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Title dispute leads to appellate reversal

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The Indiana Court of Appeals has reversed a decision in favor of a title company, finding that the trial court must re-examine the case to decide if the two property owners have an action for negligent contract misrepresentation relating to a land easement dispute.

In Ronald E. Izynski and Linda Izynski v. Chicago Title Insurance Co., No. 45A04-1006-PL-277, the appellate court analyzed a contract dispute arising from a land ownership deal in 2003.
 
Ronald and Linda Izynski bought real estate in Porter County from Charles Ashton, and that property had a 50-foot easement that was publicly recorded but wasn’t reflected in multiple versions of a title commitment issued by Chicago Title Insurance Co. After the Izynskis learned about the easement and bought the property at a reduced price, they sued Chicago Title for breach of contract and negligence. But after a bench trial, the judge found in the title company’s favor.

The appellate panel found the trial court erred by finding the Izynskis were in contractual privity with Chicago Title because of the preliminary title and final policy issued. The trial court found that because Chicago Title and the Izynskis had a contract, no tort claim of negligent misrepresentation was available and they’re left with only contractual remedies. That was an error, the appellate panel determined, because Chicago Title had issued the title documentation to the owner the Izynskis bought the property from and the company didn’t actually have a contract with the Izynskis.

Chicago Title aruged the Izynskis had no breach of contract action because when they agreed to purchase the property, all versions of the title commitment had been issued to prospective buyer McLane and not to the Izynskis. It also argued the Izynskis have no tort remedy because they were in contractual privity with Chicago Title.

“Chicago Title cannot have it both ways,” wrote Judge Melissa May. “As we find there was no privity when the Izynskis agreed to buy the property, we remand for a determination whether the Izynskis have an action for negligent misrepresentation.”

The appellate panel also found the trial court erred in finding that mention of a previous easement from 1972 serves as notice for the 1979 easement at issue.

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  1. So that none are misinformed by my posting wihtout a non de plume here, please allow me to state that I am NOT an Indiana licensed attorney, although I am an Indiana resident approved to practice law and represent clients in Indiana's fed court of Nth Dist and before the 7th circuit. I remain licensed in KS, since 1996, no discipline. This must be clarified since the IN court records will reveal that I did sit for and pass the Indiana bar last February. Yet be not confused by the fact that I was so allowed to be tested .... I am not, to be clear in the service of my duty to be absolutely candid about this, I AM NOT a member of the Indiana bar, and might never be so licensed given my unrepented from errors of thought documented in this opinion, at fn2, which likely supports Mr Smith's initial post in this thread: http://caselaw.findlaw.com/us-7th-circuit/1592921.html

  2. When I served the State of Kansas as Deputy AG over Consumer Protection & Antitrust for four years, supervising 20 special agents and assistant attorneys general (back before the IBLE denied me the right to practice law in Indiana for not having the right stuff and pretty much crushed my legal career) we had a saying around the office: Resist the lure of the ring!!! It was a take off on Tolkiem, the idea that absolute power (I signed investigative subpoenas as a judge would in many other contexts, no need to show probable cause)could corrupt absolutely. We feared that we would overreach constitutional limits if not reminded, over and over, to be mindful to not do so. Our approach in so challenging one another was Madisonian, as the following quotes from the Father of our Constitution reveal: The essence of Government is power; and power, lodged as it must be in human hands, will ever be liable to abuse. We are right to take alarm at the first experiment upon our liberties. I believe there are more instances of the abridgement of freedom of the people by gradual and silent encroachments by those in power than by violent and sudden usurpations. Liberty may be endangered by the abuse of liberty, but also by the abuse of power. All men having power ought to be mistrusted. -- James Madison, Federalist Papers and other sources: http://www.constitution.org/jm/jm_quotes.htm RESIST THE LURE OF THE RING ALL YE WITH POLITICAL OR JUDICIAL POWER!

  3. My dear Mr Smith, I respect your opinions and much enjoy your posts here. We do differ on our view of the benefits and viability of the American Experiment in Ordered Liberty. While I do agree that it could be better, and that your points in criticism are well taken, Utopia does indeed mean nowhere. I think Madison, Jefferson, Adams and company got it about as good as it gets in a fallen post-Enlightenment social order. That said, a constitution only protects the citizens if it is followed. We currently have a bevy of public officials and judicial agents who believe that their subjectivism, their personal ideology, their elitist fears and concerns and cause celebs trump the constitutions of our forefathers. This is most troubling. More to follow in the next post on that subject.

  4. Yep I am not Bryan Brown. Bryan you appear to be a bigger believer in the Constitution than I am. Were I still a big believer then I might be using my real name like you. Personally, I am no longer a fan of secularism. I favor the confessional state. In religious mattes, it seems to me that social diversity is chaos and conflict, while uniformity is order and peace.... secularism has been imposed by America on other nations now by force and that has not exactly worked out very well.... I think the American historical experiment with disestablishmentarianism is withering on the vine before our eyes..... Since I do not know if that is OK for an officially licensed lawyer to say, I keep the nom de plume.

  5. I am compelled to announce that I am not posting under any Smith monikers here. That said, the post below does have a certain ring to it that sounds familiar to me: http://www.catholicnewworld.com/cnwonline/2014/0907/cardinal.aspx

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