Chain of title
Posted By admin on February 22, 2009
True ownership is primarily supported by a good chain of title. The chain of title provides a list of all conveyances and other documents recorded against the property. The chain of title should indicate that all of the conveyances between buyers and sellers are legitimate and unbroken. For example, Fred sold to Gene, Gene sold to Harriet, Harriet sold to Indira, and Indira sold to Jesse.
The chain should be uninterrupted. For example, the chain of title should not indicate that Quentin sold to Roy, and then Ursula sold to Vivian. How did the title get from Roy to Ursula?
In addition to recording conveyances, however, the title records will also record liens, easements, leases and other documents. The title examiner must be able to see through that clutter and clearly identify the rightful chain of title. However, the title examiner must also examine those other recorded documents to be sure that they no longer present a cloud on the title. For example, previously paid mortgage and other liens from the past should have a matching release of lien, indicating that they have been satisfied and no longer pose an encumbrance.
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