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Law Educator, Esq.
Law Educator, Esq., Lawyer
Category: Real Estate Law
Satisfied Customers: 118789
Experience:  Licensed attorney practicing landlord-tenant, land use and other real estate law and litigation.
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We purchased a mobile home from a co-worker back in

Customer Question

Hello, we purchased a mobile home from a co-worker back in December, 2004. The escrow company we used was chosen by my co-worker and we agreed to use them. We closed escrow late December 2004. Until October of 2014, everything was great. We needed to refinance in 2014 to remove someone from the title. To do so, the loan company needed to obtain a tax clearance. They were unable to do so because there were back taxes owed from 1997. The escrow company was notified by the tax collector in 2004 but failed to take the costs out of escrow. Since then we have had to pay out of pocket almost 2,000.00. Can we take the escrow company to court?
Submitted: 1 year ago.
Category: Real Estate Law
Expert:  Law Educator, Esq. replied 1 year ago.

Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.

IF you just discovered that the escrow company failed to fulfill their duty under your contract, then they are in breach of contract and you can sue them within 4 years of you discovering that they failed to act appropriately in this matter. Also, if you purchased title insurance with your purchase, the title insurance may also provide you coverage in this matter. If there is no title insurance, then the escrow company is liable to you for breaching their contract with you and failing to pay the taxes from escrow or at lease notifying you of the taxes due when they received notice.