Uncategorized

Our New User Experience

We are EXCITED to announce several new enhancements throughout our firm that were made to improve our clients experience and overall efficiency. We believe our clients and customers will greatly appreciate these accessible improvements.

Earnest Money – Secure Link

Our new Earnest Money (EM) feature lets buyers and brokers safely send EM through a secure link on our website. To use, go to our website and click on the “Send Earnest Money” tab. The largest amount that can be deposited is $5,000.00 in this “electronic check” option. When sending EM via our secure link please be sure to send in your contract to the OS office closing the transaction. If you prefer, we can send you a secure link to directly access the EM site. We will only send this link to you in a SECURE email. If you receive anything from us regarding this email link, that is not encrypted, please do not use that link and call your closing attorney.

Commissions Checks and ACH

We have GREAT news! If you prefer to not come into one of our offices, we can send commission checks via ACH! With this, we are able to send the commission to your brokerage firm. If the broker has approved a DA (pay at close) for the closing we can send the agent their commission through ACH and the broker the remaining commission. We hope this will be a welcomed convenience for you!

We are certain these features will help our clients and customers throughout their closing experience. Please don’t hesitate to reach out to us for any questions or concerns you may have. As always, we hope everyone is staying safe and healthy, and we look forward to seeing you at your next closing!

We continue to take safety measures at each of our 24 office locations. Our attorneys and staff are ready to help you in any way we can and look forward to your next closing,

-O’Kelley & Sorohan

Earnest Money

Earnest Money – we now take electronic checks! (ACH)

O’Kelley & Sorohan (OS) has set up an electronic check system for Buyers to deposit Earnest Money (EM) if there is a need for OS to hold the EM. We are hopeful that users will find this option convenient and easy to use.

To use, go to our website and you will be able to click on the “Send Earnest Money” tab. The largest amount that can be deposited is $10,000.00 in this “electronic check” option. If you have questions, please call your attorney in the chosen closing office on your contract. And remember, please be sure to send in your contract to your chosen closing office.

In the event you run into an issue with the EM option on our website, please call us and we will send a direct link to our Earnest Money site. We will only send that link in a secure email, so if anyone receives something from us regarding an email link, that is unencrypted, do not use that link!!!

Thank you everyone for your support and we hope this option is helpful to you and your customers!

COVID-19, Video Closings

April, 1st- Earlier today Governor Kemp signed an Executive Order allowing remote witnessing and notarization of closing documents. This Executive Order, combined with the Georgia Supreme Court’s decision to suspend the Rules of Professional Conduct that requires an attorney to be physically present at the closing of a real estate transaction, has made it possible to allow video closings during the Coronavirus emergency.

As you are aware from previous Coronavirus messages from our firm, we are prepared to offer video closings through Zoom Pro immediately. There are varying requirements between Title Insurance Companies and Lenders but the following is a brief description of what you can expect. Of course each closing is unique and we are available to work through whatever issues may arise and are here to help find the best accommodation for your situation whether that be video closing, POA or signers coming to our office.

For a successful video closing, please expect the following, with specific instructions to come for your particular signing based on the Lender and Title Insurance Company:

1. Our firm will send the closing documents to the signer via a courier, overnight delivery, or a secure email. The signer will open the sealed package in the presence of the Attorney on the video closing or print the documents received in the secure email in the presence of the Attorney on the video closing.

2. The original documents must be executed in the presence of the Attorney by the signer during the video closing. The signer must be physically located in Georgia and must provide a valid government-issued photo ID.

3. The signer will place the original signed documents in a sealed package in the presence of the Attorney during the video closing. The original executed documents shall be returned to our firm either through a courier, the signer dropping them off, or through overnight delivery.

4. Once we receive the original signed documents the notary will notarize the documents and we will submit the originals to recording.

5. Our firm will disburse funds and record once we receive all original documents, funds, and lender and title insurance company approval.

As the safety and health of our customers, agents, lenders, staff and attorneys continue to be our top priorities during this time, we are glad that video closings are an option, but this option comes with considerable timing hurdles. We believe other options do present fewer hurdles with lenders and title insurance companies and continue to believe that the third party power of attorney option offers the best solution. In consideration of the option of video closings we sent out a message earlier in the week discussing potential issues and solutions with video closings. That information is included below for your review.

We appreciate each of you and please reach out to us for any questions and accommodations. We are here for you!

Our thanks,
O’Kelley & Sorohan

Potential Issues and Solutions with Video Closings-
As we prepare for the potential option of teleclosing (we are assuming it becomes available), we have been going through various “what if” scenarios for a teleclose process. While it is a safer option for all parties involved in a closing, it will present some issues that have to be resolved by lenders and attorneys as to what to do once someone has signed the closing documents remotely. The most obvious issue is funding of the transaction. In an in person closing, closing documents are signed and many of the documents are requested by lenders to review prior to funding a transaction. For a teleclose, we won’t have the easy process of having those handy and will have to work through getting those documents in hand to then send to the Lenders for review. Not all lenders require seeing documents before funding, but most do.

The hope is that if the teleclose option becomes available, then the closing will be seamless in timing and we will send a courier to retrieve the documents so as to accelerate the timeline for funding. It is unlikely that funding would be allowed on copies only on a widespread basis, but that is not to say it will not happen. If there are no or few changes for funding requirements, then the borrowers in a transaction will have to scan and send the signed documents in for funding, or take pictures and send or overnight the documents or courier the documents to us for further execution and then to proceed to funding. Additionally, title insurers will require lawyers to have the original signed documents in hand to insure. These are only a few of the “what ifs” that will have to be addressed in a teleclose world, and we are hopeful these issues will be easily overcome to help keep all parties safe.

In the event this potential new teleclose option is too cumbersome for timely funding, we still believe a power of attorney option is an excellent way to accomplish closings and to maintain stride in timing and funding. Using a power of attorney along with the use of the teleclose option presented allows both a teleclose and timely funding of a closing. As to the power of attorney option, there would have to be approval by the Lender for the use of the power of attorney. In anticipation of the use of this option, we have secured a third party law firm to be the designated power of attorney and that third party would serve as the designated signer/s for the documents that are being signed remotely (via teleclose) by the parties. With this option, the documents are signed, can be sent for funding, and then can potentially be replaced by the original documents signed by the parties to the transaction with proper destruction of the duplicate documents executed for closing and funding by the power of attorney once the originals are sent in from the remote teleclose parties. Of course this is just an example of a “what if” for the” now what” questions that will come up if lawyers are allowed to teleclose. And along this vein of having a power of attorney, we are still able ourselves to be the designated power of attorney for signing for the parties, but that option appears to not be something the large agencies (Fannie Mae as an example) are comfortable with for closings.

COVID-19, To all of our Agents, Lenders, Customers and Clients,

To all of our Agents, Lenders, Customers and Clients,

This message is sent as an update on what we are doing for closings within our law firm during the COVID-19 pandemic. We have made some changes as to attendance in closings. Additionally, we discuss here a potential new option to close remotely along with the challenges it might present. And lastly, we note there have been a number of new Governmental Orders which require various levels of staying at home and only allowing essential businesses to operate daily. We believe law firms are considered essential businesses and thus we will continue to operate fully and perform closings with necessary signers, albeit somewhat differently than only one month ago.

Closing Attendance Policies- We continue to be dedicated to doing our best to close all transactions during this time while keeping our customers, staff and attorneys healthy and taking all necessary sanitary measures. For closings, we are requesting that only parties who must sign documents in person attend closing. We also have an array of other ways to close including curbside closings and power of attorney closings. We believe the third party power of attorney is a great option for in person closings, but that option has to be approved by lenders. For agents or other parties wishing to participate in the closings where we have only the signers in the room, we can accommodate this with remote options via video or telephonic only attendance. In an effort to have the shortest amount of time for signing, we have been calling to speak with the parties before closing to go over any documents that we have available in advance, including settlement statements if they have been finalized with the lender in advance of the closing. We urge any party to call our offices and speak with our attorneys to go over their options for closings.

Potential Video Closings- As discussed in our prior emails, Georgia is an attorney state and requires the presence of a lawyer at closing, meaning in person and not via video or on the telephone. The presence requirement is both a rule by the State Bar and a Georgia state law. As of Friday, the prohibition against teleclose options is potentially being suspended which will allow a teleclose option temporarily during this coronavirus crisis. There are two parts to having the teleclose option, one part is for the Georgia Supreme Court to suspend the Rules of Professional Conduct that requires an attorney to be physically present at the closing of a real estate transaction. That part has been accomplished with an order issued by the Supreme Court. The second part to allow lawyers to teleclose is to have the Governor sign an Order allowing remote notarization and witnessing by using a video option to conduct a closing and then witnessing (a second person) and notarizing the documents when they get back into possession of the closing attorney. This second part may come soon and we are ready to do these closings, in this manner, as soon as we hear it is legal and available. Until then, we will continue with the above options for closings, including the power of attorney options that we have discussed in the past, if approved by the Lender in the transaction. However, we believe there may be issues to overcome.

Potential Issues and Solutions with Video Closings- As we prepare for the potential option of teleclosing (we are assuming it becomes available), we have been going through various “what if” scenarios for a teleclose process. While it is a safer option for all parties involved in a closing, it will present some issues that have to be resolved by lenders and attorneys as to what to do once someone has signed the closing documents remotely. The most obvious issue is funding of the transaction. In an in person closing, closing documents are signed and many of the documents are requested by lenders to review prior to funding a transaction. For a teleclose, we won’t have the easy process of having those handy and will have to work through getting those documents in hand to then send to the Lenders for review. Not all lenders require seeing documents before funding, but most do.

As always, we appreciate each of you out there and want everyone to always reach out to us for questions, for accommodations, for just about anything.

Our thanks,
O’Kelley & Sorohan

COVID-19 continued:

Attendance at closings – Issue and Solution (during these special circumstances)

This message follows our preparedness message a few days ago and it’s a new idea to solve a problem that we see as increasing in scope. Our solution is both convenient for all parties and is legally compliant as to how closing attorneys are required to close loans in Georgia. It also increases safety for all parties involved, including you and us. Our goal is to stay in place and working to close everyone’s transactions and to do that, we all need to stay healthy.

Issue – Georgia is a wet closing state and requires the presence of a lawyer at the closing. This is the main reason all parties come to a closing table. This is often referred to as the East Coast style of closing, because we are a lawyer state where a lawyer is required to be present at closing. The Western Way to close is with notaries and 44 states are non-attorney states and are allowed to do that type of closing. The other way to properly close a loan transaction in Georgia is for the lawyer to go to the parties to close. Each of these options requires a gathering of people that are new to each other and for many, that is fearful. The presence of the attorney at closing is sometimes solved by the various parties sending in a Power of Attorney to handle the signing of the closing documents. That POA is the one who comes to closing to sign original documents in the presence of the closing attorney and law firm. This is a slight improvement in the number of people attending the closing, but it does not solve the problem completely. What if either the Buyer or Seller does not have a person here in Georgia to be the POA? We have a solution – us.

Solution – the solution is to provide the POA service to Buyers and Sellers (for no additional charge to prepare the POA), and the law firm would be the POA. This is better because the law firm, if requested, would have individuals signing for the Buyer as POA, for the Seller as POA, and as the closing attorney, thus limiting the number of individuals who would need to be present at the closing. Our firm will prepare a specific Power of Attorney whereby the Buyer and Seller will appoint our law firm to sign on their behalf for the closing. It is perfectly legal to accomplish this scenario, but it does appear the law firm is too involved in the transaction; therefore, we would require the parties to the transaction to give us a Waiver of Conflict and a Hold Harmless as a result of our firm serving as the POA for one or multiple parties. In return, for any party requesting our POA services, we would send that party, via email, all of the closing documents, discuss the documents with them on the phone (or Zoom or Facetime) answering any questions that the party may have, and ask for that party’s written confirmation that the party is ready for us to act as the POA. We would then execute all documents for each party requesting our POA services and fund the transaction. This solution is safe, legitimate, and it requires only minutes of contact with another person when the Buyer or Seller gets his or her one page Power of Attorney witnessed and notarized, which will then be sent via FedEx to our offices or signed in one minute at one of our offices. The actual closing process will likely take just as long as it does now, or longer, because the attorney will be talking a lot to the Buyer or Seller and then will receive confirmation for other staff to execute the documents using the POA. But this will keep the same people in the office working on the file, and it keeps the closing attorney in the process so as to follow Georgia law, which requires the presence of an attorney.

The main benefits of this Solution is that it complies with Georgia law, it keeps all parties safe, the outside parties at home, and the employees at the law firm in the same place. None of the people involved in the entire transaction will have to gather, but will still have the option to attend closing if that party so wishes. As we all know, it’s the gathering that is an issue as we confront this virus. But we also know that some parties will want to come to closing in the traditional way and we are continuing to close deals in person every day.

In discussing and offering this solution, we are looking forward to the next few months where there may be even more restrictions in the number of people who can gather at a meeting. We are also thinking that if this virus continues to heighten the fear level of parties who do not want to attend a closing and sit with others at a closing table, or in separate rooms in an attorney’s office, or for any reason that is akin to social distancing, then this solution will help in reducing those fears and will provide a very safe and sound approach that satisfies all Georgia legal requirements and keeps us all a little bit safer.

Note: Each lender will have to approve the POA, in the same manner as they do now. There should be no issue with this approval, but it is the only challenge we see in this entire solution.

Lastly, we have always been problem solvers and “doers” and we are dedicated to being just that as we face the evolving world of COVID-19. With the same spirit as we have handled previous challenges we are ready to handle a new one that we are facing with this virus – the challenge of maintaining the integrity and legality of the real estate closing while abiding by the social distancing recommendations that will help keep us all safe and healthy.

Please call us with any questions, and thank you.

O’Kelley & Sorohan

COVID-19, A message to our customers

To all customers, guests and clients, we are writing to share our responses and plans for the novel coronavirus in the United States and Georgia.

As part of our preparedness to deal with this novel coronavirus (COVID-19), we have been, and will continue to be focused on the following day to day precautionary steps (see below) to keep the virus from being in any of our 24 O’Kelley & Sorohan offices throughout the metro Atlanta area, and our Florida office as well. And we are also focused on our business continuity plan which addresses scenarios which might arise in various forms in our retail type closing operations.

This latter planning for the outward facing parts of our retail closing business has required in depth preparation including multiple “what ifs” over these last few weeks, in how to handle remote operations when there is a physical presence needed for operations as well. Over 80% of our employees have already worked remotely from home or other offices within our 24 locations, and all of our offices are connected to each other with the same computer system so anyone in any office, or home, can work on their particular files without having to have them in paper form. And for years our staff from any location can actually print to any office; we are ready for connectivity, that is the easy part. The challenge is what happens if one of the offices must close if there is a case of COVID-19 found from a visitor or within from an employee. That potential event is what requires planning and changes to staffing and closings and that will mean the office that has to set aside will need to be closed and operations shifted to other locations. We are unique in that O’Kelley & Sorohan has a large number of fully functioning closing offices throughout the metro area. We feel confident in being ready for any situation that might arise in this new virus environment.

Our top priority is to protect the health and safety of our team, customers, guests and clients. First, we have had no employee, guest, customer or client diagnosed with COVID-19. To continue this safe environment, we have mandated and are mandating all employees follow CDC recommended hand washing protocols etc. and we are mandating all employees who have any symptoms consistent with any version of the flu (or any potential sickness), to stay home from work until they feel well or have been tested if they show symptoms consistent with COVID-19.

More specifically as to precautionary steps:

We will be handing out new pens for each closing, and encourage you to take them with you.
Closing tables and chairs will be sanitized between each closing, as well and any shared public space multiple times a day. And at the end of the day.
Staff will be required to wash hands after dealing with any IDs and documentation entering the office.
Staff will continue to be encouraged to follow social distancing protocols to keep greater distance between individuals.
All employees are instructed to stay home when they are feeling sick or to go home early should they begin to feel ill after they arrive at work.
If you or your clients have any concerning symptoms, or have been out of the country in the past 14 days, please notify your precloser ASAP. We are happy to draft a power of attorney free of charge to encourage anyone with concerns to stay home
We encourage everyone to stop on the way into the office and wash their hands, and avoid touching their face.
We are providing hand sanitizer for customers to use in the event hand-washing is unavailable or if desired for each closing.

Secondly, as discussed above, the challenge of a business disruption plan is to think of what will happen if an office is required to close for a period of time, and how busy is that office as to closing volume. Just having
employees work from home is not the entire answer because there will need to be clean environments and healthy lawyers and staff present for closings.

Because we are connected and have remote capabilities, our employees can work from home and print out the papers needed for closings that occur in clean offices. If one of our offices is closed, we will shift the closings to the next closest office or one that is convenient to all of the parties in the transaction, based on communications with all of the parties. Our offices are designed to be about 20 minutes apart in drive time so there will be only a slight disruption in timing for closings. While we do not expect this event to occur, we have planned for this business disruption so that it will be slight for all parties involved.

There has been some talk of remote closings in the industry and that is possible, but it would require having a closing attorney available for the closing, at the site, along with a witness. There would have to be people in attendance at the remote site and we instead encourage anyone who is sick or cannot attend the regular closing in our office, to use a Power of Attorney, which we will provide without charge for it’s preparation. That Power of Attorney designee will be able to close at any office that is convenient to them, even if the other party to the transaction is signing at another office.

We will continue to update our planning as the need arises. We are prepared to put any of our business disruption plans into action if the need arises, but we are very hopeful that none of the more serious events will occur. Each day we will evaluate and revise our plan if there is a need for it, based on new information or input from our team, customers, guests and clients.

We thank you all for everything you do and for your vigilance in this time of heightened awareness of a novel coronavirus. Please call any of our attorneys with questions as to any “what if” that you may have.

-O’Kelley & Sorohan