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Does a deed need to be sealed?
There is no longer any requirement that the document should be sealed. The document must, however, make it clear 'on its face' that it is intended to be a deed, and it must be 'validly executed' by the person making it or the parties to it.
Does a deed have to be delivered to be valid?
One of the distinguishing factors about the execution of a deed as compared to a contract is that a deed must be delivered. Delivery fixes the date from which the executing party is bound by the deed, and once delivered, a deed is irrevocable in the absence of an express right of revocation.
Do deeds have to be recorded to be valid?
Although generally a deed does not have to be recorded to be a valid conveyance, there are practical reasons for recording a deed. Deeds usually do not take effect as to creditors and subsequent purchasers without notice until the instrument is recorded. The deed also must be accepted by the grantee.
Who must execute the deed to make it valid?
A deed must be executed by the granter(s) in presence of the prescribed number of witnesses set forth by the local jurisdiction. It must be delivered to (delivery) and accepted by the grantee (acceptance.)
What does delivery of a deed mean?
Delivering a deed means taking some action intended to make the deed effective presently. For example, the granter hasn't delivered a deed if he hands it to the grantee with the intent that the grantee deliver it to an escrow agent, who will keep the deed until the grantee finishes paying for the property.
What is an invalid deed?
If a deed is to have any validity, it must be made voluntarily. If FRAUD is committed by either the granter or grantee, a deed can be declared invalid. For example, a deed that is a forgery is completely ineffective. The exercise of UNDUE INFLUENCE also ordinarily serves to invalidate a deed.
Why use a deed instead of a contract?
The underlying theory is that a deed is intended to create a 'solemn promise' by one party to another, whereas a contract is more in the nature of a bargain between two parties. (Having said that, a deed is often used by businesses to exchange something of value in the same way as a contract).
What is the difference between a contract and a deed?
The underlying theory is that a deed is intended to create a 'solemn promise' by one party to another, whereas a contract is more in the nature of a bargain between two parties. (Having said that, a deed is often used by businesses to exchange something of value in the same way as a contract).
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