Titling

The Fifth Circuit reversed the trial court’s dismissal of a case under Fed. R. Civ. P. 19, for problems with party joinder, in PHH Mortgage Co. v. Old Republic Nat’l Title Ins. Co.

The key distinction that led to reversal was this: “The [Texas] trespass-to-try-title statute applies only when ‘the claimant is seeking to establish or obtain the claimant’s ownership or possessory right in the land at issue,'” while “a breach of contract claim against a title insurance company ‘invokes the insurer’s obligation to pay the claim or defend title to the property, and this claim is separate and distinct from the claim of ownership.'” No. 22-50930 (citations omitted).