Deed Flashcards
What are the requirements for a deed?
A property deed is a formal legal document that transfers one person or entity’s rights of ownership to another individual or entity. The deed is the official “proof of transfer” for real estate, which can include land on its own or land that has a house or other building on it.
Every deed should contain the following information:
• An indication that it is a deed
• A description of the property involved
• The signature of the individual or entity that is transferring the property
• Data regarding who is taking title to the property
As deeds do not require much information, the document itself is often very short. However, the document may also contain additional information, such as conditions or assurances that go along with the transfer. Each deed must also be validly delivered to the individual taking ownership of the property. In most situations, it should also be filed with the appropriate authority as well. Every real property transfer will require the use of some type of deed. It is important to use the legal description of the property for the deed so that it can be recorded accurately.
Delivering a deed means taking some action intended to make the deed effective presently. What that action is doesn’t really matter, but one obvious action is for the grantor to hand the deed to the grantee. Physically handing the deed to the grantee commonly creates a presumption of a delivery, whereas retaining possession may create a presumption of non-delivery.
The only requirements for a valid conveyance of land (and thereby a transfer of legal title in that land from one party to another) are execution and delivery of the deed. The execution requirement is satisfied as long as the deed is signed by the party to be charged (the seller). Delivery of a deed is established by a proven intent to pass title, even if the title document was never physically given to the transferee.
A deed is not effective in transferring land from the buyer to the seller until it has been delivered from the grantor to the grantee. The deed must be delivered to the grantee with the specific intent to give title over to the grantee. If the grantor gives the grantee the deed without the intent of passing title to the land over to the grantee, then the delivery is not effective. A deed to a non-existent grantee, such as an entity that has not yet been legally formed, is void
Analysis
To be valid, a deed must be properly executed and delivered. Delivery is a question of the grantor’s intent. In this case, the woman did not intend the deed to be effective until her death. An intent to have a transfer be effective at the grantor’s death is valid in a will but not in a deed unless the deed expressly reserves a life estate, which this deed did not do. The woman remained in possession of the house and intended to retain title to the house until her death. The deed was not delivered, so she owns the house in fee simple.
What is The doctrine of estoppel by deed?
The doctrine of estoppel by deed states that if a grantor purports to convey title that he does not actually hold, his subsequent acquisition of title to the property will automatically bring into effect the prior benefit conveyed to the grantee. The issue becomes whether the buyer is a subsequent bona fide purchaser, and what was his burden of searching title. To be a subsequent bona fide purchaser, the buyer must not have had notice, actual or constructive, of the original grantee. If the original grantee properly recorded, the subsequent buyer would have been on notice and therefore cannot be a valid subsequent bona fide purchaser.
The grantor may then be estopped by the grantee from denying he conveyed valid title. However, this right is only held by the grantee against the grantor. The grantee has no such right against a subsequent purchaser
Whether a deeds delivery is a question of intent?
A deed must be delivered to be valid. Delivery is a question of intent. The words of the landowner included “This is yours,” showing the necessary intent to strip himself of dominion and control and to immediately transfer the title. In addition, handing the deed to the friend raises a rebuttable presumption of delivery. Recording the deed is not required to transfer title, and thus the request not to record the document until later is irrelevant so long as delivery was made.
A is incorrect. The deed to the friend was valid because it was in the proper form and was delivered to him. Delivery occurred at the time the landowner handed the deed to the friend. At that time the landowner was competent. The friend’s subsequent recording of the deed had no effect on the deed’s validity.
B is incorrect. The deed to the friend was valid because it was in the proper form and was delivered to him. Delivery occurred at the time the deed was handed to the friend with the words “This is yours.” The subsequent misrepresentation that the friend made that he had destroyed the deed had no effect on the prior valid delivery.
D is incorrect. Recording a document has no effect on its validity. In this case, the deed to the friend was valid because it was in the proper form and was delivered to him. His subsequent recording of the deed had no effect on his claim of ownership, although recording will now provide constructive notice of his ownership.
