UBE Question of the Day
Bar Exam Multiple Choice Questions
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Today's Question:
On October 1, the owner of lot A entered into a written purchase and sale agreement to sell it to an investor for $200,000. A closing was scheduled for November 2. On October 25, about a week prior to closing, the investor sold lot A to a client for $210,000, and gave the client a warranty deed which the client promptly recorded. At the November 2 closing, the owner transferred a deed proper in form to the investor, which deed the investor promptly recorded. Which of the following is the most accurate statement?
(A) The investor is the legal owner of lot A, and the client has a claim for breach of warranty.
(B) The investor is the legal owner of lot A, and the client has a right to rescind the transaction.
(C) The client is the owner of lot A because of the doctrine of estoppel by deed.
(D) The client is the owner of lot A because the investor was the equitable owner at the time the deed was conveyed.
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