Escrow & Title
A cloud on title in South Dakota refers to:
AA physical hazard like flooding that affects property value
BAny claim, lien, or encumbrance that may impair the owner's title✓ Correct
CA title insurance exclusion
DZoning restrictions on the property
Explanation
A cloud on title is any encumbrance, claim, or defect in the title documents that could impair clear ownership, making it difficult to sell or finance the property until resolved.
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