When you’re buying or selling real estate in Florida, the title to your property, your legal ownership, must be clear and protected. That’s where title insurance and experienced closing attorneys come in.
At Revah Law, we provide comprehensive legal representation for real estate closings, title insurance, and escrow transactions throughout Florida. Whether you’re a homebuyer, seller, lender, or investor, our firm ensures that every closing complies with Florida’s strict legal framework and that your property rights are fully protected.
Understanding Title Insurance in Florida
Title insurance is a form of indemnity insurance that protects property owners and lenders against financial loss from title defects, liens, encumbrances, or adverse claims that may affect ownership.
Unlike most insurance policies, which protect against future risks, title insurance protects against past events, such as errors in deeds, undisclosed heirs, boundary disputes, or fraud in the chain of title.
Under Florida law, the issuance and regulation of title insurance are governed by detailed statutes, rules, and case law designed to ensure competency, accountability, and consumer protection.
Licensing and Qualification Requirements
Florida imposes stringent licensing requirements for individuals and entities engaged in title insurance activities.
Pursuant to Fla. Stat. § 626.8417, the Florida Department of Financial Services (DFS) may not issue a title insurance agent license to any individual deemed untrustworthy or incompetent. Applicants must, within the four years preceding the application, either:
- Complete a 40-hour title insurance course (including at least 3 hours on ethics), or
- Have 12 months of supervised experience performing responsible title insurance duties under a licensed title agent, title insurer, or attorney.
Exemptions: Attorneys admitted to practice law in Florida and in good standing with The Florida Bar are expressly exempt from licensing and appointment requirements. This exemption recognizes that attorneys are already subject to stringent professional and ethical standards.
This means that a Florida real estate attorney can act as a title insurance agent by virtue of their law license, allowing clients to close their transactions with both legal protection and title insurance under one roof.
Trust Account and Escrow Obligations
One of the most important legal safeguards in real estate closings is the proper handling of client and third-party funds.
Under Fla. Stat. § 626.8473, attorneys and title agents who receive funds in connection with real estate closings must:
- Deposit and maintain those funds in a separate trust account used exclusively for escrow and settlement transactions;
- Ensure those funds are immune from creditors of the title agency; and
- Use them only according to the written escrow or settlement instructions governing each transaction.
These accounts are also subject to audit by title insurers to ensure compliance.
Importantly, Florida attorneys who act as title or settlement agents are also governed by The Florida Bar’s trust accounting rules (Rule 4-1.15), which require meticulous record keeping, reconciliation, and fiduciary handling of client funds.
In Hechtman v. Nations Title Ins., 840 So. 2d 993 (Fla. 2003), the court clarified that attorneys typically act as title agents pursuant to their legal licenses, not DFS-issued licenses, and therefore hold escrowed funds under Bar Rule authority.
Violations of trust accounting laws can result in severe disciplinary action, including license suspension or disbarment, underscoring the fiduciary nature of the title agent’s role.
Record Keeping Requirements
Florida law mandates that title insurers and agents preserve and maintain detailed records of all title insurance activities.
Under Fla. Stat. § 627.7845, insurers must ensure that evidence of title determination and reasonable title search documentation, including searches of the Uniform Commercial Code (UCC) filings, are retained for at least seven years after issuance of a title commitment or policy.
These records must be produced upon demand by regulators. At Revah Law, all title and escrow files are retained in full compliance with these requirements, ensuring transparency and auditability for every transaction.
Title Search and Examination Duties
Florida law imposes a duty of competent title examination before any title policy is issued. A policy cannot be issued “without regard to the possible existence of adverse matters or defects of title.”
This means title insurers must perform thorough searches and evaluate potential defects with reasonable care.
Florida courts have reinforced this obligation in several key decisions:
- Morton v. Attorneys’ Title Ins. Fund, Inc., 32 So. 3d 68 (Fla. 2d DCA 2009) – Title insurers have an affirmative duty to search public records competently before issuing coverage.
- Crawford v. Safeco Title Ins. Co., 585 So. 2d 952 (Fla. 1st DCA 1991) – Title companies can be held liable for negligence or breach of contract if they fail to exercise reasonable care in issuing binders or commitments.
- Krause v. Title & Trust Co., 390 So. 2d 805 (Fla. 3d DCA 1980) – A title insurance policy functions as both a title search and a guaranty that the results are accurate and complete.
These cases emphasize that the issuance of a title insurance policy represents more than a clerical task, it is a professional assurance of ownership integrity.
Fiduciary Duty and Professional Standards
The Florida Supreme Court recognizes that insurance and title agents stand in fiduciary relationships with their clients. In Beckett v. Dep’t of Fin. Servs., 982 So. 2d 94 (Fla. 1st DCA 2008), the court confirmed that fiduciary duties are central to evaluating whether a title agent has acted properly.
Florida Bar disciplinary cases have further established that failure to maintain trust account records or to follow minimum accounting procedures can lead to disciplinary sanctions.
These principles ensure that title professionals uphold the highest standards of honesty, transparency, and client protection in every transaction.
Disciplinary Framework and Enforcement
The DFS enforces Florida’s title insurance laws through an extensive disciplinary framework under Fla. Stat. § 626.8437, which authorizes penalties including license suspension or revocation for:
- Misrepresentation or fraud in applications
- Lack of qualifications or technical competence
- Untrustworthiness or dishonesty
- Misappropriation or unlawful withholding of escrow funds
Specifically, the statute targets misuse of funds received in a fiduciary capacity as part of escrow agreements or closings. This reflects the high degree of trust placed in closing attorneys and title agents, and the serious consequences for violating that trust.
Limitations on Liability
Florida law balances strong consumer protection with reasonable limits on liability.
In Goldberg, Semet, Lickstein, Morgenstern & Berger, P.A. v. Chicago Title Ins. Co., 517 So. 2d 43 (Fla. 3d DCA 1987), the court rejected the concept of “open-ended liability” for title insurers. The court held that liability generally extends only to parties with contractual or reliance relationships — typically those who paid premiums or were expressly insured.
This limitation ensures fairness while maintaining the essential consumer protections that title insurance is designed to provide.
Florida Administrative Regulations Affecting Title Practice
The Florida Administrative Code (F.A.C.) provides further procedural and compliance standards:
- Rule 69A-71.004 – Outlines procedures for appealing code or title-related citations before local boards or special magistrates.
- Rule 69A-60.002 & 69A-3.012 – Establish the Florida Fire Prevention Code and define compliance obligations for real property improvements.
- Rule 69A-58.007 – Allows the State Fire Marshal to conduct inspections for jurisdictions lacking certified local inspectors.
While these rules often apply in the property inspection and development context, they underscore how Florida integrates title, safety, and property compliance into one coherent regulatory system.
Why Choose Revah Law for Your Real Estate Closing and Title Insurance Needs
At Revah Law, we go beyond basic title services. Every closing is attorney-managed, ensuring that your title insurance, escrow, and legal obligations are handled with precision and full compliance under Florida law.
We provide:
- Attorney-led title and closing services across Florida
- Licensed title insurance issuance backed by trusted underwriters
- Full escrow and trust account compliance under The Florida Bar and DFS
- Comprehensive title searches and defect resolution
- Protection from liens, claims, and ownership disputes
Whether you are a buyer, seller, lender, or investor, our firm ensures your transaction closes safely, legally, and efficiently, with your interests protected at every stage.
Contact Revah Law Today
If you are seeking a Florida closing attorney, title agency, or law firm experienced in title insurance, contact Revah Law today. We proudly serve clients throughout Miami-Dade, Broward, and Palm Beach Counties, and across the State of Florida.