Rule P-13 Real Estate Settlement Act of 1974

Home Bulletins bulletins – 1995 B-151 BULLETIN NO. 151 April 22, 1975 To:   ALL TITLE INSURANCE COMPANIES LICENSED TO DO BUSINESS IN THE STATE OF TEXAS AND ALL AGENTS THEREOF. Re:   Rule P-13 Real Estate Settlement Act of 1974 We have been asked whether or not the "Real Estate Settlement Procedures Act of 1974" which becomes effective June 20, 1975, is a "similar act" subject to the prohibitions set out in Rule P-13 which prohibits title insurance companies and agents from preparing or passing judgment on disclosure documents and similar responsibilities which are placed by the Act upon the lender. Please be advised that in our opinion the "Real Estate Settlement Procedures Act of 1974" is an act which would fall within the meaning of the term "similar acts" in Rule P-13 and therefore title insurance companies and agents may not prepare or pass judgment on any disclosure documents or other requirements of such act which by the act are a responsibility of the lender or some other party to the transaction other than the title insurance company or title insurance agent. /s/ Ira M. Goodrich IRA M. GOODRICH Asst. Director of Title Insurance IMG:kac For more information, contact: ChiefClerk@tdi.texas.gov