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Subject Topic: Notice vs. Race Notice (Topic Closed Topic Closed) Post ReplyPost New Topic
  
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MetsFan5
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Posted: 30 Dec 2009 at 14:15 | IP Logged  

Hi all,

I'm having trouble delineating between these two jurisdictions. I know that a straight up Race Jurisdiction is a free for all where the first to record wins... but the becker book is a little hazy as to the difference between notice and race notice.

Can anyone put it into regular terms that are understandable? Thanks!



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goldengold
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Posted: 30 Dec 2009 at 14:19 | IP Logged  

MetsFan5 wrote:

Hi all,

I'm having trouble delineating between these two jurisdictions. I know that a straight up Race Jurisdiction is a free for all where the first to record wins... but the becker book is a little hazy as to the difference between notice and race notice.

Can anyone put it into regular terms that are understandable? Thanks!


Notice: Subsequent BFP (bona fide  purchaser) prevails over a prior grantee who fails to record

Race-notice: subsequent BFP is protected only if she or he records before prior grantee records and has no notice of a prior record
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chicago.cpa
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Posted: 30 Dec 2009 at 16:26 | IP Logged  

From what I understand, Race is the first to record wins.  It doesn't matter if any parties had no notice or etc.

Race-Notice is the first to record wins.. unless that party had notice of prior transfers.  If that party had notice, the second party to record will win.  So the difference is that in Race, having or not having notice doesn't matter.  For a Race-Notice statute, it's the first party who records AND doesn't have notice.  Hopefully that helps.



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chicago.cpa
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Posted: 30 Dec 2009 at 16:31 | IP Logged  

Oops sorry read your question wrong -

a notice statute is simply the last purchasor or mortgagee that takes without notice will win, whether they record or not.  So if someone recorded before them, that second purchasor would NOT win since he had notice or that prior purchase through recordation. 



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FAR: Oct 09 - 82!
AUD: Nov 09 - 87!
REG: Jan 10
Ethics: Passed
Becker 2009
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phil 4:13
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MetsFan5
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Posted: 31 Dec 2009 at 11:38 | IP Logged  

That clears it up somewhat, they're just too similar, I hope I don't get a question on it. Thanks for the help.

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