Make a Claim

The case of the missing $20,000

What would you do if a typo left you $20,000 short?

A B.C. civil case tried to answer that very question. A notary had acted for a couple on the sale of their condominium, and because of an alleged typographical error, he disbursed $20,000 more in sale proceeds than he actually received. The lawsuit alleged that the notary’s attempt to recover this money from his clients had been unsuccessful, so he had no choice but to cover the funds from his own pocket.

The case brings to mind several of the claims recently addressed under our E&O Complete policy. It’s an innovative way for lawyers and notaries to defend themselves from liability for errors or omissions when providing legal services on a qualifying real estate transaction, on top of their mandated professional malpractice insurance.

In general, a qualifying real estate transaction is one where the lawyer or notary acted for a named insured on an FCT title insured deal. In the context of a sale transaction or a refinance where the lawyer or notary only acts for the borrower, a qualifying real estate transaction is any transaction regardless of whether FCT issued a policy.

E&O Complete applies to both commercial and residential deals and provides two levels of protection:

Claims greater than $10,000

The policy will cover any deductible or claims history surcharge levied by the mandated primary errors or omissions insurer

Claims under $10,000

The policy covers the liability of the insured arising from an error or omission in providing legal services. The coverage for these smaller claims is limited to $10,000 for all transactions closing during the policy period or three claims, whichever comes first.

While a title insurance policy covers a host of issues, an E&O Complete policy is there for exposures that fall outside a title insurance policy’s scope of coverage, but still involve an error or omission when providing legal services.

Since we started offering this coverage, we have seen a variety of claims involving innocent errors in paying out mortgages or disbursing sale proceeds where the lawyer or notary was able to recover their out-of-pocket losses through their policy with FCT.

Click here to learn more about how our E&O coverage offers you more protection.



Insurance by FCT Insurance Company Ltd. Services by First Canadian Title Company Limited. The services company does not provide insurance products. This material is intended to provide general information only. For specific coverage and exclusions, refer to the applicable policy. Copies are available upon request. Insurance brokerage services by FCT Insurance Services Inc.  Some products/services may vary by province. Prices and products/services offered are subject to change without notice.


®Registered Trademark of First American Financial Corporation.

Subscribe to the FCT Blog

Access a world of knowledge, inspiration, and expertise delivered straight to your inbox. Stay informed, stay inspired – sign up today!