Purchased a condo and received an estoppel from HOA - had multiple special assessments identified plus seller's HOA unpaid dues listed and all were paid from proceeds at closing. One month later, lawyer for HOA wrote me a letter saying they made a mistake in computing the special assessments and $62K more is owed. I filed a claim with WFG title insurer and they just denied me saying: "Title insurance is not a casualty insurance that covers every possible loss, nor is it a guarantee of any facts regarding title to real property. Title insurance does not represent the status of title to real property, and an insured cannot rely on the title policy to represent the title. An insurer owes no duty to investigate the condition of the title and makes no representation as to the condition of the title inissuing a title insurance policy.
EXCEPTIONS FROM COVERAGE
This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees, or expenses resulting from the terms and conditions of any lease or easement identified in Schedule A and the following matters:
4. Terms, covenants, conditions, easements, restrictions, reservations and other provisions, including provisions which provide for a private charge or assessment and also provide for an option to purchase, a right of first refusal, or the prior approval of a future purchaser or occupant, according to that specific Declaration of Condominium"
But
There is also ALTA 4.1 CONDOMINIUM--CURRENT ASSESSMENTS ENDORSEMENT which states: The Company insures against loss o rdamage sustained by the Insured by reason of: Any charges or assessments provided for in the State condominium statutes and condominium documents due and unpaid at the Date of Policy.
Looking for advise on next steps.
