We closed on selling our home 2 weeks ago & the title company is asking for money back. The money that they are asking for was to be held in escrow for 180 days & has never been paid to us. The money in escrow was to be paid by the buyer for repairs.This is after they asked for the full amount back last week claiming a paperwork error on their part. Since we closed 2 weeks ago & the money they are asking for was never paid to us & is not on our closing disclosure, do we need to be worried about them taking a lawsuit against us?
I would ask for full documentation about all of this. Involved your broker if you had one as well. They can file a lawsuit even for funds owed from their mistake.