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Lawyers Title Ins. Corp. v. Stribling

The plaintiffs' title insurance company had a duty to defend the plaintiffs until it could determine whether the parties' policy provided coverage or whether the claim fell within one of the policy's exclusions.

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Lawyers Title Insurance Corporation appeals from the trial court’s order granting summary judgment to James and Carole Stribling on their complaint that Lawyers Title breached its duty to defend them in a lawsuit claiming an easement across their land. Because the trial court correctly held that Lawyers Title had a duty to defend the Striblings until it could determine whether the policy provided coverage or whether the claim fell within one of the exclusions, we affirm. This case arose after the Striblings bought a piece of property on Lake Rabun and bought title insurance for the property from Lawyers Title. In 2003, 19 years after they bought the land, the Striblings began building a house on the property. Seydel Properties sued the Striblings to enjoin construction on the house, claiming that this construction was interfering with its easement across the Striblings’s land to its property.

The Striblings sent a copy of the Seydel complaint and its attachments to Lawyers Title. Lawyers Title responded that the Striblings’s claim was outside the scope of coverage provided by the policy and refused to defend the lawsuit.

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