Competing Claims to Title

Question 1

First in Time, First in Right

Answer 1

• Under the common law, If a grantor transfers the same piece of property to multiple grantees, the first grantee to receive the deed acquires rightful title.
• In the absence of a recording statute, the common law rule controls.

Question 2

Recording statutes - Notice

Answer 2

1. Actual notice
2. Constructive notice
3. Inquiry notice

Question 3

Actual notice

Answer 3

A subsequent purchaser has actual notice when he has personal knowledge of a prior interest.

Question 4

Constructive notice

Answer 4

A subsequent purchaser is on constructive notice when the prior interest is recorded.
* if a deed is not recorded propertly, it is considered a wild deed. A wild deed does not put subsequent purchasers on constructive notice.

Question 5

Inquiry notice

Answer 5

A subsequent purchaser has inquiry notice when a reasonable investigation would have revealed the existence of prior claims (e.g., someone is clearly livin gon the property in question).

Question 6

Race statute

Answer 6

The first grantee to record acquires title, regardless of notice

Question 7

Notice statute

Answer 7

A subsequent purchaser acquires title if the purchase is made without notice of a prior unrecorded conveyance

Question 8

Race-notice statute

Answer 8

A subsequent purchaser acquires title if:
(a) the purcahse is made without notice of a prior unrecorded conveyance; and
(b) the subsequent purcahser records first