Marketable Title

Marketable Title

Marketable Title

Title need not be perfect but must be free of defects that would expose the buyer to litigation or reasonable doubt about ownership. Contracts typically require marketable title as a closing condition.

Marketable Title Acts extinguish stale interests in many states.

Alternative Names:

Merchantable Title|Good and Marketable Title

Why it Matters?

Marketable Title Acts extinguish ancient interests not re-recorded within a defined root period, typically thirty to forty years, which cures many defects that would otherwise require quiet title litigation. Checking whether the act reaches a particular defect is faster and cheaper than curative litigation. Contracts may also specify insurable title rather than marketable title, which is a lower standard satisfied by a title company's willingness to insure over the defect.

Frequently asked questions

What does a Marketable Title Act do?

How does insurable title differ?