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566 Cards in this Set
- Front
- Back
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Abatement |
An action to remove a nuisance |
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Abstract of Judgement |
A statement from the court of the judgement. When recorded, it becomes a general lien on all of the debtor's property in the county where recorded |
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Abstract of title |
A copy of all recorded documents dealing with a property. Attorneys give title opinions based on abstracts |
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Acceleration upon default |
All payments become due upon default of any payment. For trust deeds and mortgages in California, the debtor still can cure the default prior to foreclosure or sale by getting payments caught up and paying the costs. |
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Accretion |
The gradual buildup of land by natural causes (generally by action of water) |
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Acknowledgement |
A statement made before a notary or court officer that the signing of a document was the signer's own free act |
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Actual Notice |
Notice that has been expressly given and is known to a party |
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Ademption |
The revocation of a specific property grant in a will by disposing of said property prior to death |
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Administrative Agency |
A government agency that makes rules and regulations to carry out the law |
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Administrative Procedure Act |
A procedural act that must be complied with prior to revocation, suspension, or denial of a real estate license. |
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Administrator |
A person appointed by the court to administer the estate of a deceased person |
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Ad valorem taxes |
Taxes based on value, such as property taxes |
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Advance costs |
Advance payments made to an agent to cover expect cash outlays in carrying out the agency |
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Advance Fee |
A fee for rental information accepted in advance, or a promotional fee for a sale listing |
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Advance fee addendum |
An agreement specifying activities for which the agent is to be compensated. It would include a provision for an advance payment of fees |
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Adverse Possession |
A method to acquire title. It requires 5-year, open, notorious, uninterrupted use under some claim of right and the payment of taxes |
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Aesthetic zoning |
Zoning for beauty. (Aesthetic zoning can be used for architectural styles and colors and regulate signs, etc.) |
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Affirmation |
A formal declaration of the truthfulness of a statement, given in lieu of a verification |
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Affirmative covenant |
A covenant under which an owner is require to do something, such as build within a period of time |
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Affirmative easement |
Easement that gives the dominant tenement owner the right to use the servient tenement |
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After-acquired title |
Title or interest acquired by the grantor after property has been conveyed |
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Agency |
Legal relationship under which an agent represents another (a principal) in dealings with third parties |
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Agency by estoppel |
An agency created when a principal's conduct led another to believe in the existence of the agency and thereby act to his or her detriment |
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Agency by ratification |
An agency created by a principal's approving an unauthorized act of another |
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Agency coupled with an interest |
Agency in which an agent has a financial interest int he subject matter of the agency |
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Agent |
One who represents another in an agency relationship |
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Alquist-Priolo Special Studies Zone Act |
Provides for project approval in close proximity to earth-quake faults, as well as disclosure to buyers |
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Alteration |
A change made to a note or contract by one of the parties without the consent of the other |
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Amendments to the escrow instructions |
changes in the escrow instructions, which require the agreement of the buyer & seller |
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American Land Title Association (ALTA) |
The association that developed an extended-coverage policy of title insurance for lenders (same coverage available to buyers) |
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Americans with Disabilities Act |
Prohibits discrimination in a place of public accommodation based on an individual's physical or mental disabilities. |
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Amortized note |
A note that will liquidate itself over its term in equal installments |
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Annual percentage yield |
Annual yield on investments considering the compounding of interest earned |
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Antimerger Clause |
A clause in a mortgage or trust deed that the senior lienholder will retain lien priority in the event of a merger |
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Anticipatory Breach |
Act of a party that can be treated as a breach of contract because it makes performance by that party impossible |
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Appurtenance |
Something that belongs to and goes with the property (examples are structure and easement rights) |
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Arbitration |
Nonjudicial process for resolution of disputes either by agreement or mandated by law |
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Article 5 |
Part of the Business and Professions Code governing transactions in trust deeds and real property sales contracts |
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Article 7 |
Part of the Business and Professions Code covering loan costs, commissions, and payment requirements relating to loan brokerage activity |
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"as is" |
A phrase used in sale contracts by sellers as an attempt to limit liability for the condition of the premises (not generally valid when applied to latent defects known by the seller but not disclosed to the buyer) |
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Assignment |
Transfer of all interest in a contract of lease |
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Assignment of contract |
Transfer of all rights under a contract to a third party. Assignor remains secondary liability. |
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Assignment of lease |
the transfer of all rights under a lease by a lessee to a third party, who becomes a tenant of the lessor. The assignee is primarily liable under the lease, while the assignor has secondary liability |
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Assignment of rent |
Owner assigns right to collect rent to another. Usually given to a lienholder when owner is delinquent in loan payments |
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Assumable loan |
A loan that can be taken over (assumed) buy a purchaser. Such a loan would not have to due on sale clause |
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Attachment |
Judgment lien that can be obtained to ensure the availability of property for execution after a judgment is obtained
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Attorney-in-fact
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Person appointed as an agent under power of attorney
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Attractive nuisance doctrine
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Has a duty to reasonably protect children the premises are likely to attract children
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Avulsion
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The sudden removal of land by action of water such as a river changing its course
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Bait and switch
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Illegal practice of advertising where a seller will not sell an item at a price advertised or does not have the item to sell in order to bring any buyers for other items
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Balloon payment
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A final payment that is more than twice the amount of the lowest
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Bankruptcy
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Federal proceedings to declare a debtor bankrupt. Debtor is released from unsecured obligations (secured obligations when security is given up)
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Beneficiary
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Lender (or seller) and a trustee loan situation
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Beneficiary statement
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Statement by beneficiary as to balance due on
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Bequest
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Personal property transferred by will
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Bilateral contract
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Mutual exchange of promises; a promise given for a promise
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Blanket encumbrance
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Mortgage or trust deed covering more than one property
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Blind ad |
An advertisement that fails to reveal that the advertiser agent and not a principle |
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Blockbusting
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Inducing panic selling based on fear of the country of persons another race, color, religion, or ancestry into the area
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Breach of contract |
Failure to comply with a material term or provision of a contract |
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Broker |
Licensed real estate agent who can deal directIy with principals and employ licensed real estate salespersons |
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Brokers loan statement
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A disclosure statement given to borrowers by mortgage loan brokers that provides information on all costs, fees, and loan terms
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Bulk sales act
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And act that requires recording and publication of a sale not in the normal course of business
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Bulk zoning
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Zoning for density with open space requirements as well as setback, parking, and height restrictions
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Bundle of rights
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All beneficial rights that go with ownership of real property
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Burden of proof
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The party required to prove a fact when an issue is in dispute
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Business opportunity
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The business including fixtures, stock in trade, and goodwill
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Buyer listing
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Agreement whereby a buyer agrees to pay a commission if the broker locates a property the buyer purchases
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California environmental quality act
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Law that allows local government to require environmental impact reports and allows private citizens to challenge a project if they feel proper procedures were not taken or a report is not complete
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California fair employment and housing opportunity act
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California's fair housing act known as the Rumford act
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California housing financial discrimination act of 1977 (Holden Act)
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California act prohibiting under discrimination for any reason unrelated to the credit of the loan applicant
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Carryback financing
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Financing where the seller is financing the buyer
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Cartwright Act
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California's antitrust act
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Caveat emptor (Let the buyer beware)
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Former rule of law the buyer was responsible for determining condition of item purchased. It has been suspended by disclosure requirements and anti-fraud legislation
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CERCLA
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Federal Comprehensive Environmental Response, Compensation and Liability Act dealing with liability of owners, prior owners and polluters of property for cleanup costs
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certificate of sale |
Certificate issued to purchaser at sheriff sale. (The sheriff's deed is given at the expiration of the redemption period.)
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Cessation of work
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A period Of 60 days without any work being conducted
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Chattels
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Items of personal property
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Chattels real
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A personal property interest in real property, such as a leasehold interest, trust deed, or mortgage.
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Chose in action
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A right to demand money or personal property through legal action such as a promissory note
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Civil law
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System of law codified by statutes
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Civil rights act of 1866
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And act providing that every citizen shall have the same rights as white citizens to inherit, purchase, lease, sell, or hold real and personal property
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Civil Rights Act of 1968
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Title VIII of this act is known as the federal fair housing act the act prohibits discrimination housing with few exceptions
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Clean hands doctrine
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A person in violation of an agreement will not be able to enforce compliance on another(applies to covenants, conditions, and restrictions)
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Closing
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The final performance a real estate transaction where title transferred and consideration is given
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Coastal zone conservation act
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Law that requires permit or exemption to develop land within a coastal zone
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Codicil
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An addition or supplement that explains, modifies, or revokes a will or part of one
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Color of title
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An appearance of having titles without necessarily having any legal interest
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Commercial frustration
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Performance that is not impossible but is impractical because of unforeseen occurrence the nonoccurrence of the actual event was considered an implied condition the contract, which allows relief from the contractual obligations
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Commingling
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Failure to properly separate property of the agent from property of the principle
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Common elements
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Jointly own areas a common interest development for use of all owners
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Common interest subdivision
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Subdivision where areas are owned in common with other owners for mutual use
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Common law
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Law that has evolved based on precedent rather than statutes
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Community apartment project
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Apartment building owned by the tenants in tenancy in common with each other having the right to occupy a unit
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Community property
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Property acquired during marriage that is considered, as a matter of law, to be owned equally by the spouses
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Community property with right of survivorship
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Community property where neither spouse can separately will their portions of the community property to another
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Compensatory damages
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On cherry damages to reimburse an injured party for a sustained loss
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Competent parties
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Parties having the legal and mental capacity to contract
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Comprehensive zoning
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A broad plan of zoning over a large area
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Concurrent estates
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More than one estate interest in a property at the same time (such as a leasehold estate in a fee simple ownership)
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Conditional public report
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An interim report that allows us a divider to enter a binding contract prior to issuance of a public report
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Conditional use permit
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A change in the zoning granted for the best interest of the community, where the zoning contemplated the use based on approval
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Condition precedent
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A condition that must take place before the state is granted provisions in a title that, if breached, could result in forfeiture
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Condition subsequent
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Condition that, if it occurs, results in the reversion of the state to another
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Condominium
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Separate ownership of the airspace of the unit and common ownership of land and common areas
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Condominium conversion
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A conversion of the property(generally an apartment building) to condominiums
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Consideration
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Value that is given for the promise of another
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constitutional law |
Laws set forth in federal and state constitutions
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Constructive eviction
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And act to the landlord that would be inconsistent with the quiet enjoyment of the tenant for the implied covenant of habitability. The tenant can treat the action of the landlord is being equivalent to addiction may vacate the premises and be relieved of all future obligations
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Constructive notice
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Notice imputed by law although not necessarily actually known (recording, as well as possession by another provides constructive notice to a purchaser of other interests)
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Contingent remainder
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The remainder interest that is not certain but requires something to happen
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Continuation statement
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A statement that when filed continues a financing statement for an additional five years
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Contract
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An enforceable agreement
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Contract of Adhesion
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A "take it or leave it" contract that takes unreasonable advantage of the party who did not prepare the instrument
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Controlled business arrangement |
Businesses that are owned or controlled by real estate brokers that the broker refer buyers and sellers to (RESPA requires disclosure) |
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Cooperating broker fee agreement
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Agreements between brokers as to the commission split should a cooperating broker sell a property listed by the listing broker
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Corporation
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A separate legal entity established under state law. An artificial person
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Corporation license
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Real estate license held by a broker in a corporate capacity as an officer of the corporation
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Coasta-Hawkins rental housing act
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Act that allows a new base rent for rent control property upon change of tenants
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Court of appeal (California)
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Primarily appellate jurisdiction from Superior Court
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Court of Appeals (federal)
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Appellate jurisdiction from the District Courts
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Covenants
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Promises, the breach of which could entitle another party to damages
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Covenants, conditions, and restrictions (CC&Rs)
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Private restrictions created by grantors that run with the land |
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Cumulative zoning
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Zoning that allows more restrictive uses. For example, a lot zone for a duplex would allow a single-family residence if the zoning work commute
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Customary Authority |
Authority by virtue of an agents position |
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Declaration of homestead |
Recorded, this declaration provides the homeowner statutory exception from execution by unsecured creditors
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Declaration of restrictions
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Declaration recorded by a sub divider and Incorporated by reference in every deed
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Declaratory relief action
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An action to have a court determine the rights of parties
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Dedication |
the transfer of real property to a public entity without consideration |
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Deed |
The transfer instrument for real property |
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Deed in lieu of foreclosure
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A deed given by the debtor to his or her creditor to avoid foreclosure
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Deed of reconveyance
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Deed from the trustee to the trustor that is given when the note is paid in full. It returns the title to the trustor
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Defeasance clause
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Because that cancels the lien on payment of the note
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Defeasible estate
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Estate that can be defeated by some future happening (condition subsequent)
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Deficiency Judgement |
In judgment given to a creditor when a foreclosure sale is for less than the amount owed (judgment is for deficiency amount)
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Delivery
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The actual transfer of an interest. Delivery requires the intent to make an irrevocable transfer
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Demise
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A transfer of a leasehold interest
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Demurrer |
An answer to a complaint stating that even if the alleged facts are as stated, there is no cause of action
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Department of real estate
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Administers the California real estate law (part of the business, tansportation, and housing agency)
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Devise
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The transfer of real property by will
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District court |
Federal court of original jurisdiction |
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Divisible contract
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A contract consisting of separate agreements that are not dependent on each other
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Division fence
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Defense on a boundary line
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Doctrine of agreed boundaries
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Parties can agree to boundaries they're binding on successors after being accepted by the parties for five years
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Domestic corporation
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Corporation organized in California under California law
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Dominant tenement
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The estate having an easement right over land of another
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Double taxation
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Corporate tech station whereby first corporate profits and then stockholders' dividends are taxed
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Downzoning
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A change in zoning to a more restrictive use
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Dragnet clause
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A clause in a trust deed that allows future advance to take precedence over intervening liens
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Dual Agency |
An agency situation in which the agent represents more than one party to the transaction |
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Due car |
Reasonable (non-negligent) care |
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Due diligence
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A Proper good-faith effort to perform or investigate
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Due-on-encumbrance clause
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Because it makes the loan balance all due and payable should the owner put another encumbrance on the property
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Due-on-sale clause (alienation clause)
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Because that makes the entire loan balance due when the property is sold. A loan having a due-on-sale clause cannot be assumed
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Duress
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Force or confinement that makes a contract voidable
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Easement
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A right the owner of one property has the land of another
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Easement by eminent domain
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And easement that is taken for a public purpose under the power of eminent doman
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Easement by estoppel
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An easement created when a person's words or actions led another to believe in the existence of the easement. If, in relying on those words or actions, the easement user acted to his or her detriment, the party will be a stopped from denying existence of the easement
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Easement by necessity |
An easement that may be granted by the court no other access to property exists in the easement is necessary for reasonable use of the property
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Easement by prescription
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And easement obtained through five years' continuous, open, notorious, and also use a property under a claim of right
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Easement in gross |
An easement that is not appurtenant to land. It is Personal in nature, and there is no dominant tenement |
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Education, Research, and Recovery Allocation |
A fund maintained by 20 percent of license fees; 12 percent of the fund goes into a Recovery Account, and 8 percent goes into the Educations and Research Account |
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Elder abuse law |
Requires that realty agents and escrow holders report elder financial abuse, or undue influence |
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Emancipated minor |
A minor who is allowed to contract (in military service, declared emancipated by a court, married, or formerly married) |
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Emblements |
the right of a tenant to harvest the annual crops that were the fruit of his or her labor. This right extends beyond the expiration of a lease |
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Eminent domain |
Power of the government to take private property for the public good. Consideration must be given for the property
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employee
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One who works under the direction and supervision an employer
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Enabling legislation
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Legislation that gives cities and countries the right to enact zoning
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Encroachment
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Intrusion into, over, or under the land of another
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Endangered Species |
Federal legislation limiting development when it will have a negative effect on endangered species
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Endangered species act (ESA
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Federal act that can limit or prohibit development redevelopment adversely affects a species designated as endangered |
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Environmental impact report (EIR)
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A report that can be required under the California Environmental Quality Act when projects may have a significant impact on the environment |
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Environmental impact statement
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Statement required under the National Environmental Policy Act when a federal project will affect the environment significantly
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Equal credit opportunity act |
A federal act prohibiting credit discrimination because of sex, marital status, age, race, religion, or national origin, or because the credit application is receiving welfare
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Equal dignities rule
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If an agency act must be in writing, the agency authority to perform the act also must be in writing
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Equal housing opportunity poster
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Failure of a broker to post this HUD notice shifts the burden of proof to the broker as to a discrimination complaint
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Escheat
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A reversion of property to the state when a person dies without a will or heirs |
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Escrows
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Neutral depositories to carry out the closing functions of a real estate transaction
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Escrow instructions
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Instructions given to the escrow agent by the buyer and seller
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Estate
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Any interest in property
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Estoppel
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The legal doctrine the person cannot raise a right for defense after their words or actions to the contrary let another party act to their detriment
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Ethics |
Morals. The golden rule is considered to be the test of whether an act is ethical |
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Eviction |
Removal of a tenant by action of law |
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Exception in a deed |
Exclusion of part of the property from a grant
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Exclusionary zoning
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Zoning that excludes states uses, such as adult entertainment
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Exclusive-Agency Licsting |
A listing whereby the owner can sell the property personally without paying a commission but if it is sold by any agent the listing agent is entitled to a commission
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Exclusive authorization and right – to – sell listing
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And listing whereby the agent is entitled to a commission no matter who sells the property, including the owner
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Exculpatory clauses
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Clauses in an agreement that purport to relieve a party of all obligation for his or her ask, or failure to act
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Executed contract
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The contract that has been fully performed
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Execution
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The signing of an instrument
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Executor
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Party appointed by testator to administer their estate
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Executory contract
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A contract that has yet to be performed fully
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Exemplary damages (punitive damages) |
Monetary damages to punish or make an example of the wrongdoer for willful, wrongful conduct |
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Fictitious name statute |
Provides procedure for filing and advertising a fictitious name. When the statute is complied with, the firm can sue and defend a suit under the fictitious name |
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Fictitious trust deed |
A trust deed that is recorded for the sole purpose of being referenced in other trust deeds to incorporate its terms |
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Fiduciary duty |
The duty of trust and confidence |
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Final map |
Under the subdivision map act, the final map is recorded when local approval has been obtained |
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Financing statement |
A statement that when filed with the Secretary of State becomes a lien on personal property for five years |
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Finders fee |
A fee paid to a non-licensee for introducing a party |
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Fixtures |
Items of personal property that have become so attached to Realty as to become real property |
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Foreclosure |
Procedure to bar all rights of a debtor in property |
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Foreign corporation |
A corporation organized in a state other than California |
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Forfeiture |
Loss of a right as punishment for an act or nonperformance of an act |
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Express agency |
An agency agreement that is stated verbally or in writing |
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Four-by-fouring |
The illegal attempt to avoid the subdivided lands law by breaking a parcel into four parcels and having the grantees again break each parcel into four parcels |
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Franchise |
The right to engage in a business under a common marketing plan |
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Franchise investment law |
A disclosure law administered by the corporation commissioner to protect prospective purchasers of franchises |
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Fraud |
An act or omission for the purpose of deceiving another |
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Freehold estates |
Fee simple or life estates |
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Fructus Industriales |
Crops produced by labor and industry |
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Fructus Naturales |
Products of the land produced by nature alone |
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Garn Act |
Allowed lenders to enforce due on sale clauses |
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General Lien |
A lien against all of the property of the debtor rather than specific property |
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General partner |
A partner with management responsibility and unlimited liability |
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Express authority |
The stated authority of an agent (written or verbal) |
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General plan |
Every city and county is required to develop a general plan of comprehensive zoning for the area |
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Gift deed |
ADD given for love and affection |
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Good faith |
Conscientious and honest behavior |
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Good faith estimate |
Realistic estimate of closing costs by lender. required by RESPA |
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Good – faith improver |
An improver acting honestly under a mistake of fact or law who makes improvements to the land of another |
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Grandfather clause |
A provision that exempts present users from a requirement, such as zoning, and allows existing nonconforming uses |
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Grant deed |
Most common deed used in California to convey title. The grant deed warrants the seller has not conveyed title previously and the grantor knows of nothing against the property that has not been disclosed |
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Granting clause |
The words of conveyance in a deed |
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Grantor-grantee index |
The index of a county recorder that is kept by grantor and grantee names alphabetically |
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Group boycott |
An agreement not to do business with a particular party or group (Sherman act violation) |
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Express contract |
A contract in which the terms have been stated either verbally or in writing |
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Habitability |
Reasonably fit for human habitation |
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Historical designations |
Buildings that have federal or state historical designations; could be limited as to alterations and/or removal |
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Hold harmless clauses |
Clauses that report to relieve a person of liability for his or her actions |
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Extended – coverage policy of title insurance |
A policy that includes coverage for rights of parties in position and claims that a survey would have revealed, as well as other risks |
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Fair credit reporting act |
Provides consumer rights as to knowledge of, and correction to, credit reports |
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Fair housing amendment act of 1988 |
Extends the civil rights act of 1968 to include disability and familial status |
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Fee simple |
Highest possible degree of ownership in real property |
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Federal personal responsibility and work opportunity act |
Act that denies government benefits to illegal immigrants |
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Fictitious name |
A name that does not include the surname of every principle in an enterprise |
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Holder |
Person having legal position of a negotiable instrument |
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Holder |
Person having legal position of a negotiable instrument |
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Holder in due course |
The purchaser of a negotiable instrument for value before it's due date when the instrument appears proper on its face and the purchaser has no notice of any prior dishonor, defenses of the maker, or defects in title of the transferor |
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Holdover tenant |
A tenant who remains in possession after the end of a tendency for years or after having given notice to vacate |
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Holdover tenant |
A tenant who remains in possession after the end of a tendency for years or after having given notice to vacate |
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Holographic will |
A will that is hand written and signed by the testator |
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Holdover tenant |
A tenant who remains in possession after the end of a tendency for years or after having given notice to vacate |
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Holographic will |
A will that is hand written and signed by the testator |
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Homeowner Association (HOA) |
Governing association is an owner is required for common interest subdivision |
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Homestead |
The residential property for which an owner has recorded it declaration of Homestead |
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Homestead exemption |
The amount of homestead protection from unsecured creditors. It is $50,000 for single person's, $70,000 for family units, and $150,000 for persons over 65 years of age and persons with physical or mental disabilities unable to work |
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hypothicate |
To use property as security for a loan without giving up posession
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Illusory contract
|
Apparent contract that is no contract at all because parties have not agreed to be bound
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Implied agency
|
And agency created by the conduct of the parties rather than express agreement
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Implied authority
|
Understood (not express) authority that is reasonably necessary to carry out the agency
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Implied contract
|
The contract not expressly agreed to put understood by the parties
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Implied dedication
|
And implied donation of the property to the government that could result from allowing open government use of private property for five years
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Implied easement
|
An easement intended it but not expressly provided for
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Implied warranty
|
Warranty understood but not stated. For residential leases, the implied warranties are quiet possession and habitability
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Imossibility of performance
|
When required performance is impossible, the contract will be considered void
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Impound account
|
And account kept by a lender for taxes and insurance (included in borrower's payments)
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Incentive zoning |
Zoning that offers an incentive to developers, such as allowing retail stores on the street level in an area zoned for offices |
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Inclusionary zoning |
Zoning that requires developer to include some element, such as a percentage of units for low income houseing |
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Independent contractor |
The contractor employed the completion of the task was not under the supervision or control of his or her employer
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Injunction
|
A court order to desist from some activity
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Installment note |
A note that is paid off according to an installment payment schedule |
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Interim occupancy agreement |
An agreement that allows the buyer to take possession as a tenant prior to the close of escrow |
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Intermediate theory (mortgage) |
Mortgage in which title remains with the mortgagor but automatically transfers to mortgagee in the event the mortgagor defaults
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Interpleader action
|
And action brought by a third-party (escrow or broker) when two or more parties claiming property or money held by the third party. The action forces the parties to litigate the rights
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Interstate Land Sales Full Disclosure Act |
A disclosure act for subdivisions of 25 or more unimproved residential lots offered for sale in interstate commerce |
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Intestate succession |
The succession of property to the heirs is when the deceased died without a will
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Inverse condemnation
|
A situation in which the owner is the plantiff against the government, who is charged with taking of property without compensation (5th Amendment violation)
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Involuntary liens |
Liens places against property by creditors, such as judgements, as opposed to those voluntarily place against the property by owners |
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Joint tenancy |
Undivided ownership by two or more persons with the right of survivorship |
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Joint ventures |
Partnerships for particular ventures rather than continuing businesses |
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Judgement |
order of a court as to amount due to plantiff |
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Judgement lien |
A general lien against all property of the debtor in the county where the abstract of judgement is recorded |
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Junior lien |
A lien recorded later in time than another lien (senior lien) |
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Jurisdiction |
the authority of a court to adjudicate a type of lawsuit |
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Laches |
Loss of rights because the delay in enforcing them now makes enforcement inequitable |
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Late charges |
A lender charge for a late payment |
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Latent defects
|
Defects that are not apparent by visually checking the property |
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Lateral support |
Right of a property owner to have his or her property supported by the adjacent properties |
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Law |
Enforceable rules that govern conduct |
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Lease |
A tenancy agreement between a landlord (lessor) and tenant (lessee) |
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Leasehold |
A lease estate in realty |
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Lease option |
A lease whereby the lessee has an option to purchase (or extend the lease) |
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Legacy |
Money that is transferred by will |
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Legal Capacity |
Being of legal age |
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License |
A revocable privilege to use the land of another |
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Lien |
An encumbrance against real property that can be foreclosed |
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Lien theory (mortgage) |
Theory in California that a mortgage conveys lien rights and not title to the mortgagee |
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Life estates |
Estates conveyed for the life spans of particular persons |
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Limited common elements |
Common areas in a common interest development that are designated for exclusive use of particular owners |
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Limited Liability |
Liability limited to the extent of a person's investment |
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Limited Liability Company |
A company of one or more principals without personal liability for company actions |
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Limited partnerships |
Partnerships having partners who are not active and whose liability is limited to the extent of their investment (limited partners) |
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Limited Partnership Act |
That part of the corporation code that provides for limited partnerships |
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Liquidated Damages |
Damages agreed to, prior to a contractual breach, as the remedy in the event of a default |
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Lis Pendens |
A notice of a pending lawsuit in which an interest in real property is involved |
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Littoral Rights |
Rights of a landowner to reasonable use of water from lakes, seas, or oceans (nonflowing water) bordering his or her property |
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Livery of seisin |
Early English ceremony of transfer of title by delivery of a symbol of title, such as a key or clod of earth |
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Loan Broker (mortgage loan broker) |
A broker who solicits borrowers investors for loans secured by real estate |
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Loan broker listing
|
A loan broker's contract with a buyer to obtain a loan
|
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Lockbox authorization
|
And owners authorization that allows the broker to install a lock box. Includes a warning of danger and recommends the valuables be removed and insurance coverage be considered
|
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Lock-in clause
|
A loan prohibiting payment so that the borrower is locked into all of the interest should he or she wish to repay
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Marketable title
|
A defensible title that a reasonably prudent purchaser would except
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Master lease
|
The original lease between the lessor and lessee when the lessee subleases the premises
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Maxims of jurisprudence |
Rules of common law that have been codified into the California Civil Code |
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Mechanic's liens
|
Statutory liens playing provers of property for labor, material, and equipment
|
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Mediation
|
A nonjudicial process for resolving disputes in which third-party mediator works with the parties to reach an agreement
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Megan's Law
|
In law requiring public availability of location of sex offenders
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Menace
|
Threat of confinement of a person, detention of property, or injury to person or property. Menace makes a contract voidable at the option of the injured party
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Mental capacity
|
Being of sound mind
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Merger
|
The joining of the lesser right with a greater right so that the lesser right is lost. When a dominant tenement owner purchases the servient tenement, easement is lost by merger. An owner would not have an easement over his or her own land
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Mineral lease
|
Lease of the right to extract minerals for the lease. (Also oil and gas leases)
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Mineral, oil, and gas (MOG) broker
|
A broker authorized to engage in transactions involving mineral, oil, and gas rights; options; leases; exchanges; and properties
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Mineral, oil, and gas (MOG) permit
|
A permit formerly issued to a broker who did not have a mineral, oil, and gas license to engage in a mineral, oil, and gas transaction
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Misrepresentation |
A false statement to induce another to act. Unlike fraud, misrepresentation does not require intent. It makes a contract avoidable at the option of the injured party
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Mobile home
|
A factory built housing unit that is transported on its own chassis
|
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|
MOG |
Mineral, Oil, and gas |
|
|
Mortgage |
A two-party instrument that creates a lien on real estate. The mortgage or (the borrower) gives a lien to the mortgagee(the lender)
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|
|
mortgage forgiveness debt relief act of 2007 |
Providers that debt forgiveness will not be taxed as a game to debtor for principal residence of debtor
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Mortgage loan disclosure statement
|
California disclosure of loan terms by mortgage loan brokers
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Mortgage loan originator (MLO)
|
Someone who, for compensation or gain, take the residential mortgage loan application or offers or negotiates terms of the residential mortgage loan (title V of P.L.110 – 289)
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|
Mortgagor |
The borrower under a mortgage. The mortgagor or gives the leave the mortgagee
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Mutual consent |
The meeting of the minds required for a binding contract
|
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Mutual mistake
|
A mistake by both parties to an agreement. The mutual mistake as to fact allows a mistaken party to void the contract
|
|
|
National environmental policy act
|
This act requires an environmental impact statement on federal projects that could significantly affect the environment
|
|
|
Nationwide mortgage licensing system and Registry
|
A uniform system for license applications and recording requirements for all loaner originators established by the conference of State Bank supervisors and the American Association of residential mortgage regulators
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Natural hazards disclosure statement
|
Indicates that the property is a special flood hazard area, an area of potential flooding, very high fire hazard severity zone, wildlife area that made contain substantial fire risks and hazards, an earthquake fault zone, or a seismic hazard zone
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Natural monument
|
A point or boundary in a metes-and-bounds description that is natural, such as a rock, tree, or river, as opposed to an artificial monument, such as a road, iron steak, wall, etc.
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Navigable
|
Waters capable of being used for commerce
|
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Negative covenants
|
Promises not to do something, such as a prohibition against any detached garages or sheds
|
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Negative declaration
|
Declaration by developer that a project will not have an adverse effect on the environment
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Negative easement
|
And easement that prohibits the servient tenement of owner from a use. An example would be a building height restriction so the dominant tenement owner retains a view
|
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|
Negotiable instruments
|
Written, signed, unconditional promises or orders to pay to bearer or a payee a sum certain in money now or a definite time in the future
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Net listing
|
And listing whereby the agent receives all money received over a net price as his or her commission
|
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No deal no commission
|
A listing requiring that escrow actually be closed and title transferred before the agent is entitled to a commission
|
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|
Nominal damages
|
Damages awarded in a token dollar amount for a wrongful act where no actual loss occurred
|
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|
Nonconforming uses
|
Existing uses that or not in conformance with the zoning
|
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|
Noncumulative zoning
|
Zoning allows only the stated use and not more restrictive uses, as well
|
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|
Nondisturbance clause
|
Agreement where the mortgagee agrees to honor the tenants lease in the event that the prior mortgage (trust deed) is foreclosed
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|
Non-freehold states
|
Less than freehold interests; leasehold estates
|
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|
Nonresident licensee
|
A licensee who is a resident of a state other than telephone
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Notice of cessation
|
A notice that states no work has been done for a period of time and when recorded, gives subcontractors 30 days to file their liens and the prime contractor 60 days
|
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|
Notice of completion
|
A notice that states the project has been completed and when recorded, gives subcontractors 30 days to file their liens and the prime contractor 60 days
|
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|
Notice of default
|
Notice given to interested parties of the default of the trustor
|
|
|
Notice of delinquency
|
Notice requested by junior creditors of delinquency of a priority lien
|
|
|
Notice of nonresponsibility
|
A notice by an owner, or a vendor under a real property sales contract, that the owner will not be liable for work on the property authorized by tenant or vendee under a real property sales contract. The notice must be recorded and posted in a timely manner to protect the property from mechanics' liens
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|
Novation |
A substitution of a party to a contract or the substitution of one agreement for another |
|
|
Nuisance |
An act that disturbs the use or enjoyment of the property of another |
|
|
Obligatory Advances |
Advances that the lender is obligated to make to the borrower; e.g., progress payments on a construction loan |
|
|
Omnibus Nondiscrimination Act |
California act that makes every California nondiscrimination act consistent with the California Fair Employment and Housing Act regarding protected groups |
|
|
Open Listings |
nonexclusive right-to-sell listings |
|
|
Opinions of title |
Opinions of the marketability of a title given by an attorney based on the abstract of title |
|
|
Option |
An irrevocable right given to one party to bind another party to an agreement if the party wishes to do so |
|
|
Optional advances |
Advances on a loan that the lender is not obligated to make. |
|
|
Option listing |
A listing combined with an option of the agent to purchase the property |
|
|
Order paper |
A negotiable instrument payable to the order of a named party |
|
|
Or more clause |
A clause that allows debtor to increase payments without prepayment penalties |
|
|
Ostensible agency |
An agency created by implication when the principal intentionally, or by want of ordinary care, causes a third person to believe another person is the agent of the principle, although no actual agency exists |
|
|
Parol evidence rule |
The general rule that verbal evidence cannot be used to modify a clearly written contract |
|
|
Partial zoning |
Zoning that does not take into consideration its effect on other areas |
|
|
Partially amortized loan |
A loan in which payments fail to liquidate loan by due ate, resulting in a final balloon payment. |
|
|
Partition Action |
A legal action to break up a joint ownership |
|
|
Partnership |
Two or more persons associated to carry on a business and to share in the profits |
|
|
Party Wall |
A wall established by agreement for the common benefit of adjacent owners |
|
|
Patents |
Original conveyances of land from the government |
|
|
Patent defects |
Defects that would be obvious from a reasonable inspection of the property |
|
|
Per stirpes |
Inheritance by right of representation. Children share equally in the share their deceased parent would have taken
|
|
|
Periodic tenancy |
A leasehold interest from period to period that automatically renews itself unless a notice to terminate is given |
|
|
Permanent trespass |
A continuing trespass, such as an encroachment |
|
|
Personal defenses |
Defenses the maker of an instrument would have against the payee |
|
|
Personal property |
Chattels |
|
|
Planned unit development (PUD) |
Ownership of the individual unit and land under it by the unit owner, plus common areas owned in common with others. |
|
|
Police power |
The power of the government to regulate use for health, safety, morals, and general welfare |
|
|
Power of attorney |
A written agency agreement whereby a principal appoints an attorney-in-fact as an agent |
|
|
Predatory lending |
Unfair and costly lending practices that strip homeowners of their equity and often result in foreclosures |
|
|
Preemption Act |
A federal act that gave purchase preference to occupants of land |
|
|
Preliminary notice |
A notice must be given by a lien claimant that the work is subject to a mechanic's lien is a lien is to be obtained. The notice covers work subsequent to the notice and up to 20 days prior to the notice |
|
|
Preliminary Public Report |
Under the Subdivided Lands Law, the preliminary public report can be issued prior to the public report. The preliminary public report allows the subdivider to take reservations but not to sell parcels |
|
|
Preliminary title report |
A report of the condition of title given by a title insurer prior to issuance of a title policy. The preliminary title report does not provide and insurance of title |
|
|
Prepayment Pentalty |
Payment penalty for paying an obligation before it is due |
|
|
Presumption |
A legal inference, which can be overcome by evidence to the contrary |
|
|
Principal |
The employer of an agent for whom the agent acts |
|
|
Private easement |
An easement given to specific property or persons |
|
|
Private nuisance |
A nuisance that is limited in scope. A private nuisance does not affect the entire community or neighborhood |
|
|
Privity of contract |
The relationship between contracting parties |
|
|
Probate |
The legal procedure to carry out the wishes of the deceased and pay his or her debts |
|
|
Procuring cause |
The cause that initiated an uninterrupted chain of events that led to a sale |
|
|
Promissory note |
A two-party instrument whereby a maker unconditionally promises to pay a payee a certain sum of money now or at a definite time in the future |
|
|
Promotional note |
A subordinate promissory note on real estate for a term of 3 years or less issued to finance improvements prior to the first sale (subdivision) |
|
|
Proposition 99 (Homeowner and Private Property Protection Act) |
Prohibits the taking of private property by eminent domain when the intention is to turn the property over to a private party rather than take it for public use |
|
|
Publication period |
The 20 day period prior to the trustees sale during which the notice of the sale is published
|
|
|
Public easement
|
An easement given to the general public
|
|
|
Public nuisance
|
To use that disturbs the use and enjoyment of the entire neighborhood or community
|
|
|
Public report
|
A disclosure statement required under the subdivided lands law. The purchaser is not obligated until he or she has read the report and signed a receipt
|
|
|
Puffing |
Statements of opinion (not fact) made to induce a party to contract
|
|
|
Punitive damages |
Damages intended to reform or deter the defendant and others from engaging in conduct similar to that which formed the basis of the lawsuit |
|
|
Pur Autre Vie |
A life estate given for the life of someone other than the life tenant |
|
|
Qualified endorsement |
An endorsement on a note "without recourse." The endorser will not be liable if the maker dishonors the note |
|
|
Quasi Contract |
A contract implied by law, as a matter of equity, when no actual contractual agreement took place |
|
|
Quiet enjoyment |
An implied warranty that the land-lord will not interfere with the tenant's reasonable use and enjoyment of the premises |
|
|
Quiet title
|
Legal action to determine ownership or rights in real property
|
|
|
quitclaim deed |
Indeed that conveys whatever interest the grantor has without claiming any specific interest
|
|
|
Race of the diligent
|
Recording priority based on date and time of recording
|
|
|
Ratification
|
Approval of an agreement to which the approving party was not legally bound. By ratification, the party agrees to be bound by the agreement
|
|
|
Real defenses
|
Defense is that the rays against a holder in due course
|
|
|
Real estate advisory commission
|
Advisory group consisting of six brokers and four public members that advises the real estate commission
|
|
|
Real estate commissioner
|
Executive officer of the department of real estate, who is appointed by the governor
|
|
|
Real estate investment trust (REIT)
|
Me trust organized under federal law having at least 100 investors. Ownership interest is in the form of certificates or shared better freely transferable
|
|
|
Real estate settlement procedures act (RESPA)
|
A federal loan disclosure act applicable to federally related first mortgages and trust deeds |
|
|
Real property |
Land and those appurtenances that go with the land |
|
|
Real property sales contract (land contract) |
Contract whereby seller retains title and the buyer is given possession |
|
|
real property securities |
Securities with guaranteed yields, promotional notes, and designated by Article 6 of the real estate law to be real property securities (repealed) |
|
|
real property securities dealer statement |
A disclosure statement issued to purchasers of real property securities |
|
|
Realtist |
A member of the national Association of Real estate brokers |
|
|
Realtor |
A member of the National Association of realtors (NAR) |
|
|
Rebate law |
law that prohibits escrows and title insurers from giving rebates or favorable treatment as consideration for the referral of business |
|
|
Recording |
Making an interest public knowledge by recording the interest with a county recorder. Recording provides constructive notice of the interest |
|
|
Recreational user immunity |
Immunity of owners for liability to injury to others who enter property for recreational use. It does not apply to failure to warn as to dangerous conditions |
|
|
Redlining |
Refusal to loan (or insure) within an area |
|
|
Reformation |
A court action to reform a contract to read as it was intended to read |
|
|
Regulatory law |
The rules and regulations enacted by government agencies |
|
|
Relation back doctrine |
The doctrine that a buyer's rights relate back to the delivery of the deed into escrow regarding intervening liens of a party who had knowledge or notice of the escrow |
|
|
Reliction |
Rights of property owners bordering on lakes or seas to the land increase when the water recedes |
|
|
Remainder interest |
An interest that goes to other than the original grantor upon some event, generally the death of a life tenant |
|
|
Rent control |
Ordinances that limit the rent a lessor can charge for premises, as well as other lessor rights |
|
|
Rent skimming |
Collecting rent and not using it to make mortgage payments or collecting rent on property not owned or controlled by the renter |
|
|
Request for notification of default |
A recorded request by a junior lienholder to be informed if the trustor is given a notice of default |
|
|
Rescission |
Setting a contract aside and returning the consideration given |
|
|
Reservation in a deed |
The retention of a right, such as an easement, by the grantor |
|
|
Respondeat superior |
The doctrine that the master is liable for the acts of his or her servants (applies to agency and employee relationships) |
|
|
Restraint against alienation |
A restriction on the power to convey property |
|
|
Restricted license |
Probationary real estate license granted after a license was revoked, suspended, or denied |
|
|
Retaliatory evictions |
Evictions because of a tenant's complaints to landlord or a public agency about defects or for lawfully organizing a tenant associate. Landlord cannot decrease services, increase rent, or evict within 180 days of tenant's exercising any of these rights |
|
|
Reversionary interest |
An interest that returns to the grantor, or his or her heirs upon some event, such as the death of a life tenant |
|
|
Rezoning |
A change in the zoning |
|
|
Right of correlative use |
The right of a landowner to the reasonable use of the underground percolating water |
|
|
Right of first refusal |
Right given to a party to meet the price and terms of a third party if the owner decides to sell |
|
|
Right of prior appropration |
A concept in California and other states that the first user of riparian water obtains priority over later users |
|
|
Right of redemption |
The redemption right of the mortgagor after a foreclosure sale |
|
|
Riparian rights |
Right of a landowner to water flowing through, under, or adjacent to his or her porperty |
|
|
Rule against perpetuities |
The rule that an estate must vest in an owner with the life of a person in being 21 years and a gestation period
|
|
|
Rumford Act |
California's fair housing law |
|
|
SAFE act
|
The Secure And Fair Enforcement for mortgage licensing act. Requires a licensing system for mortgage originators
|
|
|
Safety clause
|
A clause in a listing that provides that should the seller sell to a person the agent negotiated with within a set period of time after listing expires, and his name at the agent submitted to the owner in writing prior to expiration, the broker shall be entitled to the sale commission
|
|
|
Salesperson
|
A real estate licensee must be employed by a licensed broker
|
|
|
Satisfaction of mortgage
|
Instrument given by the mortgagee to the mortgage or that releases the mortgage lien when recorded
|
|
|
S Corporation
|
A small corporation whose earnings are taxed as a partnership rather than as a corporation
|
|
|
secret agent - undisclosed agent |
The third party can hold agent or undisclosed principal liable
|
|
|
Secret profit
|
A profit of the agent that was not fully disclosed the principle
|
|
|
Security agreement
|
An instrument that creates a security interest in personal property
|
|
|
Security deposit
|
A deposit for the last months rent or to secure against tenant damage that must be refundable
|
|
|
Seal
|
A mark or impression to attest to authenticity of a signature. Not required in California
|
|
|
Self-help eviction
|
A nonlegal acts by the lessor to force the tenant to vacate
|
|
|
Send out slip
|
An agreement that if a property is disclosed, the prospective buyer will negotiate for it only to the broker who made the disclosure
|
|
|
Separate property
|
propertyproperty owned by a spouse in severalty rather than jointly with the other spouse.S
|
|
|
Servient tenement |
The land being used by another under an easement |
|
|
Severalty |
Ownership in severalty is ownership by one individual or corporation alone |
|
|
Severance damage |
Damage to the remainder of the property resulting from the taking of a portion by eminent domain |
|
|
Sexual harassment |
Offensive sexually, related actions or language that could constitute a tort and/or discriminatory act |
|
|
Sheriff's Deed |
A deed given after a sheriff's sale |
|
|
Simultaneous death |
When parties die in the same accident and it is unclear which one died first, they are presumed to have died at the same time. Each state be probated as if that person had survived the other
|
|
|
Small claims court (California) |
A division of the Superior Court. Jurisdiction is limited to $5000 or less
|
|
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Solar Shade Act |
An act providing an easement of light after a person has installed a solar collector |
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Soldiers and Sailors Civil Relief Act |
Act that prohibits foreclosures while a person is in military service and within three months thereafter except by court order
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Special Agent
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An agent whose authority is limited to specify duties
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Special assessments
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Tax assessments for improvements, such as streets and sewers. Means for special assessments are priority liens
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Special endorsement
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An endorsement on a negotiable instrument to a named party |
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Special-use permit |
Provides flexibility in a zoning ordinance |
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Specific Lien |
A lien against particular property only, such as a trustee, mechanics lien, or tax lien |
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specific performance |
Requiring a person to perform as he or she agreed to perform |
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Spite fence |
A fence over ten feet in height maliciously erected or maintained to annoy a neighbor; a spite fence is considered a nuisance |
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Spot zoning |
Zoning of parcels not in conformance with the general area zoning |
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Standard policy of title insurance |
A policy of title insurance that covers matters of record not specifically excluded, as well as forgery, lack of capacity of a grantor, and disclosed spousal interests, failure of delivery, federal estate tax liens, operation deeds when a charter has expired, and deeds of agents whose capacity has ended
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Standard Subdivision |
Subdivision that does not contain any common areas |
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Stare Decisis |
Principle that previous decisions should be used to determine present rights and obligations |
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Statute of frauds |
The requirement that certain agreements must be in writing to be enforceable (adopted from the common law) |
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Statute of limitations |
The period in which legal action must be started or the right to bring action is lost |
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Statutory law |
law that is based on enacted statutes rather than precedent; civil law |
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Steering |
Directing prospective buyers to areas based on race, religion, national origin, etc. |
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Stock cooperative |
Corporate ownership of real property with each shareholder entitled to occupancy of a unit under a lease |
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Stop notice |
A notice to a lender that a mechanic has not been paid. Unless a bond is posted, the lender must withhold monies due to the prime contractor |
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Straight note |
A note whereby interest only is paid and the entire balance is due on the due date |
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Strict foreclosure |
Common law foreclosure whereby the mortgagee receives the property without a sale upon the mortgagor's default |
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Subagent |
Agent appointed by an agent. Subagents have agency duties to the principal |
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Subdivided Lands Law |
A disclosure law to protect purchasers of subdivided parcels. A public report is required for subdivisions of five or more parcels |
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Subdivision Map Act |
An act providing local control of the physical aspects of land divisions |
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Subjacent support |
Support from below that an excavator must proivde |
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Subject to |
Purchasing a property without agreeing to pay encumbrances. If there is a default, no deficiency judgement is possible |
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Sublease |
A lease given by the original lessee (sublessor) to a sublessee. The sublessee is the tenant of the sublessor and not the original lessor |
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Subordination Clauses |
Clauses that make a mortgage or trust deed secondary to a later recorded mortgage or trust deed |
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Subrogation |
Substitution of one person's rights for another's. When an insurer pays a claim of the insured, the insurer can sue the party who cause the damage. The insurer has the insured's rights by subrogation |
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Substantial performance |
Iadvertemt. minor variance from the required performance |
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Successive estates |
Estates established to succeed other estates, such as a remainder estate to follow a life estate |
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Successor Liability |
Liability of business purchaser for unpaid sales tax of prior owner |
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Superior court (California) |
Court of original jurisdiction for matters over $25,000, as well as appellate jurisdiction from the municipal court |
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Supreme Court (U.S.) |
Discretionary appellate jurisdiction from federal courts, as well as state courts if a federal issue is involved |
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Surrender |
The giving up of leasehold rights by a tenant in exchange for being released from future obligations under a lease |
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Survivorship |
Right of the surviving joint tenant(s) to interests of another joint tenant on the latter's death |
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Syndicate |
A limited partnership |
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Table funding |
Mortgage made in name of mortgage broker and then transferred at closing to lender who advanced funds |
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Tacking on |
Allows one person to "tack on" their adverse use to another's, helping to reach the statutory 5 year requirement |
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Tax deed |
A deed given at a tax sale |
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Tax liens |
Liens for property taxes are specific priority liens against the property assessed. Liens for state and federal income tax are general liens against the property of the taxpayer |
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Tenancy at sufferance |
The tenancy of a holdover tenant. The lessor can treat such a tenant as a trespasser |
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Tenancy at will |
A tenancy at the pleasure of the lessor |
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Tenancy by the entirety |
Not used in California, it is a joint tenancy between spouses where neither spouse can separately convey his or her interest |
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Tenancy for years |
A tenancy for a definite period of time. The tenancy does not renew automatically, and the tenant must give up possession at the end of the lease unless an extension to the lease or a new lease is agreed on |
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Tenancy in common |
Undivided interest in property without the right of survivorship |
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Tender |
An offer of money or full performance of an agreement without any conditions |
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Tentative map |
Initial map filed by a subdivider under the Subdivision Map Act. When all approvals and changes are made, the final map is recorded |
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Termination statement |
A statement that, when filed, releases the lien of the financing statement |
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Testator |
A person who died having a will |
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Third-party beneficiary |
A person, not a party to a contract, who was the intended beneficiary of the contract and therefore has a standing to sue if the contract is breached |
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30-day notice |
A notice to vacate under a periodic tenancy. Notice must be for the length of the rent-paying period, but need not be for more than 30 days |
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Three-day notice |
A notice to quit, quit or pay rent, or quit or cure that must be given prior to an unlawful detainer action |
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Tidelands |
Land between ordinary high and low tides |
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Tie-in agreement |
Requirement that a party agree to another nonrelated transaction as a condition of purchase or sale (Sherman Act violation) |
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"time is of the essence" |
A statement in a contract that requires performance within the stated time period if the other party is to be bound by the agreement |
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Time-share |
Fractionalized ownership whereby each owner has exclusive right of occupancy for an agree-on period of time |
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Title insurance |
A policy that insures the marketability of title. The insurance contract indemnifies the insured against losses not excluded by the policy, up to the policy amount |
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Title plant |
The title records of a title insurer to determine marketability of title |
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Title theory (mortgage) |
The theory in some states that a mortgage transfers title to the mortgagee as security for the loan |
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Tort |
A civil wrong or violation of a duty |
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Trade fixtures |
Fixtures installed by a tenant for the purpose of conducting a business or trade. The trade fixture remains personal property and can be removed by the tenant |
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Transfer disclosure statement |
Requires seller disclosures for residential sales |
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Treaty of Guadalupe Hidalgo |
Treaty ending the Mexican-American war whereby the United States agree to honor property rights of Mexican citizens, which included the community property concept |
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Trespass |
Unlawful entry of, or injury to, the property of another |
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Trust deed |
A three-party security transaction in which the trustor (borrower) gives a note to the beneficiary (lender) and a title (trust deed) to a trustee as a security for the note |
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Trustee |
The third party holding naked legal title for security purposes under a trust deed |
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Trustee sale |
Sale by the trustee when the trustor defaults. A trustee's deed is given to the purchaser |
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Trustee's deed |
Deed given by trustee to purchaser after trustee's sale |
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Trustor |
The buyer or borrower under a trust deed |
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Truth-in-Lending act |
Requires lender disclosure of costs and annual percentage yield (APR) |
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Truth in savings act |
Requires lender disclosure of costs and annual percentage yield |
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Undivided interest subdivision |
A development where the entire subdivision is owned in common for use of all owners with no separate exclusive use rights |
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Undue influence |
Improper influence so that a person really is not acting under his or her own free will. Such influence makes a contract voidable |
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Uniform Electronic Transactions Act (UETA) |
Sets forth rules for entering into an enforceable contract using electronic means |
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Uniform laws |
Laws drafted by the National Conference of Commissioners on Uniform State Laws to provide uniformity for commercial purposes |
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Uniformed settlement statement |
RESPA required settlement statement for federally related loans |
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Uniform Vender and Purchaser Risk Act |
Sets forth who bears risk of loss in purchase situations |
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Unilateral Contract |
An offer that is accepted through performance rather than a mutual promise |
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Unilateral mistake |
A mistake by only one party to a contract. It does not void the agreement |
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Unincorporated Association |
Nonprofit association |
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Unlawful detainer action |
A legal eviction action. The tenant must appear and answer charges within five days of service |
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Unruh Civil Rights Act |
The act that prohibits businesses from discriminating |
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Upzoning |
Change in Zoning allowing less-restrictive development, such as more units or more intensive use |
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Usury |
An illegally high rate of interest |
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Valid |
Good and enforceable |
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Variance |
A special exception to the zoning generally granted to avoid hardship |
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Vendee |
Buyer on a real property purchase contract |
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Vendor |
Seller on a real property purchase contract |
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Venue |
The proper place for a lawsuit to be filed |
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Verification |
Swearing under oath as to the truth-fulness of a statement |
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Vested remainder |
One by which a present interest passes to the party, though to be enjoyed in future upon execution of a life estate |
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Vicarious liability |
Liability of an individual for acts of one acting in his behalf |
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Voidable contract |
A contract whereby one party only can declare the contract void |
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Void Contract |
A contract that has no effect |
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Waiver |
Voluntary relinquishment of a right. A person can waive rights that are for his or her sole benefit. Failure to insist upon proper performance could be a waiver of the right to the required performance |
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Warranty deed |
A deed in which the grantor warrants good title |
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Waste |
Unreasonable and destructive use of property |
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Wild document |
A recorded instrument outside the chain of title that fails to give constructive notice |
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Will |
A testamentary instrument |
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Wraparound Loan |
A loan written for the amount of an existing loan, as well as an additional amount, usually used by sellers to take advantage of a low-interest loan |
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Wraparound trust deed (all-inclusive deed of trust) |
A trust deed written for the amount of the existing encumbrances plus the seller's equity |
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Writ of execution |
A court writ directing the sheriff to seize and sell property of a debtor to satisfy the claim of the judgement creditor |
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Writ of possession |
A court order for the tenant to vacate |
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Zoning |
Public control of land use enacted under police power for the health, safety morals, and general welfare of the community |
