A title examiner in Howard County discovers that a deed in the chain of title was never acknowledged before a notary public before being recorded. Under Maryland law, what is the most significant legal consequence of this defect?
Correct Answer
A) The deed may be valid between the original parties but may not provide constructive notice to subsequent purchasers
Under Maryland law, a deed that is not properly acknowledged before a notary or other authorized officer may still be valid as between the grantor and grantee as a matter of contract, but it cannot be properly recorded to provide constructive notice. Md. Code Ann., Real Prop. §§ 4-101 et seq. requires acknowledgment as a prerequisite for recordation. A defectively acknowledged deed that is nonetheless recorded may not provide constructive notice, potentially exposing the grantee to claims by subsequent bona fide purchasers who record properly.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Condominium ownership involves owning a unit of airspace within a multi-unit building plus an undivided interest in the common elements shared with other unit owners. Each unit is separately taxed and financed.
In a cooperative (co-op), the building is owned by a corporation, and residents purchase shares of stock in the corporation that entitle them to a proprietary lease on a specific unit. Residents are shareholders, not property owners.
Fee simple absolute is the highest and most complete form of property ownership, giving the owner unrestricted rights to use, possess, enjoy, and dispose of the property. It is of unlimited duration and fully inheritable.
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