Title Assurance Flashcards
the grantor warrants title against all defects, whether they arose before or after he obtained title.
General warranty deed
the grantor warrants title against all defects that arose after he obtained title.
Special warranty deed
the grantor makes no warranties about title, so the grantee receives only what the grantor has, if anything.
Quitclaim deed
a promise that the grantor will defend the grantee against any claim of superior title; for example, if a third party holds better title than the grantee does, the grantor must defend the grantee’s title.
Covenant of warranty
Future Covenant
a promise that the grantee’s possession of the property will not be disturbed by anyone holding superior title; for example, this covenant is breached if the grantee is evicted because of a defect in her title.
Covenant of quiet enjoyment
Future Covenant
a promise that the grantor will take all future steps reasonably necessary to cure title defects that existed at closing.
Covenant of further assurances
Future Covenant
a promise that the grantor owns the estate he purports to convey; for example, this covenant is breached if the grantor purports to convey a fee simple but only owns a life estate.
Covenant of seisin
Present Covenant
a promise that the grantor has the right to convey title; for example, this covenant is breached if the grantor is a trustee who lacks the authority to transfer title to the trust property.
Covenant of right to convey
Present Covenant
a promise that there are no encumbrances on the title, other than those expressly listed in the deed; for example, this covenant is breached if there is a prior mortgage on the property
Covenant against encumbrances
Present Covenant
the grantor promises in the deed that he has good title to convey.
Title covenants
an attorney or other professional renders an opinion about the state of title after searching the public land records.
Title opinion based on search of public records
a title insurance company issues a policy that insures the grantee’s title.
Title insurance
