A California buyer purchases a property and discovers after closing that a mechanic's lien was filed against the property before the buyer's deed was recorded. The mechanic's lien was for work performed by a contractor hired by the previous owner. Under California's recording and lien priority rules, what determines whether the mechanic's lien has priority over the buyer's deed?
Correct Answer
C) The mechanic's lien relates back to the date when the work first commenced on the property, which may be before the buyer's deed was recorded
Under California Civil Code §8450, a mechanic's lien relates back to the date when the work of improvement commenced on the property, not the date the lien was recorded. This means that if the contractor began work before the buyer's deed was recorded, the mechanic's lien could have priority over the buyer's interest, even if the lien was filed after recording. This relation-back doctrine is a unique aspect of California mechanic's lien law.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A quitclaim deed transfers whatever interest the grantor may have in a property without making any warranties or guarantees about the quality of title. It offers the least protection to the grantee.
Recording is the act of placing a document in the public records at the county recorder's office to give constructive notice to the world of an interest in real property. Recording protects the holder's interest against subsequent claims.
A special warranty deed guarantees that the grantor has not caused any title defects during their period of ownership, but does not warrant against defects that existed before the grantor acquired the property.
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- → A buyer records a deed at the county recorder's office. What is the primary purpose of recording?
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