Escrow & TitleIntermediateDelaware Exam

A special warranty deed in Delaware warrants that:

AThe grantor guarantees title against all defects in history
BThe grantor guarantees title only against defects arising during the grantor's ownershipCorrect
CThe grantor transfers only whatever interest they have without any warranty
DThe grantor warrants the property is free of environmental contamination

Why The grantor guarantees title only against defects arising during the grantor's ownership Is Correct

Answer B: The grantor guarantees title only against defects arising during the grantor's ownership

A special warranty deed guarantees title only against defects that arose during the grantor's period of ownership. It does not warrant against title defects that arose before the grantor owned the property.

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.

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