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First American Title Insurance Company, Inc. v. First Title Service of the Florida Keys, Inc.

Supreme Court of Florida
457 So.2d 467 (1984)


First American Title Insurance (plaintiff) hired First Title Service (defendant) to prepare abstracts for a real estate transaction. In reliance upon the abstracts, First American Title Insurance issued a title insurance policy to the purchasers and the purchasers’ lending institution. After the transaction had closed, a judgment lien was discovered that had not been identified in the title abstract. First American Title Insurance paid $75,000 to satisfy the lien. First American Title Insurance brought suit for damages against First Title Service. First Title Service moved the trial court to dismiss the complaint for failure to state a claim for which relief could be granted. The trial court granted the motion to dismiss. First American Title Insurance appealed and the appellate court upheld the dismissal. First American Title Insurance petitioned the supreme court for review.

Rule of Law


Holding and Reasoning (Boyd, J.)

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