parent nodes: deed | equitable conversion | implied contract terms | recording act | title
marketable title
A deed to convey land carries an implied [covenant] that the title is marketable, that is, that there are no serious clouds in a title. Marketable title only covers title of record, so that for example the title can be marketable despite the possibility of another holding superior title through adverse possession.
A deed can contract around the covenant of marketable title through disclaimers that the title is "subject to" other interests.
Interests that may make title unmarketable
- Outstanding rights of reverter
- Breaks in the chain of title
- Outstanding dower or curtesy interests
- easements in urban property
- [mortgage]s*
Marketable Title Reduction Acts
Statute often requires the filing of a notice in order to preserve a chose in action against the real property founded upon any transaction which occurred prior to the period specified in the act. The act effectively creates a [statute of limitations] for actions founded upon defective title.
Cases
[Trimboli v Kinkel] (an attorney is answerable in negligence for any expenses from a botched resale if he wrongly certifies title as marketable)