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The last days of July saw title company closings in Texas, Arizona and California. United Title of Texas and Arizona Title Agency both closed their offices unexpectedly and laid off all of their employees. These companies are owned by Mercury Companies, who closed title operations in Arizona, Texas and California. In addition, I attempted to order a title commitment in Texas. The title officer required a certified copy of the original note and at closing would require the original note be surrendered to them before they would issue the final policy. When I questioned her about this requirement she faxed me an underwriting bulletin issued on 7/28/08. I was issued for Chicago Title, Security Union Title and Ticor Title in Texas, Oklahoma and New Mexico. In brief, it states that when a loan policy is ordered on a “pre-existing” loan the lender must certify the following items in writing: 1) the current balance of the loan; 2) that the loan has not matured; 3) that the loan is not past due or in default; and 4) that lender is in possession of the original promissory note secured by the lien and a copy of the note should be attached. In addition they would require an estoppel certificate from the borrower stating: 1) the lien is valid and enforceable on the property; 2) the borrowers have no defenses in law or equity to the lien; 3) the loan is current; 4) and the lender to which they are making payments. I have seen these requirements appear on titles in Texas before and have always been able to satisfy them, or obtain title from a different company. Interestingly, I did not see the requirement to obtain the original promissory note in the underwriting bulletin, that must have been an internal requirement.