Riordan v. Lawyers Title Insurance Corp.

The Riordans (plaintiffs) bought remote 'in-holding' property surrounded by federal land for $225,000 in 1995 and purchased title insurance from Lawyers Title Insurance Corp. (defendant) covering lack of right of access and unmarketable title. They later sued the United States seeking a declared vehicular right-of-way, since the property lacked automobile access, but that suit became moot once, after the property was appraised at $2.8 million in 2002, the Riordans sold it to the Sandia Pueblo for $1.3 million cash plus a $1.8 million charitable-deduction credit. The Riordans then sought payment from Lawyers Title Insurance, arguing the lack of vehicular access was a covered loss and rendered the title unmarketable; when the insurer refused, they sued, and the insurer moved for summary judgment.