BOARD DRAFT REV K (03-06-19) SUMMARY OF CONTENTS CHAPTER 1: THE TITLE EXAMINER CHAPTER 2: MARKETABLE TITLE; USE OF THE RECORD CHAPTER 3: NAME VARIANCES CHAPTER 4: EXECUTION, ACKNOWLEDGMENT, AND RECORDATION CHAPTER 5: LAND DESCRIPTIONS CHAPTER 6: CONVEYANCES INVOLVING CORPORATIONS CHAPTER 7: CONVEYANCES INVOLVING PARTNERSHIPS CHAPTER 8: CONVEYANCES INVOLVING LIMITED LIABILITY COMPANIES CHAPTER 9: POWERS OF ATTORNEY CHAPTER 10: TRUSTS CHAPTER 11: CAPACITY TO CONVEY CHAPTER 12: DECEDENT’S ESTATES CHAPTER 13: BANKRUPTCIES CHAPTER 14: AFFIDAVITS AND RECITALS CHAPTER 15: MARITAL INTERESTS CHAPTER 16: JUDGMENT LIENS CHAPTER 17: DEEDS OF TRUST AND OTHER VOLUNTARY LIENS CHAPTER 18: FEDERAL AND STATE TAX LIENS CHAPTER 19: CONSTRUCTION LIENS T CHAPTER 20: FORECLOSURES CHAPTER 21: FORMS F A R D v BOARD DRAFT REV K (03-06-19) T F A R D vi BOARD DRAFT REV K (03-06-19) TABLE OF CONTENTS CHAPTER 1: THE TITLE EXAMINER 1-1 1.01 Purpose of Title Examination ................................................................................. 1-1 1.02 Review by Examiner .............................................................................................. 1-1 1.03 Consultation with Prior Examiner ........................................................................... 1-4 CHAPTER 2: MARKETABLE TITLE; USE OF THE RECORD 2-1 2.01 Marketable Title Defined ........................................................................................ 2-1 2.02 Period of Examination ............................................................................................ 2-2 2.03 Correction Instruments ........................................................................................... 2-3 2.04 Access ................................................................................................................... 2-3 2.05 Instruments by Strangers to the Chain of Title ....................................................... 2-4 2.06 Age of Instruments ................................................................................................. 2-5 CHAPTER 3: NAME VARIANCES 3-1 3.01 Idem Sonans ......................................................................................................... 3-1 3.02 Middle Names Or Initials ........................................................................................ 3-2 3.03 Abbreviations .........................................................................................................T 3-2 3.04 Recitals of Identity ................................................................................................. 3-2 3.05 Suffixes .................................................................................................................. 3-3 3.06 Variances in Name of Spouse ................................................................................ 3-4 3.07 Variances in Indication of Sex ................................................................................F 3-4 3.08 Variances in the Name of Corporations, Partnerships and Limited Liability Companies ................................................................................................ 3-4 3.09 Name Changes ...................................................................................................... 3-5 3.10 Correct Name of Grantee .......................................................................................A 3-5 CHAPTER 4: EXECUTION, ACKNOWLEDGMENT, AND RECORDATION 4-1 4.01 Omissions and InconsistenciesR .............................................................................. 4-1 4.02 Defective Acknowledgments .................................................................................. 4-1 4.03 Delivery; Effective Date; Delay in Recordation ....................................................... 4-2 4.04 Race-Notice Recording System ............................................................................. 4-3 4.05 Constructive Notice ................................................................................................ 4-4 4.06 Recitals in InstrumentsD in Chain of Title ................................................................. 4-5 4.07 Duty of Inquiry – Based on Actual Notice ............................................................... 4-5 4.08 Qualification as Bona Fide Purchaser .................................................................... 4-6 4.09 Electronic Filing and Recordation .......................................................................... 4-7 CHAPTER 5: LAND DESCRIPTIONS 5-1 5.01 Land Descriptions Generally .................................................................................. 5-1 5.02 When Defective Descriptions do not Impair Marketability ....................................... 5-3 5.03 Water Boundaries .................................................................................................. 5-4 5.04 Roads .................................................................................................................... 5-5 5.05 Easements ............................................................................................................. 5-5 5.06 Effect of Prior Liens on Easements Used for Access ............................................. 5-6 5.07 Effect of Merger on Easements .............................................................................. 5-7 vii BOARD DRAFT REV K (03-06-19) CHAPTER 6: CONVEYANCES INVOLVING CORPORATIONS 6-1 6.01 Corporate Existence ...............................................................................................6-1 6.02 Corporate Authority Presumed................................................................................6-2 6.03 Foreign Corporations ..............................................................................................6-2 6.04 Corporate Seal .......................................................................................................6-3 6.05 Authority of Particular Officers ................................................................................6-3 6.06 Corporate Name or Signer’s Representative Capacity Omitted From Signature ................................................................................................................6-4 6.07 Effect of Reinstatement After Dissolution ................................................................6-5 6.08 Name Change, Merger, Conversion – Deed Not Required .....................................6-5 CHAPTER 7: CONVEYANCES INVOLVING PARTNERSHIPS 7-1 7.01 Conveyance of Real Property Held in Partnership ..................................................7-1 7.02 Conveyance of GP/LLP Property Held in Name of Partners ...................................7-1 7.03 Authority of Less Than All Partners Regarding Transactions that are Not in the Ordinary Course of Business ..................................................................7-2 7.04 Merger of a Partnership – Statement of Merger Required .......................................7-3 7.05 Conveyance of Partnership Property Held by LP or LLLP .......................................7-3 7.06 Name Change, Merger, Conversion of a LP or LLLP – Deed Not Required .................................................................................................................T 7-4 CHAPTER 8: CONVEYANCES INVOLVING LIMITED LIABILITY COMPANIES 8-1 8.01 Identity of Manager of Limited Liability Company ....................................................F 8-1 8.02 Authority of Member, Manager, or Officer of Limited Liability Company ................................................................................................................8-1 8.03 Delegation of a Manager’s or Member’s Authority...................................................8-2 8.04 Conveyances in the Ordinary Course ofA Business ..................................................8-3 8.05 Assets of Limited Liability Company Not Subject to Execution for Debts of Members or Managers ..............................................................................8-3 8.06 Limited Liability Company Deemed to be Legally in Existence ................................8-4 8.07 Foreign Limited Liability CompaniesR .......................................................................8-4 8.08 Name Change, Merger, Conversion – Deed Not Required .....................................8-5 CHAPTER 9: POWERS OF ATTORNEY 9-1 9.01 Validity of InstrumentD Executed by an Agent ...........................................................9-1 9.02 Recorded Powers of Attorney in Chain of Title ........................................................9-2 CHAPTER 10: TRUSTS 10-1 10.01 Powers of Trustee................................................................................................. 10-1 10.02 Recording of Trust Document ...............................................................................10 -1 10.03 Conveyances to Trusts, not Trustees....................................................................10 -3 10.04 Trustee’s Power of Sale Pursuant to a Testamentary Trust ..................................10 -3 10.05 Trust Established in Accordance with Testamentary Additions to Trust Statute .........................................................................................................10 -4 CHAPTER 11: CAPACITY TO CONVEY 11-1 11.01 Minority .................................................................................................................11 -1 viii BOARD DRAFT REV K (03-06-19) 11.02 Mental Capacity ..................................................................................................