Escrow & Title
In Massachusetts, 'constructive notice' regarding an encumbrance on a property means:
AThe buyer was personally informed of the encumbrance by the seller
BThe encumbrance is recorded in public records and all parties are legally deemed to know about it✓ Correct
CThe encumbrance is disclosed only to the buyer's attorney
DThe buyer physically discovered the encumbrance during an inspection
Explanation
Constructive notice means that because a document is recorded in the public record, all parties dealing with the property are legally presumed to know of its existence, whether or not they actually searched the records.
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