Escrow & Title
In Rhode Island, which of the following best describes a 'cloud on title'?
AA warranty by the grantor against future claims
BAn outstanding claim or encumbrance that affects the clarity of title✓ Correct
CA type of title insurance policy
DThe abstract of title summary
Explanation
A cloud on title refers to any outstanding claim, lien, encumbrance, or other condition that affects the clarity or marketability of title, such as an unresolved judgment, old mortgage, or disputed boundary.
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