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Are You Following ALTA Best Practices?
The American Land Title Association (ALTA), the national trade group of the land title insurance industry, recently announced it has expanded the availability of its Best Practices Framework resources to non-members. Title agencies can use the framework to demonstrate compliance to lenders, who need to meet regulatory requirements regarding oversight of their third-party service providers (e.g., title agencies). Law firms that have a title agency and those that are considering adding one in the future should be aware of ALTA Best Practices.
Although the framework is voluntary for title companies and there are currently no financial penalties for non-compliance, title agencies that follow the guidelines may find it easier to retain and grow their lender relationships than those who opt to not follow the recommended framework.
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