A title insurer or title insurance producer who reconveys a trust indenture is liable to the beneficiary for damages suffered by the beneficiary as a result of the reconveyance if: (1) the obligation secured by the trust indenture is not fully paid; (2) the title insurer or title insurance producer failed to comply with the provisions of 71-1-308; or (3) the title insurer or title insurance producer acted with gross negligence or in bad faith in reconveying the trust indenture.
Liability Of Title Insurer Or Title Insurance Producer
Mont. Code Ann. § 71-1-310, under Small Tract Financing.
Mont. Code Ann. § 71-1-310