Escrow & Title
In Texas, a 'restrictive covenant' that was imposed by a developer in 1955 and that prohibited sale of properties to persons of certain races is:
AStill legally enforceable if properly recorded
BUnenforceable and void under the Fair Housing Act (1968) and Shelley v. Kraemer (1948), though it may still appear in title chains✓ Correct
CAutomatically removed from county records by TREC
DEnforceable only by the original developer's heirs
Explanation
Racially restrictive covenants were common in Texas and throughout the nation but were made unenforceable by the Supreme Court's Shelley v. Kraemer decision (1948) and explicitly prohibited by the Fair Housing Act (1968). While they may still appear in old title documents, they are void and unenforceable. Texas law allows owners to record documents disavowing old discriminatory covenants.
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