After escrow instructions have been signed, the seller asks escrow to return the grant deed to them so they can have an attorney check it. What is the result of this activity?
Question & Answer
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The return of the deed constitutes a rescission of the contract by the seller.
The return of the deed does not constitute rescission. Rescission requires mutual agreement or legal grounds, not simply a request to review documents. The contract remains binding once executed.
The escrow officer needs to return the deed if so instructed by one of the principals.
Escrow officers cannot return documents based on one principal's request after instructions are signed. They follow the signed instructions and close when all conditions are met, regardless of individual requests.
Escrow needs to close promptly before the attorney gets a chance to review the dee
d. The escrow officer cannot return the deed based on the seller’s request.
The escrow officer is not prohibited from returning the deed based on the seller's request; however, this action would be inappropriate as it would delay closing after conditions are met. The officer's duty is to complete the transaction.
Why is this correct?
Escrow must close promptly when all conditions are met and documents are executed. The seller's request to retrieve the deed after signing instructions doesn't halt the process, as escrow officers follow instructions and complete the transaction once all requirements are satisfied.
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