California Real Estate Principles: Chapter 6

Quitclaim Deed

A deed to relinquish any interest in property with the grantor without interference of possession. Characteristics: - No Warranties - No representations Used when: - Relinquishing the conditions of subsequent -Dominant tenement (have the right to use the property of another) relinquishing their interest in the easement for ingress and egress -Spouse relinquishing the right to an interest in community real property.

Merger

If the dominant or the serviant purchases the other property and it's under one ownership, then the easement is terminated.

Element of diverse possession

- Claim of right- Claiming you have the right because you said so. They would only get what they occupy. - Color of title- adverse possessor acted in good faith and did not intend to trespass. They had some legal instrument that told them they had a right to be there or possess it, the legal instrument was defective. They would get the entire parcel or property.

Bill of Sale

A document used to transfer ownership or title of personal property. - the sale of a personal property for more than $500 must be in writing pursuant to the Uniform Commercial Code.

Grant Deed

A limited warranty deed using the word "grant" or like words that assures a grantee that the grantor has not already conveyed the land to another and that the estate is free from encumbrances placed by the grantor. -Most widely used in california and most commonly used in the country and come with 2 Implied warranty: it is enforced by operation of law (automatically). 2 Implied Warranty: - Grantor has not previously conveyed title to another grantee. You can't give what you don't have. -At the time of the conveyance of title, the property is not burdened by encumbrances created by or caused by the grantor OR they have been disclosed to the grantee.

Injunction

A writ or order issued under the seal of a court to restrain one or more parties to a suit or proceeding from doing an act which is deemed to be inequitable or unjust in regard to the rights of some other party or parties in the suit or proceeding.

Adverse Possession

Acquiring property by treating it as your own for a long time. The possession must NOT BE SECRETIVE and must be WITHOUT PERMISSION. In California, they must pay the property taxes for 5 yrs. Legal consequences: the transfer of title.

Encroachment

An unlawful intrusion onto another's adjacent property by improvements to real property (ex: a swimming pool built across a property line). You do not have forever for the removal of the encroaching of real property, the statute of limitation sets the time frame you have to sue for the removal, 3 yrs from the day of the trespass was found out or be barred from enforcibility.

Easement by Prescription

Created through continual use over a certain period of time. It must be continual, visible, & w/o approval. For example - a private road becomes public. Legal consequences: result in a right of use Terminated by: - execution signing of a quitclaim deed (relinquishing that right to use their property) by the dominant tenement owner of the easement in favor of the serviant tenement owner. -Non use for 5 yrs

Easement by necessity

Created when no other access to land exists...right of ingress & egress. Terminated by: - new alternative access to ingress and egress without using the land of another then the easement would be terminated. No longer land locked.

Easement vs. License

Easement - specific purpose, permanent, transferred w land. Right to use. Irrevocable License - (social guest) defined period of time, ceases on death, no interest in land - similar to an easement in gross, but conveys permission rather than right - Revocable and non-transferable - Automatically terminated at the death of the grantor or sale of the land

Alienation

The transferring of property to another; the transfer of property and possession of lands, or other things, from one person to another. -

Acknowledgement

A formal declaration made before an authorized person (ex: a notary public) by a person who has executed an instrument stating that the execution was his or her free act.In California, an acknowledgement is the statement by an officer such as a notary that the signatory to the instrument is the person represented to be.

Deficiency Judgment

A judgment given by a court when the value of security pledged for a loan is insufficient to pay off the debt of the defaulting borrower.

Easement

A limited right to make use of a property owned by another. Created by: - Voluntary grant - Necessity - Easement by prescription Terminated by:

latches

The delay or negligence in asserting one's legal right. - When a lawsuit is filed within the 3 yrs of statute of limitations, but there was an unreasonable delay in filing the law suit and would cause a burden on the defendant. Ex: You found out your neighbors fence is being built 3 feet on your property and waited until a year after its built to file a lawsuit. Inexcusable delay. Undue burden to have to remove it.

after-acquired title

The grantor intend to either mortgage or convey title to the real property in which he or she is not vested. They lack some sort of interest, some or all interest-bundle of rights. Can't give what they don't have. - Attempting to convey what you don't have. - Once the defect is fixed or cured, automatically it passes to the grantee with no need to create a new Grant deed.

Trespass

The wrongful entry on to the land on another, either in person or by instrumentality. - physically walk, bike, run, doesn't have to be intentional. instrumentality: throw a rock across the fence 2 types: - Encroachment - Nuisance

Deed

Written instrument which when properly executed and delivered conveys title to real property from one person (grantor) to another (grantee). The valid deed requires: - competent grantor( 18 yrs old or older and sane- able to understand the consequences of their actions) -Must be in writing and the deed must identify the property and informal description (intention). -only need the signature of the grantor. - Acknowledgment -signed in the presence of a notary public. Exceptions to the age requirement: - Serving in the military at the age of 16 - Lawfully married as a minor and you had to have parental consent -Legal Emancipation - one who is under 18 but over the age of 14 and able 3 TYPES: - Grant deed - Quitclaim deed - Warranty deed

vested

a concern for something from which a person expects to get personal benefit

Uniform Commercial Code

recognized as the most important statute in business law, it includes provisions which regulate certain sales of goods and negotiable instruments. Adopted in all 50 states.

Nuisance

- a substantial interference with the right of one to use and enjoy their property: smoke, loud noise, and odor. - No monetary damages, would sue for an injunction (request the court order the defendant to do or not do a certain thing.)

Warranty Deed

A deed used to convey real property which contains warranties of title and quiet possession, and the grantor thus agrees to defend the premises against the unlawful claims of third persons. It is commonly used in many states but in others the grant deed has supplanted it due to the modern practice of securing title insurance policies which have reduced the importance of express implied warranty in deeds. - Valid in California but we don't use it. - Expressed Warranty 5 Covenant: 1.-covenant of seisin- quality and quantity of title to convey. Need for property taxes, the government only care about WHO is going to pay the property taxes 2.- Covenant of the Right to convey- the grantor has the interest they purport to convey 3.- Covenant against incumbrances - implied warranty for grant deed. 4.- Covenant of further assurances- seller promises to cure any issues if they present in the future. 5.- Covenant of quiet enjoyment- freedom from being pestered or bothered by anyone with an interest