In October 2017, the New York State Department of Financial Services (“NYSDFS”) published Regulation 208, Title Insurance Rates, Expenses and Charges, which became effective on December 18, 2017. In July 2018, the Supreme Court ruled in favor of the NYSLTA, invalidating Regulation 208 in its entirety. After two separate appeals, on December 26, 2019, the Appellate Court ruled in favor of NYSDFS, reversing the Supreme Court’s decision and reinstating the majority of Regulation 208.
Effective immediately, Regulation 208 should once again be considered effective. Listed below are some of the services and fees that will and will not be permissible.
What’s NOT permitted:
– Meals and Beverages (Breakfast, Lunch or Dinner etc.)
– Entertainment of any kind (e.g. Sporting Events, Plays etc.)
– Holiday and Seasonal Parties
What is permitted:
– CLE’s as long as they are open to the legal public
– Marketing Items of de minimus value, such as pens and pads
– Marketing Events
– Gratuities and Pick up Fees to Title Closers
If you have any questions about compliance with Regulation 208, please email info@JudicialTitle.com or call our Legal Department at 1-800-281-8485.