I was going to ask why this could not be a non-profit organization.  I think that the NALTEA would be the way to go.  For one thing, I really don't see having an organization (LLC) collect title searches and hand them out to shareholders on a rotation schedule or on a basis of how many shares one company holds. 

If the organization(LLC) collects searches and sends them out to the abstracting companies, then what happens when that search gets dropped from the system and the abstractor never (or claims to never have)
receives(d) it.  Then there is the middle man (the LLC) stuck with answering to the title company that sent the request.  Too many unhappy situations like that, and the title company will stop using the LLC.

I really like the SOT directory.  However, if the large abstracting companies that are listed on my same sites buy into the LLC at larger shares than I could buy into the LLC...and I have said this before.... then that larger abstracting company will the bigger piece of the pie and I will be left paying for my few crumbs of the pie and getting title work from the larger abstracting company instead of from the LLC that I am paying. 

No one has addressed this issue so let me give the example this way.  Title abstracting company A has one abstractor and covers State X.  Title Abstracting company B has many employees in State Y but will subcontract with abstractors in State X.  LLC has 100 shares of stock to sell to title abstracting companies in State X.  Title Abstracting Company A can only buy 10 shares of stock in State X because larger Title Abstracting Company B buys up 90 shares of stock in State X.  LLC has 10 searches to distribute in State X.  LLC sends Abstracting Company B 9 searches and sends Abstracting Company A 1 search.  Abstracting Company B really does not have title searchers in State X so they contract Abstracting Company A to do the 9 title searches for them at a lesser fee than if Abstracting Company A would have made had the LLC sent the 10 searches to Abstracting Company A.

Now the sticky situation comes when Abstracting Company gets the 9 searches from the LLC in State X and sends them to Abstracting Company C that is not in the LLC.  Thereby, Abstracting Company A pays the LLC to market them in their area but they do not reap the benefits.

Therefore, I think that the non-profit marketing only is the way to go.  Let the company needing the order decide which company to send the orders to after they have been told that these companies have met all the criteria that the non-profit marketing entity has required.  If the NALTEA organization can fairly and equally market Abstracting Company A and B and let the decision on which company is used rest with the one who has the order, then I see that as the organization to do the job. 

My opinion......to post a reply: login - or - register