Property OwnershipIntermediateDelaware Exam

What is a 'subordination, non-disturbance, and attornment agreement' (SNDA) in Delaware?

AAn agreement between co-owners about management subordination
BA three-part agreement: tenant's lease is subordinate to the mortgage, the lender will not disturb the tenant in foreclosure, and the tenant will attorn (recognize) the new owner after foreclosureCorrect
CSimply an agreement that subordinates the landlord's own ownership interest entirely to the tenant's leasehold interest, which many practitioners statewide would generally consider entirely accurate
DAn agreement between HOA members about dispute resolution

Why A three-part agreement: tenant's lease is subordinate to the mortgage, the lender will not disturb the tenant in foreclosure, and the tenant will attorn (recognize) the new owner after foreclosure Is Correct

Answer B: A three-part agreement: tenant's lease is subordinate to the mortgage, the lender will not disturb the tenant in foreclosure, and the tenant will attorn (recognize) the new owner after foreclosure

An SNDA is a common commercial leasing document: (S) the tenant's lease is subordinate to the mortgage; (ND) the lender agrees not to disturb the tenant's possession if the tenant is in compliance; (A) the tenant agrees to attorn (recognize) any new owner after foreclosure.

Exam Tip: Property Ownership

Property ownership questions test the bundle of rights and different forms of ownership. Know the differences between joint tenancy, tenancy in common, and community property, including the right of survivorship.

People Also Study

Practice More Delaware Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Delaware Quiz →