Chapter 8- Book Quiz (plus)

It is essential that every deed be signed by the

• devisee.

• grantee.

• grantor or grantee.

• grantor.

Answer explanation

The answer is grantor. Only grantor executes (signs) the deed. Title passes when the deed is delivered and accepted by the grantee. (p. 124)

A 15 year old boy recently inherited many parcels of real estate from his late father and has decided to sell one of them to pay inheritance taxes. If the boy enters into a deed conveying his interest in the property to a purchaser, such a conveyance would be

• Valid

• Voidable

• Void

• Invalid

Answer explanation

The answer is voidable. A deed executed by a minor is voidable, not void. Minors can disaffirm at conveyance until they reach majority age and for a reasonable time thereafter. (p. 125)

The grantee receives greatest protection with what type of deed?

• Quitclaim

• Bargain and sale

• General warranty

• Executor’s

Answer explanation

The answer is general warranty. A general warranty deed binds the grantor the covenants or warranties that provide a grantee with the greatest protection of any type of deed. (p. 128)

Which deed merely implies but does NOT specifically warrant that the grantor holds good title to the property?

• Quitclaim

• Special warranty deed

• Bargain and sale deed

• Trustee’s deed

Answer explanation

The answer is bargain and sale deed. A bargain and sale deed contains no expressed warranties against encumbrances. It does, however, imply that the grantor holds title to the property. (p. 129)

How can property be voluntarily transferred to another party?

• By deed

• By court action

• By adverse possession

• By escheat

Answer explanation

The answer is by deed. A voluntary transfer of property is made by a deed, executed by the owner as grantor to the grantee. Involuntary transfer may be by court action, adverse possession and when property escheats back to the state. (p.124)

A woman bought acreage in a distant county, never went to see the acreage, and did not use the ground. A man moved his mobile home onto the land, had a water well drilled, and lived there for 22 years. The man may become the owner of the land if he has complied with the state law regarding

• adverse possession.

• voluntary alienation.

• avulsion.

• requirements for a valid conveyance.

Answer explanation

The answer is adverse possession. The law recognizes that the use of land is an important function of ownership. An individual who takes possession and uses the property for the first time prescribed by state law may be able to take title away from an owner who fails to use or inspect the property. This is known as adverse possession. (p.132)

An owner of real estate was declared legally incompetent and was committed to a state mental institution. While institutionalized, the owner wrote and executed a will. The owner later died and was survived by a spouse and three children. The real estate will pass

• to the owner's spouse.

• to the heirs mentioned in the owner's will.

• to the state.

• According to the state law of descent.

Answer explanation

The answer is according to the state law of descent. An individual declared legally incompetent does not have capacity to execute legal documents. Therefore, the will would be considered void and titled to the real estate would pass according to the state's law of descent and distribution. (p. 125, 134)

What will happen to the real estate if the deceased owner did not write a will and has no heirs?

• The ownership will revert to the previous owner.

• The ownership will escheat.

• The ownership will pass by devise.

• The courts will seize the ownership.

Answer explanation

The answer is the ownership will escheat. When a person dies intestate (with no will) and no heirs, the title to the estate passes to the state by the state’s power of escheat. (p. 131)

The deed states that the grantor is conveying all rights and interests of the grantor to have and to hold by the grantee. This is the

• restriction clause.

• covenant of seisin.

• acknowledgement clause.

• habendum clause.

Answer explanation

The answer is habendum clause. A habendum clause follows the granting clause it begins with the words to have and to hold; its provisions must agree with those stated in the granting clause. (p.125-126)

The deed that grants and releases and applies that the grantor has title is a

• special warranty deed.

• trust deed.

• quitclaim deed.

• bargain and sale deed.

Answer explanation

The answer is bargain and sale deed. Although a bargain and sale deed contains no express warranties against encumbrances, it does imply that the grantor holds title and possession of the property. (p.129)