Purchase a course multi-pack for yourself or a friend and save up to 50%!
5-COURSE MULTI-PACK $180
10-COURSE MULTI-PACK $300
Accelerated 1-year bachelor's program
Question 1
Lonnie owns Blackacre. Toni has lived on Blackacre as Lonnie's tenant for 18 years and the two have become good friends. One day Lonnie gets ill and is afraid that he might die. So, he draws up a deed that states "I, Lonnie, hereby grant Blackacre to my tenant of the past 18 years." Is this deed sufficient to transfer Blackacre to Lonnie
Correct
Incorrect!
Correct A deed needs a granting clause and a description of the property being conveyed to be effective. The granting clause must list the grantor and the grantee. However, a description of the party is adequate to make it obvious who the party is will be good enough. It is obvious that the description on this deed refers to Toni. The description in this deed is also effective because using the common name for a parcel of property is sufficient to describe the property that is being conveyed.
Incorrect! A deed needs a granting clause and a description of the property being conveyed to be effective. The granting clause must list the grantor and the grantee. However, a description of the party is adequate to make it obvious who the party is will be good enough. It is obvious that the description on this deed refers to Toni. The description in this deed is also effective because using the common name for a parcel of property is sufficient to describe the property that is being conveyed.
Correct
Incorrect!
Correct
Incorrect!
Question 2
Lonnie owns Blackacre. Toni has lived on Blackacre as Lonnie's tenant for 18 years and the two have become good friends. One day Lonnie gets ill and is afraid that he might die. So, he draws up a proper deed with the intent of giving the deed to Toni, thereby conveying Blackacre to her. Lonnie gives the deed to his friend, Mike and he tells Mike to give the deed to Toni the next time Mike sees her. Unfortunately, Lonnie dies before Mike next sees Toni. Has Blackacre successfully been transferred to Toni?
Correct
Incorrect!
Correct
Incorrect!
Correct
Incorrect!
Correct As with any gift transfer, the delivery is only effective at the time that it is actually delivered into the possession of the grantee. The delivery can be a third person, if that third person is an agent for the grantee. However, in this case, Mike was not Toni's agent. It was Lonnie who appointed him to give the deed to Toni. For all we know, Mike and Toni never communicated with each other in their lives. Mike cannot, therefore, be said to have been acting as an agent for Toni when he took the deed from Lonnie.
Incorrect! As with any gift transfer, the delivery is only effective at the time that it is actually delivered into the possession of the grantee. The delivery can be a third person, if that third person is an agent for the grantee. However, in this case, Mike was not Toni's agent. It was Lonnie who appointed him to give the deed to Toni. For all we know, Mike and Toni never communicated with each other in their lives. Mike cannot, therefore, be said to have been acting as an agent for Toni when he took the deed from Lonnie.
Question 3
Slick sells Greyacre to Gully. At the closing, he conveys Greyacre to Gully using a quitclaim deed, which Gully accepts. It turns out that Bank owned a mortgage on Greyacre that Slick failed to disclose at the closing. Three months later, Bank repossessed Greayacre. Is Slick liable to Gully for the damage caused by the repossession?
Correct The quitclaim deed conveys no warranty whatsoever that the sellers title is good title or that there are no encumbrances on the property. Also, the duty to deliver marketable title is irrelevant because of the merger rule, which states that any promises that come with the contract of sale merge with the deed and are no longer effective once the deed is delivered.
Incorrect! The quitclaim deed conveys no warranty whatsoever that the sellers title is good title or that there are no encumbrances on the property. Also, the duty to deliver marketable title is irrelevant because of the merger rule, which states that any promises that come with the contract of sale merge with the deed and are no longer effective once the deed is delivered.
Correct
Incorrect!
Correct
Incorrect!
Correct
Incorrect!
Question 4
Slick owns Greyacre that he bought from Superslick and from whom he received a properly executed and delivered deed. Slick sells Greyacre to Gully. At the closing, he conveys Greyacre to Gully with a properly executed and delivered deed. It turns out that Superslick never really owned Greyacre. He had forged the property records to make it appear that he owned Greyacre. Vic, the true owner of the property from whom Superslick stole the property, brings an action against Gully and evicts him. Gully sues Slick. Is Slick liable to Gully for damages resulting from his eviction?
Correct
Incorrect!
Correct
Incorrect!
Correct
Incorrect!
Correct Of the three types of deeds, only the general warranty deeds subjects the grantor to liability for defects in title to the property that arose before the grantor came into possession of the property.
Incorrect! Of the three types of deeds, only the general warranty deeds subjects the grantor to liability for defects in title to the property that arose before the grantor came into possession of the property.