Contracts

In Hawaii, the seller's obligation to deliver 'marketable title' means:

ATitle that is free of all liens and encumbrances
BTitle that is reasonably free from doubt, litigation risk, or significant defects that a reasonable buyer would object to✓ Correct
CTitle guaranteed by the state government
DTitle insured by the seller at their cost

Explanation

Marketable title is title that is free from reasonable doubt as to its validity—one that a court would compel a buyer to accept. It need not be perfect but must be reasonably free from defects that could lead to litigation.

Related Hawaii Contracts Questions

Practice More Hawaii Real Estate Questions

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

Take the Free Hawaii Quiz →