Biv1bi exception to oral conditions when oral

b.iv.1.b.i.
Exception to Oral conditions – when oral evidence
regarding a condition to a deed is admissible:
b.iv.1.b.i.1.
To show that deed is nullity because the
grantor is incompetent or drunk
b.iv.1.b.i.2.
To show that the deed was to take effect a
grantor’s death
b.iv.1.b.i.2.a.
However, this would be
considered a will and would still fail to meet
requirements for a will, if deed is in the
hands of the grantee
b.iv.1.b.i.3.
Where delivery to a third party to hold in
escrow for grantee.
b.iv.1.b.i.3.a.
This third party can testify as
to the grantor’s intent and therefore the deed
will be upheld
b.iv.1.c.
Deed in Grantee’s Hand – a deed that is delivered to the
grantee is presumed to have been assented to by that grantee and to
have been delivered. This presumption can be rebutted only by
evidence that no delivery was in fact intended.
b.iv.1.d.
Conditional Delivery – a conditional delivery can only be
made by placing the deed in the hands of a third person.

Remember : if a conditional deed is delivered to the
grantee, the deed will be considered to be valid and the oral
condition will not be enforced
b.iv.1.d.i.
Revocable Escrow : when a deed is placed in a revocable
escrow there is not delivery of the deed to the grantee. The
grantor must intend for title to pass irretrievably to the
grantee in order for the deed to be valid. ( Rosengrant)
b.iv.1.d.i.1.
Rationale : we have the delivery requirement
in order to make sure that the grantor really
intended for the grantee to have title irrevocably.
b.iv.2.
Forged Deeds

b.iv.2.a.
General Rule : Forged deeds are not valid deeds. The
grantor, whose signature was forged prevails over all persons,
including subsequent bona fide purchasers from the grantee who
did not know the deed was forged.
b.iv.2.a.i.
Rationale: Grantor did nothing wrong here, so he should
prevail against everyone else.
b.iv.3.
Stolen Deeds
b.iv.3.a.
A stolen deed is a deed that was signed by the grantor but
the grantee or another stole the deed from the grantor.
b.iv.3.a.i.
A grantor prevails over a grantee or bona fide purchaser
b.iv.3.a.i.1.
Rationale: same as to forged deeds.
b.iv.4.
Fraudulently Obtained Deeds
b.iv.4.a.
A fraudulently obtained deed is a deed that was signed by
the grantor but the grantee somehow got the grantor to hand over
the deed without the grantor being prepared to transfer title to the
property. That is, the grantee defrauded the grantor.
b.iv.4.b.
A deed procured by fraud is voidable by the grantor in an
action against the grantee, but a subsequent bona fide purchaser
from the grantee who is unaware of the fraud prevails over the
grantor.
b.iv.4.b.i.
Rationale : As between two innocent persons, one must
suffer by the fraudulent act of a third party, and the law
generally places this loss on the person who could have
prevented the loss to the other.