TITLES Flashcards
Adverse Possession
Title of real property may be acquired by adverse possession.
Adverse possession requires
- actual entry and possession that is
- exclusive
- continuous for a statutory period
- hostile
- open and notorious
Adverse Possession
Actual
There must be actual entry and possession
Actually occupies
If the possessor only actually possess a part of the property, she may gain title to the whole property through constructive adverse possession.
Adverse Possession
Open and Notorious
The possessor must occupy the property in a manner that would give the owner constructive notice of the possession
Adverse Possession
Hostile
The possessor must occupy the property without the owner’s permission
Adverse Possession
Exclusive
The possessor must occupy the property exclusively, meaning he cannot share the property with the owner. However, he may occupy with other possessors, thus creating a tenancy in common by adverse possession.
Adverse Possession
Continuous
The claimant’s possession of the property must be continuous throughout the statutory period.
Tacking allows an adverse possessor to add or “tack” the duration of successive possessors’ occupation to meet the statutory period.
Tacking requires privity between the occupants.
Deed
A deed is a document that transfers title of real property.
A valid deed must
(1) comply with formalities and be
(2) delivered and (3) accepted
Deed Formalities
To comply with the requisite formalities, a deed must
(1) satisfy the Statute of Frauds
(2) describe the property, and
(3) identify the parties to prevent ambiguity
Statute of Frauds
To satisfy the SOF, the deed must be in writing signed by the grantor
Exceptions include part performance and promissory estoppel.
Deed - Intent
A deed is considered delivered when the grantor has the present intent to transfer as long as the grantor dos not reserve the right to rescind the deed.
The deed must include words of intent.
A transfer to the grantee creates a presumption of intent
If the grantor gives the deed to a third party agent but reserves a right to rescind the deed or instructs delivery to the grantee based upon a condition, the deed will not be considered delved for lack of present intent.
Acceptance is generally presumed
General Warranty Deed
guarantees six covenants of title - three present covenants and three future covenants
The grantor guarantees against defects created by himself and all prior holders of title
Present Covenants
Seisin - guarantees that the grantor owns the property described in the deed
right to convey - guarantees that the grantor has the right to convey title
against encumbrances - guarantees that the property does not contain undisclosed encumberances
Future Covenants
Quiet Enjoyment - guarantees that the grantee’s possession and enjoyment will not be disturbed by a third party’s assertion of superior title
Warranty - guarantees that the grantor will defend against a third party’s assertion of title
Further Assurances - guarantees that the grantor will use any means necessary to perfect a defective title
Special Warranty Deed
Contains the same covenants as a general warranty deed but only warrants against the defects arising during the grantor’s ownership
Quitclaim Deed
guarantees no covenants of title.
Transfers any interest the grantor had
Recording Statutes
A deed need not be recorded to be valid.
However, a recorded deed may prevent title disputes
Unless a recording statute governs, the common law approach of “first in time, first in right” is the default for determining who has priority as to title.
Notice Statute
a subsequent bona fide purchaser will be granted title prior to a grantee who failed to record
BFP - one who acquires property for value without notice of prior interests
Race Statute
the first to record will be granted title regardless of notice of prior interests
Race-Notice Statute
will be granted title only if he
(1) records first and
(2) acquires without notice of prior interests
Actual Notice
a grantee with actual notice will not be granted title in notice or race-notice recording jurisdictions
Inquiry Notice
A grantee is considered to have inquiry notice if a reasonable inspection of the property would have revealed conflicting interests.
Constructive Notice
A grantee has constructive notice if all prior interests were recorded an can be found upon review of the chain of title.
Shelter Rule
a bona fide purchaser who has acquired title by virtue of a recording statute’s protection will shelter his grantee who would not otherwise qualify for protection.
