Issues to be mindful of
Clients should be mindful that the closure of government offices or shelter-in-place orders could raise various issues in connection with closing logistics, including the following issues:
- The ability to record deeds, mortgages, satisfactions, or other loan or title commitment requirements may be limited;
- The ability of title companies to conduct date-down searches or municipal lien searches may be affected;
- The ability of lenders, borrowers, or buyers to fund transactions remotely may be impacted;
- The ability of surveyors to conduct site visits may be limited; and
- The ability to respond in a timely fashion to zoning inquiries may be affected.
- Drafting of agreements: If parties are in the process of negotiating or drafting a purchase and sale agreement or letter of intent, we suggest adding certain provisions to protect a buyer’s deposit and ability to conduct due diligence in the event there are delays or closures as a result of COVID-19.