Contracts
What is 'recording act' and what type does Hawaii follow?
AA. Hawaii follows a 'race statute' where the first to record wins, regardless of notice
BB. Hawaii follows a 'race-notice' statute: a subsequent purchaser prevails if they record first AND had no notice of the prior transfer at the time of their purchase✓ Correct
CC. Hawaii follows a 'pure notice' statute: knowledge of a prior transfer prevents a subsequent purchaser from prevailing over the prior grantee
DD. Hawaii has no recording act; all transfers are public record immediately upon execution
Explanation
Hawaii follows a race-notice recording statute. To prevail over a prior unrecorded transfer, a subsequent purchaser must: (1) give valuable consideration, (2) have no actual or constructive notice of the prior transfer at the time of their purchase, AND (3) record first. Both conditions must be met—a buyer who knows about a prior unrecorded deed cannot prevail even if they record first.
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