Yes, an attorney can be held liable if they file a deed incorrectly and it causes you financial harm or title problems because attorneys are expected to handle real estate documents with professional care. When they make mistakes in drafting or recording a deed, they may be responsible for fixing the issue and covering resulting losses.
The Concept of a Corrective Deed
If the mistake is minor, such as a misspelled name, an incorrect property description, or an incorrect date, the attorney typically prepares and records a corrective deed. This is a simple document that fixes the error, updates the public record, and clears the title without the need for a full court case. It is fast, low-cost, and usually resolves the problem quickly.
Malpractice Insurance for Serious Mistakes
For more serious errors that lead to significant financial loss, clouded title, or legal disputes, most attorneys carry professional liability (malpractice) insurance. This insurance helps pay for legal fees, court costs, and compensation to you, so you are not left paying for the attorney’s mistake out of pocket. It provides important protection for homeowners when things go wrong.
Why You Should Never File a Deed Yourself
Filing a deed on your own is risky and not recommended. Small errors in wording, missing required information, or improper recording can create serious title defects that are expensive and time-consuming to fix later. By using a licensed real estate attorney, you can understand the exact legal requirements, local rules, and proper language needed to make the deed valid and enforceable.
Hiring a professional saves you stress, prevents future problems, and properly protects your property.