Escrow & Title
A Minnesota closing agent receives conflicting instructions from buyer and seller regarding earnest money disposition. What should the agent do?
ARelease funds to the seller immediately
BRelease funds to the buyer immediately
CInterplead the funds with the court✓ Correct
DSplit the funds equally
Explanation
When there are conflicting claims to earnest money, a Minnesota closing agent (escrow agent) should interplead the funds with the court, letting the court determine the rightful recipient. This protects the agent from liability and ensures a legal resolution of the dispute.
Related Minnesota Escrow & Title Questions
- Title insurance in Minnesota protects the insured against losses from:
- A Minnesota property is sold via auction. Which type of deed is typically used in an auction sale?
- In Minnesota, the recording of a deed with the county recorder provides:
- A Minnesota property has a first mortgage, a second mortgage, and a judgment lien from a civil lawsuit. The judgment lien was filed before the second mortgage was recorded. In a foreclosure of the first mortgage, what happens to the junior liens?
- A Minnesota buyer is purchasing a property through an abstract title system (non-Torrens). After the title search, the buyer receives a(n):
- In Minnesota, which of the following would be found in the public real estate records?
- In Minnesota, a 'marketable title' is one that:
- In Minnesota, a warranty deed provides the grantee with covenants including:
Practice More Minnesota Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Minnesota Quiz →