DEATH OF A PARTY DURING ESCROW MILLER & STARR

  FOR DEATH PRIOR TO 01061959 ADMINISTRATION (INTESTATE)
DEATH DYING & BEREAVEMENT ANSWERS (16) 1
Form a Notification of Child Death

Title Neonatalinfant Death Report Form Developed by Prof
051030-death_penalty
157 THE DEMISE OF “BRAIN DEATH” IN BRITAIN DAVID

Death of a party during escrow

Death of a party during escrow



Miller & Starr §6:11 (in part):

When there is a binding contract and the deed is deposited. When there is a binding and enforceable contract between the parties, both parties have submitted their instructions to the escrow agent, and the grantor has deposited the deed with the agent, the death of the grantor does not terminate the escrow or revoke the agent's authority to deliver the deed. [FN4] In such cases, the delivery of the deed to the grantee relates back to the date it was originally deposited with the escrow agent, and it is considered as if the grantor made the delivery to the grantee before the death of the grantor. [FN5]

When the escrow conditions have been satisfied, the grantor's title automatically passes to the grantee, the grantor's death does not effect the title of the grantee, [FN6] and the grantee can compel the escrow agent to deliver the deed. [FN7] Even though the depositor has died, the escrow agent must complete the transfer to the grantee when the conditions are satisfied. [FN8]

Practice Note: It may be necessary to appoint a personal representative for the deceased who can receive the purchase money. It also may be necessary to procure a release of inheritance taxes.



In addition to the two points raised by Miller & Starr in the Practice Note:


  1. It may be extremely difficult to determine whether, from a technical, legal standpoint, the conditions to escrow were truly met.

  2. Where the deceased is the seller, consider Probate Code Section 850(a)(2), which provides for a court order conveying the deceased seller's real property.

  3. Recording a deed in favor of a deceased grantee who cannot take possession of the property strikes me as just plain weird. I would be reluctant to do it, although I have not found (and have not diligently looked for) authority specifically on point.



16 GROWTH ARREST AND CELL DEATH INDUCED BY THE
1953DeathsB
38131 §3813—INTERIM BENEFITS FOR DISABILITY OR DEATH DUE TO


Tags: death of, grantor's death, party, starr, miller, death, during, escrow