~ the offici publication of the American Land Title Association ~·

Updating Knowledge

At Abstracter-Agent

Regional Seminar

July, 1970 Vice President's Message

JULY, 1970

Many of the state land title associations have held their 1970 annual conventions since the Mid-Winter Conference of ALTA. Your officers and staff of ALTA who have attended these conventions all report excellent attendance and interesting and worthwhile business sessions. In addition, all three regional conferences of title insurance underwriters held very successful meetings since the Mid-Winter Con- ference. While most of our members are experiencing a serious but, hopefully, temporary decline in business, your ALTA officers and staff have been increasingly active. Other trade associations are requesting our national association to state the position of our industry on many of the proposed new Congressional bills and federal agency regulations. The National Conference of ALTA and the Mortgage Bankers As­ sociation of America, and the National Conference of ALT A and the American Bar Association, both have held meetings recently. The voice of our industry is being heard and with increasing effect. Also, our public relations staff is getting our message across to our direct customers and to the public in its very effective current program. Our new research department is involved in several current studies and the reports that are needed by our member companies. These are only a few of the cur­ rent activities of your national association. All of these activities will be reported and discussed at our Annual Convention m New York City in October. Make your plans now to attend.

Alvin W. Long ~ ELE ITLE A COMPUTER SERVICE TO ASSIST YOU CUT YOUR OPERATIONAL COSTS

HW Systems, Inc. is investing 60 man-years of title experience, extensive computer system develop­ ment experience, and a quarter of a million dollars to develop TELETITLE, a computer based informa­ tion management service for the land title industry. Initially, TELETITLE will provide a title plant search and daily update capability. Using terminals which will communicate with a computer facility, you can search your title plant and receive G.I. name chains and property title chains within seconds after your request is submitted.

Other capabilities to be offered by the TELETITLE service are: tax and assessment search, policy preparation, escrow and title company accounting, billing, and a variety of valuable management and customer service reports.

The TELETITLE service will be leased nationally to title companies. It will be flexible and can be tailored to meet your special operational require­ ments. Also, you need not commit yourself to sub­ scribe to the TELETITLE service until you see it operate and verify for yourself that it will effectively cut your operational costs. Leasing TELETITLE services, your company, whether it is large or small, local, regional or na- tional, can have the benefits of complete data pro­ cessing services at virtually no risk, and at a fraction of the initial development, and ongoing operational costs.

For additional information, please contact Donald E. Henley, Executive Vice President, at the address below.

HW SYSTEMS, Inc. 1801 Avenu e of th e Stars, Century City, Los Angeles, Calif. 90067 Telephone: (213) 277-4321 Hw Systems, Inc. is an independent computer system development company which specializes In providing management consulting and cost effective computer services to the land title industry. Memorial and activities was membership in the year, he had been associated with Suelzer All en County-Fort Wayne Historical American Titl e si nce 1960-when he Gifts Suggested Society. He had served as executive organized the company's Kansas City, secretary of the Fort Wayne Clear­ Mo., d ivision office. He was assigned ing House Association and had been to the American Title home office in honored as a 50-year member of the Miami in 1962, where he served four All en County Bar Association. years before joining another titl e i n­ surance company. In 1967, he rejoined American Title and he returned to Miami in 1968 to assume the position W.A. Cameron Dies held at the time of his death. Prior to first becoming associated After Heart Attack with American Title, he had been em­ ployed by an abstract company. He received his law degree from the Uni­ versity of Missouri at Kansas City in A. W. Suelzer 1948.

Gifts to charity have been sug­ gested as preferred memorials for the Model Award Units late A. W. Suelzer, 1945-46 ALTA president and former president of the To ALTA Affiliates Indiana Land Title Association, who died last year. A Model Award Program for State A nati ve of Fort Wayne, Ind., Mr. and Regional Land T itle Associations Suelzer practiced Jaw in Washington, W. A. Cameron recently was sent to executives of 39 D.C., before purchasing Kuhne & such associations from the ALTA Company, Inc., and returning to Fort William A. Cameron, vice presi­ Washington office. Wayne i n the early 1940's. He was dent-agencies, American Title Insur­ The model program was developed president of that title company at the ance Company, died of a heart attack as an activity of the ALTA Public time of his death. June 20 at his Miami, Fla., residence. Relations Program, and is designed Among his many local memberships Except for a period of about one to assist state and regional title asso­ ciations in recogni zing individuals Title Insurance Drive-In Opened who make outstanding contributions to the protection of real property rights. Objectives of the model program include increasing public awareness of the great land title industry inter­ est in a better America through se­ cure, private ownership of real estate; and calling more attention to the ac­ tivities of state and regional title as­ sociations. Included in the model program are instructions on how to apply it; model letter from association president to award committee chairman; model of award reporting form ; model of award certificate; model for award announce­ ment remarks; model news release for award announcement; and model news release for follow-up presenta­ tion in home town. Program material is compiled in a A title insurance drive-in hos been incorporated into the newly-remodeled facilities of First three-ring, loose leaf binder that Montano Title Company in Missoula. Be lieved to be a first in the northwest, the drive-in is serves as a permanent file. Inserted located inside 1he garage door at left, and offers customers instant service. Clearly indicated items are printed on paper stock of the building, the drive-in includes two service windows. 01he r features of on the outside of different colors to aid identification. the facili ties are free indoor parking, and private offices for business discussions.

JULY, 1970 2 litle News the official publication of the American Land Title Association

Association Officers

President Thomas J. Holstein Features Lacrosse County Title Company Lacrosse, Wisconsin Truth-in-Lending: 1970 4 Vice President Alvin W. Long On Being A Titleman 7 Chicago Title and Trust Company Chicago, Illinois Chairman, Finance Committee Departments Hale Warn Title Insurance and Trust Company Los Angeles, California Vice President's Message Inside Front Cover

Treasurer State Association Corner James G. Schmidt Commonwealth Land Title Insurance Company Washington 9 Philadelphia, Pennsylvania Chairman, Abstracters and Oklahoma 9 Title Insurance Agents Section John W. Warren Albright Title and Trust Company Pennsylvania 10 Newkirk, Oklahoma Names in the News 11 Chairman, Title Insurance and Underwriters Section James 0. Hickman Meeting Timetable 12 Transamerica Title Insurance Company Denver, Colorado

Immediate Past President Gordon M. Burlingame The Title Insurance Corporation ON THE COVER: John P. Turner, member of ALTA's Standard of Pennsylvania Title Insurance Forms Committee and general counsel for Chicago Bryn Mawr, Pennsylvania Title and Trust Company, discusses title insurance coverage including the ALTA Single Form Policy at an Association Abstracters and Title Association Staff Insurance Agents Section Abstracter-Agent Seminar May 22 in Kansas Executive Vice President City. Section Chairman John W. Warren of Albright Title and Trust William J. McAuliffe, Jr. Company is seated at his left, and part of the distinguished group of title men and women who attended the seminar is shown listening in Secretary the accompanying photograph. Successful participation was reported Michael B. Goodin for both the Kansas City seminar and a Chicago seminar the following Director of Public Relations day. Other seminar features included a talk on ALTA activity and Gary L. Garrity land title public relations, a slide presentation dealing with microfilm equipment, and round table discussions on topics of general interest. Business Manager David R. Mclaughlin VOLUME 49, NUMBER 7, 1970 Association General Counsel TITLE NEWS is published by American Land Title Association, Thomas S. Jackson 1828 L Street, N.W., Washington, D.C., 20036; ·(phone) 202-296-3671 Jackson, Gray & Laskey 1828 L Street, N.W. Washington, D.C. 20036 GARY L. GARRITY, Editor Milton W. Schober, Assistant Director Division of Supervision and Regulation Board of Governors, Federal Reserve System

Truth-in-Lending-1970

marily for personal, family, on January 29, 1970. The essence of household, or agricultural pur­ that Interpretation is poses and for which either a fi­ Credit extended to an owner of a nance charge is or may be im­ dwelling containing more than posed or which, pursuant to an four family housing units for the agreement, is or may be payable purpose of acquiring, financing, in more than 4 installments. refinancing, improving, or main­ "Consumer loan" is one type of taining that dwelling is an exten­ "consumer credit." sion of credit for business or You will note that all three of the commercial purposes. following criteria must be met in As you probably are aware, this is order for an extension of credit to the first concrete attempt to draw a be an extension of "consumer credit": distinction between "personal, family 1. offered or extended to a na­ [or] household" on the one hand and tural person; "business or commercial" purpose on 2. for personal, family, house­ the other hand. You will note that it hold, or agricultural pur­ does not provide a rebuttable pre­ poses; and sumption of business purpose, but 3. for which either a finance states, absolutely, that if credit is ex­ charge is or may be imposed tended for one of the stated purposes or which, pursuant to an Author Schober and the dwelling contains more than agreement, is or may be pay­ four family housing units, the trans­ (Editor's note: This article is able in more than four in­ action is excluded from Regulation Z adapted from an address presented at stallments. -both disclosure and rescission. The the 1970 ALTA Mid-Winter Confer­ Specifically exempted from the pro­ line was drawn at four family hous­ ence.) visions of the Truth in Lending Act ing units to accord with established * * * and Regulation Z are extensions of practices in the real estate industry, A !though my subject is "Recent credit for business or commercial pur­ particularly in connection with financ­ rt_ Developments in Real Estate poses and extensions of credit to en­ ing insured by- the Federal Housing Credit'', I think that it is important to tities other than natural persons ( § Administration and with the rules and review the basic definition of con­ 226.3(a) ). regulations of the Federal Home Loan sumer credit, which is not new, but, In discussing new developments in Bank Board. rather, has been in Regulation Z since real estate transactions, it always is I might be skipping around through it was first released. That definition is necessary to weave the new against a the Regulation somewhat, and I hope found in § 226.2(k) of the Regula­ background of the old. In the case of that my travels through it are not so tion and provides real estate credit for business or com­ disjunctive as to leave you without a "Consumer credit" means credit mercial purposes, one of the very new sense of direction. However, I am offered or extended to a natural developments is the Board's Interpre­ trying to discuss the real estate prob­ person, in which the money, tation § 226.302-Credit for business lems which I think are of most im­ property, or service which is the or commercial purposes-more than portance to those in the title insur­ subject of the transaction is pri- four family units, which was issued ance industry. In that category, I

4 JULY, 1970 would say that the number one prob­ mobile homes whether the right of the notice of the right of resc1ss1on, lem is the right to rescind certain rescission would apply. In this case, but oftentimes the date of consum­ transactions as set out in Section 125 local law would govern, because the mation may be uncertain. Section of the Act and § 226.9 of Regulation Board has defined "real property" in 226.2(cc) of Regulation Z provides Z. Again, going back to the basic § 226.2(w) of Regulation Z as mean­ regulation, I think it is important to ing " ... property which is real prop­ A transaction shall be considered understand the requirements of § erty under the law of the State in consummated at the time a con­ 226.9-that is, the criteria necessary which it is located." In most jurisdic­ tractual relationship is created to establish that a transaction is re­ tions, if the mobile home is still on between a creditor and a custo­ scindable. wheels, it is personal property, and if mer irrespective of the time of First, it must be a consumer credit it has been put on a foundation or performance of either party. transaction. Section 226.9(a) provides on blocks so as to immobilize it, it When and under what circum­ " ... in the case of any credit trans­ becomes real property. However, as I stances such a "contractual relation­ action ...." Under the rules of con­ have said, local counsel should be ship" is created depends to a large struction in § 226.2(bb), unless the consulted in this regard. extent upon State Jaw. A number of context indicates otherwise, the term Finally, the right of rescission does creditors have gone to bi-lateral com­ "credit" is construed to mean "con­ not apply unless the real property is mitment agreements to fix with pre­ sumer credit." Accordingly, if the used or expected to be used as the cision the date of consummation of transaction does not meet the test of principal residence of the customer. the transaction-and to fix it far consumer credit which I have just dis­ This would, of course, remove vaca­ enough in advance to allow the three cussed, the right of rescission will not tion homes, camp sites, and most rec­ business day period to run before in­ apply. reational property from the scope of curring any expenses in connection Secondly, this rig,ht will not apply the rescission provisions. Borderline with the loan. This is done because unless a security interest is or will be questions arise on whether certain § 226.9(d) of Regulation Z provides, retained or acquired. Under the provi­ real property is expected to be used in part, sions of § 226.2(z), the definition of as the principal residence, and some When a customer "security interest" and "security" are creditors have put "boiler plate" lan­ exercises his right very broad and include not only the guage in the disclosure statements to to rescind under paragraph consensual liens, such as mortgages the effect that the customer warrants (a) of this section, he is not li­ and deeds of trust, but also confessed that the property is not to be so used. able for any finance or other liens, whether or not recorded, liens We have taken the position that such charge, and any security interest arising by operation of Jaw, the inter­ a declaration in the disclosure state­ becomes void upon such rescis­ est of the seller in a contract for the ment or in the contract documents sion. sale of real property, and any interest would not operate, in and of itself, to There are exceptions to the right in a lease when used to secure pay­ remove the transaction from the re­ of rescission set out in paragraph (g) ment or performance of an obligation. scission provisions. However, we have of § 226.9. The principal exceptions Additionally, the Board has taken the taken the position that a separately of interest to you would be, first, to position in Interpretation § 226.901 signed and dated declaration that the the creation, retention, or assumption that the security interest may be re­ property was not used or expected to of a first lien or equivalent security tained or acquired by anyone in con­ be used as the principal residence interest to finance the acquisition of nection with the transaction, and is would operate to remove the transac­ a dwelling in which the customer re­ not limited to security interest ac­ tion from rescission, assuming, of sides or expects to reside, and, sec­ quired by the creditor. In that Inter­ course, that such a declaration were ond, to finance the construction of the pretation, the Board has held that the given and received in good faith and residence of the customer. You will fact that a creditor waives his lien not for the purpose of circumventing note that the general rule applies the rights does not, in itself, determine the Regulation. rescission privilege where a lien is or whether or not the transaction is sub­ It is important to remember that if will be retained or acquired in any ject to the right of rescission. That a transaction is subject to the rescis­ real property, and the exception is in is, if, as a result of the transaction, sion right, that right continues until favor of a first lien to acquire (or a security interest is or will be retained midnight of the third business day construct) a dwelling. This statutory or acquired by a subcontractor, work­ following ( 1) the date of consumma­ language has the effect of making the man, or other person, the transaction tion of the transaction, (2) the date right of rescission applicable to first is rescindable even though the cred­ of delivery of the Truth in Lending purchase money mortgages to acquire itor-contractor may have waived his ing disclosures, or (3) the date of the a vacant lot which is used or expected contractor's lien. delivery of the notice of the right of to be used as the principal residence. Thirdly, the right of rescission is rescission, whichever is later. It is Now, certain special rules apply to not available except in connection relatively easy to determine the date real property transactions, some of with real property transactions. The of delivery of the Truth in Lending which have been in the Regulation question has arisen in the case of disclosures and the date of delivery of from the beginning but, perhaps, have

TITLE NEWS 5 speci­ escaped attention. Other special rules apply to the existing obligation or the make disclosures based on the are in the Interpretations. related security interest to the extent fied amortization schedule, provided and accrued creditor discloses in his disclosure Often times, we are asked whether of the unpaid balance the creditor that the obligation is pay­ disclosures are required when, Jong unpaid finance charge. The statement security in­ on demand after the stated period after the transaction is consummated, would not risk losing the able entire obli­ with the fact that disclosures the customer fails to provide prop­ terest with respect to the together made on the basis of the amortiza­ erty insurance required by the mort­ gation if the customer rescinded-only are . tion schedule. As an alternative, the gage or financing statement. In that to the amount of the increase must make disclosures based connection, I direct your attention to A new Interpretation (§ 226.814) creditor the earliest date upon which de­ the provisions of § 226.8 (j) which set deals with the practice of adding on could be made for full payment, out the general rule that if an existing mortgage life and disability insurance mand designating the unpaid balance due at extension of credit is increased, it is after consummation of a mortgage that time as a "balloon payment". a new transaction subject to the dis­ transaction. Typically, the creditor the closure requirements of Regulation Z. makes a yearly advance for the pre­ Finally, on March 31, 1970, § 226.817 However, that paragraph also pro­ mium which is amortized over the Board issued Interpretation per­ vides year by an addition to the customer's covering reductions in the annual rate. Prior to that Interpreta­ Any increase in an existing obli­ mortgage payment. The amount of centage a reduction in an annual per­ gation to reimburse the creditor the advance is added to the unpaid tion centage rate, even when no other for undertaking the customer's balance of the obligation and, usually, terms were changed, constituted obligation in perfecting, protect­ is covered by the mortgage. Since this credit a new transaction subject to all of the ing, or preserving the security type of insurance is not the type which disclosure requirements of Regulation shall not be considered a new qualified as "preserving the security", That Interpretation provides: transaction subject to [Regula­ it would be a new transaction subject Z. no other credit terms are tion Z] . to Regulation Z. However, Interpre­ When specifies that the in­ changed, a reduction in the an­ Accordingly, an increase in the ob­ tation § 226.814 may be considered nual percentage rate applicable ligation to reimburse the creditor for surance agreement separate from the to an existing extension of credit purchasing the required property in­ a single transaction that disclosures need does not constitute a refinancing surance would not be a new transac­ mortgage and prior to the time the under § 226.8 (j), and no disclo­ tion subject to new disclosures. be made only initial insurance agreement is exe­ sures are required. Another frequent problem arises in cuted, and then only with respect to This Interpretation was issued so connection with the application of the the initial advance. That Interpreta­ as to relieve creditors of the burden right of rescission to refinance an ob­ tion also stipulates that if the advance of making new disclosures when giv­ ligation. This might include, for ex­ would give rise to the right of rescis­ ing customers the advantage of a ample, the instance where the annual sion, only the premium advance agree­ declining interest rate-so as not to percentage rate is increased or where ment would be rescindable. In such discourage creditors from passing a an additional advance is made under cases, the notice of the rescission right lower rate along to customers. an open end mortgage. While it is need only be given at the time the clear that most transactions of this insurance agreement is executed, and nature are subject to the disclosure Moves future advances for renewal premiums Security T itle requirements of Regulation Z (except would not be subject to the right of those not requiring disclosure under Into New Quarters rescission. the provisions of Interpretation § Security Title Insurance Company 226.811, Renewal of Notes) the appli­ Another recent Interpretation (In­ has expanded its Los Angeles County cation of the rescission right was not terpretation § 226.816) addresses it­ operation and moved into new facili­ always clear and, to the extent it was self to Jong term real estate mortgages ties located at 13640 Roscoe Boule­ not clear, was always burdensome, with demand feature. For example, a vard, Panorama City, Calif. prior to the promulgation of Interpre­ real estate mortgage may be written new Security Title building tation § 226.903. That Interpretation for a stated period, say, one year, The 130,000 square feet of usable holds that the right of rescission is not with the provision that it shall be contains adjoining a 10,000 square foot applicable to the transaction if the payable on demand after the expira­ space, cafeteria. amount of the new transaction does tion of that period, and if no demand to a complete title not exceed the amount of the unpaid is made, that it shall continue to be In addition the building contains an exten­ balance plus any accrued and unpaid payable at the stated amortization plant, processing department hous­ finance charge on the existing obliga­ rate. In other words it is payable ac­ sive data an RCA Spectra 70/ 45 computer. tion. Where the new transaction ex­ cording to a specified amortization ing than 2lh million names are on ceeds the unpaid balance and accrued schedule subject, however, to the cred­ More memory banks, as well finance charge on the existing obliga­ itor's right to demand payment after the Spectra's million separate listings of tion, the right of rescission would ap­ a stated period. The recent Interpreta­ as 81h in Los Angeles County. ply only to the excess. It would not tion stipulates that the creditor may property

JULY, 1970 6 Charles A. Willis, Vice President Chicago Title Insurance Company

On Being A Titleman

increasingly urbanized culture, land of trade journals, listening attendance still is the base of the economy and at real estate and home builder meet­ our very existence. The structures we ings, participation in civic affairs, and build and the uses we make of the a whole gamut of activities a titleman land are in the very life blood of our will find exciting, and even critical to families, our businesses and our entire his business success. society. Being a titleman in a professional Being a titleman is being part of sense means putting the customer first. this romance and excitement. It means This is always a good business con­ making a contribution to the ability cept, but it is essential for any profes~ of the individual to own with safety sion. This does not mean a surrender his own home, and sharing in the of control or dignity. It does mean process of building a mighty sky­ always thinking about the needs of scraper. the customer in the light of what you The role of the titleman is not that can provide him whether he knows it of a menial servant relegated to the or not. It means giving him the best backroom of some grubby office to be service you know how. It means crea­ a mere scribe reporting the jots and tivity and imagination appl ied to your tittles of history. Though all too often, services. Author Willis a good many titlemen seem to act Perhaps by the nature of the busi­ this way and allow their customers to ness and of necessity titlemen are eing a titleman is at once one of impose a reign of fear over them. the most tedious, detail nagging, closely tied to the tradition, prece­ B Being a titleman is being in a posi­ technical, precise, creative, thought­ dent, history, the tried and true or tion of dignity, skill and professional provoking, exhilarating, challenging whatever else is comforting. Jn a busi­ proficiency. and rewarding jobs around in these ness so much related to public records days of nameless regimentation. The Being a titleman means knowing and the law, "certainty" is a virtue heady wine of the wheels and deals your own profession from patent to and the "known" is a shelter from of real estate surges in and out of the condominium. It means knowing the error. title office. needs of your customer, be he a law­ But the titleman today must be in­ What starts out as the nagging, bor­ yer, businessman, buyer, seller, build­ quisitive, creative, imaginative and ing sameness of routine comes to life er, broker or lender. It means being challenging, too. Tradition for the as the history of people and property part of the total real estate commu­ sake of tradition is not enough. New emerges from the pages and volumes nity. York lenders may now loan money of public records, and the history The titleman must be aware of all for F.H.A., V.A. and conventional which emerges is the foundation of a aspects of the world of real estate and loans in all states. The federal govern­ new use of the land by people. must become knowledgeable of the ment has so many programs to assist There is a certain romance and ex­ problems and needs of his customers. building and real estate developments citement about the land. Despite our This means continued study, reading that a whole new industry of non-

TITLE NEWS 7 profit sponsors is being created. Profit­ services. It may mean developing a compensation and reward his invest­ seeking investors are combining in new service or doing an old job better. ment of capital. strange new ways in interstate asso­ Perhaps a word should be said Being a titleman is being an aggres­ ciations seldom seen before. A revo­ about escrow services. The increas­ sive, go-getter businessman. Selling, lution is about to break in terms of ing specialization of our customers, public relations, and marketing of our building techniques. Highly skilled and the interstate nature of our trans­ services are the new skills of this pro­ and professional organizations are be­ actions as well as purely local inter­ fessional. How irritating it is when ginning to dominate the market from ests, make escrow services of extreme that less competent, poorly-equipped planned unit developments, to apart­ importance to our business. Unfor­ titleman down the street walks off ment projects, to nursing homes. So­ tunately these services are ignored, with all the business. But "that other cial concerns and community respon­ forgotten, refused or downgraded by titleman" is really highly competent sibilities are receiving vast attention. many titlemen. at marketing his services and just An exciting, energetic new generation A good titleman is constantly ex­ happens to be making a good profit is on the prowl, challenging the world ammmg his own efficiency, too. too. Like the man says, "nothing to be honest and truly productive. Knowing our products and services is really happens until somebody sells A titleman too "in love with the essential, but times and business something." bis own methods change. Electronic devices past" may well be bung on Having learned his basic skills and are not for everyone, but often mod­ habendum clause. then having studied to "keep up-to­ who wants to be ern equipment and systems can create A titleman today, date", the titleman also takes time to to efficiency, cut costs and provide a here tomorrow, must be prepared meet with and talk to others in the services, and be better service. offer a variety of profession. Being a titleman means others. Both ab­ Being a titleman means that in his ready to consider being active in your state or regional insurance must read­ professional standards he makes ade­ stracting and title title association and the ALTA. Time needs. quate and proper charges for his ily respond to modern to fraternize with your professional really services. No professional can long Being a titleman today means peers is a major key to really being a 's need, and maintain standards of quality, sustain knowing your customer professional. offering the best service possible to financial integrity, meet the challenge enjoying him. This may mean an abstract, a of change, without a just fee to pay Being a titleman means title policy, a special report, or escrow himself and his employees adequate your work. Good luck!

Columbia Title Helps Clear Way for Project Troubled

By Reverter Dating Back to George Washington Gift

Columbia Real Estate Title Insur­ part of the plantation, including its quences from the reverter clause. A ance Company, Washington, D.C., mansion, in 1850. Later, when the shortage of time made it desirable to has helped a Virginia church clear the Masons conveyed a portion of their seek a solution other than securing way for financing new construction­ land for the building of a "meeting quit claim deeds from all the Mason despite a troublesome reverter clause house", they incorporated in the deed heirs, reported Samuel R. Gillman, on land originally improved by the a reverter clause stating the land would Columbia Title president. first President of the United States. revert to them or their heirs if it ever The church obtained its loan-and ceased to be used for a Baptist church. the new facilities-after members of Washington built In 1802, George Woodlawn Baptist agreed to indem­ acres adjoining a plantation on 2,000 Years passed, and when the Wood­ nify Columbia Title against all losses Vernon, Virginia, his historic Mount land Baptist Church needed to borrow or damages resulting from the re­ a gift to home. The plantation was $190,000 to build a new facility on verter clause while it was being re­ Nellie Custis, clause his adopted daughter, the land, the Mason reverter moved of record. Columbia Title ac­ and her husband. presented a problem. cordingly issued its policy assuring Another well-known Virginian, Three banks agreed to loan the the three lending banks that they the John Mason, and his wife, Rachel (a money, if they could be absolutely have a first and valid lien on cousin of Abraham Lincoln), bought protected against possible conse- property.

JULY, 1970 8 association corner Q) +-'co +-' (,/)

Washington Association vention May 14-16 in Oklahoma City. Clay Kirkpatrick, Tulsa titleman, Also elected were George Goetz­ presented a commentary on Okla­ Names W.S. Norton inger, vice president; W. 0. (Bill) homa's 1963 "40 Year Marketable Cooper, Jr., treasurer; John Cathey, Title Act", and a 1970 enactment by secretary; W. Sherwood Norton, Security Title and Mrs. Lou Jackson, ex­ the state's legislature that reduces the ecutive Insurance Company of Washington, secretary. 1963 Jaw's 40-year title evidence peri­ was elected president of the Washing­ Guest speakers scheduled included od to 30 years. The 1970 legislation Thomas J. Holstein, ton Land Title Association at its an­ ALTA president; will become fully effective July 1, Shirley nual convention in Vancouver, B.C., C. Thorne, U.S. Department 1972. May 7, 8, and 9. of Labor; Marian P. Opala, adminis­ Among other guests at the conven­ trative Other newly-elected officers are: Q. director, Courts of Oklahoma; tion were Bill J. Scott, president, Ar­ and Robert Davis, Pioneer National Title Charles Jones, executive vice pres­ kansas Land Title Association, and Insurance Company, vice president, ident, Oklahoma Savings & Loan Billie B. Schraub, president, Texas League. and Richard A. Hogan, PNTI, secre­ Land Title Association. tary-treasurer. Speakers at the meeting included Karl Hermann, Washington insurance commissioner, "Prospective Title Leg­ islation"; Dr. Adam E. Diehl, Cali­ fornia State College, Los Angeles, "Communication-The Name of the Game"; Frank Harney, assistant gen­ eral counsel, Metropolitan Life Insur­ ance Company, New York, "Reflec­ tions on a Long Association"; James Cannon, vice president, Safeco Cor­ poration, "Computers and You"; Marvin B. Durning, attorney, "The Lake Chelan Case"; Alvin W. Long, ALTA vice president, "Report of the ALTA"; and Hogan, "Another Year -Another Report".

Harper Elected To OLTA Helm Views from the 1970 Oklohoma land Title Associatio n Convention find ALTA President and Mrs. Tam Holstein (left) attired in authentic Indian headgear at top, left; President Holstein F. Earl Harper was elected 1970-71 receiving his official " Okie" pin from Ronald Horton, governor's representative, at top, right; Mrs. Nora president of the Oklahoma Land Title Holstein chatting with OlTA President and Mrs. Earl Harper at bottom, left; and ALTA Abstracters and Title Insurance Agents Association at its Section Chairman John Warren (center) visiting 65th annual con- with Joe Cantrell (left) and T. D. Nicklas at bottom, right.

TITLE NEWS 9 Other officers elected include: Le­ son, Chicago Title Insurance Com­ Fromhold Elected roy G. Snyder, Berks Title Insurance pany, membership committee; Wil­ Company, vice president; Russell C. liam J. Hartenstein, Philadelphia Title President of PLTA Pinker, Commonwealth Land Title, Insurance Company, ethics commit­ Insur­ treasurer; Albert E. Pentecost and tee; Richard Burroughs, Title Gordon M. Burlingame, Jr., Title In­ ance Corporation of Pennsylvania, J. Mc­ surance Corporation of Pennsylvania, convention committee; Frank Guar­ secretary and executive vice presi­ Donough, West Jersey Title and dent, respectively; and Moses C. anty Company, finance committee; Val­ Rosenberg, attorney, solicitor. Francis R. McAlonan, Industrial policies Committee chairmen appointees in­ ley Title Insurance Company, G. Pap­ clude: Snyder, executive committee; and forms committee; Chris Title, Burlingame, insurance code commit­ azickos, Commonwealth Land West­ tee; Irving Morgenroth, Common­ education committee; F. Victor and Guar­ wealth Land Title Insurance Com­ ermaier, Jr., Chelsea Title committee; pany, legislation committee; Pinker, anty Company, grievance National uniformity of practice committee and Jerry Antalik, Pioneer From hold liaison­ (eastern section) , and Charles H. Title Insurance Company, Cor­ rating bureau committee. Fred B. Fromhold, Commonwealth Magill, Lawyers Title Insurance com­ Land Title Insurance Company, was poration, uniformity of practice elected president of the Pennsylvania mittee (western section). ­ Land Title Association at its 49th Edward S. Schmidt, Common Transamerica Adds and Annual Convention May 24-26 at wealth Land Title, publications R. Wat- Shawnee-on-Delaware, Pa. publicity committee; Forrest Two Title Firms Transamerica Title Insurance Com­ Aids Mexican-Americans; pany has acquired Larimer County First American Abstract Company, Fort Collins, Familiar Pamphlet into Spanish Colo., and Title Abstract Company of Translates Eugene, Ore. Both companies for­ The complexities of the escrow United States who have migrated merly were agents for Transamerica process and of title insurance cover­ from Mexico to better understand in their respective counties. age can be confusing for any fledgling these phases of real property owner­ Edward Withrow, formerly presi­ will home buyer. But when the prospec­ ship, First American Title Insurance dent of Larimer County Abstract, tive purchaser also has a language Company has prepared a Spanish continue as its manager, and Richard barrier, the problem is compounded. version of its popular explanatory Scott has been appointed manager for In order to help the thousands of pamphlet about escrow procedure and Title Abstract Company. Americans living in the southwestern land title protection. "We hope that Realtors, builders, lenders and others engaged in real estate transactions involving Mexican­ Agent Acquired Americans will utilize this folder," Donald G. Taylor, vice president in By Lawyers Title charge of First American's Los An­ Lawyers Title Insurance Corpora­ geles regional office in Del Amo Fi­ tion has announced the purchase of nancial Center, Torrance, said. Title Underwriters, Inc., its agent in "The pamphlet's basic explanation Milwaukee. This is the second acquisi­ is couched in simple language, both in tion for Lawyers Title in 1970, the the English and Spanish versions," he first being Land Title Insurance Com­ added. "Thousands of copies in Eng­ pany, San Diego. lish already have been distributed Title Underwriters, located at 611 throughout California and in some Broadway, operates as a sub­ other areas of our 13-state opera- North of Lawyers Title under the tion." sidiary and management, offering The task of translating the escrow same name title insurance services and title insurance articles was han­ complete Mi lwaukee County. dled by N ate Escudero, business de­ throughout Marquardt will continue velopment representative for First Otto 0. of the Milwaukee con­ American's Del Amo office, who sug­ as president gested the Spanish version. cern.

JULY, 1970 10 McAdams Retires: 50-Year Titleman

Trabb, assistant vice president and associate counsel; Richard Powers and McAdams William DeSimone, assistant title offi­ cers, all in the Philadelphia offices. J. Emery Cole and Paul McCarthy, W. M. McAdams, divisional board title officers, Delaware County (Pa.) chairman, Kansas City Title Division office. of Chicago Title Insurance Company, Robert J. Sweeney, Chester County retired June 1 after serving Kansas (Pa.) office, title officer; and Warren City Title and its predecessors for PEARSON Strouse, Bucks County (Pa.) office, more than 50 years. assistant title officer. McAdams joined Kansas City Title in 1949 as vice president. He became Thomas Pearson, director * * * and ex­ president in 1955, serving in that ca­ ecutive vice president, Security Title pacity until the concern merged and and Guaranty Company, New York, became a division of Chicago Title has been elected chairman and chief Insurance in 1967, when he became executive officer of District-Realty divisional president and a vice presi­ Title Insurance Corporation, Wash­ dent of Chicago Title. Later, he was ington, D.C. named divisional board chairman and Security Title also has announced chief executive officer of Kansas City that John E. Maddie has been named Title. its comptroller and treasurer. McAdams has served two terms as * * * SAVILLE president of the Missouri Land Title Association. Robert L. Saville, Jr., has been named vice president-agencies at Lawyers Title Insurance Corporation, Chicago Title Moves and is responsible for agency network expansion. Home Title Offices * * Chicago Title Insurance Company Home Title Division has moved into new offices in the Woolworth Build­ SUELZER ing, 233 Broadway, New York City. The new office is eastern regional headquarters for Chicago Title, and James R. Suelzer has been elected is center for supervision of operations president of Kuhne & Company, Inc., on the eastern seaboard from Canada Fort Wayne, Ind. to Florida, including the Bahamas, * * * BOWEN Puerto Rico, and the U.S. Virgin Is­ Commonwealth Land Title Insur­ lands. ance Company, Philadelphia, has an­ Robert M. Bowen has been pro­ Alvah Rogers, Jr., vice president, nounced the following promotions: moted to vice president and manager has been appointed eastern regional Thomas R. Milligan, assistant vice of First American Title Company of manager and will direct the compa­ president and title officer; Ralph Tulare County, Visalia, Calif. ny's operations in this area.

TITLE NEWS 11 St. Paul Purchases Agency Contracts meeting f''metable

St. Paul Title Insurance Corpora­ tion, St. Louis, has announced an agreement in principle to purchase certain agency contracts of Capitol Land Title Insurance, Inc., Madison, Wis. The contracts being acquired are with existing abstract and title agen­ cies located in Wisconsin. No sale price was disclosed. Capitol Land Title, subsidiary com­ pany of Capitol Transamerica Cor­ poration, had title premiums of $184,- 000 in 1969. Upon consummation of July 19-20-21-22, 1970 October 14-15-16-17, 1970 New York Title Associotion ANNUAL CONVENTION the sale, Capitol Transamerica Cor­ Whitefa

September 10-11-12, 1970 October 25-26-27, 1970 Wisconsin Title Association Indiana Land Title Association Conway Hotel Indianapolis Hilton Appleton, Wisconsin Indianapolis, Indiana M. Edwin Prud'homme & Associates Management Consultants for the Land Title Industry September 11-12, 1970 November 6-7, 1970 Title Association Land Title Association of Arizona Time & Motion Studies South Dakota Land Employer-Employee Programs Kings Inn Tucson, Arizona Public Relations Projects Pierre, South Dakota Staff Training Programs Profit Motivation Methods Plant Appraisals & Evaluation November 19-20-21, 1970 401 Page Building September 11-12-13, 1970 Florida Land Title Association Austin, Texas 78701 Missouri Land Title Association Robert Meyer Motor Inn Tel.: (512) 477-1416 Stouffers Riverfront Inn Orlando, Florida St. Louis, Missouri

December 2, 1970 September 17-18-19, 1970 Louisiana Land Title Association North Dakota Land Title Association Royal Orleans Ramada Inn New Orleans, Louisiana Minot, North Dakota

1971 September 18-19, 1970 Kansas Land Title Association March 3-4-5, 1971 University Ramada Inn ALTA Mid-Winter Conference Manhattan, Kansas San Diego, California

September 24-25-26, 1970 October 3-4-5-6, 1971 Ohio Land Title Association ALTA Annual Convention Statler Hilton Statler Hilton Cleveland, Ohio Detroit, Michigan

12 JULY, 1970 Land has inspired man throughout the ages. Commonwealth Land Title Insurance safeguards his right to its ownership . .. and protects his investment in it.

151 O Walnut Street• Philadelphia, Pa. 19102 •Phone: (215) WA 3-0400 Title Insurance since 1876 •Assets in Excess of $30,000,000 Operating in 42 states, the District of Columbia, Puerto Rico and the Virgin Islands through Commonwealth, its subsidiaries and agents FIRST MAJOR ''BREAK-THROUGH'' IN 25 YEARS IN REAL ESTATE TABLES!

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