Marcus owns a residential property on Maui that is registered in the Land Court system. He wants to sell the property to Priya. Which of the following statements correctly describes how title transfer works under Hawaii's Land Court system?
Correct Answer
B) Title is transferred by registering a new certificate of title with the Land Court, which provides a state-guaranteed title to Priya
Hawaii's Land Court system operates under the Torrens system of title registration. When Land Court-registered property is transferred, a new certificate of title is issued by the Land Court to the new owner (Priya). This certificate is a state-guaranteed title, meaning the government guarantees the accuracy of the ownership information. This is fundamentally different from the Regular System (Bureau of Conveyances), which is a recording system that does not guarantee title.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A freehold estate represents ownership of real property with an indefinite duration.
Joint tenancy is a form of co-ownership in which two or more persons hold equal, undivided interests in property with the right of survivorship. When one joint tenant dies, their interest automatically passes to the surviving joint tenants.
A leasehold estate grants the right to possess and use property for a defined period of time, without conferring ownership.
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