Wisconsin Eagle's Nest: Q1 2024

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Wisconsin Contact List

Put your trust in the professionals that put you first. Meet the key players who are committed to providing the necessary resources and underwriting guidance you need, and the service solutions that give you an edge.

Product, Service, and Administrative Support

C: 714.788.4908

dokennedy@firstam.com

D: 608.345.3902

bsmaglick@firstam.com

Underwriting Support

D: 608.286.3202

mripp@firstam.com

D: 608.286.3224

szablocki@firstam.com

C: 608.346.5135

akalweit@firstam.com

C: 630.799.7123

jangelakos@firstam.com

Don Kennedy Division Managing Director

Ben Smaglick Agency Representative

Marv Ripp VP, State Counsel

Steve Zablocki Senior Underwriting Counsel

Allison Kalweit Underwriting Counsel

Julie Angelakos Regional Underwriting Director

Lis

Pendens

Steve Zablocki, Senior Underwriting Counsel

The recording of a lis pendens in a foreclosure action does two things. First, by law, a lis pendens must be of record for at least 20 days before the entry of a judgment of foreclosure.1

Next, the lis pendens is recorded to close the door on additional defendants. It would be impossible for a creditor to ever clear title if there wasn’t a means to prevent future creditors’ claims from attaching. The statute provides that from the time the lis pendens is recorded, any purchaser or encumbrancer whose conveyance comes after the lis pendens, is bound by the proceedings . . . to the same extent and in the same manner as if the purchaser or encumbrancer were a party thereto.2

Accordingly, once the lis pendens is recorded, any subsequent creditor’s interest is treated as

if they are a defendant to the action. This applies to all judgments and lien and applies equally to the state and federal government liens.

From time to time, the question comes up whether there’s an issue if a creditor doesn’t appear on the caption on the lis pendens. The lis pendens statute does not require any mention of any parties. Rather, so long as the parties appear on CCAPs and have not been dismissed, then there are no issues. A lis pendens does not require a listing of creditor’s names to foreclose same. If you have any lis pendens, foreclosure or other related questions, please contact your First American Underwriter.

Check Out That Dam

Steve Zablocki, Senior Underwriting Counsel

There are a lot of dams in Wisconsin. What’s a dam? A dam is defined as “any artificial barrier in or across a watercourse which has the primary purpose of impounding or diverting water and includes all appurtenant works, such as a dike, canal or powerhouse.”1

Said another way, it is a barrier that impounds water and generally serves the primary purpose of retaining water.2 There are approximately 3,900 dams in Wisconsin and another 900 dams have been built and washed out or removed.3

The Wisconsin Department of Natural Resources require permits or approvals for various items associated with dams. Permit or approvals are required for the building of a new dam, repairing or reconstructing an existing dam, raising and enlarging an existing dam, transferring ownership of a dam, removing a dam; and/or altering the water level being held by a dam.4

The key issue is transferring ownership of a dam. No person may assume ownership of a dam . . . or the ownership of that specific piece of land on which a dam is physically located . . . without filing an application and obtaining approval from the DNR.5

Failure to follow the appropriate steps will result in the transfer being void.6

How do you avoid any issue? Check your subject property on a GIS or other overhead satellite map. Is there water within the parcel or close by? Is there something that suggests water is being retained? If so, there may be a dam on the parcel. If you aren’t sure, reach out to your First American Underwriter. We can check other sources and put a second set of eyes on the issue. If you do find a dam, a requirement should be raised for the approval of the Wisconsin DNR.

1 Wisconsin Administrative Code, NR 333.03(3)

2 Dams Overview, Wisconsin Department of Natural Resources

3 Id.

4 Dams Regulations, Wisconsin Department of Natural Resources

5 Wis. Stat. §31.14(4)

6 Id.

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Reminder for Divorcing Parties

Steve Zablocki, Senior Underwriting Counsel

In a divorce, the judgment terminates the marriage and incorporates the stipulations and orders between the parties. The judgment or the marital settlement agreement (MSA) contains who will receive what and when out of the marital asset pool.

When reviewing the MSA and judgment, please be mindful of the intent of the parties. Normally, the order will grant the property to one of the parties. This order by itself does not usually transfer record title. Rather, the order may in fact require a subsequent quit claim deed from one party to the other.

The order may recite that the property sold, and one spouse is to receive a certain payment out of the proceeds.

Upcoming Webinars

• Fraud

April 10, 2024 | 9:00am – 10:00am CST

• AgentNet Tips, Tricks & Features

May 8, 2024 | 10:00am – 11:00am CST

Is the court creating a right to a lien by requiring an equalization payment? The answer is an unsatisfying “maybe.”

There is law that suggests that a lien born out of divorce court must be recorded, this by itself does not stop an aggrieved spouse from looking back at the title company and making demands for payment.

If you see a court order for one spouse paying the other, treat it as a lien. The amount should be raised as an exception, a payoff obtained, and the amount disclosed on the closing statement. If they paid it off, then the onus is on the seller to come up with the appropriate documentation. We should not be left having to deal with an aggrieved ex-spouse.

• Clearing Liens – Part 1

June 8, 2024 | 9:00am – 10:00am CST

• Clearing Liens – Part 2

July 10, 2024 | 9:00am – 10:00am CST

Save the dates for these 2024 webinars, hosted by the WIsconsin Agency Team. To view a collection of previous webinar recordings, visit the Wisconsin Agency Training website. Visit Website