A title defect is anything that can cause a title to be considered invalid or defective in some way. Some examples are:

• Invalid documents due to forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation.

• Failure of any person or entity to have authorized a transfer or conveyance.

• A document affecting title that is not properly executed, signed, witnessed, notarized, or delivered.

• Undisclosed or unrecorded easements not otherwise apparent on your land.

• No right of access to and from the land.

• A document executed under a falsified, expired, or otherwise invalid power of attorney.

• A document not properly filed, recorded, or indexed in the public records.

• Ownership claims by undisclosed or missing heirs.

• Defect arising from an improper prior foreclosure.

• Undisclosed restrictive covenants affecting your property.

Lien issues can also cause title defects. Some examples of lien issues are:

• Any statutory or constitutional contractor’s, mechanic’s, or materialman’s lien for labor or materials that began on or before the policy date. Talk to an attorney about your rights.

• Lien for labor or materials furnished by a contractor without your consent.

• A previous owner failed to pay

o a mortgage or deed of trust

o a judgment, tax, or special assessment

o a charge by a homeowners or condominium association.

• Other liens or claims that may exist against your title that are not listed in the policy.

In New Hampshire, a title defect refers to any issue that compromises the validity or clear ownership of property title. This can include problems arising from fraudulent or improperly executed documents, unauthorized transfers, undisclosed easements, lack of legal access to the property, or invalid use of power of attorney. Additionally, issues with public records such as improper filing or indexing can lead to title defects. Heirship claims, restrictive covenants not previously known, or issues stemming from a flawed foreclosure process can also affect title validity. Lien-related defects are another concern, including those from contractors' liens for unpaid labor or materials, liens from a previous owner's debts, or other undisclosed liens. It's important to address these defects as they can affect the owner's ability to sell or mortgage the property. In New Hampshire, title insurance may provide protection against many of these issues, but it's crucial to consult with an attorney to understand your rights and remedies regarding title defects.