Escrow & Title
A 'cloud on title' refers to:
AEnvironmental contamination on the property
BAn outstanding claim or encumbrance that may impair the owner's title✓ Correct
CAn easement that benefits the property
DA zoning restriction on development
Explanation
A cloud on title is any outstanding claim, encumbrance, lien, or other defect that could affect the validity or marketability of the owner's title to a property.
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