Escrow & TitleIntermediateAlaska Exam

The 'Torrens system' of title registration, which is available in some states, differs from the recording system used in Alaska because the Torrens system:

AIs less accurate than the recording system
BProvides a government certificate of title that is conclusive evidence of ownershipCorrect
COnly applies to commercial properties
DRequires title insurance for all transactions, though specifics can vary by situation

Why Provides a government certificate of title that is conclusive evidence of ownership Is Correct

Answer B: Provides a government certificate of title that is conclusive evidence of ownership

The Torrens system registers title with the government, which issues a certificate of title that is conclusive evidence of ownership. Alaska uses a recording system (not Torrens), where documents are indexed but the government does not guarantee title — buyers must conduct their own title search and obtain title insurance.

Exam Tip: Escrow & Title

Escrow questions test the neutral third-party role and the sequence of closing events. Remember that the escrow agent acts as a dual agent for both buyer and seller and cannot advocate for either side.

Key Escrow & Title Terms in This Question

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