FDIC v. First American Title Ins. Co.
FDIC v. First American Title Ins. Co., 611 Fed. Appx. 522 (11th Cir. 2015) (argued for FDIC) (holding that (i) FDIC, as receiver, retained under the terms of the purchase and assumption agreement (P&A Agreement) all claims related to acts or omissions that caused a loss to the bank, (ii) FDIC could bring a breach-of-contract suit against a title insurance company based upon the terms of a closing protection letter (CPL) issued by the company whereby it agreed to indemnify the bank against “actual losses” caused by the dishonesty of the company's local loan closing agent, (iii) the CPLs' 90-day notice provision for “actual loss” was not triggered until FDIC received the title company's closing agent's documents under an FDIC administrative subpoena, and (iv) “actual loss” from mortgage fraud perpetrated against the lending bank could be established based upon the outstanding loan balance less sales proceeds of the residential collateral and related expenses).
