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Nevada follows which recording system?

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Question & Answer

Review the question and all answer choices

A

Race-notice statute

Correct Answer
B

Pure race statute

A pure race statute would prioritize the first person to record their interest, regardless of notice or good faith. Nevada requires both recording and lack of notice, making pure race incorrect.

C

Pure notice statute

A pure notice statute would prioritize a subsequent purchaser who lacks notice of prior claims, even if they don't record first. Nevada requires both recording and lack of notice.

D

Torrens system

The Torrens system is a title registration system where the government maintains a record of ownership, not a recording statute. Nevada does not use this system.

Why is this correct?

Nevada follows a race-notice statute, which requires subsequent purchasers to both record their interest first and lack notice of prior claims to have priority. This balances protection of bona fide purchasers with the need for recording to establish priority.

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