Title due diligence often uncovers issues that must be resolved before a transaction can proceed smoothly. This is where curative work comes in. Without proper resolution of title defects, developers and operators risk encountering costly delays and legal disputes. At Cinco Energy, we specialize in efficiently addressing these challenges to keep projects on track.

What Is Curative Work in Title Transactions?

Curative work involves resolving title defects or inconsistencies uncovered during the due diligence process. Even seemingly straightforward titles can contain hidden errors or omissions that, if left unaddressed, can jeopardize an investment. Addressing these issues proactively ensures a legally secure transaction and prevents future disputes.

>> Read Part 1: The Importance of Identifying Title Issues Early

Common Title Defects Requiring Curative Work

Missing or Incomplete Conveyance Documents 

In some cases, property transfers have not been properly recorded, leading to gaps in the title chain. This can cause ownership disputes that require additional documentation or legal action to resolve.

Incorrect Legal Descriptions

Errors in property boundaries, lot numbers, or legal descriptions can create confusion about ownership rights. Correcting these inaccuracies ensures that all property descriptions align with recorded deeds.

Unreleased Liens or Mortgages 

Prior financial claims on a property must be properly released before a new transaction can proceed. Failure to clear outstanding liens can lead to financial and legal roadblocks.

Gaps in the Chain of Title 

Any break in the chain of title affects all subsequent transactions. Even a seemingly minor issue such as an unreleased lease or unknown heirship can have significant consequences down the line. If ownership records show missing transfers or inconsistencies in historical ownership, additional legal research and documentation may be required to establish clear title.

Outstanding Heirship or Probate Issues 

Unresolved inheritance claims can create uncertainty regarding ownership. If past owners passed away without proper estate planning, legal intervention may be needed to confirm rightful ownership.

The Importance of Curative Work

Without curative work, unresolved title defects can lead to delays, risks and complications. Here are a few of the things that might happen if title defects are not resolved:

• Transaction Delays: Defects must be resolved before closing, which can slow down deals and increase costs.
• Legal and Financial Risks: If title issues remain unaddressed, companies may face lawsuits, financial penalties, or forced operational shutdowns.
• Regulatory Complications: Permitting and compliance processes can be stalled due to unclear ownership, leading to further delays and project inefficiencies.

How Cinco Energy Resolves Title Defects

At Cinco Energy, our team specializes in resolving complex title issues efficiently and effectively. Our curative work process includes:

• Detailed Investigation: We thoroughly review property records and historical transfers to identify the root causes of title defects.
• Strategic Resolutions: Our experts collaborate with legal teams, landowners, and regulatory bodies to clear title issues through documentation, legal filings, and negotiations.
• Timely Execution: We prioritize efficiency to ensure defects are corrected swiftly, preventing unnecessary delays and keeping projects on schedule.

Need Help with Title Due Diligence and Curative Work?

Whether you’re conducting due diligence or addressing title defects, having an experienced partner is essential. If you haven’t yet conducted title due diligence, be sure to check out Part 1 of this series to understand the importance of identifying title issues early.

Cinco Energy is your trusted partner in both title due diligence and curative work. We help developers, operators, and investors navigate complex transactions with confidence.

Need expert guidance? Get in touch with Cinco Energy today to ensure your title is clear and your transactions proceed without a hitch.