Quiz Flashcards
The State Action Doctrine was established under the case of
Parker V Brown
Title Insurance is a contract of
Indemnity
Title Insurance was first established in 1876 as a result of this Pennsylvania Supreme Court Case
Watson V Muirhead
Title Insurance was first regulated in NJ under this Act
1974 Title Act
Title Insurers, Agents and Producers must retain their title files for a period of
15 Years
A settlement funds received must be deposited into
A separate trust or Escrow account
Personal or Controlled Insurance cannot exceed, from a single source
25% of all business
Under the Title Act the commissioner can impose a penalty for each violation of
$1000
Which of the following Powers does the commissioner not have
Incarceration
Title Insurers are prohibited from
Incarceration
Title Insurers are prohibited from
Giving Legal Advice
What does NAIC stand for?
National Association of Insurance Commissioners
Which one of the following activities require licensing as a producer?
Negotiating an insurance contract
A Licensee’s NPN can be found in the NIPR. What is an NPN?
National Producer Number
NJ Insurance Producer licensing terms are
2 years
Which of the following is NOT required on a license application?
How many hours of continuing education are required in each license period?
24 Hours
What is the Administrative Fine for not informing NJDOBI of a change of address within 30 days?
$250
What is the Administrative Fine for failure NJDOBI of the opening of a branch office within 30 days?
$500
What is the maximum penalty allowed under the producers act for each violation?
$10,000
What is the maximum amount of any thing of value that might be considered an inducement?
$25
Upon receipt of all required proofs, title policies must be issued within how many days?
30 Days
Civil Union Partners hold title as?
Tenants by the Entirety
A tendency by the entirety can be destroyed by all except?
Mortgage
A notice of settlement is effective for
60 Days
A Lis Pendens is effective for?
5 Years
Under the fair foreclosure act the statue of limitations for bringing an action to foreclosure after the maturity date of a mortgage is
6 Years
The borrower in a mortgage is also known as the
Mortgagor
empty
empty
civil Unions were established in NJ in what year?
2007
A deed conveying property that contains the covenant “so long as it is used as a church” is called
Fee simple Determinable
The system of reducing risk through the transfer and pooling of losses is called?
Insurance
Hazards contribute to perils which creates?
Risk
A policy of title insurance is a contract of
Indemnity
How long is the title policy effective?
For as long as the insured holds an interest in the property
The various acts or conditions which increase likelihood or severity of a loss are called?
Hazard
Title Insurance polices insure against loss due to which of the following?
Governmental Powers
Flooding
Fire
None of the Above
None of the above
When title is accquired simultaneously by a husband and wife they are considered?
Tenants in common
Joint tenants
Tenants by the entirety
none of the above
Tenants by the entirety
The rights of dower and curtesy were abolished in the state of new jersey in what year?
90 days after feb 28 1980
An interest in land which is to be held only for the lifetime of an individual but does not pass to his heirs is called? Fee simple estate of coparcenary leasehold estate none of the above
none of the above
the system of land ownership wherein the land is owned by one entity and all others must lease land from same is called?
The feudal system
a fee simple estate will: pass to ones heirs expire upon death auto go to the spouse none of the above
pass to ones heirs
when abstracts and examinations of title are preformed, the purpose is?
risk elimination
The BEST way in which land can be described is?
Filed map lot and block
If there is a discrepancy in a description, which of these factors will dictate over the others?
“call or Monument” in the historic description
A survey acceptable for title insurance must contain?
A raised seal
a mortgage is a ?
deed of defeasance
a bargin and sale deed with covenants vs grantors acts means?
the grantee is assured that the grantor has not adversely affected the premises during his ownership
when the original doc is given to the clerk and is kept in the clerks office it is considered?
filed
the principle of condo ownership was first introduced in NJ under the horizontal property regime act in what year?
1963
The unit owners in a condo hold title as tenants in common to the?
Common elements
a persons declaration respecting how his preperty will be disposed of after his death, which is written and executed entirely in his own hand is called?
Holographic will
when property passes by right of descent to persons who take by the right of representation or “by the root” is called;
Per Stirpes
The will of decent is brought here to be adjudged valid
The probate court
The simultaneous death act states that one must survive the descendent by
120 hours
the latin translation of Caveat is
Let him beware
This deed offers the best protection to the purchaser of real property
warranty
How many promises or warranties are there in the plain language form warranty deed
5
which of the following revocation of the terms of a will:
the death of a testator
the death of a beneficiary
the lapse of a specific devise
subsequent marriage to the making of a will
subsequent marriage to the making of a will
a deed must have which of the following to be vaild? an acknowledgement two witnessess a description be recorded
a description
the doctrine of giving the insurer whatever rights the insured possessed against responsible third parties is called?
act of subrogation
insurable title is always
at the discretion of the insurer
uncertainty or lack or predictability is the definition of
risk
if a fire is considered a peril, than the oily pile of rags that caused the fire is known as a
hazard
title insurance insures against loss due to defects in the title in
real property
a deed given by which of the following would be considered void:
an infant
an incompetent
a drunk
an adjudicated incompetent
an adjudicated incompetent
the right of an owner of landlocked property to pass over the adjoining lands would be considered?
easement of necessity
the term used when real property passes to the state fro an individuals estate due to the lack of rightful heirs at law
escheat
an estate in land whos existence depends upon the happening of some uncertain event is called?
estate on condition
the term used for one who acts on behalf of another is?
fiduciary
the reciprocal course of northeasterly is?
southwesterly
a leasehold estate falls under which of the following categories:
estates by sufferance
fee simple
homestead estates
estates for years
estates for years
the type of mortgage which is recored in conjunction with the deed of conveyance and is superior to all other liens is known as
purchase money mortgage
which of the following may take an acknowledgment for a document affecting new jersey real estate, no matter where the document is executed.
attorney- at- law of new jersey
a title insurance contract is one of adhesion, because it is prepared by the insurer and the insured
has no part in determining its content
Title Insurance must be filed and then approved by
The commissioner of Insurance
Since 2015 the Real Estate Settlement Procedures act has been regulated and enforced by
The CFPB
The Primary Law which regulates the business of title insurance in New Jersey is
The Insurance Producers Licensing Act
A Title producer in the conduct of business acts as a
fiduciary
Under the title act title cannot be insured on which of the following basis
Casualty
title policies must be retained for a minimum of how many years
15
under the title act the insurance commissioner may impose a fine for each violation in the amount of
$1000
under the producers act the insurance commissioner may impose a fine for the first violation for the amount of
$5000
The fees for title insurance in NJ can be found in
NJ Land Title Insurance Rating Bureau Manual of Rates
The original 1664 English deed for all of NJ vested title in
Berkeley & Carteret
Which one of the following does NOT create an easement on a property:
Implication
Express Grant
License
Prescription
License
Condo master deeds usually contain which of the following:
Licenses
Restrictive Covenants
Life Estates
Probate
Restrictive Covenants
an addition or amendment to a last will and testament is known as
codicil
The effective term of a UCC-1 when filed with the secretary of state or county clerk is
5 Years
superior court judgements docketed in the superior court clerks civil judgement and order docket is an effective lien on all of the debtors property for how many years
20 Years
a condo master deed must contain all of the following except for
the word “condo”
a legal description
photos of each unit
share of common elements
a legal description
the creation of a joint tenancy requires 4 elements known as unities. Which below is not required?
Time
Possession
Title
Coverture
Coverture
An LLC is created by filing a
cert. of formation
For transfer inheritance tax purposes, a spouse is considered which type of beneficiary?
Class A
The best description for use in a title policy/deed is
Metes & Bounds
A Prescriptive easement can be established by open, notorious & continuous use for a period of how many years?
30 Years
In New Jersey land now or formerly flowed by the tide is owned by?
The State of NJ
Title Insurers rely upon affidavits of title to remove what exception to the title?
Similar Name Judgements
An easement that does not benefit a particular property is called
In Gross
The CFB enacted a new rule which combined the HUD-1 form with the TILA form, what is the rule called?
TRID
Knowledge about the state of title to realty that one could acquire through a reasonable search of records is known as
constructive notice
What is not required in a metes and bounds description?
Elevation
A document is not “recorded” until it is
Properly Indexed
NJ Inheritance tax is a lien on a property for how many years?
15 Years
Which of the following will revoke a Durable Power of Attorney?
Death
Divorce
Mental Incompetence
Time
Death
a challenge to a will is made through the filing of a
caveat
Insurable title is always
at the discretion of the insurer
a Leasehold is considered
Less than freehold
a franchise tax lien can arise for non payment of
Corporate business tax
Federal Tax liens are valid for a period of
10 Years 30 Days
which of the following occurs when a bankruptcy is filed?
dissolution
mortgage lien
secret sale
automatic stay
automatic stay
streets can be dedicated for public use by all of the following except:
by file map
by express grant
by condemnation
by imputation
By Imputation
which of the following benefits from an appurtenant easement?
servient estate
conditional estate
sanguine state
dominant estate
dominant estate
continuation of a business of a producer who becomes disabled, dies or enters the military may receive a
180 day temporary license
