Terms Used In Rhode Island General Laws > Chapter 27-2.6 - Rhode Island Title Insurers Act

• abstract: means a written history, synopsis or summary of the recorded instruments affecting the title to real property. See Rhode Island General Laws 27-2.6-3
• Affiliate: means a specific person that directly, or indirectly through one or more intermediaries, controls, or is controlled by or is under common control with the person specified. See Rhode Island General Laws 27-2.6-3
• agent: means an authorized person, other than a bona fide employee of the title insurer who, on behalf of the title insurer, performs the following acts, in conjunction with the issuance of a title insurance report or policy:

  (i)  Determines insurability and issues title insurance reports or policies, or both, based upon the performance or review of a search or abstract of title; and

  (ii)  Performs one or more of the following functions:

  (A)  Collects or disburses premiums, escrow or security deposits or other funds;

  (B)  Handles escrows, settlements or closings;

  (C)  Solicits or negotiates title insurance business; or

  (D)  Records closing documents. See Rhode Island General Laws 27-2.6-3

• Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
• business of title insurance: means ":

  (i)  Issuing as insurer or offering to issue as insurer, a title insurance policy;

  (ii)  Transacting or proposing to transact by a title insurer any of the following activities when conducted or performed in contemplation of, or in conjunction with, the issuance of a title insurance policy:

  (A)  Soliciting or negotiating the issuance of a title insurance policy;

  (B)  Guaranteeing, warranting or otherwise insuring the correctness of title searches for all instruments affecting titles to real property, any interest in real property, cooperative units and proprietary leases and for all liens or charges affecting the same;

  (C)  Handling of escrows, settlements or closings;

  (D)  Executing title insurance policies;

  (E)  Effecting contracts of reinsurance. See Rhode Island General Laws 27-2.6-3

• Commissioner: means the director of the department of business regulation, or his or her designee or the commissioner, director or superintendent of insurance in any other state. See Rhode Island General Laws 27-2.6-3
• Contract: A legal written agreement that becomes binding when signed.
• Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
• Direct operations: means that portion of a title insurer's operations which are attributable to business written by a bona fide employee. See Rhode Island General Laws 27-2.6-3
• Escrow: Money given to a third party to be held for payment until certain conditions are met.
• Escrow: means written instruments, money or other items deposited by one party with a depository, escrow agent or escrowee for delivery to another party upon the performance, of a specified condition or the happening of a certain event. See Rhode Island General Laws 27-2.6-3
• Fiduciary: A trustee, executor, or administrator.
• in writing: include printing, engraving, lithographing, and photo-lithographing, and all other representations of words in letters of the usual form. See Rhode Island General Laws 43-3-16
• insurer: means a company organized under laws of this state for the purpose of transacting the business of title insurance and any foreign or non-United States title insurer licensed in this state to transact the business of title insurance. See Rhode Island General Laws 27-2.6-3
• Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
• Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). ^{Source: OCC}
• Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
• Lien: A claim against real or personal property in satisfaction of a debt.
• Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
• Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
• Oversight: Committee review of the activities of a Federal agency or program.
• Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
• Person: means any natural person, partnership, association, cooperative, corporation, trust or other legal entity. See Rhode Island General Laws 27-2.6-3
• Personal property: All property that is not real property.
• policy: means a contract insuring or indemnifying owners of, or other persons lawfully interested in, real or personal property or any interest in real property, against loss or damage arising from any or all of the following conditions existing and not excepted or excluded:

  (i)  Defects in or liens or encumbrances on the insured title;

  (ii)  Unmarketability of the insured title;

  (iii)  Invalidity, lack of priority or unenforceability of liens or encumbrances on the stated property;

  (iv)  Lack of legal right of access to the land; or

  (v)  Unenforceability of rights in title to the land. See Rhode Island General Laws 27-2.6-3

• Producer: means any person, including any officer, director or owner of five percent (5%) or more of the equity or capital of any person, engaged in this state in the trade, business, occupation or profession of:

  (i)  Buying or selling interests in real property;

  (ii)  Making loans secured by interests in real property; or

  (iii)  Acting as broker, agent, representative or attorney or a person who buys or sells any interest in real property or who lends or borrows money with the interest as security. See Rhode Island General Laws 27-2.6-3

• real estate: may be construed to include lands, tenements, and hereditaments and rights thereto and interests therein. See Rhode Island General Laws 43-3-10
• Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
• Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
• Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
• Title plant: means a set of records consisting of documents, maps, surveys or entries affecting title to real property or any interest in or encumbrance on the property, which have been filed or recorded in the jurisdiction for which the title plant is established or maintained. See Rhode Island General Laws 27-2.6-3
• Trustee: A person or institution holding and administering property in trust.
• United States: include the several states and the territories of the United States. See Rhode Island General Laws 43-3-8