Escrow Services Agreement: Definition, Terms, Example
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What is an Escrow Services Agreement?
An escrow services agreement is a contract that outlines terms of one party depositing an asset with a third party for future distribution to another party, such as an escrow agent to a client. This agreement outlines when and how said third party will deliver the asset to said secondary party. It also governs the responsibility of each party.
Things that are commonly distributed through an escrow service agreement include money, stocks, mortgages, deeds, bonds, patents, and licenses. An escrow agreement can be used to ensure that both parties of a transaction (i.e., selling/buying of a home) hold up their ends of promised agreements. An escrow service agreement can also protect parties from defaulting and/or acting fraudulently.
Common Sections in Escrow Services Agreements
Below is a list of common sections included in Escrow Services Agreements. These sections are linked to the below sample agreement for you to explore.
Escrow Services Agreement Sample
Exhibit 8.1
ESCROW SERVICES AGREEMENT
This Escrow Services Agreement (this “Agreement”) is made and entered into as of November 25, 2015 by and between FundAmerica Securities, LLC (“FundAmerica Securities”, “Trustee” or “Escrow Agent”), a Delaware limited liability company, and Sun Dental Holdings, LLC, a Florida Limited Liability Company (“Issuer”).
RECITALS
WHEREAS, Issuer proposes to offer for sale to investors as disclosed in its offering circular on Form 1-A (the “Offering Document”) filed with the US Securities and Exchange Commission (the “SEC”), its common stock (the “Securities”) pursuant to Tier 2 of Regulation A under the Securities Act of 1933, as amended, either directly (issuer-direct) and/or through one or more registered broker-dealers (selling group) (the “Offering”), in the amount of at least $5,000,000.00 (the “Minimum Amount of the Offering”) and up to $20,000,000.00 (the “Maximum Amount of the Offering”).
WHEREAS, Issuer desires to establish an Escrow Account in which funds received from prospective investors (“Subscribers”) will be held during the Offering, subject to the terms and conditions of this Agreement. FundAmerica Securities agrees to serve as Trustee or Escrow Agent for the Subscribers with respect to such Escrow Account in accordance with the terms and conditions set forth herein to be held at BofI Federal Bank, a FDIC insured bank (the “Bank”), in a separately named (as defined below) account.
AGREEMENT
NOW THEREFORE, in consideration of the foregoing, it is hereby agreed as follows:
| 1. | Establishment of Escrow Account. Prior to the date the SEC issues a qualification for the sale of the Securities pursuant to the Offering Statement (the “Qualification Date”), the Trustee shall establish an account at BofI Federal Bank, entitled “FundAmerica Securities as Trustee for Investors in Sun Dental Holdings, LLC” (the “Escrow Account”). The Escrow Account shall be a segregated, deposit account at the Bank. All parties agree to maintain the Escrow Account and escrowed funds in a manner that is compliant with SEC Rules 10b-9 and 15c2-4, promulgated under the Securities Exchange Act of 1934, as amended. |
| 2. | Escrow Period. The Escrow Period shall begin on the Qualification Date and shall terminate in whole or in part upon the earlier to occur of the following: |
a. The date upon which subscription amounts for the Minimum Amount of the Offering required to be sold have been deposited and cleared in the Escrow Account and the Issuer has triggered a closing on those funds. Escrow shall remain open pending receipt of Securities to meet the Maximum Amount of the Offering; or
b. April 30, 2016 if the Minimum Amount of the Offering has not been reached, which the Issuer may, in its sole and exclusive discretion, extend for a period of ninety (90) days; or
c. The date upon which a determination is made by Issuer and/or their authorized representatives, including any lead broker or placement agent that may be engaged by the Issuer, to terminate the Offering prior to closing.
During the Escrow Period, the parties agree that (i) Escrow Account and escrowed funds will be held for the benefit of the Subscribers, and that (ii) the Issuer is not entitled to any funds received into escrow, and that no amounts deposited into the Escrow Account shall become the property of Issuer or any other entity, or be subject to any debts, liens or encumbrances of any kind of Issuer or any other entity, until the contingency has been satisfied by the sale of the Minimum of such Securities to such investors in bona fide transactions that are fully paid for, as specified in the offering documents.
In addition, Issuer and Escrow Agent acknowledge that the total funds raised cannot exceed the Maximum Amount of the Offering permitted by the Offering Memorandum. Issuer represents that no funds have yet been raised for Sun Dental Holdings, LLC and that all funds to be raised for the Offering will be deposited in the Escrow Account established by FundAmerica Securities at the Bank.
| 3. | Deposits into the Escrow Account. All Subscribers will be instructed by Issuer or its agents to transfer funds by wire or ACH directly into the Escrow Account. Trustee shall cause the Bank to process all Escrow Amounts for collection through the banking system and shall maintain an accounting of each deposit posted to its ledger, which also sets forth, among other things, each Subscriber’s name and address, the quantity of Securities purchased, and the amount paid. All monies so deposited in the Escrow Account and which have cleared the banking system are hereinafter referred to as the “Escrow Amount.” Issuer or its agents shall promptly, concurrent with any new or modified subscription, provide Trustee with a copy of the Subscriber’s signed subscription agreement and other information as may be reasonably requested by Trustee in the performance of its duties under this Agreement. As required by government regulations pertaining to the US Treasury, Homeland Security, the Internal Revenue Service and the SEC, federal law requires financial institutions to obtain, reasonably verify and record information that identifies each person (natural person or legal entity, including its authorized persons) who funds and executes Securities transactions. Information requested of the Issuer and Subscribers will be typical information requested in the gathering and verification guidelines and best practices promulgated by anti-money laundering (“AML”) rules and regulations and those regulatory agencies that enforce them. |
Trustee reserves the right to deny, suspend or terminate participation in the Escrow Account of any Subscriber to the extent Trustee deems it advisable or necessary to comply with applicable laws or to eliminate practices that are not consistent with securities industry laws, rules, regulations or best practices. Trustee may at any time reject or return funds to any Subscriber (i) that do not clear background checks (anti-
money laundering, USA PATRIOT Act, social security number issues, etc.) to the satisfaction of Trustee, in its sole and absolute discretion, or, (ii) for which Trustee determines, in its sole discretion, that it would be improper or unlawful for Trustee to accept or hold the applicable Subscriber’s funds, as Trustee, due to, among other possible issues, issues with the Subscriber or the source of the Subscriber’s funds. Trustee shall promptly inform Issuer of any such return or rejection.
| 4. | Disbursements from the Escrow Account. In the event Trustee does not receive the Minimum Amount of the Offering on or prior to the termination of the Escrow Period, Trustee shall terminate Escrow and make a full and prompt return of funds so that refunds are made to each Subscriber in the exact amount received from said Subscriber, without deduction, penalty, or expense to Subscriber. |
In the event Trustee receives cleared funds for at least the Minimum Amount of the Offering prior to the termination of the Escrow Period and Trustee receives a written instruction from Issuer (generally via notification in the API), Trustee shall, pursuant to those instructions, distribute funds from such Escrow Amount pursuant to the instructions of Issuer. Issuer acknowledges that there is a 24-hour (one business day) processing time once a request has been received to break Escrow. Issuer’s written instructions to Trustee shall certify that all conditions set forth in the Offering Statement for release of funds have been met for a closing of the Offering and include a schedule of deductions from the Escrow Account for any broker fees and other funds for management and offering and selling expenses from the gross proceeds of the Escrow Account prior to remitting such funds, if and when due, to Issuer. Trustee is hereby directed to remit such funds as directed by Issuer directly to the broker(s) and other parties, if any, to which they are due. Net proceeds (meaning gross proceeds less amounts remitted pursuant to Issuer’s instructions to brokers and other parties, and interest earned or accumulated in the Escrow Account) will then be remitted to Issuer as described above. Furthermore, Issuer directs Trustee to accept instructions regarding fees from any registered securities broker in the syndicate, if any.
| 5. | Collection Procedure. Any Subscriber funds which fail to clear or are subsequently reversed, including but not limited to ACH chargebacks and wire recalls, shall be debited to the Escrow Account, with such debits reflected on the Escrow ledger. Any and all fees paid by Issuer for funds receipt and processing are non-refundable, regardless of whether ultimately cleared, failed, rescinded, returned or recalled. In the event of any Subscriber refunds, returns or recalls after funds have already been remitted to Issuer, then Issuer hereby agrees to immediately and without delay or dispute address such situation directly with said Subscriber, including taking whatever actions necessary to return such funds to Subscriber, but Issuer shall not involve Trustee in any such disputes. |
| 6. | Investment of Escrow Amount. Trustee may, at its discretion, invest any or all of the Escrow account balance as permitted under SEC Rule 15c2-4. This generally means short term investments in: (1) bank accounts, (2) bank money-market accounts, (3) short term certificates of deposit issued by a bank, and/or (4) short-term securities issued or guaranteed by the U S Government. Interest accumulated on the balances is the property of Trustee as part of its Escrow Administration Fee. |
| 7. | Escrow Administration Fees, Compensation of Trustee. Trustee will charge escrow administration fees to Issuer as follows: $225.00 set up, plus $25 per month for bank account fee, plus any applicable fees for fund transfers (ACH $5.50; wire $15.00) |
| AML checks (domestic investor $2.00, international investor $60.00), bad actor checks ($45.00 for issuer plus $45.00 per each person); electronic signature ($3.00 per document); and outbound funds fees — for each transmittal of funds to the Issuer upon the closing of a successful Offering $15 per wire, which Issuer is liable to Trustee to pay and agrees to pay Trustee, regardless of whether Issuer has entered an agreement that said fees are to be paid by a funding platform, lead syndicate broker or another representative of Issuer. The set-up fee are due immediately upon receipt of this Agreement, and are not contingent in any way on the success or failure of the Offering. Additional per-Subscription processing fees, as applicable, will be due and payable upon release of funds from Escrow. Furthermore, Trustee is exclusively entitled to retain as part of its compensation, any and all investment interest, gains and other income earned pursuant to item 6 above. No fees, charges or expense reimbursements of Trustee are reimbursable, and are not subject to pro-rata analysis. All fees and charges, if not paid by a representative of Issuer (e.g. funding platform, lead syndicate broker, etc.), may be made via either the Issuers credit card or ACH information on file with FundAmerica Securities. It is acknowledged and agreed that no fees, reimbursement for costs and expenses, indemnification for any damages incurred by the Issuer or the Trustee shall be paid out of or chargeable to the investor funds on deposit in the escrow account. |
| 8. | Term and Termination. This Agreement will remain in full force during the Escrow Period. Even after this Agreement is terminated, certain provisions will remain in effect, including, but not limited to, items 3, 4, 5, 9, 10 and 12 of this Agreement. |
| 9. | Binding Arbitration, Applicable Law and Venue, Attorneys Fees: This Agreement is governed by, and will be interpreted and enforced in accordance with the regulations of the SEC and FINRA, and laws of the State of New York, without regard to principles of conflict of laws. Any claim or dispute arising under this Agreement may only be brought in arbitration, pursuant to the rules of the Financial Industry Regulatory Authority (“FINRA”), with venue in New York City, New York. Each of the parties hereby consents to this method of dispute resolution, as well as jurisdiction, and waives any right it may have to object to either the method, venue or jurisdiction for such claim or dispute. Any award an arbitrator makes will be final and binding on all parties and judgment on it may be entered in any court having jurisdiction. Furthermore, the prevailing party shall be entitled to recover damages plus reasonable attorney’s fees. |
| 10. | Liability. The Trustee shall not be liable for any action taken or omitted hereunder, or for the misconduct of any employee, agent or attorney appointed by it, except in the case of willful misconduct or gross negligence. The Trustee shall have no responsibility at any time to ascertain whether or not any security interest exists in the Escrow Amounts, the Fund or any part thereof or to file any financing statement under the Uniform Commercial Code with respect to the Fund or any part thereof. |
| 11. | Indemnity. You agree to defend, indemnify and hold FundAmerica Securities and its affiliates (including FundAmerica Technologies, LLC), directors, employees, service providers, advertisers, officers, agents, and partners and third-party service providers, including BofI Federal Bank harmless from any loss, liability, claim, or demand, including reasonable attorney’s fees, made by any third party due to or arising out of this Agreement and/or arising from a breach of any provision in this Agreement. This defense and indemnification obligation will survive termination of this Agreement. FundAmerica Securities reserves the right to assume, at its sole expense, the exclusive defense and control of any such claim or action and all negotiations for settlement or compromise, and you agree to reasonably cooperate with FundAmerica Securities in the defense of any such claim, action, settlement or compromise negotiations, as requested by FundAmerica Securities. |
| 12. | Entire Agreement, Severability and Force Majeure. This Agreement contains the entire agreement between Issuer and FundAmerica Securities regarding the Escrow Account. If any provision of this Agreement is held invalid, the remainder of this Agreement shall continue in full force and effect. Furthermore, no party shall be responsible for any failure to perform due to acts beyond its reasonable control, including acts of God, terrorism, shortage of supply, labor difficulties (including strikes), war, civil unrest, fire, floods, electrical outages, equipment or transmission failures, internet interruptions, vendor failures (including information technology providers), or other similar causes. |
| 13. | Changes. Trustee may, at its sole discretion, comply with any new, changed, or reinterpreted regulatory or legal rules, laws or regulations, and any interpretations thereof, and without necessity of notice, to modify either this Agreement and/or the Escrow Account to comply or conform to such changes or interpretations. Furthermore, all parties agree that this Agreement shall continue in full force and be valid, unchanged and binding upon any successors of FundAmerica Securities. Changes to this Agreement will be sent to you via email. |
| 14. | Notices. Any notice to Trustee is to be sent to escrow@fundamericasecurities.com. Any notice to Issuer is to be sent to ddiasti@sundentallabs.com. |
Issuer and Trustee hereby agree that all current and future notices, confirmations and other communications regarding this Escrow Services Agreement specifically, and future communications in general between the parties, may be made by email, sent to the email address of record as set forth in this Section 14 above, or as otherwise from time to time is changed or updated and disclosed to the other party, without necessity of confirmation of receipt, delivery or reading, and such form of electronic communication is sufficient for all matters regarding the relationship between the parties. If any such electronically sent communication fails to be received for any reason, including but not limited to such communications being diverted to the recipient’s spam filters by the recipients email service provider, or due to a recipients change of address, or due to technology issues by the recipients service provider, the parties agree that the burden of such failure to receive is on the recipient and not the sender, and that the sender is under no obligation to resend communications via any other means, including but not limited to postal service or overnight courier, and that such communications shall for all purposes, including legal and regulatory, be deemed to have been delivered and received. No physical, paper documents will be sent to Issuer, and if you desire physical documents then you agree to be satisfied by directly and personally printing, at your own expense, the electronically sent communication(s) and maintaining such physical records in any manner or form that you desire.
| 15. | Counterparts. This Agreement may be executed in several counterparts or by separate instruments and by email transmission and all of such counterparts and instruments shall constitute one agreement, binding on all of the parties hereto. |
[Remainder of this page intentionally left blank.]
Agreed by the undersigned as of the date set forth above by and between:
| Sun Dental Holdings, LLC |
|
|
| By: Derek Diasti Title: Chief Executive officer |
| FundAmerica Securities, LLC |
|
|
| By: Jonathan Self Title: President |
[Execution page to Escrow Services Agreement]
Reference:
Security Exchange Commission - Edgar Database, EX1A-8 ESCW AGMT.1 6 d33449dex1a8escwagmt1.htm ESCROW SERVICE AGREEMENT, Viewed August 12, 2022, View Source on SEC.
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Meet some of our Escrow Services Agreement Lawyers
Allen L.
Clear, strategic legal guidance when you need it most—whether you're planning ahead or defending a position. Legal challenges shouldn't feel confusing or overwhelming. Whether you're building an estate plan, structuring a business, or navigating a dispute, my practice is built on clarity, care, and practical strategy. I work with clients who want real solutions—not just paperwork—through planning and advice that truly fits their goals, families, and businesses. Planning & Structure I focus on estate planning, asset protection, and business succession, helping individuals and entrepreneurs organize their assets, reduce risk, and prepare for every stage of life. Whether you're setting up your first living trust, shielding your business from liability, or updating an existing estate plan, you'll receive clear guidance, fixed-fee pricing, and responsive support from start to finish. Each plan I design is tailored to your real-world priorities: preserving wealth, avoiding unnecessary taxes and probate, and ensuring the people you love are protected when it matters most. I also focus on general business matters outlined below. Disputes & Defense When legal conflicts arise—disputed contracts, demand letters, settlement negotiations, or litigation decisions—I provide realistic risk assessment and strategic guidance. I help clients understand their actual exposure (not just best-case scenarios), identify leverage points, and navigate toward efficient resolution. If you're facing a legal claim or need to evaluate your position before responding, I can walk you through the realistic options and their costs. Services: Estate Planning & Asset Protection --Simple wills and powers of attorney --Living trusts for small estates --Buy-sell agreements for family businesses Business Formation & Agreements --LLC or S-Corp formation filings --Operating Agreements / Shareholder Agreements --Founder or Investor Agreements --Bylaws and Minutes templates --Registered agent setup guidance Contracts & Commercial Matters --Service Agreements (consulting, marketing, software, design, etc.) --Independent Contractor Agreements --Employment contracts and offer letters --Non-compete, non-solicitation, or confidentiality agreements --Employee handbooks or HR policy updates --Termination or severance agreements --NDAs (Non-Disclosure Agreements) --Partnership or Joint Venture Agreements --Sales or Vendor Contracts --Licensing or IP Agreements Terms and conditions SaaS Platforms --Terms of Service --Privacy Policy --Independent Contractor Agreements --Customer/User Agreements --Liability Waivers --Cancellation & Refund Policy --Non-Solicitation Clauses --Marketplace compliance documents Real Estate --Commercial lease drafting or review --Residential lease review --Purchase & sale agreements --Short-term rental (Airbnb) contracts --Property management agreements Professional Approach: I leverage modern legal research and writing technologies—including AI-assisted tools—to enhance the quality, speed, and clarity of my analysis. Like many legal professionals today, I use these tools to organize research, improve communication, and catch errors. Every analysis I provide is thoroughly reviewed and reflects my independent professional judgment as a licensed attorney. AI is a tool that supports my work; it does not replace it.
"Working with Allen was an absolute pleasure! This was my first time hiring a lawyer, and the experience couldn't have been any better. His proposal immediately demonstrated his expertise in the subject matter, asking questions that other lawyers did not ask in their bids/proposals. During the course of the project, Allen asked questions specific to the industry that I was not expecting to receive given the somewhat niche area it falls into, further impressing upon me how detail-oriented he is. I'm very happy with the end result of the project, and I look forward to working with Allen in the future!"
Brad A.
Brad Adams is the founder of Adams Outside GC, PLLC, a legal consulting firm providing fractional General Counsel services to businesses across Florida, Alabama, and Georgia. With more than 25 years of legal experience, Brad offers practical, business-minded legal support to help companies navigate complex legal issues, minimize risk, and focus on growth. Brad’s practice spans both business law and employment law, with a focus on delivering real-world solutions tailored to each client’s needs. He regularly advises companies on legal compliance, drafts and negotiates contracts, supports clients with collections and dispute resolution, and helps businesses manage day-to-day legal and HR matters. His employment law experience includes drafting policies and agreements, conducting internal investigations, delivering compliance training, guiding employers through regulatory challenges and responding to administrative complaints. Brad has represented employers of all sizes—ranging from startups to Fortune 500 companies—in a wide variety of industries, including construction, manufacturing, retail, healthcare, hospitality, solar energy, and technology. In addition to this broad experience, Brad has developed significant expertise in worker classification issues, particularly in the gig economy. He has worked with businesses using independent contractor models to help them navigate the legal and operational complexities unique to non-traditional workforces. Brad’s guidance helps clients reduce misclassification risk and design more sustainable, compliant contractor arrangements that support operational flexibility. His published work on this topic has appeared in Bloomberg Law’s Daily Labor Report, and he is a valuable resource for companies working within this rapidly evolving space. Prior to founding Adams Outside GC, Brad served as General Counsel for Meraki Installers LLC, where he managed the company’s legal, compliance, and HR functions. He previously practiced at top national and regional law firms, including Littler Mendelson, P.C., where he spent over a decade focusing exclusively on employment law as both an associate and shareholder. Earlier in his career, he worked in the Atlanta office of Powell Goldstein LLP (now Bryan Cave Leighton Paisner) and the Mobile, Alabama office of McDowell Knight Roedder & Sledge, LLC. Prior to joining Meraki, Brad worked in the Pensacola, Florida office of Emmanuel, Sheppard & Condon. Brad is licensed in Florida, Alabama, and Georgia, and was a Board-Certified Specialist in Labor and Employment Law through the Florida Bar from June 2021 through May 2026. He earned his J.D. with honors from the University of Florida Levin College of Law, where he was recognized for excellence in legal writing. He also holds a B.A. with honors and distinction from the University of the South (Sewanee). Brad is a speaker and published author on employment law topics and compliance strategy, contributing to Bloomberg Law, LexisNexis, and regional HR and legal conferences. For additional information, please visit adamsoutsidegc.com
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NYC based attorney of over 15 years in NY & CT who specializes in entertainment transactional law. 10 years as a general/in-house counsel in 2 entertainment companies and former indie film company executive as well as a creative professional (actress, singer, writer, model, blogger, podcast host/producer and beauty ambassador). Also have over 5 years of court appearance experience in various practice areas including foreclosure defense, bankruptcy, personal injury (plaintiff), immigration, consumer debt, etc.
Bryan F.
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Paisley K. P.
Hi! I'm Paisley and I'm an attorney licensed in Georgia & New York with experience in intellectual property and contractual matters. I began my career at a large international firm in New York, where I advised on IP and data privacy matters in mergers, acquisitions, and other corporate transactions. I then worked at a small firm in Georgia, where I gained experience in corporate and commercial real estate matters. Today I enjoy counseling individuals and businesses looking for assistance with issues and agreements related to intellectual property, contracts, leases, internal IP protection and development, service providers, and IP strategy. I'm a proud graduate of New York Law School and Boston University's Advertising program. You can learn more about me at PaisleyPiasecki.com.
Jen D.
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Escrow Services Agreement
New York
Can you explain how escrow services work and what protections they offer for buyers and sellers?
I am currently in the process of purchasing a property, and the seller has suggested using an escrow service to handle the transaction. While I have a general understanding of what escrow services are, I would like a clearer explanation of how they work and what protections they provide for both buyers and sellers. I want to ensure that my funds and the property title are adequately protected throughout the transaction, and I would appreciate any insights you can provide on the topic.
Arthur S.
The nature and scope of escrow agreements vary widely...but they all have one thing in common...to wit, they create a trust/beneficiary relationship founded on a very strong fiduciary relationship. The agreements can be as short as 1-2 pages or can be voluminous in scope...all dependent on the complexities of the understandings between the parties.
Contracts
Escrow Services Agreement
Texas
Can you explain how escrow services work and what legal protections they provide?
I am in the process of purchasing a property, and the seller has suggested using an escrow service to handle the transaction. While I have a general understanding of escrow, I would like a more detailed explanation of how it works and the legal protections it offers. I want to ensure that my money and the seller's property are both protected during the process, and I would also like to understand any potential risks or liabilities associated with using an escrow service.
Darryl S.
Escrow means that a neutral, trusted third party will hold funds or assets and only release them when the Escrow Holder judges that the terms of the deal have been met. The Escrow Holder provides legal protection to both sides by ensuring that funds or assets are only released when all contractual obligations are fulfilled, thereby minimizing risk and ensuring trust in transactions.
Real Estate
Escrow Services Agreement
California
What are the legal obligations and potential risks involved in using escrow services for a real estate transaction?
I am currently in the process of purchasing a property and my real estate agent has recommended using an escrow service to ensure a secure and smooth transaction. However, I have heard conflicting information about the legal obligations and potential risks associated with using escrow services. I want to make sure I fully understand the legal implications and any potential risks involved before proceeding with this option.
Dolan W.
Hello! Welcome to contractscounsel.com. So in your case, using an escrow service in a real estate transaction is super common as it helps facilitate a secure and smooth transfer of property ownership. In an escrow arrangement, a neutral third party holds the funds, documents, and other assets until all terms and conditions of the sale are met, ensuring that neither the buyer nor the seller is at risk of losing money or property if the other party fails to fulfill their obligations. They are basically a middleman. One of the main legal obligations when using escrow is adherence to the terms outlined in the escrow agreement. Both parties must comply with the instructions provided in the contract, including deadlines for deposits, inspections, and disclosures. The escrow company is legally bound to act according to the instructions from the buyer and seller and can only release funds or documents when all conditions are met. If a dispute arises, the escrow company may require mutual agreement or a court order before taking any action, which could delay the process. One of the main legal obligations when using escrow is adherence to the terms outlined in the escrow agreement. Both parties must comply with the instructions provided in the contract, including deadlines for deposits, inspections, and disclosures. The escrow company is legally bound to act according to the instructions from the buyer and seller and can only release funds or documents when all conditions are met. If a dispute arises, the escrow company may require mutual agreement or a court order before taking any action, which could delay the process. Potential risks of using escrow services include issues related to the service provider's reliability and the risk of fraud. It's important to choose a reputable and licensed escrow company to minimize risks. In some cases, fraudulent companies may present themselves as escrow services, taking advantage of unsuspecting buyers or sellers. I would verify with others in the field or even friends and family, in addition to doing your own research online to sniff out any scams. Best of luck! Dolan
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