A Michigan real estate agent is explaining deed warranties to a client. Which of the following statements about a special warranty deed in Michigan is NOT accurate?
Correct Answer
C) It provides the buyer with no recourse against the grantor for any title defects whatsoever
The statement that a special warranty deed provides 'no recourse against the grantor for any title defects whatsoever' is NOT accurate. A special warranty deed does provide the buyer with recourse against the grantor — but only for title defects or claims that arose during the grantor's period of ownership. If the grantor created or allowed a defect during their ownership, the buyer can hold the grantor liable under the limited warranty. It is a quitclaim deed, not a special warranty deed, that provides absolutely no recourse against the grantor.
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