BLTS-9e
Sample Answer for End-of-Chapter
Hypothetical Question with Sample Answer
Chapter 36: Real Property and Landlord-Tenant Law
36.2 Hypothetical Question with Sample Answer
Wiley and Gemma are neighbors. Wiley’s lot is extremely large, and his present and future use of it will not involve the entire area. Gemma wants to build a single-car garage and driveway along the present lot boundary. Because the placement of her existing structures makes it impossible for her to comply with an ordinance requiring buildings to be set back fifteen feet from an adjoining property line, Gemma cannot build the garage. Gemma contracts to purchase ten feet of Wiley’s property along their boundary line for $3,000. Wiley is willing to sell but will give Gemma only a quitclaim deed, whereas Gemma wants a warranty deed. Discuss the differences between these deeds as they would affect the rights of the parties if the title to this ten feet of land later proves to be defective.
Sample Answer:
Wiley understandably wants a general warranty deed, as this type of deed will give him the most extensive protection against any defects of title claimed against the property transferred. The general warranty would have Gemma warranting the following covenants:
1. Covenant of seisin and right to convey—a warranty that the seller has good title and power to convey.
- Covenant against encumbrances—a guaranty by the seller that, unless stated, there are no outstanding encumbrances or liens against the property conveyed.
3. Covenant of quiet possession—a warranty that the grantee’s possession will not be disturbed by others claiming a prior legal right.
Gemma, however, is conveying only ten feet along a property line that may not even be accurately surveyed. Gemma therefore does not wish to make these warranties. Consequently, she is offering a quitclaim deed, which does not convey any warranties but conveys only whatever interest, if any, the grantor owns. Although title is passed by the quitclaim deed, the quality of the title is not warranted.
Because Wiley really needs the property, it appears that he has three choices: he can accept the quitclaim deed; he can increase his offer price to obtain the general warranty deed he wants; or he can offer to have a title search made, which should satisfy both parties.