Encumbrances

Question 1

Define encumbrance

Answer 1

Any claim, lien, charge, or liability attached to and binding on real property that may lessen its value or burden but not necessarily prevent transfer of title

Question 2

Define “lien

Answer 2

A type of encumbrance that makes the property security for the payment of a debt or discharge of an obligation

Question 3

What is a mechanic’s lien?

Answer 3

A lien in favor of a building contractor to secure payment for materials supplied or services rendered.

Question 4

Identify the persons entitled to a mechanic’s lien?

Answer 4

1. Material Supplies
2. Contractors and subcontractors
3. Equipment lessors
4. Architects
5. Registered engineers
6. Truckers
7. Laborers

Question 5

Define “attachment”?

Answer 5

The legal process of seizing the real or personal property of a defendant in a lawsuit by holding the property in court custody as a security for the outcome of a trial