Study for the California Escrow Exam. Dive into detailed content with flashcards and multiple choice questions, accompanied by explanations and hints. Ensure your success on test day!

Multiple Choice

Southern California purchase escrow instructions are

Escrow instructions in Southern California purchase transactions are bilateral. The buyer and seller each sign and provide instructions to the escrow holder, who acts as a neutral intermediary. This mutual authorization governs how funds are deposited and disbursed, how title is transferred, prorations, and the conditions that must be met for closing. Because both sides must agree for the escrow to proceed and for any changes to occur, one party cannot unilaterally direct the escrow. The escrow holder owes duties to both parties and must follow the jointly agreed instructions, making the arrangement bilateral rather than unilateral or individual-only.

Escrow instructions in Southern California purchase transactions are bilateral. The buyer and seller each sign and provide instructions to the escrow holder, who acts as a neutral intermediary. This mutual authorization governs how funds are deposited and disbursed, how title is transferred, prorations, and the conditions that must be met for closing. Because both sides must agree for the escrow to proceed and for any changes to occur, one party cannot unilaterally direct the escrow. The escrow holder owes duties to both parties and must follow the jointly agreed instructions, making the arrangement bilateral rather than unilateral or individual-only.