Escrow & Title
A title company discovers a 'gap' in the chain of title. This means:
AThe property has no recorded liens
BThere is a missing link in the recorded ownership history where it is unclear how title passed from one owner to the next✓ Correct
CThe property is not insurable under any circumstances
DThe legal description of the property is incorrect
Explanation
A gap in the chain of title occurs when there is a period in the ownership history where it is unclear how title passed from one recorded owner to another — a deed or other instrument may be missing from the public record. This creates a cloud on title that must be resolved, often through a quiet title action or a quitclaim deed from the missing link's heirs.
Related California Escrow & Title Questions
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