Under BC's Land Title Act, what is the distinction between 'immediate indefeasibility' and 'deferred indefeasibility,' and which does BC follow?
Correct Answer
B) BC follows immediate indefeasibility: registration gives indefeasible title even if the transferor's title was obtained by fraud
BC follows the doctrine of immediate indefeasibility as confirmed in Creelman v. Hudson Bay Insurance Co. and reinforced by the Land Title Act. This means a bona fide purchaser for value who registers title obtains indefeasible title immediately upon registration, even if the previous transfer was void due to fraud — provided the current registered owner did not participate in the fraud.
Why This Is the Correct Answer
Option B is correct because BC follows the doctrine of immediate indefeasibility, as confirmed by case law including Creelman v. Hudson Bay Insurance Co. Under this doctrine, a registered owner obtains indefeasible title immediately upon registration, even if the transferor's title was obtained through fraud — provided the current owner did not personally participate in the fraud. This provides the strongest possible protection for innocent purchasers.
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