Equitable Conversion

Question 1

Equitable Title presumes

Answer 1

Specific Performance - we close unless something prevents from closing such as unmarketable title

Question 2

The buyer is viewed in equity as the

Answer 2

owner. (which binds him to purchase the land later) from the date of the K (thus having “equitable title”); seller has claim for money secured by a vendor’s lien on the land and holds legal title as a trustee for the buyer.

Legal title passes at closing

Question 3

Legal title passes at

Answer 3

closing
and
seller has legal right to enforcement by specific performance, which is preferred over damages bc all land is unique

Question 4

Equitable Conversion Exceptions:
Must close UNLESS

Answer 4

1. Enforcement is not in accord with the intention of the parties regarding any material provision of the contract.
   a. i.e., rezoning laws prevents the very reason the buyer bought the land
   b. Both parties know this isn’t the reason
   c. Both parties fully aware of the intention from beginning.
2. Fraud or misrepresentation – e.g., the seller knew a material fact upon which he misled the buyer.
3. Application of the doctrine will produce inequitable results.