Title Assurance

Question 1

Bona Fide Purchaser

Answer 1

is protected

1. be a purchaser
2. take without notice of prior instrument
3. pay valuable consideration

Question 2

shelter rule

Answer 2

concept in recording acts whereby a grantee can rely on his predecessor in interest taking without notice even if the grantee has notice of an earlier conveyance

Question 3

Grantor-grantee index

Answer 3

separate indexes are kept for grantee and grantor

Question 4

actual notice

Answer 4

the subsequent purchaser knows there is a title dispute

Question 5

constructive notice

Answer 5

any reference in the direct chain of title that indicates the extent of notice

Question 6

Race Statute Recording

Answer 6

if there are two claims to the same land; priority goes to who records first

Question 7

Notice Statute Recording

Answer 7

if a subsequent purchaser had notice of a prior unrecorded instrument, the purchaser could not prevail over the prior grantee

Question 8

Race-Notice recording statute

Answer 8

a subsequent purchaser is protected against prior unrecorded instruments only if the subsequent purchaser 1. is without notice of the prior instrument and 2. records before the prior instrument is recorded

Question 9

Chain of title

Answer 9

every deed in chain of title must be property recorded in order to defeat prior purchaser

Question 10

Wild Deed

Answer 10

deed outside the chain of title that is unconnected to the chain of title and does not give constructive notice

Question 11

Pro Tanto Rule

Answer 11

protects the buyer to the extent the payments made prior to notice but no further

1. awards land to prior claimant upon reimbursement of the subsequent purchaser
2. award subsequent purchaser fractional interest proportional to amount paid
3. award land to subsequent purchaser upon payment of prior claimant

Question 12

Estoppel by deed

Answer 12

if a grantor purports to convey an estate in property that he does not own his subsequent acquisition of title to the property will automatically inure to the benefit of the grantee

Question 13

Inquiry Notice

Answer 13

constructive notice were the facts show you should have known

Question 14

Marketable title Acts

Answer 14

limitation on period for which you can challenge a prior claim