CHAPTER 9: TYPES OF LIENS

Question 1

___ lien- A lien on all of the property of a debtor.

____ lien- - A lien that attaches to one specific property only

Answer 1

General Lien

Specific Lien

Question 2

___ lien- - A lien imposed against property without consent of an owner; example
- taxes, special assessments, federal income tax liens, etc.

____- lien - Any lien placed on property with consent of, or as a result of, the voluntary
act of the owner.

Answer 2

Involuntary Lien

voluntary lien

Question 3

___ lien- A security interest in the title to property for the benefit of those who
have supplied labor or materials that improve the property

_____- A lien on property imposed by a court in order to achieve fairness,
particularly when someone has possession of property which he/she holds for another. judgement lien.

Answer 3

Mechanic’s Lien

Equitable Lien

Question 4

___ ____- A mortgage recorded subsequently to another mortgage on the same
property or made subordinate by agreement to a later- recorded mortgage.

Answer 4

Junior Mortgage

Question 5

___ of lien- The order in which liens are given legal precedence or preference.

Answer 5

Priority of Lien

Question 6

____- The process of placing a document on file with a designated public official for
public notice.

Answer 6

Recording

Question 7

____ - The make subject to, or junior or inferior to

Answer 7

Subordinate

Question 8

____ agreement- - An agreement by the holder of an encumbrance against real
property to permit that claim to take an inferior position to other encumbrances against
the property

Answer 8

Subordination Agreement

Question 9

___ ON ___- A claim, encumbrance or condition which impairs the title to real property
until disproved or eliminated as for example through a quitclaim deed or quiet title legal
action.

Answer 9

Cloud on Title

Question 10

___ OF TITLE - A written opinion by an attorney that ownership of a particular parcel
of land is as stated in the certificate.

Answer 10

Certificate of Title

Question 11

____ insurance- Insurance to protect a real property owner or lender up to a specified
amount against certain types of loses, e.g., defective or unmarketable title.

Answer 11

Title Insurance