“A really good mental model to carry around for analyzing the finance industry is one-shot versus iterated games. Real estate attorneys model (residential, owner-occupied) closings as effectively one-shot with respect to the client but iterated with respect to the other attorney. If one were conspiratorially-minded, one could say unkind words like “conflict of interest” at this point, but this sort of equilibrium doesn’t require anyone to act invidiously. The other attorney is a peer running their business in a socially accepted fashion and very likely quite similarly to how you run your own business. You will see them again both professionally and socially. Why make trouble over nothing”
https://www.bitsaboutmoney.com/archive/working-title-insurance/