I hired a company to remove my title defects, but they have not done so. What can I do to make them do their job?

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Question:

I entered into a real estate purchase agreement, in which I and the seller agreed that he would have 30 days to remove title defects.  The title insurance company I hired found a federal tax lien on the property and is refusing to cure it.  Where do I stand legally-speaking? 

Answer:

I have a title insurance problem 1. In a title insurance policy, a title company agrees to cover losses causes by defects in title.  It is the terms of the policy that govern the insurance company's duty, and the insurer's obligation is restricted to the title's loss in value resulting from title defects that the policy is supposed to insure.  As a general rule, it is the court's role to interpret an insurance policy, and it presumes that the parties' intent can be found in the language they used in the agreement.  When the contract terms are unambiguous, courts will not rewrite the contract by finding an intent not expressly stated in the document.  In your contract, you agreed that seller would remove title defects within 30 days.  You used the word 'remove' as opposed to 'cure'.  You failed to provide that title insurance was a suitable remedy for curing the title defects.  Therefore, your only remedy, as set forth in the contract, is removal of the title defect.  

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