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Feb 20, 2024





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Property Course – Found Property Concepts Disputes involving a more remote grantee. If one of the parties to the dispute is a more remote grantee in a chain of title originating from a common grantor, determine first if the more remote grantee independently qualifies as a BFP protected by the jurisdiction’s recording act under Part B above. If the more remote grantee does not independently qualify as a BFP, proceed. 1. Who did the more remote grantee get the title from? a. Title from a BFP: did the more remote grantee get title from a BFP who has superior title by virtue of the jurisdiction’s recording act? If yes, the shelter rule protects the more remote grantee’s title against the chain of a prior grantee in another chain of title stemming from a common grantor. i. Shelter Rule Protects Donees. The shelter rule protects a more remote grantee who is a donee. ii. Protects even a more remote grantee with notice of another’s claim. The more remote grantee’s title is protected under the shelter rule even if the more remote grantee has notice of a prior grantee’s competing claim. iii. Shelter rule extends down the chain of title from a BFP. b. Title acquired from the person with superior title under FTFR. If the more remote grantee acquired title from a grantee who is FTFR and who can defeat the claims of a later purchaser from a common grantor, then the more remote grantee acquired superior title directly from the grantee who has superior title and does not rely on the shelter rule.