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'Jhe Umertcan 'Jitle Ussocia.Tion, 2 TITLE NEWS • SEPTEMBER, 1926 CONTENTS THE MONTHLY LETTER ______________________________________ Page 2 EDITOR'S PAGE ------------------------------------------------------ " 3 "LIABILITY OF ABSTRACTERS" By V. E. Phillips ___________________________________________ --------- ------- ___ " 4 An interesting presentation of this subject, and something that will be very valuable to have. REPORTS OF STATE MEETINGS Oregon ---------------------- -------------------- --- -- ----- --------· " 10 Wisconsin ---------------·------------·----------------------------- " 10 Montana ------------------------------------------------------------ " 11 South Dakota ----------·----------------------------------------- " 11 North Dakota -------------------------------------- _____________ " 12 Ohio ----------·----------------------------------------------------· " 13 LAW QUESTIONS AND THE C 0 U R T S ANSWERS ·----------· ·-------------- ------------- ---------------- " 14 The Monthly Review. SUSTAINING FUND MEMBERSHIP ROLL- 1926 -------·---------------------- ---- ------ --- ---- --------------- ---- " 17 ABSTRACTS OF LAND TITLES ---· ----------------- ------ - " 20 Another installment on their preparation. MISCELLANEOUS INDEX ------------------------------------ " 22 News of the title world. ANNOUNCEMENTS OF STATE MEETINGS Kansas Title Association ------------------------------- " 21 Michigan Title Association ------------------------------ " 21 Nebraska Ttitle Association -------------------·-·-·-·-· " 24 A PUBLICATION ISSUED MONTHLY BY 'Jhe Umertcan 'Jitle Ussocia.tion, TITLE NEWS 2 TITLE EXAMINERS SECTION TITLE INS URANCE SECTION ABSTRACTERS SECTION M A ITY OKLA GOLDING FAIRFIELD. DENVER COLO DONZEL STONEY, SAN f'"RANC ISCO CALIF' RAY M CLAIN , OKLAl~O C CHAIR MAN CH'\1RMAN W L . ROGERS , LOUISV ILL E KY , JELLINGTON J SNYDER PHILADELPH IA , PA. LEWIS 0 FOX . FO~T WORTH TEX VICE C H AIRM A N \/ICE CHAIRMAN VICE CHAIRMA N SOLOM ON 5 GOLDMAN NEW O RLEANS LA JAS 0 FORWARD SAN OIEW CA LIF A J ARNOT, 0tSMARCK, N 0 SECRETARY SECRETARY SC.CRC TAR "f 1~he Elm<:~rican Title Elssociati<)J~ • EXECUTIVE COMMITTEE HENt<tY J FEHRMAN OMAHA. tlE8. ·---" -~---- J . W WOODFORD, CHAIRMAN PRESJOC:NT FRED P CONDIT, NEW YORK CITY •M P BOUSLOG, GULFPORT , MISS WOODFORD TULSA. OKLA J W WALTER M DALY, PORTLAND. ORE VICE PR C.SIOt N"I J M . WHITSETT, NASHV ILLE. TENN EDWARD C WYCKOFF' . NEWARK. N J J . L. CHAPMAN, CLEVELAND, O TREASURER HENRY BALDWIN, CORPUS CHRISTI, TEX . T 1TL.£ & TRUST BLO G ANO OFFICERS OF ASSOCIATION, RICHARD 8 HALL. KANSM CITY, MO . A NO CHAIRMEN Of' SECTIONS . KA~ S.\S C ITY, ::-10 . C:XC:CUTtVE SECRETARY EX·OFFIC IO Sept6mber 20th, 1926. Fellow Ti tle.'.Il.en: The re_l.Jort of the Association for the Fiscal Year ending August 31st shows it t9 have been the greatest in ihe tu story of the organ.l.za tion and to have exceed.ed all ex-• pectations. It is approaching it1e first century of ·existence as inis enas its ninteenth year. That time has been a series or interesting _fle riods and stages of progress and devt:lo.:pment s ince its est~b.l.1shment. The f inn wa s tha't of ore?,an1za tion when its founders labored so unselfishly for such a time, vYortn wh.ilt:: tn1ngs are not accomplisned -N.l. tnout effort. Next· came the problem of fina1~ing in order that the funds necessary to carry on its work and activities might be avail­ able. To finance 1 t i·equired that l t be "sold" to the members, so for a rect:nt period the greatest part of its energiE?s and activities hau to be spent in presenting the or~anization to the titlemen of the country. That was acco'l:nplisned as evidenced by the bountiful backing given in every ~ay during the past year, and particularly the moral and financial sui:i.i;iort. These made it possible to func­ tion in ~most profitable and beneficial measure. And now that it is organized, fairly financed and tne titlemen ·of the cow1try know they have a representative national commercial association, it can devote almost all of its efforts in better serving the title i11uustry. Its present :i;>roblem nowever, set:ms to be in ''selling• its ser­ vices to the ~embers. Th~y do not seem to realize how much use it can be to them. So try to think how it can help you-what it could do fo~ you and your business, then call upon its Executive Office for assistance. Sincerely yours, ~{.::.~ ---- ~ NEWS A publication issued monthly by The American Title Association Publ.uhed manthltl at Mo·u1.i M1RTI:J, iU.ino1.4; E'd1turial 1Jffirt Kunaaa Cit'JI , \Ju. 1£1~r,;d. a.!l 1J(;JC(J1.a Cl<ua ffw.u..:T, Det·ember lb, 19!1. al. th• post offiu al. Mount Mm-ri•. lllinm• . .,,.a.,. th• act of Maw:h ·'· 1879 Vol. 5 SEPTEMBER, 1926 No. 8 Editor's Page We feel very much enthused this month in being able to present the article on "Liability of Abstracters" by V. E. Phillips of Kansas City, Mo. This is treated in a different way than the usual han­ dling of a legal subject. It is not a mere summary of cases, with a long tedious review of each, but a general treatment of the points involved and a reference to cases only. The subject is analyzed and explained in an interesting and com­ prehensive way and conclusions of facts given. At the end is a table by states showing all of the cases in each. There has been a need for such an article and the Association promised a short time ago to give it. There is a feeling of pride however in being able to present such a one as this. Mr. Phillips is especially competent to handle this subject be­ cause he understands the legal as well as practical phases involved. He is a member of a representative law firm, instructor in Real Property Law in one of the Country's leading law schools, a rec­ ognized Title Examiner, and has been an active member of the Missouri Title Association. There have been many state convention recently and torie of six of them appear in this issue. There was more interest in these local meetings this year than ever before and all of them experienced record breaking attendance figures and general interest and im­ provement in programs. The state associations are doing good work but can do more as greater upport is given them by their members. · All former records of the Sustaining Fund both in number of con­ tributors and amount subscribed were broken this year. There was a large number of new pledges and the amount was greatly in excess of last year. This fine support enabled the Association to do a great many effective things. The list of those who provided the "Sinews of War" is shown in this issue. Watch for the October number of "Title News" which will tell the story of the Atlantic Convention. 4 TITLE NEWS to purchase property after he has r e­ "Liability of Abstracters,, ceived information of a probable sale through his position and speculate up­ By V. E. Phillips, Kansas City, Mo. on it at the expense of his customers. In an Illinois case in which an ab­ [Editor's Note: This is not intended the things and circumstances which are stracter received such information as a legal brief on the subject, but his pitfalls and follows each with an from his official position and had pur­ rather an interpretation and review of explanatory case and references to oth­ chased property, he was held to be a for his employer under such points involved, decisions that have ers that have been rendered on the trustee circumstances.' been rendered on them, what the atti­ same questions involved. tude of courts have been and future It is said that the abstracter handles inclinations. A summary of cases rendered in the private title papers and gains informa­ Mr. Phillips points out the common several states will be found at the last tion as to weaknesses and defects in sources of loss in the titleman's work, of the article.] titles, which would make it highly im- • proper for him to make disclosures to outsiders or to adverse claimants. He The business of furnishing abstracts gaged in the profession desire is en­ is held to a strict confidence in the ex­ of title to real property in the United tirely an exaggerated statement. But ercise of his trust. There is, how­ States has become one of the highly we do say that an analysis of the de­ ever, a relaxation of the rule in per­ specialized undertaking of experts. At c1s1ons in the United States with mitting him to purchase properties in least one of two abstracters are lo­ proper allowance for the influence of cases where he has already furnished cated in each county seat, and in the the doctrine stare decisis (precedent) a true and correct abstract and his em­ larger cities, one or more title com­ and allowing for procedural limitations ployment has ceased. But in a Mis­ panies have been organized to meet in the different jurisdictions shows cer­ souri case', it was held that an ab­ the demands for accurate title infor­ tain general rules of liability upon stracter who had failed to show a deed mation. which the abstracter may reasonably of trust could not purchase the proper­ The increasing prices of real proper­ depend. ty under foreclosure and then assert ty together with the increasing com­ N a ture o f t h e Work. his title against his customer who had relied upon his abstract. plexity of modern business dealings The first of these rules is that from rendering the securing of personal the nature of the work the furnishing L iability for E rrors. knowledge concerning titles impractic­ of an abstract is an undertaking of able have added a value to the abstract­ skill. The abstracter's duty in view of his er's work not heretofore possessed. As An abstract is said by W arvelle in technical undertaking is to exercise the importance of the abstracter's work his treatise on Abstracts to be a "con­ skill in the performance of his work to the public has increased, correspond­ densed history of the title of land con­ and in case of his failure to do so, he ingly the abstracter's duty and legal sisting of a synopsis or summary of is liable for errors.
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