The title industry has its own language. Many of its words and idioms are derived from the language of the law while others are common words given special meaning related to land titles. There are also words and phrases coined over the years by the title industry itself.
Glossary
C
CLOSING STATEMENT
A summation, in the form of a balance sheet, made at a closing, showing the amounts of debits and credits to which each party to a real estate transaction is entitled.
CLOUD ON TITLE
An irregularity, possible claim, or encumbrance which, if valid, would adversely affect or impair the title.
CO-INSURANCE
Literally, two or more policies of title insurance issued by different insurers, each covering a portion of the same risk, with interlocking provisions and which, when taken together, provide total coverage of the risk. Literally, two or more policies of title insurance issued by different insurers, each covering a portion of the same risk, with interlocking provisions and which, when taken together, provide total coverage of the risk.
CODICIL
An amendment, revision, supplementation, or cancellation of a will.
COMMISSION
The amount due a real estate broker or mortgage loan broker for services performed in such capacity. The term also applies to regulatory tribunals such as Real Estate Commissions.
COMMON LAW
The system of laws originated and developed in England which was the outgrowth of customs, usages and arbitrary court decisions as distinguished from written laws enacted by legislative bodies.
CONDEMN
(1) The legal declaration of a government that something is unfit for further use or existence, or constitutes a peril to life, health, safety or well being of the public, and ordering its removal or destruction, such as declaring a building unfit for use and a menace to health and public safety and ordering its destruction, or to order the slaughter of diseased animals. (2) The selection of private property by a government or public service corporation for acquisition for public or quasi public use.
CONDEMNATION
(1) The taking of private property for public or quasi public use, with compensation to the owner, under the right of eminent domain. All governments and so called public service corporations, such as railroads and electric companies, have the right to condemn and take private property. (2) The destruction by government of private property which imperils the life, health or safety of the public.
CONDITIONS
This term is first cousin to restrictions and reservations. It refers to provisions in deeds and other real estate instruments which provisions make a particular right contingent upon the occurrence of some future event.
CONDOMINIUM
A group or complex of residential units in the nature of apartments wherein each unit is separately and individually owned, the unit owners owning together the commonly used appurtenances such as gardens, sidewalks, supporting and dividing elements, elevators, and hallways. It is also possible for condominiums to encompass business buildings, office buildings, and manufacturing plants.
CONDOMINIUM UNIT
A residential unit in a condominium complex.
CONSTRUCTIVE EVICTION
The inability of a purchaser or lessee to obtain possession because of an outstanding right or superior title.
CONTRACT
Same as “agreement”, but usually more formal.
CONVEYANCE
The transfer of title to property from one person to another.
