Titles Flashcards
Adverse possession (AP)
- Continuous/uninterrupted
• Through statutory period (20 years at CL)
• Seasonal use okay if consistent with type of property
• Tacking permitted, but no gaps and via non-hostile connections only (e.g., descent, devise, contract, or deed) - Actual—actual entry giving exclusive possession that is open/notorious, but if only actually possess portion of property, constructive AP gives title to whole
- Hostile—must possess the land without owner’s permission and with intent to claim land against claims of others
- Exclusive—possession cannot be shared with true owner, but two or more people can adversely possess as tenants in common
Delivery of deeds
At time of transfer, grantor must intend to make present transfer of property interest to grantee.
- Rebuttable presumption of delivery/intent: Physical transfer of deed (not required but creates presumption of grantor’s intent), Recording of deed.
- Intent can be implied from words/conduct of grantor
- Parol evidence admissible to establish intent when grantor keeps deed
Transfer to grantor’s agent is not delivery but transfer to grantee’s agent is
Transfer to third party with a condition is not delivery if grantor keeps absolute right to recover deed, but if not, treated like future property interest.
If conditioned upon death, grantor must intend to make a present gift
Acceptance presumed for beneficial transfers
Requirements of Deeds
Many states allow real-estate brokers to prepare real-estate sales K; some states limit
this to form Ks and some require attorney review
o Non-attorneys may prepare mortgage lending docs
o Jurisdictions are split as to requirement of attorney at closing, but non-attorney may
not answer legal questions
• Valid deed requirements
o Identified parties
o Grantor’s signature
o Words of transfer
o Reasonably definite property description (extrinsic evidence admissible)
• Agent may execute deed
o Equal dignities rule—agency authorization for real estate Ks must be in writing
Recording of Deeds
Publicly registers the deed.
CL rule: “first in time, first in right.”
In absence of recording statute, CL controls.
Recording Statutes
3 Types:
- Notice: BFP (purchaser for value without notice) of prior interest prevails over prior grantee who failed to record. Must record against subsequent purchaser (e.g., “no conveyance/mortgage of RP good against subsequent BFP unless same be recorded according to law”).
- Race: First to record prevails, regardless of knowledge of prior conflicting interests (e.g., “no conveyance/mortgage of RP good against subsequent purchaser of value unless first recorded by law”).
- Race-notice: Subsequent BFP protected only if he takes without notice and is first to record (e.g., “no conveyance/mortgage of RP good against subsequent BFP unless first recorded by law”)
Notice:
o Actual—actual, personal knowledge of prior interest cannot prevail under notice or race-notice statute
o Inquiry—if reasonable investigation would disclose prior claims, grantee cannot prevail against them (e.g., someone other than grantor has possession or documents referenced in chain of title)
o Constructive—properly recorded and appears in chain of title
Types of deeds
3 Types:
- General warranty
- Present covenants: Seisin—grantor owns land as described in deed, Right to convey—grantor has right to transfer title, Against encumbrances—no undeclared encumbrances against land
- Future covenants: Quiet enjoyment—grantee not disturbed in possession by third party’s claim, Warranty—grantor will defend grantee against third party’s claim, Further assurances—grantor will do whatever future acts reasonably necessary to pass title if later determined title is imperfect - Special warranty—same covenants of title but only warrants against defects arising during the time grantor has title
- Quitclaim deed—no covenants of title