Ownership

Question 1

Mugaas V. Smith (Adverse Possession v. BFP)

Answer 1

P’s adverse possession prevails and does not fall under recording acts

Conveyance of title to a bona fide purchaser does not extinguish a claim of AP even when AP has not maintained continuous possession after the vesting of title (or else SOL would not work as a limitation)

Once title vests in P as an adverse possessor, it cannot be divested by any means other than those necessary to extinguish title established by deed

Question 2

Osin v Johnson (Constructive Trust)

Answer 2

When it comes to unrecorded morgage:

• (1) Was there a bona fide purchaser?
  
  • If yes, then BF creditor take the priority.
  • If there are multiple creditors, the secured creditor gets paid first (the person that gives the value and recorded the morgage)
• (2) If yes, then ask if there a constructive trust for equitable remedy (lender fradulently not recording and getting more creditors in)?
  
  • Even if constructive trust, only overtake bona fide creditor when the bona fide creditor did not act rely on it (Osin).
• ORDER: Secured C adding new value without notice and filed valid liens (same position with BFP) > Constructive Trust > BFP not relied on it > Judgment creditor

Question 3

In re Michaels Estate

J executed a deed conveying a farm to “H & B (married couple #1), tenants by the entireties and F & H (married couple #2), as tenants by the entireties with right of survivorship.”

Answer 3

All tenants hold jointly as TIC unless a clear intention to the contrary is shown

No explicit usage of “joint tenant” + usage of plural in “their heirs” rather than “his or her heirs” failed to overcome presumption of TIC

When vague, TIC wins!

Question 4

Palmer v Flint (strawman for granting to create JT)

Answer 4

The clear expression in a deed of the grantor’s intent to create a joint tenancy will supersede common law doctrine favoring the creation of some different form of estate.

Question 5

Harms v. Sprague (JT over lien)

Answer 5

A lien placed on one joint tenant’s interest in jointly held property does not destroy a joint tenancy.

HOWEVER, a joint tenancy may be destroyed when one of the tenants conveys his interest in the property to another, a different question is presented if the tenant merely encumbers his interest in the property.

Question 6

Duncan v Vassaur (JT, but wife killed husband)

Answer 6

Murder statute terminates the JT.