Escrow & Title

Pennsylvania's Uniform Fraudulent Transfer Act affects title searches because:

AIt requires all deeds to include a fraud warranty
BTransfers made to defraud creditors may be voided by courts, potentially affecting a subsequent buyer's title✓ Correct
CFraudulent transfers are automatically reported to PREC
DThe act requires PADEP environmental clearance on all transfers

Explanation

The Uniform Fraudulent Transfer Act (UFTA) allows creditors to void transfers made by debtors with intent to defraud or for inadequate consideration. A buyer who purchases from a seller who fraudulently transferred the property to avoid creditors may have their title challenged. Proper title search and notice analysis is essential.

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