Peter executes a deed to convey his property in Syracuse to his daughter Linda, but he asks Linda not to record the deed until after his death for tax planning purposes. Linda agrees and keeps the deed in her possession for two years without recording it. During this time, Peter sells the same property to an innocent purchaser, Carlos, who pays fair value and immediately records his deed. Under New York recording law, who has superior title?
Correct Answer
B) Carlos, because he was an innocent purchaser who recorded first
Under New York's recording statute, Carlos has superior title as a bona fide purchaser for value without notice who recorded first. New York follows a 'race-notice' recording system where a subsequent purchaser who takes without notice of the prior unrecorded deed and records first will prevail over the earlier grantee.
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