Opinion ID: 2630629
Heading Depth: 3
Heading Rank: 1

Heading: Duty arising from escrow instructions

Text: This court examined the duties of escrow agents in National Bank of Washington v. Equity Investors, 81 Wash.2d 886, 506 P.2d 20 (1973). There we said, The escrow agent's duties and limitations are defined ... by his instructions. 81 Wash.2d at 910, 506 P.2d 20. The tasks in the instructions must be undertaken with `ordinary skill and diligence, and due or reasonable care.' Id. (quoting 30A C.J.S. Escrows § 8 (1965)). In addition, the escrow agent, as fiduciary to all parties to the escrow `must conduct the affairs with which [it] is entrusted with scrupulous honesty, skill, and diligence.' Id. The escrow instructions in this case do not include the duty to compare the documents for the purpose of unearthing any discrepancies. Nor do they indicate that the Title Company would be expected to locate and identify such discrepancies if it used reasonable care and the scrupulousness of a fiduciary in following its instructions. Moreover, Purchaser does not allege any deviation from the agreed-upon instructions. Therefore, Purchaser's claims under Equity Investors fail.