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Regarding AI summaries, this is a new tech, and we view it as another tool in the tool chest but not a replacement for the human review. Many of us have started utilizing AI to assist in many daily tasks so that is why we suggested adding it to the mix for
reviewing bills, but we will always want to read through what it spits out and verify anything we don't know to be true.</div>
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Maureen</div>
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<span style="font-family: Arial; font-size: 12.6667px; color: rgb(34, 34, 34);">Maureen Pfaff, President and CEO</span></p>
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<span style="font-family: Roboto; font-size: 9.5pt; color: rgb(34, 34, 34);">Ph: (360) 457-4451 | Fax:
</span><span style="font-size: 12.8px; color: rgb(34, 34, 34); background-color: rgb(255, 255, 255);">(844) 513-2400</span></p>
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<span style="font-family: Arial; font-size: 9.5pt; color: rgb(34, 34, 34);">403 S Peabody St, Port Angeles, WA 98362</span></p>
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<span style="font-family: Roboto; font-size: 9.5pt; color: rgb(17, 85, 204);"><a style="margin-top: 0px; margin-bottom: 0px;" title="mailto:maureen@olypentitle.com" href="mailto:maureen@olypentitle.com">maureen@olypentitle.com</a></span></p>
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<span style="font-family: Roboto; font-size: 9.5pt; color: rgb(17, 85, 204);"><a style="margin: 0px;" rel="noopener noreferrer" target="_blank" href="http://www.olypentitle.com/">www.olypentitle.com</a></span></p>
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<span style="font-family: "Times New Roman", serif; font-size: 12pt; color: rgb(153, 0, 0); line-height: 18.4px;"><b>WARNING – FRAUDULENT FUNDING INSTRUCTIONS</b></span><span style="font-family: Roboto, RobotoDraft, Helvetica, Arial, sans-serif; font-size: 12.8px; color: rgb(34, 34, 34);"><br>
</span></p>
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<span style="font-family: "Times New Roman", serif; font-size: 12pt; color: rgb(34, 34, 34); line-height: 18.4px;"><b>Email hacking and fraud are on the rise to fraudulently misdirect funds. Please call your escrow officer immediately using contact information
found from an independent source, such as the sales contract or internet, to verify any funding instructions received. We are not responsible for any wires sent by you to an incorrect bank account.</b></span></p>
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<span style="font-family: Arial, sans-serif; font-size: 10pt; color: rgb(51, 51, 51); background-color: yellow; line-height: 15.3333px;"><b>ATTENTION LENDERS: Loan packages, complete with documents and balanced CD, must be received no later than 2:00 pm PST on
the day <i>prior</i> to signing.</b></span></p>
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<span style="font-family: "Times New Roman", serif; font-size: 12pt; color: rgb(153, 0, 0); line-height: 18.4px;"><b><img style="width: 96px; height: 96px; margin: 0px;" height="96" width="96" src="https://ci4.googleusercontent.com/proxy/NTeYNcEClGPpwHggQhZwTEbSA0lLJUWpRPCqETkeQth0ttOrN_jGm27ifReH9Vuc9_0=s0-d-e1-ft#https://i.imgur.com/JbY2vXS.png"></b></span></p>
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<span style="font-family: Arial, sans-serif; font-size: 12pt; color: rgb(17, 85, 204); line-height: 18.4px;"><b><a style="color: rgb(17, 85, 204); margin: 0px;" rel="noopener noreferrer" target="_blank" href="https://www.youtube.com/watch?v=ek4TwC9owwY&feature=youtu.be">CLICK
HERE TO WATCH VIDEO </a></b></span><span style="font-family: Arial, sans-serif; font-size: 12pt; color: blue; line-height: 18.4px;"><b><br>
</b></span><span style="font-family: Arial, sans-serif; font-size: 12pt; color: rgb(17, 85, 204); line-height: 18.4px;"><b><a style="color: rgb(17, 85, 204); margin: 0px;" rel="noopener noreferrer" target="_blank" href="https://www.youtube.com/watch?v=ek4TwC9owwY&feature=youtu.be">ON
WIRE FRAUD PREVENTION</a></b></span></p>
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<i>This electronic mail may constitute a client communication that is privileged at law. It is not intended for transmission to, or receipt by, any unauthorized persons. <br>
If you have received this electronic mail transmission in error, please delete it from your system without copying it, and notify the sender by reply e-mail, so that our address record can be corrected.</i></div>
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<div id="divRplyFwdMsg" dir="ltr"><font face="Calibri, sans-serif" style="font-size:11pt" color="#000000"><b>From:</b> Legislativecommittee1 <legislativecommittee1-bounces@washingtonlandtitle.com> on behalf of George Peters <execdirector@washingtonlandtitle.com><br>
<b>Sent:</b> Tuesday, January 20, 2026 3:11 PM<br>
<b>To:</b> 1 WLTA Legislative Committee <legislativecommittee1@washingtonlandtitle.com><br>
<b>Subject:</b> [Legislativecommittee1] HB 2354 (CICs)</font>
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<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">Neutral.</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">This bill does not directly impact the title or escrow industries. It does require disclosures in a CIC resale certificate or Form 17, and may impact when a CIC resale
certificate is required (which is based on the size of the project). Title companies already need to determine if a project is a CIC subject to WUCIOA. This bill does not change that.</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">By the way, a word of caution when reading the AI generated description of a bill as requested by JP. All of the “opinions” of Artificial Intelligence should not be taken
as gospel without reading the bill itself. I read this one before actually reading the bill, and was struck by the many concerning “absolutes” relating to title and escrow that made me assume the bill was more than in actually is. Examples:</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“Because title companies and escrow agents handle transactions involving condominiums and other common interest communities, these changes could
<i>indirectly <b>affect their due‑diligence processes and disclosures</b></i>. HB 2354 does not impose new taxes, fees, or direct regulations on title or escrow services, but
<b><i>it alters property rights and obligations that must be acknowledged in conveyances</i></b>.” My comments: There is no related due diligence regarding the issues in this bill. The statute provides for disclosures but not necessarily in the deed. They can
be made in the resale certificate or Form 17. Title companies do not have a due diligence to determine compliance. Each underwriter is free to interpret what “disclosures” must be affirmatively (expressly or otherwise) reported (shown? excepted?), of course.</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“Title companies and escrow officers must verify that disclosures about EV stations (and possibly heat pumps) are provided to purchasers.” My
comment: DOES NOT. There are no more provisions in this bill than in the existing statute. Also, a title policy does not insure compliance with disclosures, whether they are made (or not) in a seller’s resale certificate or Form 17. Coverage relates to an
exception for the existence of an encumbering document, and loss due to violations of CCRs as specified in coverage endorsements.</span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“Title examiners will need to check that recorded declarations and HOA governing documents comply with HB 2354’s prohibitions against unreasonable
restrictions on EV chargers and heat pumps.” My comment: Examiners do not do this with respect to such matters (or other matters) in any CCRs. Endorsements offered with title policies (such as the ALTA 4 and ALTA 5 series) concern compliance with creation
of a CIC, and against loss due to violations of restrictions <b><i>that restrict the use of the land</i></b>, but the existence of improvements and the disclosure of the same to a purchaser are not affirmatively insured nor is loss against such a disclosure
insured. I don’t see the ALTA 9 series or similar endorsements as relating to the existence of EV charging statements or heat pumps either. Underwriters might differ in the interpretation of endorsements to this situation, of course.</span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“Future condominium or HOA declarations may need to include specific provisions for charging stations, heat pumps, and the responsibilities of
owners, which will become part of the chain of title.” Deed provisions that are “part of the chain of title” are of concern only to the extent that a policy is subject to them (necessitating an exception). I see no coverage situation that requires specific
disclosure of these specific provisions.</span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“The bill does not directly regulate or tax the title or escrow industry, but it
<b><i>introduces new owner obligations and disclosure requirements that will need to be reflected in title examinations</i></b>, HOA declarations, seller disclosures, and closing documents.” My comment: NO.</span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal" style="margin-left:.5in"><span style="font-family:"Times New Roman",serif; color:windowtext">“These changes don’t add new fees or taxes but will
<b><i>require title companies and escrow officers to adjust due‑diligence procedures, update disclosure forms, and ensure HOA documents comply with the new rules</i></b>.” My comment: NO</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">As noted above, title companies already need to determine if a project is a CIC subject to WUCIOA. This bill does not change that.</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">I am concerned that AI summaries will seem to assume title insurers and escrow officers are required or obligated to do much more than is true. Might these assumptions
somehow be generated by AI in future claims situations for any matter (not just with respect to a particular bill that is adopted) and impact the way claims are handled and litigated?</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">I’m happy to discuss my opinions on these matters, but believe that we should remain neutral on this bill.</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">George</span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">George Peters, WTP</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">Sean Holland, WTP</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">Co-Executive Directors</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">Washington Land Title Association</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext"><a href="https://washingtonlandtitle.com/"><span style="color:#0563C1">https://washingtonlandtitle.com</span></a>
</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">Mail: PO Box 328, Lynnwood, WA 98046</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">Delivery: 6817 208<sup>th</sup> St SW, #328, Lynnwood, WA 98036</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">206-437-5869 (George’s Mobile)</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext">206-697-4199 (Sean’s Mobile)</span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext"><a href="mailto:execdirector@wltaonline.org"><span style="color:#0563C1">execdirector@washingtonlandtitle.com</span></a></span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext"> </span></p>
<p class="x_MsoNormal"><span style="font-family:"Calibri",sans-serif; color:windowtext"><img border="0" width="169" height="97" id="x_Picture_x0020_1" alt="WLTA Logo w-Ring Blue 1a" style="width:1.7583in; height:1.0083in" data-outlook-trace="F:1|T:1" src="cid:image002.jpg@01DC8A15.E26246B0"><img border="0" width="95" height="95" id="x_Picture_x0020_2" style="width:.9916in; height:.9916in" data-outlook-trace="F:1|T:1" src="cid:image003.jpg@01DC8A15.E26246B0"></span></p>
<p class="x_MsoNormal"><span style="font-family:"Times New Roman",serif; color:windowtext">This is a confidential communication intended solely for the named recipient. If you are not the intended recipient, please destroy it and call George Peters at 206-437-5869
immediately. Thank you.</span></p>
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