Escrow & Title
A 'cloud on title' refers to:
AA title held by a corporation
BAny claim or encumbrance that may impair the owner's title✓ Correct
CA title recorded electronically
DA title with multiple owners
Explanation
A cloud on title is any outstanding claim, lien, or encumbrance that could affect or challenge the owner's clear title to a property. It must be resolved before a clean sale.
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