A title defect is anything that can cause a title to be considered invalid or defective in some way. Some examples are:

• Invalid documents due to forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation.

• Failure of any person or entity to have authorized a transfer or conveyance.

• A document affecting title that is not properly executed, signed, witnessed, notarized, or delivered.

• Undisclosed or unrecorded easements not otherwise apparent on your land.

• No right of access to and from the land.

• A document executed under a falsified, expired, or otherwise invalid power of attorney.

• A document not properly filed, recorded, or indexed in the public records.

• Ownership claims by undisclosed or missing heirs.

• Defect arising from an improper prior foreclosure.

• Undisclosed restrictive covenants affecting your property.

Lien issues can also cause title defects. Some examples of lien issues are:

• Any statutory or constitutional contractor’s, mechanic’s, or materialman’s lien for labor or materials that began on or before the policy date. Talk to an attorney about your rights.

• Lien for labor or materials furnished by a contractor without your consent.

• A previous owner failed to pay

o a mortgage or deed of trust

o a judgment, tax, or special assessment

o a charge by a homeowners or condominium association.

• Other liens or claims that may exist against your title that are not listed in the policy.

In Kentucky, a title defect refers to any issue that compromises the validity or integrity of a property's title. Common title defects include fraudulent or improperly executed documents, unauthorized transfers, undisclosed easements, lack of legal access to the property, and issues arising from the use of invalid powers of attorney. Additionally, defects can result from errors in public records, such as improper filing or indexing, as well as claims from missing heirs or issues stemming from a flawed foreclosure process. Restrictive covenants not previously disclosed can also affect the title. Liens pose another significant risk to clear title, including those from contractors (mechanic's or materialman's liens) for unpaid labor or materials, liens from prior owners' unpaid debts such as mortgages, judgments, taxes, or homeowners' association fees. It is crucial for property owners or prospective buyers to consult with an attorney to address any title defects and to understand their rights, especially when it comes to liens or other claims that could affect their property title.