Real Property

Question 1

restraints on alienation

Answer 1

i. Disabling restraints, under which any attempted transfer is ineffective (unlawful);
ii. Forfeiture restraints, under which an attempted transfer results in a forfeiture of the interest; and
iii. Promissory restrains, under which an attempted transfer breaches a covenant

Question 2

Real Estate K

Answer 2

requires seller to convey marketable (merchantable) title

Question 3

Marketable Title

Answer 3

Free from reasonable doubt as to both matters of the law & fact

Question 4

Quitclaim Deeds

Answer 4

Transfer whatever title the grantor has to the grantee even if it is unmarketable. But have to specifically contract for this kind of conveyance

Question 5

Encumbrances

Answer 5

can also make a title unmarketable

i. mortgages
ii. liens
iii. easements
iv. use restrictions
v. encroachments or
vi. lane-use & zoning violations

Question 6

doctrine of merger

Answer 6

most obligations imposed by K of sale are discharged unless repeated in the deed

Question 7

Property deed

Answer 7

formal legal document that transfers one person or entity’s rights of ownership to another individual or entity

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.

Following info needed:

• An indication that it is a deed
• A description of the property involved
• The signature of the individual or entity that it is transferring the property
• Data regarding who is taking title to the property

May contain conditions or assurances that go along with transfer

Question 8

Delivering a deed

Answer 8

Taking some action intended to make the deed effective presently. What the action is doesn’t 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.

Question 9

Real Estate K

Answer 9

require the seller to convey a marketable (merchantable) title.

If K silent as to kind of title is to be conveyed, the obligation to convey a marketable title will be implied in the K.

Question 10

Marketable title

Answer 10

title free from reasonable doubt as to both matters of the law & fact, & a reasonable purchaser would be willing to accept it readily

Question 11

Quitclaim deeds

Answer 11

transfer whatever title the grantor has to the grantee even if that title is unmarketable

Question 12

Doctrine of Merger

Answer 12

most obligations imposed by the K of sale are discharged unless they are repeated in the deed

After the closing the deed typically replaces the real estate K as the embodiment of the parties relationship

One can no longer sue on title matters contained in the K of sale after the deed is delivered & accepted. Remedy would be based on the deed he received not on the K of sale

Question 13

Fixture

Answer 13

chattel that has been so affixed to land that it has ceased being personal property and became part of the realty

Identification of the chattel is still possible, but removal would be cause considerable loss or destruction, the items are considered fixtures (like heating pipes in a house)

Question 14

Common Ownership

Answer 14

Refers to when a person owns both the land & fixtures affixed to it

Question 15

Divided ownership

Answer 15

occurs when a landlord owns the property, but someone else affixes the chattel to the land

Question is whether the ownership of the chattel has passed to the landowner

Question 16

In both types of ownership cases, where the items become incorporated into the realty so fully that they lose their identity they become part of the realty

Answer 16

Common ownership/Divided ownership

Question 17

Accession

Answer 17

term used to describe the intent of the annexor to make the chattels a permanent part of the real estate

Question 18

Doctrine of accession

Answer 18

applies only in situations in which one person annexes (attaches) chattels to real property owned by another under which circumstances that the law will not permit the chattel’s removal.

Question 19

trade fixture

Answer 19

fixture installed by a tenant in a trade or business at the end of the lease term the tenant may typically remove any trade fixtures that have been installed, provided that the substantial damage will not occur as a result of the removal

Question 20

Novation

Answer 20

Agreement that serves to substitute a new party for an original party to the K. Completely releases the substituted party but requires the assent of all parties.

Question 20

Novation

Answer 20

Agreement that serves to substitute a new party for an original party to the K. Completely releases the substituted party but requires the assent of all parties.

Question 21

Accord & Satisfaction

Answer 21

substitute K between the original contracting parties

Question 22

Covenant

Answer 22

written promise to do something on the land or a promise not to do something on a land

Can be inserted into property deeds binding any subsequent purchaser It can control actions & crate affirmative duties such as paying annual dues to support something

And if it is a part of a property deed w/ a common scheme any member is entitled to enforce the covenant

Question 23

Easement

Answer 23

Runs with the land and binds future owners of that land. Cannot generally be used to require the burdened party to perform affirmative acts (paying dues).

In addition an easement allows access to the land of the owner by the holder of the easement. The creation/operation of a golf course would not be necessarily touch & concern the land.

Question 24

Mortgage

Answer 24

financial agreement and will not run with the land once it is satisfied

Question 25

Fair Housing Act

Question 26

Closings

Answer 26

a closing may be conducted by a real estate agent, a broker or an officer of a title insurance company instead of an attorney

Question 27

Warranty deed

Answer 27

type of deed where seller guarantees that they hold clear title to a piece of real estate and has a right to sell it to the buyer

Question 28

quitclaim deed

Answer 28

seller does not guarantee that they hold title to a piece of real estate