Quimbee logo
DMCA.com Protection Status
From our private database of 18,400+ case briefs...

Vestin Mortgage, Inc. v. First American Title Insurance Company

Utah Supreme Court
139 P.3d 1055 (2006)


Facts

A company mortgaged its property to secure loans from Vestin Mortgage, Inc. (Vestin) (plaintiff). Vestin insured its property interest by buying title insurance from First American Title Insurance Company (First American) (defendant). At the time, the town where the property was located had passed and publicly recorded an ordinance creating a special improvement district (SID). The mortgaged property lay within the SID's boundaries. After First American issued the title insurance policy, the town began levying a special tax on the SID. The borrower eventually defaulted on the loans and Vestin foreclosed on the property. Only then did Vestin hear about the SID ordinance and learn that, if Vestin sold the property to a third party, that party would immediately have to pay an accelerated SID tax. Vestin disclosed this information to a prospective buyer, who then declined to purchase the property. Vestin sued First American for damages, contending that the title insurance policy insured Vestin against the SID tax assessment. Both the trial court and the appellate court ruled in First American's favor. Vestin appealed to the Utah Supreme Court.

Rule of Law

Issue

Holding and Reasoning (Wilkins, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 496,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.

  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.

Here's why 496,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 18,400 briefs, keyed to 985 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Questions & Answers


Have a question about this case?

Sign up for a free 7-day trial and ask it

Sign up for a FREE 7-day trial