Recording system

Question 1

Who is protected

Answer 1

BFP = purchaser for value and without notice of someone else buying first (actual, inquiry, or record)

Question 2

Doomed donee

Answer 2

Doomed donee: no protection for heir, devisee, or donee except shelter rule.

Question 3

Shelter rule

Answer 3

One who takes from BFP is protected just like BFP

Question 4

Wild deed

Answer 4

Out of order deed doesn’t give record notice

Question 5

Estoppel

Answer 5

Person conveying land w/out any interest in it is estopped from denying the validity of conveyance if he later acquires it.

Recognized in NC unless conveyance was by quit claim deed or not made for valuable consideration.

Can automatically transfer titled when a person sells land for which he doesn’t have title, but later gets title.

Question 6

Notice statute

Answer 6

2nd buyer wins if BFP and A not record.

Question 7

Race statute

Answer 7

1st buyer wins if he records before 2nd buyer

NC has a race statute: first recorder wins whether or not they have knowledge of any prior conflicting itnerest. Only covers grantees who paid value for an interest in real property (includes discharge of debt).

An improperly indexed instrument gives notice if it is sufficient to put a careful and prudent examiner on notice.