKaufmann@JacksCamp.com
voice: (202) 457-1600
web: http://www.JacksCamp.com
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