The CBA’s Mortgage Instruction Toolkit
The Mortgage Instructions Toolkit is a practical resource for residential real estate lawyers in Canada. Over the last few years, lender instructions have increased in scope and lawyers may find themselves being pressured to give opinions and assume responsibility for matters outside their areas of expertise. The result is a significant increase in potential liability.
Although lenders’ title insurance policies are obtained in most residential mortgage loan closings, title insurance does not cover all elements of a residential transaction or resolve all difficulties with a lender’s instructions. The Canadian Bar Association’s Real Property Law Section is planning to work with the Canadian Bankers Association to seek improvements to problematic lender instructions in residential real estate transactions. Please send any issues you are facing with lender instructions to [email protected].
Prepared by the CBA Real Property Section, the practice tools in this toolkit can help you respond to some common lender instruction requests.