I am wondering if I have a potential civil suit against a title search company (Suffolk County, NY). I recently went through a divorce. During the divorce proceedings, my attorney obtained a title search on our jointly owned residence (Guaranteed Search for Attorneys) - At that time, the title company reported they ran a search from 4/17/2002 through 02/07/2012 and reported NO judgments or liens on the property. We used this reporting during negotiations
to obtain the marital residence in the settlement.
Prior to signing my divorce documents (16 months later), I personally obtained ANOTHER title search from the same company as I wanted to obtain title insurance on the property to cover my asset. The company reported some issues which I needed to resolve. However, again, their initial reporting came back NO judgments or liens on the property. After obtaining their reporting, I signed my divorce submission papers so that my estranged husband would sign over the deed.
On the day of my closing, another search was done and I was informed that my ex-husband has a $90,000 judgment on the property from 2010, a time frame they indicated was covered in the search.
I now negotiated settlement on an asset that has a huge liability and tremendously diminishes the value of what I received. Do I have a suit against the title company?